DEPARTMENT OF BUSINESS MANAGEMENT SCIENCES

SUBJECT Human Resource Management

TOPIC OF PROJECT Recruitment

SELECTED COMPANIES 1. Sitara Textile Industries (PVT.) Limited

Faisalabad.

2. Kamal Spinning Mills (PVT) Limited Faisalabad.

SUBMITTED TO Miss. Sana Saleem

SUBMITTED BY Faiza Andleeb 2009-Ag-857

Zainab Ateeq 2009-Ag-1051

DEGREE M.Com 3rd Sec.B

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 TABLE OF CONTENT

NO. DETAIL Page NO.

1 Dedication 3
2 Acknowledgement 3
3 Objectives Of Studying The Organization 4
4 Sitara Group Of Industries 4
5 Introduction & Addresses 5
6 Sitara Brand 5
7 Business Volume 6
8 Profile Of Employees 7
9 Profile Of Employees Processing Employees 8
10 Practices & Principles Sources 8
11 Methods Of Recruitment 9
12 Cost Of Recruitment 9
13 Time Consumed 9
14 Kamal Group Ltd Fsd. 10
15 Introduction & Addresses 10
16 Vision & Mission 11
17 Company Products & Services 11
18 Departments 12
19 Sales Volume 12
20 Profile Of Employees 12
21 Company Policy Of Recruitment 12
22 Responsibilty 13
23 Man Power Planning Philosophy 13
24 Job Classification 13
25 Sources Of Recruitment 13
26 Cost Of Process 15
27 Response of Advertisement 15
28 Requirements & Procedures 15
29 Factors Affecting Recruitment 15
30 Comparisons & Suggestions 16
31 Conclusion 16
32 Questionnaire 16
33 References 17
34 Visiting Cards 18

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 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”

We would like to thank Almighty Allah who made me able to complete this report by
utilizing my skills and knowledge. We are also thankful for giving us spirit of patience,
consistency and courage during our visits.

We are also grateful to the University of Agriculture Faisalabad, especially management

sciences department that provided us a chance to explore our skills, qualities, abilities and
potentials through visits program. We are also thankful to our teachers for giving us
chance to show the best of our abilities during the period of our visits.

At Sitara Textile Industries limited, we would like to thank Mr. Tariq Mahmood (AMR)
who provided us full opportunity to start and accumulate first hand comprehensive
information’ during our visits. We are also obliged to different persons like Mr. Hammad
Iftikhar Malik who provided ever information we needed during the course of our visits.

Last but not the least, we are also thankful to our intelligent teacher Miss. Sana Saleem
whose management experience and tips regarding recruitment project are always helpful
for us. Without her encouragement and guidance it might not be possible for us to
complete our M.Com so successfully and smoothly.

We are responsible for errors and mistakes presented in the report and a positive and
constructive criticism will always be greeted warmth.

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1. OBJECTIVE OF STUDYING THE ORGANIZATION:

Our objectives of studying these organizations are to know about the following things:

1. What recruitment practices are used in these organizations?

2. What are the principle sources and alternatives of these sources of recruitment?

3. What amount of cost incurred in this process?

4. What recruitment methods are available there which one company is best?

5. Complete overview of all levels of recruitees in these organizations?

WHY WE CHOSE SITARA GROUP OF INDUSTRIES?

The reasons of choosing this group are as,

Wide range of products.

Investment in different sectors like chemicals,fabrics,spinning,energy Ltd.
Modern technology plants imported from italy.
They export 17% in total exports of textile industry of Pakistan.
They also updated their HR department.

