STRATEGIC HUMAN

RESOUCES MANAGEMENT
Final Project

By: Shehzal anwaar. Msc 3rd Fall ‘19

To: Respected Sir Usman Iftekhar

Dev

JANUARY 19, 2019

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Table of Contents
1 Executive Summary .............................................................................................................................. 3
2 Introduction ........................................................................................................................................... 4
3 Company Details (Internal Environment) ............................................................................................. 5
3.1 Strategic Goals & Objectives Of The Organization. ..................................................................... 5
3.2 Workforce Details & Characteristics ............................................................................................ 5
3.2.1 Work Force OfThe Organization .............................................................................. 5
3.2.2 Overview of Human Resource Department .............................................................. 6
3.2.3 Different Departments Of The Firm ......................................................................... 6
3.2.4 Organizational Chart ................................................................................................. 8
4 Performance Management: ................................................................................................................... 9
4.1 OverviewOf The Function: ........................................................................................................... 9
4.2 Performance Management Methods: ............................................................................................ 9
4.2.1 Project-Based Evaluation .......................................................................................... 9
4.2.2 Management by Objectives(MBO): ........................................................................ 11
4.3 Performance Appraisal And Rewards ......................................................................................... 11
4.4 Interpersonal Conflicts and Issues: ............................................................................................. 11
4.5 Rewards AndMotivational Drive: ............................................................................................... 12
4.6 Poor Performance Management: ................................................................................................. 13
5 Gap Analysis: ...................................................................................................................................... 13
6 Recommendations: .............................................................................................................................. 13
7 Bibliography ....................................................................................................................................... 14
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Acknowledgement

I would like to pay regards to Mr. Usman Iftekhar Dev (HR Trainer and
OD Consultant) for helping me in the project and providing me
information which was required for project.
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1 Executive Summary

Human Resource Department is the backbone of an organization. Business theories

have revolutionized over past years and employees are now considered the most

valuable asset of a company.

This report has been prepared to analyze the function of HRD of TkXel. Theoretical

frameworks have been applied to evaluate the company’s strategy in terms of HR.

Particular focus has been placed on the function of HR- Performance Management.

The report is a result of team research, case study analysis, an office visit, interviews

and insights from TkXel’s existing employees, application of theoretical concepts,

models and prior experience.

The study evaluates how TkXel has been able to position itself as a leader in its market

segment and analyze the strengths and weakness in the company’s existing strategy.

Upon dissecting various aspects of the company’s processes, it provides an

appreciation of the company’s efforts to continuously evolve in the changing market

conditions by incorporating new product design and being innovative to stay at par

with its competition.

Finally, upon identifying the areas of improvement in the company’s existing strategy,

the report proposes changes and recommendations that can be incorporated in order to

further ensure efficiency and effectiveness of employees.

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2 Introduction

Based in the software development hub (IT Industry)

of Lahore in Pakistan, TkXel is an entrepreneurial

company founded by four enthusiastic entrepreneurs in

2008. The company kicked off through the Incubator

Centre by LUMS. The foundation for TkXel's growth

is the ability to work with customers to develop quality solutions on fast track using

innovative ideas, strong creative concepts and professional management services.

TkXel is firmly positioned as one of the region's leading technical consultancies. In

addition to their extensive product development they provide talented engineering

resources to form dedicated virtual teams on a global basis. This engagement model

allows partners and clients to materialize their Enterprise (CRM, ERPs etc.), Web 2.0

and Mobile product ambitions without compromising on quality and control.

TkXel is a group of companies comprising of two other ventures along with the

software house that is a mobile gaming company OT Ventures and Incubation Service

Provider. (TkXel)1

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Company’s official website. https://www.tkxel.com/company/
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3 Company Details (Internal Environment)

3.1 Strategic Goals & Objectives of the Organization.

Goal of the company is; “At TkXel, we put people and technology at the forefront of

our business.With a client base stretching three continents from Silicon Valley to East

Asia our consistent aim is to achieve nothing less than customer delight.”

3.2 Workforce Details & Characteristics

TkXel has an experience of 15 years acquiring skills and expertise by designing,

developing and deploying the smartest solutions for the world’s leading companies.

