ACKNOWLEDGEMENT First we are reallygrateful to Allah because we managed to complete our report.
We are deeplyindebted to our lecturer, Hina Ali whoalways helps us improving our knowledge.Next, we would like to thank our group members that had always been dedicatedin making this project successful. This project cannot be completed without theeffort, support and cooperation from our group members.Last, we would like to express our gratitude to our friends for the support andencouragement.Our thanks and appreciation goes to the people who helped us directly orindirectly in completing the report. Millat Tractors LimitedIntroduction:We were five groupmembers and we visited the HR department of a giant in the tractors andmachinery industry, the Millat Tractors Limited.
The topic assigned to us byour course instructor was the selection process of the stated company. History of Organization:Millat TractorsLimited (MTL) was established in 1964 to introduce and market Massey Ferguson(MF) Tractors in Pakistan.The company wasnationalized under Economic Reforms Order in 1972 and started assembling andmarketing tractors on behalf of Pakistan Tractor Corporation (PTC), which wasformed by the Government for import of tractors.
This was the turning point inthe Company’s history and it went about the task systematically and rapidly.The Company undertook this new role with enthusiasm and in the spirit ofnational development and proved its engineering capabilities by surprising thedeletion targets set by the Government.Just in one year’stime, the company took a giant step towards self-reliance by setting up thefirst engine assembly plant in Pakistan.The Company made astrategic decision right in the beginning to bring those manufacturingfacilities in-house for which capabilities did not exist in the country and forparts, which required high precision and investment. At MTL, they firmlybelieve that producing to International quality standards is the key to continuesuccess and growth, and quality control department converts this beliefinto reality.In 1992, the companywas privatized. The employees joined hands and took over the management bywinning an open bid.
To maintain its leadership role in tractor manufacturing in thecountry, MTL continues to look toward future, to identify and exploit newopportunities and to consolidate existing ones. This is the only reason thatMTL is one of the major tractor manufacturing companies of the World.Organogram for eachdepartment:Each department has its own organogram and hiring is doneaccording to that organogram and most of them are replacements. The ones whoretire and the ones who leave the organization for some purpose, they arepreferred for replacements.
The concerned head of department makes an employeerequisition that what kind of person is required, what should be hisqualification, what should be his experience and skills for that position whichis also known as job description and job specification. Then there is a hugedata bank of CVs. There are CVs of reference, walk-ins and other CVs.
Some ofthem are shortlisted and the rest of them are sent to the head of departmentwho further shortlists them and then sends the screened CVs to the HRdepartmentAnd recommends them for interview calls. Selection Process:Interview panels are formed according to the vacant positions.If there is a junior level post, there are two or three managers of differentdepartments who interview the candidate.
If there is a senior post, seniormanagers or deputy general managers are involved. In this way three interviewsare conducted and the final interview is done by the chief executive officerbut if there is a senior level position such as senior manager, deputy generalmanager or general manager then the directors and even the chairman isinvolved. Likewise selections are made and the selected candidates are providedwith offer letters on which the gross salary and benefits for which he isentitled are mentioned. If the candidate is happy with the offer, within sevendays he would return it with either yes or no. If he joins, he is given theappointment letter and joining report is created after which his orientationstarts. In the first half of the orientation, he stays in his own departmentand in the second half he visits different departments where the concernedpeople tell him about the working of the department.
After that, regularworking starts. Six months probationary period is given. After five months, aperformance appraisal report is generated which is sent to the concerned headof department who evaluates it that whether it is satisfactory or not. If it issatisfactory then the candidate is confirmed and if not satisfactory then theprobation is extended after which extension or confirmation letter is made.After he receives the confirmation letter he is considered the regular andpermanent employee of the organization. InitialScreeningThey do hiring throughreplacement, replacement is creating when someone is going to retire or goingto leave the organization, and then they hire the candidates for that position.
Head of Department related to concerned department where they need employeewrite Employee Recognition to the HR Department in which he writes which kindof employee he required. In which he tells about the qualification, experienceand skills like, job description and job specification. Then they got a hugedata of CVs of both categories Walk In and Reference base.
Then HR departmentshortlist that CVs and send the shortlisted CVs to the Head of Department thenthey further shortlist that CVs and send back us those CVs which they haveshortlisted and tell HR to call these candidates for job interview. Then we seefor which position we are going select the employee and according to that positionwe make the interview panel. If it is a junior level position then two threemanagers of different department and they interview the candidates. If it is asenior level position then Senior Managers and Deputy General Managers conductthe interview. If the position is for Seniors Managers, Deputy General Managersor General Managers then Directors and Chairman are also involved. When theydone with CV shortlisting then they start selection process.
After conductinginterview they select the employee. At the beginning they give them an offerletter. In offer letter his salary is mentioned and the benefits and perks forwhich he is entitled for that position is written on offer letter. Thenorganization give him choice that if offer is acceptable then within seven dayssubmit the offer letter. If he says yes and join the organization then aftersome days we gave him his appointment letter.
