Pakistan State Oil Company Limited

Human Resource Management

Submitted to:
Mam Tahira Nisar
Submitted by:
Mohsen Siraj 023
Hassam Khan 2009-018
Abdul Rehman 058

Submission Date:
January 09, 2013


Contents
Pakistan State Oil and Human Resource Management .............................................................. 5
PSO Human Resource Philosophy: ........................................................................................... 6
PSO Vision................................................................................................................................. 6
PSO Mission .............................................................................................................................. 6
Career Development .................................................................................................................. 7
Performance management .......................................................................................................... 7
RECRUITMENT AND SELECTION PROCEDURES ............................................................ 8
Recruitment and selection ...................................................................................................... 8
Eligibility Criteria .................................................................................................................. 8
SELECTION PROCEDURE ..................................................................................................... 8
General Test ........................................................................................................................... 8
Interview ................................................................................................................................ 8
Physical Test .......................................................................................................................... 8
Criminal Report ..................................................................................................................... 8
Orientation and Training ............................................................................................................ 9
TRAINING & DEVELOPMENT.............................................................................................. 9
Career Development .............................................................................................................. 9
HR Awards................................................................................................................................. 9
Guidelines for Improvement .................................................................................................... 10
Compensation in PSO .............................................................................................................. 10
Absenteeism and leave policy .................................................................................................. 11
Firing Policy............................................................................................................................. 11
Hierarchy of PSO ..................................................................................................................... 11
Bibliography ............................................................................................................................ 12











Pakistan State Oil Company Limited
SO is the market leader in Pakistans energy sector. The company has the largest
network of retail outlets to serve the automotive sector and is the major fuel supplier
to aviation, railways, power projects, armed forces and agriculture sector. PSO also
provides Jet Fuel to Refueling Facilities at 9 airports in Pakistan and ship fuel at 3 ports. The
company takes pride in continuing the tradition of excellence and is fully committed to meet
the energy needs of today and rising challenges of tomorrow. Pakistan State Oil, the largest
oil marketing company in the country, is currently engaged in storage, distribution and
marketing of various POL products. The companys current market share of 78.2% in the
black oil market and 54.3% share in the white oil market, alone speak volumes about its
success.

P


Pakistan State Oil and Human Resource Management
We are living in a global village where competition has been increasing among organization.
For success and a renowned organization, human resource management has gotten their
importance in seconds and minutes. This is a key to success for any type of organization.
Pakistan State Oil has comprehended this thing seriously and working on this. There are
different levels of management in organization and every level needs different skills and
knowledgeable persons. To overcome this, Pakistan State Oil has developed Human
Resource Management.PSO constitutes 1300 managerial employees in all over the country.
To overcome Human resource Management problems our company has to use global
practices of management development, we use their policy only for guideline. Pakistan State
Oil management development policy should be aligning with corporate policy. Corporations
should make their own management developmental policy to increase the competencies of
their employees. Management development policies, at any level, should be evaluated and
stand accountable. There should be clear understanding of policies goals, process and
evaluation.
Human resource policies are made by the PSO management to support its decisions, good
performance, employee relation and human resource planning. This has become very
necessary for a company to hire, train, fire, select and test those employees who will be cheap
and more and more productive and effective and efficient workers. Since there is a matter of
cash, so intelligence and remaining in always present is seen in employee. Employee are the
most useful and vital asset of Pakistan State Oil (PSO). They are assets of special type which
will make the organization a successful and the best among all.





PSO Human Resource Philosophy:
Consider human asset - the only asset which appreciates with the passage of time.
Right person at the right place.
Continuously re-align organization in line with contemporary business practices.
Make Organization lean and flexible to become more responsive.
Handle HR issues with all fairness and transparency.
PSO Vision
Safety is our priority and it is our belief that all accidents are preventable. Our first aim is
excellence in HSE performance in all PSO businesses.

PSO Mission
We are committed to leadership in energy market through competitive advantage
in providing the highest quality petroleum products and services to our customers, based on:
Professionally trained, high quality, motivated workforce, working as a team in an
environment, which recognizes and rewards performance, innovation and creativity,
and provides for personal growth and development.
Lowest cost operations and assured access to long-term and cost effective supply
sources.
Sustained growth in earnings in real terms.
Highly ethical, safe environment friendly and socially responsible business practices.





Career Development
Leadership skills enhancement of trained workforce takes place through challenging
assignments, empowerment, promoting employees within the organization, wherever possible
and concentrating on Fast-Track employees, to fill higher vacancies.
Employees who are willing to maximize their contributions are identified for career
development. The young and experienced professionals who can bring a significant change
are given assignments that encompass a great deal of responsibility and autonomy.
Performance management
System of authentic performance evaluation and feed back is implemented at PSO and
is an integral part of our appraisal management.
Individual performance is aligned with the business goals and company objectives.
Performancebased rewards are offered to all employees on a yearly basis.
Bell curve covers all management employees annual appraisal through a population
spread.

