telephone industries of pakistan hrm report
DESCRIPTION
INTERNSHIP REPORT TELEPHONE INDUSTRIES OF PAKISTANSubmitted ByHaider Ali MinhasTRANSCRIPT
INTERNSHIP REPORT 2012
Regıons
Regions And Areas 2012
Central andSouthern Asia
Pakistan
Head Office
Head office of TIP is in Haripur Hazara
Islamabad Plot No 181 ndash 186 Sector 19 industrial area Lahore TIP House 40- Abu Bakker Block New Garden Town
Regional Offices Karachi 5th Floor Farid chamber Abdullah Haroon road Sadar
rdquoACKNOWLEDGEMENTrdquo ldquoIn the Name of Allah most Merciful and most Beneficent rsquorsquo
First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
CEOS MESSAGEWE WILL WORK TO ENSURE A GREATER UNDERSTANDING BY KEY STAKEHOLDERS FOR INNOVATIVE TELECOMM MANUFACTURING AND OTHER TIP PRODUCTS WE WILL CONTINUE OUR CONTRIBUTIONS TO FINDING NEW SOLUTION IN THE TELECOMM SECTOR AND OTHER SECTORS OF MANUFACTURING
Our missionA leading Telecomm Manufacturer that deliver quality technology and service which exceed our customers expectations We provide our customers a One- stop manufacturing solution for quick turn-around high quality and cost competitive Electronic Mechanical and Electro-mechanical components and assemblies by using our own extensive variety of manufacturing resources a one of the most qualified rapidly expanding manufacturing source in Pakistan
rsquo
Vision
To provide industry-leading products and services basedon our expertise based on our in-depth knowledge in Telecomm Manufacturing as TIP is providing services since 1955
Contents
Chapter One
Chapter Two
Chapter Three
Chapter Four
Gives brief objectives of reportbackground purpose scope methodology amp scheme
Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management )
About its functions amp strategies followed by the TIP
Critical Analysis amp feasible and constructive recommendations for different
departments of TIP
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Regıons
Regions And Areas 2012
Central andSouthern Asia
Pakistan
Head Office
Head office of TIP is in Haripur Hazara
Islamabad Plot No 181 ndash 186 Sector 19 industrial area Lahore TIP House 40- Abu Bakker Block New Garden Town
Regional Offices Karachi 5th Floor Farid chamber Abdullah Haroon road Sadar
rdquoACKNOWLEDGEMENTrdquo ldquoIn the Name of Allah most Merciful and most Beneficent rsquorsquo
First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
CEOS MESSAGEWE WILL WORK TO ENSURE A GREATER UNDERSTANDING BY KEY STAKEHOLDERS FOR INNOVATIVE TELECOMM MANUFACTURING AND OTHER TIP PRODUCTS WE WILL CONTINUE OUR CONTRIBUTIONS TO FINDING NEW SOLUTION IN THE TELECOMM SECTOR AND OTHER SECTORS OF MANUFACTURING
Our missionA leading Telecomm Manufacturer that deliver quality technology and service which exceed our customers expectations We provide our customers a One- stop manufacturing solution for quick turn-around high quality and cost competitive Electronic Mechanical and Electro-mechanical components and assemblies by using our own extensive variety of manufacturing resources a one of the most qualified rapidly expanding manufacturing source in Pakistan
rsquo
Vision
To provide industry-leading products and services basedon our expertise based on our in-depth knowledge in Telecomm Manufacturing as TIP is providing services since 1955
Contents
Chapter One
Chapter Two
Chapter Three
Chapter Four
Gives brief objectives of reportbackground purpose scope methodology amp scheme
Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management )
About its functions amp strategies followed by the TIP
Critical Analysis amp feasible and constructive recommendations for different
departments of TIP
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
rdquoACKNOWLEDGEMENTrdquo ldquoIn the Name of Allah most Merciful and most Beneficent rsquorsquo
First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
CEOS MESSAGEWE WILL WORK TO ENSURE A GREATER UNDERSTANDING BY KEY STAKEHOLDERS FOR INNOVATIVE TELECOMM MANUFACTURING AND OTHER TIP PRODUCTS WE WILL CONTINUE OUR CONTRIBUTIONS TO FINDING NEW SOLUTION IN THE TELECOMM SECTOR AND OTHER SECTORS OF MANUFACTURING
Our missionA leading Telecomm Manufacturer that deliver quality technology and service which exceed our customers expectations We provide our customers a One- stop manufacturing solution for quick turn-around high quality and cost competitive Electronic Mechanical and Electro-mechanical components and assemblies by using our own extensive variety of manufacturing resources a one of the most qualified rapidly expanding manufacturing source in Pakistan
rsquo
Vision
To provide industry-leading products and services basedon our expertise based on our in-depth knowledge in Telecomm Manufacturing as TIP is providing services since 1955
Contents
Chapter One
Chapter Two
Chapter Three
Chapter Four
Gives brief objectives of reportbackground purpose scope methodology amp scheme
Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management )
About its functions amp strategies followed by the TIP
Critical Analysis amp feasible and constructive recommendations for different
departments of TIP
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
CEOS MESSAGEWE WILL WORK TO ENSURE A GREATER UNDERSTANDING BY KEY STAKEHOLDERS FOR INNOVATIVE TELECOMM MANUFACTURING AND OTHER TIP PRODUCTS WE WILL CONTINUE OUR CONTRIBUTIONS TO FINDING NEW SOLUTION IN THE TELECOMM SECTOR AND OTHER SECTORS OF MANUFACTURING
Our missionA leading Telecomm Manufacturer that deliver quality technology and service which exceed our customers expectations We provide our customers a One- stop manufacturing solution for quick turn-around high quality and cost competitive Electronic Mechanical and Electro-mechanical components and assemblies by using our own extensive variety of manufacturing resources a one of the most qualified rapidly expanding manufacturing source in Pakistan
rsquo
Vision
To provide industry-leading products and services basedon our expertise based on our in-depth knowledge in Telecomm Manufacturing as TIP is providing services since 1955
Contents
Chapter One
Chapter Two
Chapter Three
Chapter Four
Gives brief objectives of reportbackground purpose scope methodology amp scheme
Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management )
About its functions amp strategies followed by the TIP
Critical Analysis amp feasible and constructive recommendations for different
departments of TIP
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Our missionA leading Telecomm Manufacturer that deliver quality technology and service which exceed our customers expectations We provide our customers a One- stop manufacturing solution for quick turn-around high quality and cost competitive Electronic Mechanical and Electro-mechanical components and assemblies by using our own extensive variety of manufacturing resources a one of the most qualified rapidly expanding manufacturing source in Pakistan
rsquo
Vision
To provide industry-leading products and services basedon our expertise based on our in-depth knowledge in Telecomm Manufacturing as TIP is providing services since 1955
Contents
Chapter One
Chapter Two
Chapter Three
Chapter Four
Gives brief objectives of reportbackground purpose scope methodology amp scheme
Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management )
About its functions amp strategies followed by the TIP
Critical Analysis amp feasible and constructive recommendations for different
departments of TIP
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
rsquo
Vision
To provide industry-leading products and services basedon our expertise based on our in-depth knowledge in Telecomm Manufacturing as TIP is providing services since 1955
Contents
Chapter One
Chapter Two
Chapter Three
Chapter Four
Gives brief objectives of reportbackground purpose scope methodology amp scheme
Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management )
About its functions amp strategies followed by the TIP
Critical Analysis amp feasible and constructive recommendations for different
departments of TIP
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Contents
Chapter One
Chapter Two
Chapter Three
Chapter Four
Gives brief objectives of reportbackground purpose scope methodology amp scheme
Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management )
About its functions amp strategies followed by the TIP
Critical Analysis amp feasible and constructive recommendations for different
departments of TIP
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
picion of the UKrsquos motives and our reliability
as a trustworthy partner for reform in the
region The British Council has an important
role to play in building more positive
perceptions of the UK as a precondition for
closer engagement with the countries of the
region
The region is characterised by fragile
governments that lack systems skills and
regulatory frameworks We work with
government bodies and increasingly the
private sector and civil society organisations
to build capacity and capability for reform
Education and English are priorities for all
governments of the region and areas where
the British Council is recognised is having
ACKNOWLEDGEMENT ldquoIn the Name of Allah most Merciful and most
Beneficent rsquorsquo
Special thanks to all my friends for sharing their experiences time and commitment especially during finishing this internship program I am grateful because I have a lot of friends were helps and support me
my beloved lecturers for their kindness advice knowledge patience and time to teachings to be more confident person that I am going to use in work world
excellence in supervision and devotion to inspired during my intership Without his untiring assistance direction encouragement comments suggestions continuous guidance support ideas and constructive criticism throughout this internship this internship program could not be well
Sir faisal khan
Teachers
Friends
Hereby i want to give my special thanks to First and foremost I would like to express my thanks to God because of His love and strength that He has given to me to finish this logbook as my internship report I do thank for His blessings to my daily life good health healthy mind and good ideas This internship report is important to fullfill part of the programme criteria that is a requirement to fulfill the masters Program in management sciences with telephone industries of pakistan I thank to those who have supported me to perform the job training up to carrying out this report In scripting this report i was guided by my experience knowledge and interest in the specialization field ldquoHRMrdquo
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Introduction To The Telephone Industries of pakistan executive summary
country
in its profit