When he join the organization,after one or two days we start his orientation. Orientation means that in whichapparent department he is he will gave that department half time and other halftime he will gave to the other departments of that organization. Concernedemployees of those departments tell about the working of their departments.After this his regular working is start. Six months is the probation period ofthe organization. After five months they generate a confirmation report andsend to his Head of Department. He evaluate it and see that the work he hasdone in six months is satisfactory then he confirm him and if not then weextend the probation.
Then we gave him either extension or confirmation letter.When letter is issued then he is consider our regular permanent employee. Application FormTheydon’t have application form they have only one form, which is data form. Inwhich they ask about the employee personal history, family history,professional experience, qualifications, education and skills and about hisprevious organization. The purpose of their data form is to check the historyof that employee whom they are going to hire. When applicants fill that form,through that form organization get to known about his past experience what hehas done in his previous organization.
They get to known about his priorprogress and growth in his previous organization where he was working. Theycheck applicant’s stability and livelihood of success. They ask the reason whyyou are a suitable candidate for this position. Then all the informationrelated to him is entered to their Enterprise Resource Planning (ERP) Systemand copy of that form is also attached to his personnel file. Employment test Employment testing and selection proceduresare aptitude tests and examination helps to predict thesuccess of a job candidate.
In MTL interview, In-basket test and presentationindicate which employees might have undesirable personalitytraits, such as anger problems. Just like in otherorganizations, Millat Tractors Limited also conducts employment tests, whichare given very much important. In employment tests, candidate has to undergodifferent kinds of tests such as brainpower tests, personality test andinterest tests. For fresh graduates there are a number of methods, which teststheir abilities. For example for a new employee, his personality is checked;his behavior, communication skills, physical traits and personal interests arechecked.
This is because obviously the employer does not know about theperson’s background and personal information so it is effective to check outthe above-mentioned features for a new employee. First of all, personality iscomposed of attitude and style and best reflects one’s whole self. Secondly,behavior tells us about how the person will be doing in the coming days andwhether he would be useful or not in achieving the organizations goals.
In mostcases, the employees or workers of an organization who don’t seem to be seriousand ethical and show non-professional behavior are always disliked and in mostcases are asked to leave the organization immediately. Communication skills ofa person too play a crucial role in developing his career. In mostorganizations, communication skills of a person are preferred over all otheraspects of his personality. The person having effective communication skills isalways given top priority over others who have skills but cannot communicateprofessionally. Physical traits are the inborn capabilities of a person, whichare purely natural and cannot be attained with learning or experience.
Forexample a candidate has a CGPA of less than three but has the natural abilityto communicate effectively. This kind of person is more preferable. Lastly,personal interests are given quite importance in the organization of MillatTractors Limited. Experienced and trainedpeople are tested through their education, previous job performance and qualityof his work. There is a huge difference between trained and untrained peopleand it depends upon the position for which he is to be hired. Work sample isprovided for both of them and there are different assessment tests, which aredifferent for trained and untrained employees. For trained people there areonly interviews conducted by Millat Tractors Limited and most of them are panelinterviews in which two or more people judge a candidate in which there aremore and more job related questions are asked. In this way the interviewercomes to know that how much the interviewee has knowledge for the specificposition, which is to be filled.
Assessments tests arealso arranged for untrained people in whom there are two types of tests. One ofthem is in-basket test and the other is individual oral presentation. In MTL, asix-month probation period is granted to the new employees. The candidate getsreports, incoming calls, emails and other resources. The contestant must give suitabletime to each item.
Trained inspectors make conclusions upon the candidate’sefforts. On the other hand, the MTL gives equal importance to recreational presentations.Each applicant’s devotion and communication skills are tested through differenttrainers. InterviewIn Millat Tractors LTD the interviewer has bothtypes of Structured and Unstructured interview questions, which they ask fromthe new candidates before selecting them for the job.StructureInterview: Instructure interview the interviewer panel asks the same questions from everycandidate because they have the list of questions written on a paper. Thestructure interview is easy for every member of the panel to ask because theyalready know the best answer of that question which they ask to the candidate.The interviewer may ask same questions like what’s your past experience or tellme about a time you failed at a project and how did you try to avoid failure? UnstructuredInterview: Inunstructured interview the interviewer panel can ask any type of questions fromthe candidates like the questions may be relevant or irrelevant to the job. Thepanel can ask questions about strengths weaknesses skills or any personalquestions.
