By

Azeem Asghar, Shaheer Ahmad Zafar, Saqlain, Faizan

To
FACULTY OF Deparment Of ELECTRICAL ENGINEERING

NFC
INSTITUTE OF ENGINEERING AND FERTILIZER RESEARCH
Faisalabad, Pakistan
Feb 2022
 Dedication
I am dedicating this project to all people who have meant and continue to mean so much to me. All of my
respected teachers and my family friends and colleagues. Without their patience, understanding, support and
most of all love, the completion of this work would have not been possible.
 Table Of Contents

Sr. Table Of Contents Pg.

- Preface 4
- Acknowledgement 5
RECO Introduction 6
 RECO Historical Background 6
01  RECO Vision 7
 RECO Mission 7
 RECO Logo 7
02 RECO Services 7
03 RECO Working Policy 8
04 RECO Project Cycle 8
05 RECO Training and Development 9
 Training Significance 9
 Development Significance 9
06 RECO Management 9
07 RECO Training Plans Objectives 10
 RECO Training Plan Assumptions 10
 Risk 10
08 Evaluation of Training Need 11
09 RECO Gap Analysis 11
10 RECO Training Approach 11
11 RECO Blended Training Approach 11
12 RECO Training roles and responsibilities 12
13 RECO Training Infrastructure 12
 Training Facilities 12
 RECO Training Environmental Area 12
14 RECO Training Materials & Curriculum 13
15 RECO Training RoadMap 13
16 RECO Training Curriculum 14
17 RECO Training Evaluation 14
18 RECO Training Tools & Budget 15
 Needed Effort 15
 Financial Resources 15
19 RECO Development Plans Objectives 15
20 Q&A meeting With RECO 16
21 Planning of workforce allows RECO to identify its training requirements 17
22 Assess the implementation program at entry-level RECO 18
 RECO’s Apprenticeships 18
 Graduate programs for RECO 18
Benefits RECO will achieve through training and development 19
 New features and innovations are assumed by flexible, adaptable staff: 19
23  Productivity growth and profits gains: 19
 Commitment of long-term employees: 19
 For future employees, attractive: 19
 Trust, inspiration and happiness at work for employees: 19
24 How RECO measures its training and development effectiveness. 20
25 RECO Swot Analysis For Training and Development 20
RECO Common Size Analysis 21
26  RECO Balance Sheet 21
 RECO Income Statement ( Profit or Loss Statement 22
 RECO Cash Flows Statement 23
RECO Ratio Analysis 24
 RECO Profitability Analysis Ratios 2020 24
27  RECO Liquidity Ratios 2020 25
 RECO Capital Structure Analysis Ratios 2020 25
 RECO Activity Analysis Ratios 2020 25
RECO Feasibility Report 26
 Study on RECO Technological Feasibility of Construction 26
 RECO Any Project Is Based 26
 Study Of RECO Budget 26
28  Study of RECO Environment 26
 Study of RECO Conformity With Laws And Standards 26
 RECO Time limits Respect 26
 RECO Project's Technical Analysis 26
29 RECO SWOT Analysis 27
30 EFE Matrix Of RECO Company 28
31 IFE Matrix Of RECO Company 29
32 RECO CPM 29
33 RECO TWOS Matrix 30
34 QSPM Matrix Of RECO 31
RECO Time Value Of Money 32
 Present Value of RECO’s Money 32
35  RECO Loan Repayment Problem 33
 Growth Rate of Return (RECO Profit Problem) 33
RECO HR Software 34
 SAP Software Key Advantages 34
 SAP Software Solutions 34
 SAP Software Solutions Support In RECO Pre-engineering Activities 35
36  RECO - Customized Industrial Innovation Technologies Needs 35
 SAP Commercial Project Management 36
 Network for SAP Project Intelligence 37
 Management of HR and Involvement of Employees 37
37 Conclusion 38
38 Reference 38
 RIAZ-UD-DIN ENGINEERING (PVT) LTD | (RECO)

 Preface
In the seventh semester of Electrical Engineering Department Spring 2021, this project is a part of this
semester for the benefit of the topic "Organizational Psychology."
"Training and development" is the focus of the task. Our project aims to gain realistic information about
the implementation of training and growth for employees. Thank you and thanks to my esteemed professor
M. Azam Waqar, who advise me on this topic with a great knowledge about the aspects of training and
development.
  Acknowledgement
“To Him belongs the dimension of the Heavens and the Earth, it is He who give Life and Death, And He
has power over all things”
(Al-Qur’an)
ALLAH has the authority and allows us to execute the mission effectively. Anything. First and foremost,
we want to thank ALLAH Almighty for supporting us in every issue during our project. We wish to express
our heartfelt, humble gratitude to ALLAH Almighty, who was the true source of all our accomplishments in
our lives through His blessings and guidance. Our parents are praying for our success. We want to admit
we've completed this mission.
We also express our appreciation of the guidance and continuous supervision of Mr. M. Azam Waqar, as
well as of the provision of information and assistance in relation to the project.

We also want to thank representatives of NFC IEFR (SCHOOL OF BUSINESS

MANAGEMENT) for their kind cooperation and assistance in completing this Project.
1. RECO Introduction
With applications in major market segments, including heavy manufacturing, utilities, high-ranking
structures, warehouses, factories, hangers, steel and heavy structures, RECO provides a world wide range of
PEB goods pre-engineered buildings.

1.1. RECO Historical Background

In 1967, RECO Steel Group started as a commercial steel company. They are known as a major industrial
steel structural producer and reactor on the market. The structure is manufactured according to international
specifications. Steel component importers and manufacturers are made up of sheets and pieces of steel under
the name of RECO Trading Company. As a manufacturer of cold-rolling steel framing sections and profiles,
RECO was founded in 1998. In 2005, RECO was founded as an EPC Design Building Company with a
complete design and engineering facility for the fabrication and construction of metal structures. In Pakistan,
as a leader in the steel construction industry, RECO is continuing to implement new products and ideas in
the development and installation of metal buildings. RECO Steel has effectively become a leader in the
sector without winning its 12th year of operations. They are humbly proud to claim to have successfully
built, manufactured and constructed over 1000 steel buildings in the area. The exceptional force which
characterizes them in the range of manufacturers of pre-made steel construction, stainless steel and stainless
steel structure is their well-ordered prompt following sales services and offers complete solution including
engineering (design, detail, and R&D), production, logistics, installation, etc. RECO is situated in the city of
Lahore and in the suburbs over 25 acres of primary industry. It can manufacture 20,000 tons of precast steel
structures, structures in steel, insulated panels and international cold storage of perineum quality. The slogan
'Quality Comes First' was inspired.
 1.2. RECO Vision
To be the most trustworthy and trusted steel firm. Provide services which are the industry benchmark.

