Documente Academic
Documente Profesional
Documente Cultură
)
LIMITED
FAISALABAD
Submitted by,
AWAIS MAHMOOD BUTT
MBA (HRM)
DEDECATION
The Holy Prophet Muhammad (S.A.W.) The greater Social reformer and
guide in every sphere of life. My affectionate parents who taught me the first
word of speak and supported me morally and financially throughout my
studies.
ACKNOWLEDGEMENT
“In the name of Allah, the most merciful and beneficent”
I would like to thank Almighty Allah who made me able to complete this internship
report by utilizing my skills and knowledge. I am also thankful for giving me spirit of
patience, consistency and courage during my internship.
I am also grateful to the Virtual University of Pakistan, especially regional office that
provided me a chance to explore my skills, qualities, abilities and potentials through
internship program. I am also thankful to my teachers for giving me chance to show the
best of my abilities during the period of my internship.
At Sitara Textile Industries limited, I would like to thank Mr. Saleem Chaudry, GM (HR
& A) who provided me full opportunity to start internship and accumulate first hand
comprehensive information’ during my internship. I am also obliged to different persons
like Mr. Zafar Iqbal, Mr.Tariq Mehmood and Mr. Ghulam Mustafa who provided ever
information I needed during the course of my internship.
Last but not the least, I am also thankful to my younger brother and best friend of mine
Mr. Umar Khatab who’s management experience and tips regarding internship are always
helpful for me. Without his encouragement and guidance it might not be possible for me
to complete my MBA so successfully and smoothly.
I am responsible for errors and mistakes presented in the report and a positive and
constructive criticism will always be greeted warmth.
AWAIS MAHMOOD BUTT
List of Contents
Title Page 1
Acknowledgement 2
List of Contents 3
Introduction 7
Brief History 10
Nature of Organization 10
Business Volume 11
Profile of Employees 20
Product Line 22
Organizational Structure 24
Main Offices 24
HRM Operations 25
Structure of HRM 27
Functions of HRM 28
Critical Analyses 30
Shortfalls of HRM 34
Conclusions 37
Recommendations 38
References 40
Balance Sheet 10
Organ gram
3. What screening and selection methods are available, and which ones are most
accurate?
UY2. Introduction:
The name “SITARA” emerged on the horizon of Pakistan soon after its inception in the
year 1947.the start was modest with limited space to work and meager resources to cater,
but devotion and dedication blended with untiring honest efforts soon flourished to bear
the fruits.
Sitara meaning “A STAR” really proved to be the symbol of bright future for the
company and now Sitara is the most successful group in Pakistan. Sitara Textile
Industries gave birth to the following units and become a “SITARA GROUP OF
INDUSTRIES “
Sitara Textile established in late 50s with the name of “Sitara Calico Printing” at
Maqbool road Faisalabad. Initially the printing was carried out mostly by orthodox
method but soon after its balancing modernization and expansion the company was
renamed as “Sitara Textile Industries (Pvt.) Ltd.”in 1969. And it has been registered in
Security and Exchange Commission in 1996 At present its posses most modern
processing machinery form Switzerland, Germany and England.
Sitara captures a wide market and its products are appreciably accepted throughout the
Pakistan most popular SAPNA lawn and Mughal-e-Azam Lattha are its major products,
contributing towards the national economy, export figures range from 10 to 13 million us
dollars per day.
Sitara Textile Industries are proud to be able to make a major contribution to the general
economy well being of the Pakistani government and its people by earning valuable
foreign exchange and through their job creation and training schemes.
The name of SITARA emerged on the horizon of Pakistan’s textile industry in 1959,A
modest limited financial and other resources available, soon flourished to bear full owing
to the determination and dedication of its workers, An honest approach in dealing , with
customers, vendors and related agencies, took the group a step ahead and is a vital
contributing to its’ success today. At the moment Sitara Textile is the leading industrial
group of Pakistan, owing assets more than US$ 4 billion. The Sitara Group of Industries
deals in Textile, Chemicals, Energy, Health and Education sectors.
Sitara Textile Industries Limited a fabric woven with tender care and dyed in the brilliant
shades of nature adds elegance and magnificence to this world.
