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BAHRIA UNIVERSITY ISLAMABAD CAMPUS ‘Career and Planning Management’ “Final Project”

Cpm Project (for OGDCL PAKISTAN

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Page 1: Cpm Project (for OGDCL PAKISTAN

BAHRIA UNIVERSITYISLAMABAD CAMPUS

‘Career and Planning Management’

“Final Project”

Table of Content

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Introduction 3

Organizational Structure 4

Departmentalization 5

HR Department 6

Socialization and Orientation 6

Recruitment and selection 7

Performance of Appraisal 8

Training 9

Development and promotion 10

Gaps and problems 11

Career path planning 12

Recommendation 15

Conclusion 16

Reference

Introduction

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OGDCL is the national oil & gas company of Pakistan and the flagship of the country’s E&P

sector. The Company is the local market leader in terms of reserves, production and acreage, and

is listed on all three stock exchanges in Pakistan and on the London Stock Exchange since

December 2006. The Company is all set to ride the wave of E&P activity, equipped with its

Vision & Mission, Business and Strategic Plan, a debt-free and robust balance sheet and healthy

cash reserves. The Company is ready to take on the challenges of a volatile E&P industry.

Establishment

The Oil & Gas Development Company Limited (OGDCL) was created under an Ordinance in

1961, to undertake comprehensive exploratory programmed and promote Pakistan’s oil and gas

prospects. In 1997, it was converted into a Public Limited Company and is now governed by the

Companies Ordinance 1984.

Vision Statement

To be a leading, regional Pakistani E & P Company, recognized for its people, partnerships and

performance.

Mission Statement

Our mission is to become a competitive, dynamic and growing E & P Company, rapidly

enhancing our reserves through world class workforce, best management practices and

technology and maximizing returns to all stakeholders by capturing high value businesses

opportunities within the country and abroad, while being a responsible corporate citizen.

Core Values

Merit

Integrity

Team Work

Safety

Dedication

Innovation

Organizational Structure

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Departmentalization

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Corporate Department

1. Administration Department

2. Human Resource Department

3. Security Department

4. Legal/ Regulation Department

5. Communication Department

6. Procurement Department

7. Store Department

8. Finance & Account Department

9. Audit Department

E&P Department

1. Exploration Department

2. Exploitation Department

3. Production Department

4. Process Department

Technical Services Department

1. Drilling Department

2. Data Logging Department

3. Mud Engineering Department

4. Well Services Department

5. Cementation Department

6. Geological Well Supervision Department

7. Engineering Department

8. Wire line Logging Department

9. Geophysical Department

10. Geological Department

11. Data Processing Department

HR Department of OGDCL

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The Company is focusing on the human resource department, as it aims to motivate its

employees through proper placement, employee recognition, effective appraisals,

empowerment, and communication and promoting employees skill development

programs. Various human resource polices are being reviewed and rationalized by

taking into account the industry norms to bring about an effective change in order to

meet the challenges of highly competitive business environment. It helps to understand

and evaluate the different and sometimes ambiguous views of human resource

management by investigating its origins, explanatory models, technology and practice.

Number of employees in HR Department

In OGDCL, HR Department consists of number of employees under different job titles.

There are round about 13 officers and 97 total staff, as well as there are also data

processing officers.

Socialization and Orientation

New environment, different work activities, a new boss, different and mostly new group

of co- workers certainly requires the process of Socialization and orientation for the

new employee.

Policy

All newly inducted employees shall undergo a comprehensive orientation program of up

to one week duration comprising of class room presentation on all professional and

organizational aspects by the various department heads or their nominees, along with

field visits( If any). (Ch Aslaam, December 24, 2010)

Socialization

Socialization starts with the move form an outsider to being an insider after the job

offer letter in the OGDCL. HR Department takes special attention to put the new

employees at ease, because loneliness and a feeling of isolation are not usual for new

employee. It removes the anxiety of employee and helps him to improve strong

commitment of new employee with their organization. (Ch Aslaam, December 24, 2010)

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Orientation

In the OGDCL, all the new employees undergo the comprehensive orientation process.

It usually with the arrival of new employee in OGDCL and continue for the time period

of not more than one week. It comprises of classroom presentation on all professional

and organizational aspects by various department heads or their nominee and field visits

to the related fields, if necessary. Through the orientation process, new employees are

introduced to their job, to their colleagues, co-workers, peers, and bosses. In short, this

process provides the information about environment of the field and the organization

where new employee has to work. (T.Shaukat, December 20, 2010)

Recruitment and selection

Recruitment process in OGDCL is conduct under the recruitment section, which

generates pool of potential candidates and acts as a real base to provide facilities of

selection of new and old employees.

