edita graduation project

0

Edita Project Food Industries S.A.E.

Group 1

Preformed By : Abd El Rahman Ali Adham Ibrahim Aisha Gamal Mamdouh Fahmy Yasmine Sami

1 Graduation Project

Table of Content:

1- ……………………………………………….…………..Introduction.

……………………………………………………….Products.

…………………………………………….….Sub Companies.

……………………………………………………….Location.

.........................................................…...No. of employees.

……………………………………………………Stakeholders.

……………………………………………………Competitors.

………………………………………… ……….Market share .

2- …………………………………………….…..…Executive Summary.

………………………………….…………………..Mission.

………………………………….…………………....Vision.

………………….…………..………………….Core Values.

3- ………………………………………….……Environmental scanning.

………………………………………………..PEST Analysis.

………………………………………………SWOT Analysis.

4- ………………………………………………….Strategy formulation.

…………………………..……..Formulation of HR Strategy.

…………………………………Edita Organizational structure.

…………………………………..Edita Organizational culture.

5- ………………………………………..……Strategy Implementation.

……………………..…………… EDITA's HR Scope of work.

……………………………………….….Recruitment Strategy.

……………………………………...Training & Development.

…………………………...Compensation and Benefits strategy.

6- ……………………………….………….…….….Strategy Evaluation.

………Culture, organization, people, systems (COPS), checklist.

………………………………….HR strategy evaluation Metrics.

7- …………………………………………..………………….Conclusion.

8- …………………………………………...……………..…List of Forms.


1- Introduction:

About EDITA

EDITA Food Industries was established in 1996, and now is one of the leading

FMCG companies in Egypt and the Middle East.

Edita first entered the Egyptian market with its unique concept of packaged on-

the-go chocolate filled croissant under the brand Molto. Molto soon became

generic name for packed croissant in Egypt and by this product EDITA

became the market leader in the Croissant, Cakes & Bread snacks categories

in Egypt. EDITA brands are now part of every day's life to consumers in Egypt

and more than 15 other markets in Middle East & Africa. As reflected in our

vision, International markets support is of local importance in our strategy.

The company is well known for its consistently high quality products and strong

brands and not only producing these high quality products but also it acts as

the sole regional distributor of several brands of imported sweeteners, olive

oils, & pasta.

We have Over 5400 people work hard at Edita's four production facilities in

order to delight consumers with superior quality products. Two of our

production facilities are located in the 6th of October city, one in the 10th of

Ramadan city and a fourth in Beni suef industrial zone to the south of Cairo

EDITA S.A.E

EDITA S.A.E ACTIS CHIPITA

S.A.E DIGMA

Trading S.A.E


EDITA Confectionary

EDITA Confectionary was established in 2008 as a joint venture between

edita food industries and Confindel Limited (Cyprus).

The company offers a wide range of premium quality confectionaries

including hard candies, Toffees and jelly. edita confectionary is located at

the industrial zone, Beni Suif.

Chipita

EDITA's sister company, Chipita S.A. is a company of Greek origin and a

strong international footprint. Chipita S.A. produces and markets

flour based snacks & chocolate confectioneries. With an international

presence in more than 35 countries, Chipita has become a strong player

in the sweet & savory snacks market.

Digma

EDITA's sister company, Digma Trading S.A.E.’s was established in

1992. Digma’s, continual commitment to quality services and strong

brand portfolio, has made it one of the largest distribution companies in

Egypt and the company of choice for highly qualified sales personnel.

Currently the company has 8 branches located in Cairo, Alexandria,

Ismailia, Tanta, Mansoura, Zagazig,, Assuit and Luxor, and planned to

reach 21 branches by end of 2013. The company is deploying the most

up to date techniques and tools in order to increase efficiency and

ensure accuracy and timely information.

ACTIS

Actis, a global pan-emerging markets private equity firm, invested $102m

to acquire a 30% stake of Edita Food Industries, becoming the second

largest stakeholder in the country’s second largest snack food company.

http://www.chipita.com/

http://www.chipita.com/


Edita Have more than 8 products in the market :

1. Molto Family: The first and generic brand name of packed

croissant in Egypt and neighboring countries.

