Human Resource(PTC)Management

8/3/2019 Human Resource(PTC)Management

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Human Resource

ManagementPrepared For:

Sajid FaheemFaculty Member (HND Business)

Prepared By:

Amein Durrani (Haleeb Foods)

Usman Akbar (Haleeb Foods)

Ihtesham ur Rahman (Pakistan Tobbaco Company)

Zain Javed (Pakistan Tobbaco Company)



PAKISTAN TOBACCOPAKISTAN TOBACCO COMPANY COMPANY

TABLE OF CONTENTS

1. ACKNOWLEDGEMENTS

2. COMPANY PROFILE

I. MISSION STATEMENT OF HALEEB FOODSII. VISION STATEMENT

III. OUR VALUESIV. REGISTERED HEAD OFFICEV. FACTORY

VI. AREA SALES OFFICE PESHAWAR

3. PROJECT METHODOLOGY

I. PROJECT OBJECTIVESII. SCOPE

III. WHAT IS HRM

IV. OBJECTIVES OF HRMV. THE CHALLENGES OF HUMAN RESOURCEMANAGEMENT

VI. SYSTEM APPROACH TO HRMVII. JOB ANALYSIS

VIII. HR PLANNINGIX. RECRUITMENTX. SUMMARY OF RECRUITMENT AND SELECTION

PROCESS RESPONSIBILITIES

4. CAREER OPPURTUNITIES FOR SALE PROFESSIONALS

i)SELECTION PROCESSa)INTERVIEWSb)CONDUCT REFERENCE CHECKSc) BIOGRAPHIC DATAd) WORK SAMPLING TECHNIQUESe) TESTSf) JOB DESIGN

5. CONCLUSION

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Company Profile

About Us

Haleeb Foods Limited (formerly CDL Foods Limited) is a fast growingfood products company. Having doubled its turnover in the last four years,the company has a turnover of more than Rs.4 billion presently. Thecompany also operates as a franchise of Candia Cedilac of France. CDLhas a state of the art milk processing facility situated at 62-KM Multanroad, Near Bhai Pheru, and has a team of 400 exceptional individuals to

support its operations. The head office of CDL is located in the evergreencity of Lahore at 135-Ferozepur Road. CDL is producing a number of foodproducts both for consumers and industrial users.

The main brands of CDL are as following:

CDL is the first food company and so far the only dairy company inPakistan to get ISO 9002 Certification - a Quality Management System.While adhering to this Quality Management System, the company iscommitted to strict quality standards in all its operations - from thecollection of milk to the provision of hygienically processed nutritiousproducts to its customers. The company follows the philosophy of "delighting the customers". The company treats them as partners andkeep channel of communication open with them. The company hassucceeded in this by continuously improving the quality of its productsand by satisfying the needs of its customers. The company believes increating and sustaining an environment, which encourages learning and

empowerment and these in turn help strengthen the quality culture acrossthe business. Company's Mission: · providing nutritious andhygienically processed food product to our customers. · Enhancing

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our reputation for quality in all our operations. · Promoting mutual trustwith customers, suppliers, employees and shareholders. · Providing ahealthy and safe environment to our community.

Mission Statement of Haleeb Foods

Build branded foods to improve quality of life by offering tasty, affordable

and highly nutritional products to our consumers while maximizing stakeholder’s value.

Vision Statement

Most innovative and fastest growing food company offering productsenjoyed in “every home every day”.

Our Values:

EnterpriseEmpowermentAccountability Trust Team Work

Factory

62-KM Multan Road,Bhaipheru

Area Sales Office (Peshawar)Ittehad Plaza,Abdara Chowk,University Road,Peshawar, Pakistan.

Project Methodology

Project Objectives

The goal of this project is studying the Human Resource planningtechniques of Haleeb Foods in order to better understand thestrategies adopted by today’s modern world organizations.

Phone(s): +92 (42) 751 1636

+92 (4943) 510 874 & 5+92 (4951) 38 822 & 3

Fax. +92 (4943) 51 0844

Phone(s): +92 (91) 843909Fax. +92 (91) 843909



Scope

The scope of the project is limited to the area of Human Resourceissue concerning recruitment and selection at Haleeb Foods. Wewould basically concentrate on the following issues in Haleeb Foods.

Recruitment Policies

The Systamatic Approach to Selection Reward Management

Disciplinay Procedure

WHAT IS HRM

HRM is a process of bringing people and organization together so that thegoals of each are met. It is that part of management process, whichis concerned with the management of human resources in anorganization .in short t may be defined as the art of procuring,developing and maintaining competent work force to achieve thegoals of an organization in an effective and efficient manner.

HRM is a pervasive force and is present in all organization. It is actionoriented and encourages action rather than keeping records. It hasindividual orientation so those employees may develop their potentialfully. It is also people oriented in that it brings individuals and groups tocommunicate with each other it intends to develop the full potential of employees. It tries to integrate human assets in the best possible mannerin the service of an organization .HRM is a comprehensive function. It isbasically a method of developing potentialities of employees so that theyget max satisfaction out of their work and give their best efforts to the

organization. The HRM manager is a special advisor to the line managersso that they can do heir personal work more effectively. The HR functionis also an interdisciplinary function with inputs drawn from psychology,sociology, anthropology etc. In the end it is the most certainly acontinuous function with a requiring constant alertness and aware ness of human relations and the importance in everyday operations.

Objectives of HRM

The objectives are as follows:

To help the organization reach its goals. To employee the skills and abilities of the work force efficiently.

To provide the organization with well trained and well motivatedemployee.

To increase to the fullest the employee hob satisfaction and self actualization.

To develop and maintain quality of work life.

To communicate hr policies to all employee.

To help maintain ethical policies and behavior.



The Challenges Of Human Resource Management

Every organization most valued asset area its people. Any organizationthat produces goods and services will survive only if it has the rightpeople. People however work for many other reasons other than economicsecurity. They want to achieve, create, stay busy etc. The want forrecognition and status are other reasons. Just like organizations and

counter problems in their day-to-day running, employee and counterproblem in their daily work. The challenge of the hr manager is tominimize these obstacles and problems. Additionally the challenge for theHR manager is to improve the contribution made by people to anorganization through effective and efficient use of resources. Efficientmeans that it must use the minimum amount of resources needed toproduce result. Effective means producing right things thru right ways. The resultant productivity (ratio of output to input) gains obtained throughhr efforts enable managers to reduce costs, save scarce resourcesenhance profits and offer better pay, benefits and working conditions toemployees

System Approach to HRM

A system is a set of interrelated but separate elements working towards acommon goal. What one group does in a working environment has seriousimplications on other groups. The enterprise operations should be viewedin terms of interacting and inter dependent elements. To carry out itsoperations each enterprise has certain depts. Known as sub- systems. TheHRM subsystem may have parts such as procurement / trainingcompensation etc. If we were to view this subsystem as crucial toorganizational performance and organization present itself as follow:

Job analysis: It is the process of collecting information relating tothe operations and responsibilities of a specific job.

Human resources planning: It is a process of determining andassuring that the organization will have an adequate number of qualified persons, available at proper times, performing jobs whichwould meet the needs of the organization and which would providesatisfaction for the individuals involved.

Recruitment: It is the process for searching for prospectiveemployees and stimulating them to apply for jobs in an

organization. Selection: It is the process of assigning the selected candidatewith the most suitable job. It is matching of employee satisfactionswith job requirement.

First we will talk a little about Job analysis and its applications.

JOB ANALYSIS:

Job analysis is the process of collecting information about a position to befilled that helps to identify the major job requirements (MJR) and links

them to skills, education, training, etc., needed to successfully performthe functions of that job. The purpose of the job analysis is to identify theexperience, education, training, and other qualifying factors, possessed by



candidates who have the potential to be the best performers of the job tobe filled. It can also be used to identify documents and other elementsvital to the candidate evaluation, referral and selection process, such asmeasurement methods and interview requirements.

There are two key elements of a job analysis:

1. Identification of major job requirements (MJRs) which are the most

important duties and responsibilities of the position to be filled. MJRsare the main purpose or primary reasons the position exists. Theprimary source of MJRs is the most current, official positiondescription.

2. Identification of knowledge, skills and abilities (KSAs) requiredaccomplishing each MJR and the quality level and amount of theKSAs needed. In the job analyses, KSAs are developed that aremeasurable, that can be documented, and that produce meaningfuldifferences between candidates. Typically, possession of KSAs isdemonstrated by experience, education, or training. The goal of

KSAs is to identify those candidates who are potentially bestqualified to perform the position to be filled; KSAs are most usefulwhen they provide meaningful distinctions among qualifiedcandidates. Source documents for KSAs may be the positiondescription, Office of Personnel Management qualificationstandards, and job classification standards.