Recruitment and selection policies

It is the company’s policy to implement an appropriate recruitment system base on

careful determination of the required competencies and objectives by implying effective

search and selection methods along with the efficient means of communication with

potential candidates. It is the policy of the company that, when ever possible, positions

should be filled through internal job posting and promotions.

All departments’ heads (EDs, GMs, Managers) are to fully participate and contribute to

the hiring process of their respective management staff in collaboration with HR

Department. The hiring process/procedures shall be specified by the HR Department.

All department heads are responsible for making respective description and job

specification in collaboration with an Hr Department, for the purpose of allowing Hr to

set annual hiring plan. All recruitment ( direct or through services contractors) shall be

done through human resource department in compliance with the company’s laid down

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procedures and standards, no individual shall conduct recruitment or hiring activity

without the specific knowledge and involvement of ED human resources.

Candidates will be selected on the basis of applicable recruitment tests ( for entry level

positions only ), qualification, experiences, ability, interest, aptitude and adoptability to

the specific job recruitments, as already defined in the respective position description.

The salary offered will be with in approved salary policy guideline of the company .

Performance appraisal

Yearly performance reviews are critical. Organizations are hard pressed to find good reasons

why they can’t dedicate an hour long meeting once a year to ensure the mutual needs of the

employee and organization are being met. Performance review help supervisors feel more honest

in their relationship with their subordinates and feel better about themselves in their supervisor

roles. Subordinates are assured clear understanding of what expected from them, their own

personal strengths and areas for development and a solid sense of their relationship with their

supervisor. Avoiding performance issues ultimately decrease morale, decrease credibility of

management, decreases the organizations overall effectiveness and wastes more of

management’s time to do what isn’t being done properly.

The scoring system is also having a major impact on effective performance appraisals. The

accuracy and reliability of any scoring system increases with full descriptions/definitions, and

better still with examples for each score band. This gives everyone the same objective scientific

reference points, and reduces subjectivity.

Performance appraisal process

The performance appraisal process typically consists of four related steps as follows:

Establish a common understanding between the manager (evaluator) and employee

(evaluate) regarding work expectations; mainly, the work to be accomplished and how

the work is to be evaluated.

Ongoing assessment of performance and the progress against work expectation.

Provisions should be made for the regular feedback of information to clarify and modify

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the goals and expectations, to correct un acceptable performance before it was too

late, and to reward superior performance with proper praise and

Formal documentation of performance through the completion of a performance and

development appraisal form appropriate to the job family.

The formal performance and development appraisal discussion, based on the

completed appraisal form and ending in the construction of a development plan.

Training

All employees (regular and contract) are provided the opportunity of training to accord

equal opportunities for professional development and to ensure effective management It

is seemed that need of job redesign and technological break through in OGDCL require

training of employees.

Training policies

All matters concerning foreign/local trainings/attachments, conferences will be dealt

with directly with the HRD (human resource department. The HRD department training

coordinators shall work with Department Head and finalize a list of well reputed

training sources both local and foreign in all disciplines of organizational development.

The vendors shall then be prequalified by the HR Department. The HRD department

training coordinator, in vendors shall make a discipline wise local/foreign training

calendar covering the professional and the organization development aspects through a

TNA (training need assessment).

In case of foreign program, the HRD department training coordinators are to ensure that

proper lead time is forecasted for processing, keeping in view the visa/travel

arrangements. The respective department head would be required to forward names with

number of officers/staff that qualify the prescribed training benchmarks with in the

announced deadlines, though an email to the HRD Department.

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The HRD Department training coordinators shall carry out due diligent, process the

received names as per the prescribed parameters, get the required approvals and prepare

the qualifying list. (Ch.Aslaam, December 24, 2010)

Development and Promotion

Career planning and development

Career planning is basically career orientation and career development. Career planning

section is under the control of HR manager. It informs the employees of OGDCL about

their future planning. i.e., they prescribed to the employees their operational set up. It

informs the employees that what they will do after 5 years And 10 years. Promotion is

main source of career planning here.

Promotion policies

Promotion is the mixture of both merit and seniority in OGDCL.