2. Todo Family: edita's newest and most premium range of cakes.

With its sweet taste, variety of

offering and sophisticated

packaged

3. Bake Family: Bake Rolz is BAKED

not fried salty snack, made of 100%

wheat. Crunchy in every bite with a

rich toasted taste

4. Mimix Family: Available in three families, Toffee, Candy, and

Jelly. With its wide variety of flavors, types, shapes, colors, and

unique ingredients

5. Hostess Family: The most widely spread and the most liked range

of cakes. Available in three brands

6. Freska Family: Prepare for the filling, most premium and most

indulging wafer product to ever hit the market;

7. BARILLA: Pasta is one of the key ancient pillars of Italian

gastronomy also one of the most popular in the world. Barilla’s goal

is to share what every Italian knows about eating for enjoyment,

health and good living.

8. Sparta : Extra virgin olive oil of supreme quality with a velvet

essence.


Competitors

1. AL Faysal Group ( Brunch) 2. Faragallah Group 3. Monginis Foods 4. Ocean Foods 5. el shamadan co. for food industries S.A.E. ( Al Kowery Group ) 6. Sima food industry 7. Cadbury / BimBim

8. Honeywell

9. Biscomisr

10. Family Foods (Kraft)

11. Auer-Portsaid

EDITA's Market Share in Egypt:

1- Egyptians throughout history have been fond of sweets and snacks.

Sweet and salty treats became a part of the Egyptian culture and the

tradition has launched an industry that continues to grow.

2- Snacks, as a sector, are the least affected by inflation due to high

demand and low price. Salty snacks are particularly popular and make

up 44 percent of the confectionary market Chocolates and biscuits are

the second biggest categories with 18 percent and 14 percent of the

market respectively. The cake and croissants category represents 13

percent of the confectionary market and is dominated by a large local

manufacturer who has almost LE 1 billion in annual sales.

3- Edita for Food Industries was the company with the largest market share

at 6%. This is due to the company’s wide portfolio of products such as

Molto, Hostess Cakes. The company has a strong distribution system

and very effective distribution channels.


2- Executive Summary

Mission :

We are a consumer centric Company with passion for quality committed to

making a available variety of unique, fresh and tasty products. We use the best

ingredients, modern technology and food safety practices. We invest in our

people and brands while our actions guided by a sincere concern for our social

responsibilities.

Vision :

To be the pioneering food conglomerate in the Middle East and Africa through

creating loved brands produced, distributed and supported by expert and

passionate people. This will be measured by market share, consumer loyalty

and maximizing returns on shareholder equity.

Core Values

1. Team work & communication.

2. Respect.

3. Integrity.

4. Commitment and passion.

5. Excellent.

Salty snacks 44%

Chocolate 18%

Biscuits 14%

Another Sugary Products

11%

Cakes & Corissants

13%

Snacking Market Share in Egypt


Competency Framework

Competency Based HR Management is adopted to provide a common

framework for all edita’s employees, through which they can achieve the

organization’s strategic objectives, they also provide common, organization-

wide standards for promotions, succession planning based on a “best fit”

between employee’s personal profile and required competency level for each

job. Competencies are integrated into various HR functions; including

Performance Management, Training & Development, Compensation &

Benefits, Recruitment, Succession Planning, Talent Management. These

competencies help edita achieve its strategic objectives through increasing the

value provided by their human capital.

Coaching

Ability to provide guidance and feedback to help an employee or group of

employees strengthen their knowledge, skills and attitudes to accomplish a

task or solve a problem, which in turn should improve job performance.


Teamwork

Works cooperatively with others, contributes to and accepts group opinion; and

understands that organizational and team goals take priority over individual

goals

Initiative

Taking prompt action to accomplish objectives; taking action to achieve goals

beyond what is required; regularly creating and taking advantage of learning

opportunities, being proactive

Flexibility

Adapts to change and different ways of doing things quickly and positively;

does not shy away from addressing setbacks or ambiguity; deals effectively

with a variety of people and situations; appropriately adapts one’s thinking or

approach as the situation changes.

Problem Solving & Decision Making

Identifying and understanding issues and problems; using effective

approaches for choosing and developing appropriate solutions; taking action

that is consistent with available facts, constraints, and probable consequences

Communication

Clearly expressing information and ideas through a variety of media to

individuals or groups in a manner that engages the audience and helps them

understand and retain the message

Customer Orientation

Identifying and responding to current and future customer needs; resolving

customer problems, providing service excellence to internal and external

customer through valuing customer satisfaction.


Accountability

Taking personal responsibility for all work activities and personal actions,

implementing decisions that have been agreed upon, and acknowledging

mistakes and failures without blaming others

3- Environmental scanning

External Environment Analysis PEST:

Political analysis:

Since the 2011 revolution the Egyptian Political and Economic

Situation have gone from bad to worse , This was due to the

Successive events that faced our Egypt starting from The rule of

the military council that lead to a lot of Bloody events and then the

rule of the Muslim brotherhood through the President Mohamed

Morsi .

