STRATEGIC HUMAN RESOURCE MANAGEMENT STRATEGIC HUMAN RESOURCE MANAGEMENT FINAL PROJECT REPORT FINAL PROJECT REPORT SUI NORTHERN GAS PIPE LINES LIMITED SUI NORTHERN GAS PIPE LINES LIMITED “STUDY OF HUMAN RESOURCE AT STRTEGIC AND FUNCTIONAL “STUDY OF HUMAN RESOURCE AT STRTEGIC AND FUNCTIONAL LEVEL” LEVEL” ASSIGNED BY: PROF. S SOHAIL ASSIGNED TO: MUBASHRA ARIF AYESHA RAFIQUE JAWAD ABDUL KHALIQ SAMREEN NAEEM AHMED IFTIKHAR HASSAN QADIR 1
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STRATEGIC HUMAN RESOURCE MANAGEMENTSTRATEGIC HUMAN RESOURCE MANAGEMENT
FINAL PROJECT REPORTFINAL PROJECT REPORT
SUI NORTHERN GAS PIPE LINES LIMITEDSUI NORTHERN GAS PIPE LINES LIMITED
“STUDY OF HUMAN RESOURCE AT STRTEGIC AND FUNCTIONAL“STUDY OF HUMAN RESOURCE AT STRTEGIC AND FUNCTIONAL
LEVEL”LEVEL”
ASSIGNED BY:
PROF. S SOHAIL
ASSIGNED TO:
MUBASHRA ARIF
AYESHA RAFIQUE
JAWAD ABDUL KHALIQ
SAMREEN NAEEM
AHMED IFTIKHAR
HASSAN QADIR
1
SUI NORTHERN GAS PIPE LINES LIMITED
2
ACKNOWLEDGEMENTSACKNOWLEDGEMENTS
We are very grateful to Mr. ZULQURNAIN AHMAD Senior General manager Human
Resource Department. He gave us his valuable time besides being busy. We also want to
thank Prof. Sohail Saleem who encourages us to study a Pakistani based company to learn
about this very subject more closely with practical information and knowledge.
TABLE OF CONTENTSTABLE OF CONTENTS
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S.NO TOPICS Page No.
1. Introduction to the company 6
2. Core values of the company 7
3. Vision and Mission statements 8
4. Corporate Strategy 9
5. Strategic Objectives 9-10
6. Human Resource At Strategic Level 10
7. Company’s current and future projects 10-11
8. Hierarchy of the Organization 11
9. Human Resource Committee 11-12
10. Organogram 13
11. Human Resource At Functional Level 14
13. Pattern of Job Analysis 14-17
14. Job Design 16-17
15. Recruitment 17-19
16. Selection 18-19
17. Employee Retention 19
18. Orientation 20-22
19. Training & Development 23-29
20. Performance Appraisal 30-33
21. Feed Back System 34
22. Compensation System 34-35
23. Promotions 35
24. Employee Motivation 36
25. Conclusion 37
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SUI NORTHERN GAS PIPE LINES LIMITED
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Introduction
Sui Northern Gas Pipelines Limited (SNGPL) is the largest integrated gas company serving
more than 3.4 million consumers in North Central Pakistan through an extensive network in
Punjab and NWFP. The Company has over 46 years of experience in operation and
maintenance of high-pressure gas transmission and distribution systems. It has also expanded
its activities to undertake the planning, designing and construction of pipelines, both for itself
and other organizations. SNGPL operates in a region of the nation that has a rapidly growing
demand for natural gas and power generation due to significant industrial development.
SNGPL was incorporated as a private limited Company in 1963 and converted into a public
limited company in January 1964 under the Companies Act 1913, now Companies Ordinance
1984, and is listed on all the three Stock Exchanges of the Country.
SNGPL has 3,451,142 consumers comprising Commercial, Domestic, General Industry,
Fertilizer, and Power & Cement Sectors. Annual gas sales to these consumers were 584,895
MMCF worth Rs. 168,933 million during Jul 08 - Jun 09. SNGPL has 3,451,142 consumers
comprising Commercial, Domestic, General Industry, Fertilizer, and Power & Cement
Sectors. Annual gas sales to these consumers were 584,895 MMCF worth Rs. 168,933
million during Jul 08 - Jun 09.
Core Values of SNGPL
SNGPL has following core values which are completely embedded in their culture.
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COMMITMENT
We are committed to our vision, mission, and to creating and delivering stakeholder
value.
COURTESY
We are courteous - with our customers, stakeholders and towards each other and
encourage open communication.
