Assignment 2nd_527_Human Resource Management

7/30/2019 Assignment 2nd_527_Human Resource Management

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Department of Business AdministrationBlock No. 13, Sector H-8,Allama Iqbal Open University, Islamabad.

Human Resource Management (527)

Assignment No. 02

Submitted to:Mr. Sajid Saeed

House No. 549/1, Street No. 06,Sector No. I, Airport Housing Society,Chakala , RAWALPINDI(0300-550 O899)

Submitted by:Muhammad Hammad ManzoorMBA (HRM) 2nd Semester

Roll No. 508195394

508, 5th Floor, Continental Trade Centre (CTC)

Block 08, Clifton, KARACHI

(0321-584 2326, 0322-555 5901)


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Human Resource Managment (527)

ACKNOWLEDGEMENT

All praises to Almighty Allah, the creator of the Universe who blessed me with theknowledge and enabled me to complete this research. I feel great pleasure and honor to

express my sincere gratitude and heartfelt thanks to my worthy subject faculty member Mr.

Sajid Saeed Sab, for his guidance, encouragement and friendly attitude during the present

study and throughout the period of M.B.A (Semester II).

I pay my thanks to all the Faculty of the Department & AIOU Karachi Campus Staff for their

kind support, constructive criticisms and real encouragement. I wish to thank Ms. Madiha

Ahmed Khan for valuable discussions and knowledge sharing during the completion of this

project. I further wish to record my thanks to all my students, class fellows, well wishers

and especially Petroleum Exploration Pvt. Limited Management Mozaffar Ali Khan (Field

Manager), Usman Javed, Mr. Khizar Iftikhar, Khurram Shahzad, Rehan Hassan, Sohail,

Waleem, Javed for their help, valuable suggestions, whole hearted cooperation and prayers.

Finally, I owe all my academic success and progress in life to my loving parents and sisters,

whose affection, endless prayers, good wishes and inspiration remained with me for higher

ideals of life.

M. Hammad Manzoor

2By: M. Hammad Manzoor, MBA HRM-II, 508, 5th Floor, Continental Trade Centre (CTC), Clifton 08,

Karachi. (Roll No. 508195394)


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ABSTRACT

The study had been carried out by keeping in mind about the selection criteria for

Labor Management Relations at Field, Petroleum Exploration Pvt. Limited (PEL), an

Oil & Gas Exploration Company in Pakistan.

Petroleum Exploration Pvt. Limited has been selected for the sake of the data

analysis and working on its merits and demerits, the methodology includes the

evaluation of the Labor Management Relations, that how they work and different

models had been discussed under this study by the management and the labor union.

After analyzing the different inputs and models used by PEL, results and conclusionswere worked out from studies which lead the study for further SWOT analysis.

SWOT analysis had been carried out and conclusion followed by recommendations

had been made in this regards.




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Sr. No. Contents Description Page No.

1 Introduction Labor Relations

Model

Business Model

5

2 Review of Literature One to One Model Transactional Model

Formal and Informal Sector Worker Most Unionized Sector of Pakistan

Most Unionized Industries of Pakistan

Future of Unionization in Pakistan

6-17

3 Petroleum Exploration Pvt. Limited (PEL) Company Profile Data Collection Methodology & Analysis Conclusions

18-30

4 Data AnalysisDemerits and Deficiencies

Merits & Strengths

31-32

5 Recommendations 33

6 References 34




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Introduction

Labor Relations:

The interaction between a company's upper management

and the rest of its employees. Labor relations are the

study and practice of managing unionized employment

situations. In academia, labor relations is frequently a

subarea within industrial relations, though scholars

from many disciplines--including economics, sociology,

history, law, and political sciencealso study labor.

Model:

A representation of a system that allows for investigation of the properties of the

system and, in some cases, prediction of future outcomes. Models are often used in

quantitative analysis and technical analysis, and sometimes also used in fundamentalanalysis.

Business Model:

The plan implemented by a company to generate revenue and make a profit from

operations. The model includes the components and functions of the business, as

well as the revenues it generates and the expenses it incurs.

