Adam Jee Report Final

8/6/2019 Adam Jee Report Final

http://slidepdf.com/reader/full/adam-jee-report-final 1/33

TABLE OF CONTENTSTABLE OF CONTENTS

EXECUTIVE SUMMARY.....................................................................................................................2

COMPANY INTRODUCTION..............................................................................................................3

1.1 VISION...............................................................................................................................................5

1.2 CORE VALUES.................................................................................................................................... 5

...................................................................................................................................................................6

1.3 DEFINITION.........................................................................................................................................6

1.4 MOTIVATION PROCESS..........................................................................................................................7

1.5 EMPLOYEE MOTIVATION AT WORKPLACE................................................................................................7

MOTIVATIONAL THEORIES – ADOPTED AT ADAMJEE INSURANCE......................... ........8

1.6 ALDERFER ’S ERG THEORY..................................................................................................................8

1.6.1 Alderfer’s ERG Theory AT ADAMJEE INSURANCE .................................................. ........ ..91.6.2 Relatedness ............................................................................................................................10

1.6.3 Growth .................................................................................................................. ........ ........11

1.7 MCCLELLAND’S THEORY OF NEEDS.................................................................................................... 11

1.7.1 McClelland’s Theory of Needs AT ADAMJEE INSURANCE ...............................................12

1.7.2 Need for Power ............................................................................................................... ......12

1.8 EQUITY THEORY ...............................................................................................................................13

1.8.1 Theory Overview ...................................................................................................................13

1.8.2 Equity Theory AT ADAMJEE INSURANCE .........................................................................15

1.9 EXPECTANCY THEORY........................................................................................................................16

1.9.1 Theory Overview: ..................................................................................................................16 1.9.2 Expectancy Theory AT ADAMJEE INSURANCE .................................................................17

OTHER MOTIVATIONAL FACTORS AT ADAMJEE INSURANCE..................................... ....18

1.10 EMPLOYEE APPRAISAL .....................................................................................................................18

1.11 I NTRINSIC AWARDS AT ADAMJEE INSURANCE .........................................................................20

1.11.1 Employee Involvement AT ADAMJEE INSURANCE .............................................. ......... ..20

1.12 SKILL-BASED PAY PLANS................................................................................................................. 21

1.12.1 Retirement Plans .................................................................................................................21

1.12.2 Health Insurance .................................................................................................................22

1.13 DE-MOTIVATED EMPLOYEES..............................................................................................................22

1.13.1 Counseling ................................................................................................................. ........ .221.13.2 Career Development ........................................................................................................ ...23

SURVEY DETAILS...............................................................................................................................24

1.14 JOB SATISFACTION...........................................................................................................................24

1.15 WORK E NVIRONMENT...................................................................................................................... 261.16 EMPLOYEE EMPOWERMENT............................................................................................................... 27

1.17 PERFORMANCE APPRAISAL SATISFACTION............................................................................................29

1.18 FLEXIBLE BENEFITS......................................................................................................................... 30

CONCLUSION......................................................................................................................................32

RECOMMENDATION.........................................................................................................................32



ADAMJEE INSURANCE

EXECUTIVE SUMMARY EXECUTIVE SUMMARY

The purpose of this study is to determine what are the motivational factors

that Adamjee INSURANCE use to motivates its employees to work in different

departments. We have taking five departments: Marketing department,

Quality Assurance, Finance department, HR department and Health

Department. As around 300 people work in Adamjee Insurance and to

motivate them Adamjee Insurance uses different motivational theories

approach which may include Alderfer’s ERG Theory, McClelland’s Theory of

Needs, Equity Theory, and Expectancy Theory.

Following are the motivational factors that are used by the departments

continuously to motivate employees.

• Employee Appraisal

• Intrinsic Awards

• Employee Involvement

•

Skill-based Pay Plans• Flexible Benefits

• Benefits program

• Training provision

• Time off and time out

• Our diverse global community

• Sports and social activities

• Listening to our employees

After the analysis of complete survey we can conclude that employees of

ADAMJEE INSURANCE enjoys different attributes of Motivation like they

have Job Satisfaction as they believe they have personal and professional

growth opportunities, they feel they have empowerment. They have very

skillful, high-quality and superior working environment. They believe that

their performance is appreciated will result in reward as ADAMJEE

INSURANCE is having EDR system. The one thing that may be a cause of de-motivation is ADAMJEE INSURANCE does not offer tailored benefits.

