INTERNSHIP REPORT

SHAHEEN PHARMACEUTICALS
Specialization: Human Resource Management

Su mitte! To: A!ministration

C"airman# $eptt% o& 'usiness

Su mitte! '(:

)Name o& Stu!ent* Roll No% Registration No% A!!ress

$EPARTMENT O+ 'USINESS A$MINISTRATION

ALLAMA I,'AL OPEN UNI-ERSIT.#

H/0# ISLAMA'A$

AC1NO2LE$3EMENTS
All praises and thanks are for ALMI3HT. ALLAH who is entire source of all knowledge and wisdom to mankind. Special praises for the HOL. PROPHET MUHAMMA$ )P%'%U%H* who forever is touch of knowledge and goodness for humanity as a whole on the successful completion of the project. I would like to acknowledge my deep sense of gratitude and indebtedness to academic assistance of my best teacher Mr. Mujeeb Alam, without his continued guidance and timely advice the completion of this report would have been difficult. He has been a source of continuous encouragement throughout the execution of my internship period. ords cannot say the gratitude that we feel for our parents, friends and the members of my family whose affection and prayers have always been the key to my success. I applaud the nice company of my best and true friends Mr. Sir Zamin Khan, Mr. Riaz and all the class fellows during the past few months of !"A studies. I will always remember my association and affinities with all of them and treasure the good days and happy moments spent with them. #inally complete my I am also I very am thankful thanking to the all members of of S"a"een S"a"een

P"armaceuticals# with out their guidance and help, it will be impossible for me to internship. management P"armaceuticals for rewarding me such a great experience during my stay. $hanks to all who helped me in completing my project.

Table of Contents:
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O'5ECTI-ES O+ STU$.IN3 THE OR3ANI6ATION INTRO$UCTION TO THE OR3ANI6ATION O-ER-IE2 O+ THE OR3ANI6ATION 4.5 &)+A-I6A$I&-A. S$)1%$1)(

9 ;

OR3ANI6ATION STRUCTURE O+ HUMAN RESOURCE $EPARTMENT HUMAN RESOURCE MANA3EMENT PROCESSS IN OR3ANI6ATION 7.5 H1!A- )(S&1)%( *.A--I-+ 0 #&)(%AS$I-+ 7.5.5 7.5.9 7.5.4 7.9 7.9.5 H)* *)&%(SS #&)(%AS$I-+ H) )(:1I)(!(-$S !($H&/S #&)(%AS$ H) -((/S S&1)%(S &# %A-/I/A$(S 7.9.5.5 I-$()-A. S&1)%(S 7.9.5.9 (2$()-A. S&1)%(S 7.4 $)AI-I-+ 0 /('(.&*!(-$ 7.4.5 7.4.9 7.>. 7.>.5 7.>.9 7.7 7.? 7.; 7.7.5 7.?.5 7.;.5 $)AI-I-+ -((/ ASS(SS!(-$ (!*.&3((S /('(.&*!(-$ *()#&)!A-%( S$A-/A)/S 0 (2*(%$A$I&H& *()#&)!A-%( )(*&)$S A)(

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44 47

LA'OUR MANA3EMENT RELATION S2OT ANAL.SIS )STREN3TH# 2EA1NESS# OPPORTUNITIES > THREATS +OCUSIN3 ON THE HRM PROCESS IN THE OR3ANI6ATION MAIN 2EA1NESS O+ THE OR3ANI6ATION RECOMMEN$ATION CONCLUSION RE+ERENCES ANNE@ESAAPPEN$ICIES A/?4 A/?7 A/?8 A/?9 A/?; A/?: A/?= A/?0 A/?< A/4? A/44 A/47 APPOINTMENT LETTER INTERNSHIP CERTI+ICTAE MONTHL. EMPLO.EES STREN3HT REPORT EMPLO.EES 2A3ES > SALAR. REPORT EMPLO.EES A'SENTEESM REPORT EMPLO.EES TRAININ3 RECOR$ EMPLO.EES TRAININ3 SCHE$ULE EMPLO.EES PERSONAL +ILE CHEC1LIST EMPLO.EES 2A3E > SALAR. RECOR$ EMPLO.EE SALAR. SLIP EMPLO.EES PRO-I$ENT +UN$ RECOR$ RECRUITMENT > APPOINTMENT PROCESS

94 99 9; 9= 9< ;4

III

LIST O+ +I3URES > ILLUSTRATION +I3URES #igure 5 #igure 9 #igure 4 #igure > #igure 7 #igure ? #igure ; #igure < #igure = #igure 58 #igure 55 #igure 59 TA'LES $able 5 $able showing current and needed staff level 59 Structure of H) /epartment Shaheen traditional style of management Shaheen modern projectiAed style of management Human )esource *lanning *rocess #orecasting $echniBues (stimating internal labor supply Sources of )ecruitment Stages of )ecruitment Sources of %andidates *erformance !anagement %ycle (mployees %ategories %omposition of Salary ? = = 55 54 5> 57 5? 5; 99 97 9;

E@ECUTI-E SUMMAR.

I'

Irrespective of the siAe or objectives of an organisation, the most valuable resource it possesses is its workforce. ithout workers who are both efficient and effective, the longCterm success of an organisation cannot be assured. $he human resource of an organisation is its entire workforce D from managing director to partCtime cleaner. (ach person is employed to perform specified functions which play their part in the overall success or failure of an organisation. It is the human resources employed by an organisation which generate wealth through the provision of services or the production of goods. %onseBuently, just as machinery and buildings need to be protected if they are to work properly, time and care must be taken if an organisation is to secure and retain the human resources that it reBuires. It is the responsibility of the Human )esource /epartment to devise and implement the organisationEs policies and strategies for managing its human resources in a way that will satisfy both the objectives of the organisation and the objectives of the human resources it employs. $his report contains valuable 0 important information regarding H) practices which I observed and documented in the form of this report. Shaheen is one of the reputed pharmaceutical present in *akistan. H) /epartment of Shaheen is not as per that of the other reputed pharmaceuticals. Several flaws in the H) *ractices in Shaheen are identified and recommendations are made which are present at the end of this report. H) in Shaheen is responsible for several activities which can be enhanced to other areas. #inally it is found that Shaheen can best utilise its H) function and ripe the fruits of benefits both in short term and in long terms. Important 2or!: orkforce, #unction, H)!, *roduction, *harmaceuticals,

'

O'5ECTI-ES O+ STU$.IN3 THE OR3ANI6ATION $o study 0 review the function 0 structure of H) /epartment of S"a"een P"armaceuticals% Analysis of S"a"een P"armaceuticalBs mission, vision, strategy and goals and diverse functions of H) department. $o look into the special assignments carried out by H) team like preparation of the generic job descriptions for all field positions and conducting $-A research program to detect gaps in ,S: F,nowledge, Skill and *ersonal :ualitiesG of employees. An exclusive probe into $raining -eeds Assessment strategy of H) /epartment of S"a"een P"armaceuticals% $o find out the Strength, eaknesses, &pportunities and $hreats F SWOT G of S"a"een P"armaceuticals . Analysis of H) /epartment policies. $o put suggestions 0 recommendations to further improve the activities of H) /epartment of S"a"een P"armaceuticals . And finally to prepare an internship report in the light of observation I found and recommendation I forwarded to the management of Shaheen *harmaceuticals.

