Submitted by;

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 DEDECATION
　

The Holy Prophet Muhammad (S.A.W.) The greater Social reformer and
guide in every sphere of life. My affectionate parents who taught me the first
word of speak and supported me morally and financially throughout my
studies.

ACKNOWLEDGEMENT

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“In the name of Allah, the most merciful and beneficent”

I would like to thank Almighty Allah who made me able to complete this internship
report by utilizing my skills and knowledge. I am also thankful for giving me spirit of
patience, consistency and courage during my internship.

I am also grateful to the Virtual University of Pakistan, especially regional office that
provided me a chance to explore my skills, qualities, abilities and potentials through
internship program. I am also thankful to my teachers for giving me chance to show the
best of my abilities during the period of my internship.

At Sitara Textile Industries limited, I would like to thank Mr. Saleem Chaudry, GM (HR
& A) who provided me full opportunity to start internship and accumulate first hand
comprehensive information’ during my internship. I am also obliged to different persons
like Mr. Zafar Iqbal, Mr.Tariq Mehmood and Mr. Ghulam Mustafa who provided ever
information I needed during the course of my internship.

Last but not the least, I am also thankful to my younger brother and best friend of mine
Mr. Umar Khatab whose management experience and tips regarding internship are
always helpful for me. Without his encouragement and guidance it might not be possible
for me to complete my MBA so successfully and smoothly.

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

　
　
　

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 Executive summary

In this assignment I have describe about the Sitara textile industries

Human resource department functions, process, objectives, roles & their goals

in the organization. These all term include these recruitment, selection, and training

& development, motivation & maintaining of employees. The human resource

departments of Sitara textile industries have many ambiguities in there recruitment,

selection, training & development, motivation & maintaining process. I have

recommended much useful suggestion for the refinement of the whole process

According to my knowledge.

Table of Contents
Acknowledgment………………………………………………………… 3

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Executive Summary……………………………………………………… 4
01: Introduction: …………………………………………………….. 6-10
a: introduction………………………… 6-7
b: mission statement………………….. 8
c: vision statement…………………… 9
d: core values & ethics………………. 10
02: objective of organization studying……………………………….. 11

03: overview of the organization…………….………………………. 12-15

a: brief history…………………………… 12
b: nature of the organization……………. 12
c: profile of the employees……………… 12
i- top level hierarchy………………. 13
d: profile of processing employees……… 13-15
04:Organizational structure ………………………………………………. 16-17
a: main office…………………………… 16
b: HRM operation……………………… 16
i- HR planning………………… 17
05: Structure of HRM department ………………………………………… 18
06: Function of HRM department ………………………………………… 18-19
a: major function ………………………. 18
b: support to other department ………… 19
07: Critical analysis ……………………………………………………….. 20-23
a: requirement analysis ………………… 20
b: data gathering ……………………. ... 21
c: system design ………………………. 22
d: implementation ……………………... 23
08: Short fall / weakness of HRM ………………………………………….. 24-25
a: planning ……………………………. 24
b: recruitment ………………………… 24
c: training & development …………… 24
d: compensation plans ……………….. 24
e: evaluations ………………………… 25
f: movement & replacement …………. 25
09: Conclusion ………………………………………………………………. 26
10: Recommendations ……………………………………………………….. 27-28
11: references ……………………………………………………………… 29

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1. Introduction:
The name “SITARA” emerged on the horizon of Pakistan soon after its inception in the
year 1947.the start was modest with limited space to work and meager resources to cater,
but devotion and dedication blended with untiring honest efforts soon flourished to bear
the fruits.

Sitara meaning “A STAR” really proved to be the symbol of bright future for the
company and now Sitara is the most successful group in Pakistan. Sitara Textile
Industries gave birth to the following units and become a “SITARA GROUP OF
INDUSTRIES “

1- Sitara Textile industries Ltd

2- Sitara Chemical Industries Ltd.

3- Sitara Spinning Mills Ltd.

4- Sitara Energy Ltd.

5- Sitara Fabrics Ltd

6- Sitara Enterprises (Pvt) Ltd.

7- Sitara Hamza (Pvt.) Ltd.