2



ADAMJEE INSURANCE

COMPANY INTRODUCTIONCOMPANY INTRODUCTION

Introduction

Adamjee Insurance Company Limited (AICL) was incorporated as a publiclimited company on September 28, 1960 and is listed on Karachi andLahore stock exchanges of the country. The company is also registered

with the Central Depository Company of Pakistan Limited (CDC). AICL isinvolved in General Insurance business.

The company started with a paid up capital of Rs. 2.5 million which hasgrown phenomenally to the current paid up capital of Rs. 1.022 billion which is the highest amongst all the general insurance companies. AICLenjoys a competitive edge in the insurance industry due its strong asset

base, paid up capital, huge reserves, and balanced portfolio mix, steady growth in gross premium and continuous increase in share price at thestock market.

Diversified portfolio of business

AICL broadly is involved in underwriting the following classes of

businesses:

• Fire and Property

• Marine, Aviation and Hull

• Motor

• Miscellaneous business

Underlying these businesses a large variety of coverage is offered to the

clients to fulfill their needs. AICL believes in customer satisfaction by providing quality in service and products and maximum benefits to its

client. This is the reason why the company has a diversified portfolio of

clients belonging to all categories. Most of the banks are insured by the

company. AICL insures petrochemical and complex industrial risks of very

high value. The company has a major market share of engineering

business in Pakistan. It provides Insurance protection to most of the

private sector telecommunication industries. The company insures most

of the textile mills, sugar mills and cement factories of the country. AICL

pioneered the coverage of energy risks in Pakistan. Foreign concerns

3



ADAMJEE INSURANCE

entering Pakistan to execute construction, erection or infrastructure

development projects are insured by AICL. The company is the principalinsurer in Pakistan for Kidnap & Ransom, Professional Indemnity,

Product Liability and other specialized lines.

Objectives

• Strengthen customer relationship through customer satisfaction by

providing excellent service and quality products.

• Maintain a healthy balance between Profitability and Volume and

have a balanced portfolio mix.

• Increase investment returns from its growing funds and absolute

return strategy.

• Consolidate market share through offering new products and to

focus our approach in areas where our presence is small.

• Establish modern management system and adopting latest

techniques conforming to International Standards needed for an

efficient organization.

Strategies

• To pursue strong growth

• Adopting industry's best practices and increasing economies of

scale.

• Leveraging opportunities across the industry.

• Development of Human Resource through training and exposure to

modern technologies and management techniques.

• Expansion of business and improving customer relationship

management through wide network of branches locally and

internationally.

• Development in Information Technology to have an effective

Management Information System.

4



ADAMJEE INSURANCE

• Pursue best Reinsurance arrangements

• Establish effective Risk Management System.

1.1 Vision

“Our Will is to EXPLORE, INNOVATE and DIFFERENTIATE.

Our passion is to provide leadership to the insurance industry”

1.2 Core Values

Corporate social Responsibility

Our corporate responsibility focuses on compliance, ethics and corporate

citizenship including overall sustainability. We have worked towards the

advancement in these areas through enhanced communications, training and

other initiatives.

Compliance and Ethics With regulation in most countries becoming most complex and extensive,

there can be a business advantage for companies able to develop the

capabilities and structures to meet these obligations more effectively and

efficiently than their competitors. Our compliance strategy is based on this

recognition, as well as on our commitment to do what is right.

An important tool is our compliance performance standards that apply to

our business and help advance common foundations and processes. We

also work to deepen the understanding of managers and employees

5



ADAMJEE INSURANCE

regarding compliance and ethical obligations generally. These initiatives

include multimedia awareness campaigns, specific training in detailed

regulatory areas and learning initiatives related to areas such as conflicts

of interest.

Environment, Health and Safety

It is the company’s policy to conduct business operations in a manner that

protects the health and safety of all its employees and any third parties

involved in its business. During the year under review the key focus was

renovation of our branches and improvements to the light and air quality

in all our offices. Major renovation has been carried out in our branches

and head office and the company is in the process of finalizing the deal for

building its own premises both at Karachi and Lahore.

The company does not have a major direct impact on the environment, as

its business is office based. Nevertheless, the company is aware of the

importance of environmental issues and is committed to measuring andreducing those impacts, which are within controlling ability.

Committed to Excellence

We live in times of intense competition, but our key differentiating

factor is our unwavering commitment to operational and financial

discipline in producing successful results, keeping our promises and

meeting our customer needs.

