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Organizational Performance
K electrics


06-Apr-14
Qualitative Research Methods
EDP Code: 011401054



















Course Supervisor: Dr. Feroz
Submitted By:
Mehwish Aqeel - 8403
Mazher Uddin Akhter - 7164
Ayaz Ahmed Faroqui - 6097


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Dedication
This report is dedicated to our instructor Dr. Feroz, whose guidance makes us able to perform this task and
increase our tacit knowledge related to this course.
Thank you Sir



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Content
S. no. Topics Page number
01 Abstract 4
02 Introduction 4
03 Organizational flexibility 5
04 Types of flexibility 5-6
05 Organizational performance 7-8
06 Problem domain 9
07 Research question 10
08 Research variables 10
09 Organizational performance in K-Electrics 11-12
10 Conclusion and Recommendation 13
11 References 14
12 Appendix 1 15
13 Appendix 2 (with coding) 16-25
14 Appendix 3 26
15 Appendix 4 27
16 Appendix 5 28







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Abstract
Performance is a real concern to all organizations. It's the level at which organization is put in a specific industry
different measures are utilized to measure it. Organizational performance relies on upon continually enhancing
the execution, performance and flexibility of hierarchical boundaries by creating and keeping up the human
potential that serves as the spine of the organization. For the evidence of this theory this research is executed
and extracted the results from the organizational performance of K-Electrics via in depth interview. Result
shows that in for organizational performance gaps need to be filled with the joint efforts of employer and
employee. Time and Cost are considered as most important elements in organizational performance.
Therefore it is suggested that for organizational performance integration, financial management, innovation,
utilization and allocation of resource, process re-engineering, competent workforce, employer branding,
motivational techniques, training and development are need to be focused.

Key Words: Organizational flexibility, Organizational performance, Re-engineering, Gap, Employer branding.




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Introduction
Since flexibility is an important issue in any company so the purpose of this project is to identify and highlight
the factors, causes, issues and results related to organizational performance. The evidence is taken via literatures
of past researches and its application is taken from K-Electrics.
Organizational Flexibility
In recent decades, due to the increased speed of change in market environments, higher competition, and
narrower profit margins, the concept of flexibility has emerged. Flexibility become an important source of
competitive advantage to organizations, building high-performing organizations can be achieved by adopting a
mixed strategy of efficiency and flexibility (Adler et al, 1999). There are number of diverse views given by
several researchers and practitioners (Evans, 1991; Stigler, 1939; Lawrence & Dyer, 1981; Cyert and March,
1963; & Eppink, 1978) about flexibility. These views have their own backgrounds, which might base on a
particular case study or an incidental happening during the life-cycle of any business process. Organizational
flexibility is directly related to the organizational change or management of change, as more flexibility in
any organization leads to less resistance to the change. In 1995, Ittner and Kogutstated that the value of
flexibility lies in increasing an organization's ability to respond to changing and uncertain environments.
Designing an organization that does not shield itself from this uncertainty requires fundamental organizational
changes with no buffers to shield the fragile system from uncertainty. Flexible capabilities are required to permit
rapid responses to unpredictable production contingencies and demand changes. Lewin (1947), stated that a
successful change includes three aspects: unfreezing the present level, moving to a new level and freezing group
life on the new level. Since any of these levels determined by a force field, permanency implies that the new
force field is made relatively secure against change. Term 'unfreezing' precedes a shift towards greater
adaptability and term 'freezing' is a return towards a more rigid system, in terms of flexibility. Furthermore,
Sofer (1972), confirmed Lewin's ideas by stating that, if an organization is to increase the extent to which it
makes innovations, or its capacity to react to environmental changes, it needs also increase its scope for
flexibility.

Types of Organizational Flexibility
In 1971, Ansoff and Branenburg and then Volberda (1992 & 1998), distinguished four types of flexibility,
which are steady-state, operational, structural and strategic flexibility in terms of variety and speed of dynamic
capabilities. For these types of flexibility except 'steady-state', Ansoff (1965), made a distinction between
internal and external flexibility. Furthermore, Volberda (1998), explained the above mentioned types of
flexibility, and thrown light on Ansoff's distinction. He stated that an internal flexibility is defined as
management's capability to adapt to the demands of the environment and an external flexibility is defined as
management's capability to influence the environment so that the firm becomes less vulnerable to environmental
changes.





High
Low
Variety
Low High
Speed
Structural Strategic
Steady-
state
Operational


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Figure 1 Types of flexibility and their relation with variety and speed of dynamic capabilities (Volberda,
1998).
Steady-state Flexibility
Steady-state flexibility consists of static procedures to optimize the firm's performance when the levels of
throughput and the nature of throughput remain relatively stable overtime. It is considered as a firm's efficiency
rather than flexibility, as it hardly affects organization's performance in terms of flexibility. It is usually attained
from organization's economies of scale, reduction in overheads and employee's skills.
Operational Flexibility
Operational flexibility consists of routine capabilities that are based on present structure or goals of an
organization. It relates to the volume and mix of activities, rather than the kinds of activities undertaken within
the firm. Internal operational flexibility consists of the variation of production volume, building up of
inventories and use of crash teams. While the external operational flexibility consists of the use of temporary
labor, multi-sourcing and reserving of capacity with suppliers. Operational flexibility provides rapid response to
organizational change.
Structural Flexibility
Structural flexibility consists of managerial capabilities for adapting the organization structure, and its decision
and communication process, to suit changing conditions in an evolutionary way (Krijnen, 1979). Internal
structural flexibility consists of creating multifunctional teams, changing managerial roles and alterations in
control systems. On the other hand, the external structural flexibility consists of purchasing of components from
suppliers with a short delivery time or just-in-time (JIT), purchasing of subassemblies from suppliers and
developing of sub-components together with suppliers.
Strategic Flexibility
Strategic flexibility consists of managerial capabilities related to the goals of the organization or the
environment (Acker &Mascarenhas, 1984). It is a most radical type of flexibility and much more qualitative in
nature. It involves changes in the nature of organizational activities. Internal strategic flexibility consists of
dismantling of organization's current strategy, applying new technologies and fundamentally renewing the
products. The external strategic flexibility consists of creating new product-market combinations, using market
power to deter entry and control competitors, and engaging in political activities to counteract trade regulation.



