Abu Dawood

Contents
Project Information
06
Introduction of the Company
07
Mission, Vision and Code of Ethics
09
Company information
14
Board of Directors
15
HR Department Information
19
Functions of the Organization
20
Human Resource Management
29
Functions of HR Department
30
Recruitment and Selection
33
Training and Development
38
Employees Services Safety, Health & Welfare
43
Manpower Planning
46
Industrial Relations
49
Communication Systems
53
Terms and Conditions of Employment
55
Strength and Weakness
58
Conclusion
60
Questionnaires
61
Hailey College Of Banking & Finance
DEDICATION
We dedicate this accomplishment to our beloved
and caring parents, and to our teachers with
the support of whom we are standing at this
step of our life stairs.
ACKNOWLEDGEMENT
We bow our heads before ALMIGHTY ALLAH in gratitude,

which blessed us with sound health, talented teachers, sympathetic
Friends and sufficient opportunity to complete our esteemed Project on
Human Resource Management.
It is our privilege and honor to express our deep gratitude

and in calculating thanks to Prof. RIAZ AHMAD MIAN and other staf
members of Hailey College of Banking & Finance Who gave us an
opportunity to benefit from their immense knowledge and experience
without which the work described in this project would not have been
possible.
We feels pleasure in acknowledging with profound sense of

indebtedness, the cooperation and general help of our class fellows
during preparation of this project. We submit my earnest thanks to our
afectionate parents for their moral boosting, financial and spiritual
support during our studies.
Synopsis
The Purpose Of Study Was To Know About Abudawood Trading Company And
To Analyze Human Resource Management Of The Company.
In this report the Abudawood Trading Companys history, mission, vision and
services as well as management is mentioned. After this the analysis of Human
Resource Management is conduct which shows how efficient the company in this
regard.
In 1935, Sheikh Ismail Ali Abudawood founded a small wholesale business in
Jeddah, Saudi Arabia; they have employed large number of professionals in all
fields
i.e.
Marketing,
Finance/Accounts,
General
Management
&
Administrations. To recruit all such professionals and large amount of employees

ATCO has its own HR department which perform the following functions. For
recruitment they have effective recruitment process. By job analysis they check
the vacant positions in all departments. Advertisement, short listed applications,
test, interview are the basic points of selection. After selection training is the
basic requirement of the employees. For this purpose HR department has
established GHR training center. For professionals they arranged external
training programs in reputed institutions. Compensation is the way to motivate
the workers. ATCO offers handsome salary and large amount of extra benefit
package to all employees like bounces, welfare activates safety, free medical
facility, free accommodation both for bachelors and family etc.
The company, besides providing competitive salary package, guarantees good
career progressions to its employees. They forecast the needs of employment and
use both internal and external resources for manpower planning. ATCO has very
strong communication system uses intranet and extranet technology. Terms and
conditions of employment are different for regular contractual and daily basis.
All these functions the HR department of ATCO performs very carefully and
patiently.
About the Project

This report presents the investigated Human Resource Management
of Abudawood Trading Company. In the modern age of competition human
resource management must be managed efficiently and efficiently.
Throughout the report, the proven fundamentals of HRM are
emphasized. It will be useful to officers who want to work more effectively with
their personnel departments. It will also be useful to human resources
professional who must often assume the role of trainer.
This report may appears to be a strategic resource that will make the
managers job a little easier by demonstrating how to use the tool of effective
human resource management.
HUMAN RESOURCE MANAGEMENT (HRM)
HRM is the process of recruiting, training, appraising, compensating
employees and attending to their labor relations, health, safety and fairness
concerns. Personnel is the key department in any organization, so in the case
with Abudawood Trading Company Karachi Personnel department has to care
all the important activities. It is engaged in the process of hiring, firing, training,
development and all other related activities are carried out. Human resource
department is also engaged in process of designing and evaluating the jobs and
determining a pay structure for the jobs.
PURPOSE
The main objective of this project is to analyze a HRM department of a limited
company from various aspects. Discuss the strengths weakness of its policies.
a)
b)
c)
d)
e)
f)
g)
recruitment and selection

Training and development
Employee services, safety, health and welfare
Manpower planning
Salary administration
Systems of communication
Terms and conditions of employment, etc.
About the Company Past, Present and

Future
Past
In 1935, Sheikh Ismail Ali Abudawood founded a small wholesale business

in Jeddah, Saudi Arabia.
Originally known as the Ismail Ali Abudawood Trading Company Limited
(IATCO), the company has grown into one of the world's most respected brand
partners.
Abudawood began by wholesaling a variety of consumer goods to retailers
throughout Saudi Arabia. The company's success with distributing products
imported from Procter & Gamble, the highly respected U.S. consumer goods
company, contributed to Abudawood's development. In the 1940s, Abudawood
became the exclusive distributor of Procter & Gamble (P&G) brands throughout
Saudi Arabia.
In 1956, Abudawood and P&G established a joint-venture factory in Saudi
Arabia (called Modern Industries Inc.) to produce P&G brands for the region and
neighboring countries. With Abudawood as the exclusive distributor, the
arrangement enabled P&G to establish a competitive advantage, reliable supply
and market-leading distribution throughout the Gulf region a position that
remains to this day. While Abudawood has continued to distribute P&G products,
it also added single brands from other leading organizations, such as Quaker
Oats and United Riceland.
During the 1970s, when the Saudi economy was growing at an exponential rate,
Sheikh Ismail engaged his family in the operation and expansion of the family
business. As his sons grew to manage Abudawood, they added other business
ventures, including the ownership of real estate (domestically and
internationally) and investment in financial instruments. The company's growth
prompted the formation of The Abudawood Group, an umbrella organization to
hold and manage all interests.
With the continued growth of Abudawood through the 1980s and 1990s, the
company engaged the services of world-class, professional executive managers to
run day-to-day operations, a practice that continues today.
Present
Abudawood continues to experience strong business growth, consistently