SITARA GROUP OF INDUSTRIES

Sitara Group of Industries is one of the renowned industrial groups of the country. This
group started its industrial activity with textile weaving sector in 1956 under leadership
of two brothers, Haji Abdul Ghafoor (Late) and Haji Bashir Ahmed.
Sitara Group by now is in textile cloth finishing and processing, textile spinning, chlor
alkali industries and power plant. Haji Abdul Gafoor (Late) and Haji Bashir Ahmed the
present Chairman of the Group, the two creative and courageous men, latter joined by
second generation, making a blend of experience and modern business knowledge,
managed the business growth and development with assistance of highly qualified team
of professionals. Faith in Almighty Allah and in their own abilities & commitment to the
cause, untiring efforts and leadership qualities of the family, established the group, which
now stands amongst Leading Industrial Groups of the Country, under the Chairmanship
of Haji Bashir Ahmed.

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 major resources to cater,
but devotion and dedication blended with untiring honest efforts soon flourished to bear
the fruits.

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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 “

No. Name No. Name

1. Sitara Textile industries Ltd 7. Sitara Hamza (Pvt.) Ltd.
2. Sitara Chemical Industries Ltd. 8. Yasir Spinning Mills
3. Sitara Spinning Mills Ltd. 9. Sitara Peroxide Ltd.
4. Sitara Energy Ltd. 10. Aziz Fatima Trust Hospital
5. Sitara Fabrics Ltd 11. Ghafoor Bashir Children Hospital
6. Sitara Enterprises (Pvt) Ltd. 12. Aziz Fatima Girls High School

HEAD OFFICE: OTHER OFFICES

6KM Sargodha road Sitara Sales Office, Islamabad
faislabad Pakistan . Sitara Sales Office, Karachi.
Ph# 92-41-747801-4, 785389
Fax# 92-41-785867
URL: www.sitaraTextile.com

DUBAI OFFICE
P.O.Box 4696 New Industrial Area Ajman UAE
Ph# 971-67433205
Fax# 97-67433215
URL: www.sitaraTextile.com

SITARA BRAND

Sitara Textile being a leading Textile unit and Exporter of Pakistan does not only produce
home used items but also has its own brands for men & women seasonal suiting. These
brands are available in different range of designs, colors, and styles.
Some of brands of Sitara are enlisted below:
No. Women's Range No. Men's Range:
Cotton/Linen/Cambric 100% Cotton
1. Sitara Sapna Lawn 1. Sitara Mughal-e-Azam Latha

2. Sitara Supreme Lawn 2. Sitara Universal Latha

3. Mughal-e-Azam Summer Collection 3. Sitara Swiss Gold Latha

4. Sitara Supreme Linen 4. Sitara Sapna Latha

5. Sapna Linen 5. Sapna Cambric

6. Mughal-e-Azam Winter Collection 6. Sitara Popline

7. KT 2000

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 BUSINESS VOLUME

From 2005 to 2010

Assets employed 2010 2009 2008 2007 2006 2005

(Rupees '000')
Property, Plant and equipment
Investment property
Long Term Investment
advances and deposits
Current assets
Current liabilities
Financed by
Ordinary capital
Reserves
Shareholders' equity
5675577 5137619 4824079 3270894 2818335 1830827
2724588 2705805 1255842 688531 636407 611861
130815 126659 669954 375663 32328 36995
1779477 2143328 1838853 2049482 1883405 1142525
- - - - - -
2128504 2343211 2319046 2092801 1872650 1203098
8181953 7770200 6269682 4291769 3497825 2419110
204091 204090 204090 185536 185536 185536
3156262 2757899 2221939 1736681 1472356 1287644
3360353 2961989 2426029 1922217 1657892 1473180

Surplus on revaluation 944619 1006548 1075358 0 0 0

Long term and deferred
liabilities 3876981 3801663 2768295 2369552 1839933 945930
8181953 7770200 6269682 4291769 3497825 2419110