Haleeb Foods is an organization of present day and believes in all themodern HR strategies and practices unlike some other Pakistaniorganizations. The HR department strongly recommends the use of JobAnalysis and updates it on regular basis. According to Mr. Wasif Waseem Job analysis helps their organization in collecting the followinginformation:

Recruitment and Selection Training& DevelopmentPlanning Job Evaluation Job DesignPerformance Appraisals

Job analysis is conducted through questionnaires prepared by the able

staff of HR Haleeb’s Hr department. The questionnaire is developed withthe help of feedback from the employees and direct observation of theemployees done by the managers, supervisors and HR department.

Job description is an important part of Job Analysis and Haleeb Foods havewritten job desriptions of all the workforce employed in their organizationsample job description is given below. When asked about theOccupational Dictionary his answer was very much predictable that this isan American Concept and is not yet pertinent here. Regarding jobspecification their much emphasis is laid on related knowledge, skills andbehavior and aptitude of certain individual applying for any job.

Next we would like to discuss HR planning and why it is so important intoday’s business world.



HR PLANNING:

Human Resource (HR) planning involves assessing the availability of jobsin the organization and planning accordingly to fill in these vacancies. HRplanning gives the hiring manager and the recruiter a clear idea about thenumber and profile of the candidates required for the job. It facilitates

creating the ‘best’ fit between a candidate and the job at hand. HRplanning ensures that adequate human resources are available whenemployees leave from the organization.HR managers use differentmodern day techniques like Trend Analysis, Ratio Analysis or Scatter Plotto assess their future needs for Personnel.

In Haleeb Foods they do use techniques like trend analysis or ratioanalysis, butIts not done very scientifically. Rather they forecast their personnel needthrough filtering from their future business needs. In that they do theirsales volume analysis and past employment trends like employee

turnover rates, opening of new positions. In the end it’s the call of the GMHR to assess the future need and much is dependent on his managerial judgment. Different department heads also send their requirements andproposals for vacant posts to GM HR department which also have to bediscussed and approved by the CEO of the company.

Haleeb Foods does inside recruiting too when needed. They do have asuccession planning system according to which the managerial positionsare filled in through a Management replacement chart system. For all theother job inside recruiting is done by posting the jobs on the notice board

and then the capable candidates are called for interviews and have topass through the regulation hiring process of Haleeb Foods. Mr. Wasif wasunable to provide us with a Management Replacement Chart at that pointof time.

RECRUITMENT:

The practice carried out by every organization with the primary purpose of identifying and attracting potential employees.

Haleeb’s recruitment and selection practices and procedures aretransparent, fair and comply with legal requirements.

Transparency will be ensured by making use of HR Personnel and thesePeople will be utilized for all senior and middle management vacancies. Allpersons who shall be involved in the recruitment process shall fairlyrepresent a diverse group.

In advertising of vacancies both internally and externally, Haleeb Foodswould like to make applicants aware that we embrace the principles of equity in employment and good practice.



Summary of Recruitment and Selection Process andResponsibilities(HALEEB FOODS)

Process Responsibility

HR Department is advised that avacancy has arisen in a particulardepartment.

Departmental Manager

Details of the position andpersonnel requirement sent to HRwith appropriate Approvals fromthe relating Department


Financial approval is sought toadvertise the vacancy


Financial approval is given GM HR / Accounts ( Finance Dept)

Advert and further details arefinalized

Agree recruitment plan (panels,dates)

Recruiting Manager HR (foradvert)/ Related DepartmentalManager

Internal advert is placed on

internal bulletin

HR

The advert closes and applicationsare collated, equal opportunityinfo detached and applicationspassed to the Department forshort listing.

HR

If no applications advert isadvertised externally (reflectingrecruitment plan)

HR following instruction byDepartmental manager

A short list is drawn up and

candidates are invited to interview

Dept Manager/Recruiting Manager

The interview takes place Head of Department / HRInterviewing Panel

Post interview references aresought for the successfulcandidate

HR Manager

Candidates selected HR Selection Panel/ Dept Head

A salary assessment is made,taking account of financialapproval

HR/ Accounts

An offer letter is sent to thesuccessful candidate (offer pack to

HR



include medical questionnaire anddisclosure application form whereapplicable)Once medical clearance (and asatisfactory disclosure check) hasbeen received a contract of employment is written

HR

Handover preparation –resources : finalize arrangementsfor phone, IT, room


Handover preparation – the job:prepare induction plan

Departmental Manager/HRmanager

Initial induction and thecompletion of employee forms,such as bank details etc.

HR

Employees details are enteredonto HRMS

HR

Haleeb Foods does its recruiting themselves and do not rely on outsidehelp. Advertising is done mostly in Newspapers or their website. HaleebFoods does a lot of college recruiting too. Referrals and walk in are alwayswelcome at Haleeb Foods.

A sample job advertisement given on the web

Career Opportunities for Sales Professionals

We require young, energetic and motivated individuals as Sales

Promotion Officers for the following cities: LAHORE, KARACHI,

ISLAMABAD, PESHAWAR, FAISALABAD, GUJRAT and BAHAWALNAGAR

We seek candidates with the following profile:

A team player, with excellent interpersonal and

persuasive skills

At least a Graduate

2-3 years FMCG field sales experience

Age 22-36



The incumbent will be responsible for achieving sales targets in assigned

territory, ensure the availability of Haleeb Foods range of products and

implementation of company commercial policies.

Applicants may send their resumes with a recent photograph by

August 31, 2004 to the following address:

General Manager Human ResourcesHaleeb Foods Limited135 Ferozepur Road,

Lahore

Ph # 111 135 135www.haleebfoods.com

SELECTION PROCESS:

Selection methods that focus both on crucial requirements andorganizational culture include:

Interviews

Biographical data

Work samples

Self-assessment

Personality tests

Cognitive abilities

Physical abilities

INTERVIEWS:

Regardless of what method of interviewing is used, certain arrangementsare necessary prior to the interview:

arrange and confirm dates and times with candidate

develop the interview schedule and confirm with all individualswho will be involved in the interview process (provide a final copy

of the schedule to the candidate, the interviewers, and the searchcommittee members)

arrange for escorts to and from all interviews

arrange overnight accommodations if necessary

arrange for transportation if necessary

arrange for a host (and pick up from airport, train station, etc. if necessary)

arrange for any meals provided outside of the interview schedule if necessary



At Haleeb Foods interviews are generally non-structured and areconducted only by HR Department. According to MR. Wasif Unstructuredinterviews give them a better understanding of the candidates. Whenasked isn’t this approach time consuming? He replied” We put a lot of emphasis on Selecting the right people for right job and unstructuredinterviews suits best to out business environment, so no matter how timeconsuming it is we cant take risks of hiring wrong people just for the sakeof time saving and incur heavy financial loses later on.” Answering toStress interviews he said that if the job requires stress handling then theydo create a stressed environment in the interview to test the person’snerves. They don’t have any specialized panel rather the interviewing isdone by the top HR management and related Dept Managers.

According to Mr. Wasif Interviews play a major role in selecting theemployees as they have very thorough and long interviews related to joband personality checks? When asked if they have any psychologist in thepanel for personality checks he said we have very experienced andprofessional people working in our HR department and therefore don’t feel

the need of a qualified psychologist. For job related questions most of theinterviewing is done by the related dept people.Mr Wasif weightedInterviews to 70% in selecting the employees for a job.Mr Wasif also saidthat they have a very detailed application form which has to be filled byevery applicant and it tells us a lot about the applicant in advance.

Conduct Reference Checks

One of the most crucial but often neglected steps in the hiring process isreference checking. Reference checking is often forfeited when a studentaffairs division is pressured to hire in a hurry. Additionally, reference

checking can be a frustrating exercise that yields little useful informationabout a candidate. Nevertheless, the desire to save time and avoid legalramifications should not prevent any recruitment staff from conductingthorough reference checks on all prospective new hires.

Reference checks round out the profile of a job applicant by providingthird-party support for first impressions. Reference checks should bemade only for those candidates who have advanced to the finalist stageand who are under serious consideration for the job.

