Final Project

Submitted by: Quratul Ain Hasnain Asfand yar Khan Shehryar Khan Yasir Khan Usman Ali

Submitted to: Sir Hashim

Subject; Principles of Management

Date of submission 06/06/2011

Dedication
We all dedicate this project to our Sir Hashim Khan, who gave us the opportunity to learn, it was really an experiencing project for all of us. We have experienced many things from this project. You have been a key who guided us. May you have all the happiness of the world.

Acknowledgement

Sir Fahad Hussain

History of Telecommunication in Pakistan

The history of telecommunication in the sub continent is as old as the history of our slavery. In the subcontinent before independence this sector was under the Indian post and telegraph department and developed as a successful industry. The role of telecommunication in Pakistan can be broadly divided in to four phase. Telecom sector is seeing exorbitant growth in Pakistan. The sector is said to be growing at a fast pace yearly. Mobile subscribers are more than 100 million as of Oct 2010. In fact Pakistan has the highest mobile penetration rate in the South Asian region. According to the PTA, Mobilink continues to lead the market with 31.4 million subscribers, followed byTelenor (24.01 million), Ufone (20.18 million), Warid Telecom (17.16 million) and Zong (7.78 million). All Telecom companies are now working to broaden their network in Pakistan Azad(free) Jamu and Kashmir and Northern Areas, which were normally ignored till now. Till now 5 agencies of tribal areas are covered for mobile service.

History of Mobilink
Orascom Telecom Holding S.A.E. ("Orascom Telecom") or ("OTH") was established in1998 and has grown to become amajor player in the telecommunication market in the world.OTH is considered among the largest and most diversifiednetwork operator in the Middle East, Africa and Pakistan. Mobilink GSM (PMCL), a subsidiary of Orascom Telecom, was awarded a license in July, 1992 andstarted its operations in 1994, and has become themarket leader both in terms of growth as well as having the largest customer subscriber base in, Pakistan - a base of over 24 million and growing. Mobilink provides the most extensive network coverage footprint across Pakistan through an integrated technology infrastructure in more than 5,000 cities, towns, villages, and countless remote destinations, including International Roaming in 110 countries through 300 partner operators. There are about 5000 employees currently working in Mobilink of which4500 are working on permanent basisand 500 on temporary basis, with average of more than 800 employees hired every month. Among them approximately 5% are managersand operatives are 40%, rest are either contractual or not directly related to core business. n April 2001, when the OTH (OrascomTelecom Holding) took over managementcontrol of the company, the market share wasonly40% but as of March, 2006; Mobilinkserved over

14million subscribers, representing a market share of approximately 56.2% of total mobile subscribers in Pakistan. However, during the past two years the market share of Mobilink has gone down to 41% (As of March, 2007). The head office of Mobilink is located at KULSUM Plaza, blue area, Islamabad. Its branch offices are located in Lahore, Karachi, Faisalabad, Rahim Yar Khan, Sukkur, Peshwar, Quetta, Swat, and Kohat. Moblink has three main contact centers in three regions of Pakistan. As for the customers centers there are about2000-2500 customers service centers all over Pakistan. Principal area in which Mobilink Telecommunication is working is that it provides its customers, a wide range of postpaid (Indigo) and prepaid (Jazz)solutions. Keeping in the mind their customer convenience they have also bundled mobile handsets, sold either independently or bundled in Set so Go Get Pack. Competition faced by the company is from al the operators in telecom that includes all the face GSM (Global System of mobile) operators, CDMA operators and LDI operators and land line operators. All these telecom companies Human Resource Departments are in constant need of new employees. So there is stiff competition in the telecom market for Mobilink. Comparison with competitors in the market is shown as in the table. Mobilink is using high IT based technology for operations. Mobilink uses Motorolas infrastructure mostly at radio based stations, but now it has been exceedingly using Alchatel equipment too. Switching equipment is of Siemens and Alchatel, billing system from Telesens KSCLand Ericsson, Intelligent network from Siemens, Microwave equipement DMC. The GSM(Global System of Mobile communication) band that is used by Mobilink is in900/1800 MHz.

The number of subscribes of Mobilink has been fast increasing since year 2000,the number of subscribes of Mobilink has almost doubled in the last one year from 5 million approx to 10 million approx this figure has almost increased by 50 times as it was in year 2000. This in fact is a milestone for Mobilink. Currently the company has a customer base of over 24 million and its growing.