COMPETENCE
We are competent and strive to continuously develop and improve our skills and
business practices.
RESPONSIBILITY
We are responsible as individuals and as teams - for our work and our actions. We
welcome scrutiny, and we hold ourselves accountable.
INTEGRITY
We have integrity - as individuals and as teams - our decisions are characterized by
honesty and fairness.
Vision Statement
To be the leading integrated natural gas provider in the region seeking to improve the
quality of life of our customers and achieve maximum benefit for our stakeholders by
providing an uninterrupted and environment friendly energy resource.
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Mission Statement
A commitment to deliver natural gas to all door steps in our chosen areas through
continuous expansion of our network, by optimally employing technological, human
and organizational resources, best practices and high ethical standards.
Corporate Strategy
Increase and expand gas distribution networking throughout the country by increasing
profitability and customer satisfaction.
SNGPL's Key Strategic Objectives
SNGPL is committed for:
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Improve the quality of service to the customer’s satisfaction by implementing OGRA
performance and service standards.
Play its role in the Country’s economic prosperity by industrial outreach through gas
supply to reduce dependability on imported liquid fuels and to save foreign exchange.
Endeavour to bring down Unaccounted for Gas (UFG) losses to internationally
acceptable levels.
Create awareness and enforce adherence to Health, Safety & Environment (HSE)
policies and standards.
Emphasize Human Resource Development (HRD) for quality work and customer
satisfaction.
Maximize the sale of available gas from indigenous sources by entering into new
areas through development and expansion of the requisite infrastructure.
Introduce policies and practices leading the company from a monopoly situation into
a competitive market, thus facilitating the impending privatization.
Improve financial discipline through prudent investment and borrowing.
Improve internal controls and risk management to achieve maximum operational
efficiency of the system.
Automate the Company’s systems and processes through Enterprise Resource
Planning (ERP) for better efficiency and internal control.
Upgrade measurement facilities to ensure accuracy in quality and quantity of gas
at custody transfer points.
Motivate employees through market compatible emoluments and create conducive
working environments.
HUMAN RESOURCE AT STRATEGIC LEVEL
SNGPL’s Human Resource Strategy
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It is very clearly evident from the corporate strategy and company’s strategic objectives that
company is right now in growth mode. Company is expanding its operations throughout the
country. So for meeting its goals and objectives company is using:
There are following procedures used for training and development of the employees by the
organization:
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Training
SNGPL used various methods and techniques for training its employees and these are:
On job training
In house training
Off job training
Induction training
On job training:
In on job training the employees are rotated into various departments to coin the skills and
learn the methodologies used in the organization. SNGPL is gas transmission and
Distribution Company so it has very wide operations and procedures which must be learned
and practiced by the employees.
In house training:
SNGPL provides in house training to its employees. Company has its own training institute
named as SNGTI (Sui Northern Gas Training Institute). Here the company invites
external speakers and trainers time and again to train their employees. Besides company has
its own training staff too.
This training institute provides training to the employees according to the requirements of the job and the upcoming projects. More over it gives training not only for technical but for the soft skills as well.
Induction training:
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Induction training is important as it enables a new recruit to become productive as quickly as
possible. It can avoid costly mistakes by recruits not knowing the procedures or techniques of
their new jobs. The length of induction training varies from job to job and depends on the
complexity of the job. In SNGPL following areas are included in induction training:
Learning about the duties of the job
Learning the values and aims of the business
Learning about the internal workings and policies of the business
TRAINING SCHEDULE FOR JUNE 2010
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Off job training:
Company also provides off job training to its employees in special circumstances. When there
is a project and a specialized skill is required in gas pressure checking or pipe installation
under a river or some canal in these cases if company required expertise so it mostly send its
employees for training purposes abroad or sometimes ask the foreign company to send
trainers to train their employees.
DEVELOPMENT
Employee development is a joint, on-going effort on the part of an employee and the
organization for which he or she works to upgrade the employee's knowledge, skills, and
abilities.
Stages of Employee Development:
Everyone goes through several stages of development as they move from being a
career "beginner" to a full expert in their field. Each stage has specific needs and tasks
to consider.
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As you work with employees on development, it can be helpful to look at their stage
in order to find the best kind of activities for them. If an employee has recently
completed a career change, he or she is probably in the "exploration and trial" stage.
If, on the other hand, he or she has burned out on his or her career, he or she might be
in "disengagement" even though chronologically he or she might be in his or her early
thirties in age.
