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INTERNSHIP REPORT ON
Specialization: Human Resources Management
Submitted By
Musawwar Abbas
Session: 2010 To 2013 Contact No. 0345-3313136 Date of Submission: 28-08-2013
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DEDICATION
To my Parents, All Teacher, Virtual University and my so sweet brother Muhammad Irfan, who kept me connected to the world away from the keyboard that prayed for me during that period and reminded me every day how good it feels to learn new things
(Al-Quran 3:189)
ACKNOWLEDGEMENTS
Haidri Beverages (Pvt) Ltd.
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Under and above any thing else, all praise to ALMIGHYTY ALLAH alone, the most merciful and compassionate. The words are bound, knowledge is limited and time is short to express his dignity. I pay homage to Holy Prophet HAZRAT MUHAMMAD (peace be upon him) the most perfect and exalted among and of ever born upon the surface of earth, which is forever a light house for the humanity as a whole.
A great debt of gratitude and sincere thanks are extended to great Sir, Malik Muhammad Yasir Awan (HR & Admin Officer Haidri Beverages (Pvt) Ltd.) for their valuable comments, constructive suggestions and inspiring attitude during the session of M.B.A. (Human Resources Management). Words are lacking to express my humble obligation to my great Teachers, sweet Mother, whose lap is my refuge from harsh faces of life, my Father who encouraged my through out my studies and My Friends who supported my efforts to complete this Internship Report and without them I will be never able to complete this Internship Report. Being a student of MBA with the major in Human Resources Management, I have selected the Haidri Beverages (Pvt) Ltd. for the purposes of internship.
LIST OF CONTENTS
CHAPTER NAME SUMMARY Objective of studying To Haidri Beverages (Pvt) Ltd., Definition of HRM INTRODUCTION Brief Introduction of the Organizations Business Sector History of Haidri Beverages (Pvt) Ltd. Nature of Haidri Beverages (Pvt) Ltd. OVERVIEW OF THE ORGANIZATION Organization Profile Business Volume Product lines Competitors Organizational Hierarchy chart Number of employees ORGANIZATIONAL STRUCTURE Main offices Introduction of all departments Comments on the organizational structure Department hierarchy STRUCTURE OF THE HR DEPARTMENT Number of employees working under HR department 19 22 18 12 23 HRM processes Human resource planning and forecasting Employees recruitment & selection FUNCTION OF HR DEPARTMENT Training & development Performance management 42 Employee compensation & benefits 25 29-35 36-41 08 10 12 12 13 14 15 16 18 19 19 PAGE NO.
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OBJECTIVE
06
07
CRITICAL ANALYSIS
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Brief Introduction of the Organizations Business Sector Pepsi Cola International (Pvt) Ltd.
Pepsi Cola is a carbonated soft drink produced and manufactured by Pepsi Company. The drink was first made in the 1890 by pharmacist Caleb Bradham in New Bern, North Carolina. The brand was trademarked on 16 June, 1903. There have been many Pepsi variants produced over the years since 1898. It was first introduced as "Brad's Drink" in New Bern, North Carolina in 1898 by Caleb Bradham, who made it at his pharmacy where the drink was sold. It was later named Pepsi Cola, possibly due to the digestive enzyme pepsinogen and kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy.
Pepsi-Cola International (PVT) Limited 22 Zaman Park Upper Mall Lahore, Pakistan Tel: (92) 42 6368 727
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Pepsi Cola is a world leader in convenient snacks, foods and beverages with revenues of more than $60 billion and over 285,000 employees. Take a journey through our past and see the key milestones that define Pepsi Cola. PepsiCo has enjoyed a long history of delivering strong financial growth. Get the who, what, when, where, and why of investing in our company and join us as we grow. As one of the worlds largest food and beverage companies, we recognize our responsibility to help make a positive contribution in a world that continues to experience unprecedented economic, environmental and social challenges. PepsiCo's business strategy and affairs are overseen by our Board of Directors, which is comprised of one executive director and eleven independent outside directors. Only independent outside directors make up our three standing Board Committees,
(a) Nominating and Corporate Governance (b) Audit, and (c) Compensation.
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Haidri Beverages (Pvt) Ltd.was incorporated on 1984 as a private limited company under the company ordinance 1984. The Haidri Beverages (Pvt) Ltd.is currently operating through 3 branches in different cities of Pakistan. With the name of Northern Bottling Company and Beverage Plus. With the registered office at CDA industrial triangle Kahutta road, Islamabad. The strategic goals set out by its board of management with his M.D Sir, Muhammad Imran Khan
2.
PepsiCo's business strategy and affairs are overseen by our Board of Directors, which is comprised of one executive director and eleven independent outside directors. Only independent outside directors make up our three standing Board Committees, (a) Nominating and Corporate Governance, (b) Audit, and (c) Compensation.
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Shona L. Brown
Ian M. Cook
Dina Dublon
Ray L. Hunt
Ibargen
Arthur C. Martinez
Indra K. Nooyi
Lloyd Trotter
James J. Schiro
Daniel Vasella
3.
The groups principal activity is to provide Food and Soft Drink to the community. The nature of organization is Manufacturing and Beverages concern business. The Pepsi Cola
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different countries.