1.3 DefinitionMotivation can be defined in a variety of ways, depending on whom you ask. If

you ask someone on the street, you may get a response like, “It’s what

drives us” or “Motivation is what makes us do the things we do.” As

far as a formal definition, motivation can be defined as “forces within an

6



ADAMJEE INSURANCE

individual that account for the level, direction, and persistence of

effort expended at work ,” according to Schermerhorn, et al.This is an excellent working definition for use in business. Now that we

understand what motivation is, we can look at the factors that help managers

to be able to motivate and then a look at some of the theories on motivation.

1.4 Motivation Process

Unsatisfied need => Tension => Drives => Search Behavior =>

Satisfied needs => Reduction of tension => New unsatisfied needs

1.5 Employee Motivation at Workplace

Motivation is what gets you started. Habit is what keeps you going.

- Jim Ryun

The job of a manager in the workplace is to get things done through

employees. To do this the manager should be able to motivate employees. But

that’s easier said than done! Motivation practice theories are difficult subjects,

touching on several disciplines.

Human nature can be very simple, yet very complex too. An understanding

and appreciation of this is prerequisite to effective employee motivation in the

workplace and therefore effective management and leadership.

There is an old saying:

“You can take a horse to the water but you cannot force it to drink; it will drink

if it’s thirsty”

There are many options and an uninitiated manager may not even know

where to start. As a guideline, there are broadly seven strategies for

motivation.

• Positive reinforcement / high expectations

7



ADAMJEE INSURANCE

• Effective discipline and punishment

• Treating people fairly • Satisfying employees needs

• Setting work related goals

• Restructuring jobs

• Base rewards on job performance

These are the basic strategies, though the mix in the final 'recipe' will vary

from workplace situation to situation. Essentially, there is a gap between an

individual’s actual state and some desired state and the manager tries to

reduce this gap.

ADAMJEE INSURANCE is a huge setup. To keep all of its employees

motivated is a very complex task, because of the large number of employees

and as each employee has his/her own personality. It becomes virtually

impossible to devise techniques that match the personality of all the

employees. So for this purpose they have certain procedures and policies jointly for all the employees of the organization.

MOTIVATIONAL THEORIES – ADOPTED ATMOTIVATIONAL THEORIES – ADOPTED AT ADAMJEE INSURANCE ADAMJEE INSURANCE

1.6 Alderfer’s ERG Theory

Alderfer’s theory is called the ERG theory – Existence, R elatedness, and

Growth. Alderfer’s ERG Theory can well be compared with Maslow’s

8



ADAMJEE INSURANCE

Hierarchy of Need Theory cause Alderfer’s has tried to cover all the points as

discussed by Maslow’s with a little change, which is discussed below.

Existence:Existence refers to our concern with basic material existence requirements;

what Maslow’s called physiological and safety needs.

Relatedness:Refers to the desire we have for maintaining interpersonal relationships;

similar to Maslow’s social/love need, and the external component of his

esteem need.

Growth:Refers to an intrinsic desire for personal development; the intrinsic

component of Maslow’s esteem need, and self-actualization.

1.6.1 Alderfer’s ERG Theory AT ADAMJEE INSURANCE

1.6.1.1 Existence

ADAMJEE INSURANCE gratifies the need for existence and the employees at

ADAMJEE INSURANCE think that their basic needs are being satisfied but

they don’t seem to be completely satisfied with it especially with the material

rewards that they get. For e.g.

Average Salary The employees at ADAMJEE INSURANCE are not satisfied with their salaries

and they consider it to be average. This view is strongly found in the lower

grade employees and the contractual employees. Though the upper level

employees that include the Departmental Heads, General Managers

and above seem to be much satisfied with what they are paid.

Excellent Working EnvironmentThough the average salary seems to be de-motivating factor for the low level

employees and the contractual employees but due to the excellent working

environment that ADAMJEE INSURANCE provides, these employees seem to

be seldom de-motivated. There is also a condition exists, when there had been

various employees who just wanted to work in ADAMJEE INSURANCE because of the working environment they provide regardless of what they are

9



ADAMJEE INSURANCE

paid and what job responsibilities are they given. This turned out to be one of

ADAMJEE INSURANCE’s strongest points.

