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4.2 HRM Operations

At a general level, it is important to analyze training needs against the backdrop of

organizational objectives and strategies. Unless you do this, you may waste time and
money on training programs that do not advance the cause of the company People may be
trained in skills they already possess the training budget may be squandered on rest and
recuperation sessions, where employees are entertained but learn little in the way
required job skills or job knowledge, or the budget may be spent on glittering hardware
that meets the training director’s needs but not the organization’s.

It is also essential to analyze the organization’s external environment an internal climate.

Trends in the strategic priorities of a business, judicial decisions, civil rights laws, union
activity, productivity, accidents, turnover, absenteeism, and on the job employee behavior
will provide relevant information at this level.

However, assessing the needs for training does not end here. It is important to analyze
needs regularly and at all three levels in order to evaluate the results of training and to
assess what training is needed in the future.

At the organizational level, senior managers who set the

organization’s goals should analyze needs.

At the operations level, the managers who specify how the
organization’s goals are going to be achieved should analyze needs.

At the individual level, the managers and workers who do the work to achieve those goals
should analyze needs, keeping in mind that performance is a function both of ability and

4.2.1 Human Resource Planning

Human resource planning is all about measuring the organization need to identify the
numbers of employees and skills required to do those jobs. Further, an understanding of
available competencies is necessary to allow the organization to plan for the changes to
new jobs required by corporate goals.

At sitara, major changes according to economic and social environments are required
purchasing new and additional office equipment to enhance efficiency e.g., computer
hardware or software, coping with the recall of a defective product and dealing with the
need for a new design e.g. new automatic rotary machine.
This suggests several specific, interrelated activities that together constitute an human
resource planning system.

They include:

A talent inventory to assess current human resources and to analyze

how they are currently being used.

A human resource forecast to predict future HR requirements.

Action plans to enlarge the pool of people qualified to fill the projected
vacancies through such actions as recruitment, selection, training,
placement, transfer, promotion, development and compensation.

Control and evaluation to provide feedback on the overall effectiveness

of the human resource planning system by monitoring of HR objective.

5. Structure of the HRM Department:


5.1 Number of Employees working in HRM Department

Now I’ll discuss the personnel management of Sitara Textile Industries Limited under
various steps of Human Resources Management Sitara Textile also knows this fact and
has personnel department right at the entrance of main gate of mill. Personnel
Department of Sitara Textile can be critically analyzed on the basis of various steps of
human resources management process.

First I would like to describe the ware bouts of department. Department is situated in an
old building which was constructed at the time of establishment of Sitara Textile and
department was named as labor department. Recently three or four years ago name of
department was changed to personnel department. There are only 5 personnel who
actually handle the department’s affairs and about 1500 employees are working. There is
great work that is to be done by 5 persons and they feel burden on themselves.

6. Functions of the HRM Department:


6.1 Major Functions

Every organization whether it is a multinational conglomerates a small business, a
religious institution or a government agency depends on people. Appropriate candidates
for each job from chairman of the board to night shift janitor must be located either inside
or outside the organization and they must be convinced by pay benefits and working
conditions to take and keep the job. They must also be trained and motivated. Handling
these functions is part of human resources management’s job.

they feel burden on themselves.. There are six steps.

1. Human resources planning

2. Staffing

3. Training & Development

4. Compensation Management

5. Employee Evaluation

6. Employee Movement and Replacement

6.2 Supports to Other Departments

Through job rotation policies and by extensive interaction with managers in all other
functional areas. Unless these executives are perceived as equals by their corporate peers,
their ability to make significant contributions to the firm will be diminished.

Require the senior HR executive to report directly to the CEO. At present this occurs in
about 70 percent of companies nationwide. Consider whether any corporate resource is
more important than its people. Ensure that the top HR officer is a key player in the
development and implementation of business plans—providing early warning regarding
their acceptance and serving as the CEO’s window on the organization and as a sounding

Representatives from HR and line managers from the business unit generate key business
strategies for the coming year. To do so, they identify major external and internal factors
that may have an impact on the future of the business, together with future customer
requirements. The result? A business unit annual plan that outlines

Major driving forces in the business unit.

