Human Resource Management

2. PAK ELECTRON LIMITED

3. GROUP MEMBERSGROUP MEMBERS
MIRZA SAJID MAHMOOD
WAHEED IQBAL
NAVEED-UR-REHMAN

4. SEQUENCESEQUENCE
 Introduction - WAHEED IQBAL
 Part – I
◦ Vision
◦ Mission
◦ Goals
◦ Historical Back ground
◦ Product line
◦ Division of branches
◦ Hierarchy at PEL,
 Part – II – NAVEED-UR-REHMAN
◦ SWOT Analysis,
 Part – III – MIRZA SAJID MAHMOOD
◦ HR Practices
 Conclusion & Recommendations
 Questions & Answers - All

5. CONDUCT METHODOLOGYCONDUCT METHODOLOGY
Gathering of Information about PEL, Company
Visit to PEL, Feroz Pur road Lahore on 30 November
Conduct of Interview with HR Executive (Mrs. Irum Butt).
Meeting with Mian Javed (Marketing Head, Feroz Pur Road Lahore)

6. PART – IPART – I
WAHEED IQBALWAHEED IQBAL

7. HUMAN RESOURCE MANAGEMENTHUMAN RESOURCE MANAGEMENT
Policies, practices and system that influence employee’s
behavior, attitudes and performance.”
“HRM is function within an organization that focuses on
recruitment of management and providing direction for the
people who work in the organization”.

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

9. MISSIONMISSION
 To Provide quality products & services to the complete
satisfaction of our customers and maximize returns for all
stakeholders through optimal use of resources
 To focus on personal development of our Human Resource
to meet future challenges
To promote good governance, corporate values and a safe
working environment with a strong sense of social
responsibility

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

11. Historical Back GroundHistorical Back Ground

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

13. Appliances DivisionAppliances Division
PRODUCT LINEPRODUCT LINE

14. Power DivisionPower Division

15. SAIGOL COMPANIES TAKEN OVERSAIGOL COMPANIES TAKEN OVER
BY THE GOVERNMENT IN 1972BY THE GOVERNMENT IN 1972
Insecticides (Pakistan) Ltd.
DDT and BHC Plant
Insecticides (Pakistan) Ltd.
Acetate Rayon Yarn Plant
Kohinoor Engineering Ltd.
Workshop Fabrication Erection Services
United Bank Ltd. (UBL)
Scheduled Commercial Bank
United Chemicals
Caustic Soda / Chlorine Plant
Kohinoor Oil Mills Ltd.
Vegetable Cooking Oil Plant

16. HEAD OFFICE
14-KM Ferozepur Road, Lahore
Ph:042-5811952-57 Fax:042-5810156, 5822682
ZONAL OFFICES
Lahore
Karachi
Hyderabad
Multan
Sahiwal
Faisalabad
Gujranwala
Rawalpindi
Sukkur
Peshawar
Sargodha
DIVISION OF BRANCHESDIVISION OF BRANCHES

17. Year Product Introduced Technical Collaboration
1956 Distribution Transformers, Switch Gears, & Three
Phase Induction Motors
AEG West Germany
1978 PEL was taken over by Saigols Group
1981 PEL Window Type Air Conditioner General Corporation Japan
1987 PEL Refrigerators SILTAL SPA Italy
1987 PEL Deep Freezers ARISTON Italy
1993 PEL NECCHI Fractional Horse Power Compressors NECCHI COMPRESSORI
Italy
1994 PEL Single Phase Watt Hour Meters ABB, Power T&D Company
USA
1995 PEL DAEWOO Colour Television Daewoo Electronics, Korea
1997 Carrier Window & Split Type Air Conditioners Carrier Corporation USA
2001 Samsung Window & Split Type Air Conditioners Samsung Corporation Korea
THE CHRONOLOGY OF PRODUCTTHE CHRONOLOGY OF PRODUCT
INTRODUCTION AT PELINTRODUCTION AT PEL