Job Security Working at ADAMJEE INSURANCE seems to be a secure job as far as the

permanent and high-level employees are concerned but the contractual

employees never find it to be as secure. But due to job security being a major

issue in Pakistan today, these contractual employees were hesitant to voice

their complaints

Insurance & Medical Benefits All permanent employees at ADAMJEE INSURANCE enjoy the Life Insurance

and Medical Benefits that are entitled to them. In contrast the contractual

employees; realizing the downward trend in the economy, just want a stable

job regardless of the insurance and medical benefits provided by ADAMJEE

INSURANCE.

1.6.2 Relatedness

These needs are social in nature and they are about the interpersonalrelationships of the staff.

Good Working Relationship At ADAMJEE INSURANCE, these needs are quite well satisfied since the

employees have a good working relationship even though there is an air of

competency surrounding them.

Lunch Together

We observed that the employees of the various departments at ADAMJEEINSURANCE gather and go for lunch together. Now this help the employees

know each other very well and help them maintain a very good and positive

interpersonal relationship.

Self Differences between High Level EmployeeIt has also been noticed that few of the high level employees at organization

have some self differences that are developed due to status problems and

ownership problems which effect the process of maintaining a good

interpersonal relationship but then again the high level employees are

10



ADAMJEE INSURANCE

professionals and they tend to forget these difference when they meet each

other a global level.

1.6.3 Growth

The permanent and high-level employees are satisfied with the growth

opportunities that ADAMJEE INSURANCE provides them every now and

then.

TrainingEmployee training workshops are conducted on a need basis. Trainings are

carried out in areas such as:

• Improvement of Business Communication skills

• Usage of new Computer software

Encourages IdeasEmployees are encouraged to put forward any creative, beneficial ideas. If the

idea seems to be attractive, ADAMJEE INSURANCE gives the employees the

opportunity to implement the idea. This turns out to be a very encouraging

and motivating approach for the employees and later on the employees are

rewarded if the idea is implemented well.

Employee Job RotationFor the purpose of employee growth and increase in motivation, employees

are often rotated within or between departments.

1.7 McClelland’s Theory of Needs

In attempting to understand employee motivation, Abraham Maslow

proposed a Hierarchy of needs. David McClelland furthered this idea in his

socially acquired theory. McClelland’s experimental work identified that

motivation is present in different people in different degrees. He proposed

that these needs were socially acquired or learned. That is, the extent to which

these motivations are present varies from person to person, and depends on

the individual and his or her background.

11



ADAMJEE INSURANCE

According to David McClelland, regardless of culture or gender, people are

driven by three motives/needs:

• Achievement,

• Affiliation, and

• Power

1.7.1 McClelland’s Theory of Needs AT ADAMJEEINSURANCE

1.7.1.1 Need for Achievement

The need for achievement is characterized by the wish to take responsibility,

for finding solutions to problems, master complex tasks, set goals, and get

feedback on level of success.

The employees have a discrete and potent need to take part in decision-

making and problem solving activities. Employees are encouraged to take on

challenging and higher goals, especially those working in the Sales

Department.

The managers at ADAMJEE INSURANCE generally promote a sense of high

achievement among his/her subordinates, which makes them feel that their

contributions add to the attainment of organizational goals.

But, another ever-present aspect is that the jobs in some departments are not

necessarily very stimulating, therefore the manager has to make great efforts

to make the employees have a rewarding experience in his department.

1.7.2 Need for Power

The need for power is characterized by a drive to control and influence others,

a need to win arguments, a need to persuade and prevail. According to

McClelland the presence of these motives or drives in an individual indicates a

predisposition to behave in certain ways.

At ADAMJEE INSURANCE, from a manager’s perspective, recognizing which

need is dominant in any particular individual affects the way in which that

person can be motivated. Employees with high need for power are those who

want to be the best performers. They have the potential to successfully

perform in a commanding position if ever endowed with authority. Other

12



ADAMJEE INSURANCE

people in the departments are doers; they do not cultivate this kind of need.

Even though, there are a number of people who give a lot of importance tomonetary rewards, there does not seem to be any who would like to be

entrusted with too much responsibility.

1.7.2.1 Need for Affiliation

The need for affiliation is characterized by a desire to belong and relate.

• An enjoyment of teamwork,

• A concern about interpersonal relationships and

• A need to reduce uncertainty.

Employees at lower grade According to an employee at ADAMJEE INSURANCE, working in the lower

management level the need for affiliation is very important at his position:

• To be in the good books of seniors and more experienced people,

• To get a pat on his back for a job well done in a meeting means a lot

• To be recognized for efforts among colleagues

Employees at higher experience or gradeEmployees with higher experience have a strong need for affiliation as they

want to be recognized by the top-level management.

