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MEASURING HR PRACTICES IN PACKAGES

LIMITED
INTRODUCTION:
Established in 1956 as a joint venture between the ALI GROUP OF PAKISTAN AND AKERLUND
and RAUSING OF SWEDEN, Packages Limited provides premium packaging solutions for
exceptional value to individuals and businesses in the most efficient, profitable and sustainable
way. We offer a complete range of packaging solutions including offset printed cartons and
flexible packaging materials to individuals and businesses world-wide. Our clientele includes
illustrious names such as Unilever and Pakistan Tobacco Company, who have been our
customers for over 50 years.


Packages Limited is listed on all three stock exchanges in Pakistan. Our joint ventures and
business alliances with some of the world's biggest names reflect our forward-looking strategy
of continuously improving customer value through improvements in productivity.
Packages has always been at the forefront of new developments in packaging research and has
pioneered several innovations, including the use of wheat straw as a raw material for paper and
board manufacture.
VISION:
Position ourselves to be a regional player of quality packaging and consumer products. Improve
on contemporary measures including cost, quality, service, speed of delivery and mobilization.
Keep investing in technology, systems and human resource to effectively meet the challenges
every new dawn brings. Develop relationships with all our stakeholders based on sustainable
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cooperation, upholding ethical values, which the shareholders, management and employees
represent and continuously strive for.
MISSION STATEMENT:

A leader in the markets we serve by providing quality products and superior service to
our customers, while learning from their feedback to set even higher standards for our
products.
A Company that continuously enhances its superior technological competence to
provide innovative solutions to customer needs.
A Company that attracts and retains outstanding people by creating a culture that
fosters openness, innovation, promotes individual growth, rewards initiative and
performance.
A Company which combines its people, technology, management systems and market
opportunities to achieve profitable growth while providing fair returns to its investors.
A Company that endeavors to set the highest standards in corporate ethics in serving
the society

CORE VALUE:
Good Governance
Our People
Customer Satisfaction
Work Environment
Conservation
Ethical Behavior
Whistle blowing Policy
VALUE STATEMENT:
We make sure that all our processes and methods conform to the highest ideals of professional
behavior. Our organizational structure is straight-forward and need-based; accountability is
transparent, consistent and both horizontal and vertical.
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NATURE OF THE ORGANIZATION;
Packages Limited is a manufacturing business entity. In manufacturing it is renowned
specifically for its unique ideology behind packaging. Company chose this business because the
evaluation of packaging in essence is the evaluation of mankind. It seems that the earliest cues
were provided by the nature. The form and shape of natures packaging varies from rigid to
flexible, simple to complex. The classic example of natures packaging is an egg.
Basically, Packaging can be described as a coordinated system of preparing goods for transport,
warehousing, logistics, sale, and end use. Packaging contains, protects, preserve, transports,
informs, and sells. It is fully integrated into government, business, institutional, industry, and
personal use.
PRODUCTS:
Carton Business Unit
Flexible Business Unit
Consumer Products
Mechanical Fabrications & Roll Covers
CULTURE OF ORGANIZATION:
The culture of our organization is TRADITIONAL, which is based on more than 50 years. We
maintain our culture by employing fresh people and train them according to culture.
Here are some key elements of Packages culture:
Openness and speech freedom.
Fostering innovation.
Promoting individual growth.
Rewarding initiative and performance.
Advancement
Updating learning and skills
Teamwork
Mannerism and punctuality
CORPORATE STRUCTURE:
Packages Limited has two main manufacturing divisions:
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The Packaging Division, provides multi-dimensional and multi product packaging
solutions to clients that are involved in manufacturing consumer product across
industries.
The Consumer Products Division, which manufactures off-the-shelf branded
consumer products.
Packages Lanka is a joint venture between Packages Limited and the Print Care Group of Sri
Lanka, and DIC Pakistan a joint venture between Packages Limited and Dainippon Ink and
Chemicals, Inc. of Japan.

LEVELS OF MANAGEMENT:
Lower level:
Foremen, supervisors
Middle Level:
H.O.D, Junior Executives
Top Level:
CEO, BOD

ORGANOGRAM:
ORGANOGRAM of our organization is FLAT. One business unit is headed by one manager.
There are different decision makers and all are reporting to GM.

