PAK ELECTRON LIMITED

GROUP MEMBERSGROUP MEMBERS

MIRZA SAJID MAHMOODWAHEED IQBALNAVEED-UR-REHMAN

SEQUENCESEQUENCE

Introduction - WAHEED IQBAL Part – I

◦ Vision◦ Mission◦ Goals ◦ Historical Back ground ◦ Product line◦ Division of branches◦ Hierarchy at PEL,

Part – II – NAVEED-UR-REHMAN◦ SWOT Analysis,

Part – III – MIRZA SAJID MAHMOOD

◦ HR Practices Conclusion & Recommendations Questions & Answers - All

CONDUCT METHODOLOGYCONDUCT METHODOLOGY

Gathering of Information about PEL, Company

Visit to PEL, Feroz Pur road Lahore on 30 November

Conduct of Interview with HR Executive (Mrs. Irum Butt).

Meeting with Mian Javed (Marketing Head, Feroz Pur Road Lahore)

PART – IPART – I

WAHEED IQBALWAHEED IQBAL

HUMAN RESOURCE MANAGEMENTHUMAN RESOURCE MANAGEMENT

Policies, practices and system that influence employee’s

behavior, attitudes and performance.”

“HRM is function within an organization that focuses on

recruitment of management and providing direction for the

people who work in the organization”.

VISION VISION

“To excel in providing engineering goods and services through continuous improvement.”

MISSION MISSION To Provide quality products & services to the complete satisfaction of our customers and maximize returns for all stakeholders through optimal use of resources

To focus on personal development of our Human Resource to meet future challenges

To promote good governance, corporate values and a  safe  working environment with a strong sense of social responsibility

GOALSGOALS

Pak Electron Limited goal is to attain self-reliance in electronics and replace foreign consultants

Historical Back GroundHistorical Back Ground

HISTORICAL BACK GROUNDHISTORICAL BACK GROUNDPak Electron Limited (PEL) is the pioneer manufacturer of electrical goods in Pakistan. It was established in 1956 in technical collaboration  with M/s AEG of  Germany. In October 1978, the company was taken over by Saigols Group of Companies. Since its inception, the company has always been contributing towards the advancement and development of the engineering sector in Pakistan by introducing a range of quality electrical equipments and home appliances and by producing hundreds of engineers, Skilled workers and technicians through its apprenticeship schemes and training programs

The PEL comprises two divisions

Appliances Division Power Division 

Appliances DivisionAppliances DivisionPRODUCT LINEPRODUCT LINE

Power DivisionPower Division

SAIGOL COMPANIES TAKEN OVERSAIGOL COMPANIES TAKEN OVERBY THE GOVERNMENT IN 1972 BY THE GOVERNMENT IN 1972

Insecticides (Pakistan) Ltd.DDT and BHC Plant

Insecticides (Pakistan) Ltd.Acetate Rayon Yarn Plant

Kohinoor Engineering Ltd.Workshop Fabrication Erection Services

United Bank Ltd. (UBL)Scheduled Commercial Bank

United ChemicalsCaustic Soda / Chlorine Plant

Kohinoor Oil Mills Ltd.Vegetable Cooking Oil Plant

HEAD OFFICE14-KM Ferozepur Road, LahorePh:042-5811952-57 Fax:042-5810156, 5822682

ZONAL OFFICESLahore Karachi Hyderabad Multan Sahiwal Faisalabad Gujranwala Rawalpindi Sukkur Peshawar Sargodha

  DIVISION OF BRANCHESDIVISION OF BRANCHES

Year Product Introduced Technical Collaboration

1956 Distribution Transformers, Switch Gears, & Three Phase Induction Motors

AEG West Germany

1978 PEL was taken over by Saigols Group

1981 PEL Window Type Air Conditioner General Corporation Japan

1987 PEL Refrigerators SILTAL SPA Italy1987 PEL Deep Freezers ARISTON Italy1993 PEL NECCHI Fractional Horse Power Compressors NECCHI COMPRESSORI

