Beruflich Dokumente
Kultur Dokumente
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SUBMITTED TO:
PROF. RIAZ AHMED MIAN
SUBMITTED BY:
ROLL NO.
M17MBA034
HAFIZA FATIMA
M17MBA037
HAJRA IFTIKHAR
M17MBA041
SEHAR MUSTAFA
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Contents
Company profile 8
General Information 11
Functions of HRD 24
Recruitment 26
Internal Recruitment 28
External Recruitment 29
Selection 31
Employee Orientation 36
Training in Nishat 38
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Employees Services Safety, health & Welfare 40
Safety Measures 40
Welfare Activities 42
Manpower Planning 44
Succession Planning 45
Salary Administration 46
Performance Appraisal 50
Systems of Communication 56
Industrial Relations 58
Conclusion 66
Recommendations 67
“QUESTIONNAIRE”
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INTRODUCTION TO:
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COMPANY PROFILE:
Nishat Mills Limited is the flagship company of Nishat Group. It was established in
1951. It is one of the most modern, largest vertically integrated textile companies
in Pakistan. Nishat Mills Limited has 227,640 spindles, 805 Toyota air jet looms.
The Company also has the most modern textile dyeing and processing units, 2
stitching units for home textile, Two stitching units for garments and Power
Generation facilities with a capacity of 120 MW. The Company’s total export for
the year 2016 was Rs. 35.931 billion (US$ 344.744 million). Due to the application
of prudent management policies, consolidation of operations, a strong balance
sheet and an effective marketing strategy, the growth trend is expected to
continue in the years to come. The Company's production facilities comprise of
spinning, weaving, processing, stitching and power generation.
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Board of Directors:
Audit Committee:
1. Mr. Khalid Qadeer Qureshi Chairman/Member
2. Syed Zahid Hussain Member
3. Ms. Nabiha Shahnawaz Cheema Member
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Auditors of the Company:
Riaz Ahmad & Company Chartered Accountants
Share Registrar:
THK Associates (Private) Limited
HR & R COMMITTEE:
1. Mian Hassan Mansha Chairman/Member
2. Mian Umer Mansha Member
3. Mr. Khalid Qadeer Qureshi Member
4. Ms. Nabiha Shahnawaz Cheema Member
Legal Advisor:
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GENERAL INFORMATION:
The company symbol of Nishat Mills Limited is NML and it is listed on Pakistan
Stock Exchange.
Free float shares are 163,585,235 out of total outstanding shares of 351,599,848
as at 31 December 2016 which makes up 46.53%
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BACKGROUND HISTORY AND
INTRODUCTION TO THE COMPANY:
Nishat Mills Limited commenced business in 1951 as a partnership concern,
which was converted into private limited company in 1959. In 1961, the company
went public and was listed on the Karachi Stock Exchange, the only stock
exchange in the country at that time. NML started out as weaving unit with 500
semi automatic looms, later 10,000 spindles were added, laying the foundation on
nation’s biggest textile composite project at Nishat Mills Limited, Faisalabad
covering 98 acre of land is providing all production process under one roof i.e.
spinning, weaving, processing, stitching and power generation.
When Pakistan came into being there was only 16 textile mills out of which 12
were in operation. It grew to 70 in 1957 as industrial development took place.
Now a days there are 596 textile mills out of which 442 are in operation. The
export revenue of textile industry contributes a large share to the GDP of
Pakistan.
Nishat Group is among the leading business houses of the country and ranks
among the top 5 groups in terms of assets and sales revenue. The group has its
roots firmly planted into four core businesses that are:
Textiles
Power Generation
Banking
Cement
The textile business is further subdivided into 2 textile divisions:
Nishat Faisalabad
Nishat Chunian
Listed on all three stock exchanges:
Lahore Stock Exchange (LSE)
Karachi Stock Exchange (KSE)
Islamabad Stock Exchange (ISE)
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It is one of the most modern, largest vertically integrated textile company in
Pakistan. Today, Nishat is considered to be at par with multinationals operating
locally in terms of its quality products and management skills.
To gain the goodwill and maintain efficiency in the eyes of stakeholders the
company is providing quality products to its customers within the Pakistan and
also outside the Pakistan. Presently company is exporting its all kinds of apparel
products.
CAREERS:
Nishat Mills Limited aims to remain as leading Textile Company of the country.
Our Human Resource policy is based on principles that employees are our most
valued asset and important building block for sustainable growth. Management
has developed excellent relations with employees to achieve optimum level of
performance and commitment to excellence. The Company is an equal
opportunity employer and hires people from various ethnicities and both genders
without prejudice or bias. The Company has a coherent and market driven
performance and reward policy which encourages employees to participate
enthusiastically in the achievement of company’s objectives.