Major business initiatives in the business unit.
Primary directions.
Major priorities for key executives of the business unit.
Managers who have used the strategic blueprint process emphasize that its single greatest
benefit is this: if forces HR managers to concentrate solely an critical, value adding
activities. Such an approach is sorely needed, as a recent American Management survey
of 1500 HR managers found. When asked how well HR strategy is linked to business
results, 6 out of 10 respondents said it was either not effective or just somewhat effective.
Only 3 percent characterized the linkage as “world class.”

7. Critical Analyses:

7.1 Requirement Analysis

Job analysis also provides the basis for developing job specifications. Job specifications
are a statement of the human qualifications required to perform the job. Among the
qualifications which are often included in job specifications are the following.

Educational standards which may spell out, for example, degrees attained, such as a B.S.
in engineering.

Experience requirements, such as two years of general clerical experience for the
position. This job requires directing the work of from two to ten clerical employee, and
therefore would normally require some prior experience in actually performing clerical

Skills requirements, such as typing 80 words per minute, or being able to take dictation
by an executive etc.

Requirement analysis has performed thoroughly at Sitara Textile for the purpose of job
analysis by HR department.

7.2 Data Gathering

There are four basic technique generally used for gathering about different jobs.
Interviews in some cases, job analysts may interview the employee
who is performing the job, the supervisor, or both. This technique may be
time consuming, and the danger exists that employees may exaggerate the
importance of their jobs. At Sitara Textile interviews are conducted for
certain types of investigations in cases of breakage of rules and
regulations. Interviews are also conducted for search of a new candidate
but these interviews are just mere formality rather than having
professional approach.

Observation A second approach to information gathering in job

analysis is having the analyst actually observe the individuals performing
a job and record observations while doing so. In some instances this
method is very useful, but under certain conditions it becomes more
difficult if not impossible. At Sitara Textile this technique is implemented
in some cases, observations have done for performance judgment and
competency of work force.

Questionnaires Probably the least costly method of collecting job

analysis data is by using questionnaires. Well designed questionnaires
have been claimed to be “the most efficient way to collect a wide array of
job data and information in a short time. However, there is the danger that
a responder will not complete the questionnaires, complete it inaccurately,
or take an excessively long time to return it Sitara Textile usually does not
use this sort of technique to collect the data.

Diaries or Logs A fourth approach is to utilize diaries or logs in

which employees record their daily activities and tasks. In addition, those
activities performed at infrequent intervals must also be noted. Because of
the difficulties connected with this procedure, portable tape recorders may
be utilized to assist in maintaining a record of such activities.

HRM department has not any systematic procedure for using the diaries or
logs for the purpose of data gathering.

7.3 System Design

When choosing a system, always remember that the selection is not expected to last
forever. That thought should provide a glimmer of hope and some optimism, too. The
selection is important and should be taken with great care. At the same time, you should
acknowledge that if something better comes along or if circumstances change, you might
have made different choice.

Develop detailed project plan

Develop user groups
Purchase hardware
Develop independent focused computer applications.
Implement independent applications as ready
Modify in house forms
Modify/customize initial systems
Establish procedure
Convert data Train HRIS staff
During my internship at Sitara Textile, I found that HR department uses to develop
various user groups for example there is separate software running for the work force of
processing department and similarly for stitching department. Oracle software’s are in
use for the employee’s pay roll system and pay breakup, all the programming has been
done by IT department. In pay roll system there is a employee form where the data has
recorded and pay break up system is also the part of these pay roll forms. There exists
auto generation system at Sitara Textile, employees attendance is being checked through
hand scanning recently changed from old procedure of card scanning.