Business model is a buzzword that everybody used (or overused) during the dotcom

boom. In fact, poorly thought out business models were the downfall of many

dotcoms.

However, the business model dates back to the earliest

days of business; it merely describes the way in which

a company makes money. A business model can be

simple or very complex. A restaurant's business model

is to make money by cooking and serving food to

hungry customers. A website's business model might

not be so clear, as there are many ways in which

these types of companies can generate revenue.

For example, some make money (or try to) by providing a free service and then

selling advertising to other companies, while others might sell a product or service

directly to online customers.




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ONE TO ONE MODEL:

A model is a mental construct with which people organize their thoughts about a

topic. When people consider labor management relations, they usually think about a

single company dealing with a single local union. This is, of course, a model. It may

be represented diagrammatically as in Figure, by showing the management of

company A dealing with union local no. 100, which represents company As

employees. The line between the company and the union has arrows pointing both

ways and indicates that each side influences the other. Also, the absence of any

other organization or lines indicates that the relationship between company A and

local No. 100 is all there really is to know about the system of labor management

relations indicated here. Figure represents a model, in that it identifies the parties

involved, indicates their relationship to each other, and excluded other

organizations and relationships as insignificant (i.e extraneous).

Management of Company (Assume A)

Trade Union (Let 100)

ONE TO ONE MODEL FLOW

Explanation:

Most labor management relations are not so simple. Instead, both company A and

local No 100 may be found to be at the center of a web of relationships to other

organizations, of which their relationship to each other is only a single instance. We

examine the web of relationship involving company A, we see that company A has

responsibilities to its stockholders and customers as well as to local No 100. It also

has relationships with other companies through an association to which it belongs; it

has obligation imposed by governmental regulatory bodies; it has commitments to

the communities in which it operates; and it has responsibilities to other unions with

which it heals.

This is a more accurate model of the relationship of company A to local No 100

because it shows that the company must also deal with many o f these other groups

on issues that affect local No 100. For example, in considering whether to give in to




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wage demands by local No 100 or to take a strike, company A must consider the

impact of its choice on its customers, its stockholders, the communities in which it

operates, its nonunion zed employees, and the other unions with which it deals.

Often the strong preferences of one or more of these groups will determine company

as decision.

The local union is also involved in a web of relationships about the local No 100 must

consider in its own activities the views of its national union, other unions, the

community in which it is located, its political friends (whom it should not embarrass

by its activities), other companies with which it has contacts (if any), and

management of company A itself.

COMPANY A AND ITS RELATIONSHIP

The alternative is much more complex and shows that there are many more factors

involved in the relationship between company A and local

No 100 than just the two organizations alone. As such, the more complicated model

is generally a more accurate reflection of reality. The few situations in which it

applies in reality are not difficult ones to analyze. Most often, however; labor

relations are of the type diagrammed above and below and are not simple at all.



Customer of

Company A

Local Unions

dealing with

Company A

Employees of

Company A

Stockholders in

Company A

Management

of Company

A

Union Local no.

100

Employer

association

Company A

Belongs

Government

Regulatory

bodies

Communities,

company A has

plants or

offices


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UNION LOCAL NO. 100 AND ITS RELATIONSHIPS

If will recall that John, Dunlops model of the industrial relations system focused on

the development of arrangements for the workplace as the ultimate outcome. There

are other outcomes of significance, however, including the political activity of

unions, the decisions by companies about where to locate facilities, and decisions by

mangers and unions about lockouts and strikes.

TRANSACTIONAL MODEL:

A model offered by Sethi and Dimmock illustrates these additional outcomes, as well

as the rules determined to apply at the workplace, and also shows the influences.

It stresses, to a greater degree than Dunlop, the ethos (i.e the values, philosophy,

and ideology) of the participants in the system. In part because of the importance ofethos and choices in the model, its authors refer to it as a transactional model.

In essence, the transactional model implies that management and union are

influenced in their actions by other factors than economics. This implication is

consistent with much of the psychological and behavioral research now being

conducted on labor relations.