Telephone Industries of Pakistan Haripur is the result of the efforts done to promote and spread telecommunication in the country and to minimize the dependence on foreign countries The industry was established in 1953 in collaboration with SIEMENS Germany at Haripur Hazara (KPK) and since its establishments it has contributed alot to the development of telecommunication in the
TIP was established to meet the requirements of Telecommunication Switching Equipment of the country Itrsquos aim is to plan produce install test and commission the telephone exchanges and supply telephone instruments
This internship report on the Telephone Industries of Pakistan (TIP) Haripur is written to fulfill the requirements of MBA course The reports cover all the departments of the TIP but focuses mainly on the Personnal amp Administration Department ( PampA )
TIP have machinery for the production of many different products but most of this machinery is technologically old and needs extra time and efforts for production Due to this reason its cost of goods sold is increasing which has resulted in the decrease
TIP has been involved in research and development (R amp D ) but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top and middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process
Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is highThe financial position of the TIP is not sound enough all the indicators like liquidity profitability and the solvency are showing the bad financial position of the TIP
minhas in haripur
lsquoPakistanrsquos Telecommunication Manufacturing Industry Haider Ali Minhas trainee T I P
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
An independent evaluation of the
programme concluded that ZeroCarbonCity
had allowed the British Council to make lsquoan
intelligent and imaginative contribution to
the governmentrsquos objectives during a
critical and pressurised yearrsquo
The Trainee In Telephone Industries Of Pakistan From Haripur
Haider ali minhas
It has been a great pleasure for me to work in TIP as an internee i find myself lucky to get together with beautiful personalities workers which are greatly motivated for work
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Foreword by the Chair
Modern organizations are very complex A person must have the knowledge skill and other scientific tools to understand the working complexity in the organization which is mainly attached with the increasing importance of economies
What lies in theory is never enough for a professionalThis report brings maturity and professional wisdom in the students
We did our project in Telephone Industries of Pakistan (TIP) HARIPUR as per requirement of our course The major motives behind our selection were as given below
TIP HARIPUR is a distinguished industry of its own nature in the South East Asian region in the field of producing ldquoTelephone and other such equipment like Telephone Exchanges of all types Energy Meters and Radio Base Stationrdquo It is contributing to the fullest in the field of Telecommunication This industry has well establish Departments and its Accounting System is big and being run by the qualified headwhere we could get the full opportunity of obtaining a comprehensive know-how about the working of all Sections of Account Department Haider Ali Minhas
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Chapter one Objective Of The Internship
At the time of independence Pakistan had almost no industries and infrastructure The economy was mainly dependent on agriculture but this sector was also underdeveloped and was using the old techniques which were time consuming and less productive Due to these and many other reasons the development of industrial sector has remained the top priority of all the governments Industries of Pakistan (TIP) established in 1952 as a private limited company in the public sector to produce telecommunication equipment in Pakistan in Haripur Hazara in the province of Khyber Pakhtoonkhwa (KPK) This was one of the largest factories of Pakistan with diverse production facilities but the management of TIP could never be efficient enough to utilize the resources up to their full extent So the industry which emerged as a great asset of Khyber Pakhtoonkhwa could not contribute its due share to the economy and general well-being of the province and the country
Purpose of the study was to convert the knowledge gained in the internship into theoretical form This study attempts to
Provide an overview of the TIP Analyze TIP management structuresystemAnalyze Tip Personnal amp Administration Department Appraise the organizations performanceRecommend policies measuresfor making the organization more viable
Purpose Of Study
Management students are always required to undergo the internship program of six to eight weeks in national or an international organization So it is the academic requirement to justify the MBA program Being the student of Business Administration it was an essential need to undergo any organization for the internship program of required given period It is the better for any student to join any well known organization to enhance hisher knowledge skills and attitudes Thatrsquos why I decided to join the well reputed organization that is TIP (Telephone industries of Pakistan) that makes the fruit full for me as HR manager in the future The Telephone Industries of Pakistan (TIP) Haripur-Hazara The present report is about this factory the TIP It is based mainly on a six weeks Internship in TIP
The Telecommunication Company Limited (PTCL) and Siemens GermanyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by MS Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex with more than 800 employees amp workers The factory is built on total area of about 150000 sq meters having covered area of nearly 63000 sq meters comprising of 5- buildingblocksThe present authorized Capital of the Company is Rs1000 million 70 shares held by PTCL and 30 by Siemens AG Germany
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
TELEPHONE INDUSTRIESOF PAKISTAN
The scheme of the report is in such a way that
This work is an effort to introduce the Telephone Industries of Pakistan in terms of its recent and past performance This can be very useful for those interested in knowing about the organization in terms of its history and performance The performance has further been analyzed by using different techniques This analysis gives a true picture of the organization and shows its strengths and weaknesses The people interested in this organization can make a true image of the organization in their mind by reading it It can also be helpful for the management of TIP who can easily know about their strengths and weaknessesThe opportunities for the organization and the threats it faces have also been discussed and these have been used to make the recommendations for the improvement of the performance These recommendations can be very helpful for the top managers of the organization to remove the defects and to improve the performance
Scope of study Methodology of the report
Scheme of the Report
Chapter One Gives brief objectives of reportbackground purpose scope methodology amp scheme
Chapter Three
Chapter Four Critical Analysis amp feasible and constructive recommendations for different departments of TIP
Chapter Two Gives an overview of the organizational structure of TIP
Is about Personal and Administration Department ( Human Resource Management ) About its functions amp strategies followed by the TIP
Data can be collected in the various ways which are as follow
BrochuresCompanyrsquos orientation manualFactorys Articles and Memorandum of Association Internship Reports and assignmentswritten on TIP in the past Internet
Primary data Secondary data
The report is based on my six weeks internship program in TIP of Pakistan The methodology reported for collection of data is secondary data The main source of information is my personal observation duringwork with staff and having discussion with them Following secondary sources for data collection have been used for this report
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Telephone Industries Of PakistanChapter Two
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Chapter 2
TIP Located at Haripur Hazara (Khyber Pakhtoonkhwa) 80 kilometers north-west of Islamabad Telephone Industries of Pakistan (Private) Limited (TIP) was incorporated as a private limited company in 1952 with joint venture of Pakistan Telecommunication Corporation and German vendor Siemens to produce telecommunication equipment in Pakistan with the agreement of SIEMENS AG ( German word AG means Aktiengesellschaft (Aktien = stockshares) Gesellschaft = Company) After that it started its work very efficiently The main functions of the company are to plan produce install test and commission Telephone Exchanges and supply other allied telecommunication equipment including telephone instruments Other diversified products like Energy Meters Fire Alarm and Container Shells Drop Wire etc The company is currently engaged in manufacturing and sale of Telephone Sets Telephone Exchanges and associated equipment Energy Meters and providing services for setting up and commissioning of exchanges From the year 1987 an agreement was accordingly signed with SIEMENS to induct new technology of digital exchanges and latest models of telephones Thus both the partners made additional investment of sizeable amount at the time of TIP formulation the authorized capital was Rs600 million Now it has risen to Rs1000 million the foundation stone of industry lay by Governor General of Pakistan Mr Ghulam Muhammad on 2nd October 1952 in a colorful ceremony This small factory of 1952 has now grown into a technological complex with more more than 800 employees and workers
The installed capacity of the factory during 1954-55 was only 7000 line units and same number of telephone sets which has now increased to 500000 Digital Exchange line units (EWSD) and 450000 telephone sets
Telephone Industries of Pakistan an ISO certified company the only local manufacturing company in telecommunication sector in the real sense As a contributory to PTCL it is engaged in providing state-of-the-art manufacturing and installation services for last 50 years Its contribution towards the growth of telecommunication in the country is most significant Even today when more multinational companies have entered into telecom sector its contribution is 50 to the total installed network of PTCL It is equipped with state of the art technologies and unmatchable product quality The Authorized Capital of the company as on 2003 is Rs 1000 million whereas the issued subscribed and paid up capital is Rs 759753 million There are two shareholders of the telephone industries of Pakistan Pakistan Telecommunication Company Limited (PTCL) and Siemens AG of Germany with 70 and 30 shareholdings respectivelyThe management is vested in a Board of Directors having 8-members including the Chairman Six members are nominated by the Government of Pakistan while 2-members are nominated by Siemens AG Germany The administrative responsibility rests with the Federal Ministry of Science amp Technology Government of Pakistan TIP is a complex comprising of 1500 employees amp workers The factory is built on total area of about 150000 sq meters It has5-building blocks which has covered the area of nearly 63000 sq It is situated at a beautiful amp green valley of Haripur-Hazara ldquoThe city of Nurseriesrdquo which is located 78-KM north west of Islamabad the capital and 4 km towards east of Abbottabad ldquoThe city of Pinerdquo