The company works with a workforce of 180+ engineers. The company also holds the

title of the ‘Fastest Growing IT Company in the Region’ and considered ‘Best IT

Consulting Company’ for providing exceptional services.

3.2.1 Work Force OfThe Organization

i. Skilled vs. Unskilled

The company acquires only competence based skilled personnel. Employees need to be

forwarding thinking engineers who are experts at the latest programming languages

and practices.

ii. Male vs. Female

TkXel provides EEO for people. No discrimination has been observed during R&S

process. They have 10 percent of female employees in their workforce.

iii. Managerial vs. non managerial staff.

The company has the following managerial positions in hierarchy:

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 CEO

 Director Departments

 Managers

 Team Leaders/ PSE (Principal Software Engineer)

Team leaders, being the lowest managerial level, supervise teams of junior or entry

level Software Engineers.

iv. Workforce characteristics

The average age of the company’s workforce lies among 24-50. The current turnover

rate of TkXel is about 10 percent.

3.2.2 Overview of Human Resource Department

‘Developing Performance Based Culture”

Given above is tagline of TkXel’s Human Resource Department. As it suggests, the

company’s SHRM tends to develop the HPWS by focusing on employees’

performances. HRD strives to recruit the right resource and then shifting their focus on

the development of their personnel to their best hence turning them into a valuable

asset of the company.

HR works on the modern concept of Business Partnering. As discussed earlier, TkXel

runs three different ventures parallel. The company has a centralized HR department

which is responsible for all the workforce of three. They follow the principal of 1 HR

personnel over 50-75 employees.

3.2.3 Different Departments Of The Firm

TkXel has the following departments:

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Core department

 Engineering Department

Other functional departments

 Human Resource Department

 Sales & Business Development

 Finance

 Administration
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3.2.4 Organizational Chart

CEO

FINANCE/ HUMAN
ENGINEERING SALES ADMINISTRATION
ACCOUNTS RESOURCE

DIRECTOR FINANCE ASSISTANT TECHNOLOGY

ADMIN MANAGER
ENGINEERING MANAGER MANAGER HR CONSULTANT

JUNIOR
DIRECTOR ACCOUNTS
HR EXECUTIVE TECHNOLOGY
TECHNOLOGY EXECUTIVE
CONSULTANT

MANAGER
MANAGER ACCOUNTS
HR GENERALIST BUSINESS
ENGINEERING OFFICER
DEVELOPMENT

PRINCIPAL SALES
SOFTWARE DEVELOPMENT
ENGINEER CONSULTANT

SENIOR
SOFTWARE
ENGINEER

SOFTWARE
ENGINEER
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4 Performance Management:

4.1 Overview Of the Function:

The function of TkXel-HRthat was selected to critically evaluate is the ‘Performance

Management’.As per company’s nature of business, i.e. customer oriented; customer

satisfaction, growth and retention is the focal point around which the company’s

strategic decision making evolves. The product/service specification varies from client

to client which means that each project needs an individual’s complete attention. In

such companies, it becomes challenging for the company to keep their workers

motivated and dedicated.

TkXel believes in developing a performance based culture. Employees’ performance is

closely observed and evaluated. Hard working employees get acknowledged and

appraised by the management which motivates other employees to give their best.

4.2 Performance Management Methods:

TkXelfollows Strategic Focus and Quality approach for Performance Management.

Two different types of methodsare used for both categories of departments i.e. Core

and Functional departments.

4.2.1 Project-Based Evaluation

The Engineering Department evaluates project based performance of employees. They

use project management tools like JIRA and ASANA. These tools aid the team leader

in carrying out all sorts of activities that a project needs, including team members’

performance assessment. Each member of the team is assigned a task and the project

management tools help in keeping track of each member’s task completion. The
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assessment report can be retrieved anytime daily or weekly or through any period of

time through the tools.

Besides the internal evaluation, an important role is played by the customers whose

feedback has a great impact on an individual’s assessment.

