COMSATS INSTITUTE OF INFORMATION

TECHNOLOGY, ISLAMABAD

FINAL PROJECT OF MANAGEMENT

SUBMITTIED TO: MADAM HANNYA ABID
SUBMITTED BY: FAZAL HAMEED
REGISTRATION # MBA-048/ISB

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 DEDICATION

I want to dedicate my this project to the following persons

• Hazrat Muhammad(PBUH)

• My parents

• My teachers

• Madam hannya abid

• My friends (mobshair,fawad,kashif)

• And all those who are struggling and fighting for Islam in the
right direction

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 Microtech industries(pvt).Ltd.
Simla Tower, 5 Davis Road,Lahore Paksiatn.

INTRODUCTION TO MICROTECH INDUSRIES (pvt)

Ltd.:

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At MicroTech, they are involved in the design, development and manufacturing of
hi-tech products, providing comprehensive solutions in many fields including
telecom, power electronics, and vehicle tracking systems and consumer electronics
to their valued customers worldwide. They translate engineering technologies into
value for their customers through services and customized solution.

HISTORY:

Just over a decade back a small cluster of people driven by the belief in applied
research joined hands together. In 1992, this team was a novice in the business
sector but indeed had what it takes to become successful - mind over matter.
Technology and research was its mind and making a way into the industry was the
matter. The focus of this small but dynamic R& D facility was to offer cost
effective, customized, and innovative solutions in the field of Hi-Tech engineering.
This focus ultimately proved to be the most vital element in making "MicroTech"
what it is now.

MISSION:

Their mission is to become a global leader by developing a pool of expertise geared

towards providing unsurpassed technology solutions and state of the art engineering
products and services, focusing on the goal of never ending improvement in quality,
service and productivity.

VISION:

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Their vision is, "to bring about a global technological revolution by uplifting living
standards of the societies we serve, through innovative technological solutions by
implementing business practices that are in line with our belief system"

GOALS:

To become an industry leader by providing unsurpassed technology solutions by

developing stat-of-the-art telecom products and superior services focusing of the
goals never ending improvement in quality, service and productivity.

OUR CORE VALUES:

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Integrity- Ethics, not profits, drive our passion for advanced technologies.
Business excellence - Believe in never ending improvement in quality, service and
productivity.
Performance oriented culture- they link goals, performance and rewards.
Customer delight- they believe in delighting our customers, both external and
internal by exceeding their expectations.
Going the extra mile- they give people more than they expect.
Open door policy - they provide employee access to any manager or supervisor
including the CEO.
Treating employees as assets - they treat our employees like they treat our best
clients.
Initiative- they encourage all employees to work pro actively and contribute to the
organization.
Team work - they encourage team spirit and thus create synergies.

ORGANIZATION CHART

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 Mr. Nouman Saeed

C.E.O

Mr. Aqeel Jaffer Khan

C.O.O

Prof. Dr. Khalid Rasheed

PROJECT MANAER

Mr. Abdul Ghafoor Mr. M. Furqan

Sr. Manager R&D Sr. Manager Finance

Mr. Rana Tariq

Sr.Manager in Audit

MANAGEMNET PROFILE

BELOW ARE THE SOME KEY PERSONS OF THE COMPANY:

 MR. NAUMAN SAEED

Chief Executive Officer:

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Mr. Nauman Saeed is the Chairman of MicroTech Group of Companies and Chief
Executive Officer of MicroTech Industries. He did his masters in Computer and
Electrical Engineering from Kansas State University and Bachelors in Electronics
Engineering from N.E.D Karachi, Pakistan.

Mr. Nauman Saeed is an experienced entrepreneur with expertise in business

planning, management and new product development particularly in electronics &
electrical engineering products. Based on his understanding of the hurdles in new
product development and techniques to overcome them, he has been able to steer a
number of products through the phases of idea inception research & development
and production towards successful commercialization. He has demonstrated
capability of formulating and leading multi-disciplinary and cross functional teams
and has worked in close coordination with financial specialists for strategic policy
formulation. He also possesses very refined skills of market penetration through
appropriate positioning product differentiation, continuous innovation and managing
customer relationship. He started off MicroTech Labs in 1992 with the objective of
making use of the available local resources and talent to etch a name for brilliance in
workmanship. In just a little over a decade, he has been able to transform the
company into a leading multidiscipline engineering organization in the country.

 MR. AQEEL JAFAR KHAN

Chief Operating Officer:

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Mr. Aqeel Jafar Khan is the Chief Operating Officer at MicroTech Industries. With
graduate degree in Electrical Engineering from University of Engineering and
Technology, Lahore, he did his Masters in Communication Systems and Networks
from Toulouse, France. He also holds M. Phil degree in Digital Communications
from Toulouse. Besides this, he has taken numerous Business and Management
Courses from France and UK including Project Management, People Management,
Finance, Leadership, Negotiation and Sales Skills. He has colossal experience in
Business, Project and Quality Management, both locally and internationally. He has
served for 3 years in Pakistan Telecommunication Company Limited and for 8 years
in Schlumberger France in the capacities of Project Manager, Technical Support &
Services Manager, Supply Chain & Quality Manager and Marketing & Sales
Manager for Europe, Middle East, and Africa before joining MicroTech Industries
as COO. With his influential leadership, interpersonal and negotiation skills,
technical knowledge base, extensive traveling experience around the globe and
profound understanding of different cultures, Mr. Aqeel Jafar Khan is very strong in
leading multicultural and cross-functional teams working on multi-dimensional
projects.