HISTORY OF TELEPHONE INDUSTRIES OF PAKISTAN
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Managing Director
DGM Internal Audit
PM EWSD amp MR (ISO 9001)
GM Production GM Finance GM PA amp P GM Marketing
TOP MANAGEMENTTELEPHONE INDUSTRIES OF PAKISTAN
Nature Of Organization
Telephone Industry Pakistan is a well known amp distinguished industry of its own nature in the South East Asia region in the field of producing telephone and other equipment such as energy meters tool designing and tool making sundry products etc This industry (TIP) has a key role to the development in the field of Telecommunication Although China has captured the whole market but yet it cannot compete with TIP especially in telephone sets it telephone sets are very durable thatrsquos why its demand is more as compare to any other company We can
Services provided by TIP TIP only provides services for installation and commissioning of exchanges Division as in terms of UnitDepartment The beautiful building of TIP has been divided into following groups or departments
A Finance Department The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc B Personal or Human Resource department The personnel department deals with the employees and workers recruitment to retirement policy that includes the selection placement training and development Salaries and wages and the welfare policies among the many others The basic purpose of both divisions is to run an organization most successfully
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
General Manager Finance
DGM (ELECTRONICE)
DGM
PROCUREMENT
P amp A
AGM (SampS)
MD
MANAGER
QAD
MANAGER
STORE
MANAGER
TRAINING
DGM Finance Corporate amp DS
DGM Finance
DGM (MP)
BOARD OF DIRECTORS
ORGANIZATIONALSTRUCTURE The administrative responsibility of TIP lies under the federal ministry of science and technology After the reformation of the recent past TIP has been divided into three major subdivisions ie General products (GP) division Digital Switching (DS) division Finance and Personnel (FampP) division
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
LESSONS LEARNED
TELEPHONE INDUSTRIES OF PAKISTAN DEPARTMENTS
general product division (gpd) has its own general manager under whose supervision all the departments work in this division energy meters telephone setsdrop wires and other products (excluding digital switching) are made the general manager works under the supervision of the managing director and the board of directors and controls the whole divisionthis division is organized in such a manner that it has own finance department to fulfill all itsfinancial needs the finance department of this division provides funds salaries wages and other allowances are also paid to workers and employees by this department other departments in general product division include sales and services planning procurement and store production personnel and administration and the quality assurance the sales of this department mainly depend on the production and sale of telephone sets drop wires and energy meters personnel section keeps track of the activities of the staff in the department and handles different administrative matters related to the department this department also controls annual reports of employee welfare activities and the record related to medical facilities the of general product division makes arrangements for the sales of the goods produced by the production department the quality of the products produced by the production department is checked and controlled by quality assurance department
GERNERAL PRODUCT DIVISION DIGITAL SWITCHING UNIT
digital switching division has significant role in the development of the telephone industry of pakistan this division produces the digital telephone exchanges that include both permanent and the containerized exchanges this division is control by general manager as the head of the division who works under the managing director this division is further divided into different departments such as
the planning procurement and store department decided about what and when to produce and what procedure will be use to produce the product most efficiently
the personnel department handles matters related to the human resources while the finances finance department provided needed finance to the all these departments and controlled thefinance
production department handles matters related to production operation quality assurance deportment assures that productionis according to the standards
Sales and services department which handles all matters related to the purchase and sale of the digital exchanges
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
FINANCE ANDPERSONAL DIVISIONFinances or the monetary resources and personnel or the human resources are the most important assets and resources of any business without which the existence of an organization is impossible In the Telephone Industries of Pakistan therefore there is a separate division for handling the financial and human problems The basic aim of this division is to monitor and control the actions and to make certain the smooth operations of the other two divisions (ie the GP and DS divisions)The finance department deals with the purchases and sales receipts and payments and the income and expenditures etc The personnel department deals with the employees and workers recruitment to retirement policy which includes the selection and placement guidance and development salaries and wages and the welfare policies among the many others
CODE OF ETHICS Because the right may not always be obvious we must be guided in our every action by a set of well-defined values governing our decision so the employees of tip are order to abide the rules which are restricted and obey the law full orders and directions given by the management
No any formal dress id necessary for the managers and executives but the dress which shows seniority respect like shalwar suit with waistcoat or pent coat suit (2-3 piece suits)
All the Employees are order to wear neat and clean dress There is no any hard and fast rule for dressing but not unethical But it is necessary to wear white color overhaul and their ID card should be attach on their overhaul
a For Employees and Workers
DRESS CODE
b For Managers and Executives
Closing Time 0200 pm
Lunch Break 1100 am ndash 1130 am
Timing and Attendance
The timingthe whole schedule for the day is like that
Starting Time 0600 am
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
DEPARTMENT (P amp A)
FampP GP DS
General Manager PA amp P
DGM Procurement
DGM PampA
Executive Personnel GP
Executive Personnel DS
Executive Personnel
Executive Procurement
Executive Procurement
HUMAN RESOURSE DEPARTMENT MANAGEMENT STRUCTURE
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Chapter ThreeThe personnel section of TIP is concerned with the planning organizing directing and controlling of the recruitment and selection development compensation maintenance and separation of human resources to accomplish organizational as well as individual objectives The personnel section deals with the policies and procedures of personnel selection while administration section deal day-to-day operationalization of personnel policies Personnel section make policies for the selection of personnel therefore job description is the main for the administration work there are graduate engineers which are the main requirement of the TIP for clerical job TIP require matriculates of scale-5 The procedures for selection so simple in which applications are send to the administrative officer who put them in the specified categories to make them feasible for interview purposes They issue letter to the candidate then selection committee sits for the selection of their own departmentrsquos jobs Normally the selection committee consists of the head of departments After selection the candidate is sent for medical examination If he has cleared that test physically they send him to the superintendent of police for verification Finally the candidate is capable for the job therefore on appointment letter with all of the details about work salarywages and other necessary briefings is send to him that appointment letter must be approved by the General Manager of Telephone Industries of Pakistan Whenever any department wants any staff then administrative officer call the explanations from that department about that vacancy and then advertised it in newspapers The grade-17 employees are selected on the all Pakistan basis
a lawful and reasonable order of a superior ii Theft fraud or dishonesty in connection
with the employeersquos business or property iii Wilful damageloss of employerrsquos
goodsproperty iv Taking or giving bribe or any illegal
gratification v Habitual absence with leave or absence
without leave for the more than ten days vi Habitual late attendance vii Striking or insisting others to strike etc
The inquiry officer gives him a charge sheet At first time it is only mentioned that on such date place amp times you do this misconduct etc And informed him to follow the procedures otherwise they will be punished or reported to the concern department The inquiry officer is not responsible or allowed to punish but simply forward the report along with his remarks that what or not the charges against a man have proved the final decision about punishment is only taken by the General Manager The main or extreme punishment is dismissing but others are as follows
a) With holding of increment or promotion for a specified period not exceeding more than one year
b) Reduction to lower post or distiller without any payment of compensation without any notice
Personnel section not only make policies for selections but it also define disciplinary procedures for TIP when a manrsquos character is not according to the codes of conduct or either he misconduct then the TIP takes the disciplinary actions against himher West Pakistan Industrial and commercial Employment ordinance of 1968-15 (3) deals with the disciplinary procedures Misconduct in following acts i Willful in subordination or disobedience to