1.3. RECO Mission

Building solutions by the use of our large network of capital. Exceed consumer requirements with creativity,
architecture, flexibility, technology, experience and cost-effective practices.

1.4. RECO Logo

2. RECO Services

(A) Construction pre-engineering

(B) Building of Light Gage Steel
(C) Sandwich Panels Modular
(D) General Steel Building Framework
(E) Method of Racking
3. RECO Working Policy
They work hard to ensure that every employee recognizes the company and product needs of their customers
and improves their customer experience. They are committed to producing a great product at a good price at
Raiz-Ud-Din Engineering (Pvt) Ltd. Above all, they aspire to be polite and open to clients so that they want
to do business with them. RECO senior managers engage directly in key confidence programs and establish
long-term ties.
RECO building systems is led not only by products and services of high quality but by creativity in customer
service because Customer centricity has been their guideline. By still upholding their core values, they will
achieve their vision of becoming the world's most profitable and recognized pre-engineering stainless steel
building company

4. RECO Project Cycle

5. RECO Training and Development
RECO know that employee are the assets of company or organization, For RECO to use the assets, RECO
needs to provide its employees with training and growth. Their employees are the assets of the business or
organization. RECO also recognizes that workers need expertise for the current tasks in an organization so
that new employees can be educated as the advancement of their current and exciting employees improves
their skills and knowledge.

5.1. Training Significance

It is necessary to train the employees to minimize or fill the gap that the organization cannot achieve its
objective. In essence, the training phase involves multiple steps, and after the process it is important to
determine or conform the training program to the desired objectives.

5.2. Development Significance

The key reason behind the development is to boost employees' know-how and it is important to improve
their ability. The transition takes the form of technical policies and government legislation, which are the
key reason for employee growth. As a result of the Company's assets, i.e. the workers become powerful and
can compete with their rivals easily, it spends much money in growth and training. Long-term development
is planned to train workers for potential job demand.

6. RECO Management
This document is intended for use by:
 Manager of the project (Project Manager)
 Management Team for Transition (Change Management Team)
 Personnel manager with an employee record (HR manager)
 Staff (Employees)
7. RECO Training Plans Objectives
This training curriculum is designed to accomplish objectives:
 Make sure all the affected workers are prepared to prepare for new work practices is done.
 Learn how the new system will be worked
 Details about the work up to date.

7.1. RECO Training Plan Assumptions

The following assumptions apply to the Training Plan:
 This training plan is focused on the criteria for training that are collected in RECO through meetings
and workshops.
 The use for training materials of on-site and/or remote tools is considered

7.2. Risk
Training for the project may be subject to the following risk:
 Final workers are looking for more than necessary/feasible training
 Project changes occur as training is created and delivered.
8. Evaluation of Training Need
Using a training needs evaluation tool to classify end-user groups to establish effective training activities.

9. RECO Gap Analysis

RECO analyze and recognize the gaps that an employee-centered system needs to provide employee fast
access to job information in order to find a way to minimize the disruption of work. Since the RECO finance
department has been put so heavy on more manual work, this oracle device greatly reduces the burden

Gap Analysis
Company HR criteria Gap - has the The Solutions/strategies to
Objectives to meet department consequence deal with the Gap
company what it wants that the Gap
Objectives to fulfill is not
departmental addressed
objectives
Join the Energy Engineers NO Project not put  Explore bourses,
Plan specializing in into effect internships, etc. to
construction inspire departmental
industry engineers
preparation and High adverse  Building ties with MUN
experience effect on and others
industrial growth  Enhance the working
climate
 Organization, company
procedures and job
details reorganize and/or
overhaul
 Implement
comprehensive
curriculum of talent
management

10. RECO Training Approach

RECO methods of training chosen based on the available choices that are recommended for project use.

11. RECO Blended Training Approach

A mixture of training approaches would better meet the requirements of our project to help maintain
learning. This includes: preparation, work assistance and e-learning for the instructor-led.
12. RECO Training roles and responsibilities
Role Profile Skills/ Reviews
Leading Training  Head of training and management One training led by the
program, including development of project team should be
training materials and delivery of training suggested and one external.
 Creation of training plans

13. RECO Training Infrastructure

13.1. Training Facilities
Below is a list of arrangements for training sessions in the equipment and facilities required:
 A trainer (An instructor)
 Each employees has their equipment (for hands-on systems training)

13.2. RECO Training Environmental Areas

The section below explains the various training environments:
 RECO Environmental Training Production/ Development
This setting is primarily used for the project team to build training materials
 RECO Training Production Environment
Will be used to deliver Instructor-Led Classroom Training
 RECO Training Practice Environment
Will be used in the current system by end users; simultaneously with electronic learning
14. RECO Training Materials & Curriculum
RECO Training Materials
To summarize main training materials and their planned implementations, use the following table.

Material Description Developer Reviewer Final

Decision
Manuals / slides of Guides and slides of the Abc xyz abc
the instructor / instructor:
Instructor guideline  Strengthen or add a
lecture or demonstration
 Present new definitions,
requirements and
procedures
Quick Guides of Guides for rapid reference: Xyz abc xyz
Reference  Act as a work support to
help users when they go
home
 Recall main features,
choices and working
methods of the new
project X

15. RECO Training Roadmap

The core training program tasks include a preliminary training program. As the project progresses and more
information is available, the training schedule will evolve. Evaluation of the training requirements,
curriculum and content development tracker will play a crucial role in the development of the
comprehensive training schedule.
Training Roadmap

