Table of Contents:

ACKNOWLEDGEMENT:

EXECUTIVE SUMMARY:

INTRODUCTION:
COMPANY PROFILE……………………………………………………………
INTRODUCTION………………………………………………………………....
VISION……………………………………………………………………………..
MISSION…………………………………………………………………………...
OBJECTIVES………………………………………………………………………
CUSTOMER SERVICE…………………………………………………………...
ORGANIZATIONAL STRUCTURE…………………………………………….

 Ufone Management Profiles

 Mr. Abdul Aziz
 President & CEO
 Mr. Mohammad Nadeem Khan Chief Financial Officer
 Mr. Naveed Khalid Butt Chief Officer Government & Regulatory Affairs
 Mr. Ahmad Kamal Chief Officer Customer Services Operations
 Mr. Jafar Khalid Chief Technical Officer
 Mr. Faisal Khaliq Chief Information Officer
 Mr.Younas Iqbal Sheikh Chief Officer (Sales & Distribution)
 Mr. Akbar Khan Chief Marketing Officer
 Mr. Muzzammil Sadiq Chief Officer Procurement, Contracts and Administration
 Mr. Moqeem Ul Haque General Manager Corporate Strategic Planning & PMO
 Mr. Mohammad Zahid Qureshi General Manager Administration

Organizational Structure………………………………………………………..
Structure of the organization……………………………………………………
Financial Position Analysis………………………………………………………..

 Market Share
 Revenues
 Investment

Marketing Goals……………………………………………………………………
PROMOTION………………………………………………………………………
  Strategy
 Advertising
 Advertising Objectives
 Advertising Budget
 Advertising Strategies
 Advertising Message
 Advertising Media
 Print Media
 Broadcast Media
 Display Media Online
 Media Events
 Ad Shoots
 Personal Selling
 Direct Marketing
Market shares of Ufone…………………………………………………………….

Expansion…………………………………………………………………………...

Human Resource Assessment at Ufone…………………………………………...

 Recruitment at Ufone
 Internal Recruitment
 External Recruitment
 Direct Applicants
 Referrals
 Advertisements
 Private Employment Agency
 Through Vendors (Outsourcing)
 Electronic Recruiting
 Recruitment Procedure
 Replying To Candidates
 Scheduling Interview
 Screening Process
 Goals of Ufone HR Department
 Responsibilities of Ufone HR Department

PERFORMANCE MANAGEMENT SYSTEM………………………………….

 Objective of the Performance Management

 The Performance Appraisal Process
 Performance Appraisal Method Use by UFONE
  Rewards Related to Performance

COMPENSATION AND BENEFITS…………………………………………….

 Compensation
 Workplace Programs
 Individual Salary Fixation
 Current Base Pay: (Job Based Structure and competitive
 Total Compensation
 Assistant Manager Level
 Manager level
 Senior Manager
 Food Subsidy
 Increments
 Recognition of The work
 Permanent Employees
 Minimum wage
 Medical Allowance
 Health Insurance
 Loan Insurance
 Transport allowance
 House Rent
 Overtime
 EOBI
 Children Education allowance
 Provident Fund
 Leaves
 Travel Policy
 Meal deduction Claims
 Expense Claim
 Overtime Claim
 Medical Claim
 Mobile deduction Claim
 Dispatching of Salary Slips

Job Involvement and Organizational Commitment……………………………...

 Workgroup behavior
SWOT analysis is an overall evaluation of the company’s………………………

 STRENGTHS
 WEAKNESSES
 OPPORTUNITIES
 THREATS

CONCLUSION……………………………………………………………………………………
RECOMMENDATIONS...............................................................................................................
 ACKNOWLEDGEMENT

First of all we are thankful to Almighty Allah who gave us strength for
the completion of this project. And secondly thanks to our respected Sir
Ali Asghar who directed us to focus really on the HR issues and
department in a very effective way.
 EXECUTIVE SUMMARY:

Ufone is the leading organization in the cellular industry. They have

1500 plus employees. At their head office they had 150 employees. They
have many branches in different cities of Pakistan. There is open door
policy prevailing at Ufone. They really care about their employees and
for the improvement of HRD they continuously conducting training
workshops, which are both on the job and off the job. They do there
recruitment through online and also through newspapers. They use both
internal and external recruitment. All the recruitment and hiring is done
from the head office.

They are using a HRIS, which is a great sign for any organization
especially like Ufone who are through their expansion. They do
screening interviews, employment tests, job offers etc for the
appointment. They also give their new entrants orientation so that they
get familiar with the environment of the organization. The immediate
supervisor evaluates performance. The probation period is 6 months.
There are no unions in the organization.

The style of management at Ufone is different from the traditional

organizations, Ufone has adopted participative management. This type
of management creates a sense of ownership among the employees.
There are no workingwomen issues in Ufone, and women consist of 20
percent of total work force of Ufone. The Hr department at Ufone also
manages grievance. Ufone provides perfect environment for employees
to work efficiently to gain experience and to add worth to the
organization.
 INTRODUCTION:

COMPANY PROFILE:

