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VIRTUAL UNIVERSITY OF PAKISTAN

Master in Business Administration (HRM)

INTERNSHIP REPORT

Dawood Lawrencepur Limited

Submitted by

Misbah Shaheen

ID: mc 070403054

Session: Fall 2009

Dated: 04-02-2010

Virtual University Of Pakistan


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Dedication

I dedicate this report to my mother. She gave me mental strength to fight and deal with the

hurdles of the daily routine faced during my internship. At this stage I can say that today

what I am and where I stand is just because of her.

Secondly to my father who have continuously given me moral support and encouraged me

through out my studies of MBA.

Finally I would like to dedicate this report to my Supervisors at Dawood Lawrencepur

Limited who guided me through out my internship and even in the making of my report.


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Acknowledgement

I owe my thanks to Almighty Allah who bestowed me the strength and wisdom to write

this report and complete it I am also thankful to my family and friends for their support in

my studies and internship.

I am also grateful to Department of Business Administrative of Virtual University Pakistan

who has provided us the courses of international level. In no way these are less significant

and imperative than any university within the country or abroad. Every subject provides

both theoretical and practical knowledge

Coming to my internship report I would also like to thank all the staff and officers of

Dawood Lawrencepur Limited. In particular I am grateful to Mr Shafique Hussain CEO

and Mr Aman-ul-Haque Mills Manager of the companywho permitted me for internship

in Lawrencepur Mill; others include Mr Yousaf Ali Akhtar, Mr Khalid Umer

Mehmood, Mr Arshad Mehmood Dar, Mr Tayyab Malik, Mr Shaukat Khan, Mr

Zahid Hussain and Miss Shazia Perveen. Who gave me the confidence and guided me at

each and every step of my internship period. It was great amusing experience first to work

and then to write internship report. Actually it is a proclamation of my learning, education

and experience of internship. I gained a healthier knowledge, skill and ideas of HRM. This

report conferred me with the opportunity to put into practice of what I had learnt during my

internship.

I am thankful to all my evaluator(s) and reader (s).

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http://images.google.com.pk/imgres?imgurl=http://americandreamsentertainment.com/images/acknowledgement_side.jpg&imgrefurl=http://americandreamsentertainment.com/thankyou.html&usg=__ehbGmU-iDBOvwj8Von0kb7elFvA=&h=215&w=254&sz=38&hl=en&start=9&tbnid=pEXPsriaAFfSOM:&tbnh=94&tbnw=111&prev=/images%3Fq%3Dacknowledgement%26gbv%3D2%26hl%3Den%26sa%3DG


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Executive SummaryHuman resource management has developed in recent years as a broad encompassing field

of study that incorporates and synthesizes elements form personnel management, labor

relations, balding on broader concepts and insights form a variety of cognate disciplines

including economics, law, psychology and sociology, amongst others. It has become

integral to degree in Business administration and above all, to Masters in Business

Administration (MBAs) following the decision at Harvard University to incorporate the

subject into the core of its flagship programmer. Moreover, the Harvard Schooldeveloped arguably the most commonly accepted definition of the term to include

management decisions that shape the nature of the relationship between the organization

of employee namely, its human resources. It is likely to become integral to managing

organizations in the twenty-first century.

The origins and development of any discipline depend greatly on key thinkers who have

illuminated the field. Amongst the main world scholars and inventors who have enhanced

the emergence of this broadly defined field of study include Chris Argyris, Charles E.

Bedaux, Harry Braveerman, Hugh Armstrong Clegg, John Thomas Dunlop, Allan

Flanders, Mary Parker Follett, Henry Ford, Frank Bnker Gilbreth, Lillian Evelyn Moller

Gilberth, Alvin W. Gouldner Elton Mayo, Taiichi Ohno, Thomas J. Peters, Robert M.

Reich, Randall S. Schuler, Frederick Winslow Taylor and Yoichi Ueno. Others could have

been included in the roll of honor but those chosen seem to be the editors to be amongst the

core of critical international formative thinkers constraints of space alone led exclusions

form the potential list.

The upshot therefore is an authoritative, inclusive and informed volume that we hope will

provide a valuable reference base for an increasingly international audience. World

businesses and their human resource systems are becoming ever more multi-national in

their structure and operations. The issues encompassed in this Internship Report are thus

likely to become ever more relevant and vital for management and business.

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My internship experience with Dawood Lawrencepur Limitedtaught me several aspects

necessary for the success of HR professional. I learnt to think about Human Resource

Management from the employees and managements perspective - the purpose of HRM

The best feature of my internship was the access it gave me to a really motivated, hard-

working, team of highly knowledgeable professionals at Dawood Lawrencepur Limited.

The most important skill I learnt was the ability to work in a Team. I also picked up

considerable skills in handling team communication, getting myself trained and the ability

to adapt to the new changing scenario.

I observed all the activities taking place in the production of the finished goods and the role

of HR as well as other department role in the production. I observed how the HR

department is motivating employees to get their required results.

I would like to thank everyone who offered advice and encouragement throughout the

development of the project.

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ix


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Table of Contents

TABLE OF CONTENTS .....................................................................................................................................X

INTRODUCTION OF THE ORGANIZATIONS BUSINESS SECTOR ........................................... ..... ....1

ESTABLISHEDCAPACITYOF TEXTILEINDUSTRYIN PAKISTAN ................................................................................... 1TEXTILEINDUSTRYSCONTRIBUTIONTOEXPORTS................................................................................................... 1

CONTRIBUTIONTO GDP ANDEMPLOYMENT.........................................................................................................2

ORGANIZATIONSINTHEINDUSTRY....................................................................................................................... 2

OPPORTUNITIES AVAILABLEFORTEXTILE INDUSTRY...............................................................................................2

OVERVIEW OF THE ORGANIZATION ........................................................................................................3

BRIEFHISTORY................................................................................................................................................. 3

NATUREOFTHEORGANIZATION..........................................................................................................................4

BUSINESSVOLUME (TOTALNUMBEROFSTOCK, SHARES, BONDS/COMMODITIES...........................................................4

Authorized Share Capital........................................................................................................................4

Future contracts planned .........................................................................................................................5PRODUCTLINES................................................................................................................................................ 6

I) Market Orders .....................................................................................................................................6II) Contract Orders .................................................................................................................................6

III) Garment Orders ................................................................................................................................6

Product Description ................................................................................................................................7

COMPETITORS..................................................................................................................................................8

ORGANIZATIONAL STRUCTURE ............................................................................................................... ..9

ORGANIZATIONAL HIERARCHYCHART.................................................................................................................. 9

NUMBEROFEMPLOYEES..................................................................................................................................12

MAINOFFICES................................................................................................................................................ 12

Head office ............................................................................................................................................12

Registered Office ...................................................................................................................................12

Main Offices at Plant .............................................................................................................................13

INTRODUCTION

OF

ALL

DEPARTMENTS

...............................................................................................................13Production Planning Office ...................................................................................................................13

R & D DEPARTMENT / DESIGNING OFFICE ....................................................................................13

Accounts Department ............................................................................................................................13

Cash Office ............................................................................................................................................14

Wages Office .........................................................................................................................................14

Store Accounts .......................................................................................................................................14

Costing Office ........................................................................................................................................15

Lahore Office / Administrations ............................................................................................................15Finished Cloth Inspection ......................................................................................................................15

Goods Receiving Section (G.R.S) .................................................................................................. ........16General Store ........................................................................................................................................16

