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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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Page 1: Sui Northern Gas Pipe Lines Limited

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

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SUI NORTHERN GAS PIPE LINES LIMITED

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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:

Growth- prospector –high- tech-entrepreneurial-strategy

Company is currently engaged in following projects showing the level of HR involvement at

every level i.e. both blue and white collar. These activities show the company is involved at

several projects which ultimately demand suitable persons at suitable positions.

Current & Future Projects

Sr. No

ActivityDIA (Inch)

Length (KM)

Commissioned On

1 Rawat – Murree Line 12 58.00 77%

2 Sukho – Rawat Line 16 35.50 23%

3Choa – Bestway Cement- D.G Cement –Chakwal Cement Line

10 23.00 98%

4 Makori Line for M/s MOL Pakistan 10 9 -

5Badar Gas Field – Qadirpur Gas Field Line for M/s Pakistan Explorations Ltd.

8 20.50 99%

    Total 145.50  

Budgeted Cost (Million Rs) 1125.00

Future Projects

 The conceptual study of Project-IX is underway to carry maximum gas beyond Multan, to

facilitate gas consumers from all walks of life in central Punjab and Northern areas of the

country. The basic intent of Project-IX is the elimination of bottle necks in SNGPL’s existing

transmission network and to transport gas to independent Power Plants in Punjab province,

through system up-gradation with loop lines and system compression enhancement, beside

construction of pipelines to absorb additional gas available from gas sources of Potohar

region and newly discovered Gurguri-Makori field in Karak District of NWFP province.

Hierarchy of the Organization

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Company is operating under board of directors and several committees that are:

Finance committee

Audit committee

Human resource committee

Human Resource Committee:

The Human Resource Committee comprises six non-executive directors and the Chief

Executive. It is primarily responsible for making recommendations to the Board inter-alia for

maintaining a sound organizational plan of the Company, effective employees’ development,

compensation programme and specific succession plans for Senior Management positions.

Responsibilities

The Committee will be responsible for making recommendations to the Board for

maintaining:

A sound plan of organization for the Company.

An effective employee’s development programme.

Sound compensation and benefit and plans, policies and practices, designed to attract

and retain the caliber of personnel needed to manage the business effectively.

Functions

Review organization structure periodically to:

Evaluate and recommend for approval of changes in organization, functions, and

relationships affecting Management positions equivalent in importance to those on the

Management position schedule.

Establish plans and procedure which provide an effective basis for Management

control over company manpower.

Determine appropriate limits of authority and approval procedures for personnel

matters requiring decision at different level of Management.

Review the employee’s development system to ensure that it:

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Foresees the Company’s Senior Management requirement.

Provides for early identification and development of key personnel.

Brings forward specific succession plans for Senior Management positions.

Training and development plans.

Compensation and Benefits:

Review data of competitive compensation practices and review and evaluate policies

and programmes through which the corporation/Company compensates its employees.

Review salary ranges, salaries and other compensation for CEO and Senior.

Management/Executive Directors reporting to the CEO.

Powers

The Board has delegated its limited powers to the Human Resource Committee to deal with

certain human resource matters.

Hierarchy of the Organization

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Source: www.sngpl.com.pk

Under the committee and board of directors managing director is looking the company.

Under M.D there are several departments including Human Resource department.

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The Human Resource department work under Senior General Manager. Under Senior

General Manager, G.M Human Resource operations & G.M Training and Development

operate. Under these two G.Ms Chief of Human resource services operates.

All these executives are responsible for human resource department.

HUMAN RESOURCE AT FUNCTIONAL LEVEL

Sui Gas Company Limited is engaged in the transmission and distribution of natural gas in

Pakistan. It is also engaged in the construction of high pressure transmission and low pressure

distribution systems. The Company is involved in certain activities related to the gas

business, including the purchase and sale of gas meters, and construction contracts for lying

of pipelines. The company is in growth mode and they are expanding their business day by

day by starting new projects, for starting new projects they required new employees who can

work on their projects that are why their demand is high as compare to the supply.

