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Human Resource

Management
Submitted to:
Sir Amir
Submitted by:

SHAHZEB MAHMOOD 8132

In MBA 3rd

ANSI Institute of Management Sciences

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Acknowledgement

First of all I would like to thanks to


Allah on this occasion.

I also want to show my gratitude to my


loving parents and humble teachers who
make me able to be at this position.

Bundle of Thanks to my honorable


teacher Mr. Amir, who give me a chance
to enhance my abilities and skills.

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Table of Contents
EXECUTIVE SUMMARY

STATEMENT OF PURPOSE
PRODUCT SERVICE AND TECHNOLOGY
VISION, MISSION AND CORE VALUES
ACKNOWLEDGEMENT AND DEDICATIONS
HIERARCHY OF PTCL
CHAP 1: INTRODUCTION OF PROJECT

1.1 INTRODUCTION OF PTCL


1.2 HISTORY OF PTCL
1.3 HISTORY CHART
CHAP 2: FINDINGS OF TRAINING & DEVELOPMENT

2.1 TYPES OF EMPLOYEES AT PTCL


2.2 TRAINING INSTITUTE
2.3 TYPES OF LOCAL TRAINING
2.3.1 TRAINING STAFF
2.4 CAREER PLANNING & DEVELOPMENT
2.4.1 SCHOLARSHIP STUDIES
2.4.2 EDUCATIONL LEAVE
2.4.3 PRIORITIES FOR FORMAL EDUCATION
2.5 MANAGEMENT DEVELOPMENT TECHNIQUES
2.6 Psychological Tests & Assessments
CHAP 3: ANALYSIS OF HR-PRACTICES AT PTCL

3.1 HRM PLANNING AND WORKING


3.1.1 HR STRATEGIES
3.1.2 HRM PLANNING
3.2 RECRUITMENT
3.2.1 RECRUITMENT PROCEDURE
3.2.2 RECRUITMENT METHODS
3.2.2.1 INTERNAL RECRUITMENT
3.2.2.2 EXTERNAL RECRUITMENT
3.2.3 QUOTA SYSTEM
3.3 SELECTION
3.3.1 SELECTION CRITERIA
3.3.2 INTERVIEW METHODS
3.3.3 FORMAT OF JOB DESCRIPTION
3.4 PAY SCALES & OPPORTUNITIES
3.4 COMPENSATION
3.4.1 FINANCIAL REWARDS
3.4.2 NON-FINANCIAL REWARDS
3.4.3 LEAVE POLICY
3.4.4 MEDICAL BENEFITS
3.5 PERFORMANCE APPRAISAL
3.5.1 PERFORMANCE APPRAISAL METHOD
QUESTIONS AND ANSWERS
Conclusion and a practical recommendation
APPENDICES & SITES VISITED

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EXECUTIVE SUMMARY

The goals of this project will be presented in this executive summary with
summarized pieces of information about specific activities i.e. Training &
Development regarding Human resource department of PTCL.

STATEMENT OF PURPOSE

This project aim at presenting the studies of Human Resource Activities carried out
in PTCL but the main focus is on Training & Development of employees working at
the particular organization.
PTCL is one of the biggest organizations in Pakistan and the main area in which this
organization deals is providing valuable services to its customer regarding telephone
services, mobile services, internet services, DSLs, and Information Technology
prospective to the whole Pakistan within four provinces as well as Azad Jammu &
Kashmir.

INTRODUCTION

Pakistan Telecommunication Company Limited (PTCL) is the largest


telecommunication company in Pakistan. This company provides telephony services
to the nation and still holds the status of backbone for country's telecommunication
infrastructure despite arrival of other telecom giants like Telenor, Warid, Mobilink
and China Mobile. The company consists of around 2000 telephone exchanges
across country providing largest fixed line network. GSM, CDMA and Internet are
other resources of PTCL, making it a gigantic organization. The Government of
Pakistan sold 26% shares and control of the company to Etisalat in 2006. The
Government of Pakistan retained 62% of the shares while the remaining 12% are
held by the general public.

PTCL is also part of the consortium of three major Submarine communication cable
networks: SEA-ME-WE 3, SEA-ME-WE 4 and I-ME-WE. In addition to wire line
operations, PTCL also provides fixed line service through its countrywide CDMA
based WLL (Wireless Local Loop) network, under the Vfone brand name. In the
cellular segment, the second largest cellular provider in Pakistan, Ufone, is also a
wholly owned subsidiary of PTCL.