HUMAN RESOURCE DEPARTMENT AT MOBILINK

There are about 44 HR professionals currently working at Mobilink of which 10 are managers. Mobilink has a very well defined and structured department and its various policies of keeping each employee productive part of the organization are intoned with the corporate worlds requirement. Employees in the company are largely committed to their organization andhave shown progress in the company. Employees are satisfied with the HRdepartment of Mobilink GSM Company. There are several functions performed by HR department which are given below:

6. Planning 6. Recruitment 6. Selection Formal Interview Intelligence tests 6.Research and Development 6. Training 6. Compensation 6.Occupational Health and Safety measures 6.Career Planning and Development 6.Performance Appraisal System In order to make its human resource productive and efficient, Mobilink aggressively work in developing its human resource capital through international and local trainings as well as structured employee well-being programs, making it one of the most sought after companies to work for in Pakistan. Mobilink conducts several training program in order to improve the competencies and skills of employees.

STRATEGIC HUMAN RESOURCE MANAGEMENT AT MOBILINK:

Humans are the basic tool for having competitive edge in the market for most of the organizations and Mobilink is one of these. Mobilink has one of the best HR systems in Pakistan that gives it an edge over its competitors. HR strategy refers to the specific human resource management course of actions that a company pursues to achieve its objectives. But how these strategies/policies/practices are formulated and implemented at Mobilink. There is a whole process behind this. Like most big organizations, this process is also done in accordance with companys mission. First, Strategic planners analyze what actually is he prevalent culture of the organization, what are the strengths, weaknesses ,opportunities, threats (SWOT analysis) of business and its market, and on the basis of all the above analysis, companys strategic plan is established. In the end HR strategies are formulated in accordance with this overall l business/companies strategic plans. Based on these HR strategies, HR policies and practices are also formed and implemented. Any abrupt change in the market requires the organization to follow this analysis in order to be successful. That why organizations continuously keeps on updating their strategies and policies. Whole system for development of HR strategies/policies/practices.

Policies in General: 1.WORKING HOURS:

Purpose: Hours of work are scheduled to meet the production and work requirements of the Company, and are in conformance with all applicable local laws and practices. Working Hours: The Company shall determine the hours of work: Office Hours : Monday through Friday (09:00 am. 6:00 pm.) 9 am to 8 p.m. (Shops operating on one window operation concept) Saturday: The shops timings will be determined by the Customer Service Management keeping in view the customer needs. Sixty (60) minutes meal breaks each day from Monday through Thursday. Ninety (90) minutes meal / prayer break for Friday.

Shift work :
Employees working in shifts will follow the shift roasters prepared by the line management. Exceptions: Employees may be requested to work on any of the holidays or regularly scheduled day of rest including Saturday/Sunday, if the Companys business so requires.

Breach:
Any employee not abiding by the working hours Policy will initially be counseled by his /her immediate supervisor / office manager. Any repeated act will be reported to the Human Resources in writing who will refer the discipline policy for further proceedings. 2.PROTECTION OF COMPANY ASSETS & PEOPLE POLICY: Mobilinks continued success depends on the protection as well as the development of technology. Each employee is responsible for preventing the unauthorized use or disclosure of the Companys sensitive and proprietary information. By following security policies and procedures, employees will protect themselves as well as the physical, proprietary and intellectual assets of the Company. Procedure: Employees to identify themselves to the security guards by showing Company issued Identity Cards. Employees will sign confidentiality and proprietary agreement at the time of leaving the Company stating that no information will be passed on to any other person / organization. Human Resources is responsible for signing of the agreement by the employee leaving the Company before handing over a full and final settlement cheque to the concerned employee.

3.DRESS CODE POLICY:

Purpose: Following are the main purposes for this policy. A) To provide all employees with the reasons for suitable attire, acceptability of appearance and enforcement procedures. B) For the benefit of the employee and all other employees in the working area. The employees clothing, hairstyle and jewelry shall not be of the type, which may interfere with the appropriate performance of his/her duties. C) Employees whose duties involve Customer contact must maintain a suitable appearance, as customers judge the Company not only by the quality of product and services the Company provides, but also by the appearance of the people with whom they deal.

D) Employees who deal with the general public must maintain a suitable appearance as their dress and actions reflect upon Company Corporate image.

RECRUITMENT AND SELECTION PROCESS: Mobilink Policies for Recruitment and Selection:
Policies for Recruitment and Selection as experienced at Mobilink are:

Recruitment policy Objectives: The policy is meant to ensure an effective and efficient method
of recruitment and selection. It is aimed at hiring without any discrimination based on race, color, sex, nationality, ancestry, religion or disability.