Standards or KPIs for Evaluation:

Since the performance evaluation’s been done based on project completion, KPIs

couldn’t be defined neither generally nor specifically. Each project is different from the

other. Each project defines its excellence differently. Therefore, when evaluating

workers based on projects, they are assessed on certain competencies which are already

defined by the management like:

 Communication levels

 Technical skills

 Time management

 Task management

 Deliverability

 Quality standard

For instance, the competency of communication level for Junior Software Engineer is

defined as his ability to reply to emails in a professional way whereas that of Principal

Software requires being able to communicate directly with a client. A Team Leader

must also know management of project documentation.

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4.2.2 Management by Objectives(MBO):

Functional departments of TkXel such as HRD, Finance, Sales etc uses MBO for

Performance Management. All departments have their goals set by their Directors

which are to be achieved within some specific time period. KPIs are defined for each

job. Workers are then assessed by allotted weightages by their managers e.g. one of the

KPIs’ for an HR manager includes filling the position in 45 days of its opening. The

KPI carries a weightage of 90-95%.

4.3 Performance Appraisal and Rewards

At the end of the year, all the performance management reports of employees, either

project-based or MBO, are calculated for Performance Appraisal. HRD uses a 360

degree feedback system. First, employees fill a feedback form for themselves rating

their job performance. Then HRD gets a feedback from team leaders, managers and

directors etc for their subordinates.

If HRD faces a difference of opinion between an employee and his subordinate, they

arrange a meeting where the issue is resolved in the presence of HR personnel. At the

end, the HR adds the final feedback which they get from the meeting.

Besides the annual appraisals and bonuses, they have employee excellency awards as

well. For instance, if a PSE completes eight or more years with the company, he would

be rewarded a car by the company.

4.4 Interpersonal Conflicts and Issues:

In case of conflicts between employees, the approach to resolve it varies from case to

case although as per resource, the company didn’t witness such incident in past. HRD
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tries to settle the conflicts with communication. If it doesn’t work, then alternative

approaches are adapted.

One of their effective approaches for appraisal issues isthe Improvement Plan. If an

employee claims the Performance Management to be wrongly calculated, he would be

given a chance to prove it. The employee would be given a time period of about 30-45

days with an objective to achieve. If achieved, his performance management would be

reconsidered.

4.5 Rewards and Motivational Drive:

When it comes to the motivation of employees, it is a challenge for a company to keep

their workforce motivated and dedicated. As per HRD’s slogan, TkXel holds a strong

performance-based culture. TkXel works on developing a culture that provide

maximum opportunities to its employees to learn and develop more skills and gain

more experiences throughout their career. Company holds a democratic leadership

style where employees are open to suggestions and opinions on each level. CEO is

approachable by the lowest level employees as well which helps in boosting their self-

confidence and morale. They feel welcomed and respected. At the end of the year, an

appreciation session is held by the CEO to reward and appraise the start employees of

the company. Moreover, a thanksgiving party is thrown by the employees who gets

increment on their salaries. This two-way engagement of employees helps to improve

employee relationship and to motivate employees to give their best for the upcoming

period.
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4.6 Poor Performance Management:

According to the extracted information from the performance reports, if the

performance had been poor of employees/s, a ‘Development Plan’ is constructed by

HRD. TNA (Training Need Analysis) is conducted to identify the gaps.

5 Gap Analysis:

By analyzing performance management function, it could be stated as a ‘well defined’

system. But every strength has a weakness too. The gaps identified by our group are

the Retention of Employees. Company faces a critical problem in retaining their

employees. Although they claim to have a well-defined and well-structured

performance management system yet facing a high turnover rate. The reason we could

think of was the extra work burden. We were told by Asst. Manager HR that knowing

that company is in the phase of growth, they need employees who are willing to go an

extra mile to get the work done.

6 Recommendations:

 We recommend the company to reconsider their payment scales that whether it

justifies the hard work of employees?!

 TkXel should take care of their employees’ basic needs e.g. working extra hours

unbalances their personal and professional life, therefore either they should raise

their wages or increase the workforce.

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 They could provide them other benefits to keep them dedicated like occasional

trips which could be outbound trainings to eject them from work environment.

Occasional allowances like EID allowance etc. could be paid.

7 Bibliography
TkXel. (n.d.). TkXel. Retrieved from https://www.tkxel.com/