Mid Term Project Program: MHRM SECTION: (A) Group Members: Student I.D SONIA Kanwal s2022277014 Samina Nawaz s2022277023 (We are work as a Team) 20-11-23 Submitted to: Dr.Mehreen Waheed (Performance management system) “SCHOOL OF PROFESSIONAL ADVANCEMENT” UNISVERITY OF MANAGEMENT AND TECHNOLOGY Semester 4 Contents Acknowledgment ·····················································································1 Executive Summary ··················································································2 Cakes & Bakes ························································································3 1. Introduction: ······················································································· 5 1.1 Vission Statement ···············································································5 1.2 Mission Statement: ············································································· 5 1.3 Goals: ····························································································· 5 1.4 Strategies: ······················································································· 5 1.5 Practices: ························································································· 6 1.6 Activities: ························································································ 6 2. Organization Products or Services: ·····························································7 3. Describes Cakes & Bakes Portfolio: ··························································· 7 3.1 Cakes & Bakes Organizational Structure: ··················································· 8 3.2 Function of firm HR Department in detail ················································· 11 3.2.1 HR planning process: ·······································································11 3.2.1.1 Recruitment & Selection/Staff: ························································· 11 3.2.1.2 Training & Development: ································································ 11 3.2.1.3 Employee Relation: ······································································· 12 3.3 Performance Appraisal ········································································ 12 Performance ····················································································· 12 Appraisal: ························································································ 12 Performance Appraisal: ········································································ 12 3.3.1 How they appraise their employee’s: ····················································· 13 3.3.2 What method they follow to appraise: ···················································· 13 3.3.3 Performance Management Process: ······················································· 14 1. Planning: ·························································································· 14 2. Monitor: ··························································································· 14 4 Estimate: ·························································································· 15 5.Rate: ································································································ 15 6. Reward: ··························································································· 15 7. Renew: ···························································································· 15 3.3.4 How they JD’s or JS’s ·······································································16 3.3.4.1 Job Description: ············································································16 3.3.4.2 Job Specification: ········································································· 16 3.3.5 Performance Appraisal System ···························································· 17 3.3.5.1 What is measured? ········································································ 17 3.3.5.2 How is measured? ········································································· 17 3.3.5.3 When is measured? ········································································18 3.3.5.4 How is it measured? ·······································································18 3.3.6 What are the errors they face while appraising employees: ··························· 18 3.3.7 How they implement effective appraisal system? ·······································18 3.3.8 Enlisted challenges face by organizations HR department: ··························· 19 3.3.8.1 Enlist performance management challenges. ··········································19 Sample questionnaire guide ······································································· 20 Acknowledgment In the Name of Allah the Most Beneficent, the Most Merciful All All praises to the most supreme and divine power, Allah all Almighty, who enabled us to write this Project. This Project has given us valuable knowledge and insights. It would never have been possible with the help provided by my father. First of all, We would like to thank my father, Mr. Rab Nawaz for giving us timely reference of Cakes & Bakes HR to complete it. Secondly, We are thankful to the HR Manager M.Hanan and HR Manager Miss Aareela of the organization working on Cakes & Bakes because they are answers my all questions related my mid-term project from these organization. A special thanks to our project advisors, Dr. Mehreen Waheed, who have guided us with how to asking questions from the organization’s HR executives. 