Memberships:
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Pakistan Readymade Garments Manufacturers and Export
Association
Pakistan Textiles Exporters Association
The Federation of Pakistan Chambers of Commerce and Industry
The Lahore Chamber of Commerce and Industry (LCCI)
Karachi Chamber of Commerce and Industry (KCCI)
The Faisalabad Chamber of Commerce and Industry (FCCI)
List of shareholders:
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MAIN PRODUCTION UNITS:
Spinning
Weaving
Processing
Stitching
Power Generation
SPINNING:
Nishat Mills Spinning division has over
227,640 spindles, which are operationally
organized into 8 spinning units. The entire
machinery is from world renowned
manufactures. All yarns made at Nishat are
Ring Spun suitable for both knitting and
weaving. Besides the best Pakistani cotton,
long stapled American, Egyptian and US Pima
cotton and yarn testing laboratories. Nishat
spinning is one of the most trusted brands in
the market due to its efficient production and quality.
Spinning production capacity for both Cotton and Blended Yarns is 200 Tons/Day.
YARN DYEING:
Nishat Yarn Dyeing is one of the latest exhaust dyeing units in Pakistan having
installed production capacity of 5.0 tons per day. We are processing yarn and
sewing thread in package. Also, we have set up facility for Beam Dyeing which is
first of its kind in Pakistan.
WEAVING:
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Nishat Mills Weaving division has 805 modern Air Jet looms which produce
approximate 11.3 million meters of fabric per month and makes it the largest
weaving facility of Pakistan catering to home textile and apparel fabrics.
PROCESSING:
Our fabric processing facility is one of the largest and most modern factories
of Pakistan. With an array of custom-made machinery, it has the capacity to
produce 104 million meters of fabric per annum. It is specially designed to
handle heavy weight fabrics like twills, drills, canvases / poplins, fabrics with
minimum tension such as stretch fabrics and all high density weaves. The
advantage achieved by the customized design of its machines is the result of
an extensive research work with the help of world renowned machine
makers. To ensure that our customers get the very best we use more than
75% dyes and chemicals of European origin.
The standards are higher than ever, dedicated by fashion, efficient productivity
and further automation is engineered in the plant. To maintain quality and
international standards, an on-line Quality Control (QC) Department has been
setup. The QC department is augmented by a fully equipped Laboratory, which
scrutinizes the fabric process flow at all levels. Our extra ordinary Research &
Development work and highly trained marketing personal are pivotal to sustain
long term business relationships.
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STITCHING:
With an array of 939 modern new generation sewing machines, the Home Textile
Division consists of 2 stitching facilities. The two facilities combined have an
average production capacity of approximately 24
million meters per annum. The product line is
customized to manufacture products of various
styles and sizes according to the requirements of
our customers, wholesalers, retailers and
contract textile business.
POWER GENERATION:
Nishat Mills has established state of the art, modern, highly reliable and
extremely efficient captive co-generation power plants to cater in house energy
requirements at all its spinning, weaving, processing, stitching and apparel units.
These facilities are using Wartsila, Caterpillar, Cummins, Daihatsu, Jenbacher &
Mak engines for power generation. Gas, Furnace Oil, Diesel, Coal & Biomass and
Steam is being used as fuel for power generation.
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chips and corn cobs etc as main source of locally available agri-waste fuels at
two sites of our company.
The Company is now planning to establish similar projects for our spinning
division at Faisalabad and our weaving division at Sheikhupura. These plants will
have the production capacity to cater for entire power and energy
requirements of these divisions.
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VISION STATEMENT:
To transform the Company into a modern and dynamic yarn, cloth and processed
cloth and finished product manufacturing Company that is fully equipped to play
a meaningful role on sustainable basis in the economy of Pakistan. To transform
the Company into a modern and dynamic power generating Company that is fully
equipped to play a meaningful role on sustainable basis in the economy of
Pakistan.
MISSION STATEMENT:
To provide quality products to customers and explore new markets to promote/
expand sales of the Company through good governance and foster a sound and
dynamic team, so as to achieve optimum prices of products of the Company for
sustainable and equitable growth and prosperity of the Company.
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HUMAN RESOURCE DEPARTMENT:
It exists to help people and organizations reach their goals. Along the way, they
face many challenges arising from the demands of the employees, the
organization, and society. The domestic and international environments are
particularly turbulent because of the growing diversity of the workforce and the
globalization of businesses. Challenges also result from ever changing laws,
especially laws that address the need for equal employment opportunity. Within
these constraints, the human resource department must contribute to the
organization's "bottom line" in ways that are both ethical and socially responsible.
PURPOSE:
The purpose of human resource management is to improve the productive
contribution of people to the organization in ways that are strategically, ethically,
and socially responsible. This purpose guides the study and practice of HR
management, which is also commonly called personnel management. The study
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of HR management describes the HR-related efforts of operating managers
and shows how personnel professionals contribute to those efforts.