The company reserves its rights to promote or not to promote any functionary, with in

the specified guidelines. HR department shall prepare and finalize a list of all

employees who are eligible for promotions along with options, by end of June each year

the same shall be communicated to respective department’s heads for consents, review

remarks. Under mentioned criteria shall be adhered to for processing of all promotion

cases.

All promotions would henceforth be on the basis of merit. All eligible employees at the

time of submission of promotion proposals should be considered and the employees

securing highest points would be promoted subject to availability of vacancies.

All positions are too benchmarked according to the educational qualification, number of

years of relevant experiment and trainings/certification, required to efficiently carry out

that particular function, minimum/maximum level that could be attained in that

position, cross functional roles, care path etc.

An employee to become eligible for promotion must physically complete two years

services in the grade for promotion up to EG-VI and three years for promotion to EG-

VII and exceptions can be when hire vacancy to be filled internally and available

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employees is of “Outstanding” profile. All promotions will be linked with the future

organizational development needs of the company.

There is no maximum limit of the services in one grade. The employees who are

superseded twice for the promotion to the next grade will be considered to have been

permanently superseded. However, their annual increment shall continue to be linked to

their respective performance rating up to maximum of that level only. Their length of

services shall be determined by the number of the years benchmarked for that position.

For contractual employees to consecutive below average ratings, no contract extension

shall be made after due diligence by HR. (T.Shaukat,December20, 2010)

Important factors for promotion

There are many factors affecting the promotion in OGDCL, such as experience for the

post, number of the years in the vacancy, seniority, performance (ACR/PER Synopsis

or qualification) prescribed qualification, requisite present executive group and finally

disciplinary profile. While promoting any employee, above factors are kept at the mast

priority to have a close look of them.

Gaps and problems

1. Unawareness of Employees from Latest Technological Changes:

Technical and non technical employees working at field / wells sites in far away areas of the

country do not have any access to the latest modern and technological changes, literature etc.

2. Lack of Career Planning Of Employees:

OGDC is only organization in the field of exploration and development of oil and gas resources

of the country, but unfortunately does not use scientific techniques in career planning of

employees.

3. Poor Method of Recruitment:

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To recruit the employees both internal and external methods are used but the corporation gives

preference to the internal method. The main drawback of this method is that it blocks the way for

new generation, which carry new ideas and knowledge. Furthermore, the recruitment system is

also influenced by the nepotism of politicians.

4. Injustice Way of Awarding Training:

Training is used to develop the skills of the employees in this regards, a lot of expenditure is

made on training but unfortunately training facilities is also awarded to the employees based on

nepotism.

5. Promotion Policy:

Promotion policy is the mixture of both merit and seniority, but in practice emphasis is given to

ACR and can say that where there is ACR there is favoritisms and annual confidential report is

considered not a positive tool to evaluate the employee.

CAREER PATH PLANING

The major issue of OGDCL is that it lacks in training as OGDCL does not have any

proper training and development department with an effective out put thus in-order to

increase the out put of the company they firstly should make an effective observation

plan through which they can identify where the company employees lack the most. Thus

they should carry on certain training programs so that employee productivity will

increase.

WHAT IS TRAINING

“Organized activity aimed at important information or instruction to improve the

recipients performance or to help him/her to attain a required level of knowledge and

skills”

The term training refers to the acquisition of knowledge, skills, and competencies as a result of

the teaching of vocational or practical skills and knowledge that relate to specific useful

competencies. It forms the core of apprenticeships and provides the backbone of content at

institutes (also known as technical colleges or polytechnics). In addition to the basic training

required for a trade, occupation or profession, observers of the labor-market recognize today the

need to continue training beyond initial qualifications: to maintain, upgrade and update skills

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throughout working life. People within many professions and occupations may refer to this sort

of training as professional development.

Methods of employee training

There are several types of employee training methods. While some work better than others in

certain professions, at times it is merely a matter of the personal preference of the employer.

OGDCL may test new employee training methods to evaluate their effectiveness before making

a particular method a standard part of the training process.

Identification

The primary types of employee training methods include hands-on training, self-study, Internet-

based training, group classroom style and seminars. Hands-on training is most appropriate for

professions and careers that involve manual labor, such as factory work. For these types of jobs,

it can be difficult to adequately train a new employee through a textbook. Many other

organizations and OGDCL may use a combination of these types of training methods.