Policy guidelines:
The recruitment policy must comply with regulations set out by the Government of Pakistan. The Sources of recruitment for different job vacancies in PMCL shall include: Internal Advertisement. Databank. Advertising. Head hunters/executive search organizations. Walk in candidates. Colleges and Universities. a) External Recruitment: i. No candidate under the age of eighteen will be considered. ii. To avoid conflict of interest, hiring of close relations (brothers, sisters, spouses, first cousins, brothers/sisters in law) will not been encouraged. However candidates falling in this category who have exceptionally good credentials may be considered. Hiring supervisors will need to explain in their assessment of the candidate their qualities that justify hiring. A final decision will rest with the concerned Divisional Head who will need to ensure that there is no conflict of interest b) Internal Recruitment i. Internal candidates must be confirmed employees of Mobilink who have completed one year of service. However exceptionally good candidates may be considered. ii. Selected candidates will join the new job/position after getting clearance from existing line manage

TRAINING:
Training needs assessment Policy at Mobilink: Objective: Identifying the most appropriate solutions to performance problems Procedures: All Company Heads should differentiate between problems that require training and problems that require coaching or other solutions. Usually, only about 20% of performance problems require training solutions. The other 80% are best dealt with by looking at the quality of supervision or by factors in the work environment (rewarding good performance, punishing poor performance, and removing obstacles to good performance). Developing a Company Wide Management Training Plan Objective: Select/identify the needs, by management level, for the total Company. The Company wills also Facilitate Employees with Short

Management Courses from time to time. Procedures: The HR Department will develop the TNA according to the recommendations made by their Supervisors in the performance appraisal form. The HR Department shall coordinate all the tasks until a total Company-training plan is finalized, then follow-up with Department Heads on its implementation. The plan is the result of focusing on the individual discipline needs into one schedule designed to meet the training needs of the total Company. The trainer should be under the headcount of HR so that adequate training sessions can be planned and conducted nationwide. The training requirements of the employees will be picked from the recommendations made by their supervisors in the appraisal forms. The training requirement could also be forwarded by the supervisor if it is not mentioned in the performance appraisal.

Foreign training policy: Objective: The purpose of this policy is to enhance skills and knowledge of
Mobilink employees and build their capacities to enable them to perform their jobs more effectively and to develop them for future growth. Policy Guidelines: The Company shall pay all Training Expenses, Round Trip Airfare, living Allowance, and Local Transportation in accordance with Company regulations in this regard. Conditions for Overseas Training: Employees who are nominated for enrolment in an overseas training program should meet the following conditions: Should meet the prerequisites of the intended training. Being knowledgeable of the language in which the training program will be conducted. In case an expatriate / contract employee needs to attend a foreign training, he/ she has to be on a one year and above contract, with a duration of 6months of service to perform at PMCL Mobilink from the date of starting the training. If the expatriate / contract employee being sent on the training does not meet the above conditions, a waiver could be made on the recommendation of the concerned Chief/ VP and the approval of the president/ CEO. Surety for Mutual Benefit: To ensure that both, PMCL Mobilink and the employees mutually benefit from overseas professional training provided to employees. The employees returning from training should continue to be in the employment of the Company for following minimum periods as mentioned in Para (4.2) depending on the training days. Failing of which employees will be liable to pay the PMCL - MOBILINK expenses incurred byt he PMCL - MOBILINK on their training including travel and accommodation expenses. In the event of an employee wishing to leave the employment of the Company he/she will reimburse the Company the expenses incurred by thePMCL- Mobilink on providing the training. PMCL- Mobilink will make appropriate deductions from the employee final settlement including Provident fund. And remaining amount will be deposited by the employee in the Company account. In case an employee doesnt pay back the due amount to the company, HR will issue notice to the concerned employee mentioning that he/she has topay back the amount to the company, otherwise, company reserve the right to take legal action. If the employee is terminated for cause he will be absolved from any deductions/ recovery of Training cost. Employee Surety Period and Cost Number of Days of Overseas Training

Duration of Surety Cost to be recovered Up to 6 Days 6 Months Full Between7and 10 Days1 Year Full Between 11 and 15 Days1 Year Prorated after One Year More than 15 Days 2 Years Prorated after One Year Cost of Training will be determined by finance in consultation with Technical for Technical Training and Human Resources. Training: Practices at Mobilink On contacting personnel in the Mobilink office it was found out that Mobilink mostly trains its employees by On Job Training which means that the employees are trained as they perform their jobs and along with their duties. The manager or supervisor guides them how to perform their jobs and guides them to efficiency in the work. Internees are trained in various departments and then mostly hired by Mobilink itself and their training is basically teaching them the ropes and the basics of everything.