1 Executive Summary This project has to do with the overall idea and views of Cakes & Bakes, as well as how they recruited & selection process are used for identifying new employees, how they conducted training and development process to improve their employee’s performance and also discussed about cakes & bakes how they appraisal system & performance appraisal system is used to evaluate the employer’s or employee’s performance for improved and reward basis in their organization. We selected this organization because, as a result of globalization are expanded.We has always wanted to work in a project where we could promote new ideas to help any organization developed, thus doing so through primary and secondary data collection and analysis, as well as low-cost learning. The best thing about this project is that it focuses on how they way performance evaluation the employ or employee’s, an idea that only developed a few years ago and that people now really need to understand and follow for benefits of this process. While completing the project, We learned a lot of new things and ehnanced our knowledge. By the conclusion of the period, we were extremely knowing about how they are performance of employ’s or emplyee’s are evaluated in organizations. So, this project it helped us and also improve our critical thinking and problem-solving skills to the highest level possible. 2 Cakes & Bakes Head Office: Plot no. 7, abpara housing society, near DHA EME signal,canal road, lahore. 3 4 1. Introduction: Cakes & Bakes is Pakistan's first bakery certified by the International Organization, offering an extensive variety of innovative goods that meet national and international requirements for safety and quality. Cakes & Bakes has seen an outstanding move since it started in 1954 as Ajmair Food Manufacturers. Mr. Riaz Ul Hassan, the current CEO, has effectively redesigned the bakery company, increasing the company's scope and focusing on quality rather than quantity. They were started their first branch from samnabad Lahore, but they were started proper HR working in 2012 in their organization. Cakes & Bakes have 80 plus branches in all over Pakistan. They have almost 68 branches in Lahore and other are Rawalpindi, Karachi,Gujarat and Azad Kashmir.They has 2800 blue collars employees working in their branches and 400 to 500 white collars employees are working in their head office and in different departments like HR, Accounts, Audit, TNA department and so on. 1.1 Vission Statement: Cakes & Bakes aim to provide a continuously pleasant and friendly environment for their customers for increase their satisfaction level of purchasing. Cakes & Bakes is a famous bakery in all over the Pakistan and especially in Lahore, with a continuity growing their chain of branches and a tradition of classic taste and quality. 1.2 Mission Statement: Cakes & Bakes have the mission to meet the expectations of their valued customers in local and international standards, they are very dedicated to delivered a goods and services of a classic quality at affordable prices. They gained talented and trained workforce. 1.3 Goals: Cakes & Bakes setting their goals by improvement in their skills such as identifying the new techniques and recipes. Also innovative their plans with creative experiment with lots of new flavors and designs and also enhancing their decorating style day by day. Cakes & Bakes can set their goals with the different frequencies of baking new recipes. They also considered special occasion innovations or specific events such as Independent day, Eid, Marriage ceremonies, Birthdays so on. 1.4 Strategies: Cakes & Bakes have set different strategies for succeed more in their business. They can use quality ingredients for better taste and fresh texture. They have unique selling proposition and also they can marketing strategies in high rank because they utilize their social 5 media to show their creations and always connect with their potential customers. Cakes & Bakes also paying attention to customer feedback for improving their services and products. 1.5 Practices: Cakes & Bakes came with their good practices. They can maintain hygiene with the practices to ensure their food safety. They can give proper instructions to their employees like wearing caps and gloves in proper way. Cakes & Bakes management test their recipes before offering them to their customers. They ensure that all things are fresh and they can schedule to meet their deadlines. 1.6 Activities: Cakes & Bakes can engaged in different activities to enhanced their profitability level. They can development in their recipes with experiment of new innovations and combinations of flavour. They also marketed their decorating skills with different activity sessions. Their graphic designers are put innovations in their packaging time to time. Cakes & Bakes has market research very strong and they also knowing about current trends and preferences of their customers. Cakes & Bakes will give workshops for their employees. Vission What is the vission of company? Mission How can achieve the vission for setting their mission? m Goals How clear is the mission for sustain the goals? Strategies How can attain the goals by setting different strategies? Practices How can attain their strategies to set different practices? Activities How can practices in a activities form? 6 2. Organization Products or Services: Cakes & Bakes offer a bake fresh products in their stores. It is freshly produced a just in few minutes before customer pick their order. Cakes & Bakes has offered a variety ranged of baked goods and services including customize cakes, cup cakes and pastries for special occasions. They may also offer a live baking products in their stores such as customize pizzas and other range of baking items. Cakes & Bakes will also provided katering services for events and also offering a delicious range of baked to suits according to the different taste and preferences. Cakes & Bakes basically care for their customer health & safety and also they make sure to keep their manufactures units, kitchens and outlets clean by following a continuous hygiene and food safety procedure. There customer relationship is very strong. They said their customers if the product does not fully satisfy according their expectations so they can change it in a same day purchased. Cakes & Bakes make valued to their customers that they happily shopping experience and also enjoying their products. 