TELEPHONE INDUSTRIES OF PAKISTANPERSONAL AND ADMINISTRATION DEPARTMENT
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
The procedure for any of the above punishment is as follows
The dismissal letter s only issued with the approval of competent authority
Seniority cum fitness
Length of services prescribed
Shouldering of high responsibility
b) Indirect compensation comprises of number of schemes the payroll section of finance and personnel department deals with direct compensation
a) Direct compensation including salary and wages
The personnel and administration section also deal with promotional policy and procedures The promotions made on the basis of
They write a letter to the concerned man about above punishment whichever is applicable on himher
If there is no higher post available but a man is eligible for the promotion then ldquoup gradationrdquo is given to him by it we mean that the grade not the post in increased with all the facilities of that higher grade is given to that man At the age of 60 years department bring a notice to the General Manager that he will be retired The general Manager issues a letter of retirement to that man In case of death of any worker TIP sends a letter of sympathy to his family and always pays the insurance as soon as possible A man on job also takes leaves for different occasions There is well-defined system about the leave eg a man hired on job at 18-12-1998 and at the date of 18-07-2002 he want leave for 210 days from 19-7-2001 If he can attend 16 days of month than he get 4 leaves month If a man wants leave from 31-07-2001 to 01-08-2001 then the four 4 leaves of the next month will be dismissedThe compensation programme of TIP consists of two type of compensation
AVAILABILITY OF A HIGHER POSTAVAILABILITY OFHIGHER POST
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
to the students of class 8th and above
compensations
The TIP offered following indirect compensation to its employees including
Medical
TiP provides free medical facility to its employees For this purpose there is 40 bed hospital situated in colony Serving this hospital 10 doctors including three specialists and nearly 75 Para medical staff The hospital contains all facilities such as X-ray laboratories to carryout blood urine etc The hospital also caters emergency room in the factory premises with
A dispensary also well equipped ambulances In the cases where outside treatment is necessary refer is also allowed
The retiring persons of grade 1 to 15 on retirement are allowed a gift of Rs 2000 etc
Retirement gift
Education grant
TiP employees workers room grade 1 to 15 are allowed education grant The said grant is allowed
Education cess
Apart from the above the TIP is contributing towards Govt education cess and a large no of employees are benefited in the scheme
The factory is allowing an interest free loan of Rs 10000 on daughter marriages of employees once in service and recovered in easy installments
Daughter marriages
child birth
The factory is paying Rs 1000 for birth of a child where the medical bill is not allowed
TiP allows accommodation to married persons
Accommodation
The factory is sending 4 persons to perform Hajj every year They are chosen by ballot from different categories
Hajj
BPS UPTO 10 HG
BPS UPTO 15 GF
BPS UPTO 16 EF
BPS EDC 17
AND ABOVE
20 quotas of each type available are also
The accommodation is allowed according to entitlement of employees
Workers employees are living within 12 Km are not entitled for accommodation
allowed to General Manager for entitlement
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Funeral expenses
Special allowance
Canteen
Provision stores
Fair price shop
Uniform
Housing scheme
Social security
Group insurance
EOBI
The welfare fund is kept in the welfare budget for allowing financial assistants to the law paid employees The fund is distributed by committee
Welfare fund
Under workmen compensation act 1923amended up to date all the workmen are covered for Rs 100000 for death and disability coverage during duty hours and in case if some accident accord then he is being paid accident compensation on the basis of assessment of loss of earning capacity by a surgeon
Workmen compensation
Affair price shop is maintained on no profit no loss basis
The factory is maintaining a provision store in the colony where groceries are sold on no profit no loss basis
A canteen inside the factory premises is maintained under the factory rules 1962The canteen is being runner by subsidy basis Rs 45000 is being paid as subsidy to the canteen on monthly basis
Special allowance of Rs 38 is allowed to the workers who are working in the workshop and Rs 17 whose are in officesworkes working in hazardous shops are also allowed payment for milk butter and fruit on attendance basis
The factory is allowing Rs 1400-as funeral expenses on the death of an employeeworker Arrangement is also made for transportation of dead body of the deceased to his home town
TiP is allowing uniform to different categories of employees
TiP has own housing society for its employees and plots of one canal 107 5 marlaare allowed to employees through ballot system
Under the provision of social security ordnance 1965 all employees whose wages are unto Rs3000pmincluding allowances are covered irrespective of their designation status or nature of work
Group insurance is a mandatory requirement under standing order 10-B and workers employees are covered during employment for death and disability Coverage Rs100000 and premium for the insurance of Rs100000is being paid by the TiP
EOBI act 1976 is a legal requirement It is enforced WEF All the staff from BPS1 to 20 including contractual staff is covered under this act minimum contribution is 5 of the basic payment and maximum contribution is Rs 150 Per month Retirement benefit is maximum Rs 1440per month
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
HUMAN RESOURCE MANAGEMENT
HR ORGANIZATION CHART
HUMAN RESOURCE DEPARTMENT ORGANIZATIONAL CHART
Vice President
Manager
Compensation ampbenefit
Recruiter HRIS analyst
Employment Manager
Compensation analyst Benefit
specialist
Training and Development
Manager
Career development
specialist trainer
Employee relation manager
ER specialist safety specialist
MD
MANAGER
P amp A
ASMANAGER
WELFARE UNITS
SEN ASSISTANT
WELFARE
AE WELFARE
KPO
EXECUTIVE
P amp A
SEN ASSISTANT
P amp A
KPO ASSISTANT
P amp A
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
After the initial plan for the establishment of an organization is ready to use there is a need of the skilled and unskilled men for the implementation of these plans The Human Resource Department therefore is the back bone of every organization which is needed to administer and control the affairs of the most important asset of the organization ie the human beings The personnel or the human resource management existed in the organizations of the past but it was not organized as a proper department The department was formally established as the Health and Happiness Department which aimed at the general well being of the employees It then became the personnel department and now-a-days it is generally called the Human Resource Department
The department of the present times has a broad area of responsibilities and it deals with the affairs of the human resources from their recruitment selection and placement in the organization to the salaries benefits and the retirement
The personnel section of TIP is concerned with the management of human resources ie the recruitment and selection training and development compensation and benefits and the Maintenance of human resources to accomplish organizational as well as individual objectives
Different functions performed by the Human Resource Department are as follow
Human Resource Department
ADMINISTRATION
Administration is process of organizing directing human resources with In an organization so that to meet defined objective there are following main function performance by administration departments
Planing
Organizing
Staffing
Leading
Controlling
It is the duty of administration to establish and maintain an environment for performance that individual will contribute to group objective with least cost in money time effort and material discomfort to create a surplus value or profit
This department is the like a backbone of any organizationbecause this department manage all the organization
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
PEROSNNEL Personnel refer to those individuals who are employee of organization an each individual has some needs which he has to satisfy So to handle all activities regarding administration and personnel TIP has an A amp P department
FUNCTION OF A amp P
MAINTAIN PERSONAL FILES
It is duty of A amp P to maintain files of all employees In these information and whole bio data could be formed in this department
PROMOTIONS AND TERMINATION
A amp P also deals with
Promotion
Termination
Suspension
Passport
ACR PREPARATION
This department also prepares annual confidential report of all employees
ARC consists of following section
Bio data information
Performance evaluation
Personality profile
Recommendation pen picture
Instruction for countersigned officer
INQUIRY CELL
A amp P Include an inquiry cell which makes investigation in case of any fraud theft and disobedient or any interruption occur in the organization functioned operation
STAFFING
When every some staff is required in organization this department calls for application and select then for interviewing Those candidates who fulfill requirements are selected for a specific job
The personnel department of TIP is concerned with the management of human resources that is ie the recruitment and selection training and development compensation and benefits and the maintenance of human resources to accomplish organizational as well as individual objectives
The personnel section deals primarily with the policies and procedural work The administration section on the other deals with the day-to-day implementation of personnel policies Different function perform by the personnel and administration department are
Recruitment and Selection
Training and Development
Computer Training
Apprentice ship Training
Compensation and Benefit
Disciplinary Policy Payroll and Pay Structure
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
RECRUITMENT AND SELECTION
Being a manufacturing concern TIP mostly needs the services of engineers or the factory workersThe procedure for the selection of the clerical staff and the factory workers is simple and no lengthy procedures for the recruitment and selection are followed It is usually done on the basis of the recommendation or referring of some existing employee The basic qualifications needed for such candidates is SSC or intermediate The selection of the workers and employees up to grade 15 is done inside the concerned division while the grade 16 and above people are dealt in the central PampA Division The process that often TIP adopted is follow