OBJECTIVES OF HRM:
Managers and HR departments achieve their purpose by meeting objectives.
Objectives are benchmarks against which actions are evaluated. Sometimes they
are carefully thought out and expressed in writing. More often objectives are not
formally though out and expressed in writing. More often objectives are not
formally stated. Either way, they guide Hr function in practice.
ORGANIZATIONAL OBJECTIVE:
To recognize that HR management exists to contribute to organizational
effectiveness. Even when a formal HR department is created to help managers,
the managers remain responsible for employee performance. The HR department
exists to help managers achieve the objectives of the organization. HR
management is not an end in itself; it is only a means of assisting managers with
their human resource issues. For example, NISHAT HR department found that it
could enhance it contribution to the organization through sophisticated
information systems that allowed the department to cut #35 million a year from
its budget. Simply stated, an HR department exists to serve the rest of the
organization.
FUNCTIONAL OBJECTIVE:
To maintain the department's contribution at a level appropriate to the
organization's needs. Resources are wasted when HR management is more or less
sophisticated than the organization demands. Realizing that the HR department
had grown too large, NISHAT changed its ratio of HR staff members to employees
from 1 per 53 down to 1 per 75 without violating the company's long-standing
"no-layoffs" policy.
ROLE OF HR DEPARTMENT:
Human Resource department play a very important role in Nishat Mills LTD. New
talent has a thirst for opportunity and that they are seeking such jobs which
enhance there capabilities and to gain some experience. Due to these facts the
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HR department Of Nishat is looking for these kinds of people who want to
excel in life and are highly motivated to achieve some goals. The HR department
of Nishat is working day and night to make this Organization a better organization
by hiring people who are self motivated and there main aim is to make the
company more profitable.
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CLASSIFICATION OF HDR AT NISHAT MILLS:
HUMAN
RESOURCE
DEPARTMENT
COMPENSATION
& BENEFITS
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FUNCTIONS OF HRD:
Recruitment & Selection
Training & Development
Employees services safety, health & welfare
Manpower Planning
Salary Administration
Systems of Communication
Industrial Relation
Negotiation with Union
Terms and Conditions of Employment
Constituents of Industrial relation in Islam
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HUMAN RESOURCE MANAGEMENT POLICY:
The management of Nishat Mills Limited (“the Company”) believes that
employees are assets of the Company and have been instrumental in driving the
Company’s performance year on year. Their passion, commitment, sense of
ownership and team work has enabled the Company to maintain its leadership
position in the challenging market scenario. The Company has always striven to
offer a positive, supportive, open and high performance work culture where
innovation and risk taking is encouraged, performance is recognized and
employees are motivated to realize their true potential.
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RECRUITMENT & SELECTION
RECRUITMENT PROCESS:
"The Process of seeking and attracting a pool of qualified applicants from
candidates for job vacancies can be selected."
RECRUITMENT POLICY:
An organization's recruitment policy provides the framework for recruiting action
and reflects the organization's recruitment objectives. They say, “We at Nishat
Mills Limited believe in hiring and retaining capable, qualified and potentially
useful employees who are willing to contribute their best to accomplish the
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objectives of the Company. Appointments of jobs in the permanent cadre are
made by promotions or through direct recruitment by the concerned appointing
authority through the HR department.”
JOB ANALYSIS:
“The procedure for determining the duties and skill requirements of a job and the
kind of person who should be hired for it.”
Nishat is one of the largest textile manufacturers in Pakistan having lots number
of different sectors o/departments working in it. It has many employees who are
working on different posts and are working hard according to their own capacity.
Nishat Mills conducted job analysis in order to hire new employees at every
year .This also enables management to have a better understanding of the jobs
and duties being performed at every level and also helps them in training the
people who are freshly recruited.
JOB ANALYSIS
JOB JOB
DESCRIPTION SPECIFICATION
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Uses of Job Analysis Information:
The information collected during the process of job analysis is used by the
company in taking decisions regarding affairs like:
Recruitment & Selection decisions
Compensation
Performance Appraisal
Training
1-INTERNAL RECRUITMENT:
Job Posting:
Advertising of job openings to current employees via bulletin boards,newsletters,
or personal letters. Filling a job opening from within the firm has the advantages
of stimulating preparation for possible transfer, or promotion and increasing the
general level of morale. The first and foremost preference of Nishat Mills is to hire
the employees through internal recruitment and giving existing employees more
chances to develop their career. For this purpose Nishat Mills firstly use Internal
Job Posting to fulfill the vacant
seat.
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Replacement charts:
A visual representation of which employee will replace the existing incumbent in
a designated position when it becomes vacant. In Nishat Mills replacement charts
are used rarely.