7.4 Implementation

Following are the points which theoretically I read during course of my study

Implement HR core
Train other HR users
Make system available to HR functional specialists
Refine HR core
Establish mainframe micro link
Conduct field analysis
Develop procedures for distributed processing
Prepare technical documentation
Develop/work on other modules
Test system and user acceptance
Implement additional modules
8.Short-falls/Weaknesses of the HRM Department:
8.1 Planning
At Sitara Textile I think very small importance is given to personnel as far as planning is
concerned. Upper level management like CEO and Director give low attention to this
department. Personal Department does not search for and does not know whether there is
need of new employee at same job or not. They only know who is going out and there is a
vacancy at the place of out going employee. I have examples for such employees who are
doing work of two or three men. There should be better planning for that in order to
achieve organizational goal. If the goal is to minimize the expenses it is not proper way to
control and is not legally and ethical acceptable.

8.2 Recruitment

At Sitara Textile recruitment is done internally as well externally. Recruiting is to attract

qualified people to apply for positions with an organization. Sitara Textile do not
advertise their job in newspaper but let the people be informed by existing employees.

Most of new employees are hired on reference basis. There are various authorities to hire
the people for various positions. If position of job is that employee would be paid
Rs.4,000/- monthly, personnel manager has authority to hire this employee. The finance
manager hires employees having salaries below Rs.7, 000/- monthly. And job of value
higher than Rs. 7,000/- per month is up to CEO or Director.

8.3 Training & Development

At Sitara Textile every new employee trains himself at his own because training is not
done or given properly by the organization. Employee’s new colleagues teach him
manners of his job. Sitara Textile does appoint trainee employees who are trained by the
existing employees and these trainees are sometime hired for actual jobs. These hired
trainees are beneficial for Sitara Textile because they are already trained and understand
their jobs. If there is new employee hired who was not trainee at Sitara Textile suffers
because of that Sitara Textile do not have proper training program.

8.4 Compensation Plans

As Sitara Textile is an industry of conservative type therefore compensation and reward

system is not very much impressive. Compensation level of Sitara Textile is low that is
way qualified and talented people hesitating to join Sitara Textile. There are low basic
pays offered. One good thing is that including allowances, pays become double of the
basic. But gross pay remains at the low level as compared to the other industries. All the
textile industries in Faisalabad have low level of compensation except few, so as Sitara
Textile. Various allowances are given to employees like medical allowances, attendance
allowances and etc. Attendance allowances are only for those employees who are taking
less than Rs. 5,000/- gross.

As compensation level is low therefore employees are not very much motivated.
Motivation level and morale of employees are low which affects the periodicity of the
organization. It is fact that Sitara Textile is well reputed organization and covering
productivity requirement but if morale and motivation levels are brought high the
productivity could increase. Anyhow Pakistani work force are scared and compelled to
take whatever any body gives because of unemployment. Some think is better than

8.5 Evaluation

Sitara Textile performance of the employees is evaluated on the basis of what has been
expected from them. The upper level management evaluates performance. Upper level
management sees how an employee is performing on his assigned position. It is done
through observing and comparing the productivity of the organization with the expected
productivity. The results of evaluation are used in movement of employee inside the
organization or outside the organization.

8.6 Movement and Replacement

At Sitara Textile movement is of three types one is promotion 2nd is voluntary severance and last is
termination. In case of good performance promotion or increment is given to the employee and is case of mistake or misbehave only one way that is
termination. Sitara Textile do not care employee turnover or things like that, they just replace that employee. In this way movement of employees takes
place at Sitara Textile.

This is all about the short-falls and weaknesses of HRM department of Sitara Textile. Despite the fact that department and personnel management is not
very good Sitara Textile has great productivity capacity. Emergence of all other industries in Sitara group of industries is example of excellent of Sitara

9. Conclusions:

All the sub departments of processing department like bleaching, dyeing, printing and finishing are working under
laboratory instructions so laboratory is playing role of executive in quality control.

