THE RELATIONSHIP BETWEEN EFFECTIVE LEADERSHIP AND LABOUR PRODUCTIVITY 1

1. INTRODUCTION

8.1. This project is the practical implication of what we have learned in our BBA program

course Research Project 1. IQRA UNIVERSITY has created this opportunity for the

students to better known the corporate world practically. In this research project, we

are asked to visit a firm and have a proactive meeting with the manager of our

concerned department inquiring him/her about any problem their organization is

facing or has faced earlier. We are to analyze the problem thoroughly and give

suggestions, which may help them to overcome the trouble. This project can help us to

improvise our thinking abilities, to better evaluate problems, can broaden our

perspectives and most importantly, can prepare us for the practicality.

2. COMPANY PROFILE

Naba International Exports PVT Ltd was founded in 2010 and has since grown to be one of the

world's leading manufacturers of second-hand clothing, shoes and wipers. Because of their long-term

relationship and engagement to their suppliers around the world, their sourcing department can

provide the highest quality service. Most of their content comes from various charities and their

affiliates in the United States, Canada, and the United Kingdom.

Their group of professional graders and quality control ensures that all their imported goods comply

with their strict guidelines for quality.

They initially started with a retail outlet in Kampala and since then have opened 12 more outlets in

different parts of Africa, including Mombasa, Nairobi, Thailand, Dar-es-Salam and more. In

addition, they also have a huge base of customers in other parts of Africa. Now they have recently

opened their head office in Karachi

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For the last 10 years, Naba International Exports PVT Ltd has been trying to meet the expectations

of its consumers and their level of satisfaction by providing them with quality products that are

always the result of hard work and strong coordination under the guidance of the best leaders.

Mission Statement:

Naba International Exports PVT Ltd is committed to developing relationships that have a positive

impact on the lives of their customers and provide them with excellent goods and unsurpassed

services that provide our customers with premium value. In imports and exports, they deal with:

 Importers of Mix Rags.

Naba International Exports PVT Ltd import mix rags from USA and Canada. They are one of the

largest importers of mix rags in Pakistan.

 Exporters of Shoes & Purses.

Along with mix and wiping rags, they also deal in shoes, purses, toys etc. The company sorts them

and exports them to Africa, Thailand, Malaysia, and Philippines.

 Exporters of Wiping Rags.

This company is one of the leading exporters of different quality wiping rags in Pakistan. They

export to Australia, USA, Canada, and Europe.

Naba International Exports wiper department produces high quality wipers. Materials that is

unsuitable for export is cutting and processing into wipers (cleaning cloths). They are supplying to

various industries locally and internationally exports to different parts of the world. Wiper products

include:

• Polo (White & Color)

• Sweat / Jogging (White & Color)

• Cotton (Light & Medium)

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• Flannel

• Fleece

• Towel

• Denim Jeans

• Corduroy

All buttons, pins, hard prints and thick elastics are removing from it.

 Graders and Exporters of Used Clothing.

Naba International Exports PVT Ltd is one of the major graders of used clothing in Pakistan. We

currently have four grading units located in Karachi, Pakistan. We grade over 160 items of used

clothing, separate and sort them, and export them to Africa, Malaysia, Thailand, Philippines, and

Durban.

Naba International Exports is currently exporting to different countries in Africa, Central Asia, and

South Asia. By supplying a vast array of markets around the globe, they have gained a detailed

understanding of each through frequent visits and customer feedback ensuring product acceptance.

They undertake comprehensive sorting and grading activities at our plant utilizing the strong &

qualified employee force. The production team strives to maintain consistency in quality through

various quality control measures implemented within the operational system. Further, these sorted

and graded articles are neatly packaged into compressed bales of 88 to 100 lbs. per bale depending

on customer’s requirement. They take extra care to ensure that the packing is neat and attractive.

2.1. Product Name:

2.2. Hierarchy:

2.3. SWOT Analysis:

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3. DEFINATIONS OF KEY TERMS

3.1. Labour Productivity

Productivity implies comparison between the results achieved (outputs) with the overall resources

used (Input) (Simanjuntak, 1998). In other words that the productivity of the two dimensions,

namely: Effectiveness and efficiency According to Private and Sukotjo (2003), “Productivity is a

concept that describes the relationship between they (the amount of goods and services produced)

with the source (the amount of labour, capital, land, energy, etc.) is used to produce the results”.