History
From the beginnings of Posts & Telegraph Department in 1947 and establishment of
Pakistan Telephone & Telegraph Department in 1962, PTCL has been a major player
in telecommunication in Pakistan. Despite having established a network of enormous
size, PTCL workings and policies have attracted regular criticism from other smaller
operators and the civil society of Pakistan.

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Pakistan Telecommunication Corporation (PTC) took over operations and functions
from Pakistan Telephone and Telegraph Department under Pakistan
Telecommunication Corporation Act 1991. This coincided with the Government's
competitive policy, encouraging private sector participation and resulting in award
of licenses for cellular, card-operated pay-phones, paging and, lately, data
communication services.
Pursuing a progressive policy, the Government in 1991, announced its plans to
privatize PTCL, and in 1994 issued six million vouchers exchangeable into 600
million shares of the would-be PTCL in two separate placements. Each had a par
value of Rs. 10 per share. These vouchers were converted into PTCL shares in mid-
1996.
In 1995, Pakistan Telecommunication (Reorganization) Ordinance formed the basis
for PTCL monopoly over basic telephony in the country. The provisions of the
Ordinance were lent permanence in October 1996 through Pakistan
Telecommunication (Reorganization) Act. The same year, Pakistan
Telecommunication Company Limited was formed and listed on all stock exchanges
of Pakistan
PTCL launched its mobile and data services subsidiaries in 2001 by the name of
Ufone and PakNet respectively. None of the brands made it to the top slots in the
respective competitions. Lately, however, Ufone had increased its market share in
the cellular sector. The PakNet brand has effectively dissolved over the period of
time. Recent DSL services launched by PTCL reflect this by the introduction of a new
brand name and operation of the service being directly supervised by PTCL.
Last Year, in middle of 2005 Government of Pakistan had decided to sell at least 26
percent of this company to some private agency. There were three participants in
the bet for privatization of PTCL. Etisalat, a Dubai based company was able to get
the shares with a large margin in the bet.
Last year when Government was going to privatize the company there was country
wide protest and strike by PTCL workers. They even disrupted Phone lines of some
big Government institutions like Punjab University Lahore and many lines of public
sector were also blocked. Military had to take over the management of all the
Exchanges in the country. They arrested many workers and put them behind bars.
The contention between Government and employees ended with a 30% increase in
the salaries of workers.
There have been various changes in the company due to privatization. Such
examples include the VSS (Voluntary Separation Scheme for its employees), ERP
(SAP based), restructuring, B& CC (Billing and Customer Care Software) etc. Another
seemingly minor change was change of brand identity (logo) that will present PTCL's
new face after privatization, with greater focus on customer satisfaction and
bringing about of new advancements in telecom for Pakistani consumers.

PRODUCT, SERVICES AND TECHNOLOGY

PTCL offers a wide range of services for its clients all over the Pakistan. These
services are Telephone connections, billings, customer services, operations,

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telephone sets, DSL and internet connections, licensing authority, Internet Service
Provider (paknet), online billing through credit cards, prepaid telephone cards,
Mobile connections and services etc

Vision

To be the leading Information and Communication Technology Service Provider in


the region by achieving customer satisfaction and maximizing shareholders' value'.
The future is unfolding around us. In times to come, we will be the link that allows
global communication. We are striving towards mobilizing the world for the future.
By becoming partners in innovation, we are ready to shape a future that offers
telecom services that bring us closer.

Mission
To achieve our vision by having:

• An organizational environment that fosters professionalism, motivation and


quality
• An environment that is cost effective and quality conscious
• Services that are based on the most optimum technology
• "Quality" and "Time" conscious customer service
• Sustained growth in earnings and profitability

Core Values

• Professional Integrity
• Customer Satisfaction
• Teamwork
• Company Loyalty

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HIERARCHY OF PTCL

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Findings of Training & Development:

Types of Employees at PTCL

There are approximately 56000 employees working in PTCL, they are of different
types which are as follows:

Permanent employees
On-Contract employees: 400 employees are at Contract.
Daily Wages Employees: 7000 employees are at Daily Wages.
4000 Employees are in Telecom Foundation
On Deputation

Training Institute

♦ One National postgraduate Institute of Telecom & Informatics. (50 students)


♦ One Telecommunication Staff College Haripur (450 students).
♦ Two regional telecom training schools Lahore and Karachi (400 students).
♦ Nine regional telecom training schools in Peshawar, D.I Khan, Gujranwala,
Faisalabad, Multan, Sialkot, Quetta, & Hyderabad.
♦ Fifteen Divisional telecom training centers (75 students each).

Types of local Training

♦ Pre Service Training: These trainings are for Assistant Divisional Engineers,
Engineers and Supervisors.
(1 to 2 years).