Pakistan Telecom Mobile Ltd, operating under the brand name of ‘Ufone’ a wholly-
owned subsidiary of PTCL commenced its operations on 29 th January 2001 as a GSM 900
service provider. Since the outset it has expanded its coverage and customer base at a rapid pace
and established itself as one of the leading cellular service providers in Pakistan. Ufone is now
considered to be one of the most active, aggressive and innovative players in the mobile sector of
Pakistan.
The growth of cellular sector in Pakistan can also be attributable to good governance and
conducive policies of the government of Pakistan. In connection with that in April 2006 Emirates
Telecommunication Corporation, which is commonly known as Etisalat, has assumed
management control of Pakistan Telecommunication Corporation Ltd – part of the $2.6bn deal to
buy a 26% stake. The successful privatization of PTCL, and consequently Ufone, is hailed as
ushering in a new era for telecommunications in Pakistan.
As mobile users in the country have reached 88 million at a very rapid pace, Ufone has a
subscriber base of nearly 17.5 million and a market share of nearly 21%. Ufone has seen a
subscriber growth of over 10 million since July 2007 onto its network. Subsequently the growth
in subscriber base caused a healthy trend in its revenues and margins.
Ufone has always played a pivotal role in the development of cellular market in Pakistan.
For most part it has been a step ahead in introducing innovative products to the market. Ufone
was pioneer in launching the GPRS services and Multimedia Messaging services (MMS) in
Pakistan, including the lead in introducing GPRS international roaming and prepaid international
roaming for these services in the Pakistani market. Currently Ufone has expanded its product
portfolio to include Black Berry handsets and providing one of the largest EDGE networks in the
country today.
Ufone understands the need to communicate effectively and efficiently at all levels of
society, which is why various products are catering for the needs of the Pakistan corporate
market. It offers services such as mobile office, virtual private network (VPN), and a lot more
too revolutionized communication.
Ufone provides international Roaming facility with more than 215 international operators
across 124 countries. Ufone has PRS roaming agreements with more than 100 international
operators and also provides prepaid roaming facility to more than 15 destinations across the
country.

INTRODUCTION:

Ufone commenced its operations, under the brand name of Ufone, from Islamabad on
January 29/2001. Ufone expanded its coverage and has added new cities and highways to its
coverage network. After the privatization of PTCL, Ufone is now owned by Etisalat. Under the
agreement. Huawei will provide its future-oriented Energ GSM solution to expand Ufone’s
network to cover 1500 cities, towns, villages, and all major highways in the country. The
network also allows Ufone subscribers to enjoy high speed wireless data service. The GSM
contract for Ufone also include huawei’s new generation GSM dual density BTS that feature
high integrated and receiving sensitivity to improve the network performance and lower the cost
of network construction and O&M expenditure. In addition, Huawei will provide Mobile
Softswitch solution based on the advance R4 architecture to satisfy Ufone’s Network expansion
requirements, enables the telecom service provider to evolve into 3G smoothly. Ufone markets
its prepaid services as “Prepay”. Ufone prepay is more affordable. Its primary market is intended
towards teenagers and students. Posta pay services are marketed by the name “Post pay”. These
services are mainly targeted towards the business community of the country. Ufone has a
subscriber base of 12.498 million as on April 2007 and has network coverage in more than 166
cities.

VISION:

“To be the leading telecommunication service provider in Pakistan by offering innovate

communication solutions for our customers while exceeding shareholder value & employee
expectation.”

MISSION:

“Ufone it’s all about u! We are, where you want to be…………..

At Ufone we aim to provide you with wider coverage, superior connectivity, clear signals &
voice quality. Wherever you are, Ufone keeps you connected”

OBJECTIVES:

Ufone because it is a dynamic organization with a powerful culture that allows people to
make the most of their skills, personality and career. I developed such knowledge and skills
which directed to my career.

CUSTOMER SERVICE:

Ufone is proud to have an efficient and friendly customer service through 21 company-
owned Sales & Customer Service Centers and nearly 250 franchisees across the country. The
outlets are able to service the customers with innovative solutions, and are empowered with Web
based franchise management systems. Ufone is poised to face the ever increasing challenges of
the market and is confident it will attract new customers. It has the ability to retain its existing
customer base with a high level of customer satisfaction via optimum network service and a 24
hour call center facility.
ORGANIZATIONAL STRUCTURE:

Ufone Management Profiles:

Mr. Abdul Aziz

President & CEO
 
Mr. Abdul Aziz has rejoined Ufone as President & CEO in
December 2007. A fellow Chartered Accountant, he has over
fourteen years of experience in the Telecom Industry both local
and International including Europe, Asia and Africa.
During his career he has held various senior level positions
with companies including Warid Telecom, Millicom International,
S.A., Ufone GSM and Celtel International. Mr. Aziz, being first
CFO/Cosec was a key member of the Core Team which launched
Ufone in 2001.

 
Mr. Mohammad Nadeem Khan
Chief Financial Officer
 
A Fellow Chartered Accountant Mr. Nadeem Khan has
around 12 years experience in the telecommunication industry
both locally and internationally. He holds a diversified portfolio
as international auditor at MIC, Luxemburg and served in the
capacity of Financial Controller in Millicom Cambodia before
joining Ufone as Chief Financial officer (CFO) in 2003.

 
Mr. Naveed Khalid Butt
Chief Officer Government & Regulatory Affairs
 
With over 15 years of commercial & technical experience
in the telecommunication industry, Naveed Butt has worked on
senior management positions with various cellular operators in
Pakistan.
An engineer by profession, Naveed has done his B.E. in
Electronics from U.E.T, Lahore. Presently he is heading the
Regulatory Affairs departments at Ufone.
 Mr. Ahmad Kamal
Chief Officer Customer Services Operations
 

Ahmad Kamal has rejoined Ufone as Chief Officer

Customer Services Operations. In his previous tenure of
approximately 5 years at Ufone, he was part of the Ufone Core
Launch team and was responsible for the development of
Customer Services Operations department.
He possesses a cumulative experience of over 20 years in
Telecommunication Industry of Pakistan. He has the exposure of
previously working for country’s most renowned telecom
companies including Digital Communications, Mobilink, Ufone,
DVCOM and Warid where he had established his mark in
Customer Operations, Sales, HR and Administration fields. In
his last assignment at Warid, he was heading the Customer
Services and Product & Services Departments.
 