INTRO$UCTIION O+ THE OR3ANI6ATION I have selected Shaheen *harmaceuticals, for my internship study in this

report. !r. Syed ,arim founded Shaheen *harmaceuticals in !arch 988> in *akistan. Its )egistered !arketing &ffice is situated at *eshawar while its main manufacturing plant is present 4 ,m from Saidu Sharif, Swat. Shaheen *harmaceuticals presents more than 78 products to the market. -owadays, Shaheen *harmaceutical is a leading IS& =885H9888 certified firm in pharmaceutical industry of *akistan with over 478 employees and covers all four provinces of *akistan. O'5ECTI-ES AN$ +UNCTIONS $he basic objective of the company is to produces high Buality medicine at cheap price by using latest technology and highly technical staff. $o achieve this goal the company adopted +.*, c+!*, + * and IS& =885H9888 rules and regulation and continuously improving their management and marketing tasks. $here are various functional department present in Shaheen *harmaceuticals and includes *roduction /epartment Fconsist of !anufacturing /epartment, *acking /epartment, /rying Section, +ranulation 0 !ixing Section, /ispensing Areas, $ablet, %apsule, /ry Suspension 0 .iBuid SectionsG, :uality %ontrol .aboratories, :uality Assurance, )0/ /epartments, /epartment. PRO$UCTS O++ERE$ Shaheen *harmaceuticals are offering different types of product to the market, which includes. Antibiotics Anti histamines Antifungal arehouses F#inished, Inprocess, :uarantine 0 )ejection AreasG, #inance /epartment, !arketing /epartment, Inventory %ontrol

 %ardiovascular products Iron supplement products #oliate supplement products AntiCinflammatory , Analgesics and Antipyretic products H9 )eceptor antagonist Hepatic protective products.

O-ER-IE2 O+ THE OR3ANI6ATION Shaheen *harmaceuticals is one the famous and reputed

pharmaceuticals with more than 478 employees belong from different regions. Shaheen *harmaceuticals has achieved the distinction of being the first organiAation in the S A$ 'alley, which achieved IS& =885H9888 :uality !anagement %ertification from one of the famous and recogniAed organiAation II% which have a registered head office in /ubai, 1.A.(. and approved from @oint Accreditation System of AustraliaC-ew 6ealand F@ASC A-6G in 988;. Shaheen in recent years initiated implementation of the H) reforms in a structured manner. Shaheen *harmaceuticals has successfully launched its H) development process at the beginning which was aligned to the new organiAation knowledge, skill and competencies needs. Shaheen *harmaceuticals have a traditional management style i.e. functional departments are present to perform various organiAation activities. A list of these functional departments is shown in organogram. LOCATIONS O+ O++ICES Shaheen *harmaceutical marketing office is present in *eshawar while !anufacturing *lant is present in Swat. $he addresses of these offices are as belowH +actor( > Hea! o&&ice: Shaheen *harmaceuticals 4C,m, !urghAar )oad , Saidu Sharif Swat , -. .#.* *akistan MarCeting o&&ices: Shaheen *harmaceuticals 4C"ashir .ane , #akhrC(CAlam )oad , *eshawar , -. .#.* *akistan

>

8%4

OR3ANI6ATIONAL STRUCTURE

)eproduces with the permission from the management of Shaheen *harmaceuticals

STRUCTURE O+ THE HUMAN RESOURCE $EPARTMENT Shaheen *harmaceuticals follows bureaucratic style for their H)

/epartment activities i.e. all major activities are concentrated to one position which means that only one person is holding major activities of H) /epartment. $he H) department of Shaheen *harmaceuticals are composed of 4 main segments. $hey are

Shaheen H) %ore %ompetency (mployees Services

#igure 5

Staffing 0 %ompensation

&/ 0 (ffectiveness

Emplo(ee serDices ?

o o o o o

*ayroll Information .eave and !edical )ecord #inal Settlements *olicies and *rocedures (mployees )ecord and )ecreation

O$ an! E&&ectiDeness o o o o o $raining plan $alent !anagement *erformance !anagement (mployees )etentation &rientation 0 (mployee %ommunication

Sta&&ing an! Compensation o o o o Staffing *lan and H) "udgeting !anagement $rainee and Internship *rogram Interviewing and Selection %ompensation, "enefits and Incentive

HUMAN RESOURCE PROCESS IN THE OR3ANI6ATION Shaheen is basically a functional organiAation with functional

departments covering #inance, *roduction, )0/, :uality %ontrol 0 :uality Assurance, and !arketing 0 /istribution. Having more than 98 3ears experience in the field of !arketing 0 /istribution, Shaheen was formed by the founder 0 present %(& /r. Syed ,arim in 988>C87 as a fourth pharmaceutical in S A$ valley. !r. )ashid which has an experience of 57 years was appointed as consultant and head of H) /epartment. At the beginning the management of Shaheen uses traditional techniBues such as interviews to select candidates for various jobs. -ow the traditional way of appointing the employees are changed and some of modern techniBues such as filling a short Buestionnaire along with interviews are used to select the candidates. Shaheen makes a great change in their working style and nowadays Shaheen is converting itself into more projectiAed style than traditional hierarchy style but the management of Shaheen still uses the old tradition of interviewing.

<

Shaheen $raditional Style of !anagement #igure 9

$op!anagement !anagement $op

#unctional/epartment /epartment #unctional 5 5

#unctional/epartment /epartment55 #unctional

#unctional/epartment /epartment55 #unctional

Shaheen !odern *rojectiAed Style of !anagement

#igure 4

*roject 55 *roject

$op $op !anagement !anagement

*roject 99 *roject

*roject 44 *roject

*roject 55 *roject

$op $op !anagement !anagement

*roject 99 *roject

*roject 44 *roject

;%4

HUMAN RESOURCE PLANNIN3 > +ORCASTIN3 *lanning 0 #orecasting in the modern age is a matter of life 0 death

for organiAations of modern age. $he same is true for pharmaceuticals industry. (ach 0 every consecutive day new research product is developed, deployed for trails 0 testing. All these effort reBuire skilful, trained and experienced workforce. It is for this reason organiAation plan and forecast for human resource so as to remain competitive. $he management of Shaheen *harmaceuticals also uses planning 0 forecasting procedures to cope with human resource reBuirement but these

planning are usually of short term. As a result when the management of Shaheen open there .iBuid Section, they faces a serious shortage of skillfull, trained 0 experienced workforce. Although the management strongly believes that employees are there supreme strength. "ut they are not adeBuately planning to anticipate the future need.