Boiler House ..........................................................................................................................................16

Electrical Work Shop .............................................................................................................................17

Quality Control .....................................................................................................................................17I.S.O Office ............................................................................................................................................17

Civil Department ...................................................................................................................................17

COMMENTSON ORGANIZATIONALSTRUCTURE..................................................................................................... 17

INTERNSHIP PROGRAM ...............................................................................................................................17

INTRODUCTIONOFTHEBRANCHWHEREYOUDIDYOURINTERNSHIP.........................................................................17

INTERNSHIPDURATION.................................................................................................................................... 18

TRAININGDEPARTMENTS................................................................................................................................. 18

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TRAINING PROGRAM ....................................................................................................................................19

WORKDESCRIPTIONOFTHEDEPARTMENTS........................................................................................................19

Production Planning Department ..........................................................................................................19The production planning department..................................................................................................... 19

Job description ......................................................................................................................................19

Head of production planning department ..............................................................................................19

Deputy planning officer .........................................................................................................................20Senior Supervisor production planning ................................................................................... ...... ........20

Daily Stock of cloth/ Shawls/ Blankets as on daily wise made entries ...................................................20

HUMAN RESOURCE DEPARTMENTOFTHE ORGANIZATION...................................................................................20

Responsibilities .....................................................................................................................................21

Policy Making .......................................................................................................................................21

Advice ....................................................................................................................................................21Service ........................................................................................................................................... ........22

Control .......................................................................................................................................... ........23

General.................................................................................................................................................. 23

DESCRIPTIONOFTHETASKS.............................................................................................................................23

Top Store ...............................................................................................................................................25

Yarn Store ............................................................................................................................................. .25

Dyeing ...................................................................................................................................................25Spinning/ Twisting .................................................................................................................................25Weaving ................................................................................................................................................25

Mending ...............................................................................................................................................25

Finishing ...............................................................................................................................................26

STRUCTURE OF THE HR DEPARTMENT .................................................................................................27

DEPARTMENTHIERARCHY................................................................................................................................27

................................................................................................................................................................... 27

NUMBEROFEMPLOYEESUNDERHRDEPARTMENT...............................................................................................28

SUB-DEPARTMENTUNDERHRDEPARTMENT.......................................................................................................28

FUNCTIONS OF HR DEPARTMENT ...................................................................................................... ....28

HUMANRESOURCEPLANNINGANDFORECASTING ................................................................................................28HRP process .........................................................................................................................................28

Forecasting HR requirements ...............................................................................................................30

Methods to forecast HR needs ...............................................................................................................30

EMPLOYEESRECRUITMENT & SELECTION............................................................................................................ 31

Sources of candidates ...........................................................................................................................32

Employment selection process ...............................................................................................................32

TRAINING & DEVELOPMENT.............................................................................................................................33

Training need assessment .....................................................................................................................33Employee development..........................................................................................................................34

PERFORMANCEMANAGEMENT...........................................................................................................................35

Setting performance standards & expectations .....................................................................................35

Performance reports ..............................................................................................................................35

EMPLOYEECOMPENSATION & BENEFITS.............................................................................................................35

Compensation & benefits offered by the company .................................................................................35

ORGANIZATIONALCAREERMANAGEMENT...........................................................................................................36

Employee job changes ...........................................................................................................................36

Job changes with the organization ........................................................................................................37

Separations ............................................................................................................................................38

LABORMANAGEMENTRELATIONS......................................................................................................................39

CRITICAL ANALYSIS .....................................................................................................................................40

SWOT ANALYSIS OF DLL ....................................................................................................................... ......41

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STRENGTHS ................................................................................................................................................... 41

WEAKNESSES................................................................................................................................................. 42

OPPORTUNITIES..............................................................................................................................................44

THREATS....................................................................................................................................................... 44

CONCLUSION ....................................................................................................................................................45

RECOMMENDATIONS ....................................................................................................................................46REFERENCES AND SOURCES ......................................................................................................................48

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Introduction of the organizations business sector

The textile industry is one of the most important sectors of Pakistan. It contributes

significantly to the countrys GDP, exports as well as employment.Being Pakistans largestindustrial sector it generates the countrys highest export earnings of about 60%, providing

the bulk of employment (38%) to a largely under utilized work force.It is, in fact, the

backbone of the Pakistani economy.

Established capacity of Textile industry in Pakistan

The textile industry of Pakistan has a total established spinning capacity of 1550 million

kgs of yarn, weaving capacity of 4368 million square meters of fabric and finishing

capacity of 4000 million square meters. The industry has a production capacity of 670

million units of garments, 400 million units of knitwear and 53 million kgs of towels.

The industry has a total of 1221 units engaged in ginning and 442 units engaged in

spinning. There are around 124 large units that undertake weaving and 425 small units.

There are around 20600 power looms in operation in the industry. The industry also houses

around 10 large finishing units and 625 small units.

Pakistans textile industry has about 50 large and 2500 small garment manufacturing units.

Moreover, it also houses around 600 knitwear-producing units and 400 towel-producing

units.

Textile industrys contribution to exports

According to recent figures, the Pakistan textile industry contributes more than 60% to the

countrys total exports, which amounts to around 5.2 billion US dollars. The industry

contributes around 46% to the total output produced in the country.

In Asia, Pakistan is the 8th largest exporter of textile products.

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Contribution to GDP and employment

The contribution of this industry to the total GDP is 8.5%. It provides employment to 38%

of the work force in the country, which amounts to a figure of 15 million. However, the

proportion of skilled labor is very less as compared to that of unskilled labor.

Organizations in the industry

All Pakistan Textile Mills Association is the chief organization that determines the rules

and regulations in the Pakistan textile industry with consultation of government. It is the

premier national trade association of the textile spinning, weaving, and composite mills

representing the organized sector in Pakistan. APTMA emerges as the largest association

of the country as it represents 396 textile mills out of which 315 are spinning, 44 weaving

and 37 composite units. These spinning mills have production facilities of texturing,

mercerizing and dyeing of yarns; weaving mills have sizeable number of air-jet looms, and

the composite mills have manufacturing facilities from spinning to finished textile products

under one roof.

APTMA membership consists of partnerships and or individual proprietorships, which

operate machinery for spinning, dyeing, texturizing, twisting, or otherwise processing of

yarn, thread, or cordage, grey, printed and printed cloth and made ups for sale.The expenses of maintaining APTMA's professional staff and offices are met from the

annual subscriptions and services provided to members. APTMA Principal Offices is the

central administrative organization, but each member has its own offices and governing

board.

Opportunities available for textile Industry

The world demand for textiles is rising at around 2.5%, due to which there is a greater

opportunity for rise in exports from Pakistan.

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Overview of the organization

Brief history

Dawood Lawrencepur Limited is located at Lawrencepur Town District Attock. The

company is 70 Kilometers away form Islamabad. The Punjab Cooperative Society

constructed the company in 1952. In 1954 Cooperative Society started business on trial

bases. And the same year on commercial bases business was started. Cooperative Society

led the company form 1954 to 1960. But in 1960, The Dawood Group that was well-

reputed name in Pakistan bought company.