18. HIERARECHY OF PELHIERARECHY OF PEL
CEO is the main controller of the whole organization. Heads of all
departments directly reports to CEO. These people are mainly
involved in policy creation of the company. All the major operation of
the company go under the review of these departmental heads
 CEO ( CHIEF EXECUTIVE OFFICER)
 FINANCE MANAGER
 HR MANAGER
 IMPORT & EXPORT MANAGER
 MARKETING MANAGER
 IT MANAGER
 ADMIN MANAGER
 ACCOUNTS MANAGER

19. DEPARTMENTAL DIVISION OF PELDEPARTMENTAL DIVISION OF PEL
Below mentioned 11 Departments working in PEL
 Finance Department
 Marketing Department
 Corporate Sale Department
 Distribution & credit Control Dept
 HR Department
 Procurement
 Production
 Import & Export Dept
 IT Department
 Admin Department
 Accounts Department

20. Business Process AnalysisBusiness Process Analysis

21. HR needs:HR needs:
 Competent staff
 Competent manager
 Comfortable environment.

22. Strategic Planning:Strategic Planning:
Cost leadership:
PEL aim is to become low-cost leader in Appliances
sectors that is why PEL is providing effective services
in low cost than other Competitor
Differentiation:-
PEL strategy is to provide unique services
to its customers in Appliances sectors to
make itself valuable for its customers.

23. PART – IIPART – II
NAVEED-UR-REHMANNAVEED-UR-REHMAN

25. StrengthStrength

26. WeaknessWeakness

27. OpportunitiesOpportunities

28. ThreatsThreats

29. PART – IIIPART – III
MIRZA SAJID MAHMOODMIRZA SAJID MAHMOOD

30. Human Resource PracticesHuman Resource Practices

31. HR POLICIES & PRACTICES AT PELHR POLICIES & PRACTICES AT PEL
Organizational behavior studies the human behavior and helps the managers
to understand the human’s behavior in different situation
.Therefore we can say that organizational behavior has the strong link with the
“Human Resource Management”.
As a Chinese proverb suggests,
“If you wish to grow something for a season, grow mangoes. If you wish
to grow something for a year grows rice. But, if you wish to grow something
for a life time grow man power.”
HUMAN RESOURCE DEPARTMENTHUMAN RESOURCE DEPARTMENT

32. Work ForceWork Force
HR here is divided into the following two major categories
◦ Permanent Employees(6000 Approximately)
◦ Outsourced Employees (1500 Plus)
◦ Employees in HR Department ( 8 )

33.  Recruitment
 Selection
 Training and development
 Performance management
 Labor and employee relation
 Job Analysis
 Job design
 Pay structure
 Compensation
HR PRACTICESHR PRACTICES

34. Recruitment and SelectionRecruitment and Selection

35. Recruitment ProcessRecruitment Process
They start by getting the request by related department. Departments
fill Recognition Slip. These slip consist of following requirements:
(1) Employee age
(2) When and why employee require
(3) Experienced or fresh employee

36. Recruitment proceduresRecruitment procedures
 Internal Sources
 Job Posting (invitation to employees)
 Provide opportunity for employee growth and
development
 Provide equal opportunity for advancement to all
employees
 Promote the employees with in the company
 External Sources
 Advertisement
 Electronic Recruitment
 Employee Referral

37. Selection ProceduresSelection Procedures
Short listing / Pre-Selection
 Test
 Interview
 Probation Period (Duration)
 Manager (6 Months)
 Executive (3 Months)
 Approval
 Issue of appointment letters
 Reserve list

38.  Welcome note from management director
 Mission, Vision, Values
 Brief introduction of PEL
 Company profile
 Organization
 Product profile
 General guidelines
 The working hours
 Head office
 Plant
 Canteen mess
 Bank account details
 Fair price shops
 Traveling
 Department visit
 Meeting with HOD
 Colleague
3 DAY’S ORIENTATION PROGRAM3 DAY’S ORIENTATION PROGRAM