7.5.5 HUMAN RESOURCE PLANNIN3 PROCESS $he H) *lanning *rocess of Shaheen is shown in the following #igure. 58

#igure > S"a"een O EectiDes > Strategies

(xternal (nvironment Scanning

Internal (nvironment Scanning

+orecasting

Survey &f (mployees -eeded

Survey &f (mployees Available

S"a"een HR Plans

Shaheen H) *lanning are usually of short time in nature usually of > to ? months. "ecause of shortage of skill workers and because of the presence of pharmaceutical industries in the S A$ 'alley, the competition is very high so the H) /epartment of Shaheen continuously looking for skill workers. #or this purpose Shaheen scan internal environment to find out suitable employee and promote to fill the vacancy, if there are no such employees available, then H) /epartment scan external environment for skilled and experienced employees. As a result it is found the H) /epartment minimally interviewed 9 D 4 candidates daily, most of these interviewed candidates are called 4 to > months later of which almost ?8 C ;8I get jobs else where and only 48 C >8I available. &nce the internal environment along with external environment is scanned, a draft forecast is prepared. $here are no forms for this purpose Shaheen uses, instead Shaheen only colleted %'s and credentials for future need with H) comments written on it. Shaheen uses surveys to find out the present employees, their strength and experience and then find out the no of reBuired employees in near future. $his gives 55

the organiAation the ability to cope with future need of employees. "ut the same is not true for high level employees such as *harmacists, %hemists, Analysts, &fficers 0 !anagers. Shaheen does not have a valid planning for higher level officers. As a result there is always a shortage of skilled, technical 0 experienced top level officers as indicated by the following table.

-o.
4 7 8 9 ; : = 0 <

)anks
Managers C"emist P"armacists
2are House O&&icers

Available )eBuired
?= ?4 ?8 ?7 ?8 ?8 ?7 ?7 ?7 7; 4? ?8 ?= ?8 ?; ?; ?: ?0 ?= ;9 $able 5

Accounts Sections 3o!oFn Sta&& InDentor( Control Pro!uction O&&icers Anal(sts Total O&&icers

;%4%7 +ORECASTIN3 HUMAN RESOURCE PLANNIN3 PROCESS Shaheen uses the information which was gathered from external environmental scanning and assessment of internal strengths and weaknesses is used to forecast H) supply and demand in light of there objectives and strategies. #orecasting in Shaheen contains information from the past and present to identify expected future conditions. "ecause of the rapid changes in the political, economical 0 global changes, Shaheen mainly emphasiAe on short term forecasting usually of > to ? months durations.

59

/espite the availability of vary sophisticated techniBues, forecasting in Shaheen is still subjective judgment. $he facts are some times evaluated and weighed by knowledgeable individuals, such as managers and H) experts, and some times not. ;%4%8 METHO$S O+ +ORECASTIN3 HUMAN RESOURCE NEE$S H) at Shaheen uses 9 method when forecast the human resource need using judgmental methods and mathematical methods. Although Shaheen uses these two types of model, the management still do not know the model and the difference between them.

#igure7
Shaheen #orecasting $echniBues

@udgmental $echniBues

!athematical

(stimates

*roductivity )atios

In @udgmental $echniBues, Shaheen uses (stimates which are both topCdown and bottomCup, but mainly the H) 0 !anagement teams combinely interviewed the top level employees who are in a position to know that How many people will they need next year to cop with employees shortage and to increase productivity. After obtaining responses, the H) prepare forecast sheet and submit it to chief executive for approval. hile In !athematical methods, extensively used for lower level worker, Shaheen uses *roductivity ratios which calculate the average number of units produced per employee. $hese averages are then applied to forecasts to determine the number of employees needed. #or example when Shaheen launches new product F*reston $ablets, -ormidol Suspension 0 &lox $ablets in April 988=G the 54

management decide to hire new employees to increase the production level from <788 packs with 47 packing staff with a ratio of 9>4 to 57888 packs with ?9 packing staff per day. $o reach this objective Shaheen hire fresh 9; packing section employees through referral, interview and other methods.

#igure ?

5> ;%7 EMPLO.EES RECRUITMENT > SELECTION

&nce the forecast is developed and approved from the top management, the H) department of Shaheen start )ecruitment 0 Selection process to fill the vacancies. .ike all good plans, H) !anager of Shaheen builds employment plans on premises. "asic assumptions for employment reBuirement by forecasting contain three important thingsH $he supply of inside candidatesJ *ersonnel needsJ $he supply of outside candidates according to their company reBuirements.

Internal Sources

#igure ;
Sources of )ecruitment

(xternal )ecruitment

57

"y the utiliAation of their resources, firstly it is checked that either there is any job placement or company is expending their business so that new jobs are open for new candidates. $hese issues are tackled by the H) !anger. If staff is reBuired then company tries to find them inside the company by upgrading their employees if it not possible then new jobs are created and fill by the outside market. $he overall aims of the recruitment and selection process in Shaheen are to obtain, at minimum cost, the number and Buality of employees reBuired to satisfy the needs of staff reBuirement. $he three stages of recruitment and selection in Shaheen areH $e&ining reGuirements: *reparing job descriptions and specificationsJ deciding terms and conditions of employmentJ Attracting can!i!ates: )eviewing and evaluating alternative sources of applicants, inside and outside the company, advertisingJ Selecting can!i!ates: Sifting applications, interviewing, testing, assessing candidates, offering employment, obtaining referencesJ preparing contracts of employment.

#igure <

Stages of )ecruitment

/efining )eBuirements

Attracting %andidates

Selecting %andidates

;%7%4 SOURCES O+ CAN$I$ATES $here are various source available for the recruitment of potential candidates, which are broadly divided in two categories. Internal Sources (xternal Sources

5?

#igure = Sources of %andidates

Internal Sources

(xternal Sources

;%7%4%4

INTERNAL SOURCES hen some new

#irst choice which Shaheen mostly utiliAe is internal source.

post is created or some post is vacant due to termination, resigning and promotion of employee, $he H) department scan internal organiAational environment to locate the potential candidates, as a result :uality Assurance &fficer was promoted to the post of Inventory %ontrol !anager, *roduction !anager were promoted to !anagement )epresentative of IS& *rogram, and :uality %ontrol Incharge were promoted to :uality %ontrol !anager. hen some post is available, then H) /epartment notifies the interested candidates about the job opening and the candidates submit their %'s along with the written permission from their respective managers for the new post. $hese informationEs are then forwarded to top management and after there approval a formal notification is sent to interested candidates for interview. After interview , job is offered to successful candidates.