 MR. DR. KHALID

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 Project Director:

Engineer, Technologist, Professor, Dr. K.R. Uppal is the project director at

MicroTech Industries.
He is a highly qualified and experienced expert in the field of mechanical
engineering. He received his first degree in Mechanical Engineering from the
Punjab University, Lahore followed by MSc and PhD Mechanical from
Birmingham. He remained associated with the UET (Lahore), Birmingham
University, Edgbaston, Birmingham and University Technology Malaysia (KL) in
various capacities.
Dr. Uppal is a professional / Chartered mechanical engineer, registered with
Chartered Institute of Mechanical Engineers (London), Chartered Institute of
Building Services Engineers (Lond.), American Society of Mechanical Engineers
(NY), American Society of Heating, Ventilating, Air conditioning and Refrigeration
Engineers (NY), Institute of Engineers Malaysia (KL), Pakistan Engineering
Council (Islamabad), and Pakistan Society of Heating Ventilating Air-conditioning
and Refrigeration (Islamabad).

He has been serving humanity through innovative technology by harnessing local

natural resources and designing and developing environment friendly energy based
mechanical & electrical equipment.

 MR. ABDUL GHAFOOR

Research and Development Manager:

Mr. Abdul Ghafoor is the Senior Manager Research and Development at MicroTech
Industries. He graduated in Electrical Engineering (Communications) from
University of Engineering and Technology, Lahore. He also holds Diploma of
Associate Engineering in Radio, TV and Electronics from Government College of

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Technology Lahore for which he was awarded by Punjab Board of Technical
Education for his outstanding performance.
Mr. Abdul Ghafoor is a hobbyist for 13 years and has been continuously enriching
MicroTech since the year 2000.
Before joining MicroTech, he served at East West Inifiniti (Pvt.) Ltd. Islamabad for
a year and Industrial Technologies (RWR) Pvt Ltd, Islamabad for 4 years. With his
vast experience and expertise in the field of electronics, Mr. Abdul Ghafoor has
designed and developed numerous products for MicroTech including Payphones,
Pre- Paid and Post Paid Energy Meters, Vehicle Tracking Systems and Remote
Switch Panels. Besides this, there is an unbounded area of his interest which
encompasses Electronics, RF & Broadcast; AF & Public address system, TV &
Video, Power Electronics Analog/digital signal processing & Voice Compression,
RADAR, Telephone, VOIP, IVR, PABX & Telex.

 MR. FURQAN

Finance Manager

Mr. Muhammad Furqan holds the position of Sen. Manager Finance at MicroTech
Industries. He did his graduation in commerce in year 1994 and became an
Associate Member of the Institute of Chartered Accountants of Pakistan in year
2001. He started his professional career with S.M. Masood & Co. Chartered
Accountants (Member of Nexia International) in 1999.

Mr. Furqan joined MicroTech as Manager Accounts in February 2000 and since
then he has been heading Finance and Accounts Department. His job focuses on the
strategic financial management, taxation and corporate affairs of the company. His
role as a facilitator and advisor on the issues of corporate governance is evident
from the financial well being of the company. He has also been actively involved in
the development and restructuring of Internal Control Systems of the company. Mr.
Furqan also enjoys managing extra circular activities in the organization.

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  MR.SAQIB
Production Manager:

Mr. Saqib Raza is the Manager Production at MicroTech Industries. He completed

his B.Sc. (Hons.) in Mechanical Engineering from University of Engineering and
Technology, Lahore. He is also an active member of Pakistan Engineering Council
(PEC). He has continuously been enriching his portfolio by taking numerous courses
in auditing and quality management including Cost and Profitability Analysis,
Kaizen Management, Quality Circles & 5S, Occupational health and Safety
Standard OHSAS 18001, SA 8000 Social Accountability, ISO 14000,
Environmental Management System, ISO 9000: 2000 Quality Management System,
and AA 1000 Assurance Standard. Mr. Saqib has profound experience in auditing
and quality control management. He started his career at Siemens Pakistan
Engineering Company in 1996.
He joined Pakistan Institute of Quality Control in 1997 as a Consulting
Engineer and remained associated with it till 2001.He became associated with
Bureau Veritas, Pakistan in 2001 as Manager Operations / Lead Auditor and
conducted over 600 man-days of audits in more than 200 different organizations
both in Manufacturing and Service Sector. He joined MicroTech in the year 2005 as
the Production Manager. Mr. Saqib is continuously adding value to our organization
with his immense experience and profound quality management skills. Very
recently he has also got training on SMT Technology from Essemtec AG
Switzerland, which is the most advanced and latest form of electronic assembly line.