Operating results 2010 2009 2008 2007 2006 2005

(Rs. '000’')
Sales 5735795 6178399 5479570 4374052 3811890 3942391
Gross profit 1538725 1961755 1555284 1084380 705118 900387
Operating profit 1220073 1601620 1289140 864763 509613 707561
Profit before tax 609962 987894 919300 536916 358222 487637
Financial ratios
Gross Profit % 26.83 31.75 28.38 24.79 18.5 22.84
Operating Profit % 21.27 25.92 23.53 19.77 13.37 17.95
Profit before tax % 10.63 15.99 16.78 12.28 9.4 12.37
Earnings per share
Basic (Rs) 22.67 30.89 30.49 18.28 14.36 15.93
Book value per
share - (Rs.) 164.65 145.13 118.87 98.97 89.36 79.4
Market value per
share - (Rs) 134.93 156 252 159 114 114
Cash Dividend Per
Share - (Rs.) 2.5 7.5 7.5 5.5 6 7
Inventory turn

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As shown above the assets of the sitara textile Ltd are increasing but there is an
decreasing trend in operating profit margin due to increase in selling and administrative
expenses. This increase show due to new recruitment in HR department and its
establishment and also increase in number of employees in production and head office.

Profile of Employees

The success of an organization is dependent on what type of management an organization

is dependent on, what type of management an organization has. Sitara Textile industry is
a well-reputed organization. They have very effective and efficient management. There
are five major departments and over 2000employees working including top and middle
level.

Type Of Employee Number Of Employees

Top Level Staff 400
Middle Level Staff 600
Low Level Staff 1000

DEPARTMENTS

No. Name No. Name

1. Administration 4. Export
2. Processing 5. Marketing (local)
3. Finance

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.

Top Level Hierarchy

1. Chief Executive Officer

2. Director Finance

3. Director Export

4. Director Processing

5. GM Adminstrative

6. GM Local Marketing.

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PROFILE OF PROCESSING EMPLOYEES

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 Printing Department

Bleaching Department
Dyeing Department
Engraving Department
Printing Department
Finishing department
Packing Department
Laboratory
Engineering Staff

PRACTICES & PRINCIPLE SOURCES

They company use external sources only for recruitment. They dislike any referrals from
employee or any other person inside or outside the organization. Advertisement is done
by the company through leading newspapers i.e. Dawn, Jang. Advertisement is the major
source however some time candidates approach (walk in).

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METHODS OF RECRUITMENT

Sitara Textile Ltd.uses following methods of recruitment and these are same for all levels
from a worker to a general manager.

Online job applications (web based)

Advertisements/banners/notices
Tests
Panel interviews

ONLINE JOB APPLICATIONS (WEB BASED)

They applications can also be submit on company website and some time they used other
websites by advertisement.

ADVERTISEMENTS/BANNERS/NOTICES

Attractive banners on road side and busy area for job opportunities are used . There is
always a quick response by this way due to heavy ratio of unemployment in our country
and good reputation of company. Sometimes notice boards of big universities are also
utilized.

TESTS

Tests sessions are also conducted to check the abilities of recruitees.

PANEL INTERVIEWS
The persons who pass the test successfully are called by management for a panel
interview. Higher management is present on that specific date of interview.

RECRUITMENT ALTERNATIVES

Not any other recruitment alternative is used except the sources discuss
above.No.temporary and contractual staff is hired.

COST OF RECRUITMENT

Cost is dependent upon the position i.e. for technical position this cost may include the
advertisement expenses, time to short list the candidates, time of interviews,
documentation cost etc.Higher cost incurs for high level job.

TIME CONSUMED
Labour interviews are conducted twice a week, however for specific positions interviews
are planned keeping in view the plant requirements.

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 WHY WE CHOSE KAMAL GROUP LTD.FSD

The reasons of choosing this group are as,

A four brothers group and they are still worked in a group.
They are fully geared for innovation and product developments, manufacturing
and quality assurance.
Various certifications for the quality of their products as well as several other
international certifications.
80% of their exports deal with international brand like Adidas, Puma, Fila, Jessey
penny etc.
Highly qualified persons in hr department and strong system.
Modern technology used which was imported from German & Italy.