Types of Training in Mobilink:

On a general basis the training done in Mobilink can be divided into two categories: Soft skill training Technical Training Soft Skill Training: Helping your employees develop a stronger base of knowledge on topics that affect their personal lives can make them more productive and less distracted in their jobs. Soft skill development courses in areas like personal finance and childcare can help your team better manage the most important areas in their personal lives. This may include the following things for e.g. Conflict management training People management training Communication skills Anger management Time management training Teamwork training etc Technical Training: This type of training has direct effect on the job of the employee. Specific skills are focused and developed accordingly. The engineering trainings of Mobilink are also included with this along with Customer Services training Sales related training Marketing and technology training etc. All these types of training are done to enhance the employees job skills at the level he is at.

Mobilinks Training programs

Mobilink with its large workforce invests aggressively in developing its human capital through international and local trainings as well as a structured employee well-being programs, making it one of the most sought after companies to work for in Pakistan. Graham Burke, the President PMCL Mobilink, said Mobilink will provide proper training program to its employees in order to make them more aware of their responsibilities Mobilink, the Pakistan based subsidiary of the global telecommunication giant, Orascom Group, in a strategic move, has outsourced its leadership training and development of about 100, of its

senior and fast track managers and supervisors, to the region's well established consultancy firm, Global Management Consultants, who will be responsible for the design and delivery of over 5 months training initiative. Their training methods maintain interest throughout; put emphasis on the practical aspects; and ensure that delegates understand the knowledge gained so that they can immediately and effectively apply it within their own organizations. All training sessions are delivered in a highly participative style, introducing topics in a challenging and thought-provoking way. Practical examples, exercises and case studies are used to illustrate the topics covered and show delegates how they can relate the techniques introduced during the course to their own work situation. Programs can be tailored to meet the required goal. The various training programs of Mobilink focus on specific skills for. the annual or monthly reports of performance are evaluated by the manager and the weak areas are considered and the respective training is taken up. Mobilink trains its employees in the following fields as well:

1.Customer service training:

The employees are trained in communication skills, negotiating skills in order to serve the customers whether in the call centre or customers services centre. They are taught on how to talk appropriately to the customers, how to recognize their problems, solve their problems and how to deal with them.

2.Supervisors training:
Leading a department or an organization is a very difficult job and the person at this level must be properly skilled. The supervisor training program helps those people who are at this post to develop the right skills required and asked for at this job.

3.Leadership workshop:
Becoming a Leader Good leaders are made, not necessarily born. You can become an effective leader by developing yourself through a never-ending process of self-study, education ,training & experience. To inspire your people to higher levels of teamwork there are certain things you must be, know & do. Leadership makes people want to achieve challenging goals & objectives. This workshop is for managers who have the desire to make things happen & have a team who need to be inspired into action! Mobilink offers this workshop for is specific employees.

4.Conflict management training:

We are living in times where chaos and conflict are on the rise. Lack of conflict can be as damaging for any organization, as having conflicts that go out of hand. In fact conflict is the very source of creativity, without which innovation is not possible. Usually these conflicts are resolved, but occasionally they grow to hinder one's job performance. This program is designed to increase a supervisor's ability to prevent conflicts from reaching a crisis stage and how to resolve it when a necessary conflict occurs. A framework for tackling conflict is also provided that helps managers who find dealing with conflict an unpleasant experience.

5.Development of oratory skills:

With fit, healthy and active minds perform faster and more accurately with minimal stress. How people speak indicates their state of mind. Nervousness in making public appearance is often the result of not knowing WHAT to do and how to do it! Learn to control your nervousness and feel

the confident -professional image many seek! This workshop will provide hands-on approach to polish oratory skills, use projected media, and present like a "pro." 6.Motivating, Coaching & Delegating Any approach to develop management skills must involve a heavy dose of practical application .At the same time, practice without the necessary conceptual knowledge is sterile and ignores the need for flexibility and adaptation to different situations. They will also discover ways to manage performance of individuals and teams in order to achieve departmental/ organizational goals and objectives. All these program are aiming at developing specific skills in specific people for specified purposes.

7.Leading:
It is believed that leadership skills and business goals are achieved through the training and development of the employees. To make it more motivating the participants of the training program a reward a course completion certificate at a graduation ceremony which is held after the completion of the training program.

Critical Review on Training at Mobilink:

A lot of effort is put by Mobilink in Training its human resource. Organization has clear policies regarding training needs assessment and procedure for each type of training offered. Training is compulsory for some people in the organization; however, it is on offer for everyone working at Mobilink. A person in the finance department is always welcomed by HR department for Customer service training. A number of training methods are practiced at Mobilink like conflict management training, supervisory skills training etc. with the help of best in the business. Saying all that training basically seems to be for the managers and supervisors but not for the lower level employees. There seems to be a need to increase training efforts focused to this group.