♦ On the Job Training: These training are for Directors (technical) and
Engineering Supervisors

♦ Pre Promotion Courses: For Director and Assistant Engineers (2 weeks).

♦ Computer Training: It’s for enhancing IT skills

♦ Orientation Program: For Finance and Accountants

♦ In-Service Courses: For linemen, cable jointers and technicians (2 years).

♦ Technical short Courses: They are short courses in order to be aware of


new technologies and methodologies.

♦ Prohibition period
Prohibition period is the time in which the organization trained the employees before
getting them on to the jobs. In PTCL they normally trained the employees for six-
month and time period of engineers is about 2 years.

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TRAINING STAFF
In order to train the employees at different schools and training centers, training
staff is hired and mostly the training staff consists of trained employees which are
used as instructors.

CAREER PLANNING AND DEVELOPMENT

♦ Company and Employees are partners in career management


♦ Company provides assistance in improving the employee’s skills and capabilities
♦ Financial Assistance
♦ Educational Assistance
♦ Encourages opportunities for higher education in foreign countries on
scholarships
♦ Foreign training to improve technical skills
♦ Post graduation in telecommunication
♦ Local training

SCHOLARSHIP STUDIES

The method to apply for scholarship is as follows:

Education level

Application for
Foreign Education

Selection Committee

Recommendations

EDUCATIONAL LEAVE
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Educational leave without pay is for 5 years for PTCL employees.

PRIORITIES FOR FORMAL EDUCATION

As PTCL is in Contract with one of the world’s leading Telecom Companies like
Siemens and Ericson so they are on priorities to PTCL because PTCL is using and
buying exchanges manufactured by these companies. So in order to meet the
challenges of new technology transferred by these companies PTCL send its
employees to Sweden, Germany & France on a course of 9 months.
Along with that PTCL also buy exchanges from China and in this way PTCL workers
work with Chinese Expertise that is also a sort of career development and
experience for PTCL employees.

MANAGEMENT DEVELOPMENT TECHNIQUES

Job Rotation: To widen the manager’s perspective about organization

Serving on Committees: To observe interpersonal working of experienced


executives

Executive Committee: It serves as junior board for investigating problems,


preparing reports and proposals

Outside Experience:
Experience It includes Workshops, Seminars and Conferences for
enchaining skills and capabilities of the managers.

PSYCHOLOGICAL TESTS & ASSESSMENTS

According to DE of HRM&P, there are no Psychological Tests of the PTCL but


according to his information they are adopting modern techniques so in near future
there will be such tests carried out in the organization.
In case of assessments they are on the skills, behavior, performance and expertise
of a person. After every 6 months and 1-year they carry out Performance checks and
publish annual performance reports.

ANALYSIS OF HR-PRACTICES AT PTCL

HRM PLANNING & WORKING


HRM planning and Working has a focus on following challenges as well as
opportunities.
HR STRATEGIES
♦ Customer oriented approach to retain customer’s loyalty
♦ Restructuring: inclusion of new corporate culture
♦ Retention of critical Human Resource
♦ Motivation of employees
♦ Preparation for WTO regime

HRM PLANNING
♦ Conduct job analysis and based on the outcomes of the job analysis, write job
descriptions.
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♦ Organizational restructuring and right sizing
♦ Design and implement a performance management system
♦ Provide current information regarding employees to be used in the decision
making process
♦ Conduct HRM research with the aim of solving problems in the organization
♦ Integrated employee data management (HR MIS)

RECRUITMENT
Fresh recruitment of professional are only being made in areas like.
Technical
Human Resource (HR expert, HR Managers)
Finance & Accounts
Business development & marketing
Information technology (IT Professionals)

RECRUITMENT PROCEDURE
The recruitment procedure of PTCL is as follows:
First position or vacancy is announced in the electronic media and print media
through Internet and newspapers respectively.
Then applications are scrutinized as per specification in the job description and job
specification.
Candidates are being short-listed.
The next step is Test of short-listed candidates.
The next step of the PTCL recruitment process is the interview. They usually conduct
a structured and semi-structured interview for the candidates.
Last but not the least is the verification of the documents.

Recruitment methods
There are basically 2 methods at PTCL frequently carried out when desired these
methods are as follows:
♦ Internal Recruitment
♦ External Recruitment

Internal Recruitment:
In this method the candidates are recruited within the PTCL. It is a search mode in
which the PTCL check out the potential and right and desired person within the
PTCL. In order to get desired candidates they advertise within the organization by
job specification and job description by using Notice Boards.

