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Project Report
Principles of management
Submitted by:

 Lamia Baig
 Rimsha Anser
 Anosh Qayyum
 Zainab Hamid
 Mariam Mehmood
 Malaika Khan Marwat

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 TABLE OF CONTENTS

 INTRODUCTION
 MISSION
 VISION
 STRATEGY FOR THE PROJECT
 QUESTIONARIES
 ANALYSIS
 USING REWARDS FOR EMPLOYEES
 MOTIVATION
 MOTIVATION IN MANGEMENT
 EARLY THEORY OF MOTIVATION
 HIERARCHY OF NEEDS THEORY
 CONTEMPORARY THEORIES OF MOTIVATION
 GOAL SETTING THEORY
 REINFORCEMENT THEORY
 EQUITY THEORY
 EXPECTANCY THEORY
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 HOW JOBS CAN BE REDESIGNED
 PRICE RATE PAY
 MERRIT BASED PAY PLAN
 BONUSES
 SKILL BASED PAY PLAN
 PROVIDENT FUND
 CONCLUSION
 ACKNOWLEDGMENT
 SUPPORTING MATERIAL
 REFRENCES

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 Outfitters™

Introduction
Outfitters was a brand in USA but that time it was unable to compete with other brands
and they shut down the company with in the few years because of continuously loss and
mismanagement.

So the outfitter that is running in Pakistan got the same idea form USA outfitters. Outfitters
introduced the concept of fast fashion in Pakistan. Riding parallel to the fast paced fashion
industry, outfitters has constantly evolved, expanding it product ranges specializing in
manufacturing designs and providing customers with a variety of options to choose from.
Outfitters started out as trendy street-smart fashion for men and women.

In 2008, outfitters introduced a brand for kids, as outfitters ‘junior’, focusing on kid’s
fashion. Outfitters started its new chain for women ‘ETHNIC’ by outfitters. And now it’s
become one of the top brand in casual wear in Pakistan.

Outfitters has 104 outlets all over the Pakistan including company and factory outlets. The
company is steadily growing and now has its foot in the international market with aims to
elevate the brand into a true global player.

MISSION
“Be the customers preferred apparel choice for upcoming trends and fashion, in
affordable price range”.

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VISION
“Sustain outfitters leading position in the industry as one of the most innovative and
inspiring brand, with unique mix and un-compromised quality, differentiating it from
competitors”.

OUR STRATEGY FOR THE PROJECT :

We did our research to see which is the factory outlet in Islamabad and which is the
smallest one that covers from one to two lines of outfitters then we chose 3 branches
and set meetings with the managers of the respected branches.

We personally contacted the regional manager of Punjab from outfitters for a meeting
but unfortunately couldn’t get the dates for the meeting.

We split up to groups of 2 and 3 people and took interviews from the managers
unfortunately in one branch we were not given a proper interview but was just showed
how they work and we got a tour of the inventory.

We recorded the interview with the permission of the manager for better analysis
(attached at the end and provided in USB)

We tried to ask as many questions as possible and get a sense of how work is done
practically in professional life and how is it similar and different from the theory we
study.

At the end we tried our best to extract answers of the questions that were not answered
directly in the interview and link it to the theory that we have studied.

Questions:
Murtaza Ali

(Manager ,F7- Rana market)

03341535448

https://pk.linkedin.com/in/syed-murtaza-ali-86988212a

Ahmed Ali

(Manager , G9- Karachi Company)

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 Ahmed.ali@gmail.com

Saqib Hussain

(Manager)

Hussain_saqib89@yahoo.com

0332-5331449

Q:- What is the Primary Aim of your company ?

Ans:- The Primary aim of our company is to be the customers preferred apparel choice
for upcoming trends, fashion and customer demands and to extend the different lines we
launched from outfitters men to ethinics.

Q:- Is your company a centralized or decentralized organization?

Ans:- This depends on the situations we are dealing with so it’s a mix of centralized and
decentralized.
example:

“I cannot fire any employee myself I would have to take it to the higher authorities first
other than that I cannot make decisions for the outlet all alone I have to discuss it with
higher management but if we see if there is any issue related to customers I can take
decisions right at the moment to make him/her satisfied” says Murtaza Ali manager
outfitters, F7.