The model begins with environmental variables that include not only ecological

factors but also economic, legal, political, social, and technological factors as well.

These factors affect the actors in the industrial relations system via their own needs,values, goals, power, and other factors.




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TRANSACTIONAL MODEL

What individual actors decide to do is also affected by their personal relationships

with other people. For example, a potential controversy between an employee and a

manger may be avoided if the two people like one another; or a conflict between a

union and a company may be avoided if the union leader and the companys top

executive trust each other.

All the factors mentioned so far determine the strategy that each actor will choose

for dealing with other actors. The union, employer, and government each then

determine how to proceed to achieve its goals. Unions and companies try to achieve

objectives through bargaining with one another. They are also concerned to see that

conflict does not get out of hand. The government passes legislation and acts in thecourts to enforce its laws.

At the level of the workplace, the individual is affected by the processes occurring

between the organized entities of management, labor, and government and to a

degree participates in them. The union member, for example, votes on the unions

leadership and ordinarily is asked to vote to approve or disapprove a contract that

the union negotiates with management. Furthermore, an individual employee may

participate via discussions with his or her supervisor of through a work team. Finally,

the individual has rights conveyed on her o r him by government legislation and

regulation.

ENVIRONEMNTAL MODEL:

It holds the different variables which are always supportive to the Labor

Management relationship. The could be highlighted as environmental variables;




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Ecological

Economic

Legal

Political

Social Technological

SIZE OF LABOR MOVEMENTS IN PAKISTAN:

History of Pakistan trade union movement has roots deep in the Indian sub continent

workers struggle and is directly related with the emergence of industries in different

parts of India. It was soon after 1813 when we see the beginnings of the modern

Indian industry and the all most simultaneously sporadic actions of the industrial

workers which introduce first batch of industrial legislations. Numbers of strike were

instigated by various labor unions in different industrial sector throughout India in

around 1895. These activities have given shape to the Labor movement in India.

Under the pressure of the workers industrial actions the first sign of industrial laws

emerged under British rule in the name of factor act 1881 followed by another

enactment in 1911 which laid down working hours for employees in the factories in

order to pacify the workers. Till that time workers actions were not organized one.

20TH CENTURY, WORKERS UNITY AND LEGISLATIONS:

It is well known fact that till early 20th century there was no organized trade unionmovement in the country. After the 1st world war it clearly shows the emerging

trade union organization and struggle as part of national resistance against foreign

domination. The politicization of workers and its mobilization under the joint all

India trade union congress clearly indicated the sparks of a movement which has

forced the government to introduce legislations in the name of Government of India

act, 1919 guaranteed the freedom of formation of association and trade unions in

the sub continent.

EMERGENCE OF PAKISTAN AND PLIGHT OF WORKERS

After the partition from India in 1947 Pakistan inherited the labor laws of BritishIndia and adopted all of them as the law of land. This newly curved country got only

9% of the total industry of pre partition India and these industries were concentrated

in few urban centers with small number of workers employed as compare to India.

Due to that fragile industrial base, workers were in very small numbers so as a result

very limited chunk of workers affiliated with the trade unions and the workers

movement. And it was even less number of workers were registered under the




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factory act. Here is brief detail about the numbers of workers covered under the

factory act in some vital industrial sectors in year 1949.

Kind of industry # of workers

Workers in factories 181752Mines workers 9413

Railway workers 135000

Dock workers 15000

Shop workers 16000

Workers on ships 125000

Total Workers 482,165

MARTIAL LAWS AND TRADE UNION MOVEMENT

It was unfortunate for the newly independent country that in the very beginning the

realm of power was unconstitutionally captured by the strong, over ambitious andadventurous army establishment in 1958 by General Ayub Khan through a military

coup.

Like all other political and trade unions organizations, Pakistan Trade Union

Federation (PTUF), a radical and left oriented trade union federation, was also

banned, all its assets were confiscated, offices were closed down and large number

of its leaders and active members were arrested along with members of Communist

Part of Pakistan.