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Organizational performance
Organizational performance is the ultimate dependent variable of interest for researchers concerned with just
about any area of management. This broad construct is essential in allowing researchers and managers to
evaluate firms over time and compare them to rivals. In short, organizational performance is the most important
criterion in evaluating organizations, their actions, and environments.
The evidence is in: Flexibility is good business
Flexible human capital practices reduce or eliminate costs associated with: absenteeism, turnover, stress-related
illness, burnout, health insurance, facilities, labor, investments to attract new customers and retain old ones, and
recruiting costs such as stock options, employment advertising, salary differentials and hiring bonuses. (Burud,
2004)
Lower Costs
Flexibility to eliminate costs linked with turnover, health care, overhead, labor, quality, and legal fees.
Turnover
Turnover is three times higher in Employees experiencing conflict rather than who are not experiencing conflict.
(Johnson 1995). The firms experienced major turnover-related savings after they adopted flexible human capital
cultures and practices.
Health care costs
Health insurance is the biggest component of labor costs. Health costs can minimize by flexible human capital
strategies.
Stress and Depression
Sadness and anxiety increment wellbeing expenses; adaptable human capital societies diminish stress depressed
representatives' social insurance bills are 70% higher than those of other representatives. Workers reporting high
stretch have 46% higher medicinal services cost.
Labor costs
Flexible human capital strategies decrease labor costs for the output and help to increase profitability.
Quality
There are several costs related with poor quality, with displeased customers and injuries to status.
Employee Attitude
Employee attitude can be defined in the workplace as how the employee presents themselves.
Mistakes
Staffs who believe work was causing problems in their personal lives were much more likely to make mistakes
than those who had few job related personal problems.



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Enhanced Organizational Performance
Flexible human capital practices give to a work force that is more expert, sure, and passionate and free of
disturbances. Capable and attentive employees who are on flexible schedules are more dedicated to the
organizations goals and to supply greater value to customers, who in turn, are more tending to be satisfied and
faithful.
Flexible Culture I ncreases Financial Performance
Flexibility and working time flexibility increased firm financial performance and productivity.
Flexible Human Capital Culture Leads to Financial Performance
Human capital, organizational performance, development and nurture of employees within a supportive strong
culture lead towards better financial performance.
Employee I nvolvement Leads to Higher ROS, ROA, ROI , & ROE
Companies establish organizations with great use of employee involvement programs, high performance
knowledge development, information sharing, organization and team level pay for performance, and
empowerment practices performed meaningfully better than organizations with low employee involvement.



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Problem Domain
Organizations typically face challenge of flexibility, which includes the outlining of the proper authoritative
conditions important to viably abuse the flexibility. As respects to this analysis it influenced performance of
organization which directly related with poor proceed of employees.
Since we have highlighted the importance of organizational performance in generalized context, (Richard, 2011)
identify the measurements of organizational performance and how it is operationalised by using organizational
performance as dependent variable. Result show that organizational performance is important to scholar across
the entire domain management research, different domain scholars have different aspects about the
measurement for organizational performance but all scholars are united on its importance. It is suggested that
future research should be called that analyze an effective triangulation using multiple measures that applies
longitudinal data and allows alternative methodological formulation that align research circumstances with
organizational performance measures.
Also, (Lund, 1996) Identify the flexible company innovation, work organization and human resource
management by using data of 1990 firms of Danish private business sector. Organizational learning, innovation
and flexibility are used as variables. Research draws several results at aggregate levels:
Large and medium sized firms are more flexible than small firms and manufacturing firms are more
flexible as compare to non-manufacturing firms
Increased in demands on recruits regarding both vocational and social qualification observed by the
firms with increasing degrees of flexibility
Labor qualification demand are based on the differences between degrees of flexibility of the firms
Firms position at the flexibility ranges are strongly co-related in different competitive circumstances.
It is suggested that dynamic analysis is the topic of future papers as DISKO project focuses on the changes and
direction of changes in innovation, technology, organizational structure, performance and interplay among those
factors.
Last but not the least (Waal, 2006) identifies characteristics of high performance organization (HPO) by using
organizational structure, organizational culture and behavior of organizational members as variables. Results
shows that the HPO cant be taken on the face value of the organization, it should be taken as how management
put their input in a focused and disciplined manner to start working and on the transition to HPO. It is suggested
that there is a need of validating characteristics that found in this study that helps organization to start improving
with assurance these elements in their structure, strategy, processes and people, it is also suggested that the link
between HPO characteristics and organizational performance should be validated in additional research.



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Research Question
How to assess the impact of flexibility on organizational performance?