The method that is used to evaluate the performance of the employees is Bell Curve
Method which means the employees are credited in an organization under an assumption
that the employee performance level confirms to a normal statistical distribution.




RECRUITMENT AND SELECTION PROCEDURES
Recruitment and selection
Applications are invited on the prescribed Form available (free of cost) in PSO Recruitment
& Placement Office at Karachi and in PSO Offices at other stations and also on PSO website.
http://www.psopk.com.Vacancies are announced on all the local news paper and the PSO official
website.
Eligibility Criteria
All these positions are qualification based and anyone being a fresh graduate or having less
than 5 years of experience can apply, however these vacancies would be announced as &
when required.
Management Trainee Program (MBAs).
Trainee Engineer Program (BEs).
Associate Engineer Program (DAEs).
Chemists (MSc Chemistry/Applied Chemistry).
ACCA Trainee Program [A-levels/B.Com + CAT/ACCA part I clear (min
requirement)].
SELECTION PROCEDURE
General Test
The candidates general knowledge is tested in written and oral tests. These tests
are sometimes based on brainstorming. Now days this selection tests are administered by
NTS & Institute of business administration Karachi.
Interview
Successful candidates after passing written test are interviewed individually. The method that
is often used in interview is the panel interviewing method. Meaning there by an individual is
interviewed by a number of general managers of different departments.
Physical Test
Physical test is considered the first selection test in which the interviewer determines that
either candidate is full filling the physical requirement for the job or not.
Their skin quality, height and weight are noted in the first interview session,
Criminal Report
A report that is secretly found by the institution. The report consists of the persons police
record and involvement in other inappropriate activities. If someone found convicted, may be
neglected for the job.




Orientation and Training
The introduction that is given to the employees goes on for six months in which an employee
has to understand the rules and regulations and the fundamental requirements of the
organization. During these sessions an employee has to pass one month in headquarter. After
passing six months in orientation and training sessions an employee is send to the relative
branch of the organization.
TRAINING & DEVELOPMENT
To develop and conduct quality training as per the requirements of user departments and
regulatory authorities to maintain centralized training database of all PSO personnel for
organizing HR activity to maintain regular contact with vendors regarding new
functionalities, modifications and additions to update training programs and train the
instructors To formulate criteria which will enable the training of PSO personnel to achieve
excellence in their respective fields/functions to conduct courses, workshops, seminars,
workouts, conventions, training, particularly in this region.
Career Development
Leadership skills enhancement of trained workforce takes place through challenging
assignments, empowerment, promoting employees within the organization, wherever possible
and concentrating on Fast-Track employees, to fill higher vacancies.
Our employees who are willing to maximize their contributions are identified for career
development. The young and experienced professionals who can bring a significant change
are given assignments that encompass a great deal of responsibility and autonomy. (Pakistan
State Oil)
HR Awards
In September 2007 Engage Human Resources (consultancy, solutions and services) in
partnership with the Pakistan Society of Human Resources Management (PSHRM)


conducted a preference study interviewing 550 graduating MBA students from 8
universities, chosen from the latest Higher Education Commission ranking survey.
December 18, 2007, Karachi (PSHRM) and Engage Human Resources, announced the
results of the first Most Preferred Graduate Employer 2007 study at the ceremony held for
PSHRM Graduate Employer Awards 2007. As we create an aspiring internal credibility
along with leading HR practices delivering that promise, we standout for graduating MBA
students as the most preferred place to work. Pakistan State Oil won the Most Preferred
Local Company Award as the highest ranked Pakistani company with their perceived
attractive compensation package as the main reason for their ability to attract talent.

Guidelines for Improvement
Institute basic policies to cope with employee weaknesses and poor performance. Decide
if you'll provide training or mentoring for employees exhibiting subpar performance. Set
guidelines that outline how long it should it take an employee to improve and what steps will
be taken if the employee fails to show improvement.
Compensation in PSO
The company accommodates its employees with the handsome salary packages. Different
bonuses are given to them, in accordance with the performance of employees evaluated on
annual basis. Furthermore benefits and the other types of allowances are also allocated to
them.
Base Pay
Bonuses
Travel/Meal/Housing Allowance


BOD
CEO
Managing Director
Deputy Managing Director
Senior General Manager
General Manager
Deputy General Manager
Manager
Benefits including: dental, insurance, medical, vacation, leaves, retirement, taxes
Absenteeism and leave policy
There are 12 leaves that are allowed to employees in a year. In case of absence of an
employee for more than twelve days in a year is charged up to the decision of inquiry
committee. There may be a cut from salary due to the absenteeism. (Manager), 2013)
Firing Policy
If any employee is found in a corrupt activity or other inappropriate abuses, has to go through
an inquiry process which decides either the employee should be fired or charged.
Hierarchy of PSO




Bibliography
Mr.Majid(Retail Business Manager, (2013, January Tuesday). Leave Policy. (Mohsen
Siraj,Abdul Rehman. Hassam Khan,( Interviewer)
Pakistan State Oil. (n.d.). Retrieved from www.psopk.com