PATTERN OF JOB ANALYSIS

They are in growth mode and expanding their business, so Job analysis is done when they

have to start new projects; they collect data about the jobs performed in an organization by

performance management system, they prepare job descriptions according to the new project

and measure the key performance of the employees. And find out where they need new

employees.

Data collection method:

Company is using following methods:

Interview Observation

Interview:

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Employees about a particular job are interviewed about the specific work activities that the

job comprises. This interview is done by the supervisors and chief in charges at subordinate

level. While executive level and officer level employees are interviewed by chiefs and head

of the department sometimes depending upon the nature of the job.

Observation:

This method is adopted at blue collar jobs like for welders, meter readers, pipe fitters etc.

This observation of work is done by immediate supervisors to evaluate the working capacity

and technique of the worker.

Report Formation:

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Once the job analysis information has been collected, it is important to place it into a form

that will be useful to managers and human resource department, for this purpose company

uses HRMS Oracle to convert the data into useful information.

Review and Updating:

Managers and personnel specialists need to review job description and specification

frequently. This review is done with an eye on the corporate strategy so company updates its

job description and specification on annual basis.

JOB DESIGN

In SNGPL two basic approaches are used for designing the jobs of the employees:

Job rotation

Job enrichment

Job Rotation:

As the term suggests, job rotation is concerned with the action of enabling employees to

switch job roles or functions for a period of time. The overall goal is to develop the

individuals so that they have increased their skills, knowledge and experience by the end of

the process. SNGPL is using this approach from past 10 years.

Job Enrichment:

Job enrichment includes a number of different workplace practices, such as quality circles,

self-directed teams, job rotation, information sharing and others. One possible motivation for

adopting such practices is to challenge and motivate workers, and to encourage them to

participate in improving productivity, safety, and the quality of their product.

Objectives:

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To determine participants’ views of what has made them most and least productive in

past work situations.

To compare participants’ responses

To explore with participants conditions under which the principles of job enrichment

would likely be most and least effective.

SNGPL is also using this technique at top management level so that the management of today

can participate in the policy making of tomorrow.

Job Sharing:

In job sharing employees can share the work load of the job. In this technique people

belonging to same job caliber can easily divide the burden. In SNGPL mostly this technique

is used in departments like procurement, metering and monitoring.

RECRUITMENT

In SNGPL following methods are used for executive, subordinate and labor class jobs:

Make or buy an employee:

The company preferred to make employees at both level blue collars and white collars. They

hire little bit skilled employees then further train them according to the requirement and

nature of their job and the project they are going to dealing with.

Recruiting methods:

Company is using both internal and external recruiting methods. They go for the direct

advertisement for the executive level jobs and for this purpose they give advertisement on

their website as well as in both Urdu and English news papers.

At subordinate level most of the hiring is done from within the company. Like blood relations

are given the jobs of their deceased one’s (who died during job) and retired one’s and also of

employees who are in service.

Applying process:

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Applicants for the jobs have to apply online through company’s website where all required

data is being collected for the advertised post.

SELECTION PROCESS

SNGPL uses following selection methodology:

Selection Criteria:

Short listing

Selection process of the company is, first of all receive the online application then

they need to analyze the academic career of the applicant , they check that either it is

up to the merit list or not then they short listed the applicants who have first division

throughout in their academic career.

Test

Then they take computer based test from the short listed applicants. The test is based

on:

Post related questions

General knowledge

Quantitative questions

Also while selecting the candidate company also asses the required technical as well soft skills in the prospective employee.

Soft skills Technical skills

As company is categorized as engineering company so the weight age among these 2 skills is:

40% soft skills 60% technical skills

And at the end which applicants qualified for the next level they are called for final interview

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Interview process:

Panel interviews based on 3-4 people are conducted from the selected applicants. This panel

is comprised of GM of the relevant department and Chiefs of that department and other top

heads.