On June 30th, 2013 another popular revolution happened against

the Muslim Brotherhood regime and carried the Egyptian army

chief General Abdul Fatah Al-Sisi to remove the country's then-

incumbent president Mohamed Morsi from power and suspended

the Egyptian constitution in a popularly supported people's

revolution. Al-Sisi declared Chief Justice of the Supreme

Constitutional Court of Egypt Adly Mansour as the interim

president of Egypt and accordingly a lot of changes happed in

Different Areas:

Internal Affairs :

Temporary president

We are working with a Caretaker government


The temporary president assigned the 50th committee to set

the new constitution within the next three months

Also presidential election will take place recently which lead

to a lot of fears and unclarity about the new president Trends.

Reduction of the old president supporters protesting and

lead to increasing the internal stability.

External affairs

Egypt gain the support of most of the Arab countries followed

by a lot of financial aids.

The deterioration of the political situation with some of the

European countries and USA and the threatened to cut off

aids also indicate a future risk we may face.

The travel warning to Egypt may pay some foreign tourism

companies to suspend all flights to Egypt and after 30th June

revolution Egypt witnessed a major boom in the tourism

sector.

Economical Sector

Egypt Stock Exchange witnessed during the last two weeks,

a significant increase in turnover with major support from the

central bank cut interest rates twice in a row, and Egypt's

central bank cut interest rates last Thursday on deposits to

8.75 percent and interest rates on lending to 9.75 percent.

No stability regarding the dollar price

New tax law introduced with allot of changes

Change the corporate tax from 20% to 25% with will lead to

the reduction in the profit

The governmental decisions toward the trade and Traffic.


The employment law in Egypt will help us in the recruitment

process and to hires the instraturs we want from Egypt and

outside Egypt

A lot of Arab countries provide the help to Egypt

Economic analysis

1- Economic growth:

- After unrest erupted in January 2011, the political uncertainty at

the same time caused economic growth to slow significantly,

reducing the government's revenues. Tourism, manufacturing,

and construction were among the hardest hit sectors of the

Egyptian economy, and economic growth is likely to remain

slow during the next several years. The government drew down

foreign exchange reserves by more than 50% in 2011 and 2012

to support the Egyptian pound and the dearth of foreign

financial assistance - as a result of unsuccessful negotiations

with the International Monetary Fund over a multi-billion dollar

loan agreement which have dragged on more than 20 months -

could precipitate fiscal and balance of payments crises in 2013.

2- Interest rates:

The Monetary Policy Committee (MPC) decided to keep the

benchmark interest rate in Egypt at 9.75 percent

The monthly developments in both headline and core

inflation since the beginning of the year were largely driven

by broad based increases in food and non-food prices on the

back of the recent movements in the exchange rate and

diesel distribution bottlenecks across the country. While the


probability of a rebound in international food prices is less

likely in light of recent global developments, the re-

emergence of local supply bottlenecks and distortions in the

distribution channels pose upside risks to the inflation

outlook.

3- Inflation rate:

The inflation rate in Egypt was recorded at 9.74 percent in

August of 2013.the headline Consumer Price Index (CPI)

measures the change in the cost of a fixed basket of goods

and services that are purchased by a representative sample

of households from urban areas, which include Cairo,

Alexandria, urban Lower Egypt, urban Upper Egypt, Canal

cities and Frontier governorates. The most important

categories in the headline CPI are Food and Beverages (40

percent of total weight).

Sociocultural Analysis

Cultural aspects

Parents are used to give their children’s needs more priority as a

part of Care and tenderness

Children in Egypt consider the candy Cause of happiness

Candy is considered as a kind of entertainment for youth

The most preferable products for Egyptians is the cheapest with

average level of quality

Recently, Egypt has seen an increase in health awareness so

customers became more selective in choosing their children food


Life Style

Egyptians’ life is very congested, dynamic, and full of noise

specially youth they are not committed to meals time so they used

to take some candies during the day

They are very sociable and used to exchange different kinds of

candies as a way of showing friendship

Candy is considered the breakfast meal for children during the

school day and the dessert after lunch

Age distribution

Age distribution in Egypt in 2008

0-14 years 15-64 years 65 years and over

31.8%

Males 13,292,961

Females 12,690,711

63.5%

Males 26,257,440

Females 25,627,390

4.7%

Males 1,636,560

Females 2,208,455

Age distribution in Egypt in 2010

0-14 years 15-64 years 65 years and over

33%

Males 13,308,407

Females 12,711,900

62.7%

Males 25,138,546

Females 24,342,230

4.3%

Males 1,546,774

Females 1,818,778


Technological Analysis:

Emerging information and communication technology is setting

the pace for a changing, competitive and dynamic global

marketplace and representing an enabling platform for business

and socioeconomic development in the 21st century

New technology helps in economizing the scale of production;

this means that new technology helps in increasing the level of

production, & reducing the costs of inputs, & maximizing the

level of profits

Also leads to discoveries & innovations & further improvements

in technology so as to improve perfections in the production

process

Egypt among other nations strived to develop its national

information and communication infrastructure (NICI) plans

strategies and policies that articulate long-term policy,

infrastructure, content and application as an integral part of

overall national development

A number of policies have been implemented to attract foreign

investment in IT outsourcing, including local employment

subsidies, lower corporate taxes and deductions for training

costs while the IT spending is expected to increase from

US$1.3bn in 2010 to US$2.1bn by 2014

Internal Environment Analysis SWOT:


Strengths:

1- Low operational costs

2- can control the production volume

3- having well-known brands in FMCG sector

4- large Market Share

5- Low prices that satisfy customer needs.

6- Long distribution coverage among Egypt and the middle east

7- Presence in more than 35 countries

8- launching new products adding to the company and increasing brand awarness.

9- Strong Marketing companies

10- the market leader in the Croissant, Cakes & Bread snacks in Egypt

Weaknesse

1- low exports levels due to the nature of product

2- Future debt rating ( due to the large number of shareholders )

3- Inability to invest in research and development ( Due to the

exist of large number of competitors )

4- Low salary for labors

5- Highly turnover rate

6- Lack of competitive salary structure

7- Working conditions

8- Technological problems due to old software & old servers

Opportunities:

1- High demand on our product in both urban and rural areas

2- large target segment in meadel east ( kids & youth )

3- high spending on consumer goods.

4- Lower price and smaller packs are also likely to drive

5- potential up trading for major FMCG products

6- Egyptisn current population growth combined with externsive distribution &

low unit prices will lead to remaining popular.

Threats:

1- Tax and regulatory structure

2- The emergence of competitors with the same quality and price

3-Competition from unbranded and local products

4-Removal of import restrictions resulting in replacing of domestic

brands .

5-Increase in labor costs

6- -Technological problems

7-Increasing rates of interest Cash flow

8- Economic Conditios post revolution & inflation.

Swot


Pro

spec

tor

Gro

wth

Str

ateg

y - Vertical (forward)

- Horizontal

- Related Diversification (Concentric) D

iffe

ran

tiat

ion

4- Strategic Formulation

Generic Strategy

Prospector: identification of new market opportunities through release new

products and design a strong Market campaigns for each product.

Corporate Strategy

Growth Strategy

Concentration:

Vertical integration:

Forward – Organization becomes its own distributor through establishing a

trade company to sell its product and distribute it into market where it opens

outlets in different areas in Egypt, Middle East and North Africa.

Horizontal integration:

- Growth achieved by expanding product lines into other geographic

location by opening outlets in different places to cover a wide areas in

Egypt like Cairo, Giza , Damiat .. etc and in Middle East like Palestine ,

Libya and in north Africa, and by building new factories in different areas


- Expanding product range into existing markets through releasing

different flavors from the same product or different products in the same

category like TODO, HOHOS , Freska etc.

- By buying the rights of the brands from the own company and selling it in

different places and that's what happened Edita owns the Hohos,

twinkies and tiger tail brands in Egypt , Libya , Jordan and Palestine after

buying the rights.

Related Diversification (Concentric):

Refers to diversification into a related industry to achieve strategic fit

through establishing a sister company with different products to gain a

market share.

Business Strategy:

Differentiation:

Differentiation strategy is a near-opposite approach to cost leadership. A

firm employing this strategy adds additional features to its products or

services to make them above average in the market. Key factors for

success with a differentiation strategy are that customers must desire the

extra features and be willing to pay a price premium for them. The cost of

providing the extras must be less than the price premium they are prepared

to pay.

Strategy Advantages Disadvantages

Differentiation

Premium pricing can mean

more money is available for

activities that maintain the

advantage, such as R&D

The source of differentiation

can become stale over time

and new “extras” need to

be developed

HR Strategy:

HR Strategy

Corporate Strategy Business Strategy

Growth

Vertical Integration Horizontal Integration Concentric Differentiation

Recruitment

1. Recruit and retain high quality people with innovative skills and a good track, record in

innovation with innovative skills and a good track 2. College Hiring Trend through "Talent Management Program" where the trainees have a

cross functional hands on experience in addition to wide exposure to top notch training programs.