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  MR. RANA TARIQ

Manager Internal Audit:

Mr. Rana Tariq is the Manager Internal Audit at MicroTech. He did his graduation
in 1996 and is C.A-Inter from the Institute of Chartered of Accountants of Pakistan.
He has also taken numerous professional courses , the most prominent being the
training program conducted on Laws of CA Article ship with a renowned audit firm
namely S.M. Masood & Co., a member of Nexia International (a worldwide network
of chartered accountant firms). He has expertise in Financial, Internal Control and
Management Audits. Through his continues efforts, MicroTech was able to secure
ISO 9001:2000 certifications in July 2002. He also has proficiency in Supply Chain
Management and Project Management. Currently, Mr. Rana is managing the project
of Static Energy Meters for WAPDA.

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 Deputy G.M

Marketing Manager

D.M Manager

Industrial Marketing Product Division

Department

South
A.M.M
Lahore Zone

Karachi
Zone

Multan
Senior Sales Regional Zone
Manager Sales

Central
Zone
Assistant Assistant
S.M S.M
North
Sales Sales Zone
Executive Executive

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 MICROTECH GROUP:

MicroTech Group comprises of

• MicroTech Labs
• MicroTech Industries
• MicroTech Networks

Based in Lahore Pakistan, MicroTech Labs and MicroTech Industries have

complete R&D, production and manufacturing facilities. They are involved in
manufacturing of products for sectors like

• Telecommunication
• Power Electronics
• Consumer electronics
• Vehicle tracking systems.

MicroTech Networks is a licensed VoIP telecom operator offering voice and data
services in

• Sri Lanka
• Singapore

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 • Hong Kong.

CULTURE AND ENVIRONMENT

CULTURE & ENVIRONMENT

Underlying everything they do and everything they believe in is a set of core values.
These guide them to deal with every aspect of any issue they might encounter in
their personal and professional lives. These values help them grow inside and
outside, personally and as an organization.

• SMART GOVERNANCE

Employees are committed to running their business successfully and efficiently,

providing long term benefits to their employees and shareholders, and enriching the
lives of those whom they serve by fulfilling their corporate responsibility to the best
of their ability. They expect excellence from all processes, whether they relate to
policy formation and accounting procedures or product development and customer
service.

• WORK ENVOIRNMENT

Their policies and core values are aimed towards creating an informal yet
stimulating team-oriented work environment with a culture of sharing and open
communication. They cherish the diversity of viewpoint of every individual. They
realize this by encouraging innovation and develop character.

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All employees have the right to a stress- and injury-free work environment. They
ensure our employee safety and health by providing various in-house facilities such
as a gym and making sure that all staff understand and uphold our safety policy.

• PEOPLE

Success of any organization is largely dependent on the people working for it. Each
member of a team is considered equally important and provided constant training,
motivation and guidance. They possess a dedicated staff of the highest caliber
dedicated to making their business a success.
They ensure that every employee has the opportunity for maximum professional
development. To achieve this goal, they seek to provide challenging work prospects
for all employees. Each person is compensated and rewarded for his or her
performance on strict merit basis.

• CONVERSATION

They expect and encourage our employees to actively participate in community

service and to take care of the environment entrusted to them as citizens sharing the
earth's resources.

• CUSTOMER SATISFACTION

They are customer-driven; they go the extra mile to make sure that their clients'
expectations are met and exceeded on every issue. They partner with leading
companies

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to arm themselves with the latest technology and provide customers with innovative
solutions in a most effective manner.

• ETHICAL BEHAVIOUR

They make it clear that being a sincere, honest and decent human being takes
precedence over everything else. In the MicroTech family, there is an all-round
respect for elders, tolerance for equals and affection for youngsters. Managers are
expected to lead from the front, train junior colleagues through delegation, resolve
conflicts speedily, be visible at all times and act as role models for others

MANAGERIAL POLICIES

MANAGERIAL POLICIES

The managerial policies as adopted by MicroTech limited are as follows:

• The price of company’s product is same in all areas pf Pakistan.

• In case of consumer Product Company pays freight.

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• Priced can be changed by the company without any prior notice.
• The Company accepts only large orders of high monetary value.
• An order, which has been once confirmed by the customer, can only
be cancelled at the will of company and not the customer.
• In case of consumer product, agreement with customer is made once
and for all
• No discounts are offered to customers.
• Goods are sold against 100% advance payment.
• The company doesn’t pay freight when its industrial products are
shipped to the customer.
• Punctuality is strongly emphasized.
• All the designed and original work done in preparing the products of
any kind will remain the property of the company
• Procurement is made directly with producers so that the
middleman’s profit is eliminated.
• An alteration in the approved sample shall be charged extra.
• Workers are encouraged to produce more through well-organized
incentive system.

• Selection of executives is done strictly on merit bases and no

approach is entertained in this regard.
• In all production processes both quality and quantity are taken
emphasized.
• Workers are encouraged to reduce waste and costs.
• Only those workers are recruited who have some relationship with
the current employs of the company.

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 • Smooth relationship between supervisors and the subordinates is
emphasized.
• Swiftness in the performance of duties is encouraged.

Corporate Governance:

Micro Tech considers good corporate governance to be a necessary requirement for

value creation and trustworthiness, and for access to capital. In this context good
corporate governance means open interaction and cooperation among the company's
owners, the Corporate Assembly, the Board and Group Executive Management, as
well as other interested parties such as the Group's employees, customers, suppliers,
creditors, public authorities and society in general, etc. The presentation given
herein is seeking to reflect that Micro Tech, when engaging in corporate
governance, includes all these interested parties in an integrated and comprehensive
way.