Basically this type of questions is used to check that how polite,mature the candidate is or how he can handle this type of situations.They also ask some questions which are jobrelated for example:· Why do you want to work inMillat Tractors?· What do you think will be yourbiggest challenge in this job?· What qualities do you thinkwill be required for this job?· What will the main tasks andresponsibilities are in this job?Background Investigation:There are some background investigation points,which mostly every company checks and investigate before selecting thecandidate.· References· Former employers· Educational accomplishments· Medical certificate· Criminal records · Legal status· Past job experienceThe panel in Millat Tractors also checks andinvestigates the background of the candidate before selecting them for the job.But the company only investigates few of the points like Mr. Saeed Ikram theDeputy Manager of HR department told us that before selecting the candidatethey mostly check educational accomplishments, medical certificate and sometimespast job experience. Mr. Saeed told us that the background investigation of acandidate depends on the level of job for example for which level of job thecandidate is applied.For fresh graduates they check medicalcertificate, educational accomplishments like CGPA and the institute from whichhe graduated is HEC recognized or not.
For high level job they checkeducational accomplishments, medical certificate, and sometimes past jobexperience because Mr. Saeed told us that they send letters to some of thecandidate past organizations but they didn’t reply them so that’s why now theydon’t check past job experience.Mr.
Saeed also told us that they don’t check thecriminal records, legal status, references of any candidate. Me and my group is shocked when Mr. Saeed toldthat they don’t check criminal records we advise them that they should checkthe criminal record of candidates because the candidate may be a murderer or athief and he said we don’t check this is our policy. ConditionalJob Offer Mr. Saeed Ikram told us that after selecting thecandidate the company provides some task some conditions to the new employeeand provide job training to the employee to check that the new employee iscapable for this job or not.
The company provides task and training for 6months to the new employee after 6 months the company issue permanent job offerletter. After 6 months the HOD tell about the work of the new employee to HRdepartment if the work is satisfactory then the company issue permanent jobletter if not then the company provide further tasks and training to the newemployee. He also told us that their directors and chairman is so polite withthe employees that they keep on giving them chances to prove themselves andthey don’t fire any employee unless there is a very big issue.
The average timeof employees working in Millat Tractors is 20 to 25 years. Medical ChecksMillat Tractors performs medicalchecks as part of their selection process. This is a necessary safety measurebut as a matter of fact, Millat only requires a simple medical fitness testcertificate and that is enough for the job.ConclusionAll in all, it was a wonderfulexperience visiting the company. Very nice people greeted us and we got tolearn a lot how a manufacturing firm works. Just like Mega Factories on NatGeo, it was pretty similar local version of the Mega Factories.
The company isoperating on a huge scale and the technology is up-to-date and up to the mark.Add to that skilled labour force as well as decent management teams which aredivided in respective departments and are performing their roles brilliantly.RecommendationsDespite the fact that company hasbeen generating decent profits off late, but there is always room forimprovement as we all know. Keeping up with the market is the only way tosurvive in such competition.
Here are a few recommendations that we feel canfurther improve the profits and reputation of the firm.1. Medical ChecksWe were told that Millat Tractorsonly requires ordinary medical report test. Well, for a company like MillatTractors operating at such huge scale, we believe they should meet the basicsafety requirements set by international standards. Like tests for TB, AIDS andother transmittable diseases are extremely important. Because at the end of theday, it is not just about the organization, but the people attached to it aswell. Not just the employee who is applying for the job, but also those who arealready working, to ensure a safe working environment.
2. CGPA ChecksMr. Saeed told us that they straightawaythrow CVs of candidates whose CGPAs are below 3. Well, the biggest companies inthe world are now focusing more on raw talent instead of useless measure of anumber CGPA. Just think about an unfortunate student of UCP, he gives his damnbest and still falls below 3 for obvious reasons (only a UCPian knows thepain).
So, I believe they should at least give 2.50 above students A CHANCE.Who knows they have something priceless to add to the company’s fortunes. 3.
Probation PeriodA new employee is given a taste ofhis future job in a probation period of 6 months where he gets to learn what isneeded off his job in the respective department as well as other departments.This is kind of weird because no one is “Master of all, jack of none”. Nosingle person can be good in everything, unless he is a superman.
He shouldrather be allowed to focus his all on his respective field, so that he can givehis level best without getting his attention diverted. Also, 6 months period isa touch too long. 3 months should be just enough.4. Criminal RecordsIt is bizzare that Millat Co.doesn’t bother to check criminal records of employees. Not doing this, they arelucky to get away with it thus far.
Well, you can’t afford to have a high levelconvict working in your confidential areas and you never know how dangerous itcould turn out to be. This is something they really need to look upon and wegave them a good stare at the spot!5. Gender BiasnessWell, even though the nature of thejob doesn’t demand many females, but trust me, it was such a dull environmentnot seeing a girl there at all. Just hire some more women, make them marketingheads, make the VP HRs, do something at least to make it a bit gender friendly.It’s a matter of fact they can’t be hired for labour, but get them anywhere,like customer services why not?Well, these are some of therecommendations for Millat Tractors. I hope they implement at least some ofthem in the future.THANKS