doubling its business in five-year increments through organic growth, additional
clients and product categories, and geographic expansion.
While continuing to grow its established presence in Saudi Arabia and Yemen,
Abudawood has more recently entered Egypt, Iraq, Bahrain and Pakistan. The
company achieved this expansion by establishing agreements to purchase or
operate (as majority-owned joint ventures) long-established businesses in these
markets. This has enabled Abudawood to provide strategic services to current
and new clients in additional markets.
At present, Abudawood is a multi-billion-dollar enterprise, operating more than
130 facilities and 1,400 vehicles in six countries, and employing over 4,000
people.
Future
Abudawood ambitiously seeks and expects substantial growth well into the
future. Continuing to build upon its core strengths in localized market services for
world-class brands, its entry into other regional and world markets and the addition of
new category and industry interests.
Abudawood celebrates its history to date and looks forward to a bright future,
welcoming new clients and markets for its world-class services.
Vision
Mission
Business Guiding Principles
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1. Customer Satisfaction
o Value for money

o Integrated solution provider
o Superior service & long term relationship
2. Leadership
o Think and act like a winner

o Passionate about business
o Encouraging creativity and Innovation
o Promoting teamwork
3. Integrity
o Doing it the right way

o Transparency
o Going beyond financial aspect
4. Personal Accountability
o Openness and candor

o Learn from mistakes
o Accept failures, share and move on
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Values
Our prosperity comes from God
We must guard it, nurture it and use it wisely.
Our Arabic heritage is the root of our company

We must never forget it.
Our success lies before us

We must constantly and confidently look forward.
Our people are our competitive advantage

We must support and grow them professionally.
Our principals are our partners

We must choose them well and commit to their prosperity.
Our customers are our lifeblood

We must contribute to their profitable growth.
12
Our people are our greatest assets.
They are passionate, talented, inspiring individuals, not the least of who are the
members of our leadership team.
Carrying on a tradition of energy, enthusiasm, diligence and business savvy

embodied by our founder, our company's leaders today bring a diverse, strong
wealth of experience and expertise to growing our results and our people for an
even better tomorrow.
13
Founder of the Company
Sheikh Ismail Abudawood established Abudawood in

1935 and guided our growth until his passing in 2005.
14
Directors
The Board of Directors carries on the family tradition established long ago by
Sheikh Ismail Abudawood.
Together, they share a common vision and remain dedicated to building a strong
future for the company.
As sons of the founder, these gentlemen were born and raised in Saudi Arabia
with the family business an integral and familiar part of their lives from the very
beginning - including stints of adolescent employment in the business at entry
levels so as to learn the business from the ground up.
Upon completing their secondary education in the USA, they all returned to
participate in managing the company in a wide variety of roles. Once proving
their knowledge and capabilities and earning leadership roles, they enabled their
father to retire to a guiding role. Under their leadership, the company has
expanded its success in manufacturing and services and its investments in real
estate and financial instruments.
Their intimate understanding of the company and marketplace, practical
experience in the business and their consistent vision for the future enables them
to act wisely as strategic counsel to a professional team of executives who now
manage the day to day affairs of the company.
15
Sheikh Osama Abudawood
Sheikh Anas Abudawood
Sheikh Ayman Abudawood
Executives
An elite team of seasoned executives manage our company's performance.
16
Our executives bring exceptional education and expertise from well-rounded

experiences in our local markets as well as in global ones.
Mr. Samir Ishak

Mr. Manhal Lolas
Mr. Adnan Omar
Management
Our senior managers represent the depth and diversity of our business and
markets.
17
They leverage quality educational backgrounds, local and international

perspectives and deep functional experiences to form the cohesive, strong
management team required for corporate success.
Nael Ahmed (Country Manager Pakistan)

Waqas Aslam
Hazem El Banna
Camille Nicolas Bekhazi
Ziad Mohamed Damergi
Alaa Eldin Hussein Elwy
Dr. Ahmad Fetyani
Mostafa Gobba
Anis Zouheir Hamdan
Bahaa Hussein
Jihad Jrab
Hassan Mahmoud Mawajdeh
Hisham El-Sawy
Mohsen Selim
Khaled Sharif
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HR DEPARTMENT INFORMATION
Humna Akhtar
Head of HR Department
Kiran Ali
Asst. Manager (Management staff)
Farwa Zadi
Asst. Manager (Non-Management staff)
M.Saad
Asst. Manager (Payroll)
Arslan Javaid
Asst. Manager (Efu Insurance Claims)
Noman Butt
Asst. Manager (EOB)
Nazish Hina
Asst. Manager (Disciplinary Actions)
Shams-ud-din
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Senior Officer
FUNCTIONS OF THE COMPANY
Distribution
With a sprawling network of 50 operational warehouses located across

the country facilitating the supply of over 35,000 cases everyday to an
ever growing customer base, Abudawood today stands as having one of
the largest distribution setup in Pakistan.
With its commitment to serve its customers and meet their expectations
of time and quality, Abudawood designs and strives to maintain its
warehousing facilities such that to ensure each unit of every product
gets the requisite care in its storage and handling. The warehouse
operations are developed to enable the movement of the product
through the downstream supply chain in an efficient manner relative to
the local market dynamics.
Inspired from the best in class systems present, Abudawood has
developed its own Warehousing Quality Standards which remains an
20
evolving system. These standards are implemented at each facility along

with the requisite training of resources creating a Quality Culture
within the
organization. Abudawood considers Quality Assurance as a source of

competitive advantage and treats it accordingly.
One of the key objectives of Abudawood remains to continuously