39. VideoVideo

40. TrainingTraining and Developmentand Development

41. HR team of training and development make a performance
evaluation of all the employees and the see where the gap occurs
between the actual performance and the desired performance. Then
training is designed for area which needs to be improved. On the job and
off the job both the trainings are given according to the need of the
employee.
Training and DevelopmentTraining and Development
 Performance Evaluation
 Training designed according to area wise
 New Employee
 Induction Training ( Overall Training)
 Department Training
 On job Training

42. Some of the Performance Appraisal method followed at PEL
 Job results / Outcome
 Ranking
 Relationship with subordinates
 Target Achieved
 Behavioral Checklist
Performance Appraisal MethodsPerformance Appraisal Methods

43. Pay Structure & IncentivesPay Structure & Incentives

44. Pay Structure and Incentives:Pay Structure and Incentives:
 Drivers and Tea Boys
“Drivers” =Rs.8000
“Tea Boys” =Rs.7500
 Administrative Staff
 HR, Finance
 Marketing (Rs.20000-250000 starting pay)
 MIS
 Other depts.
 Ingredients of the pay
 Medical Allowance
 It is per month allowance in addition to the gross salary. But it
doesn’t form the part of the salary for any other benefits e.g.
Provident fund, bonus

45. ◦ House Rent
 10% of the basic salary is given to each senior/ executive
level employee.
◦ Gratuity
 It is one gross salary (last drawn), for each completed
year of service, which is payable on leaving the company.
◦ Provident Fund
 Employee’s contribution @ 10% of basic salary after con
firmation of service
◦ Bonus
 Bonus on salary is provided annually to the employees.

46. Job Analysis:Job Analysis:
The interview
Questionnaires
The methods which are used in collecting job analysis information are

47. Benefits and CompensationBenefits and Compensation
PEL follows the performance base pay structure and pay for
their performance.
 Increments
 Employee Health Plans
 Employee Leave
 Bonuses

48. Performance ManagementPerformance Management

49. Performance ManagementPerformance Management
 Annual confidential report
 Observation Performa
 Academics Result Performa

50. HR CapabilitiesHR Capabilities
Human Resource ActionsHuman Resource Actions

51. HR CapabilitiesHR Capabilities
Skills
Abilities
Knowledge
Human Resource ActionsHuman Resource Actions
Behavior
Results
Absenteeism
Turnover

52. SMARTSMART ObjectiveObjective
SMART is an acronym that can be used to help ensure that effective
objectives or goals are set
◦ Specific
Specific objectives are clear and well-defined. This helps both the
performer and the manager, as the performer knows what is expected of
them and the manager is able to monitor and assess actual performance
against the specific objectives.
◦ Measurable
Progress towards objectives often needs to be monitored even as work is
under way. It is also very useful to know when that work has been done
and the objectives are completed. A measurable objective achieves this
end

53. ◦ Achievable
When giving objectives, the person may not be able to achieve it for
various reasons, including a lack of skill, not having enough resources
(computers, tools, etc.), not having access to key people and not having
management support. Achievable objectives ensure that everything is in
place and that if the person does not reach the goals they cannot
reasonably point the finger elsewhere
◦ Relevant
Objectives should also add useful value within the context where they
are being set, being aligned with strategies and higher goals
◦ Timely
Descriptions of objectives should also include timescales of what is
required by when. This may also include details of delivery, stating (if
relevant) where objectives are to be completed

54. CONCLUSION & RECOMMNDATIONCONCLUSION & RECOMMNDATION
 They have raised very expensive loans so they should retire their expensive loans.
 They should carefully study their competitors.
 company’s liquidity position is dismal. So they need to pay off their short term
loans.
 Their operating cost is very high so they should control their operating expenses.
 They should advertise throughout the year so people should remember them and
will be more brand loyal and new customers will be attracted. They should use all
the medium of advertising to be more successful in attracting customers.
 Co-ordination should be developed between departments to departments. This
can be done through setting goals and objectives of the whole company not only
for their different departments.
 PEL has good brand image in the market and people associate its name with the
quality. So PEL should provide a good product range in terms of different sizes
and colors and it should add some new items in its product range.

55. Q & AQ & A