2-EXTERNAL RECRUITMENT:
To search the employee to fulfill the vacant seat outside the organization is called
external recruitment. HR Department can use various approaches to locate and
attract external candidates like Government agencies, private employment
agencies, recruiting consultants, executive search firms, and educational
institutions. Nishat Mills run the external recruitment campaign itself and do not
use the other sources like agencies and search firms.
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Sources used for external job recruitment:
Following are the some sources of Job Recruitment in Nishat Mills:
Advertising:
Advertisements are placed in various newspapers. More information about the
company and job specification is
included in the ad to present some self-
screening. The advertisement is placed
in Jhang and Din. Nishat Mills use print
media for advertisement because they
think most of the people don’t have
knowledge about computer or internet
and they can easily find job
advertisement in newspaper.
University Recruitment:
Nishat Mills used the university recruitment only once in LUMS but the result was
not such a good and only one candidate was hired that time.
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SELECTION PROCESS:
Following steps are followed in the selection process:
Reception of Applicant
Preliminary Interview
Application Form
Tests
Interview
Background
Preliminary screening by HR Department
Final selection by line managers
Medical Examination
Placement on the Job
1-Reception of Applicant:
The importance of giving the applicant a favorable impression at this stage
cannot be overemphasized. Rudeness, disinterest or discrimination at reception
may cost the organization a good applicant and foster negative attitudes about
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the company and its products. Nishat Mills give high importance to the first
step in selection process which is reception of applicants. The staff makes such a
friendly environment at this stage that does not make any negative thinking about
the company even if the candidate is refused for further processing. The usually
use the indirect way to inform candidate about refusal.
2-Preliminary Interview:
In Nishat Mills preliminary or initial screening interview is used to check quickly
on language skills, qualifications, willingness to do shift work, union membership
and the like. In Nishat Mills preliminary interview is typically brief and centered on
very specific job requirement. However has carried out in a courteous, non-
discriminatory and efficient way.
3-Application Form:
After preliminary interview or initial screening Nishat mills receives the
applications from the candidates who have cleared the initial screening step. The
application form of candidate is a valuable tool in screening out unqualified
applicants. The HR Manager considers the qualification, experience and other job
related data provided in application form.
4-Test:
In Nishat mills test is used to access the match between application and the job
requirement. The most used types of test in Nishat Mills are following:
Aptitude Test
Intelligence Tests
Personality Tests
The most frequent method used to take the tests is computer based tests but
written tests are also taken rarely in Nishat Mills.
5-INTERVIEW:
There are three types of interviews take by the Nishat Mills.
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Initial Interview:
The initial screening interview is taken by the HR Manager. The only purpose of
initial screening interview is to access the language skills, qualifications,
willingness to do shift work.
Panel Interview:
In Nishat Mills the Panel interview is the next step for the candidates who have
successfully passed the tests. In Nishat Mills panel interview is taken by three
managers.
General Manager
HR Manager
Head of the Department
Unstructured Interview:
Nishat Mills do not use a predetermined outlines or questions to be asked from
candidate but the take the unstructured interview and interviewer can ask
anything which he thinks is necessary.
6-Background:
After interview the Nishat Mills HR Department staff checks the backgrounds of
the successful candidates through the references provided by them. The
background is investigated to ensure that candidate have a fair character and is
not involve in any criminal activity.
9-Medical Examination:
After the candidates have been selected by the head of department, medical
examination of the selected candidates is taken by Dr. of the Nishat Mills. This is a
check to ensure that employees do not have any contagious disease and to save
other employees from this disease.
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TRAINING AND DEVELOPING:
Training:
Training is an activity that results in learning .it seems important than to
consider what learning is and what trainers can do to positively influence it. There
is considerable disagreement over which theory best explains how learning
occurs. This is however consensus on the definition of learning and the goals of
learning
process.
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EMPLOYEE ORIENTATION:
Employee orientation means:
“A procedure of providing new employees with basic background information
about the firm.”
Once the selection process is completed, new employees re oriented in order to
become productive contributors. According to the personnel manager,
orientation not only improves the rate at which the employees are able to
perform their job but also helps employees satisfy their personal desires to be a
part of the Nishat Textile Mills Limited social fabric. Nishat mill feels responsibility
for orientating the employees so that they can become familiar with organization
environment and work procedure easily. Personnel manager gives brief
introduction about the job which the new employee will perform and then they
are oriented to their respective departments.
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Brief Introduction to Nishat Mills Limited:
Complete company profile
Organization
Product profile that is made by the company
The working hours
Head office
Plant
Canteen mess
Travelling
Important telephone numbers
And also for the orientation the company will give the employee hand book to the
employees which contain complete information about the company.