Research Variables (with sub variables)
Importance of performance Point of agreement, Focus on measurable results, Decision making
Features of performance Clear time frame and structure, Role of Employer
Procedures of performance Evaluating criteria, Benchmark
Sustainability - Dissemination and communication
Long term oriented - Maintain and nurture an innovative culture
Financial performance Earnings, Investments
Cause of poor performance Incompetent employees, Lack of commitment of employee in working
environment, High turnover, Dissatisfaction, Lack of employee participation
Significance of flexibility in performance Adaptability, Efficiency and Effectiveness
Barriers in performance Inability to articulate changes, Rigidness of system, Cultural issues
Understanding of cost - Time and resources
Hurdles of cost Working conditions
Gaps - between have or have not
Issues in performance - Keeping focus on measurable results
Role of employee - Employee empowerment, objectives must be crystal clear (mission, vision, goals)
Time span - Measurement is concerned with results delivered now, instead of tomorrow; present
success should build further success
Evaluation of performance - What, When Where





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Organizational performance in K-Electrics
As we have discussed importance of organizational performance in details therefore in context of K-electrics its
constituents is based on many important elements. Firstly organizational performance is depending on
integration of communication in an organizational system i.e. from sending any message to getting back with
feedback with minimum chances of error. This whole process is done via collaboration of every member in a
system for better outcome.
Secondly for good performance organization needs to take new step to run along with the changes of world it
is for their survival. For every initiative cost is incurred, therefore financials issues are the important concerns
for the manager. Therefore if any area is suffered with bad financial it affects badly affects the whole
organization and its performance.
Thirdly innovation plays an important role in performance; either in technology, system or in basic routine
functions. Only those organizations perform well who change with the CHANGE as it is said; Change with the
change or you would be change by the change (Anon.) Obviously this change is not that much simple, anything
we want to improve will costs. Also there are rigidity in system (esp. in old ones) where underperforming
employees finds for themselves a comfort zone.
Fourthly good performance needs efficient utilization and allocation of resource which plays an important
role. It starts from service quality to best service delivery. It only happened when you manage your cost in
resource allocation and invest that saved amount in better providing to your customers. For getting this
advantage you clogged the traditional cost consuming processes and starts process Re-engineering. It will help
your company to shift the old paradigm.
Fifth good workforce is very critical to have. For goof HR you need to be focused from their selection till their
lay off. Therefore take all possible action for taking right people on board and reducing the incompetent one.
Here enthusiasm factor are very essential it avoids the theft incident within organization or may be some another
harms. Therefore for their good performance keep them in decision making and by delegation it will change
their mind set.
For keeping good people on board it is the responsibility of the employer to brand himself in front of his
employees so that they gets attracts towards him by his positive role and good supervision. It will maintain the
better relationship with employees and in the end employer will gain confidence and loyalty of his people.
Therefore the span of control must be strong overall organizational hierarchy with systematic implementation.
Employer must celebrate achievements with his employees after annual performing cycle; take self look at his
own goal achievements, business objective achievements, leadership objective achievements, safety objective
achievements and so forth. This will build the close relationship between employer and employee for better
understanding.
Sixthly for better performance motivational factors plays an important role. Every employee is varying in need
of different motivational reward either intrinsic or extrinsic. So it is the duty of that particular team leader to
know his subordinates need better than anyone. That supervisor periodically measures performance of his team,
reward for good performance and encourage them to perform better every time. And those who are not
performing initially give them leverage, that is, period to re-perform and set probation period and if they wont
perform at that specific point and allocated time expel them.


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For motivational factor of organizational performance it is essential to set goals with standards because there are
barriers and obstacles always there for underperformance like speculation, overwhelmed, within team
competitions, riots, work force load etc. Consequently avoiding these issues provides the employees training
and development by reassessment and continuous monitoring. On behalf of achieving this auditing must be
good, with proper evaluation mechanisms and with comprehensive development plan. This will build workforce
self-motivated.
Seventhly to overcome these kinds of issues need to understand it and it will incur Time. Therefore another
important area in maintaining good performance is time and most of the occasions time worth equal to cost of
monetary expenses.
Another part of performance determinant is keep focus key elements of your value system like whatever you
are promising to your employees are delivered or not? You must concern with their health and safety issues in
effective and efficient manners, must understand the cultural issues, norms and beliefs. For that proper
monitoring and controlling for separate work division is essential. This supervision is must be held by certain
management staff. That management staff would most likely to set SMART goal, by setting benchmark with fix
parameters. The objectives must be crystal clear so that there would be no confusion in understanding
objectives. By doing so, team will became the platform of the competent and high performer team of optimistic
employees.
Last but not the least by focusing the above factors, good performance will fill all the gaps between company
and customers like their demand or services quality issues and it would be easy to resolve. That is why these
factors are essential for organizational performance.




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Conclusion & Recommendations
Organizational performance is an ability of delegate execution. Organizational adequacy relies on upon
continually enhancing the execution, performance and flexibility of hierarchical boundaries by creating and
keeping up the human potential that serves as the spine of the organization. Organizational performance alludes
to how well an organization is performing. Great execution is an indicator of victory and advancement of all
associations. Today best practices assess hierarchical execution regarding fiscal outcomes, products
improvements, client devotion and individuals execution aides guarantee authoritative objectives are
continuously attained. Performance is a real concern to all organization. It's the level at which an association is
put in a specific industry different measures are utilized to measure it, going from terrible deals, benefit, playing
point and client rating. Performance of an organization in an economy could best be measured regarding time
taken to complete and expenses caused in connection to the first arranged undertaking span and monetary plan.
Performance alludes to how well one does a bit of work or action and the capacity to realize coveted brings
about the palatable way. Great execution of performance is a pointer of triumph and advancement. The point of
view of hierarchical execution is recognized as a capacity of association capability to achieve and administer
harmony with the earth. Performance measurement ought to be lessened to clear setting of targets. Measurable
in amount and additionally time and could be caught in a successful data framework. Good organizational
performance fills the gap between have and have not. Therefore it is recommended that for organizational
performance integration, financial management, innovation, utilization and allocation of resource, process re-
engineering, competent workforce, employer branding, motivational techniques, training and development are
need to be focused.