Mr. Jafar Khalid
Chief Technical Officer
 

Mr. Jafar Khalid is working as the Chief Technical

Officer of Ufone since June 2008, and has over 14 years of
diversified experience in the telecom sector. He has a proven
background in successfully managing large-scale cellular
projects, leading Network Planning, Operations and
Implementation initiatives, establishing and improving
Organizational Processes & Structure, and aligning technical
activities in line with business strategies.
Before his appointment as CTO, he served as the Project
Director & General Manager Network Planning in Ufone, and
has held various senior technical management positions with his
last employer Mobilink, where he was serving as Director
Access Network Planning before joining Ufone.
 Mr. Faisal Khaliq
Chief Information Officer
 
Mr. Faisal Khaliq is the Chief Information Officer of
Ufone since June 2008. Faisal has a Masters Degree in Computer
Sciences from the University of Texas at Austin. He is also a
Project Management Professional (PMP) with 12 years of
experience in the IT industry.
Prior to joining Ufone, Faisal was the Managing Director
for Teradatas Global Consulting Center in Pakistan which is one
of the largest offshore operations its kind for a multinational in
Pakistan.

 
Mr.Younas Iqbal Sheikh
Chief Officer (Sales & Distribution)
 
Mr.Younas Iqbal Sheikh heads Sales & Distribution at
Ufone (PTML) and has a rich working experience of 20 years
most of which is in Telecom Sector serving companies like
Siemens, InstaPhone, World call, Mobilink ,Wi-tribe (Qtel) &
Ufone (PTML). In his career he has played a key role in the
areas of Sales & Distribution, Customer Services, Operations
and Marketing, throughout his career he was given challenging
responsibilities, for instance heading 2 countries with a team of
thousands and portfolio of Billions.
He performed major successful overhauling with self-
initiatives for Process-Re-engineering in the areas of; Sales,
Channel Development, Customer Services, Business Operations
and was a major contributor in developing complete business
launch plan for Wi-Max services business in Pakistan for Wi-
tribe Pakistan (Qtel).
 
Mr. Akbar Khan
Chief Marketing Officer
  
Akbar Khan heads the Marketing Division at Ufone. He has been
part of the Pakistan telecom industry in key roles since 1998.
Before joining Ufone in 2008, Akbar was Head of Brands at
Mobilink and before that he was Head of Marketing at Paktel
Limited. Akbar has done his MBA degree from IBA Karachi.

Mr. Muzzammil Sadiq

Chief Officer Procurement, Contracts and Administration
Muzzammil Sadiq has a Bachelors degree in Engineering
from Cornell University and a Masters degree in Management
Studies from Oxford University. He is seconded from Etisalat
where he is the Group Vice President Procurement – Special
Projects.
He has over 19 years of multi-disciplinary and multi-national
practices gained in Research & Development at Toshiba
Corporation, Japan, Strategy Consulting at Bain & Co, USA and
Australia, Commercial and Manufacturing analysis at Pirelli
Cables, Australia, Revenue Assurance and Corporate Finance at
Cable & Wireless and SingTel Optus, Australia and Marketing,
International Investments and Procurement at Emirates
Telecommunications Corporation – Etisalat, UAE.
 
Mr. Moqeem Ul Haque
General Manager Corporate Strategic Planning & PMO
 
Moqeem Ul Haque is associate member of the Institute of
Chartered accountants of Pakistan. He brings in thirteen years of
extensive experience of working in the cellular industry. He was
among one of the pioneers in Warid telecom. Moqeem has also
served in Mobilink.
Mr. Moqeem heads the corporate strategic planning
function as well as supervises the special projects of the
organization.

 
Mr. Mohammad Zahid Qureshi
General Manager Administration

Mr. Mohammad Zahid Qureshi has over 12 year

experience in telecom industry. Mr. Qureshi has been associated with Paktel and later Ufone
for quite sometimes.
He participated actively in successful launch of Ufone services in Lahore &
Faisalabad.
His core competencies and the areas he holds expertise in includes Sales, Services
and Administration. He has played an instrumental role in launch of product and system
development for Ufone.
Mr. Qureshi has done MBA from Punjab University, Lahore.
Structure of the organization:

In Ufone the hierarchy is very lean, in general the whole setup is centralized, all the matters are
to be reported to the main company and all the policies and targets are approved at the higher
level. But at the department level the structure is decentralized.

Group analysis: in our point of view this hybrid org structure this best structure which best suits
fast changing industries specially cellular industry. Because to make work formally done
hierarchy should be there so that people have a head on them to whom they are suppose to
report, not only this lower management a lower non managerial people need leaders or someone
to guide and look after them from higher level. While such industries like cellular industry such
people are required who are creative as Basharat Ullah Khan told us that In our industry we need
creativity, speed, execution, written communication, attitude, knowledge & skills that’s why we
prefer new and young talent that’s why we hire fresh graduate each year. so unless and until
people don’t have freedom to express their views and purpose new ideas such organization can’t
grow , and to support this view within each department people should have decision making
power and this can be done by decentralizing.

Financial Position Analysis:

Market Share:

According to the financials results of all cellular companies Ufone captured the market
share 20.56% into 2008. Market share in 2009 was 21.20%. Increase in the market share of
Ufone from 2008 to 2009 was 0.64%. Above financial figures show that market share is
increased smoothly.