Haleeb Foods stresses a lot on reference checks to avoid negligence hiring.At least 3 references are required when applying for a job in HaleebFoods. In sensitive positions like top Management Positions the number of references could be more.

BIOGRAPHIC DATA:

With an increase in coaching, applications have become more and moresimilar. Sometimes applicants may seem much the same on paper, butsome have greater initiative or people skills than others. Biodata(biographical data) forms have been developed to identify non-academicactivities such as these. Biodata consists of systematic information about

hobbies, interests and life history. The main use of biodata is in the pre-selection of basic-level jobs such as apprentices or graduate trainees. Thelogic is that if candidates are matched with existing staff, people with



similar interests can be found who are likely to be suitable for the job. Thegreatest value of the techniques is its ability to reduce staff turnover.

Biographic data is collected through application forms. As alreadymentioned they have a very detailed application form which has beendeveloped by their HR department. In the interview they do re checkabout the truth of the info which has been provided by the applicant.

WORK SAMPLING TECHNIQUES:

A technique that discovers the proportions of total time thatvarious activities contribute to the job by taking a relatively large# of observations at random intervals

Used to determine: production standards, machine and personnelutilization, and job allowances. Typically faster and cheaper thanother techniques

Well suited for high cycle time and low repetition rate jobs &service industry

Does not require the analyst to continually observe the job

Reduced clerical time

A smaller # of hours are required to collect the data

Operator not subjected to long periods of observations

Haleeb Foods HR department does use work sampling techniques as apart of the selection process. If they are hiring a secretary for one of theirexecutives she would be tested by typing few lines on Microsoft Word orasked to write a dictation in short hand.

TESTS:

Haleeb Food conducts aptitude and personality tests to further assess theknowledge, skills and behavioral traits of an individual. They rank thesetests very high in the selection process and is another step to avoidnegligent hiring. These tests are either prepared by their own HR

department or they use standards tests developed by renownedPsychologists and outside Recruiters.

Employment type personality assessments are used for various purposessuch as training and development, customer service testing, careerassessment, reducing employee turnover, leadership development,applicant screening, and also as a supplement to commercially providedbackground checks. Good pre-employment personality assessments andsales aptitude assessments are behaviorally based as opposed to thestandard personality test or profile testing inventory which may only haveface validity.

Behavioral testing provides for a more predictable outcome when used forscreening applicants for employment. Many times the behaviors outlinedin the employment testing report can be confirmed through background



screening reports or subsequent reference checks behavioral interviewingis a very subjective process. By using validated employment tests andassessment tools, Haleeb Foods adds a much needed element of objectivity, especially regarding management evaluations.

The cognitive ability tests are also held to assess the mental ability andintelligence of the candidates. These tests are either aptitude tests(mentioned above ) or General IQ tests. In these tests hey can check the

numerical ability, verbal comprehension, numerical reasoning , visualspeed and accuracy etc depending on the nature of the candidate’s job.

These tests also help the HR Dept for Haleeb Foods to more effectivelymanage their interview time because they have the majority of the detailsalready laid out in front of them before going into the interview process.

All employees have to pass a medical and physical test( depending on thenature of job) too. But there are no other tests like drug screening,graphology or polygraph tests.

JOB DESIGN: Job design refers to the way that a set of tasks, or an entire job, isorganized. Job design helps to determine:

what tasks are done,

how the tasks are done,

how many tasks are done, and

in what order the tasks are done.

It takes into account all factors which affect the work, and organizes thecontent and tasks so that the whole job is less likely to be a risk to theemployee. Job design involves administrative areas such as:

job rotation,

job enlargement,

task/machine pacing,

work breaks, and

Working hours.

When a new job is to be designed, the related dept sends a requisition toHR Dept. After through review by HR dept and approval by GM HumanResource and CEO of Haleeb Foods the requisition is then send to FinanceDept to review the financial aspects of the new job. If it is deemed feasiblefrom Finance dept it is then send back to HR and hen they startdeveloping the job analysis and other frameworks for that job.

According to MR Wasif a good job design comprises of the following:



Allows employee input. Employees should have the option to varyactivities according to personal needs, work habits, and thecircumstances in the workplace.

Gives employees a sense of accomplishment.

Includes training so employees know what tasks to do and how todo them properly.

Provides good work/rest schedules.

Allows for an adjustment period for physically demanding jobs.

Provides feedback to the employees about their performance.

Minimizes energy expenditure and force requirements.

Balances static and dynamic work.

REWARD MANAGEMENT

For effective reward management, you must carry out accurateperformance evaluation which can further lead to incentive schemes.Following is the complete performance evaluation form which includes allthe aspects of the job and factors determining pay.

Name ……………………………………………… Designation ………………………………………

Date of hire ……………………………………… Deptt./location ……………………………………

Period of review:

From ……………………………………………… To …………………………………………………

i. A copy of the Performance evaluation notes should be given to the employee for his/her information before his/her evaluation date.

ii. The Supervisor/Manager should refer to the Performance Evaluation notes and explain to theemployee how the evaluation will be conducted.

iii. The employee must be rated according to his/her present job description.

iv. The employee’s performance in each area should be evaluated in comparison with other employees doing similar or related work.

v. It is important to concentrate on one factor at a time and then indicate your opinion about theemployee’s abilities in that area by circling the appropriate number as under:

EX (exceptional) – performance is well above expectations

VG (very good) – performance consistently exceeds requirements

GD (good) – performance meets and occasionally exceeds the minimum job requirements

AC (acceptable) – performance meets the minimum job requirement

UA (unacceptable) – performance fails to meet the minimum job requirement

vi. The employee being evaluated should sign the form after evaluation.

Major accomplishments in the last six months:

……………………………………………………………………………………………………………………………

……………………………………………………………………………………………………………………………



……………………………………………………………………………………

Goals for the next six months:

……………………………………………………………………………………………………………………………

……………………………………………………………………………………………………………………………

……………………………………………………………………………………

Training & Development Career Programme:

Capable of developing to a higher position

Suitable for present position

Unsuitable for present position

W O R K E X P E

R I E N C E FACTORS EX VG GD AC UA TOTAL

SCORE

1. Job knowledge 5 4 3 2 1

……………….

2. Quantity of work 5 4 3 2 1

3. Quality of work 5 4 3 2 1

4. Safety / housekeeping consciousness 5 4 3 2 1

5. Customer orientation 5 4 3 2 1

P

E R S O N A L F A C T O R S

1. Reliability/responsibility 5 4 3 2 1

……………….

2. Analytical ability 5 4 3 2 1

3. Initiative 5 4 3 2 1

4. Problem solving & decision-making 5 4 3 2 1

5. Quality consciousness 5 4 3 2 1

W O R K A T T I T U D E S 1. Work discipline 5 4 3 2 1

……………….

2. Care of company’s property & assets 5 4 3 2 1

3. Attitude to job/enthusiasm for work 5 4 3 2 1

4. Reaction under pressure 5 4 3 2 1

5. Conduct and support training 5 4 3 2 1

I N T E R P E R S O N

A L F A C T O R S

1. Team work/co-operation 5 4 3 2 1

……………….

2. Relations with others 5 4 3 2 1

3. Power of expression (oral & written) 5 4 3 2 1

4. Overall conduct 5 4 3 2 1

S

U P E R V I S O R Y

F A C T O R S

1. Planning/organising 5 4 3 2 1

……………….

2. Leadership/supervision 5 4 3 2 1

3. Cost control 5 4 3 2 1

4. Development of subordinates 5 4 3 2 1



R A T I N G TOTAL SCORE

O V E R A L L E V A L U A T I O N

Exceptional P9 – 91% to 100%

Non-Supervisor :

/ 95 = %Very good

P8 – 81% to 90%

P7 – 71% to 80%

Good

P6 – 61% to 70%

P5 – 51% to 60%

Supervisor :

/ 115 = %Acceptable

P4 – 41% to 50%

P3 – 31% to 40%

Overall Evaluation = P ….. Unacceptable P2 – 21% to 30%P1 – 0% to 20%

EVALUATED BY

Signature………………..

Name ……………………

Date ……………………..

AGREED BY

Signature……………….

Date …………………….

REVIEWED BY

HOD ……………………..

Date ……………………..

CEO ……………………

Date ……………………

UPDATED BY HR

Signature……………….

Date …………………….