International operates through 475 domestic office and 110 international offices in
The company is listed New York Stock Exchange. The Pepsi Cola International is engaged in beverages manufacturing.
4.
5.
Business volume
(For the year ending 2008) UNDS in 00000
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Items
Gross Revenue Assets Liabilities Net Worth Earnings
2008
2,375,0 750,0 225,0 525,0 9,5
Note:- The above referenced data has been taken from www.pepsico.com Financial Annual Report 2008
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(b) Starting new employees in the organization (c) Training employees for jobs that are new to them (d) Improving the job performance of each person
(e) Gaining creative cooperation and developing smooth working relationships (f) Interpreting the companys policies and procedure (g) Controlling labor costs (h) Developing the abilities of each person (i) Creating and maintaining department morale (j) Protecting employees health and physical condition In small organizations like Haidri Beverages (Pvt) Ltd. line managers may carry out all these personal duties unassisted. But as organization grows, they need the assistance, specialized knowledge, and advice of a separate human resource staff. The human resource department provides this specialized assistance.
7.
Competitors
There are many competitors of Haidri Beverages (Pvt) Ltd. is Coca Cola Beverages (Pvt) Ltd, Amrrat Cola, Makah Cola and Murree Brorray.etc
8.
Organizational structure
Pepsi Cola International (Pvt) Ltd is currently worked at a motivated plan to expand outside local boundaries in the international arena. It has opened branches in below countries with a passion to grow further around the world.
(a)
Haidri Beverages (Pvt) Ltd.
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Pepsi-Cola International (PVT) Limited 22 Zaman Park Upper Mall, Lahore Tel: (92) 42 6368 727
(b)
Head Office
9.
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Group Heads / G. M
Departmental Heads
Managers
Assistant Managers
10.
Assistant
Marketing Mgr
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Unit Manager
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11.
Manager HR
Assistant HR Manager
Manager Admin Unit Manager
Territory Development Manager
Note:The above referenced organization & HR structure data has been taken from www.haidribev.com.pk .
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HAIDRI BEVERAGES (PVT) LIMITED has almost 180 Management Staff, 250 employees in technical department, 140 in sale staff department and near about 600 employees in labor department. (Pepsi cola International has 950 employees)
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(i) (ii) (iii) (iv) Revenue Expenses Assets Liabilities
These are the pillars of any business. The accounts departments of the organization is responsible for all of accounting operation like Purchase, Sales, Incentive, Cash payment, Tax & excise, Bank payments, pay roll, MQT etc. An accounting system consists of the personnel, products, Technology and records used by an organization To develop accounting information. To communicate this information to decision makers. To decision and abilities of this system very greatly from one
organization to another. In small business like sole proprietorship accounting system may consist of little more then a cash register, a cheque book and an annual trip to an Income Tax preparer. Also the accounts departments generate the following reports: Bank movement reports Cash report Incentive report Bank reconciliation statement Income statement & Balance Sheet
Sale
&
purchase department of the HAIDRI BEVERAGES (PVT) LIMITED is to control all the sale and purchase activities. They have the following responsibilities:-
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(i) To control the production of the organization (ii) (iii) To control the distribution of the products To control the raw material inventory
(c) Cash Department: the cash:(i) Cash received from distributors (ii) Daily Cash payments (iii) Also maintain daily cash report etc.
Cash
department
of
HAIDRI
(d)
Shipping Departments:-
Shipping
department
of
HAIDRI BEVERAGES (PVT) LIMITED also to control the distribution of production from producing point to at the end point of customer and to manage and received demand order from distributor and maintain all activities that is relevant to shipment department.
(e)
Quality
control
department of the HAIDRI BEVERAGES (PVT) LIMITED is to control quality of production that is high standard or low.
(f)
Production Department: -
The production Manager of Haidri Beverages (Pvt) Ltd. (i) To maintain the stock of the organization as per community requirement.
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(ii) (iii) (iv) To control the maintenance of the plant. To control the work force (Labor). To control raw material inventory etc.
(g) HR Department: -
originally seeks to estimate current and future employment needs. However task of estimating current & future needs is an extremely complicated process which requires care & consideration. Issues on the basis of which HR planning is done in Haidri Beverages (Pvt) Ltd. are following:(i) (ii) (iii) (iv) How many employees does the company currently employ? What is the age profile, by department, of our employees? Which are the biggest departments of the company? In which areas of our business do we tend to lose more employees? Human resource planning is more people friendly in the sense that it attempts more radically to address the potential & development needs of employees in order to foster quality, commitment & sales in the work place. Therefore humans are treated as a resource rather than a commodity or investment and not a burden on the company. Also HR department of Haidri Beverages (Pvt) Ltd. Has Five employees in which one of Manager.
HR PROCESS
Although HRP means different things to different people, general agreement exists on its ultimate objectives like the most effective use of scarce talent in the interest of the worker & the company. Thus HRP is an effort to anticipate future business & environmental demands on an organization, & to provide qualified people to fulfill that business & satisfy those demands. This suggests several specific interrelated activities that together
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company include the following steps:1. 2. 3. 4. 5. Organizing Staffing Leading Controlling Planning
constitute an HRP process. Following are the steps of HRP process followed by the
1.
developing plans and forecasting. In this step current human resource is assessed which includes their skills, abilities, potential and to analyze how they are currently being used.