TRADE UNION IN PAKISTAN TODAY:

Trade union movement in Pakistan goes through the very crucial period at the

movements. After took over of the government by military clique in October 1999

anti workers police has been enforcing upon. Present government has initiated

number of polices on the dictates of IMF and WB that have made direct affect on

already weak trade union movement.

On the one hand IRO 2002 have snatched all trade union right the workers had for

long while on other hand public sector entities have been selling out under the policy

of privatization in accordance of neo-liberal agenda of WB and IMF and WTO. In last8 years nearly 0.8 million have been sacked from the jobs, trade union leaders and

activists are the first casualty at the time of sacking.

In this scenario labor movement is standing at very fragile grounds. However the

trade unions have registered considerable enlargement in numbers during last 60

years. If we compare it we see that there were 209 registered unions in 1951 with




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393,137 members which increase from up to 7530 representing 1.3 million members

in 2007 (this figure represent initial figure given by unions at the time of

registration.

Subsequently as membership grows, labor department does not update its record on

the basis of revised reports furnished by unions each year.) It is estimated that the

present average membership per union stand at 144 as compare to 1881 in 1951.

Number of unions Membership Year

209 393,137 1951

708 350,604 1960

2522 735,620 1970

6551 869,128 1980

7080 952,488 1990

7220 1,009,897 2000 7530 1.3 million approximately 2007

The decade of seventies saw the golden period for trade unions with membership

reaching almost one million (1977)

NATIONAL INDUSTRIES RELATION QUANTITATIVE INFORMATION ISLAMABAD

UNIONS

S. No Industry No of UnionNumber of

Members

No of %

1 Bank Workers 48 19599 4%

2 Communication Workers 54 300904 54%

3 Eng/Mechanical Workers 19 140816 25%

4 Mines Workers 4 11310 2%

5 Oil & Gas Workers 15 18757 3%

6 Shop Workers 5 657 0%

7 Workers Factories 48 22180 4%

8 Others 84 41432 7%

Total 277 555655 100%

S.No Industry No of UnionNumber of

MembersNo of %

1 Bank Workers 21 2073 5%

2Communication

Workers15 2873 8%




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3Eng/Mechanical

Workers14 1448 4%

4 Mines Workers 12 5241 14%

6 Shop Workers 4 352 1%

7 Workers Factories 72 15297 41% 8 Workers Committee 17 1165 3%

9 Others 14 9307 25%

Total 169 37756 100%

CBA AND WORKERS COVERAGEAs per data collected by provincial labour departments in 2001, of the 7,318 unions

registered with the departments only 1,905 have Collective Bargaining Agent (CBA)

status. Similarly, out of over million members only one third were enjoying CBA

status. This is perhaps because of pocket unions controlled by the management for

creating hurdles and obstacles in the way of genuine trade unions. The provision

allowing more than one union in the law is also responsible for this.

It may be noted that in Pakistan the work force opts mostly to work with the CBAs.

Once a trade union wins this status more than 90% of the union members join thewinning union. Anyhow, an important point is that even the average membership of

CBA remained low and this factor is mostly marked in textile, banking,

municipalities and food sectors.

THE INFORMAL ECONOMY AND WOMEN WORKERS SITUATION




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Informal sector work means the work that is done by people including men and women in

their home/ own place for earn remuneration. Home-based work is a form of informal

sector. ILO introduced the usage of informal sector word in 1970.

There is a convention called Home Work Convention C 177 which suggest to states to

recognize home based workers as labour and protect their legal and social rights. Afterindependence, Pakistan become the member of ILO and had signatory more then 30

conventions of ILOs but didnt implement fully on any of them. Pakistan signed the

homework convention C177 but did not ratify it.