;%7%4%7

E@TERNAL SOURCES

5;

If there are no people available within the organiAation the other sources of candidates, are used for recruitment such as internal or external referral 0 advertising etc. In external sources, the H) department uses internal and external referrals i.e. when job is posted then existing employees recommend some employees for the job or !anagers of other pharmaceuticals recommend some candidates for the job. H) gives first priority to internal referral and then external one. if the H) /epartment still not find out the potential candidate, then Shaheen advertise the job opening in local news paper. Almost more than ;8I of employees both workers, technical staff and managers are appointed through external or internal referrals. Initially every officer rank employees are appointed for a probation period of 4 to ? months as trainee. After successful completion of training a permanent job is offered to the trainee.

7.4

TRAININ3 > $E-ELOPMENT $raining is one of the most important tool any organiAation using to

5<

cope with the rapid change in technology and way of doing business. H) department of Shaheen is responsible for the training and /evelopment of existing as well as new coming employees. $he difference between the training of new and existing employees are orientation and Shaheen culture. hen a new employee is selected, an orientation of the new employees is conducted. *roduction !anager is responsible for the orientation of new employees. &rientation is basically a one to two hour activity in which the new employees are informed about the organiAational structure, term 0 conditions of employment, the duties of incumbent, the ethical 0 behavioural reBuirement for the new employee and the so. $his activity is only design for the officers and managers. observed at this level during dayCtoCday transaction. -ew or (xisting employees are trained in H) /epartment via three methods. (mployees Handbook $raining by concerned department !anager. $raining to visit to other pharmaceuticals. $he period of training is not specified, some times it covered in a week some times it is extended upto ? months. ;%8%4 TRAININ3 NEE$ ASSESSMENT $here is no document for training need assessment in H) department, however a document is found in IS& !aster #ile :!SK89K885 along with several forms. orkers 0 employees of lower level are exempted from orientation. As a result most problems are

5=

6.2.2 TRAINING, AWARENESS AND COMPETENCY A planning process is being implemented which ensures the proper training, awareness and competence development of people. This carried out while taking into account the organization processes, customer needs and expectations, the stages of development of people and the culture of the organization. The objective is to provide people with knowledge and skill, which, together with experience, improve their competence and capabilities. Organization has established and maintains a procedure to ensure proper capabilities of personnel working. This includes: dentification of competenc! needs for personnel performing activities affecting "ualit! #roviding training or take other actions to address identified needs. $valuating effectiveness of the training provided $nsuring that emplo!ees are aware of the relevance and importance of their activities and how the! contribute to the achievement of the "ualit! objectives %aintaining appropriate records of education, experience, training and "ualification
)eproduced with permission from the H) !anager of Shaheen *harmaceuticals

$raining need in Shaheen is determined based on error or mistakes freBuently made by any employees. However some forms of training need assessment were found in :uality %ontrol /epartment. $he form :%/ uses contains information divided in to two major categories. $hey are *erformance Analysis. F hat tasks the analyst is currently performingL how can the current performance be improvedL Is training the best methodLG @ob 0 $ask Analysis. F hat is the best way to do analysisL How can analysis process are broken down into small stepsLG $he :%/ uses this form to gather information about the training need and to find out the suitable, affordable and effective way of training. ;%8%7 EMPLO.EES $E-ELOPMENT "ecause of lack of training need information, the only available option for the management of Shaheen is to wait till some problem appears. If this happen the management in the light of intensity of incident decided whether to train the employees or terminate them. If the decision regarding training is made then the immediate supervisor are asked to help the employee and make up the deficiency in the skill, knowledge and behaviour of the employee. $his may be useful exercise but the company already suffered the loss. 98

In :uality %ontrol Area, in the light of the form already prepared for training need assessment, the %hemist 0 Analysts are informed about their training schedule. $hese training sessions are conducted with the help of H). !ostly the training mode are lecturing and participation exercise in which the trainees are asked to perform some activities. $he all activities are recorded. As a result the turnover of employees in :uality %ontrol is much lower than any other areas of the organiAation. H) of Shaheen also uses another method to train some employees i.e. by sending them to other pharmaceuticals to work for some time and then come back to their original position. Although some documents regarding training activities are found in IS& documentation, it was found that these forms are never used.

95

;%9

PER+ORMANCE MANA3EMENT (mployeeEs job performance is an important issue for all employers. A

performance management system consists of the processes used to identify, encourage, measure, evaluate, improve, and reward employee performance at work. #igure 58

Shaheen encourage their employees to achieve high level of excellence i.e. in :uantity of output :uality of output $imeliness of output *resence at work %ooperativeness

$hese excellences are appreciated by the management at their monthly meeting with their employees and in the form of shields and awards. However all these activities are Bualitative in nature. $he activities of employees are recorded on the basis of observation made by the management officials from time to time. $here is no maintenance of performance log. However critical incidents are recorded on rough pages for the future need.

99

;%9%4 PER+ORMANCE STAN$AR$ > E@PECTATION Although Shaheen is a well reputed pharmaceutical organiAation, what target the employees must achieve is totally the matter of perception. /ifferent standards are set for different employees. i.e. if two employees which perform same task in which one are highly experience and skilled and other have relative lower experience than the management expect a high Buantified target achievement for the experienced one than from other. It is because of this reason, an atmosphere of conflict found in some section of Shaheen *harmaceuticals. !anagement still not do sufficient planning to overcome these differences in targets and for the smoothing of organiAational environment. $he production department are usually engage in performance standard setting and reviews of activities to find out that these standards are met during normal course of operation. However if the standard are not met there are no mechanism how to remove inefficiency. $hus some one can say that performance standards are not a matter of seriousness in Shaheen. It was also found that some employees are also reluctant to these standards because no reward are attach to these standards. /uring my internship, several times the product staff achieves the target but they are not appreciated well. ;%9%7 HO2 PER+ORMANCE REPORTS ARE 2RITTEN *erformance reports are the responsibility of all managers of the concern department. However these reports must be submitted to H) /epartment. A major drawback is that these report are not considered when pay raise is recommended by the manager of various department, as a result every employee get 58I annual increase in their pay regardless of their performance. $his creates a lack of seriousness about the performance report preparation. (very department uses their own performance sheet. A typical performance report of Shaheen contains information as -ame of employee 94

/esignation of (mployee -ame of performance evaluator /epartment /ate 0 $ime *erformance Standard FArranged according to their priorityG )emarks Signature of Supervisor

9>

;%;