1.8 Equity Theory

1.8.1 Theory Overview

Equity (or inequity) is a psychological state residing within an individual. It

creates a feeling of dissonance that the individual attempts to resolve in some

manner.

Equity is a social comparison process, resulting when individuals compare

their pay to the pay of others. There is no “rational” or single “equitable pay

rate” for any given job or individual. Equity is a subjective evaluation, not an

objective one. Based on the comparisons that an individual uses, each

individual is likely to develop different perceptions of equity.

The comparisons that individuals use tend to fall into four classes of comparison:

13



ADAMJEE INSURANCE

Self Inside:

An employee’s experiences in a different position inside his currentorganization.

Self outside: An employee’s experiences in a different position outside his current

organization.

Other Inside: Another Individual or group of individuals inside the employee’s organization.

Other Outside: Another Individual or group of individuals outside the employee’s

organization.

Individuals determine equity by comparing their contributions (job inputs)

and their rewards (job outcomes) to those of their comparisons. This

comparison takes the form of a ratio and if this ratio is in balance, the

individual perceives equity. Inequity is experienced when ratio is out of

balance. Thus when an individual perceives that his/her contribution is equal

to the comparison and his/her reward is lower or his/ her contribution is

greater and reward is equal, inequity is felt.

The individual responses to inequity include:

• Leaving the organization

• Reduction in performance, generally extra role behavior

• Attempting to increase one’s pay

• Attempting to reduce the performance of others

• Rationalization- perceptually altering reward and/or contribution

What do individuals view as relevant contributions? Given the perceptual

nature of equity, the answer varies with each individual; however,

contributions fall into a number of categories:

Job contributionsInclude the factors that differentiate one job from another. They typically

include responsibility, skills, education, and working conditions required by

14



ADAMJEE INSURANCE

the job itself. (e.g., individuals working in jobs requiring greater levels of

responsibility generally expect higher levels of pay).

Personal contributionsInclude attributes the individuals bring to the organization that they believe

differentiate them from others such as experience, longevity and extra

education (e.g., individuals with greater seniority often expect higher levels of

pay).

Performance contributions

Include the extra effort/results that differentiate one employee from another(e.g., individuals who perceive that their performance is better than others

with whom they work, often believe they are entitled to higher levels of pay.

Typical Management interestsManagers generally define pay-related problems in terms of their behavioral

consequences (turnover or performance). Therefore, inequity itself is not

generally viewed as a management problem unless it appears to be related to

turnover of reduced performance. Since the links between turnover and pay

are often much clearer than those between pay and extra role behavior,

turnover often becomes the only managerial focus. Therefore, typical

management interests relate to keeping the employees who it deems valuable.

Typical Employee InterestsFrom the employee perspective, the perception of inequity is a problem in

itself. A union’s interests lies in achieving equity for the greatest number of its

members, regardless of their ability to leave the organization. In fact, it is a

union’s responsibility to bargain for the interests of those with limited

individual power or marketability.

Low morale is often a consequence of inequity. Even when low morale is not

manifested in turnover, reduced performance, to reluctance to take on extra

duties, from the employee perspective, it is still viewed as a problem.

1.8.2 Equity Theory AT ADAMJEE INSURANCE

Employee Performance AppraisalEmployee performance appraisal procedure is highly accountable thus leaving

no chance of inequity among employees.

15



ADAMJEE INSURANCE

Employee Salary Evaluation

An employee’s educational qualification is given highest importance whenevaluating salary. It may be possible that a lower grade employee, within the

same or different department, has a higher salary than someone in an

immediately higher grade.

Thus inequity sometimes arises among employees working in a higher group

within the same or different departments.

1.9 Expectancy Theory

1.9.1 Theory Overview:

The expectancy theory argues that the strength of a tendency to act in a

certain way depends on the strength of an expectation that the act will be

followed by a given outcome and on the attractiveness of that outcome to the

individual. In more practical terms this theory says

“That an employee will be motivated to exert a high level of effort when he

or she believes that the effort will lead to a good performance appraisal;

that a good performance appraisal will lead to organizational rewards like

a bonus, a salary increase, or a promotion; and that the rewards will

satisfy the employee’s personal goals”

Expectancy

The expectancy is the belief that one’s effort will result in attainment of

desired performance goals. This belief, or perception, is generally based on an

individual’s past experience, self-confidence (often termed self-efficiency) andthe perceived difficulty of the performance standard or goals.