evaluate and employ the use of technology to better its service levels
and analyze its distributions operational model, consequently making
certain that each step involved in the process adds value to the overall
supply chain.
Logistics
The Logistics Operations structure is one of the key areas where Abudawood
consistently focuses on to derive efficiencies. The growing complexities and sheer
dynamics of the market in which Abudawood operates, demands an intelligent
and rapidly adaptive logistics structure. Abudawood employs over 450 vehicles
operating throughout its supply network. From mammoth long haul container
vehicles, to the smallest tri-van, our logistics structure functions to ensure the
21
delivery of our products to the smallest of stores in the narrowest of alleys. This
is how Abudawoodslogistics network contributes towards fulfilling the critical
objective of reaching every potential consumer located anywhere to benefit from
the products we supply.
Abudawoods Quality Assurance program extends to its logistics operations as

well. With the commitment to deliver each case in acceptable quality and
condition, attention to the Logistics network remains a key element of our
Quality program.
Sales
Profitable sales, the lifeline of any business, are one of the core strengths of
Abudawood Pakistan. Abudawood sells a huge number of brands and categories
in the marketplace with clear cut, well identified channel strategies. Managing
portfolios in key accounts, wholesale, upper trade, high frequency stores and selfservice stores requires a unique approach, skill set and in depth knowledge of the
market and must therefore be addressed as such. At Abudawood, we are geared
and equipped to deliver on these parameters and beyond. The growth of business
partners is the focal point of our strategy which encapsulates clear thinking on
the selling techniques, priority matrix, action plans, target deployment and
tracking. With visions completely aligned, Abudawood and its partners work
hand in hand to forge a long lasting relationship which becomes a sure winner in
the market place.
22
One of the initiatives taken by Abudawood is the creation of 4 districts within our
sales territories, which is in line with Best in Class sales structure of Fortune
500 companies operating in Pakistan. Structured route planning and execution
by our sales team ensures that our customers demands are fulfilled on time, all
the time. On spot merchandising and POSM material deployment is another skill
set which
provides our team with a distinctive edge over our competitors. We train our staff
regularly on Best in Class standards of Merchandising and POSM deployment
and regular refresher classes are held to keep them up to speed with the latest
best practices in the market.
Corporate Social Responsibility
Taking care of the world we live in is an essential part of being a responsible

corporate citizen. At Abudawood we believe that Corporate Social Responsibility
should be woven in to the culture of every organization. Keeping this in mind, we
collaborate with a selection of local non-profit organizations to support local
communities in the field of education and health.
23
Our main driving force is reflected in the way we do business: to get results you
need to take action. Which means we dont just talk the talk, we get out there
and initiate the change we want to see.
Clients of the
organization
Procter & Gamble

Procter & Gamble (P&G) began in 1837 as a small,
family-operated soap and candle company. Today, it
provides top-quality products and services to consumers in more than 180
countries around the world. In fact, consumers use P&G's products almost three
billion times a day. The company's portfolio consists of 50 leadership brands,
some of which are the world's most well-known household names. Most P&G
brands lead their respective categories, and many of the company's innovations
have earned the ranking of most successful new product.
Clorox
In 1913, three California entrepreneurs invested $100 each to set up America's first
commercial-scale liquid bleach factory. In 1914, they named the product Clorox bleach,
a name that has grown into a global household brand over the last 100 years. Today, The
Clorox Company is a significant corporate presence in many different parts of the world.
Clorox's laundry additives and home cleaning products are sold in more than 100
countries.
24
Quaker Oats
In 1901, several American pioneers in
oat milling came together to incorporate
under the name The Quaker Oats
Company. Today, the company, which is
part of PepsiCo, is one of the four largest
manufacturers of cold cereals in the
world. Quaker's brands are synonymous
with quality, great taste and nutrition.
Its products are considered to be an
integral part of breakfast.
United Riceland
In 1982, a rice trader from western India
established United Riceland Ltd., the first
company to bring basmati rice to the western
world (under the Tilda brand name). Today, it is
one of the top international food brands, sold in
more than 40 countries around the world.
United Riceland supports more than 10,000 Himalayan rice farmers (each of
whom they know by name), providing them with pure basmati rice seeds and
growing advice to ensure that they grow only the best basmati rice.
25
Ferrero
Ferrero's story began in 1946, in a small town in Italy where Piera and Pietro
Ferro opened a small pastry shop, eventually turning it into a factory. Following
World War II, candy and confections were in short supply, and were only
purchased for special occasions. Today, Ferrero is a true family-run success
story, as the third generation continues to

run the company. One of the largest
confectionery companies in the world,
Ferrero operates globally, with sales
growing in each country it enters.
Pepsi
In 1898, Caleb Bradham, an American pharmacist, wanted to create a delicious
fountain drink that would aid in digestion and boost energy. He came up with
Pepsi-Cola, which is today the most consumed cola beverage in the world.
PepsiCo is also a world leader in convenient snacks, foods and beverages, with
revenues of more than $60 billion, products sold in more than 200 companies and
more than 258,000 employees. PepsiCo sells some of the best brands in the world,
including Frito-Lay, Gatorade, Tropicana and Quaker.
26
Brands & Products

Abudawood is honored to be associated with great brands.
Over the years we have contributed to the healthy growth of scores - even
hundreds - of great brands. Some are small, some are large. Some are
unfamiliar; others are among the most recognized brands in the world.
Explore some of the brands whose growth we are proud to have contributed to.
27
Always
Ariel
Braun
Chipsy
Clorox
Crest
Dawn/Fairy
Ferrero Rocher
Gillette
Head & Shoulders
Kinder Bueno
Mister Clean
Nutella
Olay
Pampers
Pantene
Pepsi
Pringles
Quaker Oats
Rafaello
Tide
Tilda Rice
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HUMAN RESOURCE MANAGEMENT
The policies and practice involved in the carrying out the people
or resource aspects of a management position, including recruiting, screening,
training, rewarding and appraising.
WHY HUMAN RESOURCE MANAGEMENT IS IMPORTANT?