Even after a comprehensive orientation and proper job placement, new comers in
the company are not able to perform satisfactorily. So they require training which
help employees to do their job satisfactorily and moreover the benefits of training
may extend throughout person’s entire career and it helps develop that person
for future responsibilities. At Nishat Mills, the emphasis is on development of
employees to help the individual handle future responsibilities. At Nishat mills,
there is a full fledge training department to conduct the training and monitor the
training program.
Methods of training:
The Nishat Mills adopts many different training programs for enhancing the skills
of its employee. In Nishat Mills following methods are used for employee training:
On the job training
Off the job training
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TRAINING TO NEW EMPLOYEES:
When the company selects the fresh candidates from the market those
candidates are not well trained from the job as well as the working condition for
this purpose the company will be organizing the training for the new employee
and trained them because they will be giving good results for the company as well
as the employee. After introductory training, the employee will be shifted to the
department he was employed for, to go through departmental training and the
training of other relevant departments whom he has to interact in his day-to-day
activities.
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EMPLOYEES’ SERVICES SAFETY, HEALTH
AND WELFARE:
Health and safety is very important for the entire employees. If the employees are
not having good health they cannot perform their jobs well.
SAFETY POLICY:
The Company is highly concerned about the safety of both employees and non-
employees in its premises and maintains standard operating procedures in case of
emergencies. All the employees must follow these procedures and are required to
inform their seniors in case of any emergency. Fitness for Duty An employee
should be mentally and physically fit when he is on work. He should not use any
drugs. Even if he is using any prescribed medicine which might affect his
performance at work, he/she should inform about it to his senior.
SAFETY SERVICES:
Free transport
Medical facility
Free housing
Insurance
Meal
Post
retirement
program
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OCCUPATIONAL SAFETY AND HEALTH:
The company always put the safety and health of its employees first by providing
these facilities:
FIREFIGHTING COURSE:
Firefighting course is mandatory for all levels.
FACILITY OF DISPENSARY:
They have a dispenser in the mill to take care of the employees.
HELMET PLAN:
Helmet plan is implemented.
FACILITY OF AMBULANCE:
If any accident is happened, the injured persons are rushed to nearby
hospitals. Facilities of ambulances are provided at all the locations.
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WELFARE ACTIVITIES:
ENVIRONMENT PROTECTION POLICY:
All the employees are required to promote a culture of environmental protection
among employees, customers, suppliers, public authorities and communities.
They must use the Company’s facilities and processes in an environmentally
sustainable way.
Company’s dedication towards environmental protection is evident from the fact
that the management of the company makes considerable efforts in starting new
projects for environment protection and ensuring the continuity of old projects.
The company has developed four water preservation/induction wells to
replenish the underground water table for sustainable availability of water in the
region.
Our “Rupee for a tree scheme” project, a partnership project among the
employees and the management, which has started to create awareness among
our employees and society, has successfully achieved this year’s target by planting
around 3600 more trees this year at the company premises, highways, roads,
colleges, schools, hospital and other public places. Effluent treatment plants at
our dyeing, printing and garments’ manufacturing facilities have been in
operation for many years.
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particular, controlled through reporting of key indicators, implemented by
each business division.
WASTE RECYCLING:
The company collects 7-ton per month inorganic waste from around the industrial
units located near its production facility at Bhikki and uses it as an alternative
energy source. Other waste recovery projects are also successfully working
including Caustic Soda Recovery Plant, Sizing Recovery Plant, Cotton Recovery
Plant, Cotton Recovery Plant and Lube oil Recovery Plant.
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MANPOWER PLANNING:
“Manpower planning consists of putting right number of people, right kind of
people at right place, right time, doing the right thing for which they are suited for
the achievement of goals of organization.”
Manpower planning is also called human resource planning.
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JOB SPECIFIC MODEL:
Steps involved in manpower planning:
Deciding goals and objectives.
Audit the internal resources.
Formulation of recruitment plan.
Estimating future organizational structure & manpower requirements.
Developing of human resource plan.
SUCCESSION PLANNING:
A succession plan is a component of good HR planning and management.
Succession planning acknowledges that the staff will not be with an organization
indefinitely and it provides a plan and process for addressing the changes that will
occur when they leave. Keeping in view the need and importance of succession
planning, the Company has formulated a comprehensive succession plan by
focusing on all the key positions within the Company. The key positions can be
defined as those positions that are crucial for the operations of the organization
and which are hard to be replaced because of skill, seniority and/or experience
requirements.
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SALARY ADMINISTRATION:
It is a company’s policy to reward the employees with fair and competitive
salaries and perks along with an opportunity to share in the success of the
business in terms of promotions and personal growth.
All the elements of the reward system are designed to support the achievement
of the desired behavior, values and standards as well as high performance and
continuous improvement and development.