Activities Description Responsible Date of goal

Plan for Training Establish a curriculum for Leading Training Jan, 2020
high level training
Materials in preparation / Curriculum Architecture Chief / Developer of Apr, 2020
Materials for training Training
16. RECO Training Curriculum
The curriculum specifies the courses which are being created and delivered, including the relevant learning
goals, procurement choices, implementation methods and course owners. Use the following table to prepare
your curriculum and to administer it.
Curriculum of Training
Code of Name of ID of Name Objectives Source Duration Method Develop Owner
Curricul the module of for learning / Buy / of time of supply er of the
um program module Build (hrs.) Courses course
R1 Process M1 Fill out Learn to Build 3 Electroni Mr. yz ayz
Planning new add c/e
account suppliers to learning
s accounts
R2 H2H M3 Dealin Phase / Source 5 OJT Mr. ab xab
g with Dealing
custom
ers
R3 Process M2 Installa Learn how Build 2 ILT Mr. xy axy
Planning tion of to create
account and
navigate
new
accounts

17. RECO Training Evaluation

Knowledge will be derived from the following fields when assessing the efficacy of training delivery:
 The results of skill tests conducted by trainees on each module
 Feedback on trust at the end of each module from trainees
 Feedback from trainers on training issues or people with learning disabilities
 Apprentices will be provided with a survey connection to complete an assessment survey to help the
evaluation process. This is used to assess the post-training reactions of workers
18. RECO Training Tools & BUDGET
For each project, this section includes information on training tools and commitment (number of hours).
This will include a review of more financial resources needed for the production and implementation of end-
user training.

18.1. Needed Effort

Needed Effort
Position Role Core Evidence / Headcount Striving / Efforts
Leading Training 2 8*6 = 48
Developer of Instruction 3 8*6 = 48
48 Hrs./Week

18.2. Financial Resources

Financial Resources
Description Plan Budget
Headcount – 5 new training personnel Rs 150,000
User Productivity Packages Training Program Rs 215,000
Licenses
Total = Rs 365,000

19. RECO Development Plans Objectives

Objectives for this Development Plan are :
 Build a constructive and proactive market atmosphere in which applicants for quality as workers,
qualified intellectuals' professors and efficient management make important contributions to the
transference of information and the establishment of knowledge
 Offer excellent, open and affordable learning opportunities, including the latest trends in ELT and
ICT and professional experiences, and prepare them for their effective relations by extreme,
motivated professional and information researchers in personal, professional and special interest
areas
 Foster outstanding, groundbreaking research to detect, disseminate and use information
 Increase market-based specialized courses and resources in the fields of social sciences, mass media,
management studies, international relations and engineering, and IT, along with other disciplines
 Cultivate the exercise of the most high moral and ethical and trust and authentic, honesty and
ingenuities, imagination and critical skills as an attitude, conviction, and compassion that is required
in order to exercise civic bravery, take risks, and fight.
 Promoting personal and occupational development, diverse working culture, and supporting an
outstanding working atmosphere in which your faculty and administrative staff feel respected and
fulfilled
 Build an ever wider welcoming community of stakeholders who embrace and maintain constant
innovation and progress
20. Q&A meeting With RECO
To RECO HR Manager for training & development, "Ahsan Wakeel"
 Q.NO.1 : How many number of workers are there?
Ans :There are three core teams and the number of core team members in the project team is between 200
and 220. There is a different number of tasks.
Employees In HO = 61
Employees In Site = 23
Employees In Factory = 130
Total No. Of Employees = 214
 Q.NO.2 : How do you prepare the staff?
Ans : The employee supervisor can track employees' performance after the training can be given by the HR
department or by some external source if there are any discrepancies in the workflow.
For example: If general training for all workers is appropriate, such as communication skills, RECO
conducts a session via the external source.
 Q.NO.3 : What are the workers' problems after training?
Ans : After training, workers often have the key challenge of not applying basically all the information and
knowledge they learn in training.
 Q.NO.4 : How can you get the staff engaged?
Ans : In accordance with respect, value, stimulus and market-driven pay. After 3-5 years each employee has
a cycle, but some employees are happy and remain with them for 10 years in the same business.
 Q.NO.5 : How much does it cost to train and develop?
Ans : If technical training is offered then the cost is certainly increased, depending totally on the type of
training provided to the employees.
 Q.NO.6 : What are the employees' original issues while teaching them in the HR department?
Ans: Then, the workers figured he needed no training, but not professional training. HR faces any problem if
the employee is senior and training is linked to professionalism. The business sometimes has a low budget
 Q.NO.7 : What are the factors that cause you to grow (internally/externally) of your staff?
Ans : Change is the main element which must compete with its rivals for the advancement of the employees'
organization.
 Q.NO.8 : How do you measure a person's performance of employee?
Ans : Work-related behavioral expectations are set in a way that HR assesses whether the desire target is
reached or not after a month. It can also be 360 or only be done by the boss or HR at the end of the year.
21. Planning of workforce allows RECO to identify its training requirements
RECO is one of Pakistan's biggest pre-engineering firms. Further, since their company was focused around
'innovation,' RECO just spent a considerable sum of money in research and growth. Therefore, RECO wants
first-class manpower, know-how and expertise in engineering, IT, industry, and other related fields to
expand their business.
Strategic planning of RECO involves personnel training and a structured mechanism to define the human
resources necessary to accomplish the organizational priorities and to establish plans for achieving those
criteria. Workforce readiness allows a company to predict its possible demands and measure the quantities,
attributes and suppliers of prospective workers that may satisfy the need. This means having the right
number of employees in the right place and at the right time and with the right expertise. In other words.
Planning helps RECO, for example, to inspect the existing number of workers and the expertise it has and to
figure out if it has the requisite skill deficiencies to accomplish its company goal.
Thus, staff planning actually helps RECO to recognize the abilities, potential and opportunity that lie both
future and current, in order to help RECO to conduct training programs. Each planning workforce has a
similar form of model.