Instrumentality

The degree to which the individual believes that performing at a particular

level will lead to the attainment of a desired outcome.

Valance

The degree to which organizational rewards satisfy an individual’s personal

goals or needs and the attractiveness of those potential rewards for theindividual.

16



ADAMJEE INSURANCE

Example Include: “Do I want a bigger raise? Is it worth the extra effort? Do

I want a promotion?

1.9.2 Expectancy Theory AT ADAMJEE INSURANCE

At ADAMJEE INSURANCE the employees believe in maximum effort which

leads to good performance which further results in the outcome in the form

of rewards like a raise in income, promotion, performance appraisal letter

etc that contribute towards their personal goals.

Contractual Employee ViewsThe contractual employees are also aware of this theory but they don’t follow

it because it has been found that their basic aim is to become a permanentemployee. But becoming permanent employee doesn’t entirely depend on the

performance. It also depends if there is any permanent slot available. So the

contractual employees are aware of the facts that even if they perform well,

they cannot become permanent unless there is a slot available. So this serves

as a very de-motivating factor for the contractual employees and this is the

reason they don’t hesitate to switch the job whenever they get even a slight

better opportunity or a permanent place in some other organization.

Effort

17

EFFORT

PERFORMANCE

OUTCOME

REWARD

Expectancy

Instrumentality

Valence



ADAMJEE INSURANCE

At ADAMJEE INSURANCE, the employees are aware of the fact that if they

work competently and put their efforts, they will be able to attain the task performance, as the effort expanded by them will have a positive result.

Performance When the employees of ADAMJEE INSURANCE put their efforts, they attain

the desired performance level and consequently are evaluated on that ground.

Instrumentality Instrumentality is also quite high in the company as the management assigns

a certain % of work that the employees have to achieve, through which, they are evaluated at the time of dispensing rewards. The % of work is in terms of

yearly goals, monthly goals and weekly goals.

Rewards When the employees attain certain level of work performance gauged against

the goals set at the start of the year, they are positively evaluated and get

rewards in shape of annual increment; and organizational performance

rewards etc.

ValanceThe employees attach a great deal of value to the rewards they get. The

rewards are often in the form of a praise or recognition, to which the

employees attach a great deal of significance. Monetary rewards are costly and

require loads of time and energy. Therefore the management is not too keen

on imparting such gifts.

OTHER MOTIVATIONAL FACTORS AT ADAMJEEOTHER MOTIVATIONAL FACTORS AT ADAMJEE INSURANCEINSURANCE

1.10 Employee Appraisal

At ADAMJEE INSURANCE, employee appraisals are conducted annually to

evaluate their work related and personal performance. The process of

appraisal works in various steps and the HRM department is proud to have

such a system installed in the company where no one objects to the appraisalprocess as it’s considered to be the fairest attempt of grading an employee in

the company.

18



ADAMJEE INSURANCE

The appraisal process is held in between the months of July and June every

year. Increments and promotions are devised after this period that becomeseffective from the month of October, the same year. Performance Appraisal at

ADAMJEE INSURANCE is a six step approach.

Step 1 ADAMJEE INSURANCE HR department have designed two forms named as

Form 1A and form 1B to measure the milestone, target achievements that were

made last year. This is done by comparing the goals set last year for each

individual employee under their department. Once measured, it is sought out

to what extent the company was successful in achieving its target. Also, targets

are set for the next year on the basis of this measurement.

Step 2:In the next step, HRM department does performance analysis by distributing

to departmental heads and supervisors Form 2A and 2B (Collectively known

as Employee Development Report) to measure the employee’s capabilities on

24 different attributes and of the attribute is rated on the scale of 1 to 5;

summary of these points is reflected in the table below

Step 3:Once the EDR forms are completed,

these are submitted to the HRM

department by all the departments in

the company, employees comments

are also taken on EDR forms. In the evaluation process, an employee’s EDR

report is shown to the employee himself. He/She is also allowed to discuss it

with both Head of the Dept. and GM

Step 4:Bell shape curves are made to classify the employees among the 5 different

grading categories

Step 5:Review Committee Meeting is held to decide the extrinsic benefits based on

the performance appraisal data. The meeting is officially called as Employee

Leader Team Committee (ELTC) meeting. Recommendation list is handed

19

Rating Point Summary

1Inadequate,

Not satisfactory

2Marginal,

Below Average3 Average4 Above Average5 Outstanding



ADAMJEE INSURANCE

over to the ETLC group by the HR department after they have completed their

analysis and classified the employees for increment plan.Step 6:ELTC made finalized decisions on transfers, recruitments, salaries/benefits

based on the appraisal data

1.11Intrinsic Awards at ADAMJEE INSURANCE

At the end of the year MD performance award are given to outstanding

employees whose hard work has brought about some difference and created

value for ADAMJEE INSURANCE.