2.
Organizing: -
departments, delegating authority to subordinates, establishing channels of authority and communication, coordinating the work of subordinates. Human resource forecast is used to predict future HR requirements like the number of workers needed; the skills mix required, internal and external sources of workers etc.
3.
Staffing:-
Determining what type of people should be hired, recruiting selecting employees, setting performance standards,
prospective
employees,
compensating employees, evaluating performance, counseling employees, training and developing employees. Action plan is used to enlarge the pool of people qualified to fill the projected vacancies through such actions as recruitment, selection, training, placement, transfer, promotion.
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4.
Leading: - Getting others to get the job done, maintaining morale, motivating
subordinates. Process feed back is provided on the overall effectiveness of the human resource planning process by monitoring the degree of attainment of HR objectives. 5.
Controlling:
Setting standards such as sales quotas, quality standards, or production levels, checking to see how actual performance compares with these standards, taking corrective action as needed. HR Process in Haidri Beverages (Pvt) Ltd
HR Process
(1) Planning (5) Controlling (3) Staffing FORECASTING HR REQUIREMENTS
What is certain, is uncertainty of the future. As time passes, the working environment changes internally as well as externally. Internal changes in the organizational environment include product mix, capacity utilization, and union management relations among many other areas. Changes in the external environment include governmental regulations, literacy, competence levels of employees and consumerism.
(2) Organizing
(4) Leading
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HR plan heavily depends on forecasts, expectations & anticipation of future events to which the requirement of staffing in term of quality & quantity are directly linked. However, complexity is added to the technique of forecasting. For effective forecasting system, there are following requirements which are considered by Haidri Beverages (Pvt) Ltd:1. 2. 3. 4. 5. 6. 7. 8. 9.
1.
Time Horizon Economic Factor Social Factor Demographic Factor Competition Technological Factor Growth and Expansion of Business Leadership Innovation Management
Time Horizon:-
contrary, too short a period is not sufficient for preparation of the people to be recruited. In addition, the techniques for forecasting events in the longer period of time are different from those for the shorter duration. Therefore company prepares plans for different periods like short range plans, medium range plans & long range plans.
2.
Economic Factor:-
forecasts considers economic aspects like income, expectations of wages & salaries etc. therefore all the factors which affect on such economic activities are considered while forecasting.
3.
employees on wages, working conditions & government regulations & future trends regarding public are considered.
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4.
.
In demographic factor availability of youth, training
Demographic Factor:-
facilities, facilities for professional education, income level literacy etc. are the requirements or needs of forecasting. 5. Competition:-
product, pricing & distribution influence future staffing in a variety of ways. For example company can preserve its market share by improving the quality of product. 6.
Technological Factor:-
used to achieve companys goals therefore, it is considered as the state of art to survive in the competition. Technology both in term of quality & extent to which it is used, determine the employee requirements. According to companys point of view, needs depend on expected trends in technology, technology forecasting.
7.
8.
Leadership:-
are required?. The philosophy of the top management largely determines the policies that inform decisions on future staffing needs. As Haidri Beverages (Pvt) Ltd. is the private sector, whose philosophies are more determined by economic & entrepreneurial considerations than by social policy & trying to employ optimum number of employees as done in public sector enterprises.
9.
Innovation Management:-
management needs to be innovative to stay in & sustain competitive advantage. For this purpose, improvements are always welcomed on work places. Relationship management, customer loyalty, economics of variety etc, are the innovations in management that are
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innovative practices.
considered for adoption. Therefore future staffing needs are influenced by these
1.
Beverages (Pvt) Ltd. for HR planning. An expert or group of experts forecast employment & HR needs based on experience & intuition. Personnel managers do this by examining past employment levels & questioning future needs which is a quite informal system. This type estimate is made more refined & more effective in order to make decisions. Expert- Estimate technique is a set of procedures used for obtaining the most reliable consensus of opinions of group of experts. Very simply, it consists of a series of careful but in depth rounds of questioning of each individual expert, through a series of questionnaires, to get the data desired. The interesting feature of this technique is that the procedures ensure that there are no direct meetings between the experts but each subsequent round of questions is informed by summaries of opinions from the preceding round. 2.
Beverages (Pvt) Ltd. is Trend Projection which is most commonly used technique by other companies as well. It involves developing a forecast based on a past relationship
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between a factor related to employment & employment itself. As employment needs are related to the sales level, the personnel planner then develops a table or a graph showing past relationships between these two factors & estimate required staffing levels based on sales forecast.
3.