CEO’s Remarks :-

………………………………………………………………………………………………………………………………

………………………………………………………………………………………………………………………………

………………………………………………………………………………………………………………………………

………………………………………………………………………………………………………………………………

………………………………………………………………………………………………………………………………

NOTES TO PERFORMANCE EVALUATION

1) Major accomplishments in the last six months – This is a brief summary of some of some of the employee’s achievements during the

last six months. These achievements should be checked against thegoals set for him/herself by the employee in the previous evaluation.

2) Goals for the next 6 months – The goals set by the employee forhim/herself should be realistic, measurable, individually achievable andspecific. This exercise will assist the employee to focus on the keyareas in which they should work in the next 6 months.

3) Training & Development – The employee’s training anddevelopment needs should be listed with a mutually acceptable timeframe for the training and development to be conducted.

Training should assist the employee to overcome any weaknesses(s)he may have or to move on to the next stage of his/’herdevelopment.

4) Additional information – Any information that affects theperformance of the employee but which is not specified in any othersection of the form should be reflected in this column.

5) Explanation to performance evaluation factors

a) Work performance

i) Job knowledge – the ability to master the details, backgroundand related information of the job so as to handle the jobcompetently.



ii) Quantity of work – the amount of work done.

iii) Quality of work – the ability to produce accurate, thoroughwork on time to the customer’s (internal and external)satisfaction.

iv) Safety/housekeeping consciousness – Maintaining a clean,organised and safe workplace.

v) Customer orientation – Sensitivity to the customer’s needsand the taking of appropriate action to meet those needs.

b) Personal factors

i) Reliability/responsibility – can the employee be relied upon topersevere and carry through to completion any task assigned tohim/her. This includes attendance and punctuality in work andmeetings.

ii) Analytical ability/comprehension – The ability to understandand examine information and situations and make sound judgements in order to support the appropriate course of action.

iii) Initiative – The ability to make the best use of time and to offernew ideas on work or method improvement which includes activeparticipation in meetings and group work.

iv) Problem solving and decision-making – The ability to identifyproblems and potential problems and to take the necessary andappropriate action to solve such problems.

c) Work attitudes

i) Work discipline – Observation of the company’s rules andregulations.

ii) Care of the company’s property & assets – Care of thecompany’s tangible and confidential information to ensure theirsecurity and confidentiality. This includes cleanliness and goodworking order of all tangible assets.

iii) Attitude to job/enthusiasm for work – Interest in and apositive attitude towards the employee’s job.

iv) Reaction under pressure – the ability to remain stable and

productive under pressure.Interpersonal factors

v) Team work/co-operation – How the employee directly affectsthe output of his/her co-workers and the willingness with which(s)he acts as part of the team (which includes helping andtraining other employees).

vi) Relations with others – the employee’s rapport with otheremployees and their opinion of him/her.

vii) Power of oral and written expression – the effectiveness

with which the employee can communicate verbal and writtenideas, information and instructions to other people.



viii) Overall conduct – overall behaviour in setting a good exampleto other employees.

d) Supervisory factors (if applicable)

These factors should be taken into account when evaluating any employee who has supervisory tasks regardless of his/her designation. Some of these factors may also be evaluated if thework of the employee in question involves some of these factors(e.g. planning, organising or cost control).

i) Planning and organising – The ability to work out a course of action to achieve targets and prioritize assignments, thusensuring their timely and correct completion.

ii) Leadership/Supervision – The ability to get others to completetasks effectively and to meet common goals.

iii) Cost control – The ability to understand and apply the principlesof cost-effectiveness and productivity.

iv) Development of subordinates – The willingness and ability todevelop subordinates’ abilities so that they perform their dutieswell in their present job and become suitable for promotion in theshortest time possible.

6) Rating

a) Total score – the sum of all the factors rated

b) For non-supervisors the total score is divided 95 x 100 to obtainthe performance evaluation percentage.

Note: If some of the supervisory factors are being used, the totalscore is divided by (85 plus 5 points extra for each factor)

c) For supervisors the total sum is divided by 115 x 100 to obtain theperformance evaluation percentage.

d) Overall evaluation is the equivalent ‘P’ evaluation as laid out inthe evaluation form. For example, 52% = P5.

7) Overall evaluation

Exceptional – P9 – performance is way above theexpectations of the supervisor/manager

Very good – P8 – performance consistentlysurpasses the supervisor’s expectations

– P7 – performance frequently surpasses thesupervisor’s expectations

Good – P6 – solid performance which occasionallysurpasses the supervisor’s

expectations

– P5 – performance frequently surpasses thesupervisor’s expectations

Acceptable – P4 – consistent performance that

meets the minimum job requirements



– P3 – performance just meets the minimum jobrequirements

Unacceptable – P2 – performance does not meet theminimum job requirement

– P7 – performance is so poor that employee should beterminated

INTRODUCTION TO PAKISTAN TOBACCOINTRODUCTION TO PAKISTAN TOBACCO

COMPANY COMPANY

Pakistan Tobacco Company was established in 1947. It took over thePakistan Tobacco Company was established in 1947. It took over the

business of the Imperial Tobacco Company (India), operational sincebusiness of the Imperial Tobacco Company (India), operational since 1929 in the territory that formed Pakistan. PTC was the first1929 in the territory that formed Pakistan. PTC was the first

multinational tobacco company to set up business in Pakistan. Themultinational tobacco company to set up business in Pakistan. The

company is a member of the British American Tobacco p.l.c, whichcompany is a member of the British American Tobacco p.l.c, which

employs over 100,000 people operating from 60 countries.employs over 100,000 people operating from 60 countries.

Manufacturing operations commenced from a small pilot productionManufacturing operations commenced from a small pilot production

plant set up in a warehouse in Karachi port. First full fledge factoryplant set up in a warehouse in Karachi port. First full fledge factory

was established in 1955 at Jhelum. The same year Pakistan Tobaccowas established in 1955 at Jhelum. The same year Pakistan Tobacco

Company became a public limited company.Company became a public limited company.

At the time of birth of Pakistan in 1947, all tobacco was importedAt the time of birth of Pakistan in 1947, all tobacco was imported

into the country. In 1952, a development project for tobacco leaf into the country. In 1952, a development project for tobacco leaf

was initiated in the North West Frontier Province (N.W.F.P), whichwas initiated in the North West Frontier Province (N.W.F.P), which

progressed rapidly. A re-drying plant was set up at Akora Khattakprogressed rapidly. A re-drying plant was set up at Akora Khattak

and cultivation of Virginia tobacco commenced. After the birth of and cultivation of Virginia tobacco commenced. After the birth of

Bangladesh and consequently, withdrawal of Dacca-ChittagongBangladesh and consequently, withdrawal of Dacca-Chittagong

factories, a new factory was set up at Akora Khattak (N.W.F.P) infactories, a new factory was set up at Akora Khattak (N.W.F.P) in

1975 to meet the increasing demand. Pakistan Tobacco Company’s1975 to meet the increasing demand. Pakistan Tobacco Company’s

journey on the road to progress and prosperity continues with some journey on the road to progress and prosperity continues with some

major new development / investment projects over the last fewmajor new development / investment projects over the last few

years.years.

Projects commenced in the recent past are:Projects commenced in the recent past are:

•• Modernisation of GLT (re-drying) plant.Modernisation of GLT (re-drying) plant.



•• Upgrading of Primary and Secondary manufacturing facilities atUpgrading of Primary and Secondary manufacturing facilities at

Akora Khattak and Jhelum factories.Akora Khattak and Jhelum factories.

•• The acquisition of modern high speed LOGA / MAX cigarette making The acquisition of modern high speed LOGA / MAX cigarette making

machines.machines.

Pakistan Tobacco Company, by spearheading the campaign forPakistan Tobacco Company, by spearheading the campaign for

modern agriculture and industrial practices, has played anmodern agriculture and industrial practices, has played an

extremely significant role in the progress and development of theextremely significant role in the progress and development of the

country. Pakistan Tobacco Company is the first foreign investmentcountry. Pakistan Tobacco Company is the first foreign investment

in Pakistan to pioneer the manufacture of cigarettes and cultivationin Pakistan to pioneer the manufacture of cigarettes and cultivation

of Virginia tobacco in the country. Through our advanced techniquesof Virginia tobacco in the country. Through our advanced techniques

and farming practices, Pakistan now ranks third in Asia in terms of and farming practices, Pakistan now ranks third in Asia in terms of

tobacco yields Kgs/Ha.tobacco yields Kgs/Ha.

Pakistan Tobacco Company is strongly committed to being a goodPakistan Tobacco Company is strongly committed to being a good

corporate citizen. Over many years they have been:corporate citizen. Over many years they have been:

•• Donating to a number of deserving causes.Donating to a number of deserving causes.