CAREER PLANNING & DEVELOPMENT

Mobilink faces much competition in the telecom industry so now they are focusing on career Management of their employees in which they enable the employees to better understand and develop their career skills and interests and to use these skills and interests most effectively both within the company and after they leave the firm. Career planning is the deliberate process through which someone becomes aware of personal skills, interests knowledge, motivation, and other characteristics; acquires information about other opportunities and choices; identifies career related goals and establish section plans to attain specific goals. Career development is the lifelong series of activities (such as workshops) that contributes to a person career exploration, establishment, and success ad fulfillment. Mobilink gives promotion of their employees on the performance basis. The Mobilink HR department develops the employees career development plans in which the HR department predicts the next logical step for their employees within five years.

Critical Review:

Importance of Career planning in todays competitive world is as important as any other HR function. Retaining your valuable Human resource today is one of the biggest challenges that organizations are facing. So, HR needs to come up with new strategies. Career planning and development is one of the basic tool and strategy organizations are using for retaining their employees. This function actually makes employees feel that they are important to the organization and Mobilink wants them to be at the top in their careers. However, at Mobilink this function is not fully performed or we should say this function is not performed satisfactorily. There are some policies on these but those are not recognized that well. One point of policy is found along with the compensation other with the recruitment. There should have been separate head for these policies. As far as the practices are concerned, all the employees were reluctant to talk about this during our interview. However, what we analyzed is that career development is practiced but not that openly. Specially, incase if some employee is considering of joining the competitors firm. If such is a case then organization has discipline policies for that even.

OCCUPATIONAL HEALTH AND SAFETY MEASURES:

There is no need for such measures at Mobilink as maximum jobs do not expose you to the health hazards and are not such that require safety measures. However, there is a tendency of being safe in every human and that shows when you visit some Mobilink officer to meet someone of a high designation level. You need to fulfill various safety measures. HOW WELL THESE POLICIES AND PRACTICES ARE ACHIEVING THE ORGANIZATIONAL GOALS? Well the answer is simple. Policies are going pretty well. Numerically, I can say more than 90%. How? Well because these are being practices in the same manner as was expected during the policy formulation time. Moreover, see the results. Mobilink is considered to have the best HR in Pakistan and they have retained this edge. So, its so obvious that all overall policies are good and they are also being followed exactly the same way as required to achieve organizational goals.

CONCLUSION
To conclude Mobilink has a strong HR system. That is the reason we didnt found much discrepancies in what management says, what policies state and what employees say. 90 % of the times they were same. There are some minor discrepancies but they are adjustable with little effort.

RECOMMENDATIONS
Mobilink has a strong HR system. That is the reason we didnt found much discrepancies in what management says, what policies state and what employees say. 90 % of the times they were same. However, there were some discrepancies that need attention and their adjustment can make this HR system best in Pakistan. Following are some of the recommendations based on those discrepancies: 1.Human resource department is not fully authorized to take all the decisions. Though HR department claims to have the overall management of the company but that actually is not the

case. There are many HR decisions that are taken by the other department. So, there should be a clear delegation of authority regarding decision making for HR department. 2.One thing we observed during our project was that employees were not aware of the in depth policies. The main reason that we have understood for this is their lack of knowledge about policies formulation. Employees are not encouraged to give suggestions in policy formulation. So, our suggestion is that employees should be consulted while policy formulation stage. 3.Benefits and rewards are too complicated for anyone to understand. Though there are many of these but most of employees even have not information as to for what benefit they can go for. So, Mobilink should simplify its reward system for its employees to understand well. 4.The decision making is delegated to managers with goals set for each term promotion, hiring and firing is virtually in the immediate bosss hand. This practice can cause disharmony among employees for power. Team based structure (like the one at PMO) should be preferred in all departments 5.Mobilink pursues Zero-tolerance policy for disciplinary actions. This is good but not in all cases. Mobilink should look towards its discipline polices and try to be a bit more lenient. 6.Mobilink HR lacks in terms of career planning and development. This important function of HR does not have recognition in Policies statement. Mobilink should have a look at this 7.Mobilink uses only policy specified sources for recruitment which are only 5. In this way it can loose some potential applicants that can be asset to organizations, just because they were not well communicated. So, Mobilink should increase its recruitment sources. During an HR specialist interview, we posed the same question and the answer was thats what policy says; on ground level we do use as many sources as possible. If this is the case then our recommendation is that Mobilink should adjust its policy accordingly.