Two types of recruitment procedures are used in the organization
1EXTERNAL
2INTERNAL
1 EXTERNAL
External recruitment concerns recruitment from outside the organization This method can facilitate the introduction of new ideas and thinking into corporate decision making Two methods of external recruitment at tip are
I ADVERTISING
Majority of advertising is done through newspapers TIP uses both local newspapers and national renowned newspapers The ads are mostly of simple classified category(as per annexure B)
Advertising is also done through the internet But it is limited to the site of TIP only The other websites for ads are not used
II HEAD HUNTING
Head hunting method of recruitment is used only when therersquos urgency for hiring of new employees This type of recruitment method is mostly used in case of unexpected initiation of some project or program by the organization ie this method is most frequently used for project-based employment
2 INTERNAL
Internal recruiting seeks applicants for positions from among the ranks of those currently employed in the organization The main source of internal recruiting at TIP is the interns working currently with TIP
After publishing the ads in the newspapers CVs of the applicants start coming in This process is continued till the deadline of collecting CVs is met The CVs collected after the deadline are kept in the data bank but are not considered for including in the list of applicants These CVs can be later used in case of immediate requirement of candidates for a job
A panel of experts for the relevant job is made The duty of this panel is to short list the CVs The procedure for short listing the CVs can be given as follows
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
1 A short listing criteria form prepared by the HR department is given to the panel of the relevant job experts
2 According to the information given in the CVs the short listing criteria forms are filled by the panel when they go through each and every CV
3 These CVs (both short listed and the rejected ones) are returned to the HR department along with the forms which provide the reasons for acceptance or rejection of each CV
4 The short listed CVs are separated from the rejected CVs by the HR department and the selection process begins from here
THE SELECTION PROCESS
An interview panel is required in order to conduct interviews of the candidates whose CVs are selected in the short listings A panel may contain more than three members but may not have less than three members These members are
1 1One person from the relevant program 2 2One person from the HR department 3 3One person (acts as neutral) and can be
taken from any department
ARESPONSIBILITIES OF THE INTERVIEW PANEL
The duty and responsibilities of this panel are
1 1To decide who will conduct the interviews
2 2To find out when all the members of the interview panel would be available
3 3On which date should the interviews be conducted
After fulfilling the duties mentioned above the candidates selected for interviews are informed through letters and also through a telephonic call
B INTERVIEWS
Before the interview of candidates a Pre-employment form is filled by the applicants through which certain information is collected This information may include
References
Copy of CV
Copy of NIC
Personal address
Previous organization
Previous employer and his contact number etc
After filling the forms the candidates are given a written test according to the job and are then interviewed During the interview an assessment form is provided to each member of the panel conducting the interview These forms are filled for each interviewee by each member of the panel At the end of each assessment form a separate section for the comments of interviewers is also given in which the interviewers write their recommendations about each interviewee The assessment forms have scoring sectors in which scores are given by each member of the panel through personal observation of the interviewee At the end of interview of each interviewee HR personnel prepares a summary for each candidate based on the assessment forms collected from all the members of the panel These assessment forms are then submitted to the HR personnel by all the members in the interview panel
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
c Offer Letter
The offer letter contains a welcome note regarding the selection of the candidate and joining the organization It also contains information about the salary and the date for joining TIP The offer letters are then posted on the obtained addresses for calling the candidates in order to make them join the organizationOnce the candidates receive offer letters they are called to the office in order to fill some forms and for getting some information regarding different issues such as staff benefits candidatesrsquo dependents etc
After joining TIP a detailed contract is issued to the selected candidates which includes all information regarding the benefits terms and conditions of employment
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
After conducting interviews of all the candidate a ranked list is prepared that contains the names of the candidates who have scored the highest scores This list is signed by all the members of the interview panel
The list is then sent to the Managing Director along with certain details such as
How much of time was consumed in interviewing the candidates
Names of the members of interview panel
Assessment forms Reference check process starts once the Managing Director approves the list of the selected candidates This is done with the help of references given in the Pre-Employment forms Usually previous employers of the candidates are contacted but it is already known to the candidates If the feedback given by the previous employer sounds unbiased and unsatisfactory then other references such as that of previous colleagues are used
Sometimes if required the Pre-employment forms are sent back to the selected candidates for getting more references
After getting information through different references once it is made sure that the candidate is appropriate for the organization and is acceptable salary is negotiated with himher by the HR manager through a telephonic conversation with the candidate (During the interview salary range is asked which is finalized after the selection of candidate) Negotiation takes place before final hiring of the candidate After going through all this process an offer letter is prepared
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
The training needs will be identified by the respective heads of the departments through assessing the employee by observing his work to notice any lack in skill or deficiency found due to rotation of employeespromotion to next higher rankNon conformities detected in process during internally quality auditDepartmental Heads will identify the specific training needs of their staff foe basic advanced and refresher courses and pass it on to training department for internal training and PA Department for the external training
Compensation and Benefits
The compensation program of TIP consists of two type of compensations ie
1 Direct Compensation
2 Indirect Compensation
Direct compensation includes salary and wages of the employees and the
workers The payroll section of finance and personnel department deals with direct compensation The salaries and wages are awarded on the basis of the Basic Pay Scale- 2001
Indirect compensation comprise of a number of schemes usually called the benefits The payroll section of personnel and administration section is directly involved in indirect compensation
TIP offers following indirect compensationsbenefits to its employees
Medical facilities
Education Recreation facilities
Housing facility Group insurance
Workmen compensation Special allowances
Training and Development
For the workers and employees under grade 16 there is no specific time limit set for the training and development Usually the first three-month of the employment are considered as the training period in which the person is attached with the experienced people of the concerned department in which they have to work The other factors which are considered for the training are the need of training and the time available for it Keeping in view these factors the training period can be shortened or extended
1TYPES OF TRAINING
Internal Training
Arranged inside TIP by the training Department through internal resources
External Training
Arranged outside TIP through different training institutions both government and private by PA Department on the request of heads of the Departments
Following training programs are offered in TIP
1 APPRENTICESHIP PROGRAMS
2 COMPUTER TRAINING
bIDENTIFICATION OF TRAINING
A training need arises when
Hiring a new employee
Promotion
Introduction of new system technology
Rotation of jobsemployees
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
SOCIAL SECURITY AND WELFARE FUND
SOCIAL SECURITY
Under the provision of Social Security Ordinance 1965 all employeesworkers whose wages arc up to Rs3000- per month (inclusive of all allowances) are covered irrespective of their designation status or nature of work An employee once covered remains forever even if subsequently his monthly wages exceed Rs3000- per month Contribution shall not be payable on wages which are in excess of Rs 3000- per month
WELFARE FUND
The welfare fund is kept in the welfare fund budget for allowing financial assistance to the low paid employeesworkers There is a committee to distribute this fund The fund allowed to a person who remains on leave without pay due to illness or due to family problems The welfare fund is also allowed in medical cases for purchase of medicines which are not covered under the medical rules and are deducted from the bill of employeesworkers The committee consists of Chief Engineer (production) Executive Personnel and Executive Administration
PROMOTION
The personnel and administration section also deal with promotional policy and procedures
The promotion is made on the basis of
Seniority
Length of service prescribed
Shouldering capability of high responsibility
Availability of a Higher post
If there is no higher post available but an employee is eligible for the promotion then the Move-over is given to him meaning that the grade not the post is increased and all the facilities of that higher grade are given to that employee
Retirement Of Employees