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NO. OF EMPLOYEES:
1600. Out of which 800 900 is workforce, others are officers.
NET SALES (2013):
TOTAL NET SALES USD 135 MILLION
PROJECTED NET SALES 2014 USD 152 MILLION













`
Folding Cartons
USD 34 million
25%
Tissue
USD 26 million
19%
Flexible Packaging
USD 75 million
55%
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MARKET SHARE:









SHARE CAPITAL DECEMBER 31, 2013







10%
20%
13%
PRESENT PAID UP CAPITAL Rs. 844 M US $ 8.0 M
PRESENT SHAREHOLDERS EQUITY Rs. 42,090 M US $ 401 M
MARKET CAPITALIZATION Rs. 23,004 M US $ 219 M
SHAREHOLDINGS:
o FOREIGN SHAREHOLDERS 16%
o LOCAL SPONSORS 49%
o STATE OWNED / CONTROLLED CORPORATION 11%
o GENERAL PUBLIC 24%
o TOTAL 100%
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HR Department:
HRD was established in 1995 and MR. NAYAB was first HR manager. In 1997 MRNAYAB left
Packages Limited and MRS. ASMAJAVED took charge as the HR manager. Currently 3 people
are running HR department MRS. ASMAJAVED- the HRD Manager and HR executives MISS
SAIRA ASIF & MISS ASMAYOUSAF. The ORGANOGRAM of HRD is given below

MISSION:


To make sure that employees perceive their individual targets this ultimately helps in achieving
companys goals.
HRD Manager
Asst. Manager
HRD
HR Executive
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CURRENT SCENARIO:
We are restructuring the HR department of our organization to meet challenges. Earlier, HR
department was only responsible for training & development. Now the role of HR department
will be wider. New hierarchy will be developed. As HRD is going to expand its limitations so it
has to cater all the HR functions.(Recruitment & selection, compensation & benefits, training &
development, planning, orientations etc.)
ROLE OF HR DEPARTMENT IN GOAL SETTING:
HR department take part in goal setting policies. We set goals at the start of the year based on
our previous performance. HRD act as a business partner.
COMPETITIVE STRATEGIES:
Our main focus is on the career development of employees. We provide learning opportunities
and training to our new entrants as well as current employees. Our training program is almost
budget free. Whether the trainings programs are of Pakistan or outside the country, all are
considered
FACTOR OF EFFECTIVENESS:
Training
Recruitment & selection Policies
Fresh people are hired on the basis of test and interview. Hiring is only job based.
COST BENEFIT:
When HR functions will be strong, only then the right person will be on the right job. HR
department works for the skill enhancement of employees. It finds the needs of employee and
try to fulfill them in order to motivate them.
SAP(SYSTEM APPLICATION PROGRAM):
A TOOL OF INTERPRISE RESOURCE PLANNING
Packages limited implemented software applications program in the year 2000, and is using SAP
to fully integrate all its business processes SAP is an enterprise resource planning (ERP), which
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through a common data base allows the company to be fully integrated and be live in respect of
its business process information SAP products empower people to respond Quickly and
decisively to dynamic market conditions, helping business achieve and maintain a competitive
advantage by improving the response time and service to its customer.
FUNCTIONS OF HUMAN RESOURCE DEPARTMENT:
Recruitment & Selection
Succession Planning
orientation
Training & Development
Performance Appraisal
Assigning Projects to Internees