Our people are our most important assets Many organizations
are using this phrase or something close to it, to acknowledge the important role
that employee play in an organization. Achieving completive success through
people requires a fundamental change in how managers think about their
employees and how the view the work relationship. It involves working with and
through people and seeing them as partners not just as costs to be minimized or
avoided. In addition to their potential importance as part of organization strategy
and contribution to competitive advantage, an organizations HRM have been
found to have a significant impact on organizations performance.
29
One study reported that significantly improving an organizations

HRM practices could increase its market value by as much as 30 percent. The term
used to describe these practices that lead to such results is high performance work
practices. High performance work practice can lead to both high individual and
high organizational performance.
FUNCTI0NS OF PERSONNEL DEPARTMENT (HRM)
Abudawood Trading Company a market leader in wholesale

distribution & logistics and to serve quality products. In order to run and
manage such sophisticated operation, we have employed large number of
professionals in all fields i.e. Marketing, Finance/Accounts, General Management
&Administrations. The company provides excellent working conditions, conducive
to career building and development of managerial technical Skills in competitive
and professional environment. There are over one thousand dedicated and highly
qualified employees in all categories which include senior Management, Middle
Management, Technical Manpower and allied contractors labor workforce.
The main functions of this department are given below:
FUNCTIONAL OBJECTIVE
30
The primary role of personnel department is to assist management in the

formulation, implementation and administration of all personnel policies and
procedures and develop strategies for utilization of manpower in well organized
and economical manner.
MAJOR ROLES AND TASK
To assess future manpower requirements and evaluate training

needs of employees and organize internal and external courses for
the staff/workers.
To assess implement companys performance appraisal and
promotion system.
To maintain a system of attendance/absence, leave and service
records and prepare salary bills of workers.
To negotiate union management agreement and keep cordial
relations with CBA union.
To develop and maintain cordial internal employees management to
ensure peaceful atmosphere in the factory.
To maintain cordial relations/ interactions with concerned
Government Departments.
DIVISION OF PERSONNEL DEPARTMEN

Personnel department is divided into four portions
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a)
b)
c)
d)
Time office
Salary/wages section
Contribution &dealing with different agencies
Training and development division
1) TIME OFFICE
Time office performs the following functions.
24 hours functioning
Attendance sheet
overstay list
time keeping
leave record
This is all done through throw automatic time machines.

2) SALARY/WAGES SECTION
Salary bills of workers all categories are prepared at personnel office

under this section. After the selection of candidates the basic pay is also decided
under this section of personnel department.
3)
DEALING WITH DIFFERENT AGENCIES
Monthly contribution of EOBI, Social security, Education CBA

Union are calculated and submitted to accounts department as per defined
procedure.
32
4)
TRAINING AND DEVELOPMENT DIVISION

The company understands the importance of training and is totally
alive to the training aspects to enhance the skills and capabilities of its
employees. A fully equipped HRD center has been established at ATCO to
conduct regular in-
house courses and training sessions. Training and development of new selected
candidates is performed at HR department under this section.
Questions: Recruitment and Selection.
Q: 1 What is your selection procedure?

Q: 2 What is your selection criteria?
Q: 3 What type of hiring you prefer internal or external?
Q: 4 What type of interviews you conduct?
Q: 5 Who conduct the interviews?
Q: 6 Where you advertise the vacancies?
33
RECRUITMENT AND SELECTION
RECRUITMENT
Def.
The process of locating, identifying and attracting capable applicants. .
SELECTION
Def.
The process of screening job applicants to ensure that most appropriate
candidates are hired.
The recruitment and selection process at ATCO consists of following

steps.
I.
PAPER WORK VACANT POSITION
34
To find out vacant positions in the company job analysis is

performed in each department. First try to fill the vacant positions by internal
resources if candidates are not available then external resources are used.
II.
RECEIVING OF APPLICATIONS
Applications are received through different mediums.

Such as
Email/fax
Post mail
Referred by CEO/Employees
III.
SCREENING APPLICATION & RESUME

Applications are categorized into different categories on the basis of
qualifications and experience. Then these applications send to the concerned

department. Personnel department check the short listed and rejected
applications.
Applications are categorized as
Related qualification and experience

Higher qualification and experience
Related qualification without experience (fresh)
35
Miscellaneous applications
IV.
CALL FOR INTERVIEW & TEST

HRM Department conduct a panel interview for the
selection of candidates on due date with the concern department. The panel
consists of executives and professional officers. Formal test and interview are held
for job positions. For selected candidates call letter are send to join the company.
Recently ATCO setup video based interviews.
V.
REFRENCES
At least two references should provide by each candidate.
The most suitable references are current employer and second last employees of
the company. For fresh candidates references should be checked from previous
academic institutions.
VI.
ARRIVAL OF SELECTED CANDIDATES FOR JOINING
The selected candidates should provide the following

documents at the time of joining.
Original academic certificates

Medical test (HIV B&C)
Fill the HR bio data form
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Write the joining report

Fill the orientation form
VII.
ORIENTATION PROGRAM
Introduction of a new employee to his or her job and the organization is
called orientation.
Two types of orientation
Work unit orientation

Organization orientation
Work unit orientation familiarized the employees with the goals of

work units and includes his or her introduction to new co- workers.
Organization orientation informs the new employees about him
organizations objectives history, philosophy, procedure, and rules.
There is one week orientation program for all candidates of

the company by personnel department. Each candidate works for one day in each
department and get information about its functions, objectives, history and
procedures. This includes relevant human resource policies and benefits such as
work hour, pay procedure, overtime requirements, and other benefits. In addition a
tour of the organizations work facilities is often
part of the organization
orientation. The report of completion of orientation program is given by the

employee from all the departments to the personnel department.
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Questions: Training and Development.
Q: 1 Is there any training and development plan for the employees?