 Scan for the Environment: RECO will examine the current setting in which its production strategy is
to be moved to another town or location. For e.g. they are moving their main plant outside the main
town in Lincoln to a bigger location. They would then study the new location's atmosphere and
figure out what kind of skills are required. Each new site provides new opportunities and requires
additional expertise, personnel and technologies at the same time.
 Profile of existing employees: RECO should assess how many money it has to develop its current
profile, for example, what technology and the abilities of its workers.
 View of prospective workers: They then describe their potential employee planning, such as the
technology or the type of preparation their staff can use.
 Goal Future Analysis: If so, evaluate your training needs and then you can set your expected market
targets or potential goals.
 Fix the loopholes: They will reduce and close their holes by introducing successful training plans
after evaluating their training needs.
Training requires analysis to be in two kinds: role analysis and success analysis. RECO will determine the
training needs of its incoming hires and measure the training needs of its existing employees.
As their organization focuses on growth, it needs the continued transition in the current market climate to
foresee and to respond steadily. For starters, because of climate change and rising emphasis on carbon
footprint, RECO's interest now focuses on wind turbines and clean energy sources. For this purpose RECO
needs to recruit more skilled staff to learn new skills which complement wind turbine operations or to
provide training for current employees.
22. Assess the implementation program at entry-level RECO.
RECO has two primary development programs, the 'Entry Level Talent' program. This entry-level talent
refers to recent graduates who will launch their careers after their education with RECO. Two services are
being developed for these emerging talents.
 Graduate programs for RECO
 Apprenticeships

22.1. RECO’s Apprenticeships

Via the combination of classroom teaching and on-the-job experience, individuals become trained
professionals through a standardized mechanism called learning. Operating for school leavers, RECO
provides various forms of vocational training such as design engineering. This apprenticeship scheme,
which is both off-the-jobs and on-the-job, is very successful for RECO.
1. Many employees start off in their hometown so that they can work in a recognized workplace happy.
2. Trained apprentices may be trained in the relevant sector with HND (HIGHER NATIONAL
DIPLOMA). After HND's training. Pakistan's latest concept.
3. Communication and team skills are necessary to ensure stronger workforce for RECO.
4. Employees have experience and a sense of conviction and duty. It provides a sense of faith and
responsibility. Engagement, relationship building, employee satisfaction and commitment.
RECO therefore assumes that training offers a straightforward route for developing workers for the
organization's potential development.

22.2. Graduate programs for RECO

The RECO graduate programs are a separate but related training curriculum for graduates. In three main
industry areas, RECO hires graduates. These include engineering, IT and industry.
1. Any student who joined RECO regarded himself as a human. They will also address the individual
preparation and growth strategy of the graduate with their line manager as they start off. They will
then establish themselves in the related sector by their own choosing. For starters, IT graduates may
do some training on computer programming simulation or design tools.
2. For more qualification, RECO assists graduates. Via training through famous institutions such as
PSTD, their graduate profile can be checked.
3. Diverse preparation forms can be accomplished by graduates. Therefore, in numerous industries they
will receive additional qualifications. Like engineering graduates, you can take an HR course or
Supply Chain Management course to work on numerous projects in RECOs business.
4. In their research, RECO helps its alumni in distance learning, such as the CIPD, to build a pool for
creativity and the best picture for their workers.
23. Benefits RECO will achieve through training and development
They get advantage and benefit from the training and development services of RECO. Improving services
and customer reviews, responding to competition and job satisfaction from other multinationals.
Five advantages RECO can achieve by preparation and development:
23.1. New features and innovations are assumed by flexible, adaptable staff:
RECO is an apprenticeship and growth site. It is a creative location. Since pre-engineering, drive
technology, financial solution, mobility, lighting, consumer goods and construction technologies are the key
sectors of the RECO market. For RECO, thus, a big problem is modern invention and creativity. RECO is
currently working on a broad global scene. Their education and learning will also allow agile and
customized workers to adapt to new circumstances and environments. They will take on a new task by
preparation and new technology inventions
23.2. Productivity growth and profits gains:
The curriculum for training and development improves current workforce efficiency by improved
capabilities and new demographics and conditions. Training and development was less expensive than hiring
new hires. They also gain more money. Educated workers are much more optimistic, energetic and
competent. They can then effectively handle their duties.
23.3. Commitment of long-term employees:
By providing development programs including apprenticeships, RECO guarantees long-term employee
participation. They have RECO workers from their stage of studies who will remain here for a long time for
their own development and future qualifications. This provides a long-term employee loyalty by the
formation of RECO trust, business society and liability.
23.4. For future employees, attractive:
For future employees, RECO training is appealing. Since RECO gives them the ability to learn from
schooling. With RECO, a diplomat is awarded the rank of an engineer by an institution such as PSTD. By
preference or in the related sector, you will enroll in various training programs. Each graduate has the ability
to enroll in a curriculum lasting two years, consisting of nine modules including leadership, client attention,
project management, communication skills and business writing. Consequently, RECO recruits young bright
alumni and ambitious or professional workers.
23.5. Trust, inspiration and happiness at work for employees:
When they take separate planning processes, workers' trust and motivation are improved. Employees feel
they support the business by enhancing development opportunities. The workforce work best in terms of
long term loyalty and market advantages.
24. How RECO measures its training and development effectiveness
Through way of an assessment framework called the performance management mechanism, RECO tests the
efficacy of training and development. Performance management is an integral, goal-oriented approach for
employee performance assignment, training, evaluation and compensation. The approach to training in
performance management means that the training effort must be substantive with respect to what each
employee strives for to help achieve the target of the business. This method starts with a few RECO steps:
1. At the outset of the project, the workers and their head of the line settle on the goals.
2. This means that all teaching is effective and is in the best interest of the organization during the
whole process, formally or informally, supervised targets.
3. Annually, the head of line reviews the effects of success towards the set goal. The team address
suggestions as well whether it is appropriate or not to enforce it. It allows RECO to gain employee
input on improvements.
4. Fresh goals are still set. Another thing is that. For certain situations, tests correlated with paychecks
5. Evaluations correlated with salary reviews in some situations. This allows the employee to be
respected and motivates them to do well or to do their best.
6. When you know the workers of an increasingly developing industry are up to date and engage in a
rapid transition, you will assess the effectiveness of the training and growth program.