Informal Sectors Workers Quantitative Information %

S. No Name of Union Overall % Male % Female %

1Legislators, Senior Officials

and Managers35 27.9 7.1

2 Professionals 3.3 1.8 1.53

Technicians and Associate

Professionals16.6 3.4 13.2

4 Clerks 13.6 10.4 3.2

5Service Workers and Shop and

Market Sales Workers0.4 0.3 0.1

6Skilled Agricultural and

Fishery Workers0.5 0.2 0.3

7Craft and Related Trade

Workers86.5 27.4 59.1

8Plant and Machine Operators

and Assemblers7.9 7.4 0.5

9Elementary Occupations

(Unskilled)36.2 21.2 15

Total % 200 100 100

FORMAL AND INFORMAL SECTOR WORKER

Formal work is rapidly converting in informal sector due to implementation of

different agreements and policies of IMF, WB and WTO by the states all over the

world. These policies immensely violate workers rights in general and womenworkers in particular in informal sector.

Millions of women workers are enormously engage in informal sector especially in

home based work in urban and rural areas. The market based neo-liberal economic

system regards women as a convenient source of cheap labour and part of the




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reserve army of labour to be drawn on when there is shortage of labour and then

discarded again when the need disappears.

Sector Total Men Women

Formal 27.1% 27.3 25.8Informal 72.9 72.7 74.2

Urban

Formal 29.0 28.8 30.9

Informal 71.0 71.2 69.1

Total 100.0 100.0 100.0

There are about 50 million home based workers in South Asia. In Pakistan 65% of all

women workers are home based which is growing day by day. In 2000, 35% of all

women workers were home based workers and it grows 51% in 2005. How ever

unofficial sources claim that in 2001-2002, 63% of women workers were engage in

informal sector which increase up to 65.7% in 2003-04 and majority of them work on

piece rates.

Pakistan's labor movement is showing its ability to continue the past trend of labor

absorption. Generation of additional work opportunities commensurate with labor

supplies, increasing by over 3 percent annually, has emerged as the most formidable

challenge of the century. The labor market is presently confronted with lack of

desired facilities and right protection, hence creating a huge potential for expansion

of labor movement.

The current successful examples of movements of KESC and PIAC labor unions can be

taken as case studies in other industrial and services sectors. Lesser productive and

low remunerative work opportunities are thus emerging as the major characteristic

of the labor movement in Pakistan.

As the economy of Pakistan will grow in the coming decades, so will be the number

and ratio of work force including the low paid and under paid employs and labors.

Since the labor laws and other rules have not fully protected the labor rights,

therefore the labor unions have taken a huge and important role. Therefore the size

of labor movement in the coming decades is expected to expand in all sectors andindustries.

MOST UNIONIZED INDUSTRIES AND SECTORS

POWER SECTOR

Power sector is the most unionized sector of Pakistan.




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It is having the largest and biggest trade union of Pakistan

i.e The Hydro union (CBA) of WAPDA (Water & Power

Development Authority), which has a track record of

vocal and strong protests for labour rights. Another

current example of power sector is the successful

protests of union of KESC, which after a successful

protest was able to reinstate 4000 fired employs.

The arrival of independent power producers (IPPs)

has further strengthened the unionization in the sector.

TRANSPORT SECTOR

The major representative unions of this sector include the railway unions and the

various labour unions of Pakistan International Airlines (PIA). Traditionally this

sector has been led by strong unions of Pakistan Railways but more recently the

Unions of PIAC have emerged the most effective voices in the transport sector. Thecurrent stand still in the PIA resulting into forced removal of the MD of PIAC is

considered as the most organized and successful labour movement in the industry of

transport sector

TEXTILE SECTOR

The Textile sector is one of the biggest labor consuming sectors in Pakistan but

somehow the trade unions have not been very effective in this sector. Lately the

crisis of energy and forced closure of industries has affected the daily waged labors

and they have started to resort to protests and display of aggression. Since the

energy crisis is not going to ease up in near future, therefore the unions in this

sector are going to have a strong and rapid expansion to protect the labor rights

FUTURE OF UNIONIZATION IN PAKISTAN

The trade union and civil society movements have an important part to play in

Pakistan's society. The major goal is to gain recognition for rights of workers and get

companies to implement labor laws. Without recognition, there is no

implementation.

Pakistan's minimum wage is 6,000 rupees a month (72 USD), but most workers get

paid 3,500-4000 rupees, which is barely enough to live on. LEF Estimates that a

family of 3-4 needs at least 12,000 rupees a month.