Physical check up:

Before issuing the appointment letter to the selected applicant a general checkup is held by

the company for the applicant. They provide their own general physician for the checkup of

the selected applicant.

EMPLOYEE RETENTION

Tactics used to retain the employees:

SNGPL like any other organization wants to keep its employees which are a valuable asset

for the company committed to the company.

The tactics which are used by the company are:

Gratuity

Pension

Provident

By using all these tactics they retain their employees.

ORIENTATION

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The selected future employees then invited for orientation program.

The duration of the orientation program is usually of 10 days. Starts from 9:00a.m till

4:00p.m.The orientation program comprised of:

Class room lectures

Field visits

It depends upon the nature of job that what type of orientation should be used. Normally,

head of the department and other officers of the concerning department conduct this

orientation program. For blue collars informal orientation is used.

Purpose of orientation:

The purpose of orientation is to provide information to the employee about the company. Its

policies, procedures and the job span including retirement plan, benefits etc. company

management provides complete information about company.

Our Company:

Philosophy/Values/ Mission Value

Proposition for clients (What we deliver, Our clients, Typical engagements)

Goals and Objectives (Where we are going)

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Strategies (How we will get there)

Organizational structure (Who are the key players)

Careers (What potential roles you will play)

Work Life at Organization:

Introductions:

Company Team(In Office, At Site)

Resources

Limitations

Work Space

Telephone Etiquette

The Client Contact

First Contact:

The Interview (How to)

Client Awareness (What to look for)

Consistent Image (How to dress, Logo Wear, Nametags, Memorabilia)

Marketing (What and How to)

The Client:

Their Business

Their Environment (Business, Technical)

The Application

The Purpose/Interests/Value of the Relationship

Key Players

Consulting:

Non-disclosure/Non-complete

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Do’s and Don’ts

Role of Consultant

Problem Solving Methods

Client Communication

Conflict Resolution

Policies and Practices: (What we expect)

Personnel (Performance Reviews, Dress Code, Parking, Harassment, etc.)

Financial (Time Sheets, Pay, Overtime, Expenses, etc.)

Do’s and Don’ts: (Working with the clients)

Consultant Expectations

Communication (Top-Down, Bottom-Up)

Professional Development

Technical Skills

Consulting Skills

Support:

Technical

Personal

Benefits:

Time-off/Vacations/Holidays

Healthcare

Education Assistance

Other (Reimbursements, Cars, etc.)

TRIANING AND DEVELOPMENT

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.

Regulation compliance KPI

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They include KPIs about regulation compliance.

Workforce information KPI

They include KPIs about workforce information

Purchasing KPI

Purchasing KPI include KPI examples such as delivery on time , delivery is not enough

quantity / quality, quantity bought over required, purchasing cost, cost of purchasing units,

transaction cost unit of purchasing, suppliers rating.

Financial KPIs

Financial KPIs include key performance indicators such as asset management, payroll

management etc.

Accounting KPIs

Accounting KPIs include key performance indicators such as accounts payable management,

accounts receivable management etc.

FEEDBACK SYSTEM AT SNGPL

The company uses 360 degree appraisal for getting feedback regarding employee’s

performance. As we know that 360 degree appraisal feedback is the process by which an

individual’s performance is assessed through feedback from managers, peers, customers and

the individual himself.

Over here the employees at Sui Northern Gas Company are in the same way accessed with

regard to their performance of jobs and duties which are reported by the supervisors,

coworkers. Finally the employee himself gives feedback about his performance and duties.

COMPENSATION SYSTEM

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Compensation systems are basically developed to reward employees behavior so that they are

lead to accomplish organizations overall goals and objectives. As we went through the

companies compensation system and found the company uses the following systems for

compensation of their employees:

Performance based rewarding

Extrinsic rewards.