25. RECO SWOT Analysis For Training and Development

Strengths
 Save Time
 Save money
 Climate of healthy training
 Independent self-assessment and practice
 Scientific breakthrough stimulus
Opportunities
 Regulation of the market
 Construction industry technical advancements
 Latest technical advance
 Reduce resource waste
 Creation of basic ideas and services
Weaknesses
 Necessary management changes
 Restricting the creative process
 Trainer must be a technology specialist
 Staff have technical expertise and experience
 Adaptation to society
Threats
 Financial high implementation expenditure
 Legal problems
 Cultural outlook group of workers
 Lack of methodology for evaluation
 Present management system fragmentation
  RECO Financial Analysis
26. RECO Common Size Analysis
26.1. RECO Balance Sheet
RIAZ-UD-DIN ENGINEERING (PVT) LTD | (RECO)
Balance Sheet
At December 31, 2019-20
2020 2019

Assets In Rs. % %
Current assets
 Contract assets 2694284 15.84% 2744284 15.152%
 Deposits and short-term prepayments 193574 1.138% 243574 1.345%
 Inventories 1857463 10.92% 1907463 10.532%
 Loans and advances 284993 1.676% 234993 1.297%
 Trade receivables 9263985 54.465% 9163985 50.598%
 Cash 734930 4.321% 1934930 10.683%
Total Current assets 15029229 88.36% 16229229 89.607%

Non-current assets
Fixed assets
1732 0.1% 4232 0.023%
 Intangible assets
395740 2.327% 445740 2.461%
 Equipment, Plant & Property
190 0.001% 5030 0.028%
Long-term deposits and prepayments
689470 4.054% 484470 2.675%
Long-term loans and trade receivables
892783 5.249% 942783 5.205
Deferred tax asset
Total Assets 17009144 100% 18111484 100%
Liabilities And Equity % %
Current liabilities
 Short-term running finance 734930 4.32% 223493 1.234%
 Contract liabilities 2694284 15.84% 2094284 11.563%
 Provisions 689470 4.054% 639470 3.531%
 Taxation – net 284993 1.676% 434993 2.402%
 Trade and other payables 9263985 54.465% 11164985 61.646%
 Unclaimed dividend 33089 0.195% 38690 0.214%
Total Current liabilities 13700751 80.55% 14595915 80.59%
Non-current liabilities
58850 0.346% 149890 0.828%
 Retention Expenses
33089 0.195% 29800 0.165%
 Others Money
13792690 81.09% 14775605 81.581%
Total liabilities
Reserves and Share capital
Reserves
 Revenue 2130127 12.523% 2249522 12.42%
 Capital 892783 5.249% 892783 4.929%
Share Capital 193574 1.138% 193574 1.069%
Total Equity 3216484 18.9% 3335879 18.419%
Total Liabilities And Equity 17009144 100% 18111484 100%
 26.2. RECO Income Statement ( Profit or Loss Statement )
RIAZ-UD-DIN ENGINEERING (PVT) LTD | (RECO)
Income Statement
At December 31, 2019-20
2020 2019 %
Change
In Rs. 1n Rs.
Net services and sales 17368853 9735490 78.4%
 Cost of services and sales (13484429) (15387293) (12.37)%
Gross profit 3884424 4348194 (10.67)%

 General administrative expenses (275986) (210472) 31.17%

 Marketing and selling expenses (694856) (739827) (6.079)%
(970842) (950299) 2.16%

 Other operating expenses (90087) (167450) (46.2)%

 Other income 23944 115957 (79.35)%
 Net other operating expenses (66143) (51493) 28.45%
Operating profit 2847439 3346402 (14.9)%

 Financial expenses (240989) (80828) 198%

 Financial income 6903 39079 (82.34)%
Net finance expense (234086) (41749) 460%
Profit before income tax 2613353 3304653 (92.9)%
 Income tax (509781) (999003) (48.97)%
Net profit for the year 2103572 2305650 (8.76)%
 26.3. RECO Cash Flows Statement
RIAZ-UD-DIN ENGINEERING (PVT) LTD | (RECO)
Cash Flows Statement
At December 31, 2019-20
2020 2019 %
Change
In Rs. In Rs,
Cash flows from operating activities
 Income tax paid (587945) (513840) 14.42%
 Payment to gratuity fund (65348) (50204) 30.16%
 Financial expenses paid (276438) (61389) 356.1%
 Cash generated used in or (From) operations 1909880 (2738409) (30.25)%
Net cash generated used in or (From) operating 980149 (3363842) (70.86)%
activities

Cash flows from investing activities

 Financial income received 1986 32987 (93.98)%
(146997) (229582) (35.97)%
 Capital expenditure incurred
10000 7496 33.40%
 Proceeds from sale of property, plant and
equipment (135011) (189099) (28.60)%
Net cash used in investing activities

Cash flows from financing activities (638900) (623337) 2.497%

 Net cash used in financing activities (638900) (623337) 2.497%
 Dividends paid
Net increase / (decrease) in cash and cash 206238 (4176287) (95.06)%
equivalents
Cash and cash equivalents at beginning of (414998) 369274 12.28%
the year
Cash and cash equivalents at end of the year (208760) (3807004) (94.52)%
27. RECO Ratio Analysis
Table Of RECO Data 2020
Total Liabilities 13792690
Total Assets 17009144
Current Liabilities 13700751
Current Assets 15029229
Net Income 2103572
Inventories 1857463
Beginning Assets 1979915
Average Total Assets 8504572
Ending Assets 15029229
Cost of Goods Sold 13484429
Cash 734930
Sales 17368853
Inventories 1857463
EBIT 16079050
Total Equity 3216484
Interest 1264800

27.1. RECO Profitability Analysis Ratios 2020

RECO Profitability Analysis Ratios 2020
Profit Margin (P.M) Of RECO Return on Investment (R.O.I) Of RECO

P.M = ( Net Profit After Taxes of RECO / Net Sales R.O.I = ( Net Profit After Taxes of RECO / Total
of RECO) Assets of RECO )

= 2103572 / 17368853 = 2103572 / 17009144

= 0.121 = 0.123
Return on Assets (R.O.A) Of RECO Gross Profit Margin (G.P.M) Of RECO

R.O.A of RECO = ( Net Income of RECO / Average G.P.M of RECO = ( Gross Profit of RECO / Sales
Total Assets of RECO ) of RECO )

= 2103572 / 8504572 = 388442 / 17368853

= 0.247 = 0.022
 27.2. RECO Liquidity Ratios 2020
RECO Liquidity Ratios 2020
Quick Ratio Of RECO Current Ratio Of RECO

Q.R of RECO = (Current Assets of RECO – C.R of RECO = (Current Assets of RECO / Current
Inventories of RECO) / Current Liabilities of RECO Liabilities of RECO)

