IQRA UNIVERSITY

HRM Project

Company:

Group Members

Syed Farhan Ather Jaffery 4415Muhammad Abdul Sami 4437

Syed Muhammad YousufSyed Mujtaba Ehsan 4385Muhammad Raheel 4414

Rizwan Sarwar 4337Arsalan Mubashir

Hafiz Abad

Prepared for Prof. Mazhar Ali

“In the name of ALLAH, The Most Merciful, the Most Kind”

We are so much grateful to our Prestigious Prof. Mazhar Ali who gave us this opportunity to make this Human Resource Development Report of United Bank Limited which enhances our ability in understanding HR functions in corporate world and making report on them.

We would also like to pay our thanks to UBL Representative Mr. Muhammad Aslam who provide us all the information of Human Resource function of United Bank Limited and all other manager who help us in providing in-depth information on the environment and culture of United Bank Limited.

CONTENTS

Page NO.

1. Executive Summary 5

2. History of United Bank Limited 6

3. UBL Introduction 7

1. Mission Statement 72. Vision 73. Introduction 8

4. SWOT Analysis of UBL 10

5. UBL HR Functions 12

6. UBL HR Objectives 12

7. UBL HR Planning’s and Policies 12

A. Attracting Methodology 13B. Organization Chart 14C. Investment in Development & Performance 14D. UBL Structure 15E. Organizational Values 15F. UBL Culture 16G. UBL Working Environment 16H. HR Measuring Method 16

8. Job Analysis 16

A. Techniques for Job Analysis 17

9. Job Evaluation 18

10. Recruitment 18

1. Internal Recruitment Sources 19 2. External Recruitment Sources 19

11. Selection 20

1. The Application Form 202. Written Tests 203. Performance Exams 21 4. Selection Interview 21

12. Training & Development 22

13. Performance Appraisal 22-23

14. Critical Evaluation of HR Functions 23-24

15. Compensations and Benefits 25

16. Credits 26

Executive Summary

United Bank Limited is one of the banks playing a very important role in the economic development of Pakistan. It’s providing high quality services, manage customer experience efficiently, have comparative advantage due to its innovative technology and provide high profit to its stakeholder.

In order to maintain and improve its services in the competitive market UBL Human Resource Department plays a very important role. You will find in this report the complete HR function of UBL. The Vision, Mission and Strategic goal of UBL what are the methods followed by UBL for analyzing and evaluating its Jobs. How UBL recruit and select new employees. The methods used by UBLtraining and developing new skills in their employees. The methods used for performance appraisal of its job incumbents. Compensations and benefits provided by UBL to its employees and some other HR Functions.

History of UBL

United Bank Limited was established in November 1959. The bank was sponsored by the saigol Group of Companies, which were the mainstay of the textile industry in Pakistan at that time. Within a short period of time, the bank emerged as the third largest in the country after HBL and NBP. The bank was nationalized in 1974. Later on another bank the commerce bank limited was merged into UBL.

UBL was the third bank to be offered for privatization. Initially, a Saudi basedfinancial institution; Bashrahil Group came up with the highest bid for the bank, and deposited the first tranche for its consideration. However, due to flaws in the transaction, the SBP cancelled the privatization and took over the bank in 1995.The Bank’s total income including interest and non-interest income amounted toRS.4935 million in 1995, its deposits were RS. 109 billion and investments were RS.25 billion in 1995. UBL incurred a loss of RS.724 million in 1995.

In 1996 the management of the bank was changed and by mid 1997 the financialand administrative discipline was restored. The interference of the government waseliminated and the non-performing loans recovery was increased and the liquidity position was brought up to the required level. About RS.6.3 billion were recovered out of which about RS.5 billion were domestic and of this about Rs. 4.5 billion was recovered in cash.

A right sizing program was initiated as well as an aggressive branch rationalizationstrategy by which 203 loss making branches were shut down and profitable ones were opened in other areas. Surplus staff was removed which amounted to 5416 employees. The entire audit system was revamped.

United Bank Limited Introduction

Mission Of UBL:

At UBL, we value our people as our greatest asset and it is this philosophy that forms the basis of our focused, committed and long term investment in the people that form this great institution.

We believe in hiring bright, talented, highly motivated and driven individuals across our businesses and geographies. Our selection process, by necessity, is challenging and one that ensures that our standards of excellence are maintained.

The diversity of and performance our businesses provide a wide spectrum of exciting career opportunities for the right individuals. Our leading market position and our ambitious vision for the future ensure our long term commitment to providing the highest quality training and workplace practices for all our employees.