Stage Characteristics Needs Tasks
Exploration and Trial Work with regular Learn to ask for help Develop self-image
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guidance
Work is routine, detailed
Learn to take initiative
in the job
Establishment and Advancement
Has own area of responsibility
Work independently
Independence and specialization
Build a reputation
Learn to work independently
Produce significant results
Accept organizational realities
Learn how to cope
Deal with change or lack of it
Learn how to get ahead
Mid Career: Growth, Maintenance, Decline
Responsible for guiding others
Use great breadth of technical skill to support organization
Feel disappointment if goals are not achieved
Learn to help others
Develop others through knowledge
Serve as mentor
Disengagement
Use experience to provide direction for the organization
Influence decisions
Prepare psychologically for retirement
Learn to accept a different role
Learn to let go
Achieve balance in life
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Executive development program is mandatory at grade -3.GRADE 4 had to get training for
the gas control in overview of company and they are also trained for leadership skills.
Senior management has provided with outdoor training and external trainers are arranged for
work-shops in SNGDI. Successful employee development requires a balance between an
individual's career needs and goals and the organization's need to get work done. In this way
company make its executive level employees a useful figure in company’s strategy and
policy making.
SNGPL EXECUTIVE GRADING
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GRADE RANK/DESIGNATION
1-3 OFFICERS
4 EXECUTIVE OFFICERS
5 SENIOR EXECUTIVE OFFICERS
6 DEPUTY CHIEF OFFICER
7 CHIEF OFFICERS
8 GENERAL MANAGERS (G.M)
9 SENIOR GENERAL MANAGERS (SMG)
PERFORMANCE APPRAISAL
It is a process by which a manager or consultant;
(1) Examines and evaluates an employee's work behavior by comparing it with preset
standards
(2) Documents the results of the comparison
(3) Uses the results to provide feedback to the employee to show where improvements
are needed and why?
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Performance appraisals are employed to determine who needs what training, and who will be
promoted, demoted, retained, or fired. The performance appraisal is done either formally or
informally.
Aims of a performance appraisal:
The aims of the performance appraisal are;
Give employees feedback on performance
Identify employee training needs
Document criteria used to allocate organizational rewards
Form a basis for personnel decisions: salary increases, promotions, disciplinary
actions, bonuses, etc.
Provide the opportunity for organizational diagnosis and development
Facilitate communication between employee and administration
Validate selection techniques and human resource policies to meet federal Equal
Employment Opportunity requirements.
To improve performance through counseling, coaching and development.
Method used for performance appraisal at SNGPL:
The organizations uses the latest technique is MBO. The appraisal has started in June and
ends on July.
Management by objectives (MBO):
It is a systematic and organized approach that allows management to focus on achievable
goals and to attain the best possible results from available resources.
It aims to increase organizational performance by aligning goals and subordinate objectives
throughout the organization. Ideally, employees get strong input to identify their objectives,
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time lines for completion, etc. MBO includes ongoing tracking and feedback in the process to
reach objectives.
Features of MBO’s:
It emphasizes participative in set goals that are tangible, verifiable and
measureable.
Focuses attention on what must be accomplished rather than how it is
accomplished.
It is dynamic system which seeks to integrate the company’s need to clarify and
achieve its profits and growth targets with the managers need to contribute and
develop.
It is systematic and rational technique that allows management to attain maximum
results from available resources.
In SNGPL employees set goals for themselves which they have to achieve throughout the
year and these goals are in total integration with the strategic work approach. In the
organization KPI’s are used which indicate the level of performance of employees.
Key Performance Indicators:
Key Performance Indicators are quantifiable measurements, agreed to beforehand,
that reflect the critical success factors of an organization.
They must reflect the organization's goals, they must be key to its success, and
they must be quantifiable.
Key Performance Indicators usually are long-term considerations. The definition
of what they are and how they are measured do not change often.
The goals for a particular Key Performance Indicator may change as the
organization's goals change, or as it gets closer to achieving a goal.
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Key Performance indicators in SNGPL:
Human resources KPI
They include KPI about human resources management such as employee loyalty, labor
relation, compensation, training and development, recruitment etc.
Recruitment KPI
They include KPIs about recruitment process.
Training KPI
They include KPIs about training process.
Health and safety KPI
They include KPIs about health and safety.
Performance KPI
They include KPIs about performance management.
Employee loyalty KPI
They include KPIs about employee loyalty.
HR efficiency KPI
They include KPIs about efficiency of workforce.
Labor relation KPI
They include KPIs about labor relation in company.