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REFERENCES

Burud, T. (2004). The Impact of Flexibility on Organizational Performance. Davies-Black Publishing.
Lund, G. (1996). The Flexible Company: Innovation, Work Organization and Human Resource
Management. Danish Research Unit for Industrial Dynamics (DRUID) , 96 (17), 58.
Richard, D. Y. (2011). Measuring Organizational Performance as a Dependent Variable: Towards
Methodological Best Practice. Journal of Management , 35 (3), 46.
Waal. (2006, september 1). The Characteristics of a High Performance Organisation. Maastricht
School of Management (MSM) , 255.



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APPENDIX 1 Interview Questions


Q1. What are the characteristics of organizational performance?
In context of:

Importance of performance
Features of performance
Procedures of performance


Q2. Discuss organizational performance in different dimensions?
In context of:

Sustainability
Long term oriented
Financial performance


Q3. What are the critical issues in organizational performance?
In context of:

Cause of poor performance
Significance of flexibility in performance
Possible barriers in performance


Q4. Do you think, to achieve the organization performance, you need to pay any extra cost in what manner
please explain in context of:

Understanding of cost (in terms of time and resources)
Hurdles of cost
Gaps between have or have not


Q5. What are the initiatives in performance improvement?
In context of:

Issues to addressed
Role of employee
Time span


Q6. Is performance measureable?
In context of:

What will be measured?
Where will the measurement take place?
When will the measurement take place?

- Please give concluding comments about topic.


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APPENDIX 2 Coded Interview Verbatim Transcript
Verbatim

Note:
Interviewer 1: Ayaz Ahmed Farooqui
Interviewer 2: Mehwish Aqeel
Interviewer 3: Mazher Uddin Akhter
I nterviewee: Dr. Qazi Taussef uddin Ahmed
Interviewer 1: Group members Mazher Akhter and MehwishAqeel and me myself Ayaz, as you know that our
topic is Organizational flexibility and our main focus on organizational performance so first of all I want to
know we want to know that what are the characteristics of organizational performance (OP)?
Interviewee: In the perspective of KE Karachi electric?
Interviewer 1: Definitely!
Interviewee: okay, *aa* K electric is basically a service industry okay *aa* what we do is we generate
electricity and we distribute electricity *aamm* K electric as an organization is one of the first vertically
integrated company where each unit is integrated into another so that each unit is representative of all function
of the company so what happens is *aamm* for us the revenue is the main *aamm*organizational performance
determinant *aaa* secondly OP also measured by the kind of the innovativeness or technologies it can involve
*aa* kind of diverse workforce it can you know *aaa* employee and use to its maximum capacity so these are
the few determinants of OP that we follow.
1

Interviewer 1: *Ahan* we want to know further, we want to know that what do you think, what are the
importance of performance?
Interviewee: *Aamm* a service industry can only survive if it is profitable, so profitability is majored by the
revenue that we draw and for revenue drawing we need good people on board so unless until youre performing
investor like KE is invested by A.Brock group so if we dont have a probability to go ahead with without
investor would not be there our service quality is going to get compromised so *aaa* you understand in a
service industry performance is the key element unless *unless* and until you're not performing you won't be
able to proceed further or sustain yourself in your current operation either so that is why performance placed the
most important role *aaaammm* the *aaa* how do we measure performance well *aaa* first of all profitability
for which we have working towards into two paradigms number one is *aaa* maximizing the *aaa* the
profitability through the revenue lost at that was that you must have seen a lot of theft detection has taken placed
in k electric *aaa* we are also controlling our power losses by changing the technology of wire and the way
electricity is distributed *aaa* that is at the level of the service delivery at the level of the organization
performance is actually measured by a performance management system which is there for people *aaa* we
have objectives setting exercises to a *aaa* annually people are giving their objectives and their performances is
measured accordingly and then people are given *aaa* rewards and you know there increments and promotions
are based on that as well *aaa* organization because it is distributed in various units at across the *aaa* across
Karachi where our core operation is in Karachi especially the urban Karachi so we also look at the performance
of each units which are called IBCs integrated business unit *aaa* centers each unit is headed by general
manger operation manager again the profitability is maximized or minimized or measured through that and
when organization itself looks at its profitability overall and then reports its back to the main investor *aaam*
what we do is we definitely look at measurability of our results thats why when we are deciding on our
objectives or we have deciding on our goals we are keeping in mind what is going to be achievable for us what
is going to be specific for us for a year *aam* we have three core functions one is generation one is transmission
and one is distribution *distribution* forms the largest function because the core operation area of K electric has