8- Yasir Spinning Mills

9- Sitara Peroxide Ltd.

10- Aziz Fatima Trust Hospital

11- Ghafoor Bashir Children Hospital

12- Aziz Fatima Girls High School

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 Sitara Textile Industries Limited

Sitara Textile is one of the largest manufacturer and government accredited exporter of
textile in Pakistan having assets of worth more than US$ 4.00 Billions, bleached, Printed
and dyed fabrics. The total area of the subjected premises consists of 102 Kinal 17
Marla’s (12 Ackers 7 Canal) (553844 sq. ft.) with covered area approximately 332,718
Sq. ft.

Establishment and Growth

Sitara Textile established in late 50s with the name of “Sitara Calico Printing” at
Maqbool road Faisalabad. Initially the printing was carried out mostly by orthodox
method but soon after its balancing modernization and expansion the company was
renamed as “Sitara Textile Industries (Pvt.) Ltd.”In 1969. And it has been registered in
Security and Exchange Commission in 1996 at presents its posses most modern
processing machinery form Switzerland, Germany and England.

Sitara captures a wide market and its products are appreciably accepted throughout the
Pakistan most popular SAPNA lawn and Mughal-e-Azam Lattha are its major products,
contributing towards the national economy, export figures range from 10 to 13 million us
dollars per day.

Sitara Textile Industries are proud to be able to make a major contribution to the general
economy well being of the Pakistani government and its people by earning valuable
foreign exchange and through their job creation and training schemes.

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Mission
Continuing growth and diversification for bottom line results with risks well contained.

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Vision
Strive to develop and employ innovative technological solutions to add value to business
with progressive and proactive approach.

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Code of Ethics and Business Practices
We believe in stimulating and challenging team oriented work environment that
encourages, develops and rewards excellence and diligently serve communities,
maintaining high standards of moral and ethical values.

　　

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2. Objective of studying the organization:
My objective of studying the Sitara Textile Industries Limited is to know about the
following things:

1. How management is analyzing work and planning for people?

2. What factors are most important to consider in developing a recruitment policy?

3. What screening and selection methods are available, and which ones are most
accurate?

4. To know how management respond to a union organizing campaign?

3. Overview of the organization:　

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3.1 Brief History

The name of SITARA emerged on the horizon of Pakistan’s textile industry in 1959,A
modest limited financial and other resources available, soon flourished to bear full owing
to the determination and dedication of its workers, An honest approach in dealing , with
customers, vendors and related agencies, took the group a step ahead and is a vital
contributing to its’ success today. At the moment Sitara Textile is the leading industrial
group of Pakistan, owing assets more than US$ 4 billion. The Sitara Group of Industries
deals in Textile, Chemicals, Energy, Health and Education sectors.

3.2 Nature of the Organization

Sitara Textile Industries Limited a fabric woven with tender care and dyed in the brilliant
shades of nature adds elegance and magnificence to this world.

Sitara Textile is a manufacturer of such fabulous fabrics: fabrics that speaks of unparallel
quality and unmatched comfort. Sitara Textile specializes in producing high class fabric
product made of superior quality materials and possesses state production facilities in
made ups and fabrics for various consumer needs. The company makes use of the latest
technical equipment to make sure that each product is original in style and shows
exquisite craftsmanship. Sitara Textile is a company believes in originality as character
and quality as foundation. The entrepreneurial spirit of the company assiduously seeks
constant development, steady progress and outstanding performance.

3.3 Profile of Employees

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

is dependent on, what type of management an organization has. Sitara Textile industry is
a well-reputed organization. They have very effective and efficient management. There
are five major departments and over 1750 employees working including top and middle
level.

Departments are:

1- Administration 2- Processing

3- Finance 4- Export

5- Marketing (local)

All the departments have general mangers as their heads except marketing (local). In top
level hierarchy GMs works in coordination with the board of director to meet with the

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long term and short term goals. These goals are set and checked at the end of each
financial year.