3. Use sophisticated selection procedures to recruit people who are likely to deliver quality and high levels of customer service

4. Clear Job description for each employee through great supervision. 5. Putting a clear career path for the employee to provide the right employee in the right job

by managing horizontally and vertically. 6. Decrease the turnover by always is visible, transparent and to know everything is going

and to deal respectively with comments.

Training & Development

1. Develop strategic capability and provide encouragement and facilities for enhancing

innovative skills and enhancing the intellectual capital of the organization. 2. Encourage the development of a learning organization, develop and implement

knowledge management processes, support total quality and customer care initiatives with focused training.

3. Introducing training programs for people’s needs ( internal or external )


HR Strategy


Growth


4. Introducing the employee for training programs to improve their job skills and productivity through "Career Ladder Program ".

5. Well-communicated work environment. 6. Depending on team – work system. 7. Implement a strong performance management system and score card that measure:

a- The Scorecard is the key relation between the driver performance and the outcome such as revenue.

b- The performance of individual and departments are linked by the growth strategy.

Compensation & Benefits

1. Provide financial incentives and rewards and recognition for successful innovations 2. Link rewards to quality performance and the achievement of high standards of customer

service 3. Create a total package of the wages and benefits to hire the top talent. 4. Putting a clear work frame that matches the wages and benefits.

5. Putting assessment for the reward. 6. Combining the extrinsic and intrinsic factors to increase the employees motivation , 7. Change the company financial and non financial recognitions.


HR Strategy


Growth


Information Technology

1. Develop HRIS to fully use HRIS reporting & Tracking Capabilities. Integrated in this plan

will be the development of HR to establish HR metrics , benchmark will be identified baseline data will be established.

2. Enhance New HR web Page on website: purpose is providing information employees need on HR web page, where it's accessible and easy to navigate for example HR Forms.

3. Develop HR Technology Plan examples of technology need s include e-forms, new applicant tracking system.


Edita Structure

EDITA 's Culture:

After we made an analysis for EDITA's Culture through two steps:

1st step: we made a culture survey on Edita's communication issues

2nd step: Exit interviews we got some clues

From the following steps, we conclude the following:

EDITA History:

EDITA has been established in 1996, it has a wide history in which people have shared experiences for years does a culture stabilize. First it was a family business (Sole Proprietorship) then changed to shareholders but the big part owned by Berzi's family the owner.

EDITA Organizational Chart:

It’s a Matrix organization due to its project based. A matrix organization consists of a functional structure consisting of a number of different disciplines and a project structure consisting of project teams drawn from it. Thus an employee can be a member of a project team and so have two reporting relationships.


All the previous effects it's culture, The Culture is a pattern of shared values and beliefs giving members of an organization meaning and providing them with rules for behavior and it's also is what make the organization unique and holds the members of the organization together.

1- EDITA Norm's

Edita's norms reflects all the unwritten rules of behavior, the ‘rules of the game’ that provide informal guidelines on how to behave. Norms tell people what they are supposed to be doing, saying, believing and even wearing. They are never expressed in writing – if they were, they would be policies or procedures. They are passed on by word of mouth or behavior and can be enforced by the reactions of people if they are violated. They can exert very powerful pressure on behavior because of these reactions – we control others by the way we react to them.

Norms are appears in the different action taken by the management and the employees in managing the different situations,

Performance – exacting performance standards are general; the highest praise that can be given in the organization is to be referred to as ‘very professional’.

Power – recognized as a way of life; executed by political means, dependent on expertise and ability rather than position; concentrated at the top; shared at different levels in different parts of the organization.

Politics – rife throughout the organization and treated as normal behavior; not accepted as overt behavior.

Loyalty – expected a cradle to grave approach to careers; discounted, the emphasis is on results and contribution in the short term.

Anger – openly expressed; hidden, but expressed through other, possibly political, means.

Approachability – managers are expected to be approachable and visible; everything happens behind closed doors.

Formality – a cool, formal approach is the norm; forenames are/are not used at all levels; there are unwritten but clearly understood rules about dress.


Edita's main norm problems appear in the form of Ethnocentrism:

Ethnocentrism is characterized as judging other groups relative to their

own ethnic group or culture, especially with concern for language,

behavior, customs, and religion. These ethnic distinctions and

subdivisions serve to define each ethnicity's unique cultural identity.