Transparency in information:

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Earning public trust is essential for all companies. When submitting reports, Micro
Tech provides both financial and non-financial information, emphasizing
transparency so that interested parties may be able to make informed decisions.
Micro Tech also focuses on individual responsibility and personal integrity - values
that will be promoted by concentrating on value-based leadership and business
ethics. Social, competitive and industrial development will involve changes and
restructuring. Flexible employees and a pliable organization will be pivotal in
achieving a successful development.

Rules and regulations:

Micro Tech is subject to rules and regulations applicable in Norway as well as the
countries where the Group conducts business. Micro Tech's shares are listed on the
Oslo Stock Exchange and NASDAQ in the US. As an issuer of shares the company
must comply with both Norwegian and US stock exchange rules. Listing on
NASDAQ involves compliance with regulations promulgated by the Securities
Exchange Commission and NASDAQ, and the Sarbanes-Oxley Act (SOX), which
includes strict requirements and internal controls relating to financial reporting.

Fight against corruption:

Micro Tech currently conducts business in countries in which corruption and

business ethics issues represent a challenge. Micro Tech's activities may serve to
illustrate that it is possible to achieve success in business in demanding markets
without compromising adopted ethical principles or international norms. Micro Tech
will not tolerate corruption and works to prevent corruption at all levels of the
organization. The most important measures employed by the Group in the fight
against corruption involve ensuring a common business ethics platform at all
companies where Micro Tech has operational control, training of individual
managers and employees in how to deal with situations involving ethical dilemmas,
and ensuring that ethical issues may be raised and discussed in all units in the

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Group. Specific tools relating to these issues have been prepared on the corporate
level.

Business ethics:

Micro Tech's efforts to ensure socially responsible business conduct involve more
than just good business ethics at all levels. They concern the manner in which we
treat our employees, our relationship to nature and our surrounding environment,
our efforts to ensure safe products, as well as a number of other factors.

Code of conduct:

Micro Tech has developed a set of principal documents, e.g. the Codes of Conduct
as well as policies and their subordinated complimentary procedures, to ensure good
and efficient Corporate Level Controls. Internal rules are adapted and implemented
at international subsidiaries in which Micro Tech has operational control.

Sound platform:

Internal and external rules and procedures provide Micro Tech with a sound
platform for good corporate governance and for further development of a positive,
responsible and healthy corporate culture. Micro Tech works systematically to
install responsibility at all levels of the Group's activities - a requirement to
successfully achieve the Group's goals of long-term value creation. Such
responsibility is also important in relation to Micro Tech's customers, owners,
employees, joint venture partners, competitors, public authorities and other
interested parties. Business ethics have featured prominently in Micro Tech's work
on social responsibility.

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Interest of employees:

In accordance with Norwegian law, employee’s interests are protected by the

provisions in the Act relating to Public Limited Companies (Norway), which
concern the right to membership of the Board and the Corporate Assembly, etc.
(representatives elected by the employees), and by the provisions in the Working
Environment Act which concern company transfers, wages and working conditions,
dismissal protection, information and talks with employees at an early stage, etc.
These interests are also protected by collective agreements.

Value creation conditions:

Micro Tech regards skilled employees who enjoy their work to be an important
competitive advantage. Micro Tech is engaged in activities in markets, which are
subject to change, and the company also has to relate to technological developments
in which it is also an active participant. In order for Micro Tech to maintain its
competitiveness and provide for value creation under such conditions, the company
is subjected to considerable demands in its capacity as an organization, which is
good at making changes. Micro Tech works actively to ensure that all restructuring
is implemented in a predictable and fair manner. An important aspect of these
processes is to involve the company’s employees in the planning and
implementation process. Good cooperation between managers and employees is
important to meet market demands and expectations.

Internal value creation:

Micro Tech places emphasis on developing the expertise of its employees. Each
year employees respond to an Internal Value- Creation (IVC) which comprises
targets and management, human capital, process capital, innovation and
simplification. The IVC process is one of several tools used for achieving Micro

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Tech’s ambitions relating to individual employees and the organization. By
comparing the results of the annual IVC survey with TDP, a basis is achieved for the
implementation of improvement measures with respect to employees in general and
managers in particular.

Dynamic environment:

Micro Tech aims to be a leader with respect to work solutions and job satisfaction.
Employees should enjoy their work. The Fornebu solution represents an opportunity
for employees to participate in value creation through new work forms in a dynamic
environment. The manner in which the Fornebu solution works for employees has
been closely followed up in a number of surveys. Emphasis has been placed on the
question of whether sufficient efforts have been made to ensure high levels of job
satisfaction and high levels of productivity and efficiency. Employees are
encouraged to suggest improvements to the working environment also with respect
to productivity and efficiency.