Dawood Lawrencepur Limited the parent company is a public limited company

incorporated in 2004 as a result of scheme of arrangement for amalgamation in terms of

provision of section 584 to 287 of the Companies Ordinance, 1984 between Dawood cotton

Mills Limited, Dilon Limited, Burewala Textile Mills Limited, Lawrencepur Woollen and

Textile Mills Limited and members of the said companies. The shares of the parent

company are listed on the Karachi and Lahore stock exchanges. The parent company is

principally engaged in the business of manufacture and sale of yarns and fabrics made from

natural and man-made fibers and blends thereof. The registered of the parent company is

situated at 35-A, shahrah-e-Abdul Hameed Bin Baadees (Empress Road), Lahore.

During the year 2008 the parent company, due to continuous losses of its Dawoodabad unit

located at Burewala, district vehari, has suspended its operations.

The Dawood Lawrencepur Limited has a wholly owned subsidiary namely Tenaga

Generasi limited the Subsidiary Company. The Subsidiary Company was incorporated in

2005 as a public limited company under the Companies Ordinance, 1984 for a special

purpose for setting up and running up a wind energy farm as an independent power

producer. The Subsidiary Company is in the process of acquiring its resources and

commercial production has not yet commenced. The registered office of the Subsidiary

Company is situated at Dawood centre, M.T.Khan road, Karachi.

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Nature of the organization

Dawood Lawrencepur Limited is manufacturing of high class fabrics and sales yarn as

well. DLL has monopoly in the business in terms of complete set up fabrics production i.e.

from raw material to finished goods. They have computerized machinery but are old one aswell. Dawood Lawrencepur is the first company in Pakistan to install the user tester 5(UT-

5), which the latest technological system for yarn quality inspection. The system test yarn

for certain parameter such as openness, hairiness, count and imperfection. If not only

operates at a very high speed but also provides remedial action to control, eliminate and

prevent and woven fabrics finishing mechanism by deco fast and an electronic selvedge

jacquard machine.

Company is manufacturing woolen and yarn, and fabrics. Raw material is imported form

Australia, Newzi Land, South Africa which processed in India and honk kong. Man made

raw material is purchased from Germany. Dyes as well as chemical are purchased from

Germany and Switzerland. Number of looms is 20 and 5656 spindles as well.

The principle properties of our products are:

Good barrier to moisture.

Excellent transparent gloss.

Good printability.

Good seal ability.

Business volume (Total number of stock, shares, bonds/commodities

Authorized Share Capital

In 2009 in 2008

55,000,000 (2008:55,000,000) Ordinary shares of Rs.10/-each 550,000,000 550,000,000

Issued, subscribed & paid up capital 513,546,600 466,860,550

Issued, Subscribed and Paid up Capital

2009 2008 2009 2008

Number Rupees Rupees

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2,204,002 2,204,002 Ordinary shares of Rs.10/- each fully paid 22,040,020 22,040,020

12,805,118 12,805,118 Ordinary shares of Rs.10/- each issued 128,051,180 128,051,180

for consideration other than cash

36,345,540 31,676,935 Ordinary shares of Rs.10/- each 363,455,400 316,769,350

fully paid as bonus shares

51, 354,660 46,686,055 513,546,600 466,860,550

Movement is share capital during the year

46,686,055(200838,583,516) Ordinary shares of 466,860,550 385,835,160

Rs.10/- each fully paid up

Issued 4,668,605(20088,102,539) Ordinary shares of 46,686,050 81,025,390

Rs.10/- each fully paid bonus shares

Closing Balance 513,546,600 466,860,550

Total Business volume 513,546,600

Future contracts planned

The company is in the process of integrating its various operations which includes the

consolidation of its fabric and garments operations. Necessary statutory and legal

formalities are being complied with. With this consolidation, it is expected that continuing

operations of companys woolen fabric and garments unit will show improved results.

The Company is implementing its vision 2030 strategy to strengthen its ability to deliver

sustained, long term results, focused on these areas.

Meeting the needs of people today.

Bringing secure and reliable energy to our country.

Meeting a growing need for electricity.

A culture of continuous improvement.

In ways that ensure a sustainable future.

The acute power shortage has resulted in closure of a large number of industrial units

causing large scale joblessness. Also in view of the escalating gas and oil prices we need to

utilize alternative means of generating electricity to overcome this shortage.

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On the front of establishment of wind energy farm of 50 MW, the company is making

steady progress. The company is in negotiations with wind turbine manufactures and it is

expected that soon we will be able to finalize the contract with WTG manufacturers. With

the disposal of closed down plant and machinery, the company will be in possession of

sufficient initial funds to further accelerate the progress on the wind energy side.

Product lines

Here we look the most popular qualities which are used by the customers produced by

DLL.

It was observed during the period of internship at DLL that there are three types of orders

which are placed namely:

I) Market Orders

II) Contract Orders

III) Garment Orders

I) Market Orders

Here we talk about the Market Order firstly. Market Orders are shown by the word M

with the Order No and year. For instance the most popular order is M08-009 Quality

Lyla Plain. These types of orders are placed by the Marketing Department taken from the

market orders.

II) Contract Orders

Contract Orders are shown by the word C along with Order No and Year. For Example,

the most popular order during the year 2009-10 is C05-009 taken from Pakistan Air

Force. This type of order is directly launched by the Contractor.

III) Garment Orders

This type of order is presented by the word G along with Order No and Year. Garment

Orders are basically taken from the customer by the marketing department which is in

Lahore at Empress Road.

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Product Description

Lawrencepur has earned its reputation through years of consistent service and distinctive

quality. Here we examine those qualities which are sold frequently by the DLLs

Customers.

Following qualities shows the product line of Dawood Lawrencepur Limited:

Worsted Tweed

Sup. Serge

Panama

Tropical-P

Tropical-D

Altaan

Lyla-P

Viena Suiting

Lyla-D

Serge

Worsted Flannel

Winter Suiting

Vicuna

Centurion

Sup. Vicuna

Trouser AF-3

Summer Supree

PIA Lyla

Type: 12107

Type: 12113

Cool Wool Suiting

Gaberdine

Bellini Suiting

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Rossini Suiting

Ebony Suiting

Classic Platinum Suiting

Classic Ivory Suiting

Siena Suiting

Sup. Lt Wt Suiting

Soltine Khaki

Magna Sup Lt Wt Suiting

Valencia Suiting

Sallar

Shundur

Saxony Suiting

Competitors

Dawood Lawrencepur Mill is the only one producer of this high quality Woollen fabric so;

they have monopoly in the Pakistani industry. Many textile firms are working like Alkaram

textile mill and Kohinoor Textile Mills but no one is working on DLLs kind of products.

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DAWOOD LAWRENCEPUR LIMITED

LAWRENCEPUR UNIT

EXISTING ORGANIZATION POSITION OF MILLS

Aman-ul-Haque

Mills Manager Ghulam Khan

Conf. Secy

VacantQuality

AssuranceManager

Mr.M.SarwarSecurity/Stores

Officer

M.Aslam Choudhry

Porsonnel Manager

Abdul RaufDy .Manager

Fabric Production/Finishing

Muhammad NiazDY.Manager Yarn

Production

M.ZahidDy.Supdt.

Designing

M.AfzalSupdt.

Dyeing

FarooqAhmedSupvr.

F.C.Insp.

Jahan Dad

KhanDy.Supdt.

Qty

Fazal-e-Jamil

Supvr. Q.C

Atta Ullah Khan

T/Supvr. Q.C

Engineering

VacantD.M.E

Workshop

Khalil AhmadUtilities

Engr.