At Nishat, salary is based on:
Pay
Allowances
• Basic pay
pay
• Medical Allowances
Allowances • Conveyance
Allowances
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SALARY MOVEMENT:
COMPENSATION &BENEFITS SYSTEM:
“All forms of pay or rewards going to employees and arising from their
employment.” Nishat Textile mills limited follow all laws and regulations of
government. For instance, Nishat follows Minimum Wages Board Act, Industrial
Relations Standing Ordinance & Workman Compensation Act.
Nishat Mills use compensation process in which Nishat Mills wants to satisfy the
individual need of employees and to make the employees work with
the organization. The company use cash and non cash rewards to motivate its
employees. The company uses the following ways to retain the employee:
Promotion:
Promotion is direct shift only to the next level from the current grade, the
Employee’s performance is evaluated and if his performance is above average he
is given promotion. In Nishat two things are counted to give promotion
Experience
Performance
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Increments:
The company decides at the end of the financial year, according to its financial
condition, whether increments should be given or not. Once the increment is
decided, it is effective from January of each calendar year.
Free transport:
Nishat Mills provide free transport to local employee and also to their children
for school.
Medical facility:
Nishat Mills provide free medical facility to workers depending upon
the position/rank of the employee.
Free housing:
They give the facility of free accommodation for all level of employees, again the
facility is provided according to the position.
OBJECTIVES OF COMPENSATION:
Compensation needs to be high enough to attract applicants.
Retain present employees.
Compensation management strives for internal and external equity.
Comply with legal regulations imposed by government.
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HOW PAY RATES ARE ESTABLISHED?
Nishat mills limited has established its pay rates:
To conduct a survey outside the companies and then established the pay
rate for its employees.
Matching the worth of the job of the employee.
Matching the group whose pay that’s rates.
Established the pay with the pay grade.
FACTORS:
At Nishat, salaries vary on the basis of the following factors:
BONUSES:
Bonuses are compensation for employees for work performed. They are paid in
addition to salary or wages. Bonuses are considered compensation if they “arise
out of an employment relationship or are associated with the performance of
services.”
They are usually given on:
Project completion
Yearly basis
SPECIAL BONUSES:
Special bonuses are given to employees on the basis of their performance.
OVERTIME POLICY:
Every employee in the factory, except those employed in clerical or executive
capacity, is eligible for the overtime pay. If an employee works for more than 8
hours in a day or more than 48 hours in a week he/she is eligible for this
extra/overtime pay.
The rate of overtime pay is double the ordinary rate of pay.
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LEAVE POLICY:
Leave policies at Nishat Mills Limited (leave referred to paid or unpaid off work).
PERFORMANCE APPRAISAL:
The appraisal process is an orderly process by which the task of estimating the
market value of a property as at a specific date is established, the work necessary
to solve the problem is planned, and the data involved is acquired, classified,
analyzed, and interpreted into an estimate of value.
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improvement. The jobs are evaluated on yearly basis under superior
evaluation method. The competent employees are rewarded in shape of
promotions, bonus, increments and annual holidays. The results of an appraisal
can be used to identify areas for further development of the employee. The
method used to evaluate employee’s performance consists of 20-25 questions
about the behavior of the employee, and then on the basis of these answers
personality of the employee is judged.
Nishat always focuses on its products and its customers. For that they always
ensure a best quality by managing their performances and working of their
employees. They always look after the assigned responsibilities and make an
effective communication with their employees and in return they always want to
be cared by them. On the monthly basis, they evaluate their employees and their
performances. They locate which employee is performing well and responding to
his work effectively. They also give them incentives and bonuses.
Performance appraisal is granted to keep the interest of employees in job. It is
granted on the performance of the worker. If employees perform very well they
are awarded according to their bonuses.
Performance appraisal is a critical activity of HR manager. Its goal is to provide an
accurate picture of past and/or future employee performance. To achieve this,
performance standards are established. The standards are based on the job
related criteria that best determine successful job performance. Nishat textile
mills limited has developed a complete performance appraisal system by which
job performance of the employee is evaluated. Personnel department also uses
the information gathered
through performance appraisal.
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OBJECTIVES OF THE SYSTEM:
The objectives of the system is to get the performance feedback which allows the
employee, manager and personnel manager to step in with appropriate actions to
improve the performance.
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Who should do the appraising?
The HR Manager is responsible to do the appraising.
CAREER PLANNING:
Career planning is very important
aspect for development of the
employees. By career planning
employee’s career goals are set and
to achieve those. Nishat textile mills
limited feels the responsibility to
develop the careers of their
employees so that they would be
able to get themselves high and
high in corporate hierarchy. Then
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the principle aim of career development programs at Nishat textile mills
limited is to help employees, analyze their abilities and interests to better match
personal needs for growth and development with the needs of the organization.