Ethnocentrism may be overt or subtle, and while it is considered a

natural proclivity of human psychology, it has developed a generally

negative connotation. These ethnic has disadvantages and advantages.

Disadvantages:

1- Persecutions in different shapes like sexual persecution, promotions

go for the older not the qualified

2- Misjudge on people.

3- Some groups think that it's better than other groups.

Advantages:

1- Give the sense of self-worth knowing that they a part of the

organization and they believe it's good.

2- They have one culture and one language.

Edita Management Style:

Autocratic :

It means that the power and the loyalty to the boss and he is the only

one who have the managerial authority and the employees are oriented

towards obedience and dependence on the boss.


5- Strategy Implementation

All too often, 80 per cent of the time spent on strategic management is devoted

to designing strategies and only 20 per cent is spent on planning their

implementation. It should be the other way round. It is necessary to plan with

implementation in mind.

Because strategies tend to be expressed as abstractions, they must be

translated into programs with clearly stated objectives and deliverables. It is

necessary to avoid saying, in effect: ‘We need to get from here to there but we

don’t care how.

The problem with strategic HRM as noted by Gratton et al (1999)* is that too often there is a gap between what the strategy states will be achieved and

what actually happens to it. The factors they identified as contributing to creating this say/do gap between the strategy as designed and the strategy as implemented include:

The tendency of employees in diverse organizations only to accept initiatives they perceive to be relevant to their own areas;

The tendency of long-serving employees to cling to the status quo;

Complex or ambiguous initiatives may not be understood by employees or will be perceived differently by them, especially in large, diverse organizations;

It is more difficult to gain acceptance of non-routine initiatives;

Employees will be hostile to initiatives if they are believed to be in conflict with the organization’s identity, e.g. downsizing in a culture of ‘job-for-life’;

The initiative is seen as a threat;

Inconsistencies between corporate strategies and values;

The extent to which senior management is trusted;

The perceived fairness of the initiative;

The extent to which existing processes could help to embed the initiative;

A bureaucratic culture, which leads to inertia.

* Reference – Armstrong’s Handbook of Human Resources Management Practices “11th Edition”


Barriers to the implementation of Edita HR Strategy

Each of the factors listed above can create barriers to the successful

implementation of HR strategy. Other barriers may include the lack of proper

communication of the strategy which causes failure to understand the strategic

needs of the business and that reflects negative reactions towards the

idealistic statements and core values which leads to bad understanding of the

business strategy and disengagement of the big picture.

These problems are compounded when insufficient attention is paid to

practical implementation problems, the important role of line managers in

implementing strategies, and the need to have established supporting

processes for the initiative (e.g. performance management to support

performance pay)

Scope of work

Every strategy statement and strategy development process must have a

number of components. It needs a framework.

The organization must be clear about where it stands in the sector or industry

it is part of. This must always be set against the environment the organization

is operating in, or the one in which it wants to operate in the future.

A necessary first step in the process of making a strategic framework

intellectually understood is often to translate it into more tangible and concrete

actions.


Approaches to Implementation

An implementation program that overcomes these barriers needs to be based

on:

A rigorous preliminary analysis of the strategic needs of the business

and how the strategy will help to meet them;

A communication program that spells out what the strategy is, what it is

expected to achieve and how it is to be introduced;

The involvement of those who will be concerned with the strategy, e.g.

line managers, in identifying implementation problems and how they

should be dealt with;

The preparation of action plans that indicate who does what and when;

Project managing the implementation in a way that ensures that the

action plans are achieved.

Areas of Development to be covered by HR Implementation:

1. Highly Turn Over Rate,

2. Lack of competitive salary structure

3. Working conditions

4. No defined Job Description

5. No Employee Hand Book

6. No training plan and no budget for the training

7. Non-Qualified candidates

8. No Succession Plan

9. Promotion is based on seniority other than competency based

10. Test Cover Only limited positions

11. Performance appraisal is not reliable as it is not based on the define

KPI

12. Lack of Competitive reward system

13. Culture problem (Racism) – the need to maintain an equal employment

opportunity


1- Recruitment Strategy

Recruitment & Selection

Recruitment is best described as the way in which an organization tries to

source or attract people, includes efforts to reach better pools of candidates

and to sell the organization as an employer of choice.

Selection is about choosing between job candidates. It is about how to make a

fair and accurate assessment of the strengths and weaknesses of applicants

and how to identify the candidate who is most likely to perform well in the job.