Multiple-Predictive Technique: -
demand is multiple-predictive technique used by the company. As trend projections are based on relating a single factor to employment. In contrast, multiple-predictive technique uses many factors & hence is more refined & advanced. These techniques relate many factors to employment like sales, product, income etc. 4.
its staffing needs. The head office sums these unit forecasts, & the results become the HR forecast of the organization. The manager of each unit analyses the units needs on a person-by-person, job-by-job basis in present as well as the future. By analyzing present & future requirements on the job, & the skills of the incumbent, this method focuses on the quality of workers. The usual approach is for the head of personnel & the HR planner to initiate a letter or phone call to managers of units. Each unit manager starts with the present census of people compiled on a list called a staffing table. Staffing tables include the jobs in an organization by name & number of jobholders for each entry. Managers evaluate the resulting tables in term of both numbers & skills of the present personnel. They also give careful consideration to the effects of expected losses through retirement, promotion or other reasons.
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1. 2. 3. 4. 5. 6. 7.
Sources of candidates Unsolicited applicants Labor Unions Professional Association School and Colleges Advertising Employee Referrals
1.
adequate manpower sources. It involves the creation of pool of available labor from which the organization can draw when it needs additional employees. Convenient way that Haidri Beverages (Pvt) Ltd. Pepsi cola (Pvt) Ltd Islamabad is using to recruit the people is using outside & inside sources. Thus if a particular job vacancy occurs, Haidri Beverages (Pvt) Ltd. fills it by transferring or promoting employees from within the company to that post. If there is to be a net addition the size of the work force then a suitable candidate is employed from outside the organization. Whether people are selected from or outside, company always consider necessity of matching job requirements with worker qualifications. For fulfillment of this purpose first chance of any better & attractive job is given to present employees rather than outsiders. (a)
Inside sources:-
(Pvt) Ltd. wishes to fill the vacancies by choosing from among present employees ultimately anyone of three procedures is used. (i) Informal Search
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(ii) (iii) Skills Inventory Job Posting
(i)
vacancy speaks to the personnel manager & together they give consideration to one or more possible candidates for the position. The manager may interview the employee who is first choice for the job to that individual or manager may interview several employees and then offer the job to the one he favors. Although this informal method is quite commonly used, it tends to keep most employees, who might be interested in the opportunity, ignorant of the vacancy and to deny them the chance to apply. (ii)
provides in some detail the qualification of every employee. When a job opening occurs the inventory can be searched to supply the list of employees having qualification that match or approximate the requirement of the position. (iii)
Job posting:-
bulletin boards & in periodic announcements of office employees. Typically the bulletins give job title, a brief job description, pay grade & department. Interested employees can apply for the jobs. Haidri Beverages (Pvt) Ltd. mostly uses the particular procedure of job posting for recruitment because according to the managers it meets equal employment opportunity & affirmative action requirements of an open recruitment system. (b)
Outside Sources:-
job involved & the nature of labor market, management have the number of options available for obtaining people from outside the organization. 2.
the area & simply walk into the employment office to inquire about job opening. Employers often find that this is the satisfactory way of meeting their needs for hourly paid blue collar workers and clerical personnel. Oftentimes technical, professional and
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office even though organization has not advertised any opening.
administrative type personnel apply for jobs by sending their resumes to the personnel
3.
Labor Unions:-
generally of short duration and intermittent, labor unions typically operate hiring halls. These are common in the construction long shoring and maritime industries. Thats why this method is not used in Haidri Beverages (Pvt) Ltd. 4.
Professional Association:-
the engineering, scientific, accounting, health care and education fields operate placement services for their members. Furthermore, at their annual conventions they typically provide services and facilities that enable job seekers and employer to meet. (As the Haidri Beverages (Pvt) Ltd.is concerned this method is not applicable). 5.
make it a practice to contact school principals and guidance counselors to recruit graduates for office clerical jobs, store clerks and trainees for the variety of jobs. Business and technical institutes, both public and proprietary provide training for such occupations as secretaries, junior accountants, computer operators, mechanics, electronic technicians and medical technicians. Companies, especially large firms, obtain portion of their managerial, professional and technical personnel via direct recruitment at colleges and universities. The typical campus interview of one half hour constitutes rough screening. The employer then invites the most promising candidates to a company facility or headquarters for interviews with several managers. After consultation among the managers formal job offers are made to a subset of those who visited the company premises.
Advertising:
Advertising in news papers, magazines and professional journals is a very widely used method of recruitment in Haidri Beverages (Pvt) Ltd. Islamabad. It usually generates a
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large pool of applicants. Not only does advertising reach those who are currently unemployed but it also attracts those holding jobs who seek who seek better job opportunities.
Employee Referrals:
A significant percentage of jobs are obtained through word of mouth and through friends already employed in organization. Especially for skills that are in short supply, company formalizes the processing of employee referrals by actively soliciting employee nominations, providing information on job requirements and giving recognition to individuals who successfully recruit new employees.
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Although it is true that that the steps in the selection process should be varied to meet the special needs of the organization, the following is the model program that is used in Haidri Beverages (Pvt) Ltd. in selection process. a. Advertisement b. Collection of CVs c. Short listing candidates d. Interview e. Medical examination f. Induction g. probation
Advertisement:
Whenever any job vacancy is created in any department of the organization, the specified department gives information to the HR department which in turn gives information to general public through print & electronic media as well. However in print media newspaper & in electronic media website of the company is used as the source of providing information regarding vacant job of specified department. Newspaper that is used for advertisement is The News & web site is www.haidribev.com.pk. Through advertisement public is informed to submit their CVs on specified date & related job experience with minimum degree requirement as well as number of posts available is also mentioned in the add.