3. Describes Cakes & Bakes Portfolio: Cakes & Bakes make their portfolio to communicate and develop for their valued customers which will ultimately helping in the shape that how their portfolio comes together. They have create a digital or physical portfolio, used different platforms and also uploading their portfolio to their websites and other online delivering websites, which will people to browse in a comfort zone of their own forms and they have physical portfolio which has ideal for walking customers. Cakes & Bakes has a photos of their bake creations and also adding in some branding if it possible. They will be create a more baked in a good taste and also inspired their customers with high quality photo’s of their creation. Basically, cakes & bakes portfolio might be including a diverse range of cakes, pastries and cup cakes and other baking goods. They having a portfolio of different varieties in customize cakes designed. They also highlighted their main flavor's and providing different options for various occasions such as birthday’s, wedding and corporate events etc. 7 3.1 Cakes & Bakes Organizational Structure: In cakes & bakes board of directors first of all they have CEO Haji Razul Hassan is this name. After that they have managing director.On the third is chief financial officer, how is responsible for all the external or internal audit. There are two managers one is for bakery section and other is for production plant. Under that manager’s, deputy managers is working in audit department. Then assistant audit manager and senior executive and after that executive are also working in audit department than financial accounts officers is also working in the group of audit department. Than they have ERP, which is the software that run the entire process. There is also ERP manager which look after the file of employees generated. Then they have deputy manager for ERP he or she write down the things and record it. After that human resource department comes. HR department’s having also further categories, this department is leads by senior general manager in HR division. In this department they have two associate manager’s. Cakes & Bakes HR is divided in such ways there recruitment & selection is the first function, which will handle by associate manager after that compensation & benefits comes which is the second main function of HR, which will be handle by deputy manager. Now they have payroll processing system, which will be handle by team of deputy manager’s. After that there third function is in HR is training & development, which will be handle by assistant manager and senior executives, in this they will give all kind of training’s. There mainly focused of their training is their labour because their customer services is very important for them. Basically, there training center collaborate under the government of PSDF. Then production department is sole entity and quality assurances department. Now it’s happen in production department their general manager of research & development. 8 They have to do research about product range, what they can bring new varieties. They have their production team manager after that comes deputy manager and then assistant manager in production department. So, they have labour because they need a chief for there live baking like they need a pastry chief, cake chief, pizza chief, sweets & snakes chief, patties chief etc, basically they need all kind of different people in their production department. Next quality assurance team has come, first of all quality assurance manager then deputy manager and under deputy manager assistant manager is working and under the assistant manager senior executive and executive are working. Basically this team ensure the shelf life of product. If they keep it in bakery or delivered it out of the country, they have three days of their products shelf life does they have. This department ensure all these kind of things. Next they have big department of supply chain, who’s work is to take the product to the branches. Supply chain working in a logistic, transportation and wear housing department. In supply chain department, they further categories. Supply chain manager will handle all three departments. Then logistic department have also a manager, then deputy and associate manager’s then all executive team and other employee’s are working under logistic and supply chain department. Then transportation department handle by manager of supply chain and the manager of transportation. Their deputy manager and associate manager checking the vehicles freezer internally that it is chilled because their product does not spoiled. Predictive manager are responsible for the product loading in the vehicles and then the sales man sit with them to take care of the driver and bring the product to their branches. They have department of technical engineer, is to ensure their maintenance which will maintain their cooking range like oven, freezer’s chiller’s and so on. First of all manager then operation manager and other team of technical department are working for stable their maintenance. Then sales and operation department has comes first of all, sales manager then area sale manager, which will responsible for two branches then comes zonal sales manager, who’s work made in zones that’s mean their working 9 to 10 branches. Then they have two regional sales manager’s, one is managed their all branches in Punjab and the other managed the north section of Punjab. These are the sales department, they lead all the sales and operation. All they reporting to their director sales. 