Top Level Hierarchy

1. Chief Executive Officer

2. Director Finance

3. Director Export

4. Director Processing

5. GM Admin

6. GM Local Marketing

(Organogram is attached herewith)

3.4 Profile of Processing Employees

Processing department is that department where the product is actually come to the
condition of selling. Raw material is changed to finished cloth by a systematic way. This
systematic way consists of 8 more sub departments that play their important role to
convert iron to gold. These departments are:

Grey room
Bleaching Department
Dyeing Department
Engraving Department
Printing Department

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 Finishing Department
Packing Department
Laboratory
Engineering Staff
Sitara Sapna Lawn
Sitara Sapna Lawn ( white and dyed)
Sitara Sapna Latha ( white and dyed)
Sitara Sapna Cambric ( white and dyed)
Sitara Mughal-e-Azam Latha
Sitara Mughal-e-Azam Lawn
Sitara Mughal-e-Azam Cambric
Sitara Mughal-e-Azam (Embroidery)
Sitara Mughal-e-Azam (Collection)
Sitara Universal Cambric (white and dyed)
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 Sitara King To U KT ( white and dyed)
Sitara Comandar Latha ( white and dyed)
Sitara Supreme Lawn
Sitara Supreme Cotton Cambric
Sitara Cotton Club Cambric (white and dyed)
Sitara Supreme Lawn (white and dyed)
Sitara Quilt Print
Sitara Medlean Print
Sitara Swiss Gold

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 4. Organizational Structure:
　

4.1 Main Offices

Following are the list of main offices of Sitara Textile:

Sitara Textile Industries Limited, 6-KM, Sargodha Road,

Faisalabad.

Sitara Sales Point, Ajman, Dubai

Sitara Sales Office, Islamabad
Sitara Sales Office, Karachi
4.2 HRM Operations

At a general level, it is important to analyze training needs against the backdrop of

organizational objectives and strategies. Unless you do this, you may waste time and
money on training programs that do not advance the cause of the company People may be
trained in skills they already possess the training budget may be squandered on rest and
recuperation sessions, where employees are entertained but learn little in the way
required job skills or job knowledge, or the budget may be spent on glittering hardware
that meets the training director’s needs but not the organization’s.

It is also essential to analyze the organization’s external environment an internal climate.

Trends in the strategic priorities of a business, judicial decisions, civil rights laws, union
activity, productivity, accidents, turnover, absenteeism, and on the job employee behavior
will provide relevant information at this level.

However, assessing the needs for training does not end here. It is important to analyze
needs regularly and at all three levels in order to evaluate the results of training and to
assess what training is needed in the future.

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 At the organizational level, senior managers who set the
organization’s goals should analyze needs.

At the operations level, the managers who specify how the
organization’s goals are going to be achieved should analyze needs.

At the individual level, the managers and workers who do the work to achieve those goals
should analyze needs, keeping in mind that performance is a function both of ability and
motivation.

4.2.1 Human Resource Planning

Human resource planning is all about measuring the organization need to identify the
numbers of employees and skills required to do those jobs. Further, an understanding of
available competencies is necessary to allow the organization to plan for the changes to
new jobs required by corporate goals.

At sitara, major changes according to economic and social environments are required
purchasing new and additional office equipment to enhance efficiency e.g., computer
hardware or software, coping with the recall of a defective product and dealing with the
need for a new design e.g. new automatic rotary machine.

This suggests several specific, interrelated activities that together constitute an human
resource planning system.

They include:

A talent inventory to assess current human resources and to analyze

how they are currently being used.

A human resource forecast to predict future HR requirements.

Action plans to enlarge the pool of people qualified to fill the projected
vacancies through such actions as recruitment, selection, training,
placement, transfer, promotion, development and compensation.

Control and evaluation to provide feedback on the overall effectiveness

of the human resource planning system by monitoring of HR objective.

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5. Structure of the HRM Department:
　

5.1 Number of Employees working in HRM Department

Now I’ll discuss the personnel management of Sitara Textile Industries Limited under
various steps of Human Resources Management Sitara Textile also knows this fact and
has personnel department right at the entrance of main gate of mill. Personnel
Department of Sitara Textile can be critically analyzed on the basis of various steps of
human resources management process.