Collection of CVs :
All the candidates willing to have a job send their CVs on specified address, in which all the details of personal information, education, experience, achievements n others with their abilities to fit in specified company are mentioned. Thus CVs play very important role in hiring process as well as help in searching talented applicants in short time.
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As CVs are important and only the most suitable source of getting information regarding selection of candidates but CV is not a base of real selection. Those applicants having no relevant education, experience & information regarding particular job are short listed in very first stage. However candidates with experience, knowledge & education are further considered for next stage of final selection.
Interview:
Applicants who are short listed are called for interview on date specified in news paper. Panel of interview mostly include GM, HR manager & manager of different departments. During interview original documents with all achievements are checked keenly for verification.
Induction:
After medical examination, candidates who are medically fit are selected for specified post. Case which includes education documents, experience certificates, other achievements, written test, interview marks as well as CVs of all the candidates are recorded in office documents & one copy is forwarded to head office with signature & stamp of Area and HR manager of that representative area.
Probation:
As the stage of induction is completed last stage of selection is probation. At this stage candidate is given tasks related to job for which he is selected. Like regular workers neither he can avail any fund nor enjoy any benefit. Probationer is not authorized any leave during probation period like permanent employees of company. Total time of probation in Haidri Beverages (Pvt) Ltd. is two months. At the end of the month his performance is measured. During time of probation candidate can be terminated if he is failed to show good performance.
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Structural Level:
At the structural level , one can examine issues such as aggregate level of expenditures by the various providers of training (e.g federal state, & local governments, educational institutes, private sector business) & the degree of cooperation among the providers, incentives ( or lack of incentives) for providing training, who gets training & the economic impact of training, these are macro level concerns.
Micro Level:
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At the micro level one may choose to examine issues such as what type of training seem to yield positive outcomes for organizations & trainees (i.e. what works); how to identify if training is needed &, if so, what type of training best fits the needs that have been identified; how to structure the delivery of training programs; & how to evaluate the outcomes of training efforts. Unfortunately, organizations sometimes place too much emphasis on the techniques & methods of training & not enough on first defining what the employee should learn in relation to the desired job behaviors in addition. Very few organizations make an effort to determine whether the training objectives were met.
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Employee Development:
Employee development means developing the ability of people to manage their organizational environment. Although it is highly complex subject involving both the conceptual & practical difficulties. It involves work & identification of work processes which facilitate learning. Thus require deep knowledge & understanding of how they change, & of the way in which employee development can effectively assist & support the process of organizational change. Different companies use different methods for development of employees according to their needs. Despite the available variety of methods, an organization is cautious when selecting training methods for its use. Training methods that are generally used by the Haidri Beverages (Pvt) Ltd. are of two types. On the job training Off the job training
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One of the useful methods for employee development is group work which is normally use to reflect the overall objective of company & is also related to attitude, skills & knowledge. Group learning also becomes the training objective when the group as a whole needs to learn ways of dealing with a given situation. There are different methods by using which company makes its employee a useful asset for achieving targeted goals.
C. Problem Solving:
By using this method a group is given a particular problem to solve. While they are given a certain situation to handle, group members have to solve the problem by following procedure; a. Defining a problem
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b. Describing a problem c. Estimate of time & resources used to solve problem d. Way in which problem is solved
Simulation Method:
Another approach used by the company for employee development is simulation through which strong behavioral changes are achieved. Thus it enhances learning effectiveness. In simulation exercise model of reality is used on the basis of which skills are improved, norms & values of organization are broadly understood to them so that they could perform their duties by keeping in view norms & values set by the company. Simulation is an operational exercise where parameters are personality, task & environment. By using this approach of development following methods are used;
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Audiovisual is another effective method of developing employees. In this regard slide & video projections are used for presenting real scenes. Thus viewing of images is made possible through these projectors. These images can be sourced from video tape, from a CD or from a computer. Words & diagrams & still pictures are created & stored in video projection system with appropriate software, & any image can then be viewed via the video projection system. Exciting & informative visuals are created in order to entertain & developing skills of employees.
Learning by doing:
Learning by doing is very popular method of teaching new skills & methods to employees. in this case the new worker observes a senior experienced worker & learns what to do. Far more successful is to use a senior or experienced worker who has been trained in instructions or training methods & whole teaching skills are coordinated with a developed program linked to off the job course.
Mentoring:
Mentoring is another version where by a senior or experienced employee takes charge of the training & development of a new employee. This shows much closer association where mentor acts as an advisor& proctor to the trainer. CDs Whenever candidates who show their interest in companys jobs want to learn about them they can easily approach through CDs with the facility of sight & sound, interactive videos & audio tapes. Programmed instruction can be used where the trainee receives immediate feedback on answers. A correct answer brings new information, whereas an in correct answer results in remedial material.
Performance Management
Haidri Beverages (Pvt) Ltd.