Arshad MahhmoodSr.Electrical Eng ineer

Haq NawazSr.Supvr

Electriv

M.AdilSr.Supvr

Air-Cond

Nasurullah KhanSr.Supervisor

Civil

Inayat ur RabSupvr

Air-Cond

M.Nadeem QamarSr.Electronic Engineer

/ISO G.Coord

M.Ejaz.SupvrElectronic

Vacant

Sup. I.S.O.

M.Aslam Choudhry

Personnel M anager

Arshad Mahmood DarSr.Industrial Relations

Officer

Tahir Mahmood

Conf. Secretary

Shah Abdul QasirSr.Supvr.

Time Office

Hafiz M. TahirKhateeb Colony

Mosque

Miss NosheenSarfraz

Supvr.Admin

Khalid U.

MahmoodDy.Manager

P.Plng

Organizational Structure

Organizational Hierarchy chart

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DAWOOD LAWRENCEPUR LIMITED

LAWRENCEPUR UNIT

EXISTING ORGANIZATION POSITION OF MILLS

Aman-ul-Haque

Mills ManagerGhulam Khan

Conf. Secy

VacantQuality

Assurance

Manager

Mr.M.SarwarSecurity/Stores

Officer

M.Aslam Choudhry

Porsonnel Manager

Abdul RaufDy .Manager

Fabric Production/

Finishing

Muhammad NiazDY.Manager Yarn

Production

M.ZahidDy.Supdt.

Designing

M.AfzalSupdt.

Dyeing

FarooqAhmedSupvr.

F.C.Insp.

Jahan Dad

KhanDy.Supdt.

Qty

Fazal-e-Jamil

Supvr. Q.C

Atta Ullah Khan

T/Supvr. Q.C

Engineering

Vacant

D.M.E

Workshop

Khalil Ahmad

Utilities

Engr.

Arshad Mahhmood

Sr.Electrical Engineer

Haq NawazSr.Supvr

Electriv

M.AdilSr.Supvr

Air-Cond

Nasurullah KhanSr.Supervisor

Civil

Inayat ur RabSupvr

Air-Cond

M.Nadeem Qamar

Sr.Electronic Engineer

/ISO G.Coord

M.Ejaz.Supvr

Electronic

Vacant

Sup. I.S.O.

M.Aslam Choudhry

Personnel Manager

Arshad Mahmood Dar

Sr.Industrial Relations

Officer

Tahir Mahmood

Conf. Secretary

Shah Abdul QasirSr.Supvr.

Time Office

Hafiz M. TahirKhateeb Colony

Mosque

Miss NosheenSarfraz

Supvr.Admin

Khalid U.Mahmood

Dy.ManagerP.Plng

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DAWOOD LAWRENCEPUR LIMITEDLAWRENCEPUR UNIT

EXISITING ORGANIZATION POSITION OF THE OFFICERS WHO ARE REPORTING TO

SALES AND ACCOUNTS (H.O)

ACCOUNTS

SECONDS SHOP/LAWRENCIA

FINISHED GOODS STORE

Khalid U.MehmoodDY.Manager

Accounts

Sabir Saleem

Cash Officer

Mukhtar Ahmed

A.O.

Riaz Khan

I/C Wages

M.Afzal

Sr.Acctt.

Kala Khan Tariq

Asstt Wages Officer

Imdad h.Shah

I/C Costing

Shaukat Khan

Store Acctt.

Arif Hussain

Acctt Wages

Tahir Anjum

Acctt Wages

Yousaf Ali Akhtar

Sr.I/C Excise

Vacant

Dy.Sales

Officer M-3

Muhammad JaveedSupervisor

Ansar AhmedSupervisor

M.Iqbal BhattiSr.Supervisor

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Number of employees

Employees of Lawrencepur unit including management and non-management staff is about

562.In which the management staff is 59 and remaining persons are non-management staff

excluding Head Office and Procurement and Marketing staff.

The total numbers of employees as at year 2007 end were 722 of Dawood Lawrencepur

Limited.

Main offices

Head office

Dawood Centre

M.T. Khan Road,

Karachi 75530-Pakistan

Chairman Office

Chief Executive Office

Director HR Office

General Manager HR Office

Manager HR Office

Chief Finance Office

Accounts Manager

Director Marketing Office

General Manager Marketing Office

Manager Marketing Office

Registered Office

35-A, Empress Road,

Lahore 54000, Pakistan

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General Manager Procurement

Procurement office (local)

Procurement office (import)

Main Offices at Plant

Mills Manager Office

Personnel Manager Office

Deputy Manager Accounts Office

Senior Industrial Relation Office

Labor Accounts Office

Excise Office

Production Planning Office

Designing Office

Admin Office

Conference Room

Introduction of all departments

Production Planning Office

The production planning office is often called PPO. This department plays a radical roll in

DLL. After receiving the production orders from marketing department, the PPO starts its

work regarding the estimate of Raw material and similarly production order is prepared for

dying, weaving, finishing. And the copy of production order is forwarded to different

department such as F.C.I., Dyeing F.G store etc.

R & D DEPARTMENT / DESIGNING OFFICE

Designing department is called The Sample Room DawoodPur. The main function of

this office is to verify the sample Design as required by customer/Party. When production

order is being placed it is checked by Designing Office.

Accounts Department

Accounts department of DLL (plant) can be categorized as under:

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i. Cash Office

ii. Wages Office

iii. Store Accounts

iv. Costing

Cash Office

Cash office is responsible for arrangement if funds which need to run the company

salary /wages, plants Local Purchases etc. The record of daily sales received from

Lawrencia and 2nd Shop are maintained in cash office. Transfer of funds from Head Office

is the routine activity of this dept. Bank Book and Cash Book is reconciled at the end of

each month.

Wages Office

Salary of management staff and wages for workers are made by this department. The salary

of management is finalized at the 20th of each month and is paid to office on every 1st of

each month, where as non-management staff (i.e. ministerial staff and clerk, peons,

sweepers, drivers etc.) is paid wages on 10th of every month as per agreement with

collective Bargaining Agents (C.B.A). All the management staff takes their salaries

through their bank account i.e. Habib Bank situated with Dawood Lawrencepur Limited.

Salary and wages of the permanent, on contract, daily wages etc are prepared here. Loans,

Bonus, Workers participation fund, Profit and overtime are prepared by the same

department. Over time is distributed at the end of each week.

Store Accounts

Store accounts department do the following functions:

1. Quantitative statement of raw material on monthly bases2. Preparing the Estimated Annual Budget for the year

3. Aging of stores

4. Valuation of plant Local Purchase

5. Maintaining ledgers(item 5000 approximately)

6. Maintaining Journal

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7. Checking of Memo against advances and forward to Head Office Karachi on

routine bases.

8. Main Items Consumed during the month

Costing Office

Costing is responsible for preparation of production Data for the every month of the year.

Also this department prepares the summary for government such as federal statistical

department every month. These data contains the following basic information:

i. How much finished goods i.e. fabrics & yarn were produced during the month?

ii. How many shifts were used to make the subjected fabrics?

iii. What are the number of management and non management staff whose worked?

Also this department costing the material such dyes, chemical on routing bases. Production

summaries are being sent to Head Office Karachi as well as Cost Officer Lahore Office for

further necessary action.

Lahore Office / Administrations

Administration plays a significant roll in the progress of Company. It importance is most

important then others are such as Finance, marketing, Production etc because internal and

external environmental depend on the companys administration.