Italy 1994 PEL Single Phase Watt Hour Meters ABB, Power T&D Company

USA1995 PEL DAEWOO Colour Television Daewoo Electronics, Korea

1997 Carrier Window & Split Type Air Conditioners Carrier Corporation USA

2001 Samsung Window & Split Type Air Conditioners Samsung Corporation Korea

THE CHRONOLOGY OF PRODUCTTHE CHRONOLOGY OF PRODUCTINTRODUCTION AT PELINTRODUCTION AT PEL

HIERARECHY OF PELHIERARECHY OF PEL CEO is the main controller of the whole organization. Heads of all departments directly

reports to CEO. These people are mainly involved in policy creation of the company. All the major operation of the company go under the review of these departmental heads

   CEO ( CHIEF EXECUTIVE OFFICER) FINANCE MANAGER HR MANAGER IMPORT & EXPORT MANAGER MARKETING MANAGER IT MANAGER ADMIN MANAGER ACCOUNTS MANAGER

DEPARTMENTAL DIVISION OF PELDEPARTMENTAL DIVISION OF PEL  Below mentioned 11 Departments working in PEL

Finance Department Marketing Department Corporate Sale Department Distribution & credit Control Dept HR Department Procurement Production Import & Export Dept IT Department Admin Department Accounts Department

Business Process AnalysisBusiness Process Analysis

HR needs:HR needs:

Competent staff Competent manager Comfortable environment.

Strategic Planning:Strategic Planning:

Cost leadership: PEL aim is to become low-cost leader in Appliances

sectors that is why PEL is providing effective services in low cost than other Competitor

Differentiation:-

PEL strategy is to provide unique services to its customers in Appliances sectors to make itself valuable for its customers.

PART – IIPART – II

NAVEED-UR-REHMANNAVEED-UR-REHMAN

StrengthStrength

WeaknessWeakness

OpportunitiesOpportunities

ThreatsThreats

PART – IIIPART – III

MIRZA SAJID MAHMOODMIRZA SAJID MAHMOOD

Human Resource PracticesHuman Resource Practices

HR POLICIES & PRACTICES AT PELHR POLICIES & PRACTICES AT PEL

Organizational behavior studies the human behavior and helps the managers to understand the human’s behavior in different situation .Therefore we can say that organizational behavior has the strong link with the “Human Resource Management”.

As a Chinese proverb suggests,“If you wish to grow something for a season, grow mangoes. If you wish to grow something for a year grows rice. But, if you wish to grow something for a life time grow man power.” 

HUMAN RESOURCE DEPARTMENTHUMAN RESOURCE DEPARTMENT

Work ForceWork Force

HR here is divided into the following two major categories

◦ Permanent Employees(6000 Approximately) ◦ Outsourced Employees (1500 Plus)◦ Employees in HR Department ( 8 )

Recruitment Selection Training and development Performance management Labor and employee relation Job Analysis Job design Pay structure Compensation

HR PRACTICESHR PRACTICES

Recruitment and SelectionRecruitment and Selection

Recruitment ProcessRecruitment Process

They start by getting the request by related department. Departments fill Recognition Slip. These slip consist of following requirements:

(1) Employee age (2) When and why employee require (3) Experienced or fresh employee

Recruitment proceduresRecruitment procedures

 Internal Sources Job Posting  (invitation to employees)

Provide opportunity for employee growth and development Provide equal opportunity for advancement to all employees

Promote the employees with in the company External Sources  Advertisement Electronic Recruitment Employee Referral

Selection ProceduresSelection Procedures

Short listing / Pre-Selection Test Interview Probation Period (Duration)

Manager (6 Months) Executive (3 Months)

Approval Issue of appointment letters Reserve list

Welcome note from management director  Mission, Vision, Values Brief introduction of PEL Company profile Organization Product profile General guidelines The working hours Head office Plant Canteen mess Bank account details Fair price shops Traveling Department visit Meeting with HOD Colleague

3 DAY’S ORIENTATION PROGRAM3 DAY’S ORIENTATION PROGRAM

VideoVideo

Training Training and Developmentand Development

HR team of training and development make a performance evaluation of all the employees and the see where the gap occurs between the actual performance and the desired performance. Then training is designed for area which needs to be improved. On the job and off the job both the trainings are given according to the need of the employee.