9 CEO Managing Director CFO BSM PPM Audit Manager Internal Manager Internal Manager Financial Account Officer Q.A M. Dep P. Dep Tech. Dep HRD Sup. Ch ERP G. manager ERP. manager S.Executive A.manager Sup. manager manager trans.manager Web.Devel op log. manager Web.Develop deputy. manager G. manager S.G. manager Ass. manager PRO G. manager Deputy manager ass. manager G. manager QAO A.. manager Senior. Exec Deputy O.M Senior. Ex IT.Exe Labour Q.. manager O.manager .CSO Labour Market. manager Operation IT.Dep A.manager ERP. Manager Sales.Dep G. manager D.sales Executive R..Sales. M Z.Sale. M ASM Train.officer 10 Cakes & Bakes have warehouse, where all raw material is stored that’s mean sugar, flour, oil, and all that type of things are available. In warehousing they have their procurement. Procurement is also one of their department were they can measure the need of all ingredients. Lastly, they have information technology department, where the whole work is systematic. They can developed their software. 3.2 Function of firm HR Department in detail 3.2.1 HR planning process: Cakes & Bakes HR department’s working in different categories firstly,they can working on recruitment & selection then secondly,they working on compensation & benefit’s and they have also processing a payroll. There HR department appraise their employee’s performance after one year of evaluation and also conducting training or better development of their employee’s. Now, we are explain further HR planning process. 3.2.1.1 Recruitment & Selection/Staff: Recruitment & Selection is first function in HR. Selectional recruitment is generated first by the position of new one or the position of replacement. There are two things either the new position is generated or the need is generated. They can not take support from recruitment agencies. They can hire directly. They fill out the position after approval of their managing director from the day, when reposition is send to general manager and documents are filled signed with date, they will give 25 days of target to refill the position to their associate manager.Then the associate manager have a resource channel, they will hit those institute, who have required in a announced reposition. They mention job description and job specification. They approach the fresh graduate for refilling the position. 3.2.1.2 Training & Development: Their third function is training and development in HR of cakes & bakes. In that they have recently a female staff, who did all kind of training. Their focused is mainly on their labour because their customer services is important for them. Their hygiene is very important for them so that, their training center was built for this reason, that you know the government of PSDF. Through the collaboration of training, they have proper classes of training. There is a capacity of 20 plus people are per day. They give training of six months for their white collar's like they can trained Human officer developer, they send him or her first month, in recruitment & 11 selection department for gaining a training about this function. Next, they will send their trainee for preparing a payroll then also they train about prepared a compensation & benefit plan of their organization. The trainer Salman Saeed Qureshi conducting training session of white collar’s employee. And their training officer give proper training to white collar applicant and they give regular basis training to their blue collar labour like how to communicate and dealed their customers, ensure will take of personal hygiene and knowing each and everything about their whole products. 3.2.1.3 Employee Relation: Lets talk about relationship with their employee’s. So they can developed a modern nature is all about for portraying a softer image. They should have a room in HR where any employee can go without permission and explain their problems. They should always support them in helping hand. But in many people’s mind set in traditional culture that HR is just a bossy and sticky department. They think HR will cut off leave and money will also be cut off. This used to be happened before but it is not know they can developed eco friendly environment with their employee’s. Basically, they will adopt green HRM policy for given more friendly environment for their employees.HR will arranged annual dinner and monthly having a game session with employee’s for building strong relationship with their all level of employee’s. 3.3 Performance Appraisal Performance: In cakes & bakes they said about performance, they can judge that what their employee’s does or doesn’t do employee’s. Basically, their company align their strategies for business considerations such as quality of input and output of their employee’s. Appraisal: In cakes & bakes HR departments can assessing the weaknesses and strength of their employee’s, they can measure their performance.They can judge their present’s at work. Then they will give appraisal on the evaluation of their employee’s performance in a shape of reward system. Performance Appraisal: In cakes & bakes,performance management department conducted all appraisal activities. If a person is working he will get reward for his working, if he’s not 12 performing his doesn't provided reward because in cakes & bakes provided reward & benefits on basis of performance & productivity in