Our vibrant and competitive culture will bring out the best in you; our performance driven reward mechanism will drive you to perform beyond your estimation and you will have a lot of fun along the way!

We look forward to a bright future and the best among you have a unique opportunity to be part of it. 

UBL Vision:

Our vision is to embrace best practices and deploy world class technology to successfully fulfill our responsibilities towards all stakeholders of the bank. In a dynamic and fast changing operating environment, our foremost responsibility remains providing management with analytical, accurate and timely information. Therefore, our focus has been on upgrading and automating our systems and investing in human capital in order to serve our internal and external clients better. A commitment to excellence is our mission!

UBL Introduction :

United Bank Limited was established on November 7, 1959 and incorporated as a Public Limited Company under Companies Act 1913. The UBL Board of Directors of are:

Highness Shaikh Nahayan Mabarak Al Nahayan ChairmanSir Mohammed Anwar Pervez OBE Deputy ChairmanMr. Atif R.Bokhari President & CEO

Mr. Omar Ziad Jaafar Al Askari Director Mr. Zameer Mohammed Choudrey Director Dr. Ashfaque Hasan Khan Director Mr. Muhammad Sami Saeed Director

Mr. Amin Uddin Director Mr. Arshad Ahmad Mir Director Mr. Aqeel Ahmed Nasir SEVP/Company Secretary & Chief Legal Counsel

Mr. Aasim Jawad Acting Chief Financial Officer

The Bank is currently operating 1121 Branches Domestically and 17 BranchesOverseas (USA, Qatar, UAE, Bahrain and Republic of Yemen). UBL hold 51% of its total shares other 49% shares are owned by Government. After the privatization of banking sector in Pakistan UBL implemented its strategies to achieve the comparative advantage in the Market place. UBL subsidiaries are:· United Bank AG Zurich, Switzerland· United National Bank Limited, UK· UBL Fund Managers Limited

UBL due to its innovative corporate culture wins their customer trust. UBL isrunning four websites to provide information and customer services which are:· www.ubl.com.pk ,· www.ublonline.com· www.ublfunds.com· www.ublinsurers.com

The depositing services offered by UBL are Business Partner, Rupee Trans A/C,Basic Banking Account, UBL UniFlex, UBL UniSaver, UBL Profit COD, Term Deposits Receipts, FCY Savings, and FCY Term Deposits. The loan and card services are UBL Address, UBL Businessline, UBL Cashline, UBL Drive, UBL Credit Card, UBL Money, and some other services are UBL netbanking, UBL e-statement, Hamrah, UBL Wallet, UBL Click n Bank, UBL Click n Remit, UBL TezRaftaar.

SWOT Analysis

STRENGTHS:

UBL has assets over Rs. 550 billion.

UBL has 1112 domestic branches and 17 overseas branches.

As an asset for the bank the majority of the employees are much more experienced.

The salaries, allowances and incentives are very much attractive.

It has the largest amount of corporate deals by any of other banks in Pakistan.

It has the good ranking as a profitable bank in stock exchange.

The targeted segments of UBL are like salaried person, business people and self

employed person.

It has excellent reputation and image in the eyes of its customers.

From its competitors UBL offers customized products and services aggressively.

Operational efficiency has been improved as compared to past.

2nd largest Privatized bank of Pakistan.

Fast delivery of online and offline services.

WEAKNESSES:

Most of the branches are not up to the mark about its security system.

To some extent employees were not properly dressed.

In training the employees there was no any separate training center.

As there are many experienced employees but they are not able to deal customers

properly because they are unable to use the new IT technology.

Orientation needed by the employees about the customer dealing.

There is no equality in the standardization of the branches, means some branches

are very much attractive for the customers and some are not.

As compared to other banks it is to some extent behind in IT technology.

Due to the experienced employees there are many work overloads on them and the

promotion is also not timely.

OPPORTUNITIES:

To enhance their network Call Center services should be improved.

Their profit can be increased if new technology and modern business processes are

implemented.

The employees of all the branches can cope up with the foreign banks if they are

given a proper orientation.

Fresh employees should be hired, so that they would have the knowledge about

new IT technology.

THREATS:

Political instability.

Day to day increasing competition.

High operating costs.

Entrance of new foreign banks in Pakistan.

HR Functions

Following are the major Human Resource Management Functions of United Bank Limited

HR Objectives:

The objectives are to look out for the well being of all employees of the UBL. Provide leadership and direction to employees of the company. Career Development planning for all employees of the company. Ensure thorough training of nationwide employees. To provide individual employees with orientation on the company at the time of joining. To provide employees with solutions to their problems. Maintaining data records of all employees of UBL (Human Resources information System). To evaluate and retain those employees who are assets to the company.