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TELECOMMUNICATION
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 MTL 2000
MTL - 1500
MTL LPUs Indoor
GSM Phone
Payphone

MTL 2000
MTL - 1500
MTL LPUs Indoor
GSM Phone
Payphone

Mobi Router 11A SIS-2000

MTL 4000 WLL

Wireless

POWER ELECTRONICS

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 HT,
CT.PT
LT, CT
Operated
Operated
3-Phase
Multi Tariff 3-Phase Multi
Multi
Whole Traiff
Traiff
Static Energy
Static
Meter
Energy
Meter

3-
3-Phase 4- 1-Phase 2-
Phase
Wire Wire
4-Wire
Prepaid Prepaid Solid
Prepaid
Solid SEM SEM
SEM

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 VEHICLE TRACKING SYSTEM

CONSUMER ELECTRONICS

Remote Controlled Switch Panel

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CUSTOMERS OR CLIENTS OF MICROTECH

There are many customers of MicroTech Ltd. which are as follows:

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 STRENGTHS

SWOT
WEAKNESSES
ANALYSI THREATS

OPPORTUNITIES

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 INTERNAL FACTORS

STRENGTHS WEAKNESSES
 Support and expertise of parent • New to business
company
• High investment to be recovered
 Aggressive strategy
• License terms and conditions
 Fast growth
• Annual renewal
 Financial Strength
• Royalty to Govt
 Support of expertise
• 1.5% of Services Funds

• R & D funds

• Security Requirements

EXTERNAL FACTORS

Opportunities Thearts
• Low competitors • Changing customer needs

• High Market Share • Thearts of new entry

• Strategic Alliance • Falling price of equipments

• Technology uncertainty
• Customer not satisfied
• Dynamic and volatile
with the quality of other
environment
products
• Interconnection issues

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MicroTech Limited is divided into eight departments.

 HR Department & personnel Department

 Pre-press planning Department

 Research and Development Department

 Production and Planning Department

 Technical Department

 Quality Control Dept

 Marketing department

 Finance Department

HUMAN RESOURCE AND PERSONNEL

DEPARTMENT

There are 3000 workers at MicroTech Limited at present. In 1992, when it came into
production there were no more than 500 workers employed. The retirement age is 58
years for employees. Personnel (Industrial Relations) Manager heads the Personnel
department. Under his supervision five sections or wings of the Personnel
Department work:

1. Legal Wing
2. Personnel Staff Wing

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 3. Personnel Wing
4. Welfare Wing
5. Establishment Wing

1) LEGAL WING

In every organization, personnel function includes the legal aspect of human

resource management. As long as organizations exist, the disciplinary problems tend
to occur. The Legal Wing looks after all the legal aspects and issues concerned with
labor and personnel. This wing handles all legal issues of labor. Senior personnel
officer heads it. Its main concerns are:

 Misconduct
 Civil and Criminal Cases
 Revenue Cases

The Legal Wing, internally as well as externally, and with all other industries deals
all legal problems of Packages Limited. It can also hire the services of outside
lawyers. It also handles disputes between the labor and management and settles
controversial issues. This wing also conducts the case of organization related to
Income Tax.

2) PERSONNEL STAFF WING

This wing includes the personal staff of the Personnel Manager. The job of the clerk
is to carry out all the orders and information given out by the Personnel Manager.

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PERSONNEL WING

The personnel wing performs two main functions:

1) It looks after all the sports activities at Packages Limited.

2) It looks after the disputes between the management and the workers if they arise.

3) WELLFARE WING

The function of Welfare Wing is to look after all the welfare activities and facilities
on the factory premises. This wing controls

 Mess
 Fair Price Shop
 Canteen

The evolution of this wing was the result of the management’s thought that it is a
big deal to feed and clean a big factory. It is directly under the Personnel Manager.

Mess

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In MicroTech Limited, they believe that, the primary conditions for good health are
nutritious food which is prepared under the most hygienic conditions in the
company and served at highly subsidized rates.

 Fair Price Shop

This wing supervises the Fair Price Shop, from where employees can get all the
things of daily use at lower rates than market. All consumers’ products
manufactured by MicroTech Limited are sold over here at 20% discount.

4) SANITATION WING

The job of this wing is to clean the factory area. There are two supervisors and 35
sweepers.

ESTABLISHMENT WING

The Establishment Wing performs the following functions:

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Maintaining Personnel Records
Recruitment
Maintaining Personnel Strength
Maintaining Leave Record of All Workers
Keep Check on all the Staff

This wing consists of one senior personnel officer, two assistant personnel officers
and, section in charge and 13 timekeepers.

TIME OFFICE

The most important section of the Establishment Wing is the “Time Office”. All
employees and workers of the MicroTech Limited are enrolled here. In the Time
Office, employees’ records from appointments till retirement are kept, like transfer,
promotion and leaves. All appointments are made only when there is a new vacancy
or need for replacement. There is an “Appointment Register” in which details like
name, father’s name, and appointment date, address, department etc. are entered.
This register also tells about the appointments made in a year and strength of all the
departments.
Along with the Appointment Register, there is another register known as “Strength
Register”. It shows the number of workers employed. All entries regarding the

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wages, allowances etc. are kept in it. All new workers are appointed on probation
for one year. Three probation reports are given during this period.
This wing also maintains the personnel records. The record is being used to,
calculate wages and salaries make work plans for employees and evaluate their
performance.
There are two types of employees in the organization:

 Employees who are paid on monthly basis.

 Employees who are paid on hourly basis.

