HOSTEL FACILITY AT IOBM

LETTER OF AUTHORIZATION
Group Members

MBA (R) Class Institute of Business Management Karachi Date: November 8, 2011 Miss Kausar Saeed Institute of Business Management (IoBM) Karachi Dear Students; I have given you the assignment of preparing a detailed business research report on any good business problem or opportunity or may be you can prepare a report based on a problem related to your institute or may be on some other factors. The purpose of this term report is to enhance your professional skills in terms of practicality and research skills. The body of report should be prepared and presented to me by November 8, 2011 It should be a survey research for the collection of primary data. You may use secondary sources for gathering information. I would like you to make use of SPSS software for feeding and analyzing the data. It would be better if you support your findings with visual aids that would illustrate the facts in a more meaningful form. Looking forward for a well prepared term report in alignment with the enthusiasm I showed in teaching you the course material. Sincerely, Miss Kausar Saeed Institute of Business Management

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LITERATURE REVIEW

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Introduction of the Company

Orient Energy Systems is one of the leading industrial equipment suppliers in Pakistan. It was established in year 1996. Orient has offices in three countries Pakistan, Bangladesh and UAE. In Pakistan the offices are located in Karachi, Multan, Faisalabad, Islamabad and Lahore. Orient Energy Systems is one of the fastest growing companies in Pakistan specializing in industrial engineering products, services and solutions. Orient is recognized as a company representing the most advanced engineering technologies in the world at the same time facilitating its customers in achieving the most economized operations as well which is a real need of our industry. Orient has been contributing significantly in developing technological solutions for its customers, and has revolutionized the products and services.

Background of the Problem

Karkay power plant is a rental power ship which operations are under control of OES. There are around 200 people employed at Karkey. Most of the employees are trainee engineers who are supervised by the shift in-charges and senior managers. In the recent months, the management of Karkey has experienced a high turnover ratio of trainee engineers. Not only that, the performance of employees has declined as power supply from the city has been stopped on numerous occasions. Furthermore, the absenteeism rate has also increased. All the aforementioned issues indicate that there is some serious problem with employee morale. It is important to note that there is not any separate HR department at the power plant. The accounts and admin department also deals with the HR related issues. The hiring needs are raised by the shift managers and the hiring approval is given by the General Manager of the plant. The management wanted to find out whether the low employee moral issues are a result of the absence of the HR department or not.

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RESEARCH METHODOLOGY
SAMPLE DESIGN
Rank of Employees labor and Trainee Engineers Supervisors and Senior Managers Total Employees Number of Employees 60 6 66

Our population includes every OES employee who works at Karkey Power Plant. Since there are not any female employees, our sample includes only male employees. However, since trainee engineers is an entry level position, therefore, majority of our samples are young people who have recently completed their education, rest are labors. The aforementioned table shows the distribution of our samples. Since, the study is targeted mainly towards the trainee engineers; 86% of our sample population consists on trainee engineers, rest are supervisors and senior managers.

RESEARCH DESIGN
We decided to use exploratory approach for this search. In order to get our findings, we relied both on primary as well as secondary data. Our sources of secondary data are: Scholarly Journal articles published on the same topic Previously Conducted Research

Our sources of primary data are: Questionnaires: To collect the data, we distributed questionnaires among a representative sample of trainee employee

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Interviews: response.

We also conducted one on one interview of managers to get detailed

We used convenient sampling approach for this study. This is because we conducted the research at a power plant, where employees work in shifts. Thus, convenient sampling approach was the best approach in that situation. We also recorded the name and contact number of every respondent for the back checking of the data. While collecting data, we gave every respondent a specific code that made him feel confident while filling out the questionnaire. This approach has made us enable to get unbiased data. The reason is, even though we assured our every participant of extreme level of confidentiality, the presence of name section could have forced them to fill the questionnaire without any biasness.

DATA COLLECTION
Our every group member participated in the data collection process. Since the employees at the ship were spread, we had to assign our every group member in different departments. The data collection process was conducted in one day, as not all the group members were allowed for the follow-up visit.

HYPOTHESIS
Null Hypothesis (Ho): Lack of proper HR department cannot affect the organizations performance negatively. Alternative Hypothesis (HA): Lack of proper HR department can affect the organizations performance negatively.

DATA ANALYSIS

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Most of the questions were close ended except a few which were asked both from the managers and trainee staff. Since a majority of our questionnaire comprises of close ended questionnaires, that made our work a lot easier and we simply had to put the findings in the SPSS software to get the result. However, we also took help from the data obtained through close ended questionnaires in making our recommendations.

LIMITATIONS
Initially, we planned to include all the employees in our research as the population is not very large. However, that approach could have increased the duration of the research, as the employees work in shifts. And it was not possible for us to visit the ship in night timings. Moreover, this research did not include the point of view of top management in response to the issues raised by the trainee managers. Since the research is conducted by the group of six students, therefore, limited human resource has also impacted the study.

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FINDINGS & ANALYSIS

SECTION: A QUESTION: 1
When the respondents were asked about the how much they are satisfied with the internal communication, about 27% employees called the internal communication channel very poor or poor. Whereas, about 38% employees called it average. Rest of the employees called the system either good or excellent.

QUESTION: 2
When asked about the relationship with the supervisors, a majority of the employees called it good. This concludes that most of the trainee engineers have good relationship with the management.