RECRUITMENT & SELECTION:
Packages is an equal employment opportunity employer. Human Resource department is
responsible for recruitment and selection of executives of Packages. The complete process of
recruitment and selection takes approximately 30 days. It starts when HRD receives a request
from the departmental head for hiring new employees for a vacant position. On getting
informed the HRD invites a wide pool of applicants through any or all of the following mediums:
Newspaper
Online Recruitment
Walk In Applicants
Educational Institutes
Mail
TYPES OF RECRUITMENT:
Recruitment at packages is both internal and external.
If an executive leaves the job, another employee of the organization through promotion
or transfer replaces him/her, however there is no concept of lateral entry in Packages,
Fresh graduates from reputable universities are hired in batches.
Entry is at management trainee level.
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COMMUNICATION:
It is cardinal principle of management that in order to be efficacious its communication with its
employees should be very effective. In packages following mediums are used to communicate
with the employees.
Office orders using dept. notice boards
Packages AKHBAR
Suggestion system
Back word integration strategies
Meetings
OPEN DOOR POLICY:
The employees are satisfied with the HR policies as they are fully disclosed and neutrally
practiced. If anyone has any kind of issue or any suggestions he/she can have the access to
management. The company is practicing with open door policy so the beneficial suggestion is
not only implemented but also rewarded.
WHISTLE BLOWING POLICY:
We are committed to high standards of ethical, moral and legal business conduct. In line with
our commitment to open communication, this policy aims to provide an avenue for employees
to raise concerns and reassurance that they will be protected from reprisals or victimization for
whistle blowing.
This whistle blowing policy is intended to protect the staff if they raise concerns such as:
Incorrect financial reporting.
Unlawful activity.
Activities that are not in line with Packages policy, including the Code of Conduct.
Activities which otherwise amount to serious improper conduct.

EMPLOYEE MOTIVATION:
We motivate our employees through:
Fair evaluation
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Growth Opportunities
Job Rotation
Fair Compensation
Job Security
Incentives
SUCCESSION PLANNING:
Packages is a company that offers long term career opportunities to its employees. There is no
concept of lateral entry in packages an individual begins his career as a management trainee.
Management trainee is trained and groomed according to the company<s requirements. As the
individual grows and shows his potential, he is considered for higher vacant post for which he is
transferred or promoted. The following are the grades of employees in Packages:
Manager II an above
Manager
Executive I
Executive II
Executive III
Management Trainee
For succession planning, a meeting is held annually where a list of employees for promotion is
evolved. The panel comprises of:
DM
DGM
HR Manager
Head of respective department
The panel holds discussion about employees of departments. The panel discusses various issues
regarding employees like strength, weaknesses, qualification, performance, experience,
seniority, and suitability for the position. These discussions are then recorded and reviewed
periodically so that action can be taken accordingly.