Now in MicroTech Limited computers make all the records of employees. A card
exists, for noting the time spent on job by workers, which are paid on hourly basis.
The card notes time of starting and finishing by punching machines. These cards are
collected by Production Department, and then they come to Time Office, where they
are kept in record. Then the Time Office calculates the wages of hourly workers.

In this company there are two shifts:

Shift Timing
First Shift 06:30 AM To 03:00 PM
Second Shift 02:55 PM To 11:25 PM

This Wing also supervises the activities of Gate. For making their employees
punctual, the employees who come late are stopped at the gate and they are allowed
to enter after the approval of the related divisional manager. There is a gate pass

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system in MicroTech Limited. People who want to go out-side the organization in
duty hours; they have to submit a "Gate Pass" signed by their head of department.
The time of leaving the organization and coming back to the organization is written
at gate pass. The record goes to Time Office.
There is a casual leave of 10 days and medical leave of 16 days on the basis of
medical certificate issued by the company's medical officer. The hourly staff is
allowed 14 days of annual leave. However, for one-day medical leave no medical
certificate is required. Strict disciplinary action is taken if an employee remains
absent without prior notification.
An advisory note is issued for more than three absents. MicroTech Limited also
gives bonuses for extra work. For each hour of overtime, the hourly wage is
doubled. For monthly paid workers there is an attendance register. They can get
leaves also. If an employee is absent for more than ten days without leave then he is
issued a "Charge Sheet".

 RECRUITMENT AND SELECTION CRITERIA

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 MicroTech Limited has designed a sound but easy method of recruitment. When any
department needs an employee, it sends its requirement to the Human Resource
Department, which in turn advertises the vacancy in the leading newspapers and
asks for the qualified people. In case of the posts requiring some years of
experience, only interview method is used to select the best candidate.

 RECRUITMENT OF WORKERS

Minimum qualification for the post of the workers is Matriculation 2nd Division
with science subjects. The workers should not be more than 21 years old and must
be medically fit. These are employed as "Apprentice Trainee". If the performance of
the worker is satisfactory during the probation period, he is hired. Normally workers
get promotion after two years on the recommendation of their supervisors. This post
is not advertised.

 RECRUITMENT OF DIPLOMA HOLDERS

Diploma holders in Electrical, Mechanical and Instrument Engineering are also

employed. They are given a training of six months. They are employed for
supervisory jobs

 RECRUITMENT OF EXECUTIVES

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Top executives are hired who are having at least Masters Degree and having a 7
years of experience in the relevant field.

 HIRING AND RECRUITMENT

For recruiting and hiring some factors are taken into consideration. These factors are
as follow:

 Nature of the job.

 Time required filling the vacancy.

If there is time to fill the vacancy, advertisements are given in the newspapers.
If the vacancy has to fill immediately, the Human Resource Department contacts the
authorized institutions, universities etc.

 PROCESS OF HIRING AND RECRUITMENT

The recruiting and hiring process starts from the applications submitted by the
degree holders. They provide their CVs along with the applications. These
applications and CVs are screened out on the basis of:

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 • Merit
 Institute
 Experience

After this, approximately 50% of the applicants are selected for the further process.
Then the H.R Department lists out the salient features of the CVs (only the accepted
CVs).
Then the H.R. Manager takes a test. This test is based on:

 English comprehension
 Basic mathematics
 Data sufficiency
 IQ

Some questions about the particular job, for which the applicants have applied.
After taking the test, the top 10, 20 or 30 applicants (according to the job
requirement) are chosen for the first interview. At this stage the selection of
applicants also depends on the H.R. Manager and the departmental head. Normally
30% of the applicants, who have given the test, are selected for interview.
Through telephone calls or letters, the selected applicants are informed about the
date and time of the interview. Normally two interviews are taken
H.R. Manager and the departmental head take first interview.

In this interview they observe,

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 • Alertness
 Confidence
 Leadership skills
 Relevant knowledge
 Social acceptance
 Interests
 Communication skills
 First impression
 Maturity

According to these observational factors rating or grading is made. Normally 5%

rating in each factor is acceptable. Then successful candidates are called for final
interview.
Final interview is taken by:

 General Manager
 Deputy General Manager
 Human Resource Manager
 Departmental Head (sometimes)

Previous traits or factors are once again examined. After the final interview, the
selected applicants are sent for medical test and then the Industrial Relations
Manager issues them the appointment letters.

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PERFORMANCE AND APPRAISAL

Performance & appraisal are two sides of a coin. Immediate officer appraises
performance.
For the appraisal of the performance, there is a Performa, which is filled by
immediate officer. This Performa is named as (PPE) Performance Planning &
Evaluation.
There are seven sections in this form. The particulars of the candidates are written
on the top of the form.

1) PERFORMANCE PLAN

In this section, some standards and targets along with time frame are given. The
target given in MicroTech Limited is known as “SMART”.

2) PERFORMANCE EVALUATION

In this section, the net results of the standards & targets given in section # 1 is
evaluated or checked so as to ensure that whether the person can achieve the targets
in the required time frame or not.