•• Planting trees through our Forestations programme.Planting trees through our Forestations programme.

•• Sponsoring and promoting sports activities.Sponsoring and promoting sports activities.

•• Running free mobile dispensaries.Running free mobile dispensaries.

•• Playing a significant role in the eradication of poppy cultivation byPlaying a significant role in the eradication of poppy cultivation by

providing alternate income sources to the inhabitants of ancestral poppyproviding alternate income sources to the inhabitants of ancestral poppy

cultivation areas.cultivation areas.

First and foremost remains the economic impact we have madeFirst and foremost remains the economic impact we have made

wherever we have taken our business. These fifty years havewherever we have taken our business. These fifty years have

transcended Pakistan Tobacco Company into an institution. We havetranscended Pakistan Tobacco Company into an institution. We have

come through thick and thin with the country, and are responsiblecome through thick and thin with the country, and are responsible

for generating tremendous economic activity and introducingfor generating tremendous economic activity and introducing

innovative ideas and breakthrough strategies. We plan to continueinnovative ideas and breakthrough strategies. We plan to continue

in this spirit.in this spirit.

OVERVIEW OF PAKISTAN TOBACCO COMPANY OVERVIEW OF PAKISTAN TOBACCO COMPANY

1. Vision -1. Vision - “1“1stst choice for Every One”choice for Every One”

2. Mission2. Mission - Transform PTC to perform with the speed, flexibility- Transform PTC to perform with the speed, flexibility

and enterprising spirit of an innovative, consumer-focusedand enterprising spirit of an innovative, consumer-focused

company.company.

3. PTC History3. PTC History



•• First Multi-national Company in PakistanFirst Multi-national Company in Pakistan

•• 1948 - Established Karachi Factory1948 - Established Karachi Factory

•• 1948 - Commenced pioneering of Virginia cultivation1948 - Commenced pioneering of Virginia cultivation

•• 1952 - Installed the Re-drying Plant at Akora Khattak Factory which1952 - Installed the Re-drying Plant at Akora Khattak Factory which

also became the Leaf HQalso became the Leaf HQ

•• 1955 - Second factory Jhelum1955 - Second factory Jhelum

•• 1976 - A third factory set-up alongside the GLT at Akora Khattak1976 - A third factory set-up alongside the GLT at Akora Khattak

FactoryFactory

•• 1991 - Closed Karachi Factory1991 - Closed Karachi Factory

•• 1994 - Head Office shifted to Islamabad1994 - Head Office shifted to Islamabad

4. MRP-II4. MRP-II - Achieved class “A” in all 5 chapters of MRP-II in May- Achieved class “A” in all 5 chapters of MRP-II in May

20012001

5. PTC Corporate Information5. PTC Corporate Information

•• Annual Volume (2001)Annual Volume (2001) 28 Billion Cigarettes (approx)28 Billion Cigarettes (approx)

•• Government RevenueGovernment Revenue $183 Million$183 Million

••

2 Manufacturing Sites2 Manufacturing Sites Jhelum / Akora Khattak Jhelum / Akora Khattak•• Permanent EmployeesPermanent Employees 2,0792,079

•• BAT ShareholdingBAT Shareholding 94.7 %94.7 %

6. PTC Manpower6. PTC Manpower

Jun 2001 Jun 2001

•• ManagersManagers 181181

•• Business Support OfficersBusiness Support Officers 363363

•• Workers – PermanentWorkers – Permanent 1,5351,535

•• Workers – SeasonalWorkers – Seasonal 247247

•• Grand TotalGrand Total 2,2362,236

7. Industrial Relations7. Industrial Relations (Industrial Relations Ordinance, 1969)(Industrial Relations Ordinance, 1969)

•• Number of Unions:Number of Unions:

Akora Khattak FactoryAkora Khattak Factory 0303

Leaf AreaLeaf Area 0202

Jhelum Factory Jhelum Factory 0101



•• Akora Khattak & Leaf Area – One union is elected as CBA throughAkora Khattak & Leaf Area – One union is elected as CBA through

referendum every two years, organised by Labour Department of referendum every two years, organised by Labour Department of

Government.Government.

•• Jhelum Factory – Candidates are elected through election organised Jhelum Factory – Candidates are elected through election organised

internally by the union every two years.internally by the union every two years.

9. Head Office9. Head Office

HO is located at Floors 14, 15 and 16 of Saudi Pak Tower, Blue Area,HO is located at Floors 14, 15 and 16 of Saudi Pak Tower, Blue Area,

Islamabad.Islamabad.

RECRUITMENT AND SELECTION PROCESS AT PTCRECRUITMENT AND SELECTION PROCESS AT PTC

A manager at Pakistan Tobacco Company in the following wordsarticulately summarized the importance of correct ‘selection’ for an

organization: “To be the best, you must have the best .”

The selection process is a series of specific steps used to decide whichrecruits should be hired. The process begins when recruits apply foremployment and ends with the hiring decision. The question of whomakes the hiring decision varies from organization to organizationhowever in most cases the HR department evaluates applicants in regardto their potential suitability through the use of valid procedures.

Recruiting and selection are combined and called the employment

function in many HR departments. The consequential significance of having a sound selection process is that law may hold employers liable forthe criminal acts of those they hire. When employers are negligent inhiring or retaining employees who are likely to be harmful to others, thoseinjured may sue the company for damages and win. The latest in selection tests is the simulation exercise used by MerrillLynch. This is an unnerving stress test that works by creating an artificialwork like environment where candidates are confronted with realsituations, which they would encounter, were they employed. The testaims to examine how candidates would deal with these situations under atime frame. We believe this test can be used as a benchmark againstwhich the success of other selection processes can be measured.

The selection process relies on three helpful inputs:

Job Analysis seeks to study patterns of activity to determine thetasks, duties, and responsibilities needed for each job. Job analysisinformation yields the description of the jobs, the humanspecifications, and the performance standards each job requires.

HR Planning systematically forecasts an organizations futuredemand for and supply of employees. HR Plans identify likely job

openings and allow selection to proceed in a logical and proactivemanner.



Recruits form a pool of candidates from which employees areselected.

Other challenges to the selection process limit the actions of HR specialists and line managers.

STEPS IN THE SELECTION PROCESSSTEPS IN THE SELECTION PROCESS : The selection process is a series of steps through which applicants pass. The sequence of steps may vary in different organization however the

basic purpose remains the same throughout --- the process seekscandidates who are likely to be successful and strives to eliminate thosewho are likely to fail.Selection is strongly influenced by whether candidates are being chosenfrom within or outside the firm, the availability of applicants, and equalemployment opportunity challenges. The chronological steps in theselection process used generally is illustrated below.

Employment Tests

Realistic Job Previews



I N T E R V I E W SI N T E R V I E W S

An interview is a conversation or verbal interaction, normally between two people, for a particular purpose. The intention is toexplore certain subject areas. Extraneous topics are usually minimized.Ordinarily, in an organization, there are many types of interviewsconducted simultaneously, such as, appraisal interviews, job analysis

interviews, counseling interviews, grievance interview, data gathering fora research project etc. the basic principles of interviewing apply to alltypes, however, the specific technique employed will differ.

THE SELECTION INTERVIEW

Interviews are the most universally used selection method. Althoughmany employers do not use tests to aid in reaching an employmentdecision, there are hardly any that do not interview the applicant in orderto help make a definite assessment. Usually interviews are conducted atthree stages, the preliminary, the employment office interview, and thefinal decision-making interview by the prospective supervisor.

OBJECTIVES OF SELECTION INTERVIEWSOBJECTIVES OF SELECTION INTERVIEWS

The goals of a selection interview can be grouped into three maincategories:

• Interviewer gathers knowledge about the candidate to determinewhether he is suitable for employment in the organization and for the

particular job under consideration.• The interview also gives the interviewee information about the job, the

organization so that he/she may be in a better position to either acceptor reject a job before hand.

• Dealing with a candidate in such a manner so as to maintain and create goodwill towards thecompany and its management.

MOTIVATION OF INTERVIEWEEMOTIVATION OF INTERVIEWEE

The desire of the interviewee to explain himself fully and to reveal freely his experiences, goals, and attitudes is strongly influenced by the

personality and behavior of the interviewer. If the interviewee feelcomfortable and at ease with the interviewer and if the interviewee isunder the impression that he is being heard carefully, the interviewee islikely to speak freely and honestly and perform better on his/her interview.