In highly competitive sector, market share is termed to be a strong parameter to show

degree of competitiveness in the sector. For a long time, Mobilink remained the market leader
with a significant difference, both in terms of subscribers and revenues with rest of the operators.
The PTA also declared Mobilink as an SMP operator in the mobile market. However, with new
operators settling in and addition of ZONG in the local market has changed the market
share structure, though Mobilink still holds highest share. Now subscribers have more choice,
better options and attractive facilities like MNP.

Thus, the companies are adding new subscribers, but at the same time they are also
losing the existing subscribers in favor of other operators. Figure-1 shows share comparison of
each operator in terms of total subscribers during 2007-08 and 2008-09. Mobilink lost its share
by 15% this year whereas the rest of the operators show increase in their market share. Telenor
has the second highest share in the market (22.2%) in terms of subscribers followed by Ufone
(21%) and Warid (19%).

Analyzing the market share of each operator by revenue (Figure - 16), Mobilink remained
the leader, again followed by Telenor and Ufone. During the reported year, all the companies lost
their share in total revenue of the industry except Ufone and Zong as their shares appreciated
from 15% to 19% and 1% to 4% respectively.

Revenues:

Due to huge amount of sales Ufone‘s revenue in 2008 is 15% which was increased to
18.86% in 2009. The increase in revenues is almost 3.86% which was almost huge increment
from than that of its competitors.

a major share of 64% in the total revenue of telecom industry. Today, the total revenue of
mobile segment stands at Rs. 212 billion. Although there is an increase in the revenues by 16.6%
this year; but the last year, the growth was over 40%. As far as financial health of the companies
is concerned, it was noticed that only Ufone made profit of around Rs. 1.7 billion, and the rest of
the companies faced losses. Double digit inflation and taxes could be major reason besides other
factors mentioned earlier. Particularly the rising petroleum prices along with power shortage and
high advertising costs put extra burden on operator’s expenses.

Among the operators, Zong performed exceptionally well in terms of increase in revenue,
where the company's revenue grew three times of its actual revenue of the last year. Ufone
exhibited improved growth of 45% in its revenue. Warid, Telenor and Mobilink's increase in
revenue remained slow and steady during the reported period. As for Ufone's financial health, the
company seems to be in total control of its finances and it is managing its financial resources
very prudently.

Investment:

Investment in 2008 was US$ 27455 million and in the next year 2009 the investment
increased from this point to US$ 40660 million, which shows that investors are financing in
Ufone and Ufone is developing interest of investors in financing. Pakistan has been an investors'
heaven especially for telecom sector for a few years. The investor friendly environment makes
the country home to world telecom giants like Orascom, Telenor, Warid Telecom (Abu Dhabi
Group), Singtel and the latest addition of China Mobile. These companies had been investing
heavily in rolling out their networks with a pace that more than 90% of Pakistan has been
provided with telecom facility within just three years.

Although the reported year did not prove to be very exciting one for the operators, and
the total investment decreased by 48% but the operators are taking it as a temporary setback.
Even in such a discouraging situation, the companies like Zong and Ufone have increased their
investment in the reported year. Zong plans to invest US$ 500 million more or so in the coming
year to roll out the infrastructure all across the country.
We hope that investment in the sector will further increase with the introduction of 3G.
While looking at individual investments, Mobilink has substantially cut down its investment to
more than 70%, followed by Telenor and Warid reducing investments up to 33% and 65%
respectively. The major contributor to the total investment made in the mobile segment turned
out to be Telenor with a total of US$ 374 million.

Marketing Goals:

PROMOTION:

Ufone believes in Integrated Marketing Communication which is a carefully blended mix

of promotion tools. Ufone employ different marketing activities and channels to communicate
and deliver value to customer. These activities are coordinated to provide maximum
communication output. These communication channels includes:-
Advertising, sales promotion, public relations, direct marketing & personal selling.

Ufone strategize to carry out promotion in order to increase its market share.

Strategy:

 Advertising:

ADVERTISING OBJECTIVES:

Ufone use advertisements when…

It has to inform the customers about new or available services
It seeks to persuade people to purchase their service or switch to their connection from
any other connection
ADVERTISING BUDGET

Ufone is a heavy spender on advertising in electronic media as well as other media. Recently
Ufone invested a huge amount on mass advertising. It was definitely a risk to take such decision.
They are developing and playing new advertisements on electronic media not even with a
month’s gap or so.

A single Ufone advertisement played 15-20 times per day on a TV channel costs millions
varying with the time of day when it is played. Ufone spends 20% of its profit on advertising and
sales promotion.

ADVERTISING STRATEGIES:

Advertising strategy consists of two major elements: Advertising Message & Advertising Media.
Ufone has the following strategies regarding the Message and Media of advertising:-

ADVERTISING MESSAGE:

Message Content --»The very first content of Ufone’s advertising message was humor, and then
in its blooming stage it shifted its message content to youthful excitement. Recently Ufone has
again adopted humorous theme for its message content. This time Ufone is winning the hearts of
people through humor and it has increased RPI of Ufone. Ufone has already generated much
revenue through it.

Message Format --»The format of Ufone’s advertisements has always been very colorful and eye
catching. The shocking Orange & Green colors used by Ufone have always attracted people.
These colors look beautiful on wall printing of Ufone.

Message Source --»The very first Ufone advertisements had Faisal Qureshi as its message
source. Afterwards Ufone hired non-celebrity young models for its youthful message theme.
Ufone also hired three lollywood queens i.e. Meera, Jia Ali and Veena Malik with Mikaal in an
advertisement of “Baat Ban Jaye”. This advertisement created a big controversy regarding the
erotic and sexually attracting acts by the three female models. Due to negative response by
people Ufone had to vacate its billboards and eradicate its banners, posters etc overnight, as
directed by CEO and CMO of Ufone.　