EMPLO.ESS COMPENSATION > 'ENE+ITS Shaheen *harmaceuticals currently highly compensating there

employees with respect to other industries present in Swat valley, however among the lowest compensation payable organiAation in the industry in *akistan. "ecause of very low number of pharmaceuticals in Swat valley and absence of many taxes in Swat valley, Shaheen is one of the most profitable pharmaceutical in *akistan, but these benefits are not transferred to their employees as a result the employees turnover is very high. Shaheen have a different pay structure for different level of employees and also employees of same level. i.e. Head of two departments are paid two different type of compensation. H) department is responsible for pay and pay related issues. It was also found that salary determination in Shaheen is a matter of bargaining. i.e. Shaheen pay 7788 *,) to an analyst while at the same time pay 57888 to other analyst working in a same post. Shaheen creates 9 categories for their employees. (xempt 0 -onC (xempt. Shaheen pay overtime to its nonCexempt employees who work in excess of < hour and are one 0 half times there base pay. Almost all officers, managers, directors 0 executives are exempt from overtime allowance. $here is no shift premium and night allowance for workers. $he pay structure changes in Shaheen with that of based on seniority and not on performance. #igure 55 (mployees %ategories -onC(xempt (mployees

(xempt (mployees

Although Shaheen is considered as one of the most profitable organiAation in pharmaceutical sector, it does not distribute some portion of

97

its profit among their employees. $here is also no concept of variable pay in Shaheen. LacC o& eGualit( in t"e pa( structure is t"us a maEor !isa!Dantage o& S"a"een pa( s(stem% ;%;%4 T.PES O+ COMPENSATION > 'ENE+ITS

$here are only one type of pay structure is available for the lower level employees. i.e. base pay. -o other direct 0 indirect pay 0 benefits are provided to the employees. #or the lower level employees Shaheen is giving time base pay i.e. every employee have to work for at least < hours a day after which he has subject to receive his pay at the end of month. -o portion of the pay is directly or indirectly associated with the pay. As a result motivations of the employees are low. $he composition of salary of lower level employees consist of H "asic Salary &vertime Indexation allowance F#or workers having salary less than 9788 *,)G Attendance allowance F#or workers having salary less than 9788 *,) %ost of .iving Allowance

and eBual to 488 *,)G

9?

#igure 59 Indexation Allowance

"asic Salary
%ompositio n of Salary

Attendance Allowance

%ost of .iving Allowance

&vertime

Shaheen pay a higher wage to his high level employees. $he composition of the salary given to these employees consists ofH +ross Salary "asic Salary House )ent $ransportation Allowance F usually between 488 to 788 *,)G %ost of .iving Allowance Special Allowances 'ocational *ay

$e!uctions 'ene&its $he following benefits are being paid. (&"I CCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCC 7 I of wages Advance against salaryCCCCCCCCCCCCC up to one third of salary F#or all employeesG !edical allowance CCCCCCCCCCCCCCCCC >I of Salary F&nly for !anagersG .oan Instalments *rovident #und (mployees &ld Age "enefit InstitutionM.. (.&.".I.

9;

Accommo!ation &nly for those employees living outside Swat 'alley. Loans $he employee is given loans as per the loan policy mentioned in the Service )ules. $he employees submit their application for loan approval to H) department after the approval of the !anaging /irector the loan is granted to the applicant.

;%:

OR3ANI6ATIONAL CAREER MANA3EMENT Shaheen *harmaceuticals have one of the best career management system.

9<

$he company consistently monitors its employees and as far as the betterment of their career is concern, the company has a proper strategic plan through which it increases the skill level of its employees. $he company offers workshops, seminars, visit of key employees to other pharmaceutical industries 0 training courses which focus on injecting skills and professionalism into employees. $hese courses held in the organiAation or outside organiAation as per the course reBuirements. )egardless of the location of these training programs, the company pays all the expenses. $he only focus of these programs are to improve the skills of their employees so that not only company can get maximum out of them but also employees can enrich their nature of job and life standard as well. Along with these training programs, the company makes their employees fully aware of their job reBuirements by mean of job descriptions so that they can develop a clear picture about at what are necessary reBuirement of their job and want are not. Indirectly the promotions, transfer to other department also plays a key role in employeesE job satisfaction. Shaheen also have a career planning center and the interested employees can seek help anytime between <H88 A! to >H88 *! from !onday to #riday. $his center help employees to get updated information about their job, current trend in the job an

employee performing, reBuired knowledge to enhance the productivity of employees. If an employee wants to change their job position, the career planning center helps the employees to do so. If any employees want to join any outside institution for further education, Shaheen *harmaceuticals allow them. As a result some of Shaheen *harmaceuticals employees are the students of various educational institutions e.g. !alakand 1niversity, 1dhiana !edical Institute, Abbott %ollege and 'irtual 1niversity. (ducational *olicy of Shaheen *harmaceuticals is flexible while that of its competitors present in SFat region is tough. $hus as far as the career development is concern, the H) /epartment of Shaheen is fully aware of this issue.

;%:%4 EMPLO.EES 5O' CHAN3ES (mployeeEs job changes in Shaheen *harmaceuticals are a matter of routine task. hen any job is lying vacant or some new post is created because of expansion or addition of new department, Shaheen first priority is to select employees from the current pool. #or this purpose Shaheen announce the vacancy internally and invite the current employees to submit their %'s along with reBuired documents and then select the right candidate for the post. If right candidate are not available to fill out the vacancy then Shaheen search for candidates who have the reBuired competency and are willingly to fill the post but not have proper knowledge andKor skill reBuired for the post, then Shaheen arrange an up gradation program which best suit the employee reBuirement for the new post. As a result the employeeEs response for the new position is always higher than expected. -ormally every employee changes their job every 4 to > years. As a result of these changes, :A &fficer changes their job to Inventory %ontrol !anager, *roduction !anager changes his job to *lant !anager and )aw !aterial Store Incharge promoted to arehouse Incharge. Shaheen also arrange outside assistance and training program for their employees. As a result some of employees are send to various organiAation

9=

for training upto ? months and then returned back to assume the new position. (mployeeEs job changes within organiAation give advantage to the company that employees at key position are loyal to the company.

;%=

5O' CHAN3ES 2ITHIN OR3ANI6ATION @ob changes in Shaheen *harmaceutical are managed by H) hen there is new post created in the company or some post

48

/epartment.

became vacant because of layoff, dismissal, promotion or demotion etc, Shaheen first announce the post through their display board, memos to various managers through memos and interCcommunication forms. Interested employees are informed to submit their %'Es along with reBuired documents and with -&% from the head of their department. After receiving such documents, the H) !anager verify the information collected and match the current post reBuirement with that of competencies and capabilities of the employees. H) /epartment conducts a short interview with that of interested employees. $hese interviews are mostly conduct in H) !anager &ffice usually after >H88 *!. A series of Buestions are ask from the employees such as hy he apply for the jobL hat is the deficiency the employees feel in their current jobL How he manage the new jobL hat the employee expects from the new jobL etc.