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FEATURES OF COMPENSATION SYSTEM:
Fixed salary.
Overtime is paid according to government rules and regulations i.e. double
on gazettes holidays.
Group insurance scheme is practiced for the compensation of two
objectives:
Accidents
Injuries
Employees old age benefit scheme.
Gratuity scheme.
Bonus is awarded (minimum one bonus in a year).
Monthly medical allowance.
Social security services are obtained for employees paid leaves.
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SYSTEMS OF COMMUNICATION:
Internal communication
External communication
INTERNAL COMMUNICATION:
Within the organizational communication includes:
Team briefings
Face to face
Notices
Reports
Memos
e-mail
IT Governance Policy:
The management of the company is focused and committed to develop
innovative IT solutions according to the changing requirements of textile
business.
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EXTERNAL COMMUNICATION:
The management at Nishat maintains professional communication outside the
Organization:
Letters
Fax
Direct Mail
Internet
Telephones
Advertising
Websites
1. I
N
D
U
S
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INDUSTRIAL RELATION:
Industrial relations encompasses a set of phenomena, both inside and outside the
workplace, concerned with determining and regulating employment relationship.
Relationship between management and employees or among employees and
their organization that characterizes and grow out of employment.
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OBJECTIVES OF THE IR:
Improvement of economic condition of workers.
State control over industrial undertakings with a view to regulating
production and promoting harmonious industrial relations.
Vesting of a proprietary interest of the workers in the industries in which
they are employed.
Nishat mills comply with all labor laws. The management enjoys good
relationship with employees. The management of Nishat mills also
maintains very good, friendly and professional relationship with other
industries.
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NEGOTIATION WITH UNION:
An organization of workers or employees formed mainly to negotiate with the
employers on various employments related issues. Improve the terms and
regulations at their workplace. Enhance their status in society. In most countries,
there are laws governing the formation, membership and administration of trade
unions.
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TERMS AND CONDITIONS OF
EMPLOYEMENT:
JOB OCCUPATION:
The employee’s job title and a general description of the work to be
performed are set out.
The employee may be required to perform work that is ancillary to that
which has been described.
The exact scope and type of work:
1. Regular post
2. Contractual post
3. Daily wages post
As well as the place where it is to be performed, is at the discretion of the
employer and may change from time to time in accordance with the
employer’s operational requirements.
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OVERTIME, SUNDAYS AND PUBLIC HOLIAYS:
The employees may from time to time be required to work overtime on
normal working days, Sundays or public holidays.
The employee will be paid at the rate prescribed by the applicable law for
overtime worked.
PAYMENT:
The employee’s salary/wage, less all statutory and agreed deductions, will be
paid.
LEAVE POLICY:
ANNUAL LEAVE:
Subject to the applicable law, the employee is entitled to the number of day’s
annual leave per year which are 14 calendar days paid annual leave, after
completion of 12 months of continuous service. The timing of leave will be as
agreed, subject to the employer’s operational requirements.
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TERMINATION OF EMPLOYEMENT:
Subject to the provisions of the labor relations Act, Act 66 of 1995, this agreement
may be terminated on notice of not less than
One (1) week, if the employee has been continuously employed for four
weeks or less;
Two (2) weeks, if the employee has been continuously employed for more
than four weeks but not more than one year; or
Four (4) weeks, if the employee has been continuously employed for a year
or more.
Notwithstanding the above, this agreement may be terminated:
Summarily, if the employee is found to be guilty of misconduct in a
disciplinary enquiry and such misconduct justifies summary dismissal;
Upon reaching the retirement age of 60 years; or
For any other reason which is permitted by law.
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CONSTITUENTS OF INDUSTRIAL
RELATIONS IN ISLAM:
Employer needs to ensure justice by fulfilling his obligations to the employee and
employee needs to ensure justice by fulfilling his obligations to employer. Our
employment policies are based on the principles of equality and diversity. It is our
policy to reward the employees with fair and competitive salaries and perks along
with an opportunity to share in the success of the business in terms of promotion
and personal growth.
Allah said:
“OH YOU WHO BELIEVE STAND FIRMLY FOR JUSTICE”
(Quran: Surah 4 Verse 135)
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EQUALITY, DIVERSITY & DIGNITY AT WORK:
Our employment policies are based on the principles of equality and diversity. We
believe that the elimination of unfair discrimination in the workplace contributes
to productivity and performance as it allows employees’ talent to be most
effectively realized. We are committed to dignity at work and fair treatment of all
colleagues. The head of Human Resource Department is accountable for ensuring
that these principles are followed and for establishing appropriate acion plans for
their business.