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No one will implement, including government bureaucracy, labor laws until people

everywhere recognize the validity of claims to worker rights. Business leaders and

bureaucracy still maintains a feudal mindset, that workers deserve charity but no

real power.

The political environment of corruption and nepotism in Pakistan makes it easy for

big business to influence new labor laws. In 2002, labor laws changed that allowed

companies to employ unlimited numbers of temporary contract workers.

Many factories today, like the Lipton Tea employ upto 90% temporary workers. These

workers aren't eligible for any sort of job benefits like health or education, and have

no job security. Most of them aren't registered workers either, which prevents their

access to social security. These are the causes which are going to expand and

strengthen the unions as labors would trust and rely on unions more than the official

bodied formed to protect their rights.




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Practical Study ofPetroleum Exploration (Pvt.) Ltd.

Company Portfolio

Incorporated in June 1994 under the Companies Act, Petroleum Exploration (Private)

Limited (PEL) is based at Islamabad, Pakistan. PEL charter fulfills Government of

Pakistan strategic policy objectives of creating indigenous corporate entities in the

private sector for exploration and production of hydrocarbon deposits.

Under the dynamic leadership of Mr. Zaheeruddin, Chairman and Chief Executive,

PEL has embarked upon a very aggressive exploration program to rapidly search new

deposits of hydrocarbons and undertake its development of new discoveries on fast

track basis.

PEL has a highly experienced team of petroleum professionals including geologists,

geophysicists, petroleum and process engineers, and financial experts. It is

adequately equipped with logistics and support services. PEL has recently engaged an

industry renowned Stanford alumnus Dr. Gulfaraz Ahmed as the Chief Operating

Officer. He is committed to developing PEL into a well resourced integrated team of

cutting-edge expertise. PEL believes in optimally exploiting knowledge/technology

by outsourcing to the leaders in service industry. PEL has concluded an agreement

with D&S International Consulting Limited, Calgary Alberta, Canada, for theprovision of technical services.

The company looks to the future and takes pride in being the pioneer local gas

producing company in the private sector. PEL has been established with the aim of

developing a strong indigenous base in exploration and production activities.

PEL has already fostered close working relationships with the Government of

Pakistan and major multinational oil and gas companies operating in Pakistan.

In Pakistan PEL have 10 onshore and 3 offshore exploration licenses, 6 developmentand production leases, and 2 non-operated joint-venture blocks. PEL has so far

drilled 12 wells in joint ventures involving an expenditure of US$33 Million. It is

presently producing 34 MMSCFD of natural gas from four gas fields. PEL is committed

to investing over US$300 Million on exploration and development in its concession

areas.




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PEL holds exploration and production rights

over 17,300 km2 area in some of the best

proven and potential areas for hydrocarbon

find in Pakistan.

Currently PEL acreage portfolio consists of 06

development and production leases and 10

exploration licenses, 03 offshore exploration

licenses and 02 non-operated licenses.

PEL Joint Venture Partners

The diversity of operating companies which are joint venture partners with PEL

clearly shows their confidence in PEL as a sound operating company. Below is the list

of our esteemed joint venture partners.

GHPL (Government Holdings Private Limited)

PPL (Pakistan Petroleum Limited)

PEII (Pyramid Energy International Incorporated)

OGDCL (Oil & Gas Development Company Limited)

BP (British Petroleum)

FHPL (Frontier Holdings Private Limited)

SHERRITT International Oil & Gas Limited

SPUD Energy Limited OGI (Oil & Gas Investments)

MGCL (Mari Gas Company

Limited)

OMV Pakistan




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Data Analysis:

In view of above, PEL is actually an organization with several ongoing projects so

keeping in view the topic I have selected only one its projects (Block-22) and

describing down under the Working channel from top to bottom management. Forthis sake the ORGANOGRAM of the project is attached asAnnexure-A.

This hierarchy shows the working relations amongst the professionals through whom

work is being carried out on fast track basis as the operations there in the field is

very sensitive.