First I would like to describe the ware bouts of department. Department is situated in an
old building which was constructed at the time of establishment of Sitara Textile and
department was named as labor department. Recently three or four years ago name of
department was changed to personnel department. There are only 5 personnel who
actually handle the department’s affairs and about 1500 employees are working. There is
great work that is to be done by 5 persons and they feel burden on themselves.

6. Functions of the HRM Department:　

6.1 Major Functions

Every organization whether it is a multinational conglomerates a small business, a

religious institution or a government agency depends on people. Appropriate candidates
for each job from chairman of the board to night shift janitor must be located either inside
or outside the organization and they must be convinced by pay benefits and working
conditions to take and keep the job. They must also be trained and motivated. Handling
these functions is part of human resources management’s job. they feel burden on
themselves.. There are six steps.

1. Human resources planning

2. Staffing

3. Training & Development

4. Compensation Management

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5. Employee Evaluation

6. Employee Movement and Replacement

6.2 Supports to Other Departments

Through job rotation policies and by extensive interaction with managers in all other
functional areas. Unless these executives are perceived as equals by their corporate peers,
their ability to make significant contributions to the firm will be diminished.

Require the senior HR executive to report directly to the CEO. At present this occurs in
about 70 percent of companies nationwide. Consider whether any corporate resource is
more important than its people. Ensure that the top HR officer is a key player in the
development and implementation of business plans—providing early warning regarding
their acceptance and serving as the CEO’s window on the organization and as a sounding
board.

Representatives from HR and line managers from the business unit generate key business
strategies for the coming year. To do so, they identify major external and internal factors
that may have an impact on the future of the business, together with future customer
requirements. The result? A business unit annual plan that outlines

Major driving forces in the business unit.

Major business initiatives in the business unit.
Primary directions.
Major priorities for key executives of the business unit.

Managers who have used the strategic blueprint process emphasize that its single greatest
benefit is this: if forces HR managers to concentrate solely an critical, value adding
activities. Such an approach is sorely needed, as a recent American Management survey
of 1500 HR managers found. When asked how well HR strategy is linked to business

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results, 6 out of 10 respondents said it was either not effective or just somewhat effective.
Only 3 percent characterized the linkage as “world class.”

　
7. Critical Analyses:

7.1 Requirement Analysis

Job analysis also provides the basis for developing job specifications. Job specifications
are a statement of the human qualifications required to perform the job. Among the
qualifications which are often included in job specifications are the following.

Educational standards which may spell out, for example, degrees attained, such as a B.S.
in engineering.

Experience requirements, such as two years of general clerical experience for the
position. This job requires directing the work of from two to ten clerical employee, and
therefore would normally require some prior experience in actually performing clerical
duties.

Skills requirements, such as typing 80 words per minute, or being able to take dictation
by an executive etc.

Requirement analysis has performed thoroughly at Sitara Textile for the purpose of job
analysis by HR department.

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7.2 Data Gathering

There are four basic technique generally used for gathering about different jobs.

Interviews in some cases, job analysts may interview the employee

who is performing the job, the supervisor, or both. This technique may be
time consuming, and the danger exists that employees may exaggerate the
importance of their jobs. At Sitara Textile interviews are conducted for
certain types of investigations in cases of breakage of rules and
regulations. Interviews are also conducted for search of a new candidate
but these interviews are just mere formality rather than having
professional approach.

Observation A second approach to information gathering in job

analysis is having the analyst actually observe the individuals performing
a job and record observations while doing so. In some instances this
method is very useful, but under certain conditions it becomes more
difficult if not impossible. At Sitara Textile this technique is implemented
in some cases, observations have done for performance judgment and
competency of work force.

Questionnaires Probably the least costly method of collecting job

analysis data is by using questionnaires. Well designed questionnaires
have been claimed to be “the most efficient way to collect a wide array of
job data and information in a short time. However, there is the danger that
a responder will not complete the questionnaires, complete it inaccurately,
or take an excessively long time to return it Sitara Textile usually does not
use this sort of technique to collect the data.

Diaries or Logs A fourth approach is to utilize diaries or logs in

which employees record their daily activities and tasks. In addition, those
activities performed at infrequent intervals must also be noted. Because of
the difficulties connected with this procedure, portable tape recorders may
be utilized to assist in maintaining a record of such activities.