UBL HR Planning’s and Policies:

United Bank Limited follows Business-level/Competitive Strategy (competitive strategy identifies how to build and strength the business’s long-term competitive position in the market place) because of vast number of its competitor in the market place. UBL analyze it’s strengths with weakness and opportunities with threats to maintain its comparative advantage. The competitive advantage of UBL is based on Differentiation. It provides different online and offline services to win its customer and periodically analyze the competitive marketplace to enhance its services at a high level.

Attracting Methodology:

Generating required Human Resource policy of UBL is that they attract the currentemployees by offering them Promotion, Cash award, increment, bonuses and stock option so keep up and generate external candidate by offering good salary packages, Career oriented jobs, Accommodations etc.

Organization Chart:

The organization design of UBL is Horizontal (which has low hierarchical level). There are different Groups containing 10 to 12 people which are assigned different tasks to work on each group has its own supervisor who supervise all employees in its group.

Investment in Development & Performance:

UBL invest in HR Development and performance by promoting or giving rewards to those employees whose performance is better. The performance appraisal of each employee is conducted annually in UBL.

UBL Structure:

Organizational Values:

•Trust and Integrity•Respect for people•Responsible corporate citizens•Passion for business excellence•Commitment to total customer’s satisfaction

UBL Culture:

United Bank Limited culture is the personality of the organization. Culture iscomprised of the assumptions, values, norms and tangible signs (artifacts) of organization members and their behaviors. The organizational culture of UBL is that it always provides profit to its stakeholder and never misrepresents its financial reports and will never do any unethical act which harms its client and competitor. The employees of UBL will always be helping and friendly with its customers. The norms of UBL are it always follows the Laws of country and maintain its goodwill.

UBL Working Environment:

The working/organization environment of UBL is very sophisticated. Environment isvery friendly due to group coordination. Employees can easily communicate horizontally and vertically which help to achieve its goals and objectives. Employees have to follow formal code of ethics of United Bank Limited

HR Measuring Method:

United Bank Limited uses Scorecard Approach to measure the effectiveness andefficiency of HR department. UBL follow the seven steps to measure its HR department.First UBL define its business strategy (discussed above). Second its outline the company’s value chain activates (activities which create value for customers and related supporting activities). Then it outlines what organizational outcomes (goals and targets) the bank has to achieve. Then it evaluates the workforce required to achieve the goals. After that UBL devise its HR policies and practices (what new training is required?). Then it designs the HR scorecard and periodically evaluates the measurement system.

Job Analysis:Job Analysis is the procedure through which you determine the duties of the position and the characteristics of the people to hire for them. Job analysis produces information used for writing job descriptions and job Specifications

Techniques for Job Analysis:

UBL only use Qualitative Techniques of analyzing jobs. The techniques UBL uses are Interview and Open-ended Questionnaires. They use interviews in which employees are ask what the job entails and questionnaires in which employees are asked different question about what are the activates they perform in job.

Human Resource PlanningObjectivesBy the time you have finished this section you should be able to:

– Describe the process of HR planning– Follow the process involved taking into account hard and soft issues– Articulate the differences between manpower planning and HR planning

Stages involved in planning1. Forecast of labour supply• Internal supply of labour

– how many people are available for utilisation?– job category, age, length of service, location qualifications, gender, ethnic

groupings, disability– calculate labour turnover, e.g. labour turnover index, stability index

• Activity 2• External supply of labour

– demographics– activity rates– skill shortages– educational and training policies– competition in the labour market– attractiveness of the area– cost of living in local area

Determining requirements• compare 1 and 2, identify deficits/surpluses

– Use of scenario planning to look ahead– Recognition that soft issues, e.g. organisational culture, organisational

politics, power of sub-groups affect decisions – Hard issues to be dealt with

• Supply less than demand• Supply greater than demand

• Activity 4

Productivity analysis• Analyse capacity, productivity, costs. Are resources being used efficiently?

5. Action planning• Adjust HR policies after data analysis

Manpower planning or HR planning?• HR planning is increasingly preferred term• Manpower planning associated with:

– Earlier decades when prime need was to find sufficient supplies of labour– Purely quantitative– Large, bureaucratic organisations in stable environments

• HR planning is associated with:– Use of more qualitative information and softer issues, e.g. importance of

culture– Fits with moves to HRM rather than personnel management– Closer links with business strategy– Concerns with need to increase flexibility– Increased attention to career development and planning– Cost pressures and the need for increased performance

• Job Evaluation:

Job Evaluation is a systematic comparison done in order to determine the worth of

one job relative to another

Job evaluation technique used by UBL is Ranking Method in which each job

relative to all other jobs according to its difficulty level like for example job of

supervisor is tougher than the manager working under its supervision.