On the basis of the provided data by the PELs management, the following points are

analyzed and reviewed and finally conversed with the management:

Chairman/Chief Executive has the responsibilities of reconciling the matterswith Govt. of Pakistan like on acreage allocation, Logistics and taxation etc.

COO, is coordinating with CE for the solution of the matters with Govt. and

his peers including SGM and the GMs.

SGM is being reported by GM (Production), GM (Process) and GM (Finance).

GM (Production) is supported by Manager Production

GM (Process) is supported by Manager Process

Manager Production has the responsibilities of dealing with official and field

matters for which he gains assistance from Operations Engineer for office and

Manager Production operations from field. Manager Process has the responsibilities of dealing with official and field

matters for which he gains assistance from Process Engineer for office and

Manager Plant operations from field.

Manager Field is directly reported by:

Sr. Process Engineer

Sr. Production Engineer

Maintenance Engineer

Instrumentation Engineer

Admin Officer

Medical Office

HSE Officer

Accounts Officer

Manager Land

Sr. Process Engineer handles all the plant related matters for gas processing

Sr. Production Engineer handles all the gas production matters from wells.




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Maintenance Engineer keeps a close eye on the over all field for any

mechanical failure.

Instrumentation Engineer is for rectification of digitally operated equipments.

Admin officer is responsible for managing administration.

Medical officer is very important for these field operations to handle any

emergency.

HSE officer is keeping safety on priority for the sake of life saving.

Accounts officer all the financial matters on the field.

Manager Land is responsible for handling the issues with land owners.

Most of the working from junior staff to seniors is carried out through immediate

actions on most of the sensitive operations happening in the field.

Medical Officer with an Ambulance and supported staff remain there for 24 hours

basis to handle any emergency which could have been caused by the negligence ofany of the staff during nonstop production and processing of the natural gas.

PEL Management System Operation:

PEL Management system generally operates between the Governmental Agencies; Like

Directorate General of Petroleum Concession (DGPC), Ministry of Petroleum, Sui

Northern Gas Pipelines (SNGPL), Governmental Holdings Pvt. Limited, Sind

Environmental Protection Agencies (SEPA) etc and the other contact is the labor Union

as mentioned in Annexure B.




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Field Labor Union - PEL:

On the basis of the provided data by the PELs management, the following points are

analyzed and reviewed regarding the Field Labor Union and Labor management

relations (Annexure C):

President Field Labor Union - PEL has the key responsibilities of reconciling

the matters with Higher Management like on Labor allocation, Funds

Availability for Labor, etc.

Vice President Field Labor Union - PEL has the key responsibilities of

communicator or we can call it as Bridge between the President Labor

Representatives.

Sectary Information always act as the Information Gathering Agent betweenthe Labor Representative via labor, generally holds the meeting with the

Labor Representatives on every two (02) weeks time span and discuss latest

and current issues from the Labor.

Labor Representative has been assigned to the different departments who are

responsible for the thorough interaction between each labor professional, in

actual they are the senior labor who always stay in between the labors and

collect the information on daily basis.

Labor Representatives from the three departments hold the general meeting

for data collection from other departments and share the problems of their

respective departments.

Field Labor Union PEL KEY RESPONSIBLITIES:

On the basis of the provided data by the PELs management, the following KEY

responsibilities are highlighted as:

Collective bargaining with management

Struggle for employees benefits

Fund raising

Resolve issues related to workers




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Transactional Model PEL Field Management:

On the basis of the provided data by the PELs Field Management, the management

contact relations flows were analyzed inAnnexure D.




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OFFICE MANEGEMENT

FIELD MANAGEMENT

Sr.

Maintenance

Engineer

Instrument

Engineer

Field

Manager/

Plant

manager

Sr.

Production

Engineers

Asst.

Maintenance

Engineer

Sr. Process

Engineer

Asst. Process

Engineers

Plant

Operators

Manager

ProcessGM

Finance

Manager

Finance

Manager

Producti

on

Chief Operating

Officer

SGM

(Tech. &

Coord.)