the work. They cannot judged employee’s any type of biases.They also specified measured,evaluate and feedback about their performance. They can set a standard of a evaluation of their employee’s performance such as; a) Excellent b) Very good c) Good d) Neutral e) Dissatisfy 3.3.1 How they appraise their employee’s: In cakes & bakes HR general manager will approved appraisal of their employee’s. They can evaluated annually performance of their employee’s then the basis of their productivity of work. They will give increments on their basic salaries according to the ratio of performance percentage like that if employee get 89 marks he will get 17% increment. That’s means salaries multiplying by increment and divided by 100 or 50% of performance result then this is adding in a basic salary after multiplying according to the terms and conditions. They will give rewards in a tangible form like yearly increments, employee of month in a cash form or intangible form like medical allowance, annual dinner, certificate or cap as a employee of the month, food available free of cost for their employee’s and trip’s. 3.3.2 What method they follow to appraise: In cakes & bakes follow annually method that’s mean they can collect result’s on 30th june of every year before 1st july they want their performance appraisal forms. Basically their key performance indicator’s are on performance appraisal forms there are available in three sections like this is job description of the employee’s, this is the marks of employee and this is the total marks and then evaluate how much is it? They distributed all management staffs with 8 ODS of all their forms. The manager has his team like 75 people then they will responsible to hand over the forms of 75 people to the associate manager in HR. 13 3.3.3 Performance Management Process: Cakes & bakes performance management system can be follow these step’s for their evaluate and assessing the performance of employee;s. 1. Planning: Their HR department’s having a strategic term with the using of different strategies they can create a plans for attaining their objective of organization like; First plan previously, they have no graphic designer’s in their organization but after using new strategy according to changing market they can hired graphic designer’s for creating new design innovation in their packaging for attracting valued customer’s Second plan, They can developed their own software and also provided products to their customer online. Third plan, previously they were working in traditional HR but now a days they designed succession planning and add the new green HR concepts. They can used their tools for more friendly environment with their employee’s. Fourth plan, they have also a motivation plans for their employee’s by giving different benefit’s. 2. Monitor: Basically, their HRD will monitor the all activities performing under their organization.they can also monitoring the performance of their employees after strictly monitoring the performance at back hand. They can arrange one CCTV room for also monitoring and proper check and balance on every small things are happened in their office or in their branches.5 to 6 persons of technicians always sit in CCTV room with full concentration of every little bit moves for safe their organization from any barriers. They can monitored such things in a certain manners, some are as followed; Firstly, HRD will motoring the productivity of work, presence in a office of all their employees.also focus to avoid any conflict among employees HRD will monitored this. Secondly, they can monitor their products for better development and also checked item’s are expired or not. Third, they can strong check on their labour. They want 100% sanctification level of their customer’s so they always monitoring 24/7 for checking this customer’s relationship day by day better or not. 14 3 Review: Cakes & bakes their production departments review on their labour for giving the best outputs and also their marketing departments can check the all marketing trends are gone smoothly or not. The HRD will review the all activities done under HR department is accurate or not like recruitment & selection, compensation & benefits and their checked properly on performance management team working so they can review they got timely performance evaluated. 4 Estimate: Cakes & Bakes HR departments will cut down the budgets,they can minimized their external extra expenses like recruiter working at external level have charging a high amount so they are internally recruited. Associate manager in HR estimating the performance of their employee’s they can read all the appraisal form and also watching the KPI ’s then align the appraisal after estimating all that thing’s. 5.Rate: HR general manager & Associate manager with giving the proper rating according to the percentage or scores gained by employee’s in performance appraisal if employee get 87 scores after evaluation of performance so they get 17% increment added in basic salary. 6. Reward: Cakes & Bakes will give rewards in a tangible form like yearly increments, employee of month in a cash form or intangible form like medical allowance, annual dinner, certificate or cap as a employee of the month, food available free of cost for their employee’s and trip’s. 7. Renew: They will renew their performance strategies after a year and also adding some new term & conditions according trend’s in market. Planning Monitoring Review Pre-requisites RRenewe Renew nrRew Reward Rate Estimated 15 3.3.4 How they JD’s or JS’s 3.3.4.1 Job Description: Job description is the first key of performance management so in cakes & bakes HR they will give proper job description letter and all responsibilities are mentioned in the paper which will be attached along with joining letter and they also take sign of their applicant on very first day for the prove for further queries. Performance appraisal is evaluated from the JD’s of every employee firstly HR take review of JD’s form then on a second look of a appraisal form for giving accurate feedback. 