Kamal Group Ltd Faisalabad

Kamal group was started as a small industry by Mr.Kamal Yousaf in 1950’s but now his
four sons are running the whole group include Spinning, Hosiery, Fabrics, polyester
processing etc. Kamal Group has been in the textile industry for over half a century and
has earned its name, value and credibility through the hard-work, efforts, and strong
commitment towards quality products for each and every one of our clients. The ‘Kamal’
brand has now become a symbol of quality and trust.

As they face the challenge of continuing to serve their customers in the textile industry,
as that industry changes and evolves, and as they ourselves change to better serve all of
their customers across the World, They would like to focus on what does not change:
their commitment to service and quality, their leadership of the markets in which they
participate, and the results: the satisfaction of their customers, their success, their growth.

INTRODUCTION.

Kamal has been the name of one of the most innovative textile producers for over fifty
years now. Kamal Spinning Mill's first spindle of yarn in 1954 set the ball rolling for
dynamic development culminating in the inception of a total independent and vertical
textile unit in the late 20th century. Today Kamal Group is one of the leading producers
of textiles. Our technical perfection, quality standards and innovative impact are unique.
Kamal has today become one of the leading symbol of quality.

Kamal Group is situated in the famous city of Faislabad which is known as the hub of
textile industry in Asia. Tracing its roots back to just a spinning mill in early 1950's,
Kamal with the passage of time has evolved into a complete modern textile solution
equipped with the latest machinery and equipment offering its client over half a century
of excellence.

Kamal Textile Industries gave birth to the following units and become a

“KAMAL GROUP OF INDUSTRIES “

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No. NAME No. NAME

1. Kamal Spinning Mills 6. Kamal Trading

2. Kamal Fabrics 7. Kamal Marketing Karachi
3. Kamal Polyester Industries 8. Kamal USA
4. Kamal Processing 9. Sleep well Inc.
5. Kamal Socks Manufacturing

HEAD OFFICE USA OFFICE

Kamal Spinning Mills 1123 Broadway, Suite 208
4 KM Jaranwala Road Khurrianwala New York, NY 10010
Faisalabad. Tel: (212) 499-9500 NY, (203) 388-1840 CT
Tel: (+92-41) 4363852-3 Fax: (212) 929-5983 NY,(203) 978-1776 CT
Fax: (+92-41) 4363854 lcasali@ehrlichgress.com
info@ksm.com.pk

VISION
Become the leader in textile industry around the world.
be a world-class organization - one that becomes a benchmark for other
organizations, its source for new ideas, information, professional development
and quality standards.
Become a company that impresses its customers the first time.
attain highest level of business efficiency with integrity and honesty
Provide best quality at best prices to every client.
Contribute towards the growth and stability of Pakistan.

MISSION
Give our customers a competitive advantage through superior and high-quality
products and services at best prices.
Meet and exceed our customers' expectations of service through timely
communications and quality information.
Achieve tangible benefits by promoting efficiencies, productivity and
professionalism.
Provide competitive prices and genuine products to our clients.
Create a climate for voluntary compliance by providing guidance and building
mutual trust.
To promote international textile trade.

COMPANY PRODUCTS & SERVICES

They main products of KAMAL Group of Industries are,Services:

Footwear Products & Services:
Socks Manufacturers & Exporters
Textile Products;
Cotton Fabrics, Grey Fabrics & Cloths, Knitting, Knitted Garments.

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 Others;
Bed In A Bag, Comforters Sets, Curtains & Treatments, Duvet Covers, Quilts &
Bed Spreads, Sheet Sets, Sofa Linens, Embroidery, Table Covers, Kitchen Linen.