But now Ufone has again hired a comedian trio featuring Faisal Qureshi, Mikaal & Hammad.
The strategy behind hiring this trio is that they are economical and are personal favorites of
people. Ufone always hire endorsers in group
 Mr.Waqas Anjum (Senior Marketing Executive-Multan) is of view that you must bring
changes in marketing to attract customers. For this purpose Ufone is re-launching itself
under the name of one single brand called “UFONE”. This brand would have Orange &
Black as its corporate color instead of conventional Orange & Green color.

ADVERTISING MEDIA:

To increase the reach and frequency of advertisement Ufone is using repetitive strategy for its
advertisements. And the humorous theme always makes the ads more appealing and engaging
the minds of customers. Ufone advertise in the following media types:-

Print Media:

Ufone tries and print ads in all leading newspapers including The Dawn, Jung, Nawa-i-Waqt,
Khabrain and local Sindhi newspapers as well. Ufone place its ads in all leading magazines as
well i.e. Sunday magazine, akhabr-e-jahan, Libas, Mag etc

Broadcast Media:

It is the prior choice for Ufone. It includes the electronic media television and radio. Ufone is
advertising in all Pakistani channels including GEO, Hum, ARY, Indus, TV one, HBO, Cartoon
Network etc (except MTV Pakistan). Ufone also plays its ads on local channels like WASEB and
Punjab TV.

Display Media:

This type of media is the second choice of Ufone where it carries out its most of sales promotion
and advertising. Ufone advertise using billboards, hoardings, signs (on Shop boards etc), posters,
wall paintings etc. SME Multan has used a new and innovative vehicle in display media i.e.
Ufone’s painted rickshaws

Online Media:

Internet is the online media. Ufone places flashing ads on famous portals like coolbuddy.com,
pakfellows.com etc. But Ufone is not carrying out direct mail or direct e-mail advertising

Events:

Ufone has sponsored many events in the past and holds future plans concerning it. The famous
event sponsored by Ufone in 2006 was a series of musical concerts did all over Pakistan,
featuring Mikaal Hassan and Junoon, it named UROCK
AD SHOOTS:

The ads of Ufone are shot mostly within Pakistan. But the PostPay ads are shot in foreign
locations. Recently Ufone shot in the picturesque locations of northern areas of Pakistan in its
advertisement of UWON “sabse sasti call”

Public Relations: Ufone is less conscious of developing its general public

relations. But recently it has launched its “Hajj Guide” service on Ufone. It
 avoids getting in news stories and controversies but sometimes it proves
inevitable.

Direct Marketing: Ufone employ on-road umbrella franchises where the

directly market and sell their connections and Sims.

Personal Selling: Ufone administer personal selling facility to sell their Post
Pay connections targeting well to do people and businessmen.

 It won’t be an exaggeration to say that Ufone has placed itself where it is now through
brilliant promotions.

Market shares of Ufone:

According to January 2010 market shares of telecom companies in Pakistan are as

follows…………………….
Expansion:

Keeping in view the growth potential of the cellular industry there is no option but to be
aggressive in order to remain a potent force in the cellular industry. In order to extend cellular
network to new cities, towns and highways and enhance its current installed capacities in
existing cities, Ufone has finalized a huge network expansion contract amounting to about USD
550 million, which will enhance the subscribers’ capacity by 10 million. This is the largest ever
expansion project of Ufone.

A strong focus will be on maintaining high quality of service, which is always a benchmark of
Ufone, increasing usage and exploring new revenue streams on value added services, market
visibility through various market initiatives to fulfill subscribers’ satisfaction and demand and
above all to increase the value of investment for the shareholders.

Human Resource Assessment at Ufone:

 Qualified professionals from outside have been hired/are in the process of being hired,
primarily to adopt customer-oriented approach with a view to strengthening customers' loyalty as
well as to increase market share.

Many monitory and non-monitory incentives are provided to the employees for the
purpose of, motivation, and retention. Company perks, paid leaves (in certain cases) and medical
benefits are a few to mention. In spite of these measures employee retention is quite low at
Ufone. A lot of new employees, both at managerial as well as non-managerial levels are found
leaving the organization after just a few months of joining. Similarly new employees are hired to
take their places.

One of the reasons lies in the fact that although the company is providing its members
with a lot of benefits, the work load on them is very high. Employees work for longer than just 9
to 5:30 (the official work timings). Sometimes even staying for as long as 10 at night - especially
during a busy season (year end etc) or at the launch of a new campaign. Due to this many
employees find themselves unable to create a balance between their personal and professional
life and thus avail the first better opportunity out!

Also since the telecom industry is still at its growth stage and a recent entrance of three
new telecom service providers in the local market, many experienced employees find themselves
with more and better job opportunities

Recruitment at Ufone:

Before recruiting a new employee, management checks whether there is a need to hire a
new employee for that particular job or whether it can be incorporated into an existing
employee’s job. Recruitment in Ufone may be of internal or external nature.
Internal Recruitment:

In the case of internal recruitment people from within the organization are promoted to
fill the vacant vacancy. The HR department and the relevant department in which the vacancy
exists, analyze whether there an employee within the organization exists, who most appropriately
meets the requirements of the particular vacancy. If more than one employee is eligible for the
vacancy; then that employee is chosen who has the most outstanding record. After the promotion

The employee may be sent for further training. The effect of internal vacancy is that it motivates
the employee to perform their best and produce maximum output. It also creates a healthy
competition amongst the employees. The hiring from within may have a trickledown effect i.e.
the opportunities spring not just from the first vacancy but from the vacancy created when a
person in the company fills that vacancy.
External Recruitment:

If the organization feels that none of their current employees can fill out the new vacancy
then they hire from external sources. In this case the human resource management considers
other departments in the organization that might be interested in the appointment in order to
make it a joint effort. They talk to relevant supervisors and especially to the people the new
person will work with. A set of expert panelists is then selected from each relevant department to
interview applicants

Direct Applicants:

Ufone maintains a data base system i.e. HRMS (Human resource management system)
for its internal employees as well as the employees which they will recruit in near future. In some
case certain some people just drop their CV’s at the head office. And whenever there is an
opening or a vacancy occurs, the organization may call them for an interview.