Each of the departments is asked to nominate 5 top employees. Out of theses

150 employees top 50 are selected. From among these 3 finalists are chosen

and one of them is awarded as the prize winner, the rest of the two gets

runners up nomination where as the entire pool of 50 top employees get

recognition certificates from ADAMJEE INSURANCE.

The award is complemented by a token object like watch etc. and the

photograph becomes part of ADAMJEE INSURANCE newsletter, which is

quite an honor. Apart from this the MD write a letter of appreciation and

excellence with his own hands to the awarded employees.

1.11.1 Employee Involvement AT ADAMJEE INSURANCE

ADAMJEE INSURANCE started employee involvement programs i.e.

involving workers in these decisions that affect them. By increasing

employee’s autonomy and control over their work life, employees will be more

productive, more motivated, more committed to the organization and more

satisfied with their jobs. But the upper management takes all top and highly

important decisions.

1.11.1.1 Management Participation

Through the participation of management the employees share a significant

degree of decision-making power with their immediate superiors.

Participation increases commitment to decisions.

20



ADAMJEE INSURANCE

At ADAMJEE INSURANCE the employees can assist their managers in setting

work schedules such as flexible compressed week etc. and selecting the righttarget segment. Such participation programs provide intrinsic rewards for

them. It can make their jobs more interesting and meaningful.

1.11.1.2 Representative Participation

Currently in ADAMJEE INSURANCE there are 2 employee committees thatare aimed towards addressing general employee issues and concerns:

Management CommitteeThis committee consists of MD and Executive directors who are addressproblems and concerns of every project presented to them by the Dept Headsand Project Leaders.

Executive CommitteeThis committee consists of all GMs and Executive directors at ADAMJEE

INSURANCE.

1.12Skill-based Pay Plans

At ADAMJEE INSURANCE, the amount of salary is generally fixed for

different job titles/designations. But in evaluating an employee’s salary, most

importantly, skills and educational qualification are given higher priority

over amount of work experience. This means an employee at a lower job

designation can have a higher salary than those at an immediately higher job

designation. In this way ADAMJEE INSURANCE makes use of Skill-based

Pay plan in rewarding its employees.

ADAMJEE INSURANCE encourages its employees to learn new skills by:

• Training Programs and Workshops

• Employee Job rotation across departments

Thus employees at ADAMJEE INSURANCE with a high need for

achievement and growth are highly motivated and satisfied with their

job.

1.12.1Retirement Plans

One more source of motivation for the employees of ADAMJEE INSURANCE

is the secure future ahead of them. ADAMJEE INSURANCE offers a good

21





ADAMJEE INSURANCE

1.13.2 Career Development

Career development is done specifically for those who have a project failure.The department head along with the HRM try to find reasons for the failure

and try to see where the employee fits the best.

23



ADAMJEE INSURANCE

SURVEY DETAILSSURVEY DETAILS

The main purpose of this survey is to study, how employee feels about work

environment, Job Satisfaction, Employee empowerment Flexible benefits and

Performance appraisal satisfaction. These factors would then enable us to

infer either employees of ADAMJEE INSURANCE are motivated or not? We

selected random sample of 50 ADAMJEE INSURANCE employees to conduct

this survey.Following the analyzed results obtained as a result of the survey

1.14Job Satisfaction

1. I have adequate information available

which enables me to do my job well.

Major number of employees knows about their over all responsibilities in

organization. Generally, at the time of appointment there is an orientationprocess to employees about organization and they also have free access to the

Code Book of ADAMJEE INSURANCE so employee knows about the general

rules and regulation to do his/her job. Specifically, departmental heads are

responsible to brief employee about his/her job.

52%

29%

10%9%

0% Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

24



ADAMJEE INSURANCE

I understand the day-to-day goals of my department.Most of the employees understand the day-to-day goals of the department.

Departmental heads provides day to day task to the concerned employee.

20%

60%

15%

5%

0% Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

I feel valued as a team member

Organizations these days put lot of emphasis on innovations and creativity.