Finished Cloth Inspection

This department just inspects the ready fabrics. Here in section, fabrics are categorized in

the following three grades:

Grade A

Grade B

Grade C

By the top management there is 20% allowed for substandard fabrics i.e. Grade B and

Grade C. both these grades are the substandard fabrics.

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Usually, grade A is for the sales purpose. Remaining two grades i.e. Grade B and Grade C

are the sub standard fabrics and sale out in the outlet of the company.

Goods Receiving Section (G.R.S)

As its name suggests G.R.S basically receives the goods for production purpose. Raw

Material, Chemical, Dyes, Oil & Lubricants, Stationery Spares, and so many others. G.R.S

firstly prepares the inspection Note after receiving the goods for concerned department.

The department has an authority to accept or reject. But almost all the goods are accepted

by the concerned department. As Inspection Note of the goods is marked by the word

OK then goods are delivered to General Store for further documentation.

General Store

The function of General Store is asunder:

Prepare the Purchase Indent (P.I) from purchase Requisition (P.R) two items in a moth and

forward to Head Office Karachi for approval from Chief Executive Office (CEO).

Goods received from G.R.S along with G.N.D (Goods Delivery Note) Keep the goods on proper location.

Prepare the G.R.N (Goods Received Note) 4 copies (1 copy for Procurement- 2

copies for Accounts Department 1 copy for Office record)

Issuance of goods to the department on Store Requisition Slip (S.R.S).

Prepare the inventory of Store at the end of each financial year i.e.(July June) of

every year.

Boiler House

Boiler House provides the services to the production department regarding the gas and

water supplies. Further more it gives the services to home appliances.

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Electrical Work Shop

Electrical work shop provides the services regarding the electricity. Any complaints

regarding the electricity are deal and remove the defect.

Quality Control

Working of Quality Control is to verify the raw material quality. The importance of this

department is highly valuable because of quality control.

I.S.O Office

I.S.O stands for International Standardization for Organization. Todays I.S.O affiliation

company has improved the quality of product as well as performance of the organization.

DLL is ISO 9000-2000 certified company. I.S.O Group Coordinator arranges an audit at

every month. Also conduct a meeting on weakly basis to review the agenda. By

implementation of I.S.O, DLL has improved his quality product. By this DLL is a pioneer

in the textile sector of the country.

Civil Department

Civil department provides the service of arranging the Daily Wages Workers and supply

them to those department which needed. Similarly it looks after the entire Mills as well as

the Mills colony. Arranging for wooden Material etc. is done by this department.

Comments on Organizational structure

Organizational structure is highly centralized because all decisions are made by high level

management. Due to communication gap employees cant share their ideas with

management.

Internship program

Introduction of the branch where you did your internship

I was honored to work in Dawood Lawrencepur Limited, Dawoodpur District Attock.

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The company is 70 Kilometers away form Islamabad. The Punjab Cooperative Society

constructed the company in 1952. In 1954 Cooperative Society started business on trial

bases. And the same year on commercial bases business was started. Cooperative Society

led the company form 1954 to 1960. But in 1960, The Dawood Group that was well-

reputed name in Pakistan bought company. It is working as production unit of Dawood

Lawrencepur Limited. It is public limited company. The shares of the company are listed

on the Karachi and Lahore stock exchanges.

Company is manufacturing high quality woolen yarn, and fabrics. Raw material is imported

form Australia, Newzi Land, South Africa which processed in India and honk kong. Man

made raw material is purchased from Germany. Dyes as well as chemical are purchased

from Germany and Switzerland.

Internship duration

The duration of my internship at Lawrencepur unit as an internee was from 16th April,

2009 to 13th June, 2009.

Training departments

As I have mentioned earlier the Lawrencepur units HR department is working in their

head office Karachi so I got training in mainly two departments

Production paining Office

Personal/Ad min Department

In PPO I worked from 16-04-2009 to 07-05-2009

In Admin Office I worked from 08-05-2009 to 29-05-2009

In last two weeks of my internship, from 30-05-2009 to 13-06-2009 I visited almost all the

production departments of the Lawrencepur unit to see actually how the unit is producing

high quality fabric and the workers are working . It was a real different and outstanding

experience to see each process in the production of that final product.

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Training program

Work Description of the departments

Production Planning Department

Head of production planning department Deputy planning officer Senior Supervisor

production planning.

The production planning department

The production planning department is managed by head of production planning

department. The head of production planning department reports functionally to mills

manager.

All the expected orders at inquiry stage are followed; unexpected inquiry/orders are in

pending record/file till reply from the customers. Feedback is provided to the customer

through head of production planning department.

All the orders received at plant are worked out for concerned department i.e., process wise

orders and got approved from the Mills Manager.

Head of production planning department also informs to the customer for orders position\

orders in-hand for required order from marketing for smooth operation of mills.

Head of production planning department also works out projected annual raw material

requirement based on annual projected sales received from customer. After working out

quality wise requirement for projected sales along with schedule of availability at plant are

sent to G.M procurement for procurement and supply.

Job description

Head of production planning department

Head of production planning department carries out planning for raw material, formulating

and executing of contract review and market production orders. He assigns responsibilities

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to the planning officer and senior supervisor production planning. The planning officer

looks after the duty of head of Head of production planning department in his absence.

Head of production planning department is responsible for communication of quality

policy to all production planning personnel. He also ensures that the concerned personnel

properly understand the job responsibilities.

Deputy planning officer

To assist head of production planning department in carrying out planning for raw material,

formulating and executing of contract review and market production orders and day- to-day

activities of production planning department. She looks after the production planning

department in the absence of head of production planning department.

Senior Supervisor production planning

He assists deputy planning officer for day-to-day activities of the production planning

department. Also look after production planning department in the absence of deputy

planning officer.

Daily Stock of cloth/ Shawls/ Blankets as on daily wise made entries

Dispatched dates of finished goods consignment No, Vehicle No are daily entered in M.S.

Excel sheet for maintenance of records.

Human Resource Department of the Organization

Human Resource Department is not directly concerns with the customer satisfaction but its

policies are the integral part of the organizations achievement plans and its policies ensure

the right person to be hired, for the right and specified job, trained, evaluated, giving

incentives and hence by appointing right persons in the different functional departments

of the company. So Human Resource Department helps in the proper functioning of the

departments and if there are complaints against the products of the company or customers

are not satisfied with the products, it takes measures in order to determine the job

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specifications, hiring of the appropriate person or conducting the refreshing coursed etc.

hence leading towards goals achievement.

The Human Resource department of the organization operates in an auxiliary, advisory, or

facilitative relationship to other departments in the organization. Any staff unit, whether it

bepersonnel or otherwise, exists to help the line effectively. It has been created in the first

place to take advantage of specialized talent and knowledge.

Responsibilities

The Responsibilities of H.R Department of the organization generally are as following:

1. Policy Making

2. Advice

3. Service

4. Control

Policy Making

The executive in charge of the H.R Department is the individual most actively involved in

policy revision to cover recurring problem or to prevent anticipated problems. Ordinarily

these are proposed to the General Manager of the company, and it is up to the latters

authority that the policy is actually issued.

When proposing a new or revised policy the personnel director analyze problem that have

occurred in the past, survey other companies to determine how they handle similar

situations, discuss the matter with colleagues and subordinates and give due consideration

to prevailing philosophy in the organization.

Advice

A major portion of the activities of those engaged in staff personnel work is in the nature of

counsel and advice to line manager.