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Question 3
On asking about the compensation package, almost all the employees showed dissatisfaction with the pay package that they are receiving at the power plant. More than 80% of the employees either called it very poor or poor.

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Question 4: On inquired about the training and development facility, more than 80% employees showed their dissatisfaction with it by rating it either very poor or poor.

Question 5: Even though, the trainee engineers termed their relationship with the management average, yet they believed that the amount of help they received from their supervisors is poor. The respondents who rate the level of help either poor or very poor are around 75%

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Question 6 At Karkey, two shifts of 12 hours are run. This means employees that work in shifts have to spend 12 hours on the ship. Moreover, the working hours for general shifts are also 9 hours. This is perhaps the reason why around 90% of employees called the working hours poor.

Question 7 Respondents also emphasized on the importance of recognition received from the company as 90% respondents termed it important. However, the absence of any proper HR department is a problem for the company to recognize employees performance on time.

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Question 8 Another question about the importance of performance appraisal was asked from the respondents. And more than 80% employees either called it important or very important. However, there is not any performance appraisal given to the employees.

Question 9 Respondents were also asked about their point-of-view on the importance of the standard operating procedures. And they emphasized on the need of such a procedure. OES management does not provide any proper training to new employees. Employees have to learn everything from the manual they are provided with. The facts regarding the question are showed below

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Question 9 Importance of job security is also important for every employee. This question was also asked from the respondents. And for 93% respondents, job security is either very important or important. However, the legalization of this power plant was being challenged in the supreme court of Pakistan, and there were some clouds on the future of the plant. Therefore, that was a matter of concern that the respondents consider the job security important yet their jobs are not secured. The stats are:

Question 10 Another question of quality management system was asked to employees. More than 80% of the employees rated the management of quality as poor with very poor such that the company is lacking behind in this category.

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Q11 Employees was asked another question about the quantity of work they were given, About 66% of employees said they were given the load of work much more than they care capable off. Rest of the employees said we are satisfied with the load we handle.

Q12. Through the survey we also asked the question of uniform absences, response was satisfied as 66% of employees agree with the uniform absences they got.

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Q13. Another question asked about the importance of Top Management, thus response was obvious with 88% of employees believe that there is very important need of Top Management.

Q14 Employees policies question was asked, and the response was 100% that the policies are very important for own the benefit of employees. Company managed out good policy run for the sake of business to help employees benefits at ease.

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Q15. Another question was asked about the type of supervision, almost 67% of employees gives the importance to the type of supervision made in company. Hence company has followed a great supervision team for employees.

Q16. Another question about the company benefits, rational response was concluded out that almost 80% of employees agreed by the company benefits. Hence employees could be integrated with such good benefits.

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Q17. For the level of involvement another question was asked about the importance of salary, employees response was very involved almost 90% believe there is a high importance of salary. Thou employees can charge and resist themselves for the good efficiency of product with effective productivity.

Q18. On inquired about the training and development facility, more than 35% employees showed their satisfaction for the importance of training and development, 45% are not involved to answer this question and rest believed it is not important

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Q19. When the respondents were asked about the how essential is the key of communication with the internal employees, about 25% employees called the internal communication channel very important, whereas 38% of employees believe it as important. Rest of the employees called the system either neutral or unimportant.

Q20. Another question was asked about the value to opinion of employees, thus 66% said that there is no sort of liberalism there in company and whenever we will share our views it cant be without fear. Thou the monopoly and polities are there in company.

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Q21. Another question was asked about the employees opportunity in the company, 77% of employees said there is no opportunity available within the company for the movement of better job.

Q22. For the health consciousness of employees question was asked, and employees respond as a 73% poor company standard following system. Company doesnt provide the medical aids.

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REFERENCES
www.schools.com www.research.com.au www.tarsa.edu.au www.springerlink.com www.jstor.com www.wikipedia.com

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APPENDIX
QUESTIONNAIRE
Gender: O Male Program: O Female Student ID:

SECTION 1: 1. Are you permanent resident of Karachi? a. Yes b. No 2. What is your location/area of residence in Karachi? _________________________

3. How do you come to IoBM ? a. By Van b. By Own Conveyance c. By Public Transport 4. Approximately, how much travelling time is required to reach IoBM & go back to your home? (i.e. the daily two way travelling time) a. Less than an hour b. Between 1 2 hours c. More than 2 hours 5. If IoBM starts it own hostel facility, would you like to avail it? a. YES b. NO SECTION 2: If YES for Question 5, then attempt this section 6. If you want to avail the hostel facility, where do you want it to be? a. Near IoBM b. Within the IoBM facility 7. Hostel facility should be for? a. Students Only b. Faculty Only

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c. Both Students & Faculty 8. How much students should be sharing a room? a. Single student b. 2 students c. 4 or more students Rate the importance of the following facilities that should be offered by IoBM Hostel:
Essential No Idea Not Essential

9. Attached bath with every room 10. 24/7 Security 11. 24/7 Wii fi 12. Mess/Caf offering hygienic food 13. Recreational facilities (like indoor games, gym) To what extent, the hostel facility would be helpful to you in:
Very Helpful Somewhat Helpful Not Really Helpful

14. Studies 15. Extra curricular activates 16. Socializing 17. Saving travelling time & cost 18. Will your parents allow you to use the hostel facility? a. Yes b. No c. Not, Sure 19. What charges are you expecting per month? a. 5000 b. 8000 c. 10000 20. Do you think that hostel facility will lead to political interference at IoBM? a. Yes b. No

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