In the light of interview conducted and the recommendation and -&% of the current head of employee department makes an initial recommendation to higher management F%hief (xecutive, +eneral !anagerG. After approval from the top management the employee, previous and new manager of the employee are informed through intercommunication form and a new @ob /escription #orm were granted to the employee. It was observed during my stay that new appointment letter were not given to the employees and it was assumed that the terms 0 %ondition of the employment was same as before. $he employees know his salary rise only when he receives his pay cheBue.

;%=%4 PROMOTIONS In case of promotion, the head of department inform the H) !anager through intercommunication form about the performance of an employee. After receiving such information, the H) department recommend the employee for possible promotion within department to top management. $he top management decide in the light of recommendation from the head of department 0 H) department to promote or not the employee. $he decisions of the top management were mostly verbally, and the H) department in the view of decision makes necessary documentation. *romotion policy of Shaheen *harmaceutical is not clear. $he employees do not know when they were be promoted. It a matter of top management decision. As a result of this, some employee promoted very early like after ? to ; month of employment while some are still waiting for promotion after 7 years of employment. "ecause of no policy about the promotion mostly employees are demotivated and thinks what ever they do they are still under the dark side of the candle. *roductivity records also show that the outputs of senior are lower than that of new comers and that of who promoted earlier.

45

:% &fficer was promoted to Senior :% &fficer. #+S Assistant was promoted to #+S Incharge and /ispensing *harmacist was promoted to /ispensing Area Incharge. ;%=%7 TRANS+ER $ransfer policy of Shaheen is clear and also mention in employee hand book, job description 0 in appointment letter. Shaheen transfer policy stated that when ever services of an employee are reBuired in some other department andKor any section within the firm, the employee must assume the responsibility without any hesitation and any reasons. $he appointment letter contain these phrase HT"e emplo(ee s"oul! assume an( responsi ilit( assigne! ( concerne! manager or an( aut"orize! person !esignate! ( top management% He s"oul! also assume an( tasC F"oll( or partiall( eit"er permanentl( or temporaril( as per HR $epartment instruction Fit"out an( "esitationH% As a result of this job transfer within department is a matter of daily activity. %oating &perator of coating section work with packing department and blister section staff are transfer to syrup section. $hus we can say transfer is a routine activity in ShaheenEs life. Some transfers in Shaheen are temporarily one while some are permanent in nature. $op management decided whom to promote permanently and whom not. (mployee some times also takes part in transfer process and willingly apply for transfer because the transfer gives them fresh life in the form of new knowledge and skill. $his type of transfer is voluntarily one. hile in involuntarily one top management decided which one is transfer and which one not. $he employees may apply to review the management decision of involuntarily transfer but the final decision is in the hand of top management. ;%=%8 $EMOTIONS %urrently there is no demotion occur in Shaheen *harmaceuticals to date. IS& master documents show that when the employees does not show 44 49

satisfactory performance within 5 year period Fin which the employee is unable the minimum acceptable level of productivity for last 4 months continuouslyG and does not improve his performance after the recommended training from the concerned department manager, makes continuously same mistakes, does not oblige the order of department manager, supervisor and any other senior and after informally verbal, formal written and a formal show cause notice, does not satisfy the concern officials in show cause case hearings, theft, damage to company property, engage in any other activity other that assigned one and the same and leaking company critical or non critical information to outsiders include relatives, friend and competitors of the firm are subject to demotion, penalty eBuivalent to damage, withholding salary, and termination from the employment with or without notice. Shaheen is lucky in the sense that during the 7 years of his journey, no employees yet receive demotion from his current job. ;%=%9 SEPERATION

&ne of the worst decisions an employer or employee made is the decision of separation from the firm. $he employee leaves the job because of various reasons such as #inding better job .ess attractive current job -o career growth in current job andKor current organiAation 1nexpected new complex 0 lengthy assignment in the job "ad employment condition in current job 1nacceptable supervisors, managers behaviors. IneBuality in pay

hile the employer remove an employee also have one of several reasons such as %ontinuous low performance of an employee

%utting unnecessary overheads. Increase profit by reducing cost through cutting employees strength. Hire low wage workers by removing high paid workers. .ayoff union workers because of strikes, lockout etc /ue to inflationary or recession conditions .ayoff old workers because of less or no knowledge of advance

technology. (mployee who leak out critical firm information to outsiders. (mployees who damage company property. %ontinuous absence from the job 4>

1nfortunately in Shaheen this decision were made freBuently in the last 9C4 years. About 9K4 of Shaheen employees have joined Shaheen within 9C4 years only one third are employees which are from the start with the company. &f the 9K4, more than 78I of employees were terminated one of several reasons such as ;%=%9%4 1nacceptable behavior with that of supervisor andKor manager /amage to #irms property /oes not obey !anagement orders Smoking and engage in activities prohibited by the management .eak information to outsiders. $oo many unauthoriAed leaves LA.O++ .ayoffs occur when employees are put on unpaid leaves of absence for time period longer than approved one.

Shaheen have a clear policy in this regard. A complete section on leaves is present in the employment manual. #or employment period of more than > year 98 vocational leaves are approved along with 59 sick leaves and 58 other leave, a total of >9 days. $hese leaves are available to all employees but 98 vocational leaves are earned only after completed > years of service in the firm. employment handbook. Shaheen have a strict policy on leaves. If an employee makes extra leaves without prior approval, a written show cause is issued to him within ; days. If the employee does not provide reasonable reason to H) department, then he has a danger of layoff. &nly ; times this option is used. (mployees can collect their vocational leaves upto 78 and then if he wants to avail these leaves he can. If he does not want to avail the leaves then he may apply for pay eBuivalent to normal rate. If employee does not respond to the show cause within 4 days of receiving, another show cause is issued and if he still not respond within 4 days of receiving, a layoff letter is send to him and thus in this way the employee is terminated. (mployees can also apply for unpaid leave in case of emergency such as medical leave, maternity leave, educational leave etc. but prior permission from H) department is necessary. ;%=%9%7 TERMINATION 1nfortunately termination decision in Shaheen was made freBuently in the last 9C4 years. About 9K4 of Shaheen employees have joined Shaheen within 9C4 years only one third are employees which are from the start with the company. &f the 9K4, more than 78I of employees were terminated one of several reasons such as 1nacceptable behavior /amage to #irms property 47 hile remaining leaves can be availed any time. All these informationEs are present in Section 58 page 9< of

/oes not obey !anagement orders Smoking and engage in activities prohibited by the management .eak information to outsiders.

$here is various rank employees terminated due to above causes. Senior pharmacists, production supervisors, packing hall Incharge, manufacturing area staff and warehouse personals are the freBuent victim of this decision. As a result the motivational level of these employees also found lower than other areas employees least affected by termination decision. Although the termination remove problem employee, it was found that these employees can be made loyal with little effort and some training.

;%=%9%8

RESI3NATION

4?