Sitara Textile is a manufacturer of such fabulous fabrics: fabrics that speaks of unparallel
quality and unmatched comfort. Sitara Textile specializes in producing high class fabric
product made of superior quality materials and possesses state production facilities in
made ups and fabrics for various consumer needs. The company makes use of the latest
technical equipment to make sure that each product is original in style and shows
exquisite craftsmanship. Sitara Textile is a company believes in originality as character
and quality as foundation. The entrepreneurial spirit of the company assiduously seeks
constant development, steady progress and outstanding performance.
These balance sheets will show us the business volume of Sitara Textile for the last five
years.
Rupees Rupees
Authorised capital
600,000 ordinary
___________________________________
123,332,927 93,115,685
Non-current Liabilities
Deferred liability
Current Liabilities
Income tax - -
______________________________________
552,535,533 537,832,158
863,274,649 786,557,992
Non-Current Assets
Current Assets
_______________________________________
538,222,514 589,328,199
________________________________________
863,274,649 786,557,992
________________________________________
BALANCE SHEET
Rupees Rupees
Authorised capital
600,000 ordinary
___________________________________
120,406,455 123,332,927
Non-current Liabilities
Deferred liability
Current Liabilities
Income tax - -
______________________________________
741,976,776 552,535,533
______________________________________
1,037,766,825 863,274,649
______________________________________
Non-Current Assets
_______________________________________
283,264,359 269,527,667
Current Assets
_______________________________________
749,952,334 583,222,514
________________________________________
1,037,766,825 863,274,649
________________________________________
BALANCE SHEET
Rupees Rupees
Authorised capital
600,000 ordinary
___________________________________
113,903,550 120,406,455
Non-current Liabilities
Deferred liability
Current Liabilities
______________________________________
969,581,791 741,976,776
______________________________________
1,387,224,213 1,037,766,825
______________________________________
Non-Current Assets
_______________________________________
407,376,532 283,264,359
Current Assets
_______________________________________
976,947,138 749,952,334
________________________________________
1,387,224,213 1,037,766,825
________________________________________
BALANCE SHEET
Rupees Rupees
600,000 ordinary
___________________________________
127,184,820 113,903,550
Non-current Liabilities
Deferred liability
Current Liabilities
______________________________________
1,073,627,619 969,581,791
1,682,644,761 1,387,224,213
______________________________________
Non-Current Assets
_______________________________________
578,182,168 407,376,532
Current Assets
_______________________________________
1,101,912,050 976,947,138
________________________________________
1,682,644,761 1,387,224,213
________________________________________
Rupees Rupees
Authorised capital
600,000 ordinary
___________________________________
165,466,103 127,184,820
Non-current Liabilities
Deferred liability
_____________________________________
456,639,346 481,832,322
Current Liabilities
______________________________________
1,307,857,547 1,073,627,619
______________________________________
1,929,962,996 1,682,644,761
______________________________________
Non-Current Assets
_______________________________________
602,833,940 580,732,711
Current Assets
_______________________________________
1,327,129,056 1,101,912,050
________________________________________
1,929,962,996 1,682,644,761
________________________________________
Departments are:
1- Administration
2- Processing
3- Finance
4- Export
5- Marketing (local)
All the departments have general mangers as their heads except marketing (local). In top
level hierarchy GMs works in coordination with the board of director to meet with the
long term and short term goals. These goals are set and checked at the end of each
financial year.
2. Director Finance
3. Director Export
4. Director Processing
5. GM Admin
6. GM Local Marketing
Processing department is that department where the product is actually come to the
condition of selling. Raw material is changed to finished cloth by a systematic way. This
systematic way consists of 8 more sub departments that play their important role to
convert iron to gold. These departments are:
Grey room
Bleaching Department
Dyeing Department
Engraving Department
Printing Department
Finishing Department
Packing Department
Laboratory
Engineering Staff
3.4 Product Line
Following are the products of Sitara Textile Industries.
However, assessing the needs for training does not end here. It is important to analyze
needs regularly and at all three levels in order to evaluate the results of training and to
assess what training is needed in the future.
At the operations level, the managers who specify how the
organization’s goals are going to be achieved should analyze needs.
At the individual level, the managers and workers who do the work to achieve those goals
should analyze needs, keeping in mind that performance is a function both of ability and
motivation.
Human resource planning is all about measuring the organization need to identify the
numbers of employees and skills required to do those jobs. Further, an understanding of
available competencies is necessary to allow the organization to plan for the changes to
new jobs required by corporate goals.