Referrals:

By advertising a post internally Ufone gains an added benefit, which is; the current
employees may pass the information on to any interested friends and relations. Word of mouth is
also a valuable recruitment method for them and they draw on all appropriate contacts they have

Advertisements:

Since most of the posts are of a specialist nature, they intend on advertising in the
journals of professional bodies and the trade press. Their next step is to find out how much
adverts cost for varying amount of space and decide what they can afford.

The HR management has hired the services of Interflow, an advertising agency, to

propagate their service and company for them. They are also using the services of a web
designer, Eveready media, to post the advertisement of the company on the Internet.

Private Employment Agency:

The private Recruiting agencies collect information from unemployed as well as

employed people about their skills and experiences. These agencies attempt to find some one
suitable using its computerized inventory database of suitable individuals. These agencies
charge Ufone for the referrals.

Through Vendors (Outsourcing):

 Ufone also do outsourcing for the purpose of recruitment they hire firm, which will
provide employee Ufone to work in the organization, but the employee will remain employee of
that firm not Ufone, and this is the most common method followed by most of organization these
days. Lower management at Ufone is comes through outsourcing.

Electronic Recruiting:

The growth of information superhighway has opened up new vistas for organizations
trying to recruit talent. Ufone is make full fledge use of this new technology, and it uses its own
web page to advertise for new job openings.

Another aspect of the electronic recruiting is that individuals don’t have to physically go
to the head office to drop their CV’s. They now can simply use the e-CV format provided by
Ufone on its home page. The e-CV is then transferred to the relevant database or the HR
department.

Recruitment Procedure:

The HR management decides on the length of the short-list, which includes five or six
people at the most. Following the advert they need help to sift through the applications.
Everything is computerized and on-line which makes it easier to handle large numbers of replies.
In case they run short of time, they get the help of other staff, supervisors and managers in the
organization. Apart from the question of time, they do this to get second opinions. They look out
for the following when reading an application:

How well-matched is the candidate to the requirements

Any unexplained employment gaps

The quality of presentation

How tailored the reply is to the particular job and Ufone as an organization.

Replying To Candidates:

The candidates that do not match the job are contacted as quickly as possible and dealt
with courteously since the HR management believes in the philosophy that these people, and
their relatives and friends, may be future customers or acquaintances of potential, future
applicants. Those that match the job are called over to undertake an on-line evaluation test.
Scheduling Interview:

The candidates that pass the on-line evaluation test are then called for interviews. A date
and a time are arranged and the candidate appears for the interview. The questions of this
interview are designed especially for gauging the personality and ability of the candidate.

Screening Process:

The results are screened by a set of panelists in order to minimize chances of error in
selecting the candidates. The HR management sometimes keeps a small number of candidates in
reserve.

Goals of Ufone HR Department:

Policy initiation and formulation.

Advice (on personnel policy, labor agreement, needs and welfare of company and
employee development).

Service (employment, training, development benefits functions, recruiting, interviewing,

testing job applicants, maintenance of adequate employee records etc.).

Control (monitoring performance, retention and conformance of other departments to

personnel policy, procedures and practices).

Responsibilities of Ufone HR Department:

Employment & recruiting (Interviewing, recruiting, selection and induction into the
organization).

Transfer, Promotion, Layoff (checking conformity of skills with new department in case
of transfer).

Training and Development (Orientation, coaching, performance management skill

training both for technical and non technical personals, counseling, job rotation.).
 Compensation Administration (designing and installing job evaluation program, pay
structure, analyzing jobs and their dollar-worth, maintaining suitable records, wage and
salary surveys of the labor market).

Health and Safety (health programs, safety programs, Medical facility).

Employee relations (wages, rates of pay, hours of work, conditions of employment,

negotiation, contract interpretation and administration, grievance handling, allocation of
overtime).

Benefits and Services (insurance programs, Transportation facility, sick leave pay plans,
loan funds, LFA salary, Yearly bonus programs along with special bonuses for achieving
high targets).

Organization Planning (developing concept of company as a structure or system).

Organization Development (increase level of trust and supportiveness among people in

the organization, enhance interpersonal skills, make communication more open and
direct, directly confront problems, tap the knowledge of all who can contribute to
problem solutions wherever they may in the organization).

Human Resource Planning (right number of qualified persons available at the proper
times, performing jobs that are useful to the organization and which provide satisfaction
for the individuals involved, goals and plans of organization, current human resource
situation including skills inventory, human resource forecast including comparison of
projected future demand for employees with projected supply, designing programs to
implement the plans of recruitment, selection, performance appraisal, transfer, promotion,
training, motivation, compensation, audit and adjustment).

Equal Employment Opportunity (no discrimination in terms of gender, race, age, national
origin, religion. Involves complaint investigation, interpretation and policy, monitoring
performance).

Personnel and Behavioral Research (improving worker productivity and also increasing
the quality of working life, employee attitudes and motivation, predicting success in
management and organizational relationships).