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Performance appraisal is the process used by the companies to measure the performance of the employees & then evaluating that performance with better suggestions to improve in future to achieve organizational goals. Therefore it is defined as A formal & structured system by which management measures, evaluates & assesses an employees job related attributes behaviors & outcomes It is under taken to discover how productive the employee is & whether the employee can continue to perform in future to help achieving the organizational goals. It is considered in Haidri Beverages (Pvt) Ltd. an important part of human resource management & is considered as a factor in determining the crucially important dimension of employee & organization effectiveness for success. There are several reasons due to which performance standards & expectations are carried out by Haidri Beverages (Pvt) Ltd. To identify the individuals current level of job performance To identify employee strength & weaknesses To enable employees to improve their performance To provide a basis for rewarding employees in relation to their contribution to organizational goals To motivate individuals To identify training & development needs To provide information for succession planning The most likely reason for the adoption of appraisal system is to draw attention to present performance in the job in order to (a) reward people fairly (b) identify those with potential for promotion or transfer. The efficiency of the performance appraisal system as a whole in human resource management is dependent on the Right choice made as to methodology. Many tools & techniques are employed in the appraisal process. There are following standards which are set by the company on the basis of which performance is measured time by time.
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Written Essays:
One of the methods used by Haidri Beverages (Pvt) Ltd. to describe employees strengths & weaknesses, past performance, future potential & suggestions for improvement is writing essays. Although it is a simple method, it requires a great deal of writing ability & use of objective language on the part of appraiser. Therefore in order to measure the performance is based on performance given by the employee as well as appraisers writing skills.
Benefit:
Term benefit can be defined in following words. It is a part of reward the purpose of which is to keep the enterprise competitive in recruiting & retaining employees in relation to employers
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Objectives of compensation & benefit
The objective of a compensation & benefit system in Haidri Beverages (Pvt) Ltd. is to create the system of rewards that is equitable to the employer & employee alike, so that the employee is attracted to the work & motivated to do a job for the employer. There are seven criteria for the effectiveness of such a policy of compensation & benefit.
1. Basic Salary:
Basic salary is the financial reward that is called direct payment, paid to the employers & employees of Haidri Beverages (Pvt) Ltd. ranging from organizational hierarchy.
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Another incentive paid, is payment of mobile bills which also vary from companys hierarchy. Most of the connections are post paid so company gives benefit by paying their bills & in this regard both Haidri Beverages (Pvt) Ltd. & Telenor signed an agreement. A limitation of payment is fixed according to designation, which company has to pay but in case of exceeding limitation employer or employee has to pay from his own pocket for that extra expense.
4. Laptop:
All the unit managers are provided incentive of laptop on basis of their performance. This incentive is just given to unit managers for achieving target or exceeding target. Facility of laptop is not provided to ADR (Area Development Representative) & TDM (Territory Development Manager).
5. Uniform:
When any person is employed in any unit of Haidri Beverages (Pvt) Ltd. in any area two uniforms which includes two shirts & trousers, are provided. There is no specification whether he is employee or employer. Such an incentive is provided every year to all of them.
6. Convince:
Company provide another facility of convince to its employees & employers. In this regard ADR (Area Development Representative) & TDM (Territory Development Manager) are facilitated. On the basis of designation ADR is facilitated with motorcycle & TDM is facilitated with a car.
7. Petrol Ceiling:
Company facilitates its managers & representatives with petrol ceiling. This incentive is provided according to companys hierarchy on monthly basis. ADR, TDM & UM (Unit Manager) are facilitated with such an incentive.
8.
Bonuses:
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All the employees & employers are provided two bonuses every year. Such bonuses are provided on Eid-ul-Fitar & Eid-ul-Azha. Bonus is not given on basis of performance. Just like the incentive of uniform it is given to all the people working for achieving target set by the company. Bonus contains extra basic salary for that particular month. So two basic salaries on Eid days are given every year.
9. Annual Leave:
To all the employees & employers in the Haidri Beverages (Pvt) Ltd. are facilitated with twenty leaves annually. They utilize such a benefit in any causality or emergency. Such a benefit leads them to stay in company over a period of time.
11. Insurance:
Haidri Beverages (Pvt) Ltd. provides insurance facility to its employees & employers as well. Amount of insurance is two hundred thousand. Every month fifty rupees are collected from them from salary.
12. Sampling:
As the name of company indicates that it is the business of beverages therefore all the workers of company are given twelve bottles of 1.5 liters per month.
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In Haidri Beverages (Pvt) Ltd. promotion is done on the basis of qualification & experience like to be a unit manager criteria is specified as Ten years experience. Master degree minimum qualification. Age must be more than forty years.