ADAMJEE INSURANCE promotes the idea of innovation. It encourages

employees to creativity. Hence, most of the employees feel that their inputs

are valued.

11%

49%

28%

10%2% Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

25





ADAMJEE INSURANCE

12%

56%

20% 11%1% Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

3. Are relationships at work mature and non-political?By and large people relationship at work is mature and they deal each other in

high professional environment with friendly behavior and the employees of

ADAMJEE INSURANCE act as a family member.

23%

38%

30%

6%3% Strongly Agree

Agree

Neutral

DisagreeStrongly Disagree

1.16Employee Empowerment

1. Diverse perspectives are valued and encouraged within the

departmentThe results strongly indicate that employees are comfortable working with

diverse people and have a positive approach for teamwork.

27



ADAMJEE INSURANCE

15%

67%

11%

7%

0%Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

2. I have the support and authority to make the decisionsnecessary for accomplishing assigned task.

Results indicate that people share their knowledge and having task delegation

which enables them to take desire decision.

11%

49%

28%

10%2%

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

3. I have enough involvement in decisions that affect my work

Results indicate that employee is having involvement in decisions, which

affect his/her work. It might be possible the involvement level varies

according to the task.

28



ADAMJEE INSURANCE

15%

44%

28%9%

4%

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

1.17 Performance Appraisal Satisfaction1. My department uses employee feedback to make

improvements.

In ADAMJEE INSURANCE most of the department follows open door policy

and any employee is free to express his/her suggestion to departmental head

or even in front of MD of ADAMJEE INSURANCE. Results show that their

suggestions are valued.

33%

67%

0%

0%

0%Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

29



ADAMJEE INSURANCE

2. Does the company have a fair employee recognitionprogram?Company offers 2 awards per year on the basis of performance of employees,

Shaukat R, Mirza award and MD award, which provides sense of recognition

in employees.

17%

48%

28%

6%

1% Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

1.18Flexible Benefits

1 The Company retirement benefits is important factors inkeeping employees on their jobs

ADAMJEE INSURANCE offers attractive benefits after the retirement and

results shows that it is one of the factors among several other factors due to

which employee stays in company for long time.

30



ADAMJEE INSURANCE

11%

40%

35%12%

2%Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

2 Company offers flexible work time to their employeesResults indicate that company does not offer customize timings to its

employees. It might be possible it is due to nature of work which company has

only sales people are allowed to come late but they must be informed to HR

department earlier. This factor may de-motivate employees.

0%3%

0%

30%

67%

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

31



ADAMJEE INSURANCE

CONCLUSIONCONCLUSION

After the analysis of complete survey we can conclude that employees of

ADAMJEE INSURANCE enjoys different attributes of Motivation like they

have Job Satisfaction as they believe they have personal and professional

growth opportunities, they feel they have empowerment.

They have very skillful, high-quality and superior working environment. They

believe that their performance is appreciated will result in reward as

ADAMJEE INSURANCE is having EDR system. The one thing that may be a

cause of de-motivation is ADAMJEE INSURANCE does not offer tailored

benefits.

RECOMMENDATIONRECOMMENDATION

As discussed in the earlier section all the employees of ADAMJEE

INSURANCE fall in certain category. The motivation techniques used for all

these categories are the same. Whether the employee is an officer (Grade 7) or

a General Manager (Grade 1) the same techniques would be used on them but

the magnitude of the technique would differ. For example, there is same range

of increment on all the employees from grade 1 to 7 but certain perks like

company car, furniture, housing and a phone will only be given to grade 1 and

grade 2 employees.

It clearly depicts the efforts and the results that are being generated due to the

motivation levels of the employees of the company. The HRM dept. should be

given a pat at the back for their efforts in this regard.

Identifying employee’s needs and developing reward structure accordingly

will help Adamjee to reduce the level of demotivation in the organization and

raise employee’s loyalty. This will also make the employee feel that the

organization cares for his need and will make him feel his position in the

organization.

32



ADAMJEE INSURANCE

Establishing a check and balance in departments will help the organization to

compare the required standards with the employee’s efforts and will result in

providing guidance on certain lacking. This can result in feedback to the

employee’s work and can also prove to be a good reinforcement strategy.

Training the staff and setting targets for each department will give employee’s

a set of guidance as to where they have to reach and will motivate workers to

strive hard to achieve those targets.

Management by Objectives would be another factor in motivating

departments in order to make them work towards achieving a common goal of

the organization.

Documents

Adam Jee Report Final