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 3) COMPETENCY DIMENSIONS

In this section, different behavioral indicators, in accordance with the performance

are checked. These indicators are as follows:

• Communication Skills
 Work Organization
 Result Orientation
 Team Player
 Customer Consciousness
 Self-Confidence
 Leadership Qualities
 Development Orientation
 Strategic Visioning
 Business Knowledge
 Critical Reasoning
 Human resource Development

4) PERFORMANCE EVALUATION RESULTS

In this section, there are two parts.

Part A Score of Performance Evaluation

Part B Score of Competency Dimension

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 5) STRENGTHS & LIMITATIONS:

In this section, the strengths and limitations of the trainee or subordinate are written.
This is all up to the immediate officer.

6) PERFORMANCE IMPROVEMENT PLAN:

In this section, the immediate manager gives some suggestions and

recommendations.

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HEALTH & SAFETY

To safeguard the health and safety of the employees Welfare Wing takes care to the
medical facilities provided to employees. A dispensary with qualified doctors is
working for this purpose in the factory premises.
BONUS

All the employees get handsome bonus every year, which varies from grade to
grade.
 Employees Old Age Benefit:
MicroTech Limited has two different types of pension schemes. One is for
management staff and other is for workers. In management staff pension scheme,
MicroTech contributes 13% and the employee contributes 4.5% of wages.
Investment is made in Government securities by this amount. Retirement age is 58
years. The employee gets 100% pension up to his life. In workers pension scheme
the Packages contributes 5% of the wages, which ensures a reasonable pension on
retirement. After employee’s death, his
widow gets 50% of pension amount. After wife death the children can take 20% of
pension until they are less than 21 years.

HAJJ SCHEME

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The MicroTech Limited sends every year three employees from Upper level and one
person from Lower level and the above categories for Hajj Pilgrimage on its own
expenses. Draws are taken out for this purpose. Any worker who wants to go on
Hajj on his own expanses is given one month paid leave.

OVERTIME

Over time facility is available for all the workers.

SERVICE AWARDS

The Company gives a wall clock to an employee who completes his 10 years of
service in MicroTech Limited

RECREATIONAL FACILITY

The management also encourages recreational activities. Employees in groups are

encouraged to go on excursion trips and the Company pays the transportation and
other miscellaneous expenses.

CONVEYANCE ALLOWANCE

Conveyance facility is given to the workers in the form of the Conveyance

Allowance. Employees are provided adequate allowance for the maintenance of
their vehicles. Some employees are enjoying the company's transport facilities. For
the outdoor activities employees are provided enough funds to bear their expenses.
A beautiful parking facility is also available.

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PRE-PRESS PLANNING DEPARTMENT

All efficiency of Production Department depends on the working of Planning

Department. The Planning Department has the following functions:

• Production and marketing department Coordination

• Making balance between production and sales
• Creating link between departments
• Loading Sheet
• Making Short Term and Long Term Plans
• Optimum utilization of available resources

RESEARCH & DEVELOPMENT DEPARTMENT

To keep up with new demands MicroTech Limited has a Research, Development

and Control Department. This Department is considered as one of the most
important department. The Research, Development & Control Department works in
close collaboration with the Production Department. It helps the Production
Department to maintain a standard of the products being produced. All the new
materials are tested according to the certain specifications. It also has a lot of
interaction with the Marketing Department. Research, Development and Control

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Department has well equipped laboratories and pilot machines, which are used to
test various chemicals, raw materials and machines.
Functions of R&D Department are as follows.
 testing and suggestion of sample
 product development
 suggestion of tentative parameter for pre bulk to production
 optimization
 quality and productivity of improvement
 cost reducing projects

PRODUCTION AND PLANNING DEPARTMENT

Planning and Production are the most important departments in MicroTech Limited.
Production department controls all the operations under the factory. Planning
department is responsible to plan and organize the allocation of jobs to various lines
or divisions in a
way that their maximum capacity is utilized and that the delivery is given to the
customer by the given date.
Production Manager is the head of Production department and is responsible for the
production function. There is also one Planning Manager, which is under the
Production manager. The Production Manager looks after the production while the
Planning Manager supervises the Planning Section. The heads of the following
departments are directly answerable to Production Manager and they have to present
their special problems to him for advice and help.

MANAGEMENT BY OBJECTIVES (MBO)

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A management system in which specific performance goals are jointly determined
by employees and their managers, progress toward accomplishing those goals is
periodically reviewed and rewards are allocated on the basis of this progress is
called MBO.
In MicroTech Ltd. MBO is commonly used to do planning as they have 2 meetings
in a month to solve the problems etc.

GROUP DECISION MAKING

The group decision making in being used by MicroTech Limited because they think
so that we can make better decisions by getting different views of the employees.

MARKETING DEPARTMENT

The Marketing Department of the MicroTech Limited is headed by the Marketing

Manager who is responsible for all the marketing operations of the office.
MicroTech Limited has a very effective Marketing Department, which is acting a
vital role in the working of the company. This department is responsible for the sale
of industrial & consumer products.

MANAGEMENT STYLE IN MICROTECH

LIMITED

Our management follows the principle of 'management by walking around', where

managers are expected to make daily rounds of all areas of responsibility, and have
first-hand information of all significant happenings.