Q:- What are the Manager’s Plans designed to increase motivation?

Ans:- To meet the staff needs and create a healthy environment within the company
increase their salaries, bonus and incentives to motivate the employees.

Q:- What are the company’s plans to increase motivation?

Ans:- Company is paying good salaries, bonuses and incentives to their staff and
providing, job security and medical allowances to staff and their families.

Q:- Are your employee’s goals and company’s goals aligned?

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Ans:- Yes company’s and our goals are aligned properly. We follow strictly our standard
operational procedure of V.M, H.R and Staff management because the goal of the
company is to produce more sales and expand outfitters so that it is reachable for every
other person and we have to play our part for this achievement so our goal is the same
as well.

Q:- Are there any recent changes in the company that might have affected
motivation ?

Ans:- Yes transfer of the staff against their will , will demotivate the staff and create a
negative impact of the company.

Q:- Have you fired any employee before ?

Ans:- It isn’t in my hand to fire any employee straight away but “I can fire any employee
right away if it’s the case of theft either cash or from inventory” says Murtaza Ali manager
outfitters, F7.

Q:- What is the chain of hierarchy of your company ?

Ans:- There are top mangers, then area managers then line managers, managers ,vice
managers and front end employees.

Q:- What in your thinking is your decision making style ?

Ans:- (We explained the manager about different decision making styles) I think my
decision making style depends upon the situation for example in cases of theft in my
branch I am directive and if some employee wants to leave I can be behavioral as well.

Q:- Do you think company’s strategies are helping to increase motivation?

Ans:- Yes mostly company’s policies help to increase the motivation level of the staff and
also help to achieve company’s targets.

Q:-Are these plans helping employees to meet their targets? If YES! Then HOW?

Ans:- Yes because if staff members are satisfied from the company’s policies and their
benefits they will produce more revenue for the company.

Q:- In sudden work load how employees manage and how they react?

Ans:- We have a senior crew which knows better that how to deal with such kind of
situations like suddenly announce promotions. Company usually offers incentives for their
extra work load.

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Q:- Do you think job security helps employees to increase their motivation, Does
your company offers job security?

Ans:- Yes our company knows that job security is the biggest motivation and our
company is providing job security to their staff whereas mostly private companies are
not offering this type of facility to their employees, “we have an agreement of 6 to 12
months and before that we do not fire anyone” says Saqib Hussain, manager ,
outfitters.

Q:- What is the employee turnover rate?

Ans:- As we have discussed already that mostly our staff members are working with us
more than 3 years so this is the guarantee that we have very low staff turnover and if
someone decides to leave we discuss their issues and counsel them for their future.

Q:- How many of the targets are being achieved annually?

Ans:- Company Achieves 70% of their targets annually and we are committed to make
this 80-90% annually.

Q:- What is the sale growth rate of your company?

Ans:- As mostly PVT companies in Pakistan are growing with 20-25% growth rate but
with the staff and customer friendly policies and with the support of loyal customers our
company’s growth rate is 40-45%

Q:- What is the market share rate of your company? Is it increasing or decreasing?

Ans:- Our Company’s share rate of the market is 15-20% and still increasing rapidly as
we are launching multiple outlets after starting from outlets and 20 single line of articles
we have reached 100+ outlets and 90+ articles in a single line of men.

Q:- Do your employees are allowed to contribute in new product development ? If

YES! Then how they contribute?

Ans:- Yes! before the launching of every seasonal products our company arrange a
meeting with their sale staff and get the feedback of the customers and market strength
this will help the company in coming seasonal product development and as “we focus
more on hiring people from youth below 30 they have work experience from different
companies and they help us in bringing innovative and unique ideas that are considered
by the company are used in different ways as well ” says Saqib Hussain, manager ,
outfitters.

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Q:- Are your customers are satisfied from your services?

Ans:- Yes our mostly customers are satisfied with our services as we are competing with
other international brands and if there any few complaint cases we resolve them
immediately.