DEPARTMENTS

No. Name No. Name

1. Administration 5. Export
2. Processing 6. Human Resource
3. Finance 7. Marketing (International)
4. Knitting

SALES VOLUME

We got sale figures of Kamal just to review their volume for last 3 months which are as
under.
Sr No Months Sale In Rupees
1 October 510,000,000
2 November 503,625,000
3 December 493,425,000

PROFILE OF EMPLOYEES

The employees working at Kamal Textile Faisalabad are approximately equal to 1850.
These all people are highly qualified, efficient, hard working and honest and are
responsible for the rapidly growth of the company. The division of these employees is as
89% of males and 11% females.

Type Of Employee Number Of Employees

Top Level Staff 358
Middle Level Staff 570
Low Level Staff 922

COMPANY POLICY OF RECRUITMENT

The Manpower Planning & Employment Policies and Practices of Kamal Textile
Mills are to recruit and to hire employees keeping in view the mandatory conditions
laid down in Labor Laws of the country and on the basis of merit, ability,
competence, experience and satisfactory character and employment references
without regard to race, color, religion, sex, age, sect, physical or mental handicap and
treat them equally with respect to compensation and opportunities for advancement,
including upgrading, promotion, transfer & human right.

Candidates must have reached the anniversary of their eighteenth birthday. Those not
having attained the age of 18 will not be eligible.

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RESPONSIBILITY
DGM Services under the direction of CEO is responsible for the execution of this policy.

MANPOWER PLANNING PHILOSOPHY

Company exports its products to foreign countries.

According to production Capacity Company cater orders for on time delivery. Therefore
all manpower planning is done keeping in view the gap (time period) between the end of
the current and commencement of the next order as well as the knitting & sewing
operation, invariably vary from order to order, which can be produced during delivery
cycle time (mostly 60 days).

JOB CLASSIFICATIONS
Management & Staff Employees – Salaried position
Supervisors – Salaried position
Workmen – Permanent employment basis as described under the labor laws –
Salaried position
Contract Workmen – Salaried position (if required)
They hire contractual labour for specific period of time when its exports are at boom. The
company also pay salaries to contractual staff similar to other permanent labour.Thier is
rare chances of daily wages paid labour.

SOURCES OF RECRUITMENT
Kamal Mills uses both sources of recruitment,
Internal Sources.
External Sources.

INTERNAL SOURCES
They use internal sources like employee referrals for labour but not for high and middle
level staff. They also give chances of promotion to talented employees.This reduce the
need of recruitment.

EXTERNAL SOURCES.
Kamal Mills PVT Ltd.mostly use following external sources as given below,
References by government officials and acquaintances of employees
Advertisements
Head Hunting
Walk-In candidates

REFERENCES BY GOVERNMENT OFFICIALS AND ACQUAINTANCES OF

EMPLOYEES
Company uses references from Govt. officials in case of top level recruitment because
it’s a risky task .All secrets and policies etc of an organization are related to this level so
they can not hire directly people by advertisement, employee referrals without guarantee
of an responsible and well known person.

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ADVERTISEMENTS
Rozee.pk and some other websites are used for advertisement for middle and low level
management.They also local newspaper for this purpose.

HEAD HUNTING
Company also target the required person setting in criteria already set by the higher
management which is called head hunting process.Head hunting refers to the approach of
finding and attracting the best experienced person with the required skill set. It is also a
recruitment process involves convincing the person to join your organization.The person
may be a technical worker of any other firm or an talented accountant.

Headhunting Process

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WALK-IN CANDIDATES
Kamal is also acting on procedure of Walk-in Candidates as there is a free hand to walk-
in for an interview upon an advertisement from Kamal for any specific job.

COST OF PROCESS
Nowadays Kamal Mills uses a less costly package offered by rozee pk.com.The cost of
this advertisement is only Rs.5000 and its expiry date is
3 months. In this time period they can give 5 adds at this websume.

RESPONSE OF ADVERTISEMENT
With in 2 hours of advertisement there are approximately 1000 applications submit
through this website.