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been for more than hundred years distribution of electricity generation has become a core area now so *aam* for
each unit *aaa* for generation it is very important that they are involving newer technologies they are using
steam turbines gas turbines you must have heard of the bio gas turbines which are under way at the moment
*aaa* there is also wind mill energy *aaa* project that is there is as well which is on its way so all these things
are happening and how why are we why are they doing that because then and the end of the day generation will
be able to report by success until unless it has you know has certain areas identified that it has impregnated all
the technology available and it is generating *aaa* to the company's maximum capacity of electricity generation
that is for generation distribution for that matter is the core function which distributes electricity through wires it
takes the electricity and then transmits through it certain systems that is transmission function but distribution
forms the largest area what it does it *it it* will ensure that electricity which is going on the wire is not getting
lost on the way it is it is getting back the revenue it was generated for there are no thefts *aaa* meters are read
well all those things so that actually determines the way business is performing it services in the core areas other
functions such as finance and others are *are* secondary to our operations but yet they form the important
development of our performance so thats one thing *aaam* as far as structural *aaa* determinant is concerned
*aam* what we do is we have a hierarchical system which sets the level of control *aam**aaa* we have a
*aam* management and non-management cadres for example for the non-management cadres we have certain
employees system *where* where they are you know given certain technical task and then they are supervised
by certain management staff then management work force is divided into six different cadres one is the junior
management cadre which is *aaa**aaa* generally *aaa* assistant managers and entry level positions which is
trainees then you have deputy managers and managers which are upcoming managers then you have future
catalyst of managers which are deputy general managers and general managers and then you have decision
makers which are generally deputy directors and directors so what they do is structurally speaking *aaa* as an
employer or as a as a company it looks after each person and gives its them their own level of objectives so that
they can achieve them accordingly what it helps business to is actually set the certain benchmark for each level
of performance so that *aaa* there is no confusion who's going to do what and how the success is going to
rewarded so that's one thing *aamm*
2

Interviewr 2: Okay sir, Sir our next question is, please discuss the organizational performance in different
dimension like sustainability financial problems financial performance and approaches? Long or short term?
Interviewee: Okay *aaa* when *aaa* k electric was taken over privately in 2008 the *the* biggest challenge
was sustainability.
3

Interviewer 2: okay..
Interviewee: *aaa* the company was overwhelmed by the workforce it has 23000 20000 to 23000 people on
board over staffed management staff was very little so what they did was first of all is *aamm* give
people voluntary separation schemes so that they can cut the work people you know work force load second the
second challenge organization had was revenue loss because we were supplying electricity but not giving
getting revenue so *aaam* what they did was build a lot of confidence of people *aaa* build a lot of confidence
of people in *aaamm* helping them understand what company's doing because from of public *serv* public
sector company to a private sector company it becomes very difficult people think that when when a private
setup has taken over a public setup generally the *the* idea is or *or* the okay so the idea is that you have
*aam**aaa* you have a lot of mysteries happening a lot of speculation happening people are wondering what is
going to happen is it going to be sold or is it going to be operated is it going to *op* operation is going to
reduced increased the revenue or the cost of the revenue or the cost of the services is going to increased or not
so what they did was first of all is built con you know confidence of the customer number one you must have
seen huge campaigns about the theft huge campaigns about the way work force was reacting to separation
schemes they were huge you know the riots in Karachi you must have seen the *aaa* all the settings dharnaas
and stuff and all those things.
4

Interviewer 1: *hmm* load shedding!


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Interviewee: Load shedding that was one thing load shedding was one thing but for for the separation that was
happening people are forced out of the company over staffing was *aaa* being reduced so *aaa* that was the
first focus you know build *aaa* cut down the *aaa* load on the train and on the same time being able to run the
train on on smooth track number one in the long term yes *aaa* because we are going to be we have been
around for 100 years and we want to be around for the next 1000 years as well so com company has a very long
living of *aaa* strategy in its mind *aaa* from a basic *aaa* national grid feed national grid station which feed
our services now company's getting into the role will it generates so on electricity as well generation is
becoming a core mandate initially it was only distribution and transmission so you *you* would hear a lot about
news gas new *new* generation plants coming up *aaa* the Qasim power plant 1 & 2 are two examples then
there are certain plants also coming in we have technology coming in towards in a wind energy projects so all
the *aa* that is in the you know in the futuristic view so that company can you know take itself to the next
century what to may run out tomorrow you may not have that much fuel to burn because fuel is expensive gas
and petrol is very so that's why so for a long terms strategy we have that in mind then *aaa* future Vegas
program is there like you know *aaa* company itself is nurturing a pipe talent pipe line so that it can you know
sustain its talent pool and come up with good people who to be on board technically sound professionally
sound.
5

Interviewer 2: Like innovations and different
Interviewee: Yes everything *aaa* as far as the finance is performance is concerned *aam* because we have a
long standing debts of circular debts that's the deadliest debt we have suffering from of 20 29 years *lll* just in
last year we incurred a huge *aaa* profit but that cut canceled in effect because of that debt that we have carry
but company incurred the hugest financial profit in last year and the strategy is that once we once we control the
loss of revenue will be able to become more profitable because we are like we are in *in* inelastic demand if
you know economics we are in inelastic demand of electricity when demand and supply are matching each other
consistently rather the demand is coming increasing so that is why financial performance is not going to go
down anyhow until unless some other players comes in.
6

Interviewer 2: Okay.
Interviewee: So that's it
Interviewer 3: *aaa* Sir What do you think *aaa* about the what are the critical issues in organizational
performance and also highlight the causes of poor performance?
Interviewee: Well *aam* like any other human setup or unlike any other human organization *aaam* K electric
is like *aam* suffers from the same human elements *aaa* number one is integrity and honesty things but that
has been controlled by good controls and good audit monitoring and evaluation mechanisms *aaam* employee
incompetence is used to be in issue but now company has a very comprehensive development plan for all sort of
people well there is non-management staff and management staff it is there are huge projects of people
development happening where we are training our base line technical staff and we are training our management
staff first line staff further management and supervisory skills *aaam* what we are trying to build is work force
which is ready to come up with innovations embraced technology and usage to organization excellence last but
not the least maintain its own integrity and performance without much without much you know supervision yes
supervision will be there but we are trying to be build a work force which is self-motivated performance so
that's more important and yeah.
7