Main gaps and problems of Recruitment & Selection

1. Job Description

2. Sourcing

3. Process

4. Selection Methods or tools

1- Job analysis

Step 1: Collecting Data on Job activities, required employee behavior, working conditions and human traits and abilities needed to perform jobs. Collecting information will be conducted through three methods

1- Interviews with employees 2- Job analysis questionnaire 3- Direct observation with employee performance

Step 2: Verify the job analysis information with the employees

Step 3: Develop the job description and specifications


2- Job Description

Considered as the backbone for all HR functions and an essential step in

aligning Edita HR strategy. So we need to initiate a job analysis and develop

clear and defined job description and job specification to end up with meeting

the organizational objectives through the required competencies.

And what we need to find and the reasons behind this analysis is to identify

a. The purpose of the role

b. The tasks and responsibilities that are required of the jobholder

c. The knowledge, skills and abilities required for effective performance

d. The targets that are used to measure performance

e. Clarifying the working conditions and operating environment for some

jobs as in production

Developing job description content

JOB DESCRIPTION

OBJECT TYPE: Position OBJECT ID: Edita E-06

GLOBAL FUNCTION: Human Resources SUB-FUNCTION

Manufacturing / Production

Operations

GENERIC JOB TITLE: Human Resources Manager

POSITION TITLE: Human Resources Manager

ORGANIZATION UNIT: E-06

Factory LOCATION: 6th October

POSITION HOLDER: xxxxxxxxx

xx

01-01-2014


REPORTS TO: Human Resources Operations Director

FALSE 01012014 ESTABLISHED BY: HR Dep. EFFECTIVE AS OF: 01-01-2014

APPROVAL POSITION HOLDER:

APPROVAL SUPERIOR / COMPANY REPRESENTATIVE:

(please sign) (please sign)

1.

PURPOSE OF THE JOB:

Briefly summarize the job's overall purpose or role. What is it expected to be achieved?

To develop and establish HRM strategies, policies, procedures and operational programs for Company, involving all aspects of human resource recruitment, career planning, training and development, grading, compensation, reward, and general HR support and advice to ensure that Company has the necessary manpower resources to achieve its business plans effectively and efficiently.

2.

DIMENSIONS / QUANTITATIVE DATA:

Indicate the significant numerical data (in USD), which are applicable to the job. Use current year's budget figures. Leave blank those that do not apply.

The primary role of the jobholder is to align HRM strategies to the corporate strategies and to support all company executive staff in the areas of employee relations, management and planning. The jobholder works within the boundaries of the employees regulations approved by the Board of Directors. The job holder is expected to exercise decision making and HRM systems design to reflect HRM practices enabling company and employees. (No. of employees: Direct: HR Department 18 to 40) (Budget: Indirect: Company Headcount 300 To 3000)

3. PRINCIPAL ACCOUNTABILITIES:

Please identify major end results or accountabilities for the position. These should reflect, when taken together, the main purpose of the position. Please list in order of importance, at least the top 4 or 5 most obvious ones. Try to formulate them using an action verb to describe the role/impact of the job, the output area, any territorial "limits" or constraints, if applicable along with the reason for the "output". Implicit in a well written accountability should be a certain number of measurement indicators. Indicate a maximum of 8 accountabilities. ( * Mandatory to specify at least 1st four)

ACCOUNTABILITY 1 *


1. Provide leadership, motivate and develop reporting staff to ensure that the function has the necessary skill base and that staff are optimally motivated and enabled to maximize their potential and contribution in providing services across the company.

ACCOUNTABILITY 2 * 2. Develop and implement HR policies and procedures in line with corporate HR strategy across the

business in order to maximize the potential of the company's human capital and ensure that all legislative requirements are met.

ACCOUNTABILITY 3 * 3. Develop, implement and maintain Compensation and Benefits policies and practices that ensure that

employees are fairly and competitively remunerated in line with their contribution and that Company is able to attract and retain high caliber employees.

ACCOUNTABILITY 4 * 4. Develop and implement recruitment policies and procedures that enable the recruitment of high caliber

employees into the business that will enable the Company to meet its objectives.

ACCOUNTABILITY 5 5. Develop and ensure the implementation of corporate training and development strategies and plans

that will ensure that employees across the business have the necessary technical and behavioral skills to perform to the required standards, both now and in the future.

ACCOUNTABILITY 6 6. Develop and gain agreement to strategies, plans and operating budgets for the Human Resources

Department, monitor performance against these and initiates corrective action to ensure targets are met.