From the opinions above, it can be concluded that productivity is the ratio between the overall

results achieved with existing resources more effectively and efficiently. According to Gomes (2002)

in Ambar Teguh Sulistiyani and Rosidah (2003) states that the factors which affect work productivity

is Knowledge, Skills, Abilities, Attitudes and Behavior.

Labour productivity, Dharma (1995) found a way of measuring the productivity of labour need to

consider the following matters:

A).Quantity

B). Quality

c).Timeliness

3.2. Effective Leadership

Leadership is a kind of power where one person has the ability to influence or change the values,

beliefs, behaviour and attitudes of another person (Ganta, and Manukonda, 2014). A person with

strong leadership ability will be a good example or role model to their employees, because the leader
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who is able to effectively achieve some good result or achievement gains the trust and admiration of

their employees, and inadvertently changes their values, beliefs, behaviour and attitudes, for mimicry

is the sincerest form of flattery (Grint, 2007). This statement is also supported by Northhouse (2009),

who states that leaders who possess strong leadership have the strength to influence others to achieve

the goals and objectives of the organization.

A characteristic of effective leaders is that they give a clear direction to their employees, and also

lead their employees to commit to their jobs and to work as a group to achieve the organization’s

goals and objectives (Wasim, and Imran, 2010).

According to Jackson and Parry (2008), leadership is a process where leaders use their skills and

knowledge to lead and bring a group of employees in the desired direction that is relevant to their

organization’s goals and objectives. Additionally, an effective leader that has strong leadership skills

should also be in possession of certain characteristic, such as, passion, consistency, trust and vision;

for only leaders who own these characteristics are able to build trust in employees.

4. PROJECT BACKGROUND:

An organization is a deliberate arrangement of people who shares a common purpose. Our project

stands upon how effective leadership can create potential and positive impact on labors productivity,

which can lead to better organizational growth. Employees, in an organization should work together

cooperatively so that they come up with solutions to certain problems and for that a good leader who

can take everyone together, is necessary. Since, coming from diverse culture they possess distinctive

characteristics, which may serve as a reason for disunity between them. John C Maxwell defines

leadership as: A leader is one who knows the way, goes the way, and shows the way. A good

leader has a futuristic vision and knows how to turn his ideas into real-world success stories. The

supreme quality of good leadership is unquestionably integrity and honesty. One major obstacle NIE

is facing is low labors productivity and the reason they come up with is detachment between labors
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and leaders. This segregation is declining labors productivity which is considerably influencing an

organization overall performance. That’s why we want to give them insight how they can deal and

cope up with this problem to have overall positive impact on the organization.

5. INDUSTRY BACKGROUND:

The ethos of Naba International Exports focuses on conducting business with uncompromising

honesty. We sincerely believe that our success is directly linking to build confidence with our

customers and suppliers through an honest, genuine and transparent policy that enables long-term

relationships to be established. Two founders, Mr. Raheel Hassan & Mr. Hassan Raza, founded Naba

International Exports in 2010. The company created for the purpose of trading & business of used

clothing as an extension of their high family values. Both are the company's executives who worked

hard day & night and quickly became one of Pakistan's leading importers of used clothes

manufactured from the UK, USA & Canada.

Naba International Exports has set an example of hard work & achievement in the trade sector not

only in Pakistan but also worldwide in the business of used clothing, and wipers and enjoys a very

high reputation in the market. From the company that started its business now exports more than 100

containers a month from buying goods locally.

Naba International has become the synonyms of Used Clothing in Pakistan. The journey does not

end here, but it is just the beginning, building an empire of its own and chasing a vision of becoming

the biggest trading community.

In 2010, Naba International Exports PVT Ltd. decided to take a step and start with the small factory.

They set up their first factory in New Karachi from which they gradually set up their work or factory

in Karachi Export Processing Zone (KEPZ), takes a step forward, and set up three factories on behalf

of Naba International Exports PVT Ltd. The company imported original unsorted clothing from the
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United States and graded it into over 100 high-quality items and primarily exports to East and

Central African countries. The plant situated on 1.5 acres of land with more than 60,000 square ft. of

built-up space. They currently own three factory units in Karachi Export Processing Zone (KEPZ), a

head office and over 12 shops in East & Central Africa, Middle East Asia, and South East Asia.