All the schedules of bleaching, dyeing printing and finishing are prepared by the laboratory instead of related management
or HR department.

There is lack of human resource planning, lack of recruiting activities lack of job analysis, compensation and reward
system is not very much attractive and employees are not well motivated in Sitara Textile.

One good thing of this department is that the department let the employees follow the rules and regulations set by the
organization strictly. Attendance is strictly checked and leaves as well. So there are good and bad both present in the human
resource department of Sitara Textile.
HRM department is not established and not considered to be very much important. Low attention is paid to this
department by upper level management.

There is lack of human resources planning, lack of recruiting activities and lack of job analysis.

Compensation and reward system is not very much attractive and employees are not well motivated in Sitara Textile.

10. Recommendations for improvement:

Organizations big or small profit or unprofitable have problems and there are always chances of improvements. This is also the condition for Sitara
Textile. As problems and difficulties have been identified, now here are some suggestions that may help the organization to improve. This is also the
condition for Sitara Textile. As problems and difficulties have been identified, now here are some suggestions that may help the organization to improve.

In processing department there is a need of skilled workers. There are certain departments of processing in which
employees have been working since long but their efficiency is not improved and unsatisfactory results come out sometimes.
The skilled labor will not only improve the efficiency but also will improve effectiveness. There should be chances given to
skilled workers to enter the organization.

There should be female artists and designers in design department as females have naturally more esthetical qualities than
males. They will really improve the quality of designs and will introduce more innovative design.

Expanding product lines that will give more variety to people of country could extend local marketing and ultimately sales
would be increased. There should be more staff in local marketing department to enhance the sales figure and to capture wide
area of local market.

There is need of better working condition in personnel department. Employees of this department are working in very
poor condition, chair are broken, air conditioning facilities are not properly in some department like HRM department. That is
why morale of employees working in department is low and they are not motivated for doing jobs. This area should carefully be
examined and solved.

There is need to increase the staff in this department only three or four persons are working with all the affairs regarding
let the employees abide by the rules and regulations, recruiting, selecting and other activities. This area should carefully be
handled to attract skilled employees and ultimately to enhance efficiency and effectiveness.

Job analysis should be done to know what are the jobs needed in the organization. I know some persons who are doing the
job of two or three persons.
Compensation and reward system should be brought at higher level in order to let the employees be motivated and happy.

There should be more fringe benefits for the employees taking into consideration there devotion skill and experience. This
higher level would make the employees more efficient and effective.

There should be little compensation for trainees as well as they can fulfill their day to day traveling and food expenses. By
doing this trainees will show more interest, more devotion, more potentials and will work with full mental and physical efforts.

The first aid and other medical facilities should be provided to the employees with in the mill area. There is continuous
working in the mill and every time there are chances of any accident or unpleasant incident. So in order to handle this type of
situation the first aid dispensary should be there in the mill area.


I collect the all information about the Sitara Textile Industries Limited (STIL) for making internship report. The references & Source of information are as

Mr. Muhammad Awais Director Export Marketing

Mr. Muhammad Hafeez G.M Banking & Finance

Mr. Muhammad Razzaq Director Finance

Mr. Muhammad Yaseen Senior Export Manager

Mr. Ashfaq Ahmad Senior Export Manager

Mr. Shahid Mahmood Deputy Export Manager

Mr. Abul-Qayyum Deputy Export Manager

Mr. Waseem Ahmad Assistant Export Manager

Mr. Muhammad Saleem Ch. HR& Admin Manager

Mr. Bashir Ahmad Banking & documentation Manager

Mr. Muhammad Khuram Export Documentation Manager

Mr. Huammad Ahmad Account & Finance Manager

Mr. Muhammad Zahid Deputy Accounts Manager

Mr. Muhammad Amjad Assistant Accounts Manager