Interviewer 3: And how you describe *aaa* significance of flexibility in performance?
Interviewee: Well *aaam*i would just say that *when* when you talk about flexibility what you are talking
about is ability of a performance management system cater of all sorts of performance good performers
moderate performers and bad performer *aaam* company has started a very comprehensive performance
management system which rewards people at five different levels poor performers under performers and *aaa*
moderate performers and higher performers and then outstanding performers *aaam* there identification takes


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placed in three different areas number one is operation objectives number two is their leadership tries and
number three is the relationship management so this how company look at the performance measurement I
cannot use the specific terminologies we use but I can tell you that these are the three core areas where we look
at we also look at the health safety and environment consideration of the people because in our operations safety
is most important concern because we are playing with power and electricity which is a very unsaved
commodity so *aaamm* what we do is *aamm* system looks at under performers adapts how does it adapt
what is does is it gives them opportunity to improve either in close supervision or through training or through
you know certain performance modification methods it gives them that and them it maximizes the possibility
that a perform under performer performs well it also gives opportunities who were performing very well through
rewards mechanism so that they sustain their performance at the higher level so good performance manages.
8

Interviewer3: What would be the possible barriers in performance & what you are facing in organization?
Interviewee: Mind set is the cure thing one thing & number two is some people like to think or would like to
believe & some might be right in their opinion that there is unjust distribution of rewards like I said like any
other organization of a world we would have a fearsome level of unjust is happening somewhere but that would
not be like something which will go across the board. What happened is that people tend to underperform then
they would like to blame on this kind of thinks. What we are doing is we are now building up objective system
of evaluation & then helping people see how system works, how they perform & how they achieve them self. So
the cure barrier is mind set, communication, relationship with supervisor & delegation relationship that we have
here.
9

Interviewer3: At time employees dont accept the changes in organization that would the barrier?
Interviewee: Yes..! So there is a very comprehensive communication mechanism maintain over here we news
letter happening, we have our CEO issuing certain administration massages across the board toward the
company, recently we had a family gala where all the work force invite for two days to have you know a kind of
family engagement with the company management, we have been doing cricket match within the departments
so all these mechanism help in building better communication & trust.
10

Interviewer1: One more thing we want to know that what you think to achieve the organization performance we
need to pay some extra cost? In term of time & resources.
Interviewee: Well anything we want to improve will cost you one of the most important the thing that will
cost you is time & whenever you talk about time is not just time per say how much time you incurring its a
time & efforts that you need to put in & build the commitment & people you know effective supervision would
cost people to commit work ok for example if KE starts new plant until & unless the work force is ready what
sees the benefits in it will not be able to put their heart & soul to do it & people to put their heart & soul to it
somewhere they has to be their leader & supervisor to tell them the long term & short term benefit to the
organization there business operations & individuals them self if the company proceeds in progress. to bit
commitment you need to have communication & for communication you need time repeated massages, repeated
massages with lots of commitments & you know lots of consistent massaging to people & that will required
time that will not over the days. Yes communication cost will be there you may have to organize seminars, you
may have to issue some letters, you may have to organize some workshops & training to help people understand
what is happening & how it will effect that. As far as the hurdles are concern in a very bad financial situation
that we are in as a country yes cost is a concern but at the moment we are not focusing on return on reinvestment
companies right now we are in an experimentation mood. Since we want to expend since we want to extend our
services what we are trying to do is build up peoples competence to become a better to do thinks better we are
improving the working condition if you go to K-electrics IBCs these days you must be seen most advance work
environment, you must seen a lot more congeniality happening between people, more relationship oriented
communication taking place so all of thing are here.
11

Interviewer1: What you think what are the gaps between in two things?


20
Interviewee: I think for a company which has been 95years in a kind of mood you understand till 2008 we were
public company so it is like an old woman which was tie to the chair has been ask to run down so there is lots of
rigidity as a system, people are in a new system but they would like to stay with the old because their comfort
zone lies there are some old workforce ready to do new things some newer workforce were not ready to do new
things so those are the human barriers which are here but then like I said a consistent intervention, consistent
communication, good reward & performance management, effective & objective reward & performance
management will cause the change thats more important.
12

Interviewer2: Sir, our next question is about the initiative in performance improvement like what are the issues
to be addressed?
Interviewee: Well! When in 2008 a brass to cobber K-electric a probably because I am just a year move to
the company but essentially what I know what I heard about the company I can tell you that there was no
performance management system there was an annual conduct report ACR system there. What they did they
came up with very objective performance management system but people had their mystery about that people
had speculation about it they would wonder if it was to benefits certain level of people or it was you know horn
certain kind of people or it is the method of you know getting people out of the system or is a kind of a system
that would not be able to reflect on the way people are performing. So, what we did is we keep educating the
every year we have an annual performing cycle number 1 & each year January people set their performance
objective they identify what they unable to do last year & why they were unable to those things so they identify
their performance gap areas & then they identify you know improvement plans so one hand we have objective
plans for the year we have improvement plans for the year people perform throughout the year they achieve both
of them & December they again ask to the reassess them self . So what they do is they reassess them self look at
their goal achievements, they look at their business objective achievements, they look at their leadership
objective achievements they look at their safety objective achievements & then they again identify certain
improvement for the next year & this is how the cycle continuing. As a result of this performance evaluation we
people are getting rewards some people would get promoted, some would get only increments, some people
would not any kind of benefit at all & then those who do not perform who are not seen as good performer by the
management they are ask to leave first they are given 3 months time period to re-perform & given certain task
then the reassessed if they could not perform then they again 3 months time & in a 6 month time they do not
perform they ask to leave company. Those are the measures until unless you have a caret in stick mechanism in
place you will not have good performance happening.
13