= ( 15029229 - 1857463 ) / 13700751 = 15029229 / 13700751

= 0.961 = 1.097
Working Capital Ratio (W.C.R) Of RECO

W.C.R of RECO = Current Assets of RECO – Current Liabilities of RECO / Total Assets of RECO

= (15029229 - 13700751) / 17009144

= 0.078

27.3. RECO Capital Structure Analysis Ratios 2020

RECO Capital Structure Analysis Ratios 2020
Debt to Equity Ratio (E.R) Of RECO

Debt to E.R of RECO = (Total Liabilities of RECO / Total Equity of RECO )

= 13792690 / 3216484
= 4.288

27.4. RECO Activity Analysis Ratios 2020

RECO Activity Analysis Ratios 2020
Inventory Turnover Ratio (I.T.R) Of RECO Asset Turnover Ratio (A.T.R) Of RECO

I.T.R of RECO = (Cost of Goods Sold of RECO / A.T.R of RECO = (Net Sales of RECO / Total Assets
Inventory of RECO) of RECO)

= 13484429 / 1857463 = 17368853 / 17009144

= 7.259 = 1.021
28. RECO Feasibility Report

28.1. Study on RECO Technological Feasibility of Construction

To investigate the feasibility of your idea, use RECO's experienced technicians in Pakistan in design, civil
engineering or industrial. they are here to help you to make your project a success.
28.2. RECO Any Project Is Based
Whether a building, assembly line or structure, any construction project must begin with a detailed and
careful technical feasibility report. For the remainder of the programmed, all the financial institutions and
public bodies may gain approval in this report.
As a construction consultant in Pakistan, RECO offers the capacity and know-how of our engineers
approved to conduct an evaluation of their project's technological viability. This research, which decides
whether or not this proposal is viable, is split into many steps.

28.2.1. Study Of RECO Budget

The project's budget is evaluated to decide whether:
 The budget is required and is forecast in line with
 The project would help the consumer
 The budget will not be increased.
They will also help you through our Financial Engineering Department to find the appropriate investments.
28.2.2. Study of RECO Environment
The atmosphere in which your project is performed is critical to its success. The limits imposed by the
location, adjacent buildings, access, the atmosphere and land are taken into consideration. Both project-
related elements will be identified and evaluated as part of our analysis.
28.2.3. Study of RECO Conformity With Laws And Standards
It is best to ensure that the building scheme follows the criteria and regulations that are associated with it in
all respects. Their legal experts are willing to ensure that the legislation is dealt with in all respects.
28.2.4. RECO Time limits Respect
The customer and service providers also check compliance with the timelines in order to decide if they are
realistic or if it is appropriate to prolong it.
28.2.5. RECO Project's Technical Analysis
In addition to all other project requirements (budget, environment), their engineers specialized in special
technology and high level engineering evaluate the appropriate technological solutions and whether your
project needs unique materials.
29. RECO SWOT Analysis
RECO SWOT Analysis
RECO Strengths

 Suitability of the executive composition of the organization (attention to younger participants of the
management body of the company).
 The company's strong reputation for its good history, professional consultants and high-quality
customer service.
 Senior management of the complex is scientific, specialized and handling
 Training of workers
 Paid heed to consumer orientation and uphold individual integrity within the group
 Value control system deployment and ISO certification
RECO Weakness

 Lack of skilled staff (particularly in the technological and organizational sectors)

 Excessive interference by administrators in the company's management affairs
 Decrease Specialist workforce development
 The actions and tactics and the forces and vulnerabilities of rivals were not identified and graded.
 The composition and vacancy of a significant number of authorized organizational positions is
inadequate
 Poor performance and obsolescence of current software and services and the impossibility of
connectivity
RECO Opportunities

 Reduced services prices and the introduction of emerging innovations build strategic advantages
 Government policy on political and economic ties with surrounding countries
 Creating the requisite incentives for loss reduction and consumption control
 More young people are working in businesses
 Segment of the broad sector
 The rising trend in building and retaining technological awareness in the country
RECO Threats

 Strong prices to upgrade the new technologies

 Increased national inflammation
 Uncertainty and inability to define total asset distribution
 Unfavorable climate, geography and climate in the region
 Inadequate government macro strategies, and state-owned corporations' viability
 The extreme business climate of the industry
30. EFE Matrix
EFE Matrix Of RECO Company
Opportunities Of RECO Rating Weight Weighted
Score
Reduced services prices and the introduction of emerging 3 0.01 0.03
innovations build strategic advantages
Government policy on political and economic ties with surrounding 4 0.12 0.48
countries
Creating the requisite incentives for loss reduction and consumption 4 0.1 0.4
control
More young people are working in businesses 1 0.075 0.075
Segment of the broad sector 4 0.14 0.56
The rising trend in building and retaining technological awareness 3 0.1 0.3
in the country
Threats Of RECO Rating Weight Weighted
Score
Strong prices to upgrade the new technologies 4 0.12 0.48
Increased national inflammation 3 0.1 0.3
Uncertainty and inability to define total asset distribution 1 0.01 0.01
Unfavorable climate, geography and climate in the region 1 0.01 0.01
Inadequate government macro strategies, and state-owned 2 0.1 0.2
corporations' viability
The extreme business climate of the industry 4 0.115 0.46
Total - 1 3.305
31. IFE Matrix Of RECO Company
IFE Matrix Of RECO Company
Strengths Of RECO Rating Weight Weighted
Score
Suitability of the executive composition of the organization 2 0.05 0.1
(attention to younger participants of the management body of the
company).
The company's strong reputation for its good history, professional 4 0.2 0.8
consultants and high-quality customer service.
Senior management of the complex is scientific, specialized and 4 0.1 0.4
handling
Training of workers 4 0.1 0.4
Paid heed to consumer orientation and uphold individual integrity 4 0.1 0.4
within the group
Value control system deployment and ISO certification 3 0.07 0.21
Weaknesses Of RECO Rating Weight Weighted
Score
Lack of skilled staff (particularly in the technological and 4 0.1 0.4
organizational sectors)
Excessive interference by administrators in the company's 3 0.07 0.21
management affairs
Decrease Specialist workforce development 2 0.05 0.1
The actions and tactics and the forces and vulnerabilities of rivals 1 0.06 0.06
were not identified and graded.
The composition and vacancy of a significant number of authorized 2 0.05 0.1
organizational positions is inadequate
Poor performance and obsolescence of current software and 2 0.05 0.1
services and the impossibility of connectivity
Total - 1 3.28