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Countless examples can be given. A shop foreman may be confronted with a grievance

over distribution of overtime. Another foreman may have the problem employee who he

feels should be disciplined or even suspended.

At the time of the annual performance evaluation of all personnel for their work during the

past year, the operating manager plays key role in advising operating manager on the

administration of the program. An apparent concerted slowly down may occur in the

department. It may have been instituted by the union or retaliation for the cutting of piece

rates the week before. How should production supervision handle this situation?

The H.R. Managers and their staff are expected to be fully familiar with H.R. policy, the

labor agreement, past experience and the needs and welfare of both the company and the

employees in order to develop a sound solution. Successful personnel specialists are people

centered. They feel sensitive wants and motives of other people. At the same time they are

continually aware of their obligation to preserve the structure and functioning of the

organization. In fact, this is really the essence of H.R. management. Management seeks to

direct and coordinate the efforts of the people that the goals of the organization are

achieved while at the same time providing need satisfactions for the members of that

organization.

Service

The service responsibilities of the H.R. department are obvious when one examines such

things; as employment, training, and benefits functions. The tasks of recruiting,

interviewing and testing job applicants are performed in the H.R. Department Training

programs are planned, organized and staffed through the H.R. Department. H.R.

Department must see that adequate instructional materials and facilities are available. Once

pension and insurance programs have been setup, all claims are dealt through the H.R.

Department. The maintenance of adequate employees records is a service function that

permeates all functional specialties within the personnel field.

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Control

The H.R. Department carries our important control functions. It monitors the performance

of line department and other staff departments to insure that they conform to established

personnel policy, procedures, and practices. The control function of the personneldepartment is quite comparable to the activities of a quality control group that measures

product variables to insure conformance to engineering specifications or to the activities of

the auditing staff that inspects accounting records to ascertain conformance with prescribed

standards.

General

The H.R. Department of the organization also bears the responsibilities of coordination

between the other departments of the organization in addition to the above. It manages the

people the most vital of all resources in work place and makes an important practical

difference in terms of three key organizational outcomes: (a) Productivity, (b) quality of

Work and (c) Profit.

Description of the tasks

I was not assigned any kind of specific project or task. I was there to observe and perform

the daily tasks in their guidance. I performed all those tasks which they assigned me in

their day to day work.

In PPO I used to

Record daily dispatched finished goods in M.S Excel for record maintenance.

Receive orders from the market.

Inquiring orders by sending working sheets to all the production departments to

confirm that either we can produce this order within the given time or not.

Receive confirmations from production departments.

Confirmation of the order to market or customer.

Arrange weekly meeting to discuss current production of the orders.

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During my training I performed and observed Personnel and senior IRO department of the

Lawrencepur unit;

Personnel manager/senior industrial relation officer and staff maintain personal files of all

employees of the unit and also maintain leave record for all employees including officers.

Daily attendance report made in time office department is received in personal and senior

IRO department after checking total month attendance it is sent to deputy manager account

for payment of the salary on every 10th of the month. Deputy Manager Account is

responsible for payment to all workers and ministerial staff on 10th of every month and

payments to all officers are made on every 1st of the month through banks.

Requirement of employees from heads of departments is made to the personnel and SIRO.

As a result they arrange interviews, tests time to time according the requirement of the

departments.

Any worker default/made mistake in any department during work or in workplace, head of

department reports to the personnel /S IRO department for action. Personnel/SIRO makes

arrangement; issues show cause notice regarding complaint by the head of department

against the employee and also conduct enquiry against the accused person.

Three types of leaves are maintained in Lawrencepur unit under Personnel and senior IRO

department:

i) Casual leave (10 days with pay leave given to all employees in the

calendar year.

ii) Earned leave (14 days annual leave with pay given to all workers

during the calendar year/ 30 days with pay leave given to ministerial

staff and all officers.

iii) Medical leave (16 days half pay leaves given to workers/ ministerial

staff and 15 days with pay leave given to all officers during the

calendar.

In the end of my internshipprogram I visited almost all the production departments:

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Top Store

Raw Material issued to Yarn Stores and Top Stores from General Stores. Raw material in

the form of Polyesters, Wool Tops, Acrylic Tops, Yarn etc. are purchased from different

countries of the world and the national market. These departments are playing vital roll inmanufacturing of fabrics:

Yarn Store

Yarn Store tells about the yarn which is used in the production of fabrics. DLL is

producing the yarn for its fabrics. Once yarn use as a raw material of fabrics but as a

product for sale to customer. Every year DLL take the order of the yarn for

manufacturing

Dyeing

The activity of this department is to receive and then dye of raw material which required by

Production Planning Office. Dyed raw material is being transferred to next department i.e.

Back Wash for further necessary action.

Spinning/ Twisting

In this department, raw material is twisted and shifted to spinning department. There are

many ring machines are installed. There are many workers who works 24 hours in three

categories i.e. shift A, B, C, and general shift.

Weaving

Weaving department plays a vital roll in whole manufacturing. Here are many weavers are

works who have a dynamic roll in the process activities.

Mending

Here the finished product is mending for completion of finished product.

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Finishing

In finishing department, there are two types of activities are held. First fabrics are wet and

second are dry is the last stage of the manufacturing the fabrics. Here in this department,

very costly imported machines i.e. dacatizing machine, decofast etc. which are completelycomputerized to control the production in a symmetric manner.

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Structure of the HR Department

Department hierarchy

Personnel

Sr. Industrial Relation

Officer

Conference Secretary

Fair Price Shop

1 Clerk, 1 Worker

Dispensary

1 Dispenser

Sanitation

8 Workers

Labor Office

3 Clerks

Tel. Exchange1 Officer

Time Office1 Officer, 2 Clerks

Officer Club

3 Workers

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Number of employees under HR department

No of total employees working under personnel department are 24 in Lawrencepur (unit of

Dawood Lawrencepur Limited. Four of them are officers of different grades. Ministerial

staff contains of six persons. Workers under this department are thirteen. A dispenser also

works under this department.

Sub-department under HR department

As I have mentioned earlier in the report that the companys HR department is working in

its Head Office Karachi. So we can say that herein Lawrencepur unit Personnel department

is working as a sub-department of HR department. Under this Personnel department many

sub-departments are working like:

Industrial Relation Office

Labor office

Time office

Fair Price Shop

Tel. Exchange

Dispensary

Sanitation

Officer Club

Functions of HR Department

Human resource planning and forecasting

HRP process

Human Resource Management Process refers to the activities necessary for staffing the

organization and sustaining high employee performance. Illustration below states the key

components of an organizations Human Resource Management Process. These consist of

eight activities necessary for staffing the organization and sustaining high employ

performance. The first three activities ensure that competent persons are identified and

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Forecasting HR requirements

The purpose of human resource forecasting is to estimate labor requirements at some future

time period. Such forecasts are of two types:

(1) The external and internal supply of labor and

(2) The aggregate external and internal demand for labor.

Each type is considered separately because each rests on a different set of assumptions and

depends on a different set of variables.

Internal supply forecasts relate to conditions inside the organization, such as the age

distribution of the workforce, terminations, retirements, and new hires within job classes.

Both internal and external demand forecasts, on the other hand, depend primarily on the

behavior of some business factors (e.g. employee enrollments, projected construction,

products volume) to which HR needs can be related. Unlike internal and external supply

forecasts, demand forecasts are subject to many uncertainties like in domestic or worldwide

economic conditions, in technology, and in consumer behavior etc.