3.3.4.2 Job Specification: Basically designed by their general along with associate manager like that currently looking creative and experienced lady executive chief of their production departments and they can generate their specification like that; Graduate candidates are preferable Having 10 year experience in designing cakes They required creative personality Secondly, cakes & bakes will hiring a manager account. Qualification CA, inter or ACMA qualified Experienced at least 7 year’s off post qualification Required at livestock farming 16 3.3.5 Performance Appraisal System 3.3.5.1 What is measured? In Cakes & Bakes HR department will measured the performance of their employee’s. Firstly evaluate the appraisal forms by associate manager then general manager have authority to signed it. They can measured productivity of work. They can focused on employee behavior and attitude Also considered employee presents & absents in whole. 3.3.5.2 How is measured? In cakes & Bakes they can evaluate their performance through their management, supervisors, subordinates, teams customer feedback. Basically they can used 360 degree performance appraisal for measured their performance of employees. They can count the feedback from various colleges and manager’s. Manager’s Subordinates 360 degree Teams Customers 17 3.3.5.3 When is measured? Cakes & Bakes measured annually performance. And they can also measured their labour performance on monthly basis. 3.3.5.4 How is it measured? Cakes & Bakes are appraising performance with two or three methods. This is category adjective rating methods, which they used adjective trait rating scales for employee’s performance because this method is help easy to evaluate their employee performance. All instructions and traiting identifications are mention on top of the form. 3.3.6 What are the errors they face while appraising employees: Cakes & Bakes having many errors ; Firstly, they have evaluate the performance before generating final output they will send mystery shoppers for double checking of their labour performance, if mystery shopper will confirm the performance appraisal for targeted applicant then management will approved so that’s why there is can’t faces any type of error. But, their facing only technical error when they are making payroll and receipts of all employees by mistakenly one digit wrongly entered so the whole payroll and other important documents change their meaning. If they have biased on someone personally or any biased that someone is seeing externally or internally then error is comes, they have one associate manager to resolved this factor by using laws and policies because cakes & bakes hiring specified person who knowing all law’s and they are mention these law’s very clearly in joining agreement. 3.3.7 How they implement effective appraisal system? By using double checking procedure after receiving forms including manual and online forms rechecked by general manager after that approved the appraisal. They can evaluate the yearly productivity of employee according to their job descriptions then they will decide the percentage of appraisal will given to relevant applicant. 18 3.3.8 Enlisted challenges face by organizations HR department: Cakes & Bakes will facing a hygiene issues in production department their strictly keep wearing a hand gloves, masks and they have main facing the challenging in maintaining quality assurances and ECC. They have biggest challenge are facing high turnover rate in their labour. This is the biggest challenge to associate manager for fill up the space immediately in their labour department. 3.3.8.1 Enlist performance management challenges. Cakes & Bakes have facing the big challenged in performance management doing this whole process, they will give praise someone and evaluate under the performance management in pricing system. They can facing a challenge after induction of fresh graduate it’s difficult to evaluate the performance on any one factor, so HR has added value in the process of performance management. Many chances of conflict arising in the department of the performance management when they will give appraisal some of people thought that may be favoritism factor is come but their HRD’s deal with challenge to take opinion of peer’s, general managers, mystery shoppers and associate managers. 19 Sample questionnaire guide Name (Optional) Designation & Department Working experience in Professional field Qualification Job Role/responsibilities How many people work in your firm? How many dramas your company has produced in last 3-5 years? How your firm plan? What are the ethical issues your firm faces? What types of process are following the Recruitment & Selection/ Staffing? What is the purpose of training in organization, and how does it help employees for development/grooming? Which type of relationships employees with each other and with their employers? How they appraise their employees? What Method they Follow to appraise? Performance Management Process (Prerequisites - Renew)? How they specific design JD? How they specific design JS? 20 Which type of Performance Appraisal System used? What is measured? Who is measured? When is measured? How is it measured? What are the Errors they face while appraising employees? How they implement effective appraisal system? Which type of Challenges face by Organization in HR Department? Enlist performance management Challenges. 21