6. AREA OF INVESTITATION

The area of investigation is management (organizational behavior). Since our research topic is

relationship between labor productivity and effective leadership and they both collectively form

organizational behavior which exemplifies that our project is related to management side of an

organization.

7. PURPOSE OF PROJECT

The main reason of designing such project is to make us aware how organizations work, how the

people in the organization connect and influence each other and how each department is responsible

for overall organizational growth. Our project is primarily concerned with supervisor’s relationship

with labours. How ineffective leadership can decline labours productivity leading to destructive

conclusions or results, which can ultimately influence organization’s overall performance. We are

asked to conduct an informational meeting with our concerned area manager in any of the

organization we can easily approach to and investigate what problems they are facing internally or

externally so that we can better evaluate and suggest them.

NABA International exports focuses on conducting business with uncompromising honesty. The

company is based on trading and business of used clothing and wipers. The entire firm operates on

capital and labour. To operate capital, which is machinery, they require labour. The company is

facing a problem with low labour productivity which is found because of unhealthy relationship

between leader (supervisor) and labour. This is the very common issue faced in every second
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organization. Therefore, our project stands upon how this gap could be removed by effective

leadership which can create positive impact on labours productivity.

Employees are true and essential asset of an organization. They are the ones whose contributions

matter a lot to an entity. So, people in an organisation must work cooperatively in order to identify

possible solutions to a problem efficiently and effectively and for that a good leader is mandatory.

A good leader must be flexible and open enough so that employees can respond more freely with no

fear of getting humiliated. Organizational behaviour is the vital element which is responsible for

firm’s performance and profitability so as per our project’s purpose, we would be proposing them

solutions to fill this gap between leaders and labours.

8. Work Plan Methodology

8.1. Method of Data Collection:

8.2. Instrument to Collect the Data:

8.3. Research Approach:

8.4. Target Population:

8.5. Sampling Technique:

8.6. Sample Size:

There are two sources of data collection; Primary and Secondary Data.

Using primary source there can be four different strategies like: Questionnaires, Experiential

technique, Observational technique or Interviews. We would be designing a structured questionnaire

for the research conduction.

We would be using Convenience Sampling Technique to conduct this research with a sample size of

30 employees.

Further, Quantitative approach would be used for data collection and analysis.
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9. Industry Visit Experience

“Nothing ever becomes real till it is experienced”- John Keats

Industrial visit to Naba International Exports Pvt Ltd. as a part of our Research Project 1 was one

exhilarating experience. We visited the company’s head office located at Sharfabad, Karachi. After

an enthusiast welcome by their account’s manager, the manager of the organization shares us some

valuable information about the organization culture with the help of an informative presentation.

Post a brief introduction about the organization, its policies, and people and working environment.

The manager answered all our inquisitive queries with patience as we all were keen to know more.

The behavior of the manager was so cooperative which was captivating. This visit gave us exposure

and greater clarity about various management concepts that are put into action and the leadership

qualities possessed by leaders and how they manage to tackle the consequences arriving day by day.

10. Managerial implication/Significance

The significance of this research conduction could be seen when managers will imply its results

practically. After working on our work plan methodology, we would be able to propose solutions to

the firm (NIE). Those propositions would help a manager to lead a group effectively, to better

understand his team and their respective problems which could be beneficial for the organization. A

manager would be able to become an effective leader who has that charisma of attracting the

employees through his behaviour. He would be able to develop a positive relationship with the

labours which can also motivate them to work happily. A leader’s behaviour can strongly influence

the employees’ productivity, thus, the research will help a manager to understand the importance of

his behaviour over labours productivity. This research will also help a manager to build morale,

leading to high self-esteem, in employees which can also improvise their relationship.
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REFERENCE

https://ayietim.wordpress.com/2016/03/05/john-keats-nothing-ever-becomes-real-till-it-is-

experienced/

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https://naba-international.com/

Ganta, V. C. and Manukonda, J. K. (2014). Leadership During Change And Uncertainty In

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 THE RELATIONSHIP BETWEEN EFFECTIVE LEADERSHIP AND LABOUR PRODUCTIVITY 11

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