Q: 2 What type of trainings are provided to the employees?
Q: 3 Are the trainings delivering the desired results?
Q: 4 Are the training internal or external?
Q: 5 Is there any educational or professional assistance plan for the employees?
38
Q: 6 Is there any training regarding safety, social and based on behavior

attitudes?
TRAINING AND DEVELOPMENT
TRAINING.
As job demand changes
employee skills have to be altered and
updated .managers of source are responsible for deciding what type of

training employees need, when they need it and what form that training
should take.
Employee skills can be grouped into three categories:
Technical
Interpersonal
Problem solving
Most employee training activities seek to modify an employees skills in one or

more of these area.
Abudawwod Trading Co. has the following training programs.
HRD TRAINING CENTRE

The HR department of ATCO provides big opportunities for trainee
candidates at HRD
number of
training centre.
professionals
HRD training centre consists of
large
in all fields. Company provides excellent working
39
conditions conductive to career building etc skills in competitive and professionals

environment. HRD provide more than 1000 professionals in all fields to the
company.
INTERNAL/EXTERNAL TRAINING
There are two methods of training
On-the- job/internal training
Off-the-job/external training
ATCO uses both internal as well as external resources for the

training of employees. ATCO starts yearly training program in the month of
January/February for management and technical work force. External training is
specially used for the training of technical and professional employees such as
management officers. For professional training candidates are send to external big
institutions. Training programs are checked by external audit team of ISO9001
2000. Training is on year and weekly basis for technical staff.
TRAINING NEED ASSESMENT
The company understands the importance of training and is totally alive to the
training aspects to enhance the skills and capabilities of its employees. A fully
equipped HRD center has been established at ATCO to conduct regular in-house
courses and training sessions. Sometime these sessions are conducted by ATCO
qualified staff and at times experts from outside Institutions are invited to impart
training to employees of various trades A fully equipped HRD centre has been
established at ATCO to conduct regular in house courses and training sessions
40
For quality education and training employees are send to good

institutions like PIMS, SEMEDA, LUMS, and Employer Federation of Pakistan for
external courses. Personnel Department conducts a two hours lecture each day
during training at HRD Centre. Each department gives lecture to the trainee
candidates. HRD Centre at ATCO conducts test after training and lecture.
INDUCTION OF MANAGEMENT TRAINEE.
ATCO, play an important roll in the professional growth of the fresh MBAs/
Master Degree Holders. We induct them as Management Trainees for a
period of one year and during the training
period offer them reasonable
stipend .
On successful completion of training period, we offer them Jobs with

handsome Salary package.
INTERNSHIP TRAINING FOR STUDENTS

Various professional Universities / Colleges are approached by the
Company on yearly basis in order to provide internship training to those students
who are in the last leg of their studies. The students are given 6-8 weeks on-job
training on the Plant. The students are provided free boarding / lodging facilities
in addition to monthly stipend to dispense with their day to day expenditures.
COMPUTER LITERACY PROGRAM
ATCO is committed and determined to promote computer awareness to all its

employees.
Chief executive of ATCO has taken special interest and
directed to launch computer literacy program at grass root level for all
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employees. There are two computer labs. Company offers 3 months course
duration in the evening. All participants awarded certificate by ATCO
CAREER PROGRESSION
The company, besides providing competitive salary package ,

guarantees good career progressions to its employees. Due attention is given to
Succession plans to fill up slots required at the time of need. The employees are
made aware of their career progressions profile right at the time of induction.
COMPENSATION
Developing an effective and appropriate compensation system
is an important part of the HRM process. An effective and appropriate
compensation system can help attract and retrain competent and talented
individuals who can help the organization accomplish its mission and goals.
Many organizations uses alternative of Compensation is called skilled based pay

system. A pay system that rewards employees for the job skill they can
demonstrated. Several factors influence the compensation and benefit packages
for
different employees. ATCO is giving the following compensation and benefit

packages to their employees.
Safety
Health
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Services
Benefits
Questions: Employees Services Safety, Health & Welfare.
Q: 1 Is there any occupational health & safety policy of the company?
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Q: 2 Is there any Health plan for the employees?

Q: 3 What types of medical facilities are available to the employees?
Q: 4 What types of benefits are given to the employees on recruitment?
Q: 5 What types of loans your company offers to the employees?
EMPLOYEE SERVICE, SAFETY, HEALTH

& WELFARE.
SAFETY & HEALTH
SAFETY
Safety and Security has been a top priority on the attention
list. Procedural reviews and periodic checks are regularly carried out to ensure
safe operations. To preserve environment, against any possible pollution through
air, water or solid waste, best available means, methods and equipments are
used and heavy plantation has been developed in factory premises Health, safety
and health (HSE) is working for the employee safety and health. It provides safe
working conditions and environment.
HEALTH
. The company provides free medical facilities to all its employees. The company
has medical and health insurance of all the employees.
44
EMPLOYEES SERVICE & BENEFITS
SERVICES
a)
WELFARE ACTIVITY FOR ATCO EMPLOYEE

Apart from providing professional environments, the company
believes in the welfare of its employees in a best possible manner. The company
has provided homely environments to the employees such as Free and adequately
furnished bachelor accommodation for Executives, Officers and workers. Family
accommodation has also been arranged for reasonable number of Officers and
workers. Adequate recreational facilities such as TV Rooms, sports fields, in-door
/ out-door sports facilities, etc have been made available. Annual sports functions
are
b)
held
to
promote
healthy
activities
amongst
the
employees.
PHILANTHROPIC ACTIVETIES
Being socially responsible, the company is involved in charitable
activities for the well-being of needy and deserving people. For this purpose ,
ATCO carries out number of such social activities round the year such as
distribution of Ration , Clothings, cash, etc to the deprived people particularly
located in the
villages of adjoining areas. Needy and deserving students, who

cannot continue their studies due to lack of resources, are given financial support
in shape of
Stipends to such students by the company to complete their studies..