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 HRM department has not any systematic procedure for using the diaries or
logs for the purpose of data gathering.

7.3 System Design

When choosing a system, always remember that the selection is not expected to last
forever. That thought should provide a glimmer of hope and some optimism, too. The
selection is important and should be taken with great care. At the same time, you should
acknowledge that if something better comes along or if circumstances change, you might
have made different choice.

Develop detailed project plan

Develop user groups
Purchase hardware
Develop independent focused computer applications.
Implement independent applications as ready
Modify in house forms
Modify/customize initial systems
Establish procedure
Convert data Train HRIS staff
During my internship at Sitara Textile, I found that HR department uses to develop
various user groups for example there is separate software running for the work force of
processing department and similarly for stitching department. Oracle software’s are in
use for the employee’s pay roll system and pay breakup, all the programming has been

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done by IT department. In pay roll system there is a employee form where the data has
recorded and pay break up system is also the part of these pay roll forms. There exists
auto generation system at Sitara Textile, employees attendance is being checked through
hand scanning recently changed from old procedure of card scanning.

7.4 Implementation

Following are the points which theoretically I read during course of my study

Implement HR core
Train other HR users
Make system available to HR functional specialists
Refine HR core
Establish mainframe micro link
Conduct field analysis
Develop procedures for distributed processing
Prepare technical documentation
Develop/work on other modules
Test system and user acceptance
Implement additional modules

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 Maintain/enhance
　
　　
8.Short-falls/Weaknesses of the HRM Department:
8.1 Planning

At Sitara Textile I think very small importance is given to personnel as far as planning is
concerned. Upper level management like CEO and Director give low attention to this
department. Personal Department does not search for and does not know whether there is
need of new employee at same job or not. They only know who is going out and there is a
vacancy at the place of out going employee. I have examples for such employees who are
doing work of two or three men. There should be better planning for that in order to
achieve organizational goal. If the goal is to minimize the expenses it is not proper way to
control and is not legally and ethical acceptable.

8.2 Recruitment

At Sitara Textile recruitment is done internally as well externally. Recruiting is to attract

qualified people to apply for positions with an organization. Sitara Textile do not
advertise their job in newspaper but let the people be informed by existing employees.

Most of new employees are hired on reference basis. There are various authorities to hire
the people for various positions. If position of job is that employee would be paid
Rs.4,000/- monthly, personnel manager has authority to hire this employee. The finance
manager hires employees having salaries below Rs.7, 000/- monthly. And job of value
higher than Rs. 7,000/- per month is up to CEO or Director.

8.3 Training & Development

At Sitara Textile every new employee trains himself at his own because training is not
done or given properly by the organization. Employee’s new colleagues teach him
manners of his job. Sitara Textile does appoint trainee employees who are trained by the
existing employees and these trainees are sometime hired for actual jobs. These hired
trainees are beneficial for Sitara Textile because they are already trained and understand
their jobs. If there is new employee hired who was not trainee at Sitara Textile suffers
because of that Sitara Textile do not have proper training program.

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8.4 Compensation Plans

As Sitara Textile is an industry of conservative type therefore compensation and reward

system is not very much impressive. Compensation level of Sitara Textile is low that is
way qualified and talented people hesitating to join Sitara Textile. There are low basic
pays offered. One good thing is that including allowances, pays become double of the
basic. But gross pay remains at the low level as compared to the other industries. All the
textile industries in Faisalabad have low level of compensation except few, so as Sitara
Textile. Various allowances are given to employees like medical allowances, attendance
allowances and etc. Attendance allowances are only for those employees who are taking
less than Rs. 5,000/- gross.

As compensation level is low therefore employees are not very much motivated.
Motivation level and morale of employees are low which affects the periodicity of the
organization. It is fact that Sitara Textile is well reputed organization and covering
productivity requirement but if morale and motivation levels are brought high the
productivity could increase. Anyhow Pakistani work force are scared and compelled to
take whatever any body gives because of unemployment. Some think is better than
nothing.