P amp A department keep the record of the employees service which include the date of birth joining and the retirement dates of the workers and employees As an employee reaches the age of 60 the department brings a notice to the General Manager that how many employees arc near the retirement age GM then issues the retirement letter
In case of death of any worker TIP sends a letter of sympathy to his family and always 5 the insurance as soon as possible
Disciplinary Policy
Personnel section not only makes policies for selections but it also defines disciplinary educes for TIP When a mans character is not according 10 the codes of conduct then TIP takes the disciplinary actions against himher property
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Performance appraisal process
The performance appraisal process typically
consists of four related steps as follows
Establish a common understanding
between the manager (evaluator) and
employee (evaluate) regarding work
expectations mainly the work to be
accomplished and how the work is to be
evaluated
Ongoing assessment of performance and
the progress against work expectation
Provisions should be made for the regular
feedback of information to clarify and
modify the goals and expectations to
correct un acceptable performance before
it was too late and to reward superior
performance with proper praise and
reorganization
Formal documentation of performance
through the completion of a performance
and development appraisal form
appropriate to the job family
The formal performance and development
appraisal discussion based on the
completed appraisal form and ending in the
construction of a development plan
All the departments at TIP are enforce to
follow following performance rating
Outstanding 05
Very Good 20
Normal 50
Marginal 20
Poor 05
Performance appraisal
Yearly performance reviews are critical
Organizations are hard pressed to find good reasons
why they canrsquot dedicate an hour long meeting once
a year to ensure the mutual needs of the employee
and organization are being met Performance
review help supervisors feel more honest in their
relation ship with their subordinates and feel better
about themselves in their supervisor roles
Subordinates are assured clear understanding of
what expected from them their own personal
strengths and areas for development and a solid
sense of their relationship with their supervisor
Avoiding performance issues ultimately decrease
morale decrease credibility of management
decreases the organizations overall effectiveness
and wastes more of managementrsquos time to do what
isnrsquot being done properly
The scoring system is also having a major impact on
effective performance appraisals The accuracy and
reliability of any scoring system increases with full
descriptionsdefinitions and better still with
examples for each score band This gives everyone
the same objective scientific reference points and
reduces subjectivity
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Correspondence
The personnel department also maintained the record of each employee for promotion the minimum time for promotion is five years So at the end of every year they check the record of each employee his ACR (Annual Confidential Report) experience qualification etc Similarly if any employee want to leave more than 48 days which are Official than concerned department will approval them and send to t6he personnel section In short any type of personal problem or work will maintain in his personal files with personnel department Itrsquos called correspondence
Pay Scale and Fixation
It is also the function of personnel department that they fixed the pay scale for employees There are three types of employees in TIP
1 Executive Group (EGI - EGIII)
2 Staff (1 - 16)
3 Contractual Staff
Recently personnel department has computerized the whole process to reduce the burden whenever they want any type of data immediately call to computer They have their own computer section
PENSION AND WELFARE SECTION
Welfare Section
It is just like a bridge between the union and management It is also a proper channel between the two bodies
FUNCTIONS OF PERSONNEL DEPTT
Maintenance of service record of employees from their induction to retirement and beyond
1 Transfers ndashPostings
2 Maintenance of seniority
3 Handling of Personnel grievances
4 Processing of Pension EOBI and retirement cases
5 Implementation of Managementrsquos agreementrsquos after every two yearrsquos duration
6 Maintenance of Database-Computerization
7 Responses to Senate National Assembly Questions Other Government Agencies
PERSONNEL (HR) DEPARTMENT FUNCTIONs
Maintenance of personnel files
As we have mentioned above that every section is related to the concerned department So whenever any new employees recruit TIP the concerned section maintained this personnel record from the first day Every employee have their own personal file in personnel department
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
PENSION SECTION
Pension was introduced in TIP after 1984 After 10 years in TIP the staff member qualified for pension and after 25 Years he can demand for pension The super innovation of the pension is maximum 60 Years After 60 years he can not stay more Accommodation allowance is 50 of the growth monthly pension supposes that on the age of 25 years of service his pension will be counted of the 14th scale employee
As a whole it means that TIP will provide pension till 15 years and something After that the pension allowance will be counted again
Functions of Welfare Section
Various types of functions performed by the welfare section are as under-
To deal with union matters
To provide facilities to the staff members of their families
Grant of house building advance
Conveyance advance to give amount to the staff members after five years in TIP for conveyance
Distress grant at the time when any staff member die the amount will be given to his wife
Benevolent fund in extra fund by pension ie deducted every monthRs15- by their income
Similarly large number of facilities they provide to the staff member due to the arrangement with management The union and management make on agreement after every two years Welfare section negotiates with union from the management side
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Chapter 4
SWOT ANALYSIS OF TIP
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
CRITICAL ANALYSIS
LACK OF MOTIVATION
LACK OF JOB ANALYSIS AND EVALUATION
FINANCIAL ANALYSIS
OBSERVATION FINDINGS AND RECOMMENDATION
MAIN FINDINGS
OBSERVATION
RECOMMENDATION
CONCLUSION
BIBLOGRAPHY
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Chapter Four
SWOT ANALYSIS OF TIP
SWOT analysis is the management technique to measure the organizations strengths weaknesses opportunities and threats
This analysis helps the organizations management to get the position where the organization is standing and what will be the future position of the firm
STRENGTHS TIP is a private limited company in public sector so government can intervene in its financial as well as managerial problems
Good will is an important resource for any organization and TIP has a well established good will because of its quality production and brilliant performance records in the history
TIP is the organization well known for
Its good quality products
Long life of the products and
Easy availability of spare parts
TIP can have an advantage of this established goodwill of its products
TIP has got the advantage of vast technical and infrastructure resources which provide a good opportunity for its expansion
TIP is equipped with modem technology It can manufacture almost all kind of tools and machinery of common use
The two shareholders of the company ie Pakistan Telecommunication Corporation Limited (PTCL) and Siemens AG of Germany are well established organizations with efficient management and technical staff They can provide managerial and technical assistance to this firm
WEAKNESS
TIP has nothing to do with the fraud deductions while an organization is run by the people and if the management is corrupt than organization nothing can done this is the big weakness of the TIP is that it is not a privatize organization rather it is a semi Govt organization
Bureaucratic style of management is a big hurdle in the way of development The employees are not given a chance to participate in decision-making process which creates frustration among them
Most of the employees and workers are appointed on contract basis which needs to be revised after every three months Due to this uncertainty of the job they dont develop interest in the organization The regular workers on the other hand are very careless because there is no check on their performance
TIP has been affected badly by the downsizing policy of the government
During VSS (Voluntary Separation Scheme) in 1998 most of the skilled people left the organization (nearly 1200 employees)
There are also stories absolute corruption of top level management
Red tapism has badly affected the companys performance Even a simple job takes time to complete because of the formalities and lengthy procedures it has to follow
Labor union of TIP is also ineffective because it doesnt represent all the employees and the temporary workers are not given participation in the union at all
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Threats
The market share for the production of military telecommunication equipment has finished due to the establishment of NRTC (National Radio and Telecommunication Corporation)
PTCL since 1988 has adopted the policy of open bid tenders for the supply of equipment The foreign companies including SIEMENS participate in tender and most of the times they remain successful in getting the orders as they offer low prices
TIP loses tender due to its high cost of production which is a serious threat to the company
All these foreign companies import installation equipment from their home countries which affects TIP as its products go unsold
Smuggled goods from China and other countries having latest technology and beautiful designing at much lower rates and are also posing a threat to the companys business
Invasion of foreign companies in the field of telecommunication in Pakistan has adverse effects on the firms business like Z- TEL ALCA TEL
There is working Carrier Telephone Industry in Islamabad is big competitor and big threat to the TIP
One serious threat to the company is its declining sales due to the bad economic conditions of country
Opportunities
With the introduction of chord less and mobile technologies the conventional telephone sets are becoming less popular Even in these conventional desk mounting sets many new features have been introduced TIP can enter these areas to expand its product line and to capture new markets
TIP has the production facilities available for almost all the electrical appliances as the energy meters air conditioners ovens refrigerators etc but it is producing much lesser than its capacity and potential It has an opportunity therefore to expand its business in these areas