Recruitment:

In order to determine the future staff needs United Bank Limited uses Ratio

Analysis technique (a Forecasting technique for determining future staff needs by

using ratios between, for example sales volume and number of employees needed)

in which trend between two trends is determined like volume of deposits, revenue,

new branches etc and number of employees needed to perform tasks.

Internal Recruitment Sources:

In forecasting the supply of inside candidates UBL use Qualifications

inventories (manual or computerized records listing employees education career

and development interests, languages, special skills and so on to be used in

selecting inside candidates for promotion) so in order to replace a supervisor of a

department a person below educated than the current supervisor will be selected as

a new supervisor.

External Recruitment Sources:

External source for hiring employees use by UBL is Succession Planning

(the ongoing process of systematically identifying, assessing and developing

organizational leadership to enhance performance) in which UBL do analysis on

the important or key jobs in the organization, create a list of competent employees

who can fulfill the requirement of that job and then select the best employee who

can perform that job efficiently and affectedly. The internal sources used by the

United Bank Limited for hiring candidate are Advertisement, Head hunter and

Word of Mouth. In advertisement they use different mediums like Television,

Newspaper, subscribing the jobs on Job sites e.g.

www.rozee.pk,

www.monster.com

UBL has hired its own Retained Executive Recruiters/Head hunter (Executive

recruiters are special employment agencies retained by employers to seek out top-

management talent for their clients) to find competent and qualified people for

UBL.

But due to some circumstances there is flexibility in hiring the employees externally and

internally for example non availability of required candidates, lack of time, lack of

resources etc.

Usually United Bank Limited don’t take Referrals but due to some reason they do

sometime take referrals for example referral form a high command person, person on

referral is qualified and competent etc.

6. Selection:

Selection process of UBL based on Qualification, Previous job experience, Age and health of

candidate.

The Application Form:

For selection process the first step which candidate to be fulfilled is application

form, this show about the candidate’s education, previous performance, prior work

history, experience, hobbies and health condition? As such, it is extremely critical

for his/her continued participation in the examination process. Before that

candidate has to review thoroughly what the Job advertisement specifies the

requirements to qualify for the position. Candidate must meet all the criteria to be

considered for the position; ensure that, otherwise candidate will be wasting his

effort in completing the application.

Written Tests:

Written exams are usually obtained from one of several test construction firms

available to them. These tests are designed to determine level of technical and/or

analytical abilities associated with the particular position for which candidate had

applied. Unstructured questionnaire and IQ test (intelligence test) Test results are

sent by mail, usually within 6 working days. If receive a passing score candidate

will be invited to continue in the examination process.

Performance Exams:

Test ability to accomplish specific job-related tasks by providing the opportunity to

actually perform them. These tests are scheduled through the Human Resources

Department office, with notification in writing of the date, time, location and

duration of the test. Instructions will be given on the tasks to be completed and

then asked to complete them. Individuals with considerable relevant experience

will conduct the evaluations. Safety, quality of work, adaptability, performance

under stress, etc. are evaluated. Specialized Testing

Selection Interview

Once the List of candidate who is capable enough, is established it is sent to the

Department(s) that is hiring to fill a current vacancy. The Department Head is

responsible for setting up Selection Interviews. He/she may interview anyone on

the list; The Department Head will be looking for the candidate with the best

qualifications for their particular position.

The candidate who is selected, investigate his/her background and a probationary period before attaining permanent employment status. Additionally, in accordance with Federal Law, the candidate is required to provide proof of identity and proof they may legally work.

Training & Development:

Training refers to the methods used to give new or present employees the

skills they need to perform their jobs. Development include employee,

management, organizational and career development which develop employees

skills, management which enhance executive’s abilities, organizational cultural

development and career development of employees.

Training methods used by United Bank Limited are Soft Skill Functional

Training, On-The Job Training and Class Room lectures.

In soft skill functional training UBL give training to improve personality traits,

social grace, friendliness, personal habits and fluency of language. In On-the job

training UBL uses different method like Coaching or understudy method in which

supervisor act as a coach and teach the trainee to the perform the task on the job

and Job rotation method is used by UBL for those employee who need multi skills

to perform the job.

Performance Appraisal:

In performance appraisal of employees UBL use Graphic Rating Scale Method

(a scale that lists a number of traits and a range of performance for each. Employee

is then rated by identifying the score that best describes his or her level of

performance for each trait) in which UBL measure the characteristics and previous

performance of employees and then rank them subsequently.