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CONCLUSION:
We are concluded that the human resource department of Nishat textile mills
limited is very strong and good. The process of recruitment in the Nishat textile
mills limited is very good for both internal recruiting and external recruiting.
The appraising system of Nishat textile mills limited is also very good and they are
checking the performance to the employee and given them training if they need.
The orientation system is also very good in Nishat textile mills limited due to
which the Nishat mills limited is the strongest in the Textile industry.
Nishat textile is considered to be the leading organization and has become a
symbol of quality and standard in the field of textile.
There are certain gaps in human resources management of Nishat Textile. Low
attention is paid to HRM department by upper level management.
There is a lack of external recruiting activities, lack of job analysis, compensation
and reward system is not very much attractive and employees are not well
motivated in Nishat Textile.
One good thing of this department is that the department let the employees
follow the rules and regulations set by the organization strictly. Attendance is
strictly checked 7 leaves as well. So there are good and bad both present in the
human resource management of Nishat textile.
A performance appraisal program (PA program) is important to employees’
professional development, to meeting the company’s or firms’ goals or objectives
and, ultimately, to contributing to the company’s or firms bottom line.
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RECOMMENDATIONS:
Job analysis should be done to know what are the jobs needed in the
organization.
Compensation and reward system should be brought at higher level in
order to let the employees be motivated and happy.
There should be little compensation for trainees so they can fulfill their day
to day travelling and food expenses.
As company have problems with its financial condition and human
resources, so there is need of better planning in order to solve the
problems and to bring the company at right track.
There is a need of skilled workers. The skilled labor will not improve the
efficiency but also will improve effectiveness. The chances should be given
to skilled workers to enter the organization.
Company must use external recruitment firms like Personnel consultancies,
Management recruitment consultants, and Executive search firms to hire
the best employees as these companies are the expertise.
Company also needs to motivate its employees in a better way like bonus,
commissions, promotions and increment at the same time.
The result of performance appraisal should be discussed directly with the
employees and should be kept up to date with their both negative and
positive aspects.
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Nishat Mills Limited
“Questionnaire”
We are conducting a research on human resource practices in Nishat Mills
Limited. Here are some of queries:
Name ----------------------------Designation at Nishat------------------------- Age------------
---------Gender---------------Years of services-------------------
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you recruit either on temporary or contract basis?
-----------------------------------------------------------------------------------------------
Do you consult any employment agency for recruitment?
-----------------------------------------------------------------------------------------------
Whose responsibility is to recruit the candidates?
-----------------------------------------------------------------------------------------------
How do you advertise your vacancies?
1. Newspaper
2. Internet
What is your selection process?
1. Predefined
2. Dynamic(change every time)
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Which selection method do you prefer?
1. Written Test
2. Interview
3. Both
4. Any special Tactic
Are they
1. Panel
2. One to one
Do you have any quota system and what are its criteria?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you have any problem with layoff?
----------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you offer any training program?
1. Yes
2. No
3. Occasionally
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If selected employees do not work as you want what would you do?
1. Fire the employee
2. Give training
3. Give second chance
How HRD is helpful in training?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Have you any orientation program for employees and what type of
instruction you give to your employees?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you conduct the training evaluation?
-----------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
What type of incentives is given to your employees?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you give health allowance?
1. Yes
2. No
What is the post retirement program in you your organization? Is there any
pension program in this regard?
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--------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------
What is your policy toward employee for the holidays and sick leaves?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
In case on employee’s death do you provide some sort of benefits to his
family?
1. Yes
2. No
Manpower planning
What is the role of HRD in manpower planning?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you have your organization specific model for doing manpower
planning?
-----------------------------------------------------------------------------------------------
Is there any benefit that is specifically offered to your employees to make
them more committed?
-------------------------------------------------------------------------------------------------------------
-------------------------------------------------------------------------
What does performance appraisal means to Nishat?
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--------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------
How do you forecast personnel requirement?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Salary Administration
Is there is any separate payroll department?
1. Yes
2. No
What are your standard working hours?
---------------------------------------------------------------------------------------------
How do you go about decide on salary increase?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Industrial Relation
To what extent you have relation with you employees?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
What your company has done to improve these relations?
--------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------
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System of Communication
How do you go finding information from your employees?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
How do you keep your people informed?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you have internet technology in your organization?
-----------------------------------------------------------------------------------------------
Do you have communication system with other industries?
-----------------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------------
What kind of relationship HRD has with it?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Does union influence the decisions made in organization? If yes to what
extent?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
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Terms and conditions for employment
What are the general terms and conditions for employment in Nishat?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
What is the procedure of annual increment of employees?
-------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------
Do you take feedback from your employees?
1. Yes
2. No
-----------------------------------------------------------------------------------------------
Your Remarks-----------------------------------------------------------------
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