32. RECO CPM

RECO CPM
Primary Elements Weight Competitor 1 Competitor 2 Competitor 3
Rank Score Rank Score Rank Score
Production, innovation and 0.05 2 0.1 4 0.2 2 0.1
imagination
Loyalty to the firm 0.1 2 0.2 3 0.3 4 0.4
Awareness in management 0.05 3 0.15 3 0.15 4 0.2
Penetration of the market 0.2 2 0.4 3 0.6 3 0.6
Capital benefits 0.1 2 0.2 2 0.2 3 0.3
Experience of RECO 0.05 3 0.15 2 0.1 1 0.05
Leadership role 0.15 2 0.3 1 0.15 2 0.3
Ratio of Business 0.1 2 0.2 3 0.3 1 0.1
Return on inventory 0.15 2 0.3 2 0.3 3 0.45
Concurring price 0.05 3 0.15 3 0.15 4 0.2
Total 1 - 2.15 - 2.45 - 2.7
33. RECO TWOS Matrix
RECO TWOS Matrix
RECO Strengths (S) RECO Weakness (W)

Suitability of the executive composition of the W1 Lack of skilled staff (particularly in the technological
S1 organization (attention to younger participants of the and organizational sectors)
management body of the company).
W2 Excessive interference by administrators in the
The company's strong reputation for its good history, company's management affairs
professional consultants and high-quality customer
S2 service. Decrease Specialist workforce development
W3
Senior management of the complex is scientific, The actions and tactics and the forces and
S3 specialized and handling vulnerabilities of rivals were not identified and graded.
W4
Training of workers The composition and vacancy of a significant number
S4 of authorized organizational positions is inadequate
Paid heed to consumer orientation and uphold individual
S5 integrity within the group W5 Poor performance and obsolescence of current software
and services and the impossibility of connectivity
Value control system deployment and ISO certification
S6
W6
RECO Opportunities (O) RECO Threats (T)

Reduced services prices and the introduction of T1 Strong prices to upgrade the new technologies
O1 emerging innovations build strategic advantages
Increased national inflammation
Government policy on political and economic ties with T2
surrounding countries Uncertainty and inability to define total asset
O2
distribution
T3
Creating the requisite incentives for loss reduction and
consumption control Unfavorable climate, geography and climate in the
O3 region
More young people are working in businesses T4
Segment of the broad sector Inadequate government macro strategies, and state-
O4 owned corporations' viability
The rising trend in building and retaining technological T5
O5 awareness in the country The extreme business climate of the industry

O6 T6
RECO S-O Strategy RECO W-O Strategy

 To enter the market, take part in private and public
tenders. (S1,S2,S5,O1,O2,O6)
 Maintain consumer trust by robust quality management
of each project (S6,S5,S3,S2,O2,O3,O5,O6)
 Management of budget and operating budget processes
(S3,S5,O4,O5,O6)
RECO S-T Strategy
 Open Source Formation (W2,O5,O6)
 Make use of government funding to maximize the
position of corporations (W1,W4,O2,O6,O5,O3)
 Preparation of specialized preparation programmed
(W2,W4,O6,O5,O4)
RECO W-T Strategy

 Rendering diverse productions on a business budget  Accurate engineering review

basis (S1,S3,S6,T4,T5) (W1,W4,W6,T5,T3,T1,T2)
 Nativity and development, tailored to the needs of the  Consortia developing partnership
consumer (S1,S5,S6,T1,T3,T4) (W1,W6,W4,T1,T4,T5,T6)
 Systematic drawings to raise costs for various firms  Marketing enterprises deal (W1,W5,T1,T3,T5,T6)
(S1,S3,S6,T4,T5,T1)
34. QSPM Matrix Of RECO
QSPM Matrix Of RECO
ALTERNATIVES ALTERNATIVES
Primary Elements Weight A B
AS TAS AS TAS
Strengths Of RECO
Suitability of the executive composition of the organization 0.05 2 0.1 4 0.2
(attention to younger participants of the management body of the
company).
The company's strong reputation for its good history, 0.2 3 0.6 4 0.8
professional consultants and high-quality customer service.
Senior management of the complex is scientific, specialized and 0.1 4 0.4 2 0.2
handling
Training of workers 0.1 2 0.2 3 0.3
Paid heed to consumer orientation and uphold individual 0.1 4 0.4 3 0.3
integrity within the group
Value control system deployment and ISO certification 0.07 4 0.28 4 0.28
Opportunities Of RECO
Reduced services prices and the introduction of emerging 0.01 3 0.03 3 0.03
innovations build strategic advantages
Government policy on political and economic ties with 0.12 4 0.48 4 0.48
surrounding countries
Creating the requisite incentives for loss reduction and 0.1 1 0.1 4 0.4
consumption control
More young people are working in businesses 0.075 4 0.3 2 0.15
Segment of the broad sector 0.14 4 0.56 4 0.56
The rising trend in building and retaining technological 0.1 3 0.3 3 0.3
awareness in the country
Weaknesses Of RECO
Lack of skilled staff (particularly in the technological and 0.1 4 0.4 4 0.4
organizational sectors)
Excessive interference by administrators in the company's 0.07 3 0.21 2 0.14
management affairs
Decrease Specialist workforce development 0.05 2 0.1 2 0.1
The actions and tactics and the forces and vulnerabilities of rivals 0.06 1 0.06 4 0.24
were not identified and graded
The composition and vacancy of a significant number of 0.05 2 0.10 3 0.15
authorized organizational positions is inadequate
Poor performance and obsolescence of current software and 0.05 2 0.10 4 0.2
services and the impossibility of connectivity
Threats Of RECO
Strong prices to upgrade the new technologies 0.12 4 0.48 4 0.48
Increased national inflammation 0.1 3 0.3 2 0.2
Uncertainty and inability to define total asset distribution 0.01 4 0.04 1 0.01
Unfavorable climate, geography and climate in the region 0.01 1 0.01 1 0.01
Inadequate government macro strategies, and state-owned 0.1 1 0.1 3 0.3
corporations' viability
The extreme business climate of the industry 0.115 2 0.23 4 0.46
Total Score 5.88 6.69
Priority Vise 2nd 1st

34.1. Alternative A : (Development of the market)

Holding customer interest by progress and stringent monitoring of quality on all projects Enhance design
practices that incorporate effective and efficient construction methods to reduce waste.