Q:- How many of customers complain you come across?

Ans:- “We learn from those customer complaints that how do we have to improve our
brand and after a huge rate of complaints in the beginning we worked on those complaints
and got even better and more powerful” ,says Murtaza Ali manager outfitters, F7.We
mentioned that we have fine products and services so that’s why we face very low
customer complaints regarding to our product and services .

Q:- How’s your relationship with your employees?

Ans:- “My relationship with my employees is quite friendly and cooperative they all enjoy
my company and as I have been working for many years here so I know how to enjoy
and engage my employees but some mangers that are newly hired do not work as we
say and try to force employees to work as they say and then the environment gets un
easy for everyone to work.” ” says Murtaza Ali manager outfitters, F7.

Q:- What really motivate your staff?

Ans:- I think , job Security, benefits and healthy environment really motivate our staff.

ANALYSIS:

THE DESIGNING ORGANIZATIONAL STRUCTURE:

Research in job design suggests the way that elements in a job are organized. It can act
to increase or decrease effort and also suggests what those elements are.

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What we learned :

1. Skill Variety: After the trial period of one week management of Outfitters provides
every employee a change to exploit their skills. Hence then the management decides to
place them in a department where the employees are best in their skills and which is
according to their interest.”,says Murtaza Ali branch manager - ranamarket, F7.

2. Sales approach:

In Outfitters every salesperson schedule his/her own work each day and decides on the
most effective sales approach for each customer without supervision.

3. Responsibilities:

In Outfitters every employee is responsible for his own section, in which he’s working.

E.g. If someone is working in men section so he’s responsible of all inventory, display and
stock management of men’s section.

4. Task identity:

In Outfitters every employees knows what he has to do, he knows his regular tasks he’s
guided by the manager on daily basis and also he works hard on those tasks to get the
incentives and appreciation at the end of those tasks.

5. Feedback:

Outfitter’s managers provide feedback to their employees on weekly and monthly basis
regarding their sales and customers dealing, so that the employee can be motivated and
improve if they lack in any aspect. “Moreover they provide incentives according to the
sales the employee does and also the best employee with highest sales gets a treat from
the manager at Hardee’s”, says Murtaza Ali branch manager - ranamarket, F7.

USING REWARDS FOR EMPLOYEES:

“What to pay: Establishing a pay structure”

There are many ways to pay employees, the process of initially setting pay levels can be
complex and entail balancing internal equity, the worth of job to the organization.

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What we studied :

Outfitters pay more and get better qualified more highly motivated employees who will
stay with the organization for a long period of time.

We found that employees who believed they were receiving a competitive pay level had
higher morale and were more productive. Competent and customer were more satisfied.

“How to pay: Rewarding Individual Employees through variable pay programs”

Basically like all other brands Outfitters pay salaries but they have additional plans
regarding the employee’s salaries.

Eg. For every month there is a Sale target, and if they meet their required targets they
receives 1% incentive and if they don’t they get 0.5% commission on their sale.

They get the titles of employee of the month

They get treat of celebration from the manager(depends upon the manager)

The fluctuation in these variable pays makes these programs attractive to management.

MOTIVATION:
“Motivation is a process through which psychological needs that activate behavior or
derive an aim at a goal or an Incentive are achieved”

“The Process through which the person effort or energized directed and sustained
towards attaining a goal”.

MOTIVATION IN MANAGEMENT:
“The process through which manager encourage employees to be productive and
effective”

Early Theory of Motivation:

In the 1950’s were a fruitful period in the development of motivation concept. Four special
theories formulate during this period.

1. Hierarchy of Needs Theory

2. Theory X & Theory Y
3. Two-Factor Theory

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 4. McClelland’s Theory of Needs

Hierarchy of Needs Theory:

It is probably safe to say that best known theory of motivation is Maslow’s Hierarchy of
Needs. Maslow’s hypothesized that within every human being there exists a hierarchy of
five needs.