Large number of widows / families are also given monthly financial grants / aids
to meet their basic requirements. Medical camps are also arranged in the
surrounding villages to provide medical facilities to the needy persons at their
door steps.
45
BENEFITS
The company provides extra benefits to employees who do

some extra work such as bonuses incentives etc. The company has vacation
policies such as holidays, sick leave etc.
LEAVES
Annual leaves 14 officer- assistant manager

Annual leaves 21 above assistant manager
Casual leaves 12
Sick leaves 6
INSURANCE POLICY
The company offers life insurance to all its employees working

in the company.
EFU insurance
MEDICAL FACILITY
ATCO provide free medical facilities to all its employees in

case of injury or illness.
.
Questions: Manpower Planning.
46
Q: 1 How the company recognize the need for development of the employees?
Q: 2 What type of developing plan company offers to the employees?
Q: 3 Are company shares the global practices on the talent management?
Q: 4 Is there any coaching regarding the career development?
Q: 5 Is there any performance management process for the employees?
MANPOWER PLANNING
By Human Resource Planning, we mean that how systematically

forecast the future demand for, and supply of, employees. The motto of ATCO in
this aspect is staffing at the right time with the right people. i.e. Human resource
Planning was thought of as means for ensuring that right numbers and the right
kinds of people were at the right times, So that consumers needs are satisfied.
It is responsibility of HRM Department to forecast the

Personnel needs. The main sources to check the personnel needs are forecasting
and job analysis. Mostly HRM Department forecast the division of labor but some
times gives orders each department to forecast the personnel needs and then HR
personally perform the job analysis in each department. HR department makes
replacement chart of candidates and prefer internal source of candidates. From
internal sources candidates are promote on the basis of qualification and
experience. If from internal sources candidates are not available then external
sources are used. The selection of candidates from internal or external resources
is strictly on merit. The personnel department has its own selection team.
NEEDS FOR EMPLOYEES
47
resources.
The following are the major causes for the demand of human
CHANGE IN TECHNOLOGY
Technology changes the way business is done, is difficult to
predict, and is difficult to assess. For instance, the concept of new plants creates
enormous demand for telemarketing Personnels and computer Professionals and
we have to cater for the needs of our customers. For this purpose people are hired
so that they can carry out the operations.
WORK FORCE FACTORS
The demand of Human Resource is modified by such employee actions as

retirements, resignations, termination, deaths and leaves. Right now ATCO is
not facing any severe problem of attrition or turnover.
SOURCES OF EMPLOYMENT
When the Personnel Department have projected the human resources

demand in future, then the concern for the personnel manager is filling projected
openings. There are two main sources of employment for ATCO Chemical
Industries LTD.
1. Internal sources.
2. External Sources.
48
Internal Sources
For this purpose, two type of documents are maintained about the employees in
ATCO
1. Skill Inventory Chart. (for non- managers)
2. Management inventory Chart. (For managers ).
These inventory documents catalogs each employees skills and abilities, and
when there is need of new job, internal employees can go for this job. Personnel
manager is responsible for internal job placements.
Another internal source is employee referrals.
External Sources
Not every future opening can be filled with present employees. For some
jobs, they have to fill the vacant posts by outside people. Some jobs are
entry level jobs, then there is a need of external sources of human
resources.
They have online portal for job seekers & also third party employees
agencies.
http://www.abudawoodcareer.com/
Question: Salary Administration.
49
Q: 1 What is your salary structure?

Q: 2 Is your salary market base and how you define it?
Q: 3 At what date you pay the salary to the employees?
Q: 4 Can any employee get salary in advance?
Q: 5 What is the procedure to pay the salary to the employees?
SALARY ADMINISTRATION
SALARY/ WAGES SECTION
This section of HRM department makes pay plans for the

workers. Salary bills of workers of all categories are prepares at HR department
under this section. Abudawood Trading Co. adheres to all laws and regulations of
government. For instance, ATCO follows Minimum Wage Board Act, Industrial
Relations Standing Ordinance, Workman Compensation Act.
ATCO has developed ten grades for rank and file workers and have structured
Pay Scale according to labor market and competition within the hospitality
industry of Pakistan. The compensation for
executive and secretaries is
negotiable depending on the abilities and performances.

The main objectives sought through effective compensation management at
ATCO
Compensation needs to be high enough to attract applicants.
50
Retain present employees.

Compensation management strives for internal and external equity.
Comply with legal regulations imposed by government.
FEATURES OF COMPENSATION SYSTEM

Pay plan is different for skilled and unskilled people.
Unskilled person (2500)

Skilled person
(on the base of qualification and experience)
Fixed salary
Overtime
Bonus is awarded (Minimum one bonus in a year)
Monthly Medical Allowance
Questions: Industrial Relation.
51
Q: 1 What is your industrial relation to the rest of the country industry?

Q: 2 In which industry you sell your products?
Q: 3 Are you share the relevant industry goods practices?
Industrial Relation
The management of Abudawood Trading Co. ensures peaceful industrial