TIP has an opportunity to sell its products in the foreign markets if they are properly designed and marketed
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Critical analysis
Lack of motivation Motivation Refers To Forces That Energizes direct and sustain a person effort Lack of appreciation performance appraisal participation in decision making employee counseling and unequal distribution of work result in greater level of de-motion
Some of the reasons of low motivational level in TIP are
CENTRALIZATION OF AUTHORITY
Centralization refers to the situation in which a significant number of job activities and a maximum amount of authority vested with some hands Centralization in large organization like TIP affects the duties and responsibilities of manager as his task and responsibility increases He is unable some time to concentrate on important matters and operation
CEILING EFFECT
Ceiling is another flow which persist and affect the employeesrsquo motivation level for the job This problem remains in practice even if the staff members undergo training and acquire some additional qualification They can never be a part of the line hierarchy For instance an account assistant cannot move upward in the hierarchy whatever qualification and experience he gets
HIRING
The practice of nepotism has also been observed in the appointment of officers An inappropriate person is appointed to a certain position It adversely effected the quality of work and evenly the over all performance of TIP This situation becomes worse when inappropriate individuals are appointed on sensitive post
Lack Of Job Analysis And Evaluation
Considering this case of TIP Job Analysis as will as Evaluation presses in not Practice that result is unequal distribution de-motivation boredom and burden on some employees among the same hierarchy of line managers in absence of these no performance appraisal can be given to specific staff member It is the case in TIP that many of employees suffered because of the workload and burden
NO JOB ROTATION Job rotation might play a key roll to motivate the employees Job rotation is the process of moving workers from one job to another job Boy job rotation management can expand their employeesrsquo current skills knowledge amp abilities Since In TIP job rotation is missing so that creates boredom among the employees This thing affects the organization to operate smoothly
EMPLOYEES TRAINING
THE training of new and current employees is vital for the successful operation of any business because training educate the staff members about their worked It guides employees that how they should work It might helpful to change their attitudes towards their work In the specific case of TIP training is missing or not done properly Due to missing the proper training newly employed candidates take log time to understand the culture of TIP as a result the problems are created
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Observation findings and recommendation
Main findings The study of the organizational structure systems and the performance of an organization and then the analysis of its different departments reveal some important facts about the company These are the facts revealing the true picture of the organization including all the positive and negative points on the basis of which the position of the organization is determined and the management can decide about the future of the organization eg about the change in the management structure systems and processes etc This report is also organized on the same patters where the beginning sections discuss the historical background departmental review and Pakistan while the current section deals with the Findings and Recommendations Findings are given on the basis of my personal observations during my time spent in the Telephone Industries and the written material reflecting the performance of TIP which I have collected in this period While Recommendations are based on the analysis and findings about the organizational performance and are solid points given to overcome the problems and weaknesses of the organization (TIP) The analysis of TIP tells that there are some basic problems with the organizational design human resource RampD and some other departments which should be removed immediately for the successful working of the organization The details are given as under
Financial Analysis Financial analysis is a distilling process uses a number of ratios and formulas to extract and interrelate the elements included in financial statements thereby identifying the firmsrsquo strength and weaknesses In addition it also evaluates the financial performance of the firm Keeping in view the extensive operations of TIP in different sectors analysis has been made on internal
Comparative criterion instead of industrial criterions If focuses on changes apparent in the TIP financial circumstances across successive operating periods Previous year the company has incurred a loss of Rs13 million whereas its accumulated losses across to Rs1043 million The shareholders equity has been completely in eroded over the years due to heavy accumulated losses and the net equity as at June 30 2004 Reflects a negative balance of Rs134 million in these
Financial statements The company is also facing pressure from its key lender National Bank of Pakistan to improve its equity position so as to qualify for the continuous renewal of loans under the prudential regulations of State Bank of Pakistan
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Observation
By analyzing the different departments of Telephone Industries of Pakistan for their functions and processes I come across certain facts which are given below Telephone industries of Pakistan has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high TIP has been involved in research and development but the organization has never been able to capture so much capable resources (human amp physical) to introduce the best quality products at cheaper rates Personnel department of the telephone industries of Pakistan has got some very devoted and skilled employees and workers but they are not sufficient enough to meet the demands of such a large organization It is therefore very difficult for the organization to employ its limited staff on new development projects The managers at the top m1d middle level are not controlling the employees efficiently and have developed a culture in which there is no motivation and role modeling of the superiors and no share of the subordinates in the Decision Making process Telephone industries of Pakistan depend mostly upon only one buyer that is Pakistan Telecommunication Company Limited and WAPDA and has not sold its products in open market Tip has never been involved in any type of marketing activity
The Quality Assurance Department of TIP has remained active in the past when the RampD was efficiently working but now it has also become inactive and the rate of defects in the products or their performance have increased TIP has the machinery for the production for different products but most of this machinery is technologically old and takes extra time amp efforts to Achieve the required production level Due to old technology cost of production is increase that affect its profit
Marketing departments are the basic requirement of every Organization in the modern age But although Telephone Industry of Pakistan is a very big organization but it has not its marketing department so for TIP has huge production capacity but it has never produced at its full capacity due to which its per unit cost is high
TIP has not handling well with the fraud cases like the example of recently occurring the sales of old machinery on a very low price on result of that huge loss born by TIP
There is no contribution of lower level of employees in the decision making process As a result problem of motivation is created
TIP has research and development department but the organization has never been able to capture so much capable resources (human ampphysical) introduce the best quality product at cheaper rate
In the financial statement of TIP it has not disclosed all the fact and figures about profit and some other important matters
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
EMPLOYEES TRAINING AND DEVELOPMENT
To overcome the problem of employees training and development TIP management must take into consideration the following steps
Determining the Training needs
Designing the Training program
Administering the Training program
Evaluation the Training programs
The main problem that was observed at TIP is the training evaluation Although huge amount is spent on the training program but the evolution of the employees is nit taken into consideration Evaluating refers to the out come of the Training for which it is made To make the evaluation process more effective the management should confirm that the training has brought the required changes
As development being a process of future-oriented training that focuses on the personal growth of the employees top level management should concentrated on the development of the employees that will also results in higher career development satisfaction and loyalty toward the job Management should focus on tow main methods to develop employees
Recommendation
HANDLING TO MOTIVATIONAL PROBLEM
Considering the case of TIP the motivation process will bring a change in the employeersquos behavior attitude and willingness toward the job enormously Motivation is the inner state that causes an individual to behave in a way that ensures the accomplishment of some goal
Nepotism should be eliminated right job for a right person appraisal for the work performance and equal opportunity to grow should be regarded as de-motivating factors if absent
The second part emphasizes on different factors that should be raised and improve for the motivation of employees For instance employee training and development appraisal for the performance job rotation equal opportunity of growing equal right to get the equal opportunity fulfillment of the employee need that very from individual to individual
Another main factor that will extremely increase the motivation level of employees is the employee counseling Employee counseling is a process whereby employees are guide in overcoming performance problem The basic aim behind This is to find out the reasons of poor performance or unwillingness to work Job satisfaction can be increase by getting some feedback and counsels for the whole TIP and also for the specific operation of their own sectiondivision