34.2. Alternative B : (Architectural competitions)

Keep a brand using high quality human resources to compete without corrupting practice with the project.

35. RECO Time Value Of Money

35.1. Present Value of RECO’s Money
RECO has debentures Rs. 829,109,500 in 2020 ( 5 % ). After five years, RECO would like to create a
substitute of established properties. This alternative commodity receives 9% annually.
The investment required will be as follows:
Future Value (FV) = 829,109,500
Interest rate = 9 %
Number = 1
Time Period = 5
Present Value (PV) = ( Rs. 829,109,500 / (1 + (0.090/1)) ^ (1 * 5))
= Rs. 538,732,618.6
Outcome: RECO then needs to spend Rs. 538,732,618 now to substitute Rs. 829,109,500 for 5 years.
 35.2. RECO Loan Repayment Problem
RECO keeps an HBL Bank loan of Rs. 29,500,000 at 8% p.a. In 10 equivalent instalments, RECO wants to
repay it. Outcome: In the next 10 years the corporation is expected to pay an Rs 50,740,000 per year to
repay the loan.
Number (N) = 1
Interest rates (i) = 8%
Time Period (T) = 10
Future Value (FV) = 29,500,000 + Interest
Years RECO Rate Of Interest Amount
2011 - 29,500,000
2012 8% 31,860,000
2013 8% 34,220,000
2014 8% 36,580,000
2015 8% 38,940,000
2016 8% 41,300,000
2017 8% 43,660,000
2018 8% 46,020,000
2019 8% 48,380,000
2020 8% 50,740,000
Equal Ten Instalments - 50,740,000

35.3. Growth Rate of Return (RECO Profit Problem)

Over its earnings, RECO estimates the combined rate of growth and as a result the company receives annual
revenue percent. Result: Company’s return rate hit 9.75 percent p.a. Rs. 86.776 crores to meet its benefit
goal. Via test method I find that the annual growth rate is compounding at 9.75%. However, the target quest
alternative in the excellent application may be determined.
Years RECO Profit % RECO Profit (In Crore)
2016 - 60
2017 9% 65.4
2018 3% 67.362
2019 13% 76.119
2020 14% 86.776
36. RECO HR Software
"SAP Software" is used by RECO HR department. The best enterprise software fulfils current requirements
and enables potential development without expensive incorporation. SAP has been regarded as a leader in its
portfolio and so RECO does not compromise.

36.1. SAP Software Key Advantages

Security of rock-solid data - SAP is one of the first firms in the world to be granted global recognition by
the British Standards Institute.
The Top Level Associations - SAP has chosen a competitive, multi-cloud approach, with its partnerships
with Microsoft, Alibaba, Amazon, Google, IBM and other leaders as a first priority.
The only really integrated software - SAP integrated management framework provides you with
everything you need to run an intelligent business with intelligence built into our technology, processes and
applications.

36.2. SAP Software Solutions

SAP Software technologies support the growing infrastructure by allowing the EC&O RECO company,
while optimizing quality and streamlined processes, to increase project scheduling efficiency with
intelligent, linked supply chains, and reduce Labor costs..
 36.3. SAP Software Solutions Support In RECO Pre-engineering Activities

Opportunity and Management of proposals – SAP stimulates market growth.

Pre-manufacture operations – SAP identifies key content problems, prioritizes them and maximizes
company-wide visibility over procurement, manufacture, inventory and demand.
Source & Contract – By increasing savings potential, procurement performance and enforcement with
contracts and suppliers, SAP lowers risk and costs.
Virtual construction and design – RECO's step-by-step improvement in teamwork by SAP.

36.4. RECO - Customized Industrial Innovation Technologies Needs

The end of SAP's solutions to reduce the difficulty of building and immovable management portfolios.
Excellence in Project Delivery - Transform building projects management, digital twins, IoT and shared
networks into smart construction project applications and reduce spending and complexity.
 36.5. SAP Commercial Project Management
SAP commercial project management - Help RECO teams prepare, organize and contribute to
programmes, in the same or semi-international buildings. RECO can achieve the highest performance and
respond easily to improvements in order to reduce unforeseen costs by applying the SAP Commercial
Project Management application.
 36.6. Network for SAP Project Intelligence
Shape a digital building by using the project collaboration environment focused on building knowledge
modelling to generate a common project data environment.

36.7. Management of Human Resources and Involvement of Employees

SAP success factors transform human resources management (HRM). Offer your workers experiences to
accomplish their own goals and RECO’s goals.
Employee Experience Management – SAP offers staff all the chance to do their job. Hear your reviews,
take advantage of your incentives and share your insight with outstanding employees.
Core HR and Payroll – SAP supports RECO workers everywhere – worldwide core HR solutions, wages,
time management, insurance managers, HR service delivery etc.
SAP Talent Management - Adapt rapidly with strong software for recruitment, onboarding, results,
rewards, learning, succession and growth to meet fluctuating talent needs.
HR analysis and staff planning - Make intelligent choices quicker by using data-driven information in all
processes of HR, by means of people-analysis and staff planning techniques to enhance company-wide
efficiency.
37. Conclusion
The drivers are production & training if you are to remain on the market or compete with your rival or
change another. The pay package should be delivered according to the work carried out by employees and a
reasonable partnership with the organization should be formed with the respect for employees.
In general, each organization needs to list the tools it needs, who is to be trained or for what reason, before
carrying out any training, RECO analyzes the gap and points out how much training its workers need to
provide the gap is in their financial services, so employees have agreed to shape their employees. You then
need to identify the issue in time and settle on the correct form of training to train your workers effectively.
38. Reference

Sheikh Nadeem Ahmed

RECO CEO

Mr. Nazar Baig

(RECO General Manager)

Mr. Ahsan Waqeel

(RECO HR Manager)

38.1. RECO Official Web Site

https://www.riazuddin.com/index.html

38.2. RECO Contact

sales@riazuddin.com

38.3. RECO Address

2nd Floor- Jubilee Tower, Defence Chowk, Walton Road. Lahore – Pakistan.

38.4. SAP Software

https://www.sap.com/mena/industries/engineering-construction-management.html