relations by taking the Workers Union into confidence regarding all matters
related to the workforce. Worker grievances are handled through the Industrial
Relation Officer. Workers breaking rules of discipline are counseled. Repetitive
violators are warned in writing. In severe cases, they can be dismissed if found
guilty, after going through an in-house enquiry. Although workers are
encouraged to suggest improvements but they cannot implement them on their
own, unless authorized to do so. Staff employees can suggest and implement
improvements with the consent of supervisors.
Workers and Abudawood Trading Co both try to promote and foster an
atmosphere of mutual trust, confidence, understanding and cooperation. Both
makes efforts to avoid conflicts and disputes amongst them and resolve their
differences, if any, through bilateral dialogue and shall strive to develop good
industrial relations for the efficiency and increased output of the company.
Workers and Abudawood Trading Co in their individual capacity as well as
through participative approach take reasonable steps to ensure compliance with
mutual agreement arrived at between them and follow agreed procedures to
achieve the objectives of higher productivity in the interest of the growth of the
enterprise.
Abudawood Trading Co has the right to manage, control and use the property of
its enterprise and conduct its business in any manner considered appropriate to
it. Abudawood Trading Co has right to use the resources available to it including
Human Resource efficiently and effectively in the best interest of the enterprise.
52
While exercising the right to conduct business and the right to manage the
enterprise, Abudawood Trading Co acts in accordance with the law and complies
with the law faithfully.
Abudawood Trading Co protects the rights of the workers as guaranteed under
the law or secured to them by any award, agreement or settlement in force.
Abudawood Trading Co protects and safeguard the interests of its workers and
takes measures within its resources for their socio-economic uplift and welfare.
Abudawood Trading
Co creates an environment congenial for enhanced productivity of labour and

maximum output of the enterprise. Abudawood Trading Co also respects the
rights of the workers to employment, wages, decent living and better quality of
working life.
The Rights of Workers:
It is the right of workers to work according to the jobs assigned and to receive
wages as per agreed terms and conditions of the employment and to such welfare
benefits and safety measures as one is entitled to according to law, agreement
settlement and award. Worker has inherent right to trade unionism and
collective bargaining and right to enjoy the benefits guaranteed to him under the
law, rules and regulations, settlement, award or agreement.
Worker will perform his duty, as assigned by the Abudawood Trading Co or his
representative, according to his best ability with the due diligence, care, honesty
and commitment. Worker will fully observe the norms of organizational
discipline. Worker, in exercise of his right, will fully respect the rights of
Abudawood Trading Co and will cooperate with him in the efficient performance
of the business of the establishment or, as the case may be, enterprise.
53
CONTRIBUTION & DEALING WITH DIFFERENT AGENCIES

.
This section of HR Department has monthly contribution of EOBI, social
security, education center and CBA union. The monthly performance reports are
calculated and submitted to the accounts department as per defined procedure.
This section has time to time meetings with other internal and external agencies
of the country.
Questions: System of Communication.
Q: 1 What do you mean by systems of communications?

Q: 2 What are the forms of communication in the workplace?
Q: 3 What are the forms of communication in the company?
Q: 4 What is the acceptable use of communication systems?
Q: 5 What types of disciplinary actions can be taken for unacceptable use of
communication systems?
COMUNICATION SYSTEM
ATCO group of industries uses digital communication system at all its units.
ATCO has an in-house developed management information system is in place
and being updated and improved on an ongoing basis. All PC's are connected
with 2 powerful Pentium server machines through LAN/WAN on UNIX & NT. IT
54
department operates on ORACLE, a latest programming tool. There is digital

electronics communication system at ATCO connected with internet technology.
All departments are connected with each other. To have communication system
with other external agencies the company uses extranet and internet technology.
ATCO has friendly relations with all other industries and external agencies.
The company uses the following communications systems.
Reports prepared by different departments

Meeting organized daily, monthly, as well as when needed by
chairman and Managing Director.
E-mail, websites (internet sources), data storage tools
Telephone, Fax, intra net used by the organization
Wide area network (WAN) is used as a communication between
different departments and is possible through client server system
Questions: Negotiation with Union.
Q: 1 Have the workers right to form or join a union?
There is no concept of labor union in Abudawood Trading Co.
55
Questions: Terms & Conditions of Employment.
Q: 1 What are the general conditions for selection of a candidate?

Q: 2 What type of information Company collects from the candidate?
Q: 3 Are there any probationary period for the job and what is it time duration?
Q: 4 How the company decides the salary of newly appointed employee?
Q: 5 Is any written job responsibilities are given to the employee?
Q: 6 What is your total remuneration package for the employee?
Q: 7 What is employee transfer and relocation policy?
Q: 8 What is the termination procedure of the company?
TERMS AND CONDITIONS OF EMPLOYMENTS
Terms and conditions of employment are mostly on the basis

of job and conditions qualification and experience. It is different for professional
employees and unskilled workers. The following are the four categories.
Regular
probationer.
Contractual
Temporary
Casual
56
REGULAR
These are the employees which after the final selection join the
organization. Usually managers & supervisors fall in this category.
PROBATIONER
When an employee is selected for some post, he or she has to undergo for the
probation period of 6 months normally. However for the management cadre, it
can be less than 6 months. When the probation period is completed a contract is
signed by the employee with personnel manager.
CONTRACTUAL TERMS
There are three major considerations.
Employment is temporary in nature.
The person should be of age 60 or above.
Duration of employment contract is one year and renewable.
When the personnel management feels that the person retiring from the job have
enough capabilities and potential to work more in the benefit of the organization,
then sign this type of agreement with the retired employee. Employee from top to
bottom can be included in this type of employment terms.
TEMPORARY WORKERS
Employees of the cadre of workers and supervisors are hired for period of 6 to 9
months according to government rules on temporary terms of employment.
57
CASUAL WORKERS
It is concerned with the daily wages workers. When the company requires the
workers urgently, they employ the casual worker to fill the vacancies.
APPRENTICESHIP TRAINING
According to government regulations, company have to hire the apprentices

against the regular scheme.
ATCO is not bound to give regular jobs to the apprentice trainees.
58
STRNGTH OF HR DEPARTMENT
High qualified management.
Good recruitment procedure
Excellent HR training center
Computer literacy programs
Safety training programs
Compensation and benefit packages for employees
Handsome salary package for professionals
Best communication system
59
WEAKNESS OF HR DEPARTMENT
Time consuming recruitment procedure
Extra expenditures on training
Difficult to recruit all workers of the company
Difficult to recruit candidates of different categories
60
CONCLUSION
Abudawood Trading Company worlds best brand partner. In order