1. Psychological needs:
 Include hunger, thirst, shelter and other bodily needs.

2. Safety needs:
 Security and protection from physical and emotional harm.

3. Social needs:
 Affection, belongingness, acceptance and Friendship

4. Esteem needs:
 Internal Factors, such as self-respect. Autonomy and achievement. And external
factors, Such as status, recognition and attention

5. Self-Actualization:
 Drive to become what we are capable of becoming ; Includes growth achieving our
potential and self-fulfillment

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 What we observed:

After studying this theory we observed that Outfitters™ is providing a good salary
package to their employees to meet their basic needs like Hunger, thirst etc.

By looking at the safety needs, Outfitter™ is providing job security and medical
facilities to staff and their families.

At this level Outfitters™ is providing a friendly and co-operative environment between

managers and their employees.

At this level any employee who did an outstanding performance outfitters rewards him
not only with incentives but also calls him in the meeting and reward him with medals
and title “Employee of the month”.

At this level Outfitters™ promote the designation and salary of that employee who did
the work effectively and efficiently. Because at that stage an employee analysis
weather he should stay in the company or not. It is also a very huge motivational
factor.

CONTEMPORARY THEORIES OF MOTIVATION:

1. Goal Setting Theory
2. Reinforcement Theory
3. Equity Theory

What we observed:

Goal setting theory:

In Outfitters they set monthly sale target as a goal for their employees and managers,
for promotion and incentives employees try to achieve their goals and work harder.
This motivates employees to work more efficiently and to achieve the rewards.

Reinforcement Theory:

When any employee who did an outstanding performance outfitters rewards him not
only with incentives but also calls him in the meeting and reward him with medals and
gives him title “Employee of the month” this motivate that employee and other
employees as well to work harder.

Equity Theory:

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 In Outfitters the employees with same skills, same qualification and same job
description are paid equally so that this do not demotivate employees and this also
maintains equity among employees. This equity theory helps motivate employees to
work co-operatively and improve their position on the basis of their performance.

Expectancy Theory:

While conducting the interview of outfitter’s Manager we ask about that what do you
think what is the expectations of your sale staff or employees from your Company?
So he tells us about that some employees are expecting more salaries and incentives
while few of those are career oriented they want to become a good representative of
our company means they are interested in high level posts so that’s why all of these
are doing hard work due to their different goals and they expect to achieve them.

HOW JOBS CAN BE REDESIGNED:

 JOB ROTATION
“The periodic shifting of an employee from one task to another”
The strength of job rotation is that it reduces “BOREDOM” increase motivation and
helps the employees in better understanding of how their work contributes to the
organization and what are their interests. An indirect benefit is that employees with
a wider range of skills give management more flexibility in scheduling work,
adopting to change, and filling vacancies.

What we learned:
These strategies depend upon the management style of the manager:

In some Outfitter’s branches mangers after 3 months shift every employee from
one section to another while in others the employees are asked about the sections
they want to work in.
Like moving one employee of men section to kids section this reduces boredom and
increases productivity and motivate an employee to work more deliberately.

 JOB ENRICHMINT
“The expansion of job which increases the degree to which the workers controls
the planning execution and evaluation of work”

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 Reference:https://www.cleverism.com/job-characteristics-model/

What we learned:

In Outfitters employees help each other directly through their work. Management of
Outfitters creates co-operative environment, in which employees help directly through
their work and they come to see themselves and the organization for which they work in
more positive pro-social terms. This in turn increases employee affective commitment.

Price-Rate Pay
A pay plan in which workers are paid a fixed sum for each unit of production completed.

What we observed:

In Outfitters many of the employees such as their tailors and employees involved in
production were given a fixed sum on each product in this way the employees are more
involved and motivated in producing more and more products.

Merit-based pay plan

A pay plan based on performance appraisal ratings.

What we studied:

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In Outfitters many of the employees were selected on merit based, specific skills and
qualification. Hence they are paid more. This increases employee motivation to improve
productivity and increase sales. Outfitters have merit based pay plans especially for
salaried employees. Outfitters increases salaries based on their annual performance
evaluation.

Bonus
A pay plan that rewards employees for recent performance rather than historical
performance.

What we observed:

Outfitters provide bonus to their employees on different occasions like EID festival and
after any seasonal sale.