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Our management style can best be described as egalitarian, with everyone having an
equal opportunity for development and growth. People are recruited into the
company based purely on merit and with total disregard to considerations of gender,
race, color or creed. Merit alone is the criterion of all subsequent professional
growth. Performance evaluations are conducted on the basis of achievement of
individual objectives that are in conformance with the departmental and overall
corporate objectives of the company. Promotions are similarly guided by merit and
the suitability of an employee to the position for which he or she is being
considered.
Our working environment is so relaxed as to be almost casual; there is no bossing
around
or subordination, no name tags on offices, and no appointments required for calling
on seniors.
This informal style of management may seem arbitrary, but is serious without being
intimidating and has stood the company in good stead over the years. Today, our
corporate culture is so attractive that most people join us straight from an
educational institute and leave only after serving their full tenure.

CENTRALIZED STRUTURE OF MICROTECH

Authoritative level:

All decisions shall be made at the appropriate level in accordance with the
applicable regulations concerning authority. You may only obligate a company vis-
à-vis others if you hold such special authority, and you must at all times keep within
the limits of your authority.

Micro Tech shall have good internal controls that ensure that the group's goals and
strategies are fulfilled and complied with. Internal controls shall ensure that the
business processes are at all times efficient and carry an acceptable level of risk, that

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physical and intangible assets are safeguarded and utilized, that financial
information is correct and timely, and that laws, regulations and guidelines are
followed. Internal controls are the responsibility of management, but the individual
employees also share this responsibility.

They contain specific and practical rules, and set the standards for how individual
employees should conduct business when faced with competition and demands for
meeting business objectives. Failure to comply with the Codes of Conduct results in
sanctions suited to fit the nature and extent of unauthorized actions. The Codes of
Conduct apply to managers, employees, hired staff and anyone acting on behalf of
Micro Tech Pakistan

Micro Tech's accounting shall ensure that all transactions are correctly registered in
accordance with Norwegian law and good accounting practice. You shall follow the
group's regulations concerning the registration of transactions and proper
documentation and you share a responsibility for ensuring that business transactions
are fully and correctly reported and documented, and in accordance with applicable
accounting practices. The annual accounts and interim accounts shall be in
accordance with the law, IFRS and good accounting practice.

FORM OF COMMUNICATIONS USED BY THE

MANAGEMENT

People are encouraged to communicate informally at all levels and interpersonal

relationships are greatly valued. Written communication is simple and to the point,
with even personal names abbreviated to initials to save time. Formal
communication is also done in the organization among different departments.

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Different departments of MicroTech Limited uses different direction of
communication flow as studying departments we can well assume that upward,
downward and diagonal communication is being done among the different
departments of MicroTech Limited.

Global Perspective:

Micro Tech has decided to change worldwide. Why? Because our customers have
changed, our markets have changed and the world has changed. Standing still is not
an option. The last fifteen years have seen a huge growth in small technology and ita
uses and an equally rapid evolution of customer requirements. During the last
decade, on a global level, Micro Tech has witnessed a massive growth in
subscriptions, intense competitive pressure and an ever increasing focus on price.
Today our customers’ needs vary dramatically according to local market conditions
hence the need to change along with them.

About future investment plan, CEO Micro Tech Pakistan Mr. Nauman Saeed said
the company would invest over $1 billion in Pakistan over the next few years mostly
in developing its innovation infrastructure. The package offered for the local market
is impressive and threatens to lift the competitors on their toes. The nationwide call
rate of Rs 3.99 inclusive of PTCL networks is some thing, which would upset the
other cellular companies. Likewise the free subscription of GPRS would also create
a crisis management situation for other players. At the time when the rental values
for most the packages offered by other companies seldom go down as low as Rs 500
or so, it offers line rent of Rs 149.
Micro Tech has all the ingredients in its strategy to cause tremors in the Pakistani

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mobile market. However, it would be too early to say anything about the future of
the Micro Tech in Pakistani environs. With such an impressive track record of
market share accumulation is small time period among the emerging East European
markets, Pakistani environment can prove to be a magic wand for one having
experience of decades or can be a quick sand for many new players.

RECOMMANDATIONS
MicroTech Limited is one of the biggest organizations in Pakistan and also the
market leader of its products. Although it is quite difficult to suggest something to

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such established organization but there is always a room for improvement.
Suggestions for MicroTech Limited based on the analysis are as following:

 MicroTech Limited is a very big organization and has centralized structure.

Although it has allowed decentralization in certain trivial matters but still it
functions in a highly bureaucratic manner and hence discouraging
innovation. It is recommended that the matter of decentralization may be
looked into.
 In case of consumer products, the Consumer Products Department (CPD)
does not give sufficient importance to proper media marketing. Concrete
steps may be taken in this regard otherwise they might reduce their market
share.
 Advertising budget should also be increased. It seems that advertising
strategy followed by MicroTech Limited is not up to the mark. It is
suggested that a major nation wide multimedia advertising campaign may be
launched.
 At present the organization accepts the orders from big customers. It is
recommended that the orders from medium size customers may also be
entertained.
 Though there exists a marketing department in the organization but its
activities are limited, and needs enhancement.
 Management should create an atmosphere of competition among different
departments.
 Management should tell the employees about requirements of their
customers.
 There should be arrangement for the residence of worker so as to attract the
employees outside the Lahore.

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END

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