Performance appraisal will determine the contribution of the employees toward the organizational objectives If these factors are considered based for the promotion and rewards TIP management will get higher results in the productivity and motivation towered the job of the employees that will contribute the overall performance of TIP
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Downsizing In the downsizing operation a lot of loyal and skilled workers and engineers left the organization TIP should try to retain the remaining skilled and devoted employees and workers because the workers are the most power full asset of any organization and at difficult times the organization needs the people who are more committed and loyal to the organization
Research and Development
TIP aims at self-sufficiency and has therefore set-up its own Research and Development wing This wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge Various other activities are striving for the provision of more environmental procedures to manufacture equipment suitable for the local condition and requirements
Organizational culture
TIP should also change its organizational culture The existing culture in which there is no motivation no job rotation and employees development should be changed for a better culture in which there should be good and effective communication motivation and feedback for the employees It is necessary for the betterment of the organization for the achievement of the organizational goals for the reduction of cost and expenses and for increasing the efficiency of the workers and profit as well
Job Rotation
To develop employees to coup with different situation best Feasible way is the implementation of the job rotation Program horizontally (same bench mark position)
By this way the employees will expose to new responsibilities which will lower the boredom routine interaction with their work For the successful achievement of the goals of organization top management has to take into
Performance level overall TIP also the motivation level devotion to the job and job satisfaction of employees
ASSISTANTS TO POSITION
The staff members should be given an opportunity to grow with the organization by being assistant to a well skilled and experienced senior employee to work under his supervision This will provide the employee the opportunity to handled different non-routine job and exposure to new tasks and assignments
INTERNEE TRAINING PROGRAM
It has been observed that the traineeintern program is lacking effective planning A well-planned training program will improve good will of TIP as a helpful organization to the new generation coming out from different educational institutions Training of Interneestrainees should be considered as an investment in the future of TIP by the personal and admin section This will also make easy the job of the recruiting committee of TIP to the already trained candidates who are also aware of the organization culture of TIP
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
Marketing
Telephone Industries of Pakistan totally depended upon only one buyer ie PTCL and sold all of its products on it This is not a good policy and TIP has suffered a lot because of it TIP should expand its business beyond PTCL and should try to find out new markets for its products
For expanding the market it is necessary for Telephone Industries of Pakistan to involve in the effective marketing campaign The website developed by TIP is not meeting to the needs of global world they should try to provide more information and make it interactive from the customer point of view Tip was established as a production unit of PTC but after privatization of PTCL TIP facing order problem due to lack of effective marketing campaign
PRODUCTIVITY AND OTHER TECHNIQUES AND TOOLS FOR IMPROVEMENTS
Besides operation research there are other techniques Discussed below is the application of time-event networks value engineering work simplification quality circles total quality management computer aided design and manufacturing and the manufacturing automation protocol
WORK SIMPLIFICATION
Work methods can also be improved through work simplification which is the process of obtaining the participation of workers in simplifying their work Training sessions are conducted to each concepts and principles and techniques such as time and motion studies Work flow analysis and the layout of the work situation
Fraud cases ( corruption )
TIP should have a proper system to deal with the fraud corruption by the upper management so that these types of events can never be happen again As soon as possible TIP should start its on full fledged marketing department as it is age of marketing and competition
Telephone industries of Pakistan we found that telephone industry of Pakistan have old machinery and insufficient workers With the passage of time new technologies are brought in the market and the organizations which adopt new and better technologies have cost of production much lower than the other firms having old technologies There is need for Telephone Industries to install new machinery and overhaul old machinery to work properly It should also give training to its unskilled workers to become profitable for the organization This is very necessary for the long term survival of the organization
Telephone industries of Pakistan are unable to take all the orders from Pakistan Telecommunication Company Limited Now PTCL purchases its products by calling tenders or quotations in which TIP participates as a member Many times TIP remains unable to receive the orders because the other companies offer their products at lesser rates There is need for TIP to minimize its cost of goods sold so that it may be able to take all the order from its sister concern PTCL
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
TIME EVENT NETWORKS
As discussed in a previous chapter that time even network analysis is a logical extension of the famous Gantt chart Often referred to as the Program Evaluation and Review Techniques (PERT) and in its essentials as the Critical Path Method (CPM) this technique of planning and control has wide potential use in many applications But PERT and its various refinements like PERTCOST have considerable potential for use in many aspects of planning and controlling operations
VALUE ENGINEERING
A product can be improve and its cost lowered through value engineering which consists of analyzing the operations of the product or service estimating the value of each operation and attempting to improve that operation by trying to keep costs low at each step or part The following specific steps are suggested
Divide the product into parts and operations
Identify the costs for each part and operation
Identify each part relative contribution value to the final unit or product
Find a new approach for those items which appear to have a high cost and low value
COMMUNICATION
Communication is the transfers of information from a sender to a receiver with the information being understood by the receiver The communication process begins with the sender who encodes an idea that is sent in oral written visual or some any other form to the receiver The receiver decodes the message and gains an understanding of what the sender wants to communicate This in turn may results in some change or action But the communication process may be interpreted by noise that is by anything that hinders communication In an organization managers should have the information necessary for doing a good job The information may flow not only downward or upward in the organization structure but also horizontally or diagonally Communication can be in written form but more information is communicated through gestures and facial expressions
Barriers and breakdowns in the communication process hinder communication Understanding the barriers making a communication audit and applying the guidelines for effective communicating and listening facilitate not only understanding but also managing Electronic media can improve communication as illustrated by teleconferencing and the application of computers two of many approaches to handling the amount of information in the organizations
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
CONCLUSION
Telephone Industry of Pakistan was established in 1952 by Pakistan telegraphy amp telephone department in partnership with the well known SIEMENS of west Germany to meet the growing demand of telephone facilities in the country The factory has RampD department that is helping in the introduction of the advancement of the technology and changes modification in the running productsResearch and development wing has already done considerable work in the development of new circuits and equipment and in exploring possibilities of applying new scientific knowledge The workers are paid according to their Piece-rate systems which enables to earn according to their efficiency amp skills TIP created facilities for apprentice training in its premises at a very early stage The normal period of apprenticeship is 3 year Every candidate is responsible to pass the apprenticeship with good result This was necessary because the rural area of HAZARA did not offer sufficient number of technically experiences workers
TIP manufacturing all parts according to the merit system For maintenance of standards of precision TIP Measuring Laboratory The production process is started after proper pre-planning by the Production Planning Branch and is finalized by a strict quality Control The production process itself is carried out by using means of modern techniques
TIP has qualified staff huge production facilities and vast areas and opportunities to grow and expand There is need to adopt the suggestions given in this report if TIP wants to regain its lost strength With the proper implementation of these suggestions effective control and efficient management there will be the existence of fair organizational culture the commitment of workers with the organization will increase resources will be used efficiently product line will expand market share will increase and all the resources will prove to be much more profitable than ever before If all this can be made possible and these precious human and non human resources are used with vigilance and proper planning TIP can certainly reach a point where it will be next to no other company in the country and Pakistan will be among the world leaders in the field of telecommunication
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
BIBLOGRAPHY
Books And Refrences
1 Annual Report of Telephone Industries of Pakistan for the period 2003-2004 2 Publication of Telephone Industries of Pakistan ldquoAbstract of TIPrdquo 3 Quality Manual ISO 90012000
Internet
httpwwwptclcompk
httpwwwpakistangovpk
httpwwwpakistaneconomistcom
httpwwwzumbeelnetbetanewsdetailsphprev_param=6808
httpwwwtiporgpk
httpwwwalibabacommemberajtiphtml