GM

Process

GM

Producti

on

Process

Engineer

Operation

s Engineer

AccountsOfficer

HSE

Officer

Medical

OfficerManager

Land

Admin

Officer

Field

Accountant

Shift

Helpers

Asst.

Production

Engineers

Well

Operators

Shift

Helpers

Liaison

Officer

Chairman/ChiefExecutiveORGANOGRAM

BLOCK-22

PETROLEUM

EXPLORATION (PVT.) LTD

Annex-A


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Annexure- B (How the PEL Management System Operate)

28By: M. Hammad Manzoor, MBA HRM-II, 508, 5th Floor, Continental Trade Centre (CTC), Clifton 08, Karachi. (Roll No. 508195394)


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Annexure- C (Organogram for Labor Union Field - PEL)


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Annexure- D (Transactional Model PEL Management)




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Merits, Demerits, Strengths and Deficiencies:

Merits & Strengths:

The company is wholly Pakistani owned and has the bright future in the energysector of Pakistan.

Senior and superior professionals have been engaged with for the exploration

and production of hidden energy natural assets of Oil and Gas.

The company has very aggressive future plans for drilling and production

of Oil and Gas.

The company is fully equipped with modern day equipment for the facilitation

of employees to enhance their performance effectively.

Organized communication channel, shown in the attached Organogram, been

used for spreading information from bottom to top management. Under the proctorship of Mr. Zaheeruddin the company is developing by leaps

and bounds and spreading its business throughout Pakistan and abroad.

Have Joint Venture with almost 70% E&P companies operating in Pakistan.

Mr. Zaheeruddin was awarded the best business man for the year 2007 by the

Prime Minister of Pakistan.

The departments like Exploration, Production and Process are working cordially

and proving to be the back bone of each other.

Mr. Zaheeruddin and Co. does have very good relations with Govt. which is very

important especially in the matter of acreage allocation.

The company is on the verge of developing several ongoing projects which

would prove a real epic in the disastrous power and energy shortage situation

of the country.

Equal opportunity Employer.




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Demerits and Deficiencies:

The Labor Union Hierarchy is too lengthy for the immediate decisions to be

taken.

The Labor Union does not hold good relations with the Field Management whichsome time causes less benefits to the labor.

The medical facility provided by Field Management to the labor is not of the

required standards.

HR department does not have enough resources to deal with day to day issues

of Labors.

Administrations department does not have enough strength to cop with day to

day affairs.

Field management do not respond to in appropriate time which sometimes

bothers out put of the gas production.

It does not have proper opportunities for management professionals.




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Conclusions and Recommendations:

Future entrepreneur of in Pakistan energy sector.

The Labor Union should have strong binding with the Field Manager to enhancethe labor facilities.

The Labor Union should have less hierarchy from Top to bottom to have better

and short time to review the labor issues.

The Labors should be entitled with the two annual bonuses.

The Labors should be entitled with the scholarships for the children.

The labor Union should hold the regular meetings with the Field Manager to

accommodate their request on short time basis.

The Labor Union should hold the general election on regular basis.

The Labor Union should work for Share of PEL to the labor as thecomplimentary gift to the Labor.

HR department can be strengthened by hiring management professionals who

can add the value to its business.

Administration department needs to address for of hiring experienced

professionals of the relevant trade.




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References:

A special tribute and thanks to the following professionals of Petroleum Exploration

(Pvt.) Ltd for cooperating in providing data and fruitful assistance.

Name Designation Contacts

Mozaffar Ali Khan Manager Field [email protected]

Muhammad Usman Javed Manager Process [email protected]

Muhammad Hasnain President Labor Union [email protected]


mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]


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M. Hammad Manzoor

508195394

# 508, 5th Floor,

Continental Trade Centre,

Clifton - 08, KARACHI. (0321-

Human Resource

52702

Mr. Sajid Saeed

H. No. 549/1, St No. 06,

Sector No. I, Airport Housing

Chakala , RAWALPINDI

(0300-550 O899)

Date post:	04-Apr-2018
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Assignment 2nd_527_Human Resource Management

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