The interviewer at all times must refrain from criticizing the candidate,and must maintain a cordial atmosphere.

When asking emotional questions such as, “tell me about yourrelationship with your ex boss” or “tell me about your childhood”, the

interviewer must realize that humans tend to “think with the heart rather



than the head” when answering such questions. Therefore, when askingsuch questions, the interviewer should be perceptive.

BARRIERS TO COMMUNICATIONBARRIERS TO COMMUNICATION

If during the interview, the interviewee feels that there is a clash betweenhis values and goals and those of the interviewer, he will tend to be

inhibited. If he feels that the interviewer is not “with him”, that he willreject, as being socially unacceptable, certain of his statements, then hewill only reveal information that will present him favorably. So lets just saythat politics and religion would probably be the worst topics to discuss atan interview.

TYPES OF INTERVIEWSTYPES OF INTERVIEWS

Interviews, on the basis of structure and technique, can be classified intothree main categories:

• Planned

• Patterned

• Stress

• Mixed

• Behavioral

PLANNEDPLANNED

The planned interview has also been referred to as the depth and as

interview as the action interview. The interviewer outlines in advance thesubject areas he/she wishes to explore. For the beginning interviewer thiswould be recorded in writing, although referring to his/her notes wouldn’treally be a wise idea. The idea is to get the candidate to talk on thesubjects freely and expansively. At the end the candidate is also givensufficient information about the nature of the job, the organization, etc sothat he/she can decide whether the job is suitable for his/her needs.

PATTERNEDPATTERNED

This is also known as the standardized interview. The interviewer in asking

his/her questions uses an extremely comprehensive questionnaire. It ishighly structured. It asks so many detailed questions; literally no stone isleft unturned in exploring the background, knowledge, attitudes, andmotivation of the job seeker.

STRESSSTRESS

Devised during World War II by the United States government forselecting undercover agents for the Office of Strategic Services. In thistype the interviewer assumes a role of hostility towards the subject.He/she becomes an interrogator. The aim is to put the candidate on the

defensive and to deliberately annoy, embarrass and frustrate thecandidate, so that he/she loses control of his/her emotions. Sometime the



candidate is assigned a task of unusual difficulty and with considerableannoyance thrown into the situation. The object of stress interviews is tofind people who can maintain control over their behavior when they arehighly aroused internally. They must be able to act well adjusted andpoised. Merryll Lynch also uses this type of interviews to select brokers,where a stressful physical and mental environment is created for thecandidates.

MIXEDMIXED

This type is a combination of structured and unstructured interviews. Thisis the most commonly used type of interviews.

BEHAVIORALBEHAVIORAL

The focus in such interviews is on a hypothetical situation that thecandidates are asked to solve. How the candidates solve the problem andthe solution itself, both are evaluated. The way the candidate reacts to

the question, how he/she works under stressful situation, all are taken intoaccount.

INTERVIEWERS ERRORINTERVIEWERS ERROR

There is no full proof method of evaluating a candidate. No matter howcarefully an interview is conducted. There will always be certain errors in

the ultimate evaluation.

HALO EFFECTHALO EFFECT

Interviewers have a tendency to base their judgments on a certainparticular characteristic of the candidate. Often a candidate is judged onlyby the way he/she dresses up for the interview or by the way he/she talksetc.

LEADING QUESTIONSLEADING QUESTIONS

This can also be called “putting words into the mouth” of the candidate.When the interviewer asks a question in a way that he actually“telegraph” the candidate as to what answer should be given to thequestion. For example, “Do you agree that our company is the marketleader?”, “Do you think association with a worker union may beunfavorable in this organization?”

PERSONAL BIASPERSONAL BIAS

Perhaps the most common of errors committed, this happens when an

interviewer harbors prejudice against specific groups. Often a supervisormay opt for a certain type of candidate, for example preferring a man fora sales job rather than a woman.



INTERVIEWER DOMINATIONINTERVIEWER DOMINATION

When interviewers tend to dominate the interview, talk more aboutthemselves and the organization rather than the candidate. The interviewshould focus on the candidate and not on the interviewer.

REFERENCE AND BACKGROUND CHECKSREFERENCE AND BACKGROUND CHECKS

After conducting the interview the next step in the selection process is toconduct background and reference checks. In background and referencechecks, it is seen that what ever the candidate has written in theresume or whatever information he has provided to the HRdepartment how close it is to reality.

Normally in these checks the HR department sees:

Is the applicant a good, reliable worker? Are the job accomplishments, titles, educational backgrounds and

other facts on the resume or application true? What type of the person is the applicant? What information is relevant to matching the applicant and the job?

R E F E R E N C E SR E F E R E N C E S

References are of two types:

Personal reference Employment reference

Personal reference attests to the sound character of the applicant.Personal references are usually provided by close friends or familymembers. While writing a reference these people mostly highlight thepositive points of the candidate or the applicant. That is why they areconsidered less reliable.

Employment references on the other hand are more reliable than

personal references. This kind of reference discusses the applicant’s workhistory.

The legislations about “privacy” prevent HR department to provideinformation about the applicant. They have this fear that if the informationprovided by them is some how wrong they can be sue by the applicant.

Although they are protected by a law called “qualified privilege” butprotection may end if there are doubts about the truth of therecommendation, about whether the recommendation has been made

with malice, or about whether the information involves issues not coveredby privilege, such as personal information not related to employment.



As a result many HR departments have policies that limit referenceinformation to little more than verifying that the person actually workedfor the company. Some HR departments do not even do this job.

TELEPHONIC INQUIRIESTELEPHONIC INQUIRIES

Due to resistance in not providing reference by HR departments,employers of many companies have omitted the step of getting theemployment references. Instead they conduct telephonic inquiries aboutthe applicant. This type of background check gives a faster responseand it is very cheap than actually writing to the HR departments.

The information gained by this method is most of the time accuratebecause voice inflection or hesitancy to answer blunt questions mayreveal under lying problem.

BONDING AND SECURITY CHECKSBONDING AND SECURITY CHECKS

When the applicant is applying for the very crucial post like a seniorexecutive in the finance department, then background search may goesfar beyond letters of reference. Bonding companies may want far moredetails than what is mentioning in the resume and applications. The HRdepartment in such cases checks:

The criminal record of the person, His/her credit rating

Such types of checks are often conducted while hiring a person in armedforces or in special services or if Government wants to hire some body for

the highly secret task.

Normally such checks may take six to seven months and it may involvechecks on family members and applicant past.

Medical Evaluation life insurance rates for company paid insurance. Be required by state or local health official, particularly in food

handling operations where communicable diseases are danger. Be useful to evaluate whether the applicant can handle the physical

or mental stress of the job.

Medical evaluation has loss its popularity in United States because of theDisabilities Act. But in Pakistan it is gaining popularity. Now bigmultinationals and other companies conduct this step. For example whena person is hired in Societe Generale the French and International bank,he/she is being evaluated medically before making final hiring decision.And if the person is not physically fit the bank does not offer job to thatapplicant.

In armed forces, medical evaluation is a must step in the selectionprocess. A person have weak eyesight cannot fly a plane. Such person is

mostly grounded. Similarly a person having any backbone problem cannotfight during the war. Mostly office work is given to such person.



SUPERVISORY INTERVIEWSSUPERVISORY INTERVIEWS

Supervisory interviews are another important step in the selectionprocess. After conducting interview, medical evaluation and backgroundchecks the hiring responsibility is given to supervisor of the relateddepartment. A supervisor decides whom to hire from two or threeapplicants.

A supervisor knows better than any body else that what technicaland professional skills are required. He can ask applicants thespecific technical questions that are more related to the job. A supervisorcan best judge that whether the applicants have all that qualitiesthat a job requires. As a result the supervisor takes mostly the hiringdecision. If he feels that the applicant is the right person for the job thereis more likelihood that the person is going to be the final choice.

In very rear cases the hiring decision is left with HR department.Especially when the person is not selected a particular job rather he is

selected as a trainee than in this case the HR department makes thehiring decision not the supervisor. Some time if an applicant is beingrejected because of certain discrimination like he is minority or any othersuch discrimination, then the HR department is given the final authority toavoid charges of discriminations.

The commitment of the supervisor is generally high when they areinvolved in the hiring decision. Just as in MBO, an employee thatparticipates in the decision is motivated and committed to theorganization goal, same way when a supervisor participates in theselection process he owns this decision and feels responsible about the

results. Some how if the employee turns out to be unsatisfactory, thesupervisor is more likely to accept some of the responsibility for thefailure.