After they have assessed both current capabilities and future needs, managers are able to

estimate HR shortagesboth in number and in typeand to highlight areas in which theorganization will be understaffed or overstaffed. With this information, managers are ready

to proceed to the next step in the HRM process

Methods to forecast HR needs

Forecasting future work requirements involves identifying the type of work that will need

to be performed to meet future organizational goals, as well as how it will be performed.

Inputs to identifying future work requirements for the organization include:

Organizational business plans and vision; and

Current workforce profile (including competency levels, composition and

numbers).

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Techniques for forecasting future workforce needs include:

Techniques When to use

Focus Group

Small group facilitated discussion enablesanecdotal evidence to be obtained

highly specialized fields, to gain information

quickly

Survey

Employee surveys of intentions can help

predict likely outcomes and identify

impending changes

Best conducted on a regular basis to obtain

trends, high reliability

Delphi technique

Draws together subject matter experts and

engages them in assessing likely impactsand their assessments of future directions

and trends

Specialized area, to obtain senior input

Force field analysis

Small group brainstorm force field analysis

to identify forces that promote and resist

change

Significant external barriers present

Scenario planning

Narrative statements of possible futures forthe organization

Lack of clarity and ambiguity of future

Employees recruitment & selection

The recruitment means the process of locating, identifying, and attracting capable

applicants. Recruitment process is the first step towards creating the competitive strength

and the strategic advantage for the company.

Selection

Selection is an exercise in prediction. It seeks to predict which applicants will be successful

if hired.

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Sources of candidates

Companies can use two types of sources to hire the people.

Internal sources

The employees are transferred from one department to another according to their

efficiency and experience.

The employees are promoted from one department to another with more benefits

and greater responsibility based on efficiency and experience.

Upgrading of present employees takes place according to their performance.

Retired and even working employees are used as employee referral in the company when.

In this way, Moreover, qualified people may be reached at practically no cost. Employee

referral programs may be perceived as discriminatory in practice, therefore, caution should

also be taken to ensure that a referral program does not result in discriminatory hiring

practices.

External sources

The external recruitment sources bring job candidates from the external environment using

different techniques.

Generally used external recruiting source is advertising through radio, television, and

newspapers. Through advertising, we are selective and indicate clearly the nature of a job

and required qualifications. Advertising also enables to target minorities through minority-

oriented media.

Employment selection process

The first step in the completion of the employment is applicants resume. Received

applications are initially screened to determine whether an applicant meets the minimum

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qualifications for the position as outlined in the Job Announcement. Applications meeting

the minimum qualifications are then reviewed by a Human Resources Analyst and a

subject matter expert to determine who is to be invited to continue in the examination

process. Qualified applicants in terms of relevant training and experience will be invited to

continue in the examination process.

Written tests are designed to determine the level of technical and/or analytical abilities

associated with the particular position for which candidates have applied. If candidates

receive a passing score they will be invited to continue in the examination process.

Once the List of Eligible Candidates is established it is sent to the Departments that are

hiring to fill a current vacancy. The HR Department Head is responsible for setting up

Selection Interviews. He/she may interview anyone on the list, since all persons referred to

the department are qualified. The HR Department Head will be looking for the candidate

with the best qualifications for their particular position. Then the candidates short listed by

the department are finally approved by the executive of concerned departments or units.

Employment is offered in the form of an appointment letter mentioning the post,

the rank, the salary grade, the date by which the candidate should join and other terms and

conditions in brief.

Training & development

Training need assessment

On-the-job training and coaching are performed by the line supervisor. It is the

responsibility of the personnel industrial relations group to determine training needs in

cooperation with the line management. Once the needs are established, the personnel

training specialists design a program to accomplish the desired results.

In DLL all workers are employed for one year training program on temporary base. Then at

the completion of training program of the mentioned period employees assessment takes

place. After assessing employees performance and behavior at work place selection is

accomplished as per requirement.

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This in turns helps in

Increased productivity.

Reduced employee turnover.

Increased efficiency resulting in financial gains.

Decreased need for supervision.

Increased knowledge and skill

Solving organizational problem

Employee development

Recruiting the best, creating an environment that values merit across the entire

organization, improving human resource policies, enhancing monetary benefits, organizing

social events, providing training and development opportunities and initiating human

resources planning, including career and succession planning, are the major objectives or

HRD.

Some things that the employee should consider in their own development include seeking a

variety of assignments, tackling tough problems and asking for feedback. When people

develop confidence, integrity, emotionally, they automatically become more proactive,solutions-focused, responsive, etc., which across a whole team has a cumulative effect.

A number ofbenefits that the firm has gained by conducting Employee Development:-

Increased job satisfaction and morale among employees

Increased employee motivation

Increased efficiencies in processes, resulting in financial gain

Increased capacity to adopt new technologies and methods

Increased innovation in strategies and products

Reduced employee turnover

Enhanced company image, e.g., conducting ethics training (not a good reason for

ethics training!)

Risk management, e.g., training about sexual harassment, diversity training

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Performance management

A process of establishing performance standards and evaluating performance in order to

arrive at objective human resource decisions as well as to provide documentation to

support those decisions.

Setting performance standards & expectations

Managers need to know whether their employees are performing their jobs efficiently and

effectively or whether there is need improvement. Evaluating employee performance is part

of a performance management system, which is a process of establishing performance

standards and appraising employee performance.

In Lawrencepur unit I observed that performance is measured on the standard of how

accurate is the work because the company do not compromise on the quality of their

product at any cost. Moreover the quality and speed of work is measured as I have seen in

the mending department its been checked that a worker has worked on how many pieces

in his/her duty hours.

Performance reports

Performance reports are written monthly by the head of each department in Lawrencepur.

These reports are maintained separately in each individuals file by the HR department. In

the end of each year performance evaluation forms are filled by the head of each

department about their employees and forwarded to the head office. On the base of these

reports employees are promoted.

Employee compensation & benefits

Compensation & benefits offered by the company

In case any employee passes away during the service DLL pays all his dues i.e.

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unrelated to worker behavior or performance. All of these changes bring about shifts in

status, and often in pay, of the employees involved.

Job changes with the organization

Internal Moves in the Organization

Promotion

The permanent movement of a staff member from a position in one job class to a position

in another job class of increased responsibility or complexity of duties and in a higher

salary range.

Promotions

Demotions

Layoffs,

Retirements,

Resignations

Transfers,

Relocations

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Any employee is promoted on yearly basis in DLL after recommendation received from

head of department as per company policy.

Transfer

The permanent lateral movement of a staff member from one position to another position in

the same or another job class assigned to the same salary range.

In DLL transfers takes place if any of the employee requests for transfer to the other

department through department head or if any department requires some one from other

department.

Demotion

The permanent movement of a staff member from one position in one job class to a

position in another job class of decreased responsibility or complexity of duties and in a

lower salary range.

DLL tries its best to do not demote any one but if any charge is confirmed on some one

then company is forced to demote the person.

Separations

Layoff

Layoff is the temporary suspension or permanent termination of employment of an

employee.

DLL had never temporarily discharged any of its employees.

Termination

Termination is a traumatic experience. Egos are shattered, and employees may become

bitter and angry.

Termination from DLL takes place due to the following reasons.

As a result of disciplinary action for serious work performance problems.

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During the newly hired period of employment for failure to meet job performance

requirements.