REQUIREMENTS & PROCEDURE

I. An application form has to be filled by the candidate applying for salaried
positions.

II. Copies of testimonials along with proof of age i.e. NIC or school leaving
certificate.

III. Before taking on the job Medical Certificate is obtained about fitness of the
candidate from the nearby Social Security Doctor.

IV. Upon compliance of the above, applicant should be interviewed by the concerned
department head and based on his recommendation an appointment letter be
issued to salaried employees stating all terms and conditions of employment with
the company.

V. Appointment letter has to be acknowledged by the employee so as to have his

consent on the terms and conditions of employment.

VI. An updated Personnel Files of all company employees has to be maintained

with copies of testimonials and proof of age.

FACTORS AFFECTING RECRUITMENT

At the time of recruitment following factors affect the companies,

Strong Competition
Availability of technical manpower
Economic conditions

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STRONG COMPETITION

As we know Faisalabad is a city of textile industries so at the time of recruitment every

company try to hire and select best people but its impossible for everyone. So, there is a
big competition for salaries packages and every management have to consider it.

AVAILABILITY OF TECHNICAL MANPOWER

There is a lack of availability of technical staff and its also very difficult to search and
hire the best person while on low level or an high level.

ECONOMIC CONDITIONS

The economic conditions are all over the world are so bad. So its also effect the whole
process.

COMPARISON & SUGGESTION

In our point of view after detail study of both organizations we reached at following
points that should be under taken by both firms.
1. Sitara Textile Ltd.should go for internal sources because its helps to increase
loyalty and motivation of existing employees.
2. Seminars and employment agencies should also be used to find best person.
3. Kamal Ltd.should also go for the interviews sessions in big universities.
4. Unsolicited applications should also be given full interest by both firms because
its reduce cost of recruitment.
5. Sitara Textile should also go for head hunting because it’s a best way to capture
the best person while from any other firm.
6. The old and bad method of taking any decision in private groups by the mill
owners should also be reduced and every department should have all
opportunities to work in a peaceful and lawful way.

CONCLUSION
At the end we want to conclude that although the both firm are well established and well
organized but there should be some improvements necessary to strong the HR
department. But in our finding we find the KAMAL GROUP LIMITED best for the
process of recruitment in this sense because they are using both internal and external
sources. So SITARA GROUP LIMITED should also use both sources then they can find
best or right person AT the right job.

QUESTIONNAIER
These are some questions we enlist below on which we considered and asked from the
relevant person in the organization and also collect data for it.
Q1.What is the nature of the business?
Q2.What are the products of the company?
Q3.What recruitment practices are used in organization?
Q4.What are the principle sources and alternatives of these sources of recruitment?
Q5.Wht amount of cost incurred in this process?
Q6.Wht recruitment Methods are available there?

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Q7.Complete over of all levels of recruitees?
Q8.Time incurred in all this process of recruitment by the company?
Q9.Average no. of employees at high, middle and low level?
Q10.Have they any contractual, temporary or lease employees? If yes then in what sector
they are working?
Q11.Factors affecting recruitment?
Q12.What are the number of department present there?
Q13.What is the business volume of the organization?
Q14.Addresses of main offices of the related organization?
Q15.Contact numbers and websites of related firms?

REFERENCES
At the end we again want to thanks these persons who cooperated us to complete this
report.
M.Abdul Quyyum (Manager Exports Sitara Textile Ltd.Fsd)
Tariq Mehmood Gill (AMR ISO & HRD Sitara Textile Ltd.Fsd )
M.Razzaq (Director Finance Sitara Textile Ltd.Fsd )
M.Iftikhar Malik (Dy.Manager Finance Sitara Textile Ltd.Fsd)
M. Nasrullah ( Sr. Manager Marketing Kamal Ltd Fsd)
Nadeem Ahmad ( Financial Controller Kamal Ltd Fsd)
M.Ashraf ( Manager Export Documentation Kamal Ltd Fsd)
Ehsan-ul-Haq ( Manager IT Kamal Ltd Fsd)

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VISITING CARDS

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