Personnel Information Systems (Maintaining HRIS i.e. human Resource Information

system, HR planning, skills inventories, employee benefits analysis and productivity
studies).

PERFORMANCE MANAGEMENT SYSTEM:

Objective of the Performance Management:

The basic objective for performance UFONE employees circles around the following:

To look at Performance system as a means to an end

Setting an individual’s goal

Aligning goals across the company

Ensuring employees get coaching from managers

Determining merit pay

Identifying training and development needs

Providing data for promotion decision

Input from multiple source on worker performance

The Performance Appraisal Process:

The Performance appraisal system used by UFONE for reviewing the performance status
of its employee starts with identifying specific appraisal goals set by each Group for each cadre.
After this a detail job analysis is done with looking in account the job expectation and then
matching the actual performance with the desired performance. Afterward the performance is
appraised according to the set standards and this appraisal is not done by the supervisor alone,
their major focus is on taking into the account the employee’s perspective as well. Therefore
whenever the appraisal is done employee is fully participative in the process.

Performance Appraisal Method Use by UFONE:

UFONE is using 180-Degree Performance Appraisal Method. Within this method,

managers, peers, customers or colleagues are asked to complete questionnaire on the employee
being assessed. In UFONE, performance of an employee is appraises twice a year. Once in June
while other in December.
In the questionnaire there are five sections and in each section there are five questions
related to the performance of employee. There are total 100 points from which an employee
gets.
Rewards Related to Performance:

There is also a reward related to performance of the employees. For “Customer

Facilitation Agents” there 50% pay is based on their performance which is assessing every
month by their managers. For other employees like in administration, engineering, finance,
marketing, etc their performance is assessed after every six and they get increased
Rs.5000 in their salary as a reward. In each case employee have to show consistent performance
to win reward next time.
COMPENSATION AND BENEFITS:

Ufone follow the performance base pay structure and pay for their performance and work
output.

Compensation:

The total returns which an employee gets against his or her work. It maybe:

Employee Health Plans

Employee Insurance

Employee Leave

Employee Retirement Income Security Ac

Executive Compensation Maternity & Paternity Benefits Pension & Retirement Plans

Wages & Salaries

Workplace Programs:

Compensation strategies are usually market based and is linked with the performance
with a greater emphasis on variable pay. Salary adjustment is based on the performance, market
movement and internal/ external equity adjustment. Revision of compensation is based on total
pay and monetization of benefits.

Individual Salary Fixation:

The Ufone seeks the market trend and try to compete with market for individual salary
fixation but they also analyze their own financial positions and budgeting, it also varies from
department to department.

Current Base Pay: (Job Based Structure and competitive):

The Ufone follows the job based structure, and compensate its employees for the work
they have done, for their tasks and duties they performed, their work content, behaviour and for
their responsibilities.
To develop this structure Ufone conducts some surveys, to compete with others in the
same industry.
 Work Analysis

Evaluation & control

Market trends

Employee J.D Surveys

Policy Lines

Total Compensation:

Example:

60% Basic Pay 15-k

30% House Rent 7.5-k
10% Utilities 2.5-k
OPD 2 Gross salaries
Hospitalization Employee siblings, Parents,
Wife / Spouse and
children’s
Provident Fund 50% Employee, 50% Org
Gratuity If work for 10 Months
Bonuses 1.4% Of Gross salary
Incentives Only Sales department
depend upon their
performance.

Assistant Manager Level:

25000 Car allowance + 200 Liter’s petrol / Month

Manager level:

Car + Blackberry

Senior Manager:

Islamabad Club Membership + BMW Car + House + Foreign Tours

 Further Ufone has developed some grades for employees.

A H

A is the minimum grade and H is the maximum grade and they compensate their
employees on the basis of their grades.

Grade ‘A’ 500 minutes + 500 Rs mobile usage. Same like this all other benefits.

After every Two years Ufone give the amount of Rs 6000 to lower level employees if
they want to purchase a new mobile and this limit increases as grade increases. At each stage the
amount is different.

Food Subsidy:

S.E, Exe, M.T so on

Rs 65
Rs 95 Company

A.M and Above

160 RS

Increments:

The increments are totally based on the performance of the employees and their seniority
level.

If the scale is 15000-20000 then the increment is the 20% of the base pay, but if any
employee shows the performance then this may increase up to 35% to 50%.

Managers: Innovative ideas

Silent Warriors

Recognition of The work:

On Jan 29 (anniversary of Ufone).

Employees who is working in Ufone for seven years or more than seven years gets Cash
Rewards, Trophy, badges and other things.
Permanent Employees:

Number of employees:
Around 1500 – 2000

Minimum scale starts from 15000 – 20000

Maximum C.E.O (Not disclosed by the organization)

UFONE focuses on providing a large number of the compensation and benefits to its
employees in a form of the following categories:

Minimum wage:

The minimum salary for “Drivers” is Rs.7000 for “Tea Boys” it is Rs.6500, for
Administrative Staff like HR, Finance, Marketing, etc it is Rs.20000 and for
Engineering it is Rs.20000 to 25000.

Medical Allowance:

1 gross salary per year is given to each employee; half is given in mid of the
year and remaining half will be given at the end of the year.

Health Insurance:

Like all other cellular companies Ufone also provides health insurance policy to
its employees.

Loan Insurance:

At Ufone loan insurance policy is also provided to their employees

through banks.

Transport allowance:

Rs 2500 are given to female employees only, if they travel on local transport.