Interviewer2: Ok basically you are continuously measure the performance & here role of employee is very
important as far as role of employer.
Interviewee: Until unless you understand your objective & you do not perform on objectively using the
resources that are available to you, you will not be able to achieve your objective & that will become trouble.
14

Interviewer2: Ok, & also you are giving your employees a particular time span?
Interviewee: Yeah! First period of time is one year then after the probation period, if in case you are a bad
perform 3 month time then reassessment take place if you do not perform then you again grace of 3 months &
you still dont perform then they say ASSALAM -O-ALAIKUM you can move you can find yourself other
employment.
15

Interviewer2: So the whole process is in structure?
Interviewee: Yeah!
16

Interviewer3: As we have gone through your interview & all the questions we found the performance is playing
very important role in the organization & towards the profitability & revenue. So the next question is that is
performance measurable?


21
Interviewee: If once you fix the parameters yes it is. For example the person who made this table if I gave him
wood & I want to know how skilled he is I tell him make a table out of it I give him a simple plank I will not
give him any thing I will give him 4x14ft wooden plank & I will ask him to make it. So if I am not giving him
any instruction should I tell him to make it table so I am assessing the ability to think, design, cut, plan, use
resources, hummer nail & all. Same way performance when you looking added you look at different paradigm
of a person *how * how he uses his mental faculties to achieve an objective ok when you put people on board
like for example in Iqra university your performance is measured by your performance in different subjects
university has decided that if you perform certain level of English competence in your business English &
certain level of business competence in *aaa* you know in your statistics, in your statistics inferences for
managers & your IT for managers courses they will decide on a GPA level. So what we decide as university
*they* they setup a benchmark that if you perform at level you do these many question you get these many
marks so same way *aa* you have to decide what you want to report in our system *in in* in K-electric *we*
we decide on 3 lay areas No. 1 is your business objectives how you achieve your business objectives no. 2 how
you achieve your leadership objectives for example for the year you decides to do something new come up with
a new method of you know reading meters so that will be rewarded then how you achieve your safety objectives
there everybody ask to have a safety objectives that this year what are you doing to do for the safety objectives
so you need to have parameters & then you need to have a scale to reward for example what will b called a kind
of a rating scale in which you develop that ok if you do this much you will be given A if you do this much you
will b given B & this is how you do the standard level setting & this is how function actually.
17

Interviewer 3: Sir what do you think where & when will the measure will take place?
Interviewee: I think it should be at fixed it should be it should be continues no.1 & it should be at fixed interval
as well what we commonly known as monitoring is continues we keep monitoring our people *aa* when we
when we monitor our people we ask supervisors to you know to formative feedback a assessment *or or* or
performance management take place into two ways 1 when you are rewarding people or punishing people the
other ways when you are telling them that you can do this thing better you can do this different kind of
encouragement to do better so that should happen as a continues monitoring & evaluation *when* when
monitoring is over evaluation take place you can fix it time of interval you can do it for 3 months time for
*new* new people so that you are sure that this person is performing well & then you continues assessment you
can have a yearlong plan & after each year you are going to have assessment of the overall year objectives &
everything you van have how much this person used time you can set the parameters of time you can set the
parameters of resources you can set the parameters of communication & relationship against to all this
parameters you can measure performance.
18

Interviewer 3: For ending up this session we know that organization performance is very important in the
organization how you feel that *aaa* after privatization of K-electric how you feel that this organization
performance & flexibility effect the organization very well or gave the boast of this company?
Interviewee: I think *the* the first sign is that after 20 or 21 years for the first time we incurred profit let alone
the fact that it could cancel but because of the current debt that we have but at the end of the day it is one of the
thing 2nd thing is that *aa* if you ask people around you will see that KESC & K-electric now *can* can stand
as two different brands KESC was known for a legacy system, old technology, obsolete *aa* things, theft & all
now if you look at K-electric as a brand you will see that there is lots of objectivity, more relationship oriented,
more innovativeness, more color fullness all that has happened there is more properness, there is
more transparency here you *in* in case of KESC the image was very kind of I would not say corrupt but at
least questionable people had question doubts about it that how & what was happening now I think a company
has re-branded itself well not only in term of the image but in term of practices as well so that has change about
it.
19

Interviewers: Thank u so much sir for your time.
Interviewee: More than welcome & thank you very much for calling in it was wonderful talking to you guys
interesting questions & very well focused & very objective.