Union based (CBA).

Performance Based

As already discussed that the organization tracks and recognizes the well performers, they are

rewarded in the same way according to their performance in there department and are

highlighted amongst the others in the department so that they can also strive to become a well

performer. The employees are awarded. Company used performance based compensation

system in which it provides monetary rewards to its employees.

Extrinsic rewards:

Company rewards its employees through extrinsic rewarding system which include:

Pay roll increments

Bonuses

Provident fund

Bonds

Stock owner ship

This compensation system is for officers and subordinates.

Rewarding for labor class:

Company provides compensations to the labor class through:

Over time payment

Commissions

Mostly company compensate the blue collars through union based system or Collective

Barraging Agent.

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As we went through with the compensation system, we found that another system prevailing

in the organization was through the union which is working, managing and participating in

many affairs of the organization. Certain employees were availing the compensation benefits

through the influence of the Union of the organization. The person who had a close type of

relationship with the union can easily avail the opportunity of the compensation.

This caused a big problem though as the well performers when found the medium or low

performers to be getting the same benefits, incentives & rewards similar to them they get

demotivated. The person who is recommended by the union becomes entitled to

compensations and benefits.

PROMOTIONS

In SNGPL employees are promoted on the basis of their overall performance in the required

fields. The officers of grade 1-3 are promoted on the basis of their yearly performance and till

grade-3 officers are promoted in the same manner. But after grade-3 it is mandatory for the

officers to clear gas control test to get promotion in grade-4.

At executive level not only the yearly performance is considered but also further trainings are

put into consideration of other fields.

At labor level promotions are given on the learned skill level. And after necessary training

they are promoted to the positions of pipe line supervisor, patrol team head on site, head

technician etc.

EMPLOYEE MOTIVATION

Company use different tools to motivate its employees of all levels. The very basic ones are

discussed before are:

job rotation

job enrichment

Motivation is a key to encourage key / high performers. And we went through many

employees of the organization and saw that without motivation it would not have been

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possible to even exist and sustain the global competitive environment. So in order to motivate

good performers the company is very much cognizant about the matter, therefore it has made

certain categories of people according to their performance.

They use a term “High Flyers” which indicate the employees who are the good performers

and they are awarded with this icon on the basis of high performance than other employees.

This way the employees who are made eligible for some rewards, benefits & compensations

by union pressure etc cannot be called by this icon as they are not high performers.

Company high light these people inside the organization as good performers. This title is

given on the basis of their 1 year performance.

High flyers are moreover motivated by carrying out there developmental sessions where there

further future plans are discussed and they are lead to a way of to achieve more efficiency

and perfection in their work.

At subordinate level company uses to motivate through nominate these employees in Hajj

Draw. The good performers are nominated in hajj draw and sent for hajj by the company.

CONCLUSION

Through the study of the Human Resource Management of Sui Northern at strategic and

functional level that it is essential for every organization to run all of its businesses and

activities according to their strategic goals and objective and all of these goals and objective

should not only be understood and followed by the top people but also by middle and lower

level.

Every activity especially our concern is HR, so it should be in total agreement and integration

with company goals, vision and mission. A company can only be successful if its Human

resource Department should include in policy making and at strategic level. That thing also

should reflect in minor to major function of human resource and other departments.

RECOMMENDATIONS

After our study of this organization we come up with following recommendations:

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SNGPL should reduce and lighten the number of people at the top management of the

company. There are so many who reports to whom that reduce the momentum of

work and one person’s direct contact to upper authority.

The company should have to develop proper human resource functioning in terms of

strategic alliance with the company’s other departments

We found that company is at the rudimentary level of the establishment of proper

human resource structure i.e. there is no proper system of job description designing

and redesigning. Company should involve lower layer of HR officers so that they

bring in new ideas.

We feel lack of coordination between lower level and upper level of HR people. They

should improve their coordination level.

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