External recruitment:
In this method PTCL recruit externally from the outside environment. For this
method they use different modes to recruit the people. Few of the methods are as
follows carried out in past as well as currently:
Online Recruitment.
Use of Print Media (Newspapers).

Quota System:

There is a percentage reserved by each quota differentiated on the basis of Gender


and Province.
Punjab 50%
Sindh 20%
N.W.F.P 17%

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Baluchistan 10%
Women 5%
Handicapped 2%
Child Labor Nil

SELECTION:

The process of choosing from a pool of applicants the individual or individuals who
best fit the selection criteria for a given position. PTCL has got very effective and
efficient selection criteria.

SELECTION CRITERIA:

These are the following steps carried out by PTCL in order to meet selection.

Recruitment
(Advertising Job
specification &
Description)

Application
(Online & Forms)

Screening of applications

Test

Interview

Final Decision Making

Joining Letter

Interview Methods:

The interview method depends on the situation and conditions but there are 3 types
of interviews but two of them are and were in focus of PTCL while carrying out
Selection. These three methods are:
♦ Structured Interviews
♦ Unstructured Interviews
♦ Stress Interviews

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But at PTCL there are only 2 types used which are
Structured Interviews are those which are preplanned and predefined in order
to check the skills, abilities, knowledge, behavior, and required potential of the
candidates.
Unstructured Interviews are those which are not predefined and preplanned
but they are based on conditions and possibilities.

Format of Job Description:


Following is the format of Job description given by PTCL:
♦ Purpose of the job
Role and function
♦ Dimensions of job
Annual operating budget of unit
Number of clients served
Number of directly reports
Indirectly reports
♦ Specific accountabilities of the Job
Job responsibility
Achievements
General accountabilities of the Job.
Peripheral accountabilities of job.
♦ Performance standards
How is the performance of this job measured?
Standard constitute.

♦ Job Components
Communication
Initiative
Challenges
Adaptability
Team work
Guide lines
Nature of supervision received
Leadership
Responsibilities

Pay Scales & Opportunities:

At PTCL according to the information gathered by us is as follows:


PTCL employees have good salary as we compare to other Government
Organizations
PTCL employees have less pay if we compare them with other private sector
Employees comparable at same designations and jobs.

Minimum pay at PTCL RS.6000 and above

For 17th Grade and above RS.25000 and above

Rests of the benefits and compensations as well as allowances are as per


government rules.
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Compensation:
It is a system in which an employee is rewarded on the effective and efficient
required performance. PTCL has a very organized and effective compensation
system according to the rules and regulations of Government of Pakistan. They are
offering 30% more pay then other Government Organizations. The rewards, benefits,
allowances that are offered by PTCL for its employees and workers as well as officers
are as follows:

Financial Rewards
Pension 60% to 65% of basic pay
Disability Pension as per Government Rules
Death Benefits Funeral amount + 5-6 month pay
Loan Facility
Car & motorcycle loan loan will be deducted from monthly salary
Provident Fund 8.25% of salary + interest of 15%

NON-Financial Rewards
Maintenance Company provides maintenance of
Employee’s car & motorcycle
Pick & Drop Busses are used for this purpose

Accommodation Own flats for lower staff (1 - 15th grade)


Colonies and Full furnished houses for high rank
officers and Top management (17th–21st Grade Officers).

Leave Policy
It is up to the mark of Government rules and regulations. Leave policy contains:

Holiday 5days a week. Saturday, Sunday is off

Earned Leaves 45 leaves per year

Casual Leaves 20 leaves per year (with Pay)

Maternity Leaves 120 days

Medical benefits

PTCL also give medical benefits to its workers and employees.


PTCL employees have free medical treatment. In all over Pakistan there are 38
dispensaries which are working and providing free treatments to PTCL employees.
This benefit is also for the family members of the PTCL employees.

After retirement too PTCL provide the medical benefits to its former employees.
Employees from grade 1 to 16 are entitled for medical facility up to five years of the
retirement. Employees in grade 17 and above have lifetime entitlement for the
facility.

PERFORMANCE APPRAISAL

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To measure the performance there are few methods and standards and
benchmarks, which an organization have to follow, in the case of PTCL too. Their
main objectives are as follows:
Improvement in Performance
Effectiveness, Efficiency, Productivity, Motivation
Pay and Benefit Adjustments
Training & Development Needs
Career Planning & Development with Personal and Employee Development
Staffing (Recruitment & Selection)
Response and Feedback from

Performance Appraisal Methods


There are many performance appraisal methods but in PTCL they use Rating scale
for performance evaluation.

Rating Scale:
The rating scale method offers a high degree of structure for
appraisals. Each employee trait or characteristic is rated on a bipolar scale that
usually has several points ranging from "poor" to "excellent" (or some similar
arrangement).