)esignation in Shaheen is another big reason for brain drainage of valuable talent. Shaheen spend valuable and its precious time to reward a good experience but because of the weakness of the system, when the employee get some knowledge he resign from his post and join new firm. $he major causes behind this situation were found as under. .ess opportunity for career growth due to less room for innovation and creativity because of standardiAed rules and procedures. .ower salary 1nsatisfactory work conditions. 1nacceptable term and conditions. $ight supervisory control .ack of trust

-o benefits for most of employees.

Shaheen does not so far make some sound homework to reduce this trend. As a result this situation persists. "ecause of beurucratic style of management, opportunities for others becomes lower 0 lower down the hierarchy. $he post leave after resignation was not filled immediately. 1sually 4 to > months are reBuired to fill the posts. It was also observed that resignation letter was given by employees to the management immediately without waiting period of 5 month. "ecause there is no benefit for employees thus resignation was given immediately. Another trend was observed that mostly resignation application was given 9nd date of new month when employee get there previous month complete salary thus the management have nothing to hold and forces the employee not to resign. )esignation is one of the worst ways which not only effect some department badly but some times the firm faces dangerous situation.

;%=%9%9

RETIREMENT

4;

Shaheen is a relatively new firm and no one individual till date are retired. "ut employment handbook Fsection 95 page ?<G contains information about retirement. Shaheen policy is that any one who will complete 47 years of services are eligible to apply for retirement. $he retirement policy will be made later. $his matter is still under consideration of top management. hoever it was found that some benefits such as provident fund, gratuity and (.&.".I benefits will be provided to retired employees. It was also found that management decided to give job to one of the relative of retired employee. However no formal authoriAe information on this matter is not approved yet.

LA'OUR MANA3EMENT RELATIONS .abourC!anagement relation in Shaheen is not an ideal one. $he employees

4<

are just satisfied the management style. $hus we can say that the organiAation keeps normal relations with its employees. $here are twoCway communications methods in Shaheen. Several features of .aborC!anagement relations are (very employee has the right to come to meet his immediate supervisor for his problem. If his supervisor cannot satisfy the employee, then employee can go to H) department for this problem. N$here are placed the O%omplaint "oxP at different location in the organiAation that are only opened by the H) !anager randomly. Some /epartment held meeting on monthly basis in which head of /ept and first line supervisor meet to employee and discuss about the previous performance of /ept 0 individual performance. At the end the decisions are made to enhance the individual performance by facilitating the employees.

N$he company treats all employees with respect and dignity, no employee is subjected to any gesture, language and physical contact that are sexually coercive, threatening, abusive or exploitative. Dis i!line P"o e#$"e:

arning are addressed to the employees verbally and in written through their immediate supervisor. $he warning referred to the contraventions committed by the employee and served to remind the employees the heKshe abide by the company rules and regulations in performing hisKher work, and that this contravention should not be repeated in future.

A written letter addresses to the employee describing the contravention committed. $he employee is also notified that a higher penalty may be inflicted on him in the contravention is repeated in future. $he warning letter is then registered in the employeeEs personal file. Issuance of written warning can be recommended by the respective supervisor and Head of /epartment. It will be issued by the H) department after approval of %hief (xecutive &fficer. 4=

/eduction from the salary will be an amount of employee salary depending on the type offence and decision taken accordingly. $he employee may be suspended from performing his or her duties for a period of time as conveyed in written. 1nauthoriAed absence of more then two times in Six month can result in termination of employment. An employee who is absent from the job with out satisfactory explanation and necessary proof is considered to be an unauthoriAed unpaid absence. /iscrimination, intimidation and harassment based on sex, race, religion, age, colour, disability, sexual orientation and cultural background is prohibited at the workplace.

S2OT ANAL.SIS )STREN3TH# 2EA1NESS# OPPORTUNITIES > THREATS +OCUSIN3 ON THE HRM PROCESS IN THE OR3ANI6ATION STREN3TH

>8

i. ii. iii. iv. v. vi.

&ne of the largest pharmaceutical organiAation. Higher wage payer employer in the region. #reBuent availability of lower wage employees. !ore loyal senior employees. :ualified staff in H) /epartment. )educes cost by merging some departments, especially merger of Administration /epartment into H) /epartment.

vii. viii. ix.

1se of H) #orecasting techniBues *erform @ob Analysis freBuently. Higher motivational level of key employees due to @ob rotation 0 %areer !anagement programs.

x.

1se of different sources for recruiting 0 selection of right candidates.

2EA1NESS

>5

i.

.ower wage level as compared to other pharmaceutical present at other locations.

ii. iii. iv. v.

Availability of less skilled and less experienced workers. High employees turnover ratio. Serious shortage of necessary full time staff in H) /epartment. /ual responsibility of various managers due to merger of various departments.

vi. vii. viii. ix. x. xi.

Short term H) #orecasting usually 4 to ? months duration. H) #orecasting are mostly conducted for lower level workers. Some @ob descriptions were found outCofCdate. @ob /escription are only covering offers and managerial ranking employees. %areer growth opportunities are only available to selected employees. -o referral reward system for employees who recommend competent employees.

xii.

&utCofCdated interviewing techniBues.

OPPORTUNITIES i. (nough room for the implementation of new H) policies 0 *rocedures. >9

ii. iii. iv.

Shaheen can hire best employees for their H) /epartment. Shaheen can expand their H) /epartment. 1se the skill 0 competence of H) !anager Head to improve H) department performance by giving him full and unconditional authority.

v.

-umber of graduates in the region is increasing, Shaheen may hire these graduate to increase the performance of H) System.

THREATS i. Imposition of new rules and regulation by the government. ii. (ntrance of new companies in pharmaceutical industry. iii. Switching of employees from Shaheen to other companies who pay more than that offered by Shaheen. iv. Serious shortage of skilled and Bualified workers in near future.

>4 0 MAIN 2EA1NESS O+ THE OR3ANI6ATION /uring my stay, I have found following main weaknesses which I discussed with H) !anager.

a. Serious shortage of employees almost in all departments and sections. b. Shaheen purchases latest machines and eBuipments but till date did not find technical and skilled employees to start few of those machines. c. In Shaheen, interviews are conducted on daily basis for lower level employees but only a small percentage of these were offered the job. d. $here are no formal training programs for new incumbent. e. Strict beurucratic style of management. f. High turnover ratio than competitors. g. Short term planning for human resource. h. .ack of formal forms 0 formats specially interview evaluation form etc. i. #orecasting of human resource need is based on subjective judgment. j. -o referral bonus for employees who recommended competent 0 skilled candidates for a job. k. &rientation 0 training period of new incumbent are very short and new employee has to learn every thing from his mistakes. l. -o training need assessment form developed yet.