22
Code
Priori codes:
Performance management
High performance organization
Organizational structure
Organizational Culture
Sustainability
Financial goals
Employer branding
Teamwork
Competent HR
Obstacles
Lacunae

Grounded codes Initial Coding
Refer cited number in verbatim


Vertically integration
Revenue
Innovativeness
Technology
Maximum capacity
1


Profitability
Good people
Service quality
Key element
Not performing
Proceed and sustainable
Paradigms
Theft controlling
Service delivery
Objectives setting exercises
Performances is measured
Rewards increments and promotions
Reports its back
Goals we are keeping in mind
Hierarchical system
Level of control
Employees system
Technical task
Supervised by certain management staff
Work force division
Deputy general managers and general managers are decision makers
No confusion
Benchmark
2


Challenge
3


Overwhelmed
Over staffed management
Voluntary separation schemes
Work force load
Revenue loss
Confidence of people
Speculation
Riots
4

Talent pool
5



23

Debt
Innovation
Inelastic demand
Demand is coming increasing
6


Human elements integrity and honesty
Good audit monitoring
Evaluation mechanisms
Comprehensive development plan
Build workforce
Embraced technology
Supervision
Self-motivated performance
7


Ability of a performance management system cater of all sorts of performance
Objectives
Relationship management
Health safety and environment consideration
Modification
8


Mind set
Distribution of rewards
Delegation relationship
9


Family engagement with the company management
10


Anything we want to improve will cost you
Time
Commitments
Consistent massaging
Communication cost
Hurdles
Bad financial situation
11


Old system
Rigidity as a system
Gap
Comfort zone
Human barriers
Intervention
Change is important
12


Performance management system
Speculation
Annual performing cycle
Self look at their goal achievements
Business objective achievements
Leadership objective achievements
Safety objective achievements
Period to re-perform
Role of employer
Role of employee
13


Understand your objective
14


Probation period
Reassessment take
15


Structured system
16



24

Fix the parameters
17


Monitoring is continues
Feedback assessment
Encouragement to do better
18


Profit issues
Debt issues
New legacy system after rebranding
Least questionable people
19


Grounded codes Focused Coding
Integration and Collaboration
(Vertically integration, Reports back, structured system, Feedback assessment)
Financials issues
(Revenue, Profitability, Profit issues, Bad financial situation, Revenue loss, Debt issues)

Innovation
(Innovativeness, Technology, Challenge, New legacy system after rebranding, embraced technology)

Utilization of resource
(Maximum capacity, Service quality, Service delivery)

Process Re engineering
(Paradigms change, Theft controlling, Voluntary separation schemes, Modification, Change is
important)

Employer branding
(Good people, Confidence of people, least questionable people, Relationship management,
Supervision, Positive role of employer)

Motivational factors
(Objectives setting exercises, Performances is measured, Rewards increments and promotions,
Encouragement to do better, Distribution of rewards, Family engagement with the company
management)

Barriers and Obstacles
(Not performing, Speculation, Overwhelmed, Riots, Work force load, Communication cost, Hurdle,
Old system, Rigidity as a system, Comfort zone, Human barriers, Intervention, Anything we want to
improve will cost you, Time)

Training and development
(Technical task, Talent pool, Monitoring is continues, Reassessment, Good audit monitoring,
Evaluation mechanisms, Comprehensive development plan, Build workforce, Self-motivated
performance, Delegation relationship, Mind set)

Span of control
(Level of control, Hierarchical system, Employees system, Deputy General Managers and general
managers are decision makers, over staffed management, Performance management system)



25
Key elements
(Goals we are keeping in mind, Proceed and sustainable, Health safety and environment consideration,
Commitments, Consistent massage, Efficiency and Effectiveness)

Monitoring and controlling
(Supervised by certain management staff, Work force division)

SMART goal
(No confusion, Benchmark, Fix the parameters, Objectives, Understand your objective)

Competent workforce
(Team work, Human elements integrity and honesty, Positive role of employee)

Gap
(Inelastic demand, Demand is coming increasing)

Achievements
(Annual performing cycle, self look at their goal achievements, Business objective achievements,
Leadership objective achievements, Safety objective achievements)
Leverages
(Period to re-perform, Probation period)


26
APPENDIX 3 Email Confirmation




27
APPENDIX 4 Summary Memo
Review
Organizational flexibility has an important role in organizational performance. Only those organizations perform
whose system, management, HR all is flexible and ever ready to adapt changes and cope up with new
challenges. Therefore we can say that Organizational flexibility and Organizational performance are directly
proportional with each other.
For the evidence of this statement we have review different research papers
1
related to our chosen context, visits
several sites
2
, read articles
3
and finally draft the questionnaire, based on 6 questions. Our research instrument is
qualitative in nature, based on open ended questions with three related heads which provides possible directions
so that we could easily stick on one topic.
The company we have chosen is K-electrics (formerly KESE). The reason of choosing this company is due to its
Rebranding, because its past performance is not positive and rigidity in system. Therefore we find out
importance of organizational flexibility in organizational performance.
Tentative conclusions
The person we asked question (interviewee), Dr. Qazi Tauseef uddin Ahmed Tauseef, is the Deputy General
Manager (HR- Learning and organizational development) in K- Electrics (formerly KESC). He shares his sound
knowledge and experience in his field which is related to our research requirement. The evidence of the
literature is explicitly reflects from his views.
Discuss
As per anticipation of our analysis efficiency and organizational flexibility are the important source of
Organizational performance here role of HR is very important at every level; other dimensions which are
discussed in the report are also the lagging force in this particular area. As per our interviewer flexibility in
organizational performance is:
Performance management system cater of all sorts of performance good performers moderate performers and
bad performer, company has started a very comprehensive performance management system which rewards
people at different levels, their identification takes placed in different areas number one is operation objectives
number two is their leadership tries and number three is the relationship management so this how company look
at the performance measurement



28
APPENDIX 5 Fieldwork Request Letter