In the performance process UBL first discuss the job and duties assigned to the

each subordinate in the Groups. After that they compare their actual performance

with the standards which are set by the UBL. Then the performance reports of

subordinates are discussed with them and make plans if any development is

required or not.

'CRITICAL EVALUATION ON H.R FUNCTIONS'

Every day more organizations recognize that their people are a source of competitive advantage. As a result, HR departments are evolving from playing a merely administrative role to becoming "strategic partners" responsible for contributing to the achievement of business objectives. This evolution requires that new ways of defining and assessing HR success be developed. Traditional operational measures of internal efficiency are not sufficient. HR departments must now be able to demonstrate the value of their strategic contributions. Two additional roles modern HR departments must realize are those of strategic partner and change agent. Being a strategic partner calls for an ongoing evaluation of the alignment between current HR practices and the business objectives of the firm, and a continuing effort to design policies and practices that maximize this alignment. HR professionals must help determine how the company's current culture, competencies, and structure must change in order to support the organization's strategy. At the same time, the HR department should play a key role in implementing and managing these changes, assessing potential sources of resistance to change, and collaborating with line managers to overcome these barriers.

United Bank Limited is the second largest private commercial bank in Pakistan with over 1000 branches and has an international presence in 10 countries. We are a growing bank with immense potential and prospects for employment in the offering. We are on the path rerouted for attaining excellence; to achieve our goals for more prosperity and to enhance our internal and external equity.

We believe in setting the right goals for the right jobs and we strive to identify the right resources. UBL is known for redefining the career paths and growth prospects of all its employees, and we pride ourselves in that. In order to ensure their success, we provide an affluent work environment, conducive and beneficial to the enrichment of their personal grooming and one that proves instrumental for the success of the Bank.

UBL is the place for you if you are willing to materialize all your deliverables in alignment with the organization's holistic vision to grow and excel. Find out more here.

This forms the pillar of our strategy as it is the primary tool towards providing you full satisfaction. Relationship Banking involves:

Assessing and understanding customer needsProviding you advice on your business needsHelping you find viable financial solutions for your business problemsActing as the primary contact for you

In such circumstances it is all about how you use your knowledge rather than how much or how detailed your knowledge is. Remember that you are only likely to have a limited amount of time (perhaps an hour at most) to answer a question on HRM so the chances of you being able to show all your knowledge (perhaps covered over 20 lessons in two months) in that time are limited.

You must, therefore, be selective with your knowledge and remember the assessment objectives for this type of question - mostly analysis and evaluation. Analysis means breaking down an issue into component parts to make it more understandable and evaluation is about making judgements about the relative importance of these component parts to the question you have been asked

This Activity will give you a scenario - based on a true event - and asks you to consider the event in a critical manner - that does not mean being negative, it means looking at what happened, trying to explain why things happened as they

did and making decisions to try to avoid problems in the future whilst encouraging the continuation of the good things that came out of it.

This is what businesses have to do all the time and requires decision makers to use all their knowledge and experience to reflect and review their procedures to try and ensure that decision making and productivity are improved.

Causative factor making UBL's vision to become a world-class bank a reality is the strategic thrust that drives its impetus from People, Premises, Products and Processes. UBL continues its journey towards these four strategic pillars by hiring and developing a world-class team, investing in new premises, launching customer-focused products and through continuous improvements of our processes.

7. Compensations and Benefits:

United Bank Limited provide compensations to its employees in shape of Cost of

any medical Treatment, Cancelled Holidays fees, Repair of vehicle, any injury

while doing job tasks and some other. Employees can claim their compensation

if any above case occurs.Benefits which are provided by UBL are Paid time off,

Retirement, Disability Insurance, Education and training programs. In Paid

time off benefits the employee is paid for the time he don’t worked duo to

vacation, holiday pay and sick pay. Retirement benefits are in shape of pension,

gratuity, provident fund and superannuation fund. In disability insurance bank

provides financial support when an employee becomes injured or ill and is unable

to do his/her job and in education & training programs bank provide different

education & training to their employees to furbish their skill.

Credits

Muhammad Raheel 4414

Designing and composing of this report. UBL HR Planning’s and Policies

Syed Farhan Ather Jaffery 4414

Syed Mujtaba Ehsan

Critical Evaluation of HR Functions

Rizwan Sarwar

SWOT Analysis

Syed Muhammad Yousuf

Muhammad Abdul Sami 4437

Arsalan Mubasher

Hafiz Abad