8.5 Evaluation

Sitara Textile performance of the employees is evaluated on the basis of what has been
expected from them. The upper level management evaluates performance. Upper level
management sees how an employee is performing on his assigned position. It is done
through observing and comparing the productivity of the organization with the expected
productivity. The results of evaluation are used in movement of employee inside the
organization or outside the organization.

8.6 Movement and Replacement

nd is voluntary severance and
At Sitara Textile movement is of three types one is promotion 2
last is termination. In case of good performance promotion or increment is given to the employee and is case of
mistake or misbehave only one way that is termination. Sitara Textile do not care employee turnover or things like
that, they just replace that employee. In this way movement of employees takes place at Sitara Textile.

This is all about the short-falls and weaknesses of HRM department of Sitara Textile. Despite the fact that
department and personnel management is not very good Sitara Textile has great productivity capacity. Emergence
of all other industries in Sitara group of industries is example of excellent of Sitara Textile.

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9. Conclusions:

All the sub departments of processing department like bleaching, dyeing, printing and
finishing are working under laboratory instructions so laboratory is playing role of executive in
quality control.

All the schedules of bleaching, dyeing printing and finishing are prepared by the laboratory
instead of related management or HR department.

There is lack of human resource planning, lack of recruiting activities lack of job analysis,
compensation and reward system is not very much attractive and employees are not well
motivated in Sitara Textile.

One good thing of this department is that the department let the employees follow the rules
and regulations set by the organization strictly. Attendance is strictly checked and leaves as well.
So there are good and bad both present in the human resource department of Sitara Textile.

HRM department is not established and not considered to be very much important. Low
attention is paid to this department by upper level management.

There is lack of human resources planning, lack of recruiting activities and lack of job
analysis.

Compensation and reward system is not very much attractive and employees are not well
motivated in Sitara Textile.

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10. Recommendations for improvement:

Organizations big or small profit or unprofitable have problems and there are always chances of improvements. This
is also the condition for Sitara Textile. As problems and difficulties have been identified, now here are some
suggestions that may help the organization to improve. This is also the condition for Sitara Textile. As problems and
difficulties have been identified, now here are some suggestions that may help the organization to improve.

In processing department there is a need of skilled workers. There are certain departments
of processing in which employees have been working since long but their efficiency is not
improved and unsatisfactory results come out sometimes. The skilled labor will not only
improve the efficiency but also will improve effectiveness. There should be chances given to
skilled workers to enter the organization.

There should be female artists and designers in design department as females have
naturally more esthetical qualities than males. They will really improve the quality of designs
and will introduce more innovative design.

Expanding product lines that will give more variety to people of country could extend local
marketing and ultimately sales would be increased. There should be more staff in local
marketing department to enhance the sales figure and to capture wide area of local market.

There is need of better working condition in personnel department. Employees of this

department are working in very poor condition, chair is broken, and air conditioning facilities are
not properly in some department like HRM department. That is why morale of employees
working in department is low and they are not motivated for doing jobs. This area should
carefully be examined and solved.

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 There is need to increase the staff in this department only three or four persons are working
with all the affairs regarding let the employees abide by the rules and regulations, recruiting,
selecting and other activities. This area should carefully be handled to attract skilled employees
and ultimately to enhance efficiency and effectiveness.

Job analysis should be done to know what are the jobs needed in the organization. I know
some persons who are doing the job of two or three persons.

Compensation and reward system should be brought at higher level in order to let the
employees be motivated and happy.

There should be more fringe benefits for the employees taking into consideration there
devotion skill and experience. This higher level would make the employees more efficient and
effective.

There should be little compensation for trainees as well as they can fulfill their day to day
traveling and food expenses. By doing this trainees will show more interest, more devotion,
more potentials and will work with full mental and physical efforts.

The first aid and other medical facilities should be provided to the employees with in the
mill area. There is continuous working in the mill and every time there are chances of any
accident or unpleasant incident. So in order to handle this type of situation the first aid
dispensary should be there in the mill area.

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 REFERENCES AND SOURCES OF STIL:

I collect the all information about the Sitara Textile Industries Limited (STIL) for making HR assignment. The
references & Source of information are as fellows:

Source:

http://www.sitaratextile.com/

http://www.google.com

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