Similarly if the supervisor rejects a person but the managementhires the same person for any reason, there are more chances thatthere will be a constant conflict between the supervisor and theemployee. The new employee feels much difficulty in adjusting in suchenvironment.

REALISTIC JOB PREVIEWREALISTIC JOB PREVIEW

In realistic job previews also known as RJP, the applicant is given theopportunity to see the job and job setting before the hiringdecision is taken. The candidate is shown the type of work, the actualworking condition, the equipment or machinery with which he is going towork and also meeting with the fellow workers.

Realistic job previews are not used by most of the companies but still it isvery essential step. An employee who is hired without showing any thingis always confused. He is more likely to be shocked by the job and job

settings when he reports to the work. RJP helps in reducing theseshocks and surprises by giving the employee the insight about



the job before hiring. The employees who have an RJP are mentallyprepared for the job and work environment.

The problem of turn over is one of the biggest a problem that a companyfaces. It wastes the company’s time, money and resources used inselection process. If the employee has not used an RJP, he will bedissatisfied with the job. It might be that he has certain otherexpectations from that job and the job turns out to be some thing else. This will create dissatisfaction and eventually the employee will leave the job.

RJP helps in reducing the turn over level resulting in saving the time,money and resource of the company. The employees have themselveschosen this job after seeing all the work settings so they are committed tothis job and the chances of quitting the job reduces. The employees trytheir best to adjust in those settings.

In short it is very crucial step in the selection process. The company

should include this step in their selection process.

HIRING DECISIONHIRING DECISION

Hiring decision is the last stage in the selection process. Based on thenotes and comments of the supervisor and the HR department, thehiring decision is taken by any one in the line capacity. It can bethe head of department or any senior executive.

The hiring decision is not just extending an offer, the HR departmentshould also notify applicants who were not selected. Also the HRdepartment should maintain the files of applicants who were notselected so that they can be hired when the company again has somevacancy. This will save company time, money and resources, sine thesesapplicants have gone through the process of selection so there is no needto waste the resource again.

The HR department is also responsible for maintaining the file of the person hired. The file should include the HR report of the applicant.In addition to this report the file should also include information like whomto contact in case of emergency, additional background information of the

applicant, medical evaluations etc.

Maintaining the HR files is very important. It is helpful in verifyingthe test and selection process. The files about the employees not selectedhelp in defending the company against the charges of employmentdiscrimination.

EXECUTIVE SUMMARY EXECUTIVE SUMMARY

Pakistan Tobacco Company is a subsidiary of the multi-national tobaccogiant British-American Tobacco (BAT). Although the BAT Head Office is

situated in London, its operations are spread out worldwide. BAT markets



it’s products in almost 120 countries and carries out production in 75countries across the globe.BAT is one of the two largest tobacco companies in the global tobaccomarket; the other being Philip Morris (manufacturers of Marlborocigarettes). Not long ago Philip Morris held 18% of the market share whileBAT secured 17%, however since BATs recent merger with Rothmans, thetwo companies are pretty much at par with each other.

The focus of BAT on the international perspective is, “to be the worldsleading Tobacco Company”. Unlike Philip Morris, BAT does not plan todiversify into consumer goods. Their concentration and emphasis is still onthe quality of their tobacco products.

The Head Office of PTC is based in Islamabad. This is supplemented bythe five Regional Offices in the headquarters of the main regions, namelyLower Sindh Region (headquarter-Karachi), Upper Sindh & BalochistanRegion (headquarter- Sukkur), Multan Region (headquarter-Multan),Central Punjab Region (headquarter-Lahore) and the Northern Region

(headquarter-Rawalpindi). Each Regional Office branches out into 4 to 5Area Offices located in major cities in the region. Production is carried outin two factories located in Jhelum and Akora Khattak respectively.

Some of their major brands include Benson & Hedges, John Players GoldLeaf, Capstan, Wills & Embassy. Financially PTC has been maintaining astatus of massive loss over the last five years or so. Despite the loss theyare one of the highest tax payers. Some PTC officials attribute thefinancial status of the Company to “not taking the competition seriously”,in their own words.

For 1999 there were substantial improvements in the operating profits of PTC, (Rs. 344mn vs Rs. 92mn in 1998). This improvement was mainly dueto significant increase in consumer prices combined with reduced productcosts and improved stock management. PTCs ongoing business recoveryprogram continued during 1999 with progress in building internalcapabilities, significant investments and improvements in product quality.However, the trading environment for the legitimate cigarette industrywas influenced by two significant events:

Firstly, the previous governments agreement with a number of tax

evading companies to remove supervision in return for a small excisecontribution. This partially legitimized their illegal sales with the resultthat the volume of tax evaded brands increased significantly. Due to this,PTC lost a great deal of their customer base to brands like Gold street inthe northern areas.

Secondly, the industry prices were increased by 25% during the first half of 1999, partly in response to pressure imposed by the federal budgetproposal to increase excise rates. It has been and remains the log termobjective of PTC to bring cigarette prices in Pakistan to a realistic level.

The two events combined resulted in a decline of the overall market withconsumers switching to lower priced brands. As a result the tax-evadingsegment benefited significantly. This was solely due to their ability to



position brands at price points that would be unsustainable were they topay excise duty.

However PTC will continue to work strenuously to ensure that thegovernment understands the damage that results from the illegitimatesector.

OBJECTIVES AND FUNCTIONS OF HR AT PTCOBJECTIVES AND FUNCTIONS OF HR AT PTC

As illustrated in the organ gram the Human Resource Department at PTCis run by few qualified officials and a par excellence Human ResourceInformation System. HR policies at PTC are of course largely influenced bythe rules and parameters set by HR at BAT. Currently the HR departmenthas defined all it’s objectives and functions in congruence with the BEST2000 program, details of which follow this report. All HR objectives reflectthe corporate values of PTC:

Supportive

CompetitiveOpen

ProfessionalEthical

These values define the goals or SCOPE of the activities at PTC.

OBJECTIVES OF HROBJECTIVES OF HR

To be the preferred employer (i.e. to be included in the top tiersalong withcompanies which are reliable preferred multi-nationals)

To have a competitive remuneration package (i.e. market drivencompetitive salaries)

To provide vast opportunities for development and well-definedcareer paths

Effective Manpower Planning

Efficient Personnel Information System

Through tools like Communication, Career Development, Training &Development, the Company is targeting higher order needs hoping thatthis will result completely in the formation of an Achievement Culture.

FUNCTIONS OF HRFUNCTIONS OF HR

The functions of the HR department are listed below along withspecifications of sub-functions performed in each major function.

Assessment & SelectionAssessment & Selection

Recruitment Policy --- this includes potential for recruitment of

management trainees as well as mid career recruits along withregular graduates.



Matching Job/Person Specifications --- assessing functional as well asmanagerial competencies.

Developing Sources of Recruitment --- advertisements, etc

Running Campus Campaigns --- main target universities are LUMS,IBA, UET, GIK, etc

Remuneration & BenefitsRemuneration & Benefits

This consists of setting the remuneration according to dimensions,characteristics and responsibilities of the job. It also includes ensuringaccountability for actions.

Formulating and implementing Job Profiting Programs

Establishing Job Evaluation Criteria & Grade Structure

Formulating simplified Pay & Benefits Policy

Establishing components of Remuneration --- basic salary, houserent, utilities, etc

Salary Reviews of other multi nationals considered to be in the sameleague, e.g. ICI, Lever Brothers, Procter & Gamble, etc

Conducting Salary Surveys

Training & DevelopmentTraining & Development

This includes designing, developing and conducting courses, whichenhance the 8 desired BAT managerial competencies:

1. Communication skills2. Influencing skills3. Leadership capabilities

4. Resource Management5. Rational Decision Making6. Business Development7. Creative problem solving8. Career commitment

The main training & development functions are:

Training on Induction

Functional Training Courses

Managerial Training Courses

Business Awareness Programs --- carried out through cross

functional attachments Performance Monitoring

Succession Planning

Employee Relations

Traditionally attitudes in Pakistan towards labor have been exploitativebut PTC is trying to improve through the following activities:

Following Labor Legislation

Improving Union & Management Relations --- trying to build abusiness partnership



Manpower Planning

Conducting Disciplinary Proceedings if the need arises

Grievance Handling

Counseling

Encouraging Employee Welfare Activities

HR AdministrationHR Administration

Maintaining a very modern Personnel Record System

HR Database

Human Resource Planning

Salary Administration & Disbursement

Service Contracts

Organizational DevelopmentOrganizational Development

Company Mission, Vision, Culture & Structure

Implementing and improving Change Management Policy Productivity Improvement

Staff Turnover Trends --- minimizing turnover

Work Environment & FacilitiesWork Environment & Facilities

Providing optimum physical working conditions

Bringing about behavioral & attitudinal changes

Minimizing procedural barriers Providing all possible career progression opportunities

BEST 2000- A VEHICLE FOR CHANGEBEST 2000- A VEHICLE FOR CHANGE

WHY BEST 2000?WHY BEST 2000?