m. /ifferent standard are set for different employees working same type jobs. n. *erformance reports have no effect on annual salary increase. o. %ompensation 0 "enefits are lower in Shaheen as compared to other national 0 multinational pharmaceutical organiAations. p. /ifferent pay structure for different employees working same job. B. *romotion policy of Shaheen is not clear. >> < RECOMMEN$ATION

a. $he H) /epartment must intensively look for new candidates to fillCup the shortage of employees. #or this purpose Shaheen may use internet, print medias such as newspapers, brochures and may use referrals. b. Shaheen *harmaceutical acBuired latest eBuipments and machineries but some of them are still not at work because of lack of technicians and specialists. It is thus recommended that before any new machinery is purchased, a contract must be signed with the manufacturer of the machinery or with the suppliers that they must train some staff of Shaheen to operate the machine within reasonable time. c. $he H) department may dedicate a day in a week or in a month for interview thus eliminates the unnecessary interviews conducted daily and thus can save precious time of H) Staff. d. A complete training program must be designed for each and every incumbent, which may cover not only the details of the job for which the incumbent is hired but also about the company, its culture, environment, H) *olicies and the like. e. Strict beurucratic style of management must be converted to more flexible type i.e. authority and responsibilities must be delegated to lower level as well. $his action not only increases motivational level of employees but also increases the loyalty and sense of belongness of employees. f. H) /epartment must also forecast for longCterm Human )esource need. g. H) /epartment must design formal form for applicant interview, salary surveys, $raining need assessment etc. h. Human resource needs in Shaheen are mostly determined using judgmental techniBue. Although judgmental techniBues are one of most important ones, the H) /epartment must train every !anager, Supervisor, .ine !anager etc so that can use other method as well to enhance the reliability of their estimates. >7

i. It is also found that no referral bonus was given to employees who refer competent, skilled and knowledgeable candidate. $he H) /epartment must convince the higher management to give such bonus which not only motivated the employees but the organiAation can in this way get competent, skilled and experienced worker which may participate in the success of the organiAation. j. &rientation 0 $raining period of new incumbent is very short, and usually the incumbent learn from their mistakes, this is a costly practice. So it is recommended that new incumbent must be fully trained and after completion of training period, the training performance must be evaluated before giving regular job assignment to the employee. k. &ne main weakness found in Shaheen *harmaceuticals is that there are different performance standard for employees working same job. $his practiced must be immediately eliminated and same performance standard must be set for same job. l. *erformance reports must be tightly linked with salary increase at the end of each year. m. As compared to other pharmaceutical organiAation present in *akistan, the salary level in Shaheen is much lower. As a result the employeeEs turnover is very high. H) /epartment must conduct salary survey, comparison and other means to reduce the current salary gap and thus reduces the employeeEs turnover. n. $here must be same pay structure for same job i.e. eBual pay for eBual work. o. Shaheen H) /epartment must clearly communicate its promotion policy to all employees. >? 4? CONCLUSION

H) is a very vast and important field in business. It is really important to have and maintain Buality professionals to add value in any organiAations. #rom the entire above project I have gained a lot of practical experience of the work. I saw how work is done practically in organiAations. I saw practical application of my theoretical knowledge. It was a great learning experience, but I observed something which I feel not a good practice. "asic pay of line workers disappointed me the most. It was less than that approved by the government due to the fact that the organiAation is located in tax free region where government labour officer do not inspect any company. $here are many things that are still in books and remain in books. I think, organiAations, in the process of reducing costs and competing globally, should not forget basic ethics, which are the essence of a good organiAation. /uring my stay in Shaheen *harmaceutical, I have analysed their existing human recourse system and seen that how they are applying the )ecruitment 0 Selection process Ffrom job analysis to selection of employeesG and I have seen that company recruit all those persons who are eligible to his criteria whether they are internal or external. &nce a pool of candidate has been completed the next stage is to select the best person for the job to achieve the organiAational goal. &rientation and on the job training will be arranged after the selection of employees and the newly hired employees are posted on temporary job of 4 to ? months for their practices, and employees having satisfied performance will be permitted as permanent. "ut orientation and training are limited to some employees. $he !anagement strongly believes the importance of their employeesJ however the benefits provided to them are also limited to few employees. $he management believe employees as a supreme strength. $herefore they strive to attract, retain and develop the best talent but because of low salary and few benefits, the employees turnover ratio are Buite very high. Special emphasis in this regard is given to training 0 development of the staff but so for this practice is conducted only to train selective employees. Shaheen not only train employees inChouse but also send some employees for external training. >;

%urrently the company does not have automated H)!S. If this system is installed, the company will received numerous benefits such as reduction in recruitment 0 selection costs, Increases H)/ performance, easy 0 fast access to critical information such as employeeEs personal record, performance log etc. It was also observed that layoff, termination, demotion and retirement polices are not clear as a result the moral of key employees were found at low level. %urrently, the H) !anager is trying there best to develop new policy which are acceptable to both employer and to employees and thus it is expected that H) /epartment will reduces their deficiencies and enhances the satisfaction of their employees.

><

44

RE+ERENCES 'OO1S 5 9 +uerin .isa 0 /elpo Amy F9884G. %reate 3our &wn (mployee Handbook F5st ed.G. %alifornia, 1SAH -olo *ress $racey, illiam ). $racey. F988>G. $he human resources glossaryH the S$. .1%I( *)(SS FA %)% *ress complete desk reference for H) executives, managers and practitioners F4rd ed.G -ew 3ork, 1SAH %ompanyG. 4 > Helms !. !arilyn. F988?G. (ncyclopaedia of !anagement F7th ed.G. .ondon, 1,H $homson 0 +ale *ublishing %o. *rof. ,rishan !urthi. F988<G. A Handbook of (mployees )elations and .abour .aws In India. F5st ed.G. !umbai, IndiaH -A/ International *ress. 7 @ones *am. F9888G. $he *erformance !anagement *ocket "ook. F5st ed.G. 1,H !anagement *ocketbooks .td. (CmailH pocketbksQaol.com ebH www.pocketbook.co.uk ? ; /avid A. /ecenAo 0 Stephen *. )obbins F988>G. #undamentals &f Human )esource !anagement. F<th ed.G ayne #. %asico F9888G. !anaging Human )esource F*roductivity, :uality &f 5OURNALS 5 /r. Adya *rasad *andey F/ec. 988;G. .abour !anagement )elations D A )adical /eal #or Industrial *eace. !*)A *aper -o.?8<7 )etrieved !ay 988=, httpHKKmpra.ub.uniCmuenchen.deK?8<7 MANUALS 5 !anual of Human )esource, %hamber *ractice, $he Indian legal Service *rovider. F5==?G. !anual developed for )amakrishna Hospitality Services F*vt.G .td. ork .ife 0 *rofitsG. F7th ed.G. -ational "ook #oundation.

>=

$raining !anuals of *aramount *harmaceuticals. F@an. 988<G

78 47 ANNU@ERS AC85 A**&I-$!(-$ .($$()