At sitara, major changes according to economic and social environments are required
purchasing new and additional office equipment to enhance efficiency e.g., computer
hardware or software, coping with the recall of a defective product and dealing with the
need for a new design e.g. new automatic rotary machine.
This suggests several specific, interrelated activities that together constitute an human
resource planning system.
They include:
Now I’ll discuss the personnel management of Sitara Textile Industries Limited under
various steps of Human Resources Management Sitara Textile also knows this fact and
has personnel department right at the entrance of main gate of mill. Personnel
Department of Sitara Textile can be critically analyzed on the basis of various steps of
human resources management process.
First I would like to describe the ware bouts of department. Department is situated in an
old building which was constructed at the time of establishment of Sitara Textile and
department was named as labor department. Recently three or four years ago name of
department was changed to personnel department. There are only 5 personnel who
actually handle the department’s affairs and about 1500 employees are working. There is
great work that is to be done by 5 persons and they feel burden on themselves.
4. Compensation Management
5. Employee Evaluation
Through job rotation policies and by extensive interaction with managers in all other
functional areas. Unless these executives are perceived as equals by their corporate peers,
their ability to make significant contributions to the firm will be diminished.
Require the senior HR executive to report directly to the CEO. At present this occurs in
about 70 percent of companies nationwide. Consider whether any corporate resource is
more important than its people. Ensure that the top HR officer is a key player in the
development and implementation of business plans—providing early warning regarding
their acceptance and serving as the CEO’s window on the organization and as a sounding
board.
Representatives from HR and line managers from the business unit generate key business
strategies for the coming year. To do so, they identify major external and internal factors
that may have an impact on the future of the business, together with future customer
requirements. The result? A business unit annual plan that outlines
Job analysis also provides the basis for developing job specifications. Job specifications
are a statement of the human qualifications required to perform the job. Among the
qualifications which are often included in job specifications are the following.
Educational standards which may spell out, for example, degrees attained, such as a B.S.
in engineering.
Experience requirements, such as two years of general clerical experience for the
position. This job requires directing the work of from two to ten clerical employee, and
therefore would normally require some prior experience in actually performing clerical
duties.
Skills requirements, such as typing 80 words per minute, or being able to take dictation
by an executive etc.
Requirement analysis has performed thoroughly at Sitara Textile for the purpose of job
analysis by HR department.
There are four basic technique generally used for gathering about different jobs.
HRM department has not any systematic procedure for using the diaries or
logs for the purpose of data gathering.
When choosing a system, always remember that the selection is not expected to last
forever. That thought should provide a glimmer of hope and some optimism, too. The
selection is important and should be taken with great care. At the same time, you should
acknowledge that if something better comes along or if circumstances change, you might
have made different choice.
7.4 Implementation
Following are the points which theoretically I read during course of my study
Implement HR core
Train other HR users
Make system available to HR functional specialists
Refine HR core
Establish mainframe micro link
Conduct field analysis
Develop procedures for distributed processing
Prepare technical documentation
Develop/work on other modules
Test system and user acceptance
Implement additional modules
Maintain/enhance
8.Short-falls/Weaknesses of the HRM Department:
8.1 Planning
At Sitara Textile I think very small importance is given to personnel as far as planning is
concerned. Upper level management like CEO and Director give low attention to this
department. Personal Department does not search for and does not know whether there is
need of new employee at same job or not. They only know who is going out and there is a
vacancy at the place of out going employee. I have examples for such employees who are
doing work of two or three men. There should be better planning for that in order to
achieve organizational goal. If the goal is to minimize the expenses it is not proper way to
control and is not legally and ethical acceptable.
8.2 Recruitment
Most of new employees are hired on reference basis. There are various authorities to hire
the people for various positions. If position of job is that employee would be paid
Rs.4,000/- monthly, personnel manager has authority to hire this employee. The finance
manager hires employees having salaries below Rs.7, 000/- monthly. And job of value
higher than Rs. 7,000/- per month is up to CEO or Director.
At Sitara Textile every new employee trains himself at his own because training is not
done or given properly by the organization. Employee’s new colleagues teach him
manners of his job. Sitara Textile does appoint trainee employees who are trained by the
existing employees and these trainees are sometime hired for actual jobs. These hired
trainees are beneficial for Sitara Textile because they are already trained and understand
their jobs. If there is new employee hired who was not trainee at Sitara Textile suffers
because of that Sitara Textile do not have proper training program.