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Organizations must continue to live with those who are bypassed for promotion. Research indicates that these individuals often feel they have not been treated fairly, with the result that their commitment decreases & their absenteeism increases. Conversely, promoted individuals tend to increase their commitment. Minimizing defensive behavior requires that the procedures used for promotion decisions be acceptable, valid & fair to the unsuccessful candidates. Further the greater merits of the promoted candidates, relative to those who were not promoted, should be emphasized.
b. Transfer:
With respect to relocation, senior management sometimes faces resistance from employees. The effect of move on family can be profound. For the employee relocation, often means increased prestige & income. However the cost of moving & the complications resulting from upsetting routines, losing friends & changing schools & jobs are borne by the family. Uprooted family members often suffer from loss of credentials as well. They do not enjoy the built-in status that awaits the transferred employee at the new job; they must start from scratch. Transferred employees who are promoted estimate that it will take them a short time to get up to speed in their new posts. However, the actual time taken to reach competency varies with 1. The degree of similarity between the old & new jobs. 2. The amount of support from peers & superiors at the new job.
c. Demotions:
Employee demotions usually involve a cut in pay, status, privilege or opportunity. They occur infrequently. Since they tend to be accompanied by problems of employee apathy, depression & inefficiency that can undermine the morale of a work group. For these reasons, many managers prefer to discharge or to move employees laterally rather than demote them. In either case careful planning, documentation & concern for the employees should precede such moves.
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Demotion can be a disciplinary action, inability of an employee to handle the requirements of a higher level job, heath problems of changing interests e.g., a desire to move from production to sales. Demotions also may result from structural changes, as one time managers are recast into project leaders, technical specialists or internal consultants by companies in the throes of reorganization. In many cases, demotion is mutually satisfactory to the organization & to the affected employees.
Separations a. Layoff:
Involuntary layoffs are never pleasant, & management policies must consider the impacts on those who leave, on those who stay, on the local community & on the company. For laid off workers, efforts should be directed toward a rapid, successful & orderly career transition. How long does it take on average to find a new job, it depends a great deal on the amount of effort put into the job search. Firm should emphasize outplacement program that help laid off employees deal with the psychological stages of career transition anger, grief, depression, family stress), assess individual strengths & weaknesses, & develop support networks.
b.
Termination:
Termination is a traumatic experience. Egos are shattered &employees may become bitter & angry. Family problems may also another factor that is added like emotional & financial strain. It is important that those who remain retain the highest level of loyalty, trust, team work, motivation& productivity possible. This doesnt just happen & unless there is good deal of face to face, candid, open communication between senior management& survivor, it probably will not happen. Layoff policies should consider the companies reputation & image within the community, in addition to the impact of the layoff on the local economy & Social service agencies. Although layoffs are intended to reduce costs, some costs may in fact increase according to the situation.
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However there may be another option of that is to initiate the program of job sharing to perform the reduced work load. While no one is laid off, everyones work week &pay are reduced. This help the company reduce labor cost. In an area experiencing high employment, it may be better to have all employees share the misery rather than to lay off selected ones. Some of the benefits of job sharing are as follows Twice as much talent & creativity is available. Benefits continue. Overtime is reduced. Workers retain a career orientation & potential for upward mobility. It eliminates the need for training a temporary employee, for example, when one employee is sick or is on vacation, because the other can take over.
Job sharing is not without its drawbacks: There is a lack of job continuity. Supervision is inconsistent. Accountability is not centered in one person. Non salary expenses do not decrease, because many benefits are a function of the employee, not the amount of pay.
c. Resignation:
In most of the organizations resignation or voluntary worker turnover, has been increasing steadily over the past 15 years, especially among blue collar & professional workers. Employees who resign from organization should avoid burning their bridges behind them by leaving their anger; instead, they should leave gracefully & responsibly, stressing their experience in the company. As well as Haidri Beverages (Pvt) Ltd. is concerned there is minimum of resignation from employees as they are provided best suitable compensations & working conditions to achieve organizational objectives & individual personal goals.
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For selected employees, early retirement is a possible alternative to being laid off. Early retirement programs take many forms, but typically they involve partial pay stretched over several years, along with extended benefits. Early retirement programs are intended to provide incentives to terminate; they are not intended to replace regular retirement benefits. Any losses in pension resulting from early retirement are usually offset by attractive incentive payments. Employees are more likely to retire to the extent that they have reached their occupational goals, that their job has undesirable characteristics, that home life is seen preferable to work life, & that there are attractive alternative activities.
A. Concept of Union:
Any combination of persons, whether temporary or permanent, primarily for the purpose of regulating the relations between the workers & employers or between workers &
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to another concept
workers or for imposing restrictive conditions on the conduct of any business According
An organization of workers acting collectively who seek to protect & promote their mutual interests through collective bargaining? From theses two concepts it is clear that there are following characteristics of unions 1. A union is an association of persons that is employees. 2. A union is not casual. Once recognized, it is relatively permanent. 3. A unions main objective is to secure economic benefits for its members. This is done through a process called collective bargaining. 4. Unions maintain harmony with employers through intelligent handling of matters. 5. A union provides check & balance on the employers & reduces the freedom of management.
B. Principles:
Most of the unions follow the underlying principles. 1. Union is strength 2. Equal pay for equal work 3. Security of employment
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Collective agreements The settling of disputes
Through this body, management & labor negotiate & enforce the establishment of welfare measures & benefit schemes. Another focus of labor management relations are health & safety regulations & programs at work.
These objectives are realized in number of ways Formulation of policies & programs to promote basic human rights, improve working & living conditions & enhance employment opportunities Creation of standards baked by the unique system to supervise & serving the guidelines to put policies in action. An extensive program of technical cooperation formulated & implemented to put the policy effectively in practice. Training, education, research & publishing activities to help all of these efforts.