Function

Employee training methods serve to prepare employees to perform the essential functions of

their jobs. Employee training can be costly to OGDCL, so many companies test different

employee training methods to determine which are the most cost-effective and adequate for

teaching the employees the information they need to know. OGDCL may have in future ongoing

employee training needs, so it's important for them to develop efficient training delivery

methods. Thus it will also help OGDCL to some extent in-order to increase employee

productivity which will bring a great turn over to the company.

Self-Study Training

Self-study training methods involve written materials that new employees review on an

independent basis. Most often, self-study materials include such items as the employee

handbook, a written document outlining standards of conduct and information relevant to the

company and its industry. These type of training should be design and given to employee of HR

department Of OGDCL which by the end of the session of training will provide a feed back and

space to improve.

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Internet-Based Training

Internet-based training is also an independent training method. In this case, the training materials

and information are located on a website or company intranet, rather than being printed. Internet-

based training has the benefit of allowing greater interactivity, such as short

quizzes, exercises and games, the employee can participate in while going through the materials.

This will make them easily adaptable to technological changes or advancements, not only this

but such activities also develop a sense of team building among the employees of OGDCL.

Group Classroom Training

Group classroom training and seminars are similar. Both involve the use of a trainer or speaker,

who presents information to a group of employees. This method typically is used when several

employees require training at the same time, as well as for continuing education training. Such

type of trainings will enhance the confidence, social and communication skills of employees of

OGDCL.

Hands-On Training

Hands-on training is used in situations in which it would be impossible to show an employee

how to do something without being physically present. Hands-on training is used in

manufacturing, health care and any other profession that features physical activity as a primary

job function. Such trainings will help the employees of OGDCL to control all sorts of situation

confidently if they come across them suddenly.

After the implementation of above mention on the job and of the job cognitive and behavioral

training methods. Thus the productivity of employees will significantly increase and it would be

much easier for the employees to handle upcoming business and technological advancements in

the company. As these trainings will build a sense of leadership, team building and effective

communication among the employees of OGDCL.

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Recommendations

With the passage of time many modern technologies changes take place in oil and gas

industry, OGDC must take necessary action to acquire modern technologies so that they

can compete at international level and in this way they can play more effective role in

Pakistan’s economy

OGDC have a plot at blue area Islamabad for office building, the construction work may

be started as soon as possible as OGDC have no shortage of funds, and the only mile

stone in this way is administrative approval.

They should to pay full attention to the intensive professional training of staff in related

fields. The department concerned can organize professional training at OGDC or with

outside agencies etc and latest literature newspapers and magazines etc of professional

interest should be provided at sites free of cost.

Al though the management in recent past takes some initiative in this area, a new

department “career planning department “ is created and few posting were made in this

department . But to achieve excellent and positive results rapid operations are too much

essential.

To offset recruitment bias favoritism should be completely discouraged. And try to

eliminate political interference in recruitment, because it will affect the efficiency and

ultimately the corporation will be unable to achieve its objective.

Training facilities should be awarded according to the requirement of the job.

If appraiser make appraising based on actual performance it will decrease heart burning

problem and employees’ efficiency will be increased.

As the promotion policy of the corporation clearly shows merit + seniority, so it should

be fully implemented.

Rotation of duties should be made at regular interval to improve the overall work output

and to keep the interest of the employee intact.

Conclusion

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Therefore, training should be provided based on requirement. Equal opportunities should be

given to employees to train them. Full attention should be given to intensive professional

training of staff in related fields. . The department can organize professional training at

OGDC or with outside agencies etc and latest literature newspapers and magazines etc of

professional interest should be provided at sites free of cost. Career planning section must

give adequate time in guiding employees how to develop their career. Appraiser must

appraise employees on the basis of actual performance. Performance evaluation on the basis

of judgment should be avoided. To encourage the employees to take interest in their work

rewards should be provided but there should be fair means of distribution of awards. Unjust

distribution of awards must be avoided. Employees should be encouraged to come up with

their own ideas. Initiative killer environment must be removed. In the end, it is strongly

suggested to eliminate the government influence on each function of HR department at

OGDCL.

From this whole discussion we conclude here that though HR department has well

formulated policies. There is strong need for the just implementation of such policies.

However, every thing is written in papers about these policies but unfortunately, practices in

some cases are quite different. Therefore, practices must be in accordance of the policies and

government should not use its influence and provide freedom for the proper functioning of

Human resource department.

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