As compensation level is low therefore employees are not very much motivated.
Motivation level and morale of employees are low which affects the periodicity of the
organization. It is fact that Sitara Textile is well reputed organization and covering
productivity requirement but if morale and motivation levels are brought high the
productivity could increase. Anyhow Pakistani work force are scared and compelled to
take whatever any body gives because of unemployment. Some think is better than
nothing.
8.5 Evaluation
Sitara Textile performance of the employees is evaluated on the basis of what has been
expected from them. The upper level management evaluates performance. Upper level
management sees how an employee is performing on his assigned position. It is done
through observing and comparing the productivity of the organization with the expected
productivity. The results of evaluation are used in movement of employee inside the
organization or outside the organization.
At Sitara Textile movement is of three types one is promotion 2nd is voluntary severance and last is
termination. In case of good performance promotion or increment is given to the employee and is case of mistake or misbehave only one way that is
termination. Sitara Textile do not care employee turnover or things like that, they just replace that employee. In this way movement of employees takes
place at Sitara Textile.
This is all about the short-falls and weaknesses of HRM department of Sitara Textile. Despite the fact that department and personnel management is not
very good Sitara Textile has great productivity capacity. Emergence of all other industries in Sitara group of industries is example of excellent of Sitara
Textile.
9. Conclusions:
All the sub departments of processing department like bleaching, dyeing, printing and finishing are working under
laboratory instructions so laboratory is playing role of executive in quality control.
All the schedules of bleaching, dyeing printing and finishing are prepared by the laboratory instead of related management
or HR department.
There is lack of human resource planning, lack of recruiting activities lack of job analysis, compensation and reward
system is not very much attractive and employees are not well motivated in Sitara 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 and leaves as well. So there are good and bad both present in the human
resource department of Sitara Textile.
HRM department is not established and not considered to be very much important. Low attention is paid to this
department by upper level management.
There is lack of human resources planning, lack of recruiting activities and lack of job analysis.
Compensation and reward system is not very much attractive and employees are not well motivated in Sitara Textile.
10. Recommendations for improvement:
Organizations big or small profit or unprofitable have problems and there are always chances of improvements. This is also the condition for Sitara
Textile. As problems and difficulties have been identified, now here are some suggestions that may help the organization to improve. This is also the
condition for Sitara Textile. As problems and difficulties have been identified, now here are some suggestions that may help the organization to improve.
In processing department there is a need of skilled workers. There are certain departments of processing in which
employees have been working since long but their efficiency is not improved and unsatisfactory results come out sometimes.
The skilled labor will not only improve the efficiency but also will improve effectiveness. There should be chances given to
skilled workers to enter the organization.
There should be female artists and designers in design department as females have naturally more esthetical qualities than
males. They will really improve the quality of designs and will introduce more innovative design.
Expanding product lines that will give more variety to people of country could extend local marketing and ultimately sales
would be increased. There should be more staff in local marketing department to enhance the sales figure and to capture wide
area of local market.
There is need of better working condition in personnel department. Employees of this department are working in very
poor condition, chair are broken, air conditioning facilities are not properly in some department like HRM department. That is
why morale of employees working in department is low and they are not motivated for doing jobs. This area should carefully be
examined and solved.
There is need to increase the staff in this department only three or four persons are working with all the affairs regarding
let the employees abide by the rules and regulations, recruiting, selecting and other activities. This area should carefully be
handled to attract skilled employees and ultimately to enhance efficiency and effectiveness.
Job analysis should be done to know what are the jobs needed in the organization. I know some persons who are doing the
job of two or three persons.
Compensation and reward system should be brought at higher level in order to let the employees be motivated and happy.
There should be more fringe benefits for the employees taking into consideration there devotion skill and experience. This
higher level would make the employees more efficient and effective.
There should be little compensation for trainees as well as they can fulfill their day to day traveling and food expenses. By
doing this trainees will show more interest, more devotion, more potentials and will work with full mental and physical efforts.
The first aid and other medical facilities should be provided to the employees with in the mill area. There is continuous
working in the mill and every time there are chances of any accident or unpleasant incident. So in order to handle this type of
situation the first aid dispensary should be there in the mill area.
I collect the all information about the Sitara Textile Industries Limited (STIL) for making internship report. The references & Source of information are as
fellows:
Source:
http://www.sitaratextile.com/