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From a practical standpoint, people join unions if the benefit they derive from being a member is greater than the cost of being a member. Therefore, practical increases in wages must be greater than the amount of dues paid. Now a model has been developed according to which an individuals decision to join or avoid a union is influenced by two critical determinants.
Critical Analysis
Haidri Beverages (Pvt) Ltd. present a good example of how employment planning is handled in an organization. Effective use of job descriptions and job specifications at Haidri Beverages (Pvt) Ltd. give them a motivated and hardworking workforce that any organization would like to comprise of. The supervisors and hr working together on these particular details makes a good impact and show better results. Backups or replacements been made a specific part of their performance appraisal ensures smooth running of their business and guarantees that there will not be any haphazardness once someone has left an important position. When viewing Haidri Beverages (Pvt) Ltd. recruitment and selection processes it was noticed that there main emphasis was on selecting employees internally unless the job was very technical.
The main focus of training and development of the employees on the managerial level
in Haidri Beverages (Pvt) Ltd. is on the off the job training. In can include different courses and workshops in different leading universities of Pakistan and abroad as well. The concept of implementation of Human Resources Management and policies is not too good as compared to the theoretical concepts also your job would not be secured you must be fire at any time.
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SWOT analysis:
An analysis of the organizations strengths, weaknesses, opportunities and threats. When the analysis (both internal and external) has been completed, a SWOT profile can be generated and used as the basis of goal setting, strategy formulation, and implementation. By understanding the companys strength(S), weaknesses (W), opportunities (O) and threats (T), it helps top management further into building up their vision and mission.
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Some internal factors (for understanding strength and weaknesses) that can be (S) Strengths: Any activities the
organization does well or any unique resources that it has. (O)Opportunities: Positive trends in external environment factors. (W) Weaknesses: Activities the organization does not do well or resources it needs but does not possess. (T) Threats: Negative trends in external environmental factors.
considered are: Company culture, company image, organizational structure, key staff, access to natural resources, position on the experience curve, operational efficiency, operational capacity, brand awareness, market share, financial resources, exclusive contracts, patents and trade secrets
Some external factors (opportunities and threats) that can be considered are:
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Customers, competitors, market trends, suppliers, partners
Social changes, new technology, economic environment, political and regulatory environment.(macro-environmental variables and addressed in a SWOT analysis)
CONCLUSION
At present there is no such organization in the world that is free from problems and challenges. Every concern has to strive and struggle a lot to be more profitable and to get more competitive edge. The basic salary which is offered by Haidri Beverages (Pvt) Ltd. is very low as compared to the competitors. So due to this factor employees are not satisfied with their jobs. The company used to train the labor workforce on the actual job environment, where the workers seek guidance with the concerned supervisors and their mentors. Employees not append as per there advertisement but append at reference base only.
Recommendations
Finally, there are some suggestions for Haidri Beverages (Pvt) Limited. These suggestions are based on my experience in the Haidri Beverages (Pvt) Limited. Company can increase the basic salary of employees by decreasing incentive which is offered by the company. Due to this factor the motivation power of the employees will increase.
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They can practice to hire externally which would bring fresh blood into the organization and thus devise new strategies to expand and manage things more efficiently Keeping in mind the fluctuations in demand they could make a database of temporary employees thus they could be re-hired when they are required. In addition to evaluating the trainees, the company should also evaluate the training programs and the trainers. This is to ensure that the employees are getting the best value possible for their time and effort. The company should focus on the rights of women to a higher degree. It should make sure that all the new hiring gives equal opportunity to females in addition to males. This would ensure a better and discrimination free environment in the organization boosting self esteem of the employees working there.
REFERENCES
Malik M. Yasir Awan, HR & Admin Officer GOOGLE SEARCH ENGINE (Internet web browsers)
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INTERNET (www.pepsico.com) (www.haidribev.com) REPORTS AND NOTES (Teacher and personal notes, Experts Reports)
LIST OF ANNEXURES
Annex-A DUTY / LEAVE SHEET Date________________
Employees Information Code #______________________________ Name: ______________________________ Designation: _________________________ Department: _________________________ Tick one of these Boxes Short Leave Full Leave: Official Duty: Late Arrival:
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In case of Late Coming Date: ______________________________ Shift Time: _________________________ Time In / Time out: __________________
Leave Type
Leave Status:
Casual Leave:
Casual
Medical Leave:
Medical:
Annual Leave:
Annual:
Compensatory Leave:
Compensatory:
Reason for Leave / Late Coming / Coming / Nature of job in case of official duty
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______________________________________________________________________________________ ________________________________________________________________________________
______________
Applicant Signature
_________________ HR Manager
Supervisor name_________________________ Supervised for entire review period? _______________ Supervisors Recommendations
I rate _____s performance for this review period as: Meets Expectations or Exceeds expectations. ______________
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Does not meet expectations. Employee Name JOB FUNCTION: Percent of Time:
.
______________
Annex-C EMPLOYEE PERFORMANCE APPRAISAL FORM MERIT RATING PAGE Period covered (month/day/year): from ________ to ________ _______ Employee Name ____________ Department
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AUTHORIZED instructions)
MERIT
RATING
Date
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