In 1996, the HR department of PTC decided to conduct an employeesatisfaction survey. The survey was comprehensively conducted and thefindings astonished everyone. They showed extremely high levels of employee dissatisfaction and several other problems were identified.Some of the major discoveries of the 1996 survey are listed below:

• Lack of focused approach

• No real concept of team work• No customer perspective

• Contended with status quo

• “ We” and “They” culture

• Fire Fighting – a way of life

• No fun working

Thus everyone agreed that a major recovery strategy was the call of theday. Since the problems were so wide spread in all levels of employees HRbelieved that the successful implementation of the recovery strategy

required full participation of all employees.



The result was a change management program, a total quality approachwhich was called BEST 2000 standing for:

BUILDING EXCELLENCE AND SUCCESS TOGETHER

The major issues were identified as:

• Consumer Focus

•

Customer Supplier Relationship• Culture Divide

• Perceived Union Strength in Factories

BEST 2000 GOALSBEST 2000 GOALS

Together we will be the best in everything we do by the year 2000

• To be more customer focused

• To build the will & the skill to improve

• Create a supportive culture for continuous improvement

• Synchronize all energies to achieve plans and improvebusiness by involving everyone in the Company

BEST 2000 AIMSBEST 2000 AIMS

To Introduce

• Principles of Total Quality Management

• Tools for Improvement

• Supportive Culture of a world class organization

To improve understanding of • Our customer needs

• Our Company Goals

• Our key processes

• Leadership behaviors

• Teamwork

• Continuous Improvement

To improve output to key customers in terms of

• Quality

• Service• Delivery

• Cost

• Flexibility

Training

The objective here is to train a total of 210 Managers, 400Business Support Officers, 2500 workers and 200 Distributors /Contractors and to equip them with Total Quality tools and the

right attitude for success.

Cultural Change



Certain developments in this area include the ThermometerInitiative, a tool designed to periodically measure the employees’temperature… satisfaction. It also helps to bring out certainproblems employees may have been facing.Another development is Reverse Appraisal, which involves juniormanagers appraising senior managers in a bid to discover how thetop management is living the corporate values of the Company inthe eyes of their juniors.

Information flow

In order to overcome the restricted flow of information and tomake the employees feel well-informed and to make the financialperformance of the Company well known to everybody the idea of the Corporate Dashboard was introduced.An illustration is presented on the next page:

LINKED DASHBOARD SYSTEMLINKED DASHBOARD SYSTEM

Successful Improvements

• Teamwork

• Top Down Communication

• Quality of Service

• Internal & External Customer Relationships

• Employee Development

Areas For Further Improvements

• Tolerance of mistakes

• Bottom up communication

CORPORATE

DASHBOARD

FINANCE

CORA

T.MKT.

B.MKT.

HR

LEAF

PROD.

DEPARTMENTAL REPORTS



• Outward focus towards customers while making decisions

• Process improvements

• Mutual respect for each other

SELECTION INTERVIEWS AT PTC

The selection interviews at PTC are conducted at 3 different stages,

starting with the initial interviews, then onto the assessment center andthen the final interview, which is actually more like a supervisoryinterview.

During the initial interview, the candidates are asked to talk aboutthemselves. It has no set pattern, very unstructured. More like a cordialtalk, the aim is to make the candidate feel at ease with the interviewerand get accustomed to the organization’s environment. All questionsasked are either from the resume of the candidate or are of personalnature. The interviewer probes into the interviewees past experiences,education background, area of interest, family background, aspiration and

expectation from the job. This is also the stage where the interviewer triesto find out if the candidate actually wants to stay with the organization orwould he/she jump whenever given a better opportunity. So at this stagethe candidates are often asked about their long-term plans.

All those who qualify the initial interview are then called to theassessment center for a daylong rigorous exercise that begins with groupdiscussions (the assessment center has an office like work settingcreated), here the candidates are given a hypothetical situation and areasked to solve it as a group. Sort of like a behavioral interview, but in agroup. A panel of executives monitors the behavior of each candidate,here qualities like motivation, group participation, teamwork spirit,leadership etc are evaluated. The team players are appreciated and thesocial recluses are considered a problem case. Then the candidates areasked to make presentations before the panel, this is an individual effort. The written tests will be discussed later in detail. For this portion I choseto keep my focus on interviews. At the end of the day, the day at theassessment center is wrapped up with another group discussion.Qualifying candidates are then invited for the final interview.

Only one person the functional manager conducts this. He is usually the

prospective boss/supervisor. This is purely structured. Candidates areasked questions testing their grasp of the subject. His/her functional knowhow is assessed. Then the candidate is taken on a tour around the officeto get “the feel” of the real work environment. This is where candidateinterviews the interviewee! The candidate asks question about the job andthe interviewer supplies the information.



REFERENCE AND BACKGROUND CHECKSREFERENCE AND BACKGROUND CHECKS

PTC does rely on references and background checks. After the interviewthe HR department of PTC writes to the HR departments of the companieswhere the selected candidates have worked and they expects a reply.Reference contributes a lot to the final hiring decision. If the person has agood professional history, he has more chances to be selected.

In PTC, they hardly get any negative opinion about any applicant.According to the human resource personnel of PTC,

“We write to the person and expects a response. We hardly get anynegative response but still we write to fulfill our job and to practice goodcorporate values.”

MEDICAL EVALUATIONMEDICAL EVALUATION

PTC gives much importance to medical evaluation. After the interview it is

a necessary requirement to go through all the medical checkups from thecompany’s prescribed Doctor.

All applicant selected from the interview has to go through this step.Supervisory interviews are conducted only if the doctor feels that theapplicant is physically fit to do the job. If the person is not physically fit,there is no way the employee can be hired.

SUPERVISORY INTERVIEWSSUPERVISORY INTERVIEWS

After the medical evaluation and background checks, the applicant is

called for a supervisory interview.

In supervisory interviews there is just one person, head of the departmentwho conducts the interview. Final interviews include more job relatedquestions. Expectations at this stage are much high because theapplicants have gone through a series of steps. It is expected at this stagethat he should know a lot about the company and also about the job.Questions are asked that directly relate to the actual job. For example if they are hiring an engineer, the interview will be conducted in a way toknow more about his technical skills rather than his communication or

management skills.

REALISTIC JOB PREVIEWREALISTIC JOB PREVIEW

PTC sent the person to the place where he is going to work for a day ortwo depending on the nature of the job so that he can see theenvironment, actual job settings, and can also meet co-workers. Accordingto their HR personnel;“Many few companies in Pakistan are using this step. This step helps us a

lot because this reduces our turn over rate. Our turn over rate is just 2 or3 person in the last 3 years and I guess this step is the major contributorof this low turn over rate. The candidate has seen the actual settings. He



is committed to the job and tries to adjust himself because he himself chose that position after seeing everything. He does not have any shockswhen he comes on the very first day.. “

HIRING DECISIONHIRING DECISION

In PTC, just one person does not take hiring decision. Each and every stepcontributes towards the final decision.

The person who scores good in the test, has selected from the initialinterview, has medically fit, got a good professional history and managesto satisfy the supervisor have a better chances to be selected.

Department head in the Company declares the final decision.

CONCLUSIONS

Overall HRM department of Haleeb Foods is quite efficient and theyadapted more of the modern day human resource procedure but they dolack in some areas for example in their interview process they put moreemphasis on non structured interviews due to which they lack objectivityat times and due to that same reason when we ask about how do youreduce some common mistakes made during interviews, Mr Wasif answerwas not very satisfactory. They also don’t co-relate the test scores andapplicants performance in the interview which could help them to makestrong opinion about the candidate. Therefore it is suggested that theyshould introduce structured interviews and have a psychologist who could

help them to understand the behavioral aspect of the candidate in abetter way.

Documents

Human Resource(PTC)Management