An enquiry committee will held meetings and then they take initiative, firstly they

gave a memo or warning as in which they Review process after the 90-day

probationary period granted for correction and Adjustment after receiving the first

warning.

When discipline procedures do not accomplish correction of the work performance

problem then an employee is terminated.

Resignation

In DLL an employee who voluntarily wants to resign has to notify his/her supervisor before

one month or 24 hours. If employee applies resignation on one moth notice period

company do not deduct any salary. If applies on 24hour notice company deducts one moth

salary from his dues. All other dues are paid.

Retirement

All employees of DLL will be retired at an age of 60. Company pays all the dues of the

retired person with one month extra salary.

Labor management relations

The principal tasks involved in handling labor relations are contract negotiation, contract

interpretation and administration, and grievance handling.

The H.R. Department plays very significant role in labor-management relations. The

director of industrial relation usually serves as a key member of the bargaining team often

acting a chief management spokesman. In operating on a day-to-day basis under the terms

of the labor agreement, line supervision often finds frequently occasion to consult the H.R.

Department regarding such matters like allocation of over time, handling of transfers and

layoffs, and the application of contract work rules.

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Critical analysis

Among all the resources possessed by the organizations it is only the Manpower or the

Human resources that create the real difference. Because all organizations can have the

same technology, they can possess same type of financial resources, same sort of raw

material can be used to produce the goods and services but the organizational source that

can really create the difference is workforce of the organization. Therefore they are the

main sources of innovation creativity in the organizations that can be used as a competitive

advantage.

The Human Resource management process and the department regulations, policies and

structures etc; all techniques are the ones which prevail and are practiced at the head office

of Dawood Lawrencepur Limited. Here the Personnel department is working as HR

department.

DLLs senior management cant focus on all activities of a business and the competencies

required undertaking them. So the goal of management is to focus attention on

competencies that really effect competitive advantage.

The company is lucky in the sense that the demand for its product is very high but

unluckily the supply is very low. So demand exceeds supply.

The company is producing high quality product not avalible in countrys local market

because of the lack of production in the plant. The reason behind this issue is that it seems

Right person is not at right job and also some internal and external problems like load

shedding of electricity and gas. Due to load shedding of electricity the orders are not

completed at right due to which customer loyalty is affected.

Instead company has monopoly in the market because no other company is producing such

high quality product. So the customers are bound to buy DLLs product.

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Lawernancepur branch is not at transition stage but still it has weaknesses in some areas

like: due to over time the cost of their product has become very high. Due to these kinds of

reasons operating profit has decreased by 38% in recent years. So DLL is decreasing the

number of its employees as they cant face the burden of salaries. There is a

communication gap between employees and management as mentioned earlier DLLs head

office is in Karachi and plant is in Attock-Communication and realization problems occur

between the plant management and the head office management. Lack of communication

effects the production. Management needs unity and coordination.

Payment package in DLL is not good so workers are dissatisfied. Lack of hiring young

employees new ideas for production efficiently are not avalible. If hired young people,

reasonable pays are not offered due to the reason employees leave from the job when everthey get opportunity.

In short, the practical implementation of the theoretical concepts is not partially but not

completely may be as per rules of the company or requirement of the company.

SWOT Analysis of DLL

SWOT is an abbreviation for Strengths, Weaknesses, Opportunities and Threats. We can

say the combined external and internal analyses are called the SWOT Analysis. Based on

the SWOT analysis, managers of DLL are identifying a strategic niche that the organization

might exploit.

Strengths

Strength of DLL, we observed that it has a technical expertise, skilled employees,

experience managers etc. as well as capabilities in performing the different functional

activates such as marketing, manufacturing, information system, human resourcemanagement etc.

There are specialized engineers such as Electrical Engineer, Mechanical Engineer, Quality

Assurance Manger, and Dyeing Master etc. These specialists are playing vital role in DLL

production.

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Following are the key strengths of DLL:

Pension, Gratuity, Annual Leaves, Medical Leaves, Causal Leaves etc.

2100 Kanal Land

Free

1) Accommodation (Mills Colony)

2) Utility (Gas, Electricity, Water 24 Hours)

3) Security

4) Pick & Drop (Only for Ladies)

5) Pick & Drop for Employees Children from Home to

School / College

Workers Participation Fund

Education Aces (Only for Non-Management Staff)

5 Meter Fabrics Free per worker (Excluding Management Staff)

Medical Facility (Group Medical Insurance for Management Staff + Social

Security for Non-Management Staff)

Marriage Fund (Only for Workers & Non-Management Staff daughters)

Training for New Hired Employees regarding their field.

Computerized Machinery

Big Inventory (above 80-85 Millions Rupees)

Annual Increments

Big Sound of ALARM (can be listened up to 15-20 Kilometer)

Hajj Package

WeaknessesThere are many weaknesses (W). Some are as:

Lack of a new product.

No R & D

Lack of TV, Radio, and Print Media advertising

Increasing ratio of complaints of fabrics

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Fabrics are not produced for general public.

Extra Ordinary overtime consuming The main reason of high prices of DLL

Fabrics.

Poor Infrastructure

DLL currently has a limited number of branches for customers to go to for

assistance.

(Minimum) Not seems to be Right person at the Right Job

Big old Inventory of Fabrics in Customer Warehouse

Follow the Thumb Role - The man of line

No realization of Company Goals by the managers to their subordinates and

workers

Violation of Procedures & Polices

Hold of Labor Union (Collective Bargaining Agents)

Uncertainty among the Management Staff due to

1) Low salary package and insecurity of service.

2) Also many difficulties are faced for attaining the rights / benefits

3) No justified Annual Increments

4) Home & Electrical Appliances facilities have been removed since

long time ago. Where as the non-management staffs are facilitated

by all these things.

It was noticed that there are huge amount in terms of overtime is spending without any

setting the organizational goals.

By making the huge amount of overtime, factory overhead departmentalization is

increasing gradually and shows the bad impact on the cost per unit of finished goods.

By increasing high cost per unit is the cause of low profit of finished goods.

It is found that, some of the management staff is not employed according to their

qualification & experience.

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The pay of worker has been revised twice within three years but the management staffs

pays have not been revised commensuration with the inflation. The management staff

therefore, is feeling the pinch of inflation and disheartened.

After the retirement of technical staff, the vacancies have not been filled according to

requirements of the job which result into production losses.

Opportunities (O) and threats (T) are external factors of DLL. These describe as under:

Opportunities

Demand for fabrics increasing 10% annually.

Monopoly in textile sector of the country

Good Work Environment (Well Documentation of Record)

ISO 9001-2000 Certified

DLL has Big Organization Customer (Air Force, PIA, Pak Army, Pak

Railways, Bangladash Air Lines etc.)

International Brand

Listed in Stock Exchanges

Brand Identification in the public

Maximum Outlet though out the whole country

Advanced Technology / Machines

Complete Fabrics Process (From Raw Material to Finished Good)

Raw Material, Dyes, Chemical, Spares import from the different part of the

world market.

Threats

Threats can be:

As DLL has four units i.e. Lawrencepur unit-Attock (our case study), Burewala unit

Dawoodabad-Vehari, Dilon unit Landhi-Karchi, and Dawood Cotton Mills, Landhi-Karchi

had merged in April, 2004. Out of three units has been closed except Lawrencep

Pro Line & Ogr Chart

Documents

Transcript of Pro Line & Ogr Chart