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PROCEDURE:
When a need of external executive recruitment arises, it is communicated via departmental
head along with the requirements to the HRD department. The HRD advertises in the
newspapers & collect CVs of interested persons from mail & internet. The eligible applicants are
listed according to their merit, which is calculated through formula. The number of applicants
to be called for the written test varies according to the number of vacant posts and is strictly on
merit. Candidates are invited for written test via mail through courier or e-mail at least five to
ten days prior to the test. The HRD decides the date and venue of the test. The candidates are
provided with the information about the pattern of the test , which carries 100 marks. The test
consists of the following parts:
Qualitative skills
Qualitative skills
Writing skills
Technical knowledge
IQ
The selected candidates are informed via mail or telephone about the interview. However the
candidates who fail the written test once are not given the second chance for the same
vacancy.
The first interview is called Preliminary Interview which is conducted by a panel of managers
to access the potential of candidates. It takes approximately 15 minutes for the panel to take
the interview of the candidate. The panel consists of 4-6 people. HRD is responsible for
constituting the panel, which comprises of HRD manager and a team of relevant departmental
heads.
The basic purpose of initial screening of the applicants is to eliminate those who do not meet
the requirements of the position although they have passed the written test. After the results
are compiled, successful candidates are called 2-3 later for final interview.
The final interview is goal oriented conversation in which most promising candidates appear. In
the second interview, GM makes the final selection and his decision is considered to be final.
During the interview HRD head accompanies GM. The last step is the candidates medical
examination, which is conducted by Packages CLINIC GULBERG. Those candidates who pass the
medical test are sent an appointment letter at least one week before the joining date whereas
the unsuccessful candidate are sent regret letters.
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ORIENTATION:
Packages Limited has a well-planned orientation program. In order to acquaint the new comer
with the organizational culture, functions of various departments and their locations, the newly
recruited employee attends a 2 weeks orientation program designed by HR department.
TRAINING & DEVELOPMENT:
Usually first three months act as the probationary period for the fresh recruit. This also acts as
the training period of the employee. In these three months the employee is usually not allowed
to work in any real life projects and based on the level of expertise they are induced to the real
life projects. In these three months the employee is tested indirectly and monitored and his/her
caliber judged and hence the management take the decision of where to place him.
As we know training means the process of teaching new employees the basic skills they need to
perform their jobs. So in packages training is given after the orientation, it has a specific time
period in which training is given to the employees. Almost 2 to 3 weeks are assigned for training
session. Our training program is almost budget free. Whether the trainings programs are of
Pakistan or outside the country, all are considered.
ON-THE-JOB TRAINING:
New or inexperienced employees learn through observing managers performing on the job and
trying to mold their behavior. Self-directed learning takes place in on-the-job training.
OFF-THE-JOB TRAINING:
HRD sends employees from different departments to different institutes for off-the-job
training where the variety of techniques are used for training which includes:
Simulation
Case studies
Business games
Role play
Behavior modeling
SELECTING THE TRAINING SOURCE:
The next step is to select the professional training center for the training course.
Packages uses the services of the following institutes for training its employees:
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LUMS
PIM
Beacon House Informatics
IMS
Employees Federation of Pakistan
PIQC
EVALUATION:
Evaluation refers to the process of collecting the training outcomes to determine if training was
effective or not. There are two evaluation criteria in Packages:
Formative Evaluation
Summative Evaluation
FORMATIVE EVALUATION:
Through formative evaluation HRD determines:
The training program is well organized and run smoothly.
Trainees learn and are satisfied with the program.
How to make the training program better.
SUMMATIVE EVALUATION:
It refers to determining the extent to which employees have changed as a result of participating
in the training program. It is done through:
Direct feedback from employees
Verbal feedback from employees
Next years performance appraisal
Presentation evaluation
EMPLOYEE DEVELOPMENT:
We develop our strengths through learning. People develop the most when they are able to
identify and cultivate their individual strengths and are provided with the right support and
encouragement to do so. This philosophy lies at the core of our training and development
programs.
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We have an institutionalized in-house training function, reflecting our commitment to building
a workforce culture where all employees have access to personal and professional growth
opportunities. Staff at all levels is encouraged to participate in these development programs. In-
house training courses and workshops are regularly organized. Some recent topics included
Communication Skills, Time Management, Leadership, Language Improvement, Productivity
Enhancement and Development Course for Supervisors.
We send approximately 60 to 70 employees abroad annually for training purposes, while over
300 persons are trained locally every year.
Adult education classes are held regularly for the workers' benefit.
PERFORMANCE APPRAISAL:
The process by which a manager or consultant
Examines and evaluates an employee's work behavior by comparing it with preset
standards
Documents the results of the comparison
Uses the results to provide feedback to the employee to show where improvements are
needed and why.
Performance appraisals are employed to determine who needs what training, and who will be
promoted, demoted, retained, or fired.
Performance appraisal form has been attached in appraisal.
PAY DETERMINANTS:
Industry wise Trend
Market Trend for the particular job
Internal pay structure
Pay structure in Multinationals
Minimum wages as announced by the Government
Agreement with the Collective Bargaining Agent
PAY GRADES:
Workers Grades:
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o Grade 1 to 5
o Grade D to A
Executive Grades
o Grade JE, JE-1, E3, E2, E1, E
Technical Grades
o Grades TE, TE-1 to TE-6
Specialist Grades
o Grades S-1 to S-4
Management Grades
o Grade M to M-4, & SM
CUSTOMER:








CUSTOMER SATISFACTION:
We are customer-driven; we go the extra mile to make sure our clients expectations are met
and exceeded on every issue. We partner with leading companies to arm ourselves with the
MULTINATIONAL
65%
LOCAL
35%
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latest technology and provide customers with innovative solutions in the most cost-effective
manner available.
TO SERVE CUSTOMERS:
We try to make our customer not only satisfied but delighted. Personnel problems are
addressed. Even investments are also made for customers. We have installed two new plants in
2001 & 2007 on the recommendation of our customers. Our most customers are multinational,
because they need good quality at right time.
WORKFORCE DIVERSITY:
Company has developed Systems, policies, procedures to work within the organization. Each
individual is bound to operate within these SOPs. Company does not interfere in the personal
attachments of the employees and nor the employees are allowed to reveal and practice their
personal affiliations within the company. Training relating to diversity is also given to them.
FEED BACK:
As Packages is mainly producing industrial product and therefore it uses B to B market
strategies. Most of its customers are multinational organization. Companys marketing and
sales force remains in contact with these customers and seeks their feedback on regular basis.
They work with the customers very closely to work on their problem and to resolve them as
well. Company does have a R&D Department who also introduce new methods and techniques
to overcome the customers problems.
APPENDIX
BENEFITS:
For us, the resources running Packages are not the machines, but the people. We do not seek
employees. We seek people who will think, feel, express themselves, learn, teach, and grow
with us. Their growth is the company's growth. That's how personal it is, for us. We have
designed an impressive range of facilities and services to free our people from worries and
allow them personal and professional freedom. These are just a few of the benefits we provide
for employee welfare:
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BONUS:
A cash bonus is paid annually to all employees.
CONVEYANCE ALLOWANCE:
This is also paid to all employees. Employees are also offered the option of buying vehicles at
reduced prices.
HOUSE RENT ALLOWANCE:
This is paid to all employees as a hefty percentage of their basic salaries.
EMPLOYEES' OLD AGE BENEFIT SCHEME:
The company contributes a percentage of workers' wages towards this government scheme,
which ensures a reasonable pension on retirement.
SUBSIDIZED FOOD:
The company has extensive cafeteria facilities which serve breakfast, lunch and dinner to all
employees at highly subsidized rates.
EMPLOYEES' CHILDREN EDUCATION:
The company pays an EDUCATION CESS to the government to ensure free education up to high
school level of at least one child of each employee, subject to rules and regulations.
ENVIRONMENT, HEALTH & SAFETY POLICIES:
The management of Packages has realizes that this world has finite resources and Eco system
has a limited capacity to absorb the load mankind is placing on it. That is why Packages Limited
is doing everything practically possible to lessen the load placed on the environment and is
making every effort so that sustainable development becomes a reality.
Packages Limited has formulated its environment, health and safety (EH&S) policies to address
these issues in a more effective way, Packages Limited shall:
Minimize its environmental impact, as is economically and practically is possible.
Save raw material including energy water and avoid waste.
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Ensure that all its present and future activities are conducted safely, without effecting
the health of its employees, its customer and the public.
Develop plans and procedures and provide resources to successfully implement this
policy and for dealing effectively with any emergency.
Provide environmental, health and safety training to all employees and relevant persons
to enable them to carry out their duties safely without causing any harm to themselves,
to other individuals and to the environment.
Ensure that all its activities comply with national environment, health and safety
regulations.
EFFLUENT AND WASTE MANAGEMENT:
Discharged water from the paper and board mill goes to a septic tank where heavy, insoluble
material settles down and is constantly scooped out. Specialized cleaning equipment removes
the residual sludge and suspended particles. The suspended solids are separated and treated
on sludge de-watering equipment and thickened for disposal.
The introduction of the new method of using wheat straw as a raw material was a bold step
partly aimed at reducing the chemical load of the effluent. An even bolder step was taken with
the import of Chemical Recovery Plant in 1997. Black liquor, which poses severe difficulties in
the effluent treatment system in any pulp mill, is concentrated in this plant to 58% solids and
then incinerated in a waste heat boiler, where organic impurities are destroyed and the steam
generated is utilized for evaporating the incoming liquor. The ash, containing inorganic
compounds, is dissolved in water to recover any available chemicals.
WATER MANAGEMENT
This is a recent part of the green policy adopted by Packages. It includes reduction of the usage
of water in all stages of its processes. Better water management has led to better utilization of
water and other raw inputs.
INDEPENDENT ENERGY HOUSE
Packages is self-sufficient in its power generation capabilities with an installed capacity of
26MW. A local boiler meets the company's steam demands.