Training and DevelopmentTraining and Development

Performance Evaluation Training designed according to area wise New Employee Induction Training ( Overall Training) Department Training On job Training

Some of the Performance Appraisal method followed at PEL

Job results / Outcome

Ranking

Relationship with subordinates

Target Achieved

Behavioral Checklist

Performance Appraisal MethodsPerformance Appraisal Methods

Pay Structure & IncentivesPay Structure & Incentives

Pay Structure and Incentives:Pay Structure and Incentives: Drivers and Tea Boys

“Drivers” =Rs.8000 “Tea Boys” =Rs.7500

Administrative Staff HR, Finance Marketing (Rs.20000-250000 starting pay) MIS Other depts.

Ingredients of the pay

Medical Allowance It is per month allowance in addition to the gross salary. But it

doesn’t form the part of the salary for any other benefits e.g. Provident fund, bonus

◦ House Rent 10% of the basic salary is given to each senior/ executive

level employee. ◦ Gratuity

It is one gross salary (last drawn), for each completed year of service, which is payable on leaving the company.

◦ Provident Fund Employee’s contribution @ 10% of basic salary after con

firmation of  service

◦ Bonus Bonus on salary is provided annually to the employees.

Job Analysis:Job Analysis:

The interview

Questionnaires

The methods which are used in collecting job analysis information are

Benefits and CompensationBenefits and Compensation

PEL follows the performance base pay structure and pay for their performance.

Increments Employee Health Plans Employee Leave Bonuses

Performance ManagementPerformance Management

Performance ManagementPerformance Management

Annual confidential report Observation Performa Academics Result Performa

HR CapabilitiesHR CapabilitiesHuman Resource ActionsHuman Resource Actions

HR CapabilitiesHR Capabilities

SkillsAbilities

Knowledge

Human Resource ActionsHuman Resource ActionsBehaviorResults

AbsenteeismTurnover

SMARTSMART ObjectiveObjectiveSMART is an acronym that can be used to help ensure that effective objectives or goals are set

◦Specific

Specific objectives are clear and well-defined. This helps both the performer and the manager, as the performer knows what is expected of them and the manager is able to monitor and assess actual performance against the specific objectives.

◦Measurable

Progress towards objectives often needs to be monitored even as work is under way. It is also very useful to know when that work has been done and the objectives are completed. A measurable objective achieves this end

◦Achievable

When giving objectives, the person may not be able to achieve it for various reasons, including a lack of skill, not having enough resources (computers, tools, etc.), not having access to key people and not having management support. Achievable objectives ensure that everything is in place and that if the person does not reach the goals they cannot reasonably point the finger elsewhere

◦ Relevant

Objectives should also add useful value within the context where they are being set, being aligned with strategies and higher goals

◦ Timely

Descriptions of objectives should also include timescales of what is required by when. This may also include details of delivery, stating (if relevant) where objectives are to be completed

CONCLUSION & RECOMMNDATIONCONCLUSION & RECOMMNDATION

They have raised very expensive loans so they should retire their expensive loans. They should carefully study their competitors. company’s liquidity position is dismal. So they need to pay off their short term

loans. Their operating cost is very high so they should control their operating expenses.

They should advertise throughout the year so people should remember them and will be more brand loyal and new customers will be attracted. They should use all the medium of advertising to be more successful in attracting customers.

Co-ordination should be developed between departments to departments. This can be done through setting goals and objectives of the whole company not only for their different departments.

PEL has good brand image in the market and people associate its name with the quality. So PEL should provide a good product range in terms of different sizes and colors and it should add some new items in its product range.

Q & AQ & A