Skill-based pay plan

A pay plan that sets pay level on the basis of how many skills employees have or how
many job they can do. It is also called competency based or knowledge based pay.

What we observed:

Outfitters provide different pays to their employees which are on different levels as per
skill, knowledge and experience. Like managers have different pay level and sales staff
have different pay level.

Provident fund
After one year of joining outfitters, Company deducts 5% as an employee provident fund
from their salaries monthly and add 10% employer provident fund to their account. Which
the company pays to its employee at the retirement or leave.

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 CONCLUSIONS:
As we visited the company’s 3 outlets, and reaching to its every aspect by interviews
and our own observations we came across that motivation is the only factor which is
improving their growth and productivity. There Managers and Sales Staff are more
competent to their work. The relationship between managers and employees are quite
friendly and cooperative. All the benefits like Medical facilities to employee’s families
and monetary incentives lead employees to work in a tension free environment which
motivates employees to work creatively and passionately. It was a very good
experience for all of us, visiting the different outlets and observing the ways manager
handles and motivates their employees.

Acknowledgement
I have taken efforts in this project. However, it would not have been possible without
the kind support and help of many individuals and organizations. I would like to extend
my sincere thanks to all of them.

I am highly indebted Outfitters for their guidance and constant supervision as well as
for providing necessary information regarding the project & also for their support in
completing the project.

I would like to express my gratitude towards my parents & members of Outfitters for
their kind co-operation and encouragement which help me in completion of this
project.

I would like to express my special gratitude and thanks to industry persons for giving
me such attention and time.

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I would like to express my special gratitude to Regional manager outfitters (Punjab) ,
Branch managers , outfitters, Mr Ahmed ,Mr Murtaza and Mr Saqib for their attention
and precious time from their busy schedules.

My thanks and appreciations also go to my colleagues in developing the project and

people who have willingly helped me out with their abilities.

My thanks to my course teacher Ma’am Qurat ul Ain Waqar for her constant support
and guidance in the making and completion of this term project.

Supporting material:
Visiting cards presented in hard form.

Audio of interviews presented in hard form

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 References:
https://outfitters.com.pk/

http://www.slideshare.net/kurtnelson/employee-motivation-1586905

http://www.slideshare.net/veejay75/motivating-employees-1371981/2-
The_Power_of_a_Smile

https://thejournal.com/Articles/2005/01/01/Motivating-Students-Through-
ProjectBased-Service-Learning.aspx?Page=1

http://pblchecklist.4teachers.org/more.shtml

https://www.google.com/search?biw=1536&bih=722&tbm=isch&sa=1&ei=LoDu
XcKtMMaU8gLfoZrQBQ&q=outfitters+paistan+logo+2019&oq=outfitters+paista
n+logo+2019&gs_l=img.3...4368.6392..7043...0.0..0.291.2360.2-10......0....1..gws-
wiz-
img.......0i7i30j0i5i30.7XABOv7GRZY&ved=0ahUKEwjC_Kfbh6nmAhVGilwK
Hd-QBloQ4dUDCAc&uact=5

https://www.google.com/search?biw=1536&bih=722&tbm=isch&sa=1&ei=LoDu
XcKtMMaU8gLfoZrQBQ&q=outfitters+paistan+logo+2019&oq=outfitters+paista
n+logo+2019&gs_l=img.3...4368.6392..7043...0.0..0.291.2360.2-10......0....1..gws-
wiz-
img.......0i7i30j0i5i30.7XABOv7GRZY&ved=0ahUKEwjC_Kfbh6nmAhVGilwK
Hd-QBloQ4dUDCAc&uact=5#imgrc=U3j-Jj2Z0SJA5M:

https://www.google.com.pk/webhp?sourceid=chrome-
instant&ion=1&espv=2&ie=UTF-8#q=motivation

http://www.simplypsychology.org/maslow.html

http://ppscforum.com.pk/viewforum.php?f=3

https://www.cleverism.com/job-characteristics-model/
Organizational behavior – Stephen Robbins

Principle of Management – Stephen Robbins

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End of report.

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