The traits assessed on these scales include employee attributes such as


cooperation, communications ability, initiative, punctuality and technical (work
skills) competence. The nature and scope of the traits selected for inclusion is
limited only by the imagination of the scale's designer, or by the organization's need
to know.

Questions and Answers:


Q.1:
What’s your Selection process?
process?

“Ans”

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We use a standard selection process which starts from the job advertisement,
scrutiny of applications, test, interview and joining letter are part of this process.
process.

Q.2:
Is there any training PTCL offer to its employees?

”Ans”

PTCL gives training to its employees after joining the PTCL, so that they know that
what will be their work and perform it accurately. This training is on the job training.

Q.3:
Is there any continues training program in the PTCL?

“Ans”

PTCL normally don’t use the continues training technique. But if there is any
improvement in the technology then PTCL give training to its employees to better
adopt and manage this. It also send the selected one to get the training from foreign
country. The example of DSL and Ufone is there in this regard.

Q.4:
What is the environment of PTCL?

“Ans”

The environment of PTCL is very good. The employees are very co-operative to each
other.

Q.5:
So can we call it a true cooperate culture?

“Ans”

No, but it can be categorized in the cooperate culture with some exceptions.
Answer from the local office:
They don’t really about the term. But what we see there it was a
typical culture which you can see in every Govt. organization of Pakistan. Use of
Punjabi language, chit chat with co-workers in office timing.

Q.6:
What techniques used in the PTCL for the performance
evaluation?
“Ans”

The performance evaluation done in the PTCL on the basis of cooperation,


communications ability, initiative, punctuality and technical (work skills)
competence.

Q.7:
How you motivate your employees?

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“Ans”

PTCL give to its employees a no. of incentives so that they do their work efficiently.
The incentives like pension,
Disability Pension, Death Benefits, Loan Facility
(Car & motorcycle loan), Provident Fund, Maintenance,
Pick & Drop, Accommodation.

Q.8:
Is the discrimination in the facilities and pays of have any adverse
affect on the performance of employees?

“Ans”

He say no it’s not true. So actually he tried to avoid the answer.

Q.9:
The quota system is not a reason to affect your performance
adversely?

“Ans”

No, it’s a rule apply by the Govt. and it is necessary to give all the provinces a share
in the jobs opportunities at PTCL.

Q.10:
Are there any standards which you try to achieve regarding your HR
policies?
“Ans”

As you know now the management of the PTCL is with the Etsallat Group which is an
international group, so our management is trying to bring international standards in
the PTCL.

Q.11:
As per our information there is a problem of overstaffing in the PTCL,
so in these conditions how we can say that PTCL’s employees are efficient.

“Ans”

No, the perception is not true. We have a very efficient workforce.

Conclusion & Recommendations:

After getting all the desired information and critically analyzing the organization I
like to recommend and conclude my thinking and findings in following points.

♦ PTCL is an overstaffed Organization so there will be Restructuring of the


organization or Downsizing.
♦ PTCL should be up to the International standards i.e. 166 lines/employee
(lineman).
♦ Staffing will have to be on Merit and Fair rather than on Personnel links and
unfair means.
♦ The employees at PTCL have lackness in motivation so the organization has to
set challenging tasks and jobs for them to make them active and energetic.

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♦ The compensation system should be equivalent to the other multinational and
international organizations working in Pakistan in the same field and industry.
♦ Along with the domestic Trainers, PTCL will have to hire External Trainers from
France, Germany, China, and Switzerland so that they will able to train their
employees in Pakistan on International standards and with modern Education
and Technology.
♦ There are only 38 dispensaries for 56,000 PTCL employees all over the
Pakistan that is less so they will have to increase the number of Dispensaries
♦ Promotions in PTCL should be on the basis of achievements, skills,
performances, behavior, attributes, rather than on seniority.
♦ After getting training the employees should be on the right place for which
they were trained for.

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Appendices

Sites Visited

http://www.ptcl.com.pk

http://www.pakboi.gov.pk/html/PTCL_restructuring.html

http://www.telecomfoundation.com/files/projects.htm

http://www.ptcl.com.pk/download/ptcl_org_chart.pdf

http://www.ptcl.com.pk/w_human_resourses.html

http://www.ptcl.com.pk/news/may 17_tele_challenges.html

http://www.pakistan.gov.pk/moitt/news/current/moit03042004.pdf

http://www.ptcl.com.pk/directors_report_2007.html

http://en.wikipedia.org/wiki/Pakistan_Telecommunication_Company

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