House Rent:

10% of the basic salary is given to each senior/ executive level employee.
Overtime:

All employees are entitle for the overtime more then 130 hours per month .For
overtime UFONE have specific formula that apply on the employees gross salary, due
to which every employee have different per hour overtime rate.

EOBI:

EOBI is contributed as per the standard.

Children Education allowance:

1 gross salary per year

Provident Fund:

All permanent confirmed employees are eligible for membership of

Ufone Employee Provident Fund Scheme. An employee contributes 8.33% of
month basic salary in a year and an equivalent amount is being contributed by the
employer.

Leaves:

7 Casual and 10 sick leaves are given to each employee at all level.

Travel Policy:

Revised and categorized different levels such as the senior level, the middle level
and the junior level staff.

Meal deduction Claims:

Meal books are to be maintained of each employee who issues it, their name,
employee number, designation, signature and number of book and date at which it is
issued has to be recorded. The reason for maintaining the record is that the company
pays 60% of the expense came over the food while 40% has to be deducted from the
employee’s salary.
 Expense Claim:

The expense Claims are the expenses which an employee make on the behalf of
the company E.g. fuel used for business travel, overnight stays on a business tour etc,
such claim are made while returning back to the office , after the whole process the HR
pay them back the next month along with their salary.

Overtime Claim:

If an employee has worked for more than the regular time, they claim for the
overtime amount other than their salary which they receive the next month. Overtime
claim have to be approved through HR department.

Medical Claim:

Different medical facilities are provided to employees at different level of

hierarchy, so if any employees make use of this facility they can claim for the amounts
to be return next the month while submitting the hospital receipt. Their medical
clearness is done by the HR department.

Mobile deduction Claim:

Such an expense claims which are made if an employee has made long
duration call for the official purpose and they have exceeded the limit given to them then
they can make a claim by attacking a copy of mobile bill and if its valid then HR
department approved it and pay the employee their claimed amount along with their
monthly salary of the following month.

Dispatching of Salary Slips:

Vendor prepares the salary slip and dispatch it to the HR department, further HR
head office send it to the regional HR departments their concerned employees salary
slip and they either give their employees through cash or transfer to their accounts.

Job Involvement and Organizational Commitment:

In Ufone according to our investigation employees are so much connected with

each other that every individual is personally involved with his or her work role, and
every employee is psychological attached to the organization.
Workgroup behavior

The Work group behavior of employees with each other at Ufone is very good.
They work as a team, enjoy their given tasks and Coordinate with each other in difficult
Situations.

SWOT analysis is an overall evaluation of the company’s:

Strengths (S)

Weaknesses (W)

Opportunities (O)

Threats (T)
STRENGTHS:

Strengths include internal capabilities, resources, and positive situational factors that may
help the company to serve its customers and achieve its objectives.

The strengths of Ufone are as follows:-

Ufone’s differentiation is its biggest strength. Ufone offers lowest off-net

Call rates that differentiate it from its competitors.

Ufone is offering more and better Value Added Services (VAS) than its
Competitors i.e. Ufone’s Walkie Talkie.

Ufone is enjoying the second largest cellular network in Pakistan.

Ufone has the most promising and attractive ATL (Above The Line)
Activities.

Ufone has great management within the organization (internally &

Externally)

WEAKNESSES:

Weaknesses include internal limitations and negative situational factors that may interfere
with the company’s performance.

The weaknesses of Ufone are as follows:-

Ufone has less professionalism within the organizational members.

As Ufone is a subsidiary of PTCL, which was formerly under

Government management, Ufone still has a shadow of a government
Organization.

Ufone still has room for the betterment of its network coverage in
Comparison to the Market Giant “MOBILINK”.

Ufone has pathetic billing system for postpaid connections. This faulty
System creates a negative vibe among its customers.
OPPORTUNITIES:

Opportunities are favorable factors or trends in the external environment that the
company may be able to exploit to its advantage.

Ufone has following opportunities in its way:-

Ufone’s biggest opportunity lying ahead in near future is the phase of

Conversion of their GSM technology into 3G (satellite based) technology.

Ufone has the opportunity of growing its customer base due to increasing
Trend of using mobile phones.

Ufone has the opportunity to win the customers of its competitors by

Providing them superior services on lower price.

Ufone has the opportunity that it is pioneer in southern Punjab where it

Can promote it and become market leader on the basis of this very fact.

THREATS:

Threats are unfavorable external factors or trends that may present challenges to
Performance.

Ufone is facing/about to face the following threats:-

Ufone’s biggest opportunity is its biggest threat as well. The phase of its
Conversion of GSM technology to 3G technology can be a threat for it if not
Carried out properly.

The boosting customer base of Warid and Zong is also a big threat for
Ufone.

The decreasing economy rate and instability of Pakistan is a big threat for
All businesses in Pakistan including Ufone.
 CONCLUSION:

At Ufone HR practices are functioning very well, they have adopted modern techniques for
management. Anyone can voice his/her opinion and thoughts at any time and will be taken into
consideration by upper management. The HR department is doing all the things, which are
necessary for improving the quality of the HR development by conducting continuous training
and development programs. Ufone is among the service industries, which value its HR
department and are constantly working towards its improvement by hiring qualified and capable
Hr personals.

RECOMMENDATIONS:

Ufone can induct temporary or contract employees as well which will not only
increase their HR inventory but also enhance their marketing representatives.

They should start installing the ERP modules so that after some time they could
easily handle the whole ERP according to the organizational requirements.

Employees who have direct interaction with the customers should be evaluated on
360-degree evaluation method as well as their immediate supervisors evaluate them.

They should conduct some seminars in stress management.

They must conduct employee safety awareness programs.

They have to improve the quality of the sub-ordinates.