to run and manage such company, we have employed large number of
professionals in all fields i.e. Marketing, Finance/Accounts, General Management
& Administrations. To manage and motivate all these people has highly qualified
team in HR Department. The company provides excellent training programs for
employees HR training centre. And all other functions of hr department such as
compensation alary, communication systems, and labor union relationship are
beautifully performed
After the details study of HR Department of ATCO I concludes that

the HR department performs its duties very patiently and carefully. but
according to the 21st century and to compete with the modern digital market
they have to make it more power full and effective because people are the assts of
the company and as one company president said.
For many years it has been said that capital is the bottleneck for a
developing industry. I dont think this any longer holds true. I think its the work
force and the companys inability to recruit and maintain a good work force that
does constitute the bottleneck for production and developing industry and I think
this will hold true even moir in the future
61
Questionnaires
Questions: Recruitment and Selection.
Q: 1 What is your selection procedure?

Q: 2 What is your selection criteria?
Q: 3 What type of hiring you prefer internal or external?
Q: 4 What type of interviews you conduct?
Q: 5 Who conduct the interviews?
Q: 6 Where you advertise the vacancies?
Questions: Training and Development.
Q: 1 Is there any training and development plan for the employees?

Q: 2 What type of trainings are provided to the employees?
Q: 3 Are the trainings delivering the desired results?
62
Q: 4 Are the training internal or external?

Q: 5 Is there any educational or professional assistance plan for the employees?
Q: 6 Is there any training regarding safety, social and based on behavior
attitudes?
Questions: Employees Services Safety, Health & Welfare.
Q: 1 Is there any occupational health & safety policy of the company?

Q: 2 Is there any Health plan for the employees?
Q: 3 What types of medical facilities are available to the employees?
Q: 4 What types of benefits are given to the employees on recruitment?
Q: 5 What types of loans your company offers to the employees?
Question: Salary Administration.
Q: 1 What is your salary structure?

Q: 2 Is your salary market base and how you define it?
Q: 3 At what date you pay the salary to the employees?
Q: 4 Can any employee get salary in advance?
Q: 5 What is the procedure to pay the salary to the employees?
63
Questions: Industrial Relation.

Q: 1 What is your industrial relation to the rest of the country industry?
Q: 2 In which industry you sell your products?
Q: 3 Are you share the relevant industry goods practices?
Q: 4 Is there any forum where all the Motorcycle marketing companies sit
together?
Questions: System of Communication.
Q: 1 What do you mean by systems of communications?

Q: 2 What are the forms of communication in the workplace?
Q: 3 What are the forms of communication in the company?
Q: 4 What is the acceptable use of communication systems?
Q: 5 What types of disciplinary actions can be taken for unacceptable use of
communication systems?
Questions: Negotiation with Union.

Q: 1 Have the workers right to form or join a union?
Questions: Terms & Conditions of Employment.

Q: 1 What are the general conditions for selection of a candidate?
Q: 2 What type of information Company collects from the candidate?
Q: 3 Are there any probationary period for the job and what is it time duration?
64
Q: 4 How the company decides the salary of newly appointed employee?

Q: 5 Is any written job responsibilities are given to the employee?
Q: 6 What is your total remuneration package for the employee?
Q: 7 What is employee transfer and relocation policy?
Q: 8 What is the termination procedure of the company?
References
Abudawood Trading Co.

Regional Office Lahore
Web:
http://www.abudawoodglobal.com
www.pk.abudawood.com
65

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Contents

Introduction of the Company

Mission, Vision and Code of Ethics

Functions of the Organization

Human Resource Management

Recruitment and Selection

Training and Development

Employees Services Safety, Health & Welfare

Terms and Conditions of Employment

Strength and Weakness

Hailey College Of Banking & Finance

Hailey College Of Banking & Finance

We bow our heads before ALMIGHTY ALLAH in gratitude,

It is our privilege and honor to express our deep gratitude

We feels pleasure in acknowledging with profound sense of

Hailey College Of Banking & Finance

Administrations. To recruit all such professionals and large amount of employees

Hailey College Of Banking & Finance

About the Project

recruitment and selection

Hailey College Of Banking & Finance

About the Company Past, Present and

In 1935, Sheikh Ismail Ali Abudawood founded a small wholesale business

Hailey College Of Banking & Finance

Abudawood continues to experience strong business growth, consistently

Hailey College Of Banking & Finance

Hailey College Of Banking & Finance

Business Guiding Principles

Hailey College Of Banking & Finance

o Value for money

o Think and act like a winner

o Doing it the right way

o Openness and candor

Hailey College Of Banking & Finance

Our Arabic heritage is the root of our company

Our success lies before us

Our people are our competitive advantage

Our principals are our partners

Our customers are our lifeblood

Hailey College Of Banking & Finance

Our people are our greatest assets.

Carrying on a tradition of energy, enthusiasm, diligence and business savvy

Hailey College Of Banking & Finance

Founder of the Company

Sheikh Ismail Abudawood established Abudawood in

Hailey College Of Banking & Finance

Hailey College Of Banking & Finance

Sheikh Osama Abudawood

Sheikh Anas Abudawood

Sheikh Ayman Abudawood

Hailey College Of Banking & Finance

Our executives bring exceptional education and expertise from well-rounded

Mr. Samir Ishak

Hailey College Of Banking & Finance

They leverage quality educational backgrounds, local and international

Nael Ahmed (Country Manager Pakistan)

Hailey College Of Banking & Finance

Hailey College Of Banking & Finance

FUNCTIONS OF THE COMPANY

With a sprawling network of 50 operational warehouses located across

Hailey College Of Banking & Finance

evolving system. These standards are implemented at each facility along

organization. Abudawood considers Quality Assurance as a source of

One of the key objectives of Abudawood remains to continuously