ACCOUNTABILITY 7 7. Develop and ensure implementation of the performance management, training and career development

plans in line with the company's values and objectives to ensure all employees receive suitable training, regular feedback and coaching to enhance their performance.

ACCOUNTABILITY 8 8. Build and maintain professional working relationships with relevant Government representatives and

oversee subordinates dealings with Government bodies in order to ensure accurate and efficient processing of employment related formalities.

4.

MAJOR CHALLENGES:

Please describe the 3 or 4 major challenges, which are critical in terms of exposure and performance of the job.


1. Develop staff in line with Succession plans ensuring that future plans are met by highly qualified, committed and motivated staff. 2. As a member of the top team, helps develop the strategic program of Company and provides advice which ensures that business objectives are achieved.

5. SKILLS AND COMPETENCIES

Education: Jr.College/Prof.Sch. Business related discipline

Work experience: • 7 or more years’ operational experience

Skills (technical know-how, language, PC):

Skill Level You can use this field to describe any additional skills required

1 Change Management Skills

Change Leader

• Successful track record with reference to: 1. Strategic Human Resources Management 2. Building up HRM as a "Business Partner" 3. Developing and managing a HRM team 4. Achievement of objectives

2 Internal Consulting Skills

Accomplished

Language Level

1 Arabic

First Language

2 English

Proficient

PC Skills PC Skills

1 Excel 3 Word

2 Powerpoint

Competencies: • Succession planning • Staffing and recruiting • Rewards and recognition • Organization and position

design pay administration • Performance management Human Resource management fundamentals • Job analysis + Labor management relations

6.

INTERNAL AND EXTERNAL RELATIONSHIPS:

List which internal and external contacts are expected within this job


3- Sourcing

The problem with Edita sourcing strategy that it was relying narrow options

which are announcing jobs internally and using internet job boards like

(Linkedin)

Our strategy is attract qualified applicants from wide options on both internal

and external sources so we are going to follow the below steps

• Strategic Thinking • Leading & Managing People • Communication & Listening • Professional Behavior & Attitude • Interpersonal Skills & Teamwork • Analytical thinking & Decision making • Customer Orientation • Result Orientation • Business Sense • Quality Focus

7.

DESCRIPTION OF LEVELS

If applicable, as it is relevant for some jobs only, indicate the differentiating criteria related to accountability, experience, etc, which make a distinction between the levels of responsibility found in this job. If you specify levels, it will normally have an impact on the job evaluation resulting in two or three grades. Typically level 1 is an entry level or junior role, level 2 reflects this job description full accountability, and level 3 is a senior level.

8.

ORGANIZATION STRUCTURE

If the job described in this form is not displayed on the current organization charts, please provide the SSC Specialist Reward and Retain with the "to be" organization chart via email.


Internal Recruiting

Internal recruiting allows management to observe the candidate for promotion

(or transfer) over a period of time and to evaluate that person’s potential and

specific job performance. And this also motivates the employees to do the

best.

Succession planning steps

1. Identifying and analyzing key jobs based on the organization’ strategic

goals

2. Creating and assessing candidates by developing current employees’

skills and competencies to prepare a second line of future management

3. Selecting those who will fill what positions

Advantages of Internal Recruitment

1. Foreknowledge of candidates’ strengths & weaknesses

2. More accurate view of candidates’ skills

3. Candidates have a stronger commitment to the company

4. Increases employee morale

5. Less orientation required

External Recruiting:

External Recruiting provide new blood perspectives and may bring new

industry insights. It's also provides us easily with expertise and qualified

candidates.

Internal Candidates

Announce Jobs Rehire Formers Succession Planning


The ways of external recruiting is as the following:

A. Social Media: This through make advertisings on social websites like Facebook linkedin, free HR blogs. It has low cost and provides us with quick response.

B. Advertising: Media sources such as newspapers, magazines, television, radio, and billboards are widely used.

C. EDITA's website: Establish an online application so that directly the applicants who interested to seek employment in our organization.

D. Outsourcing Agencies: These agencies we used when we want to fill a particular opening quickly or we need a candidate with specific qualifications like consultants and expertise.

E. Employee referrals: Applicants who are referred to EDITA by current employees

.

4- Recruitment process :


5- Evaluation Tools:

Recent research shows that using short, web-based or paper and pencil tests

as the first screening step efficiently to provide extra information about

applicants that cannot be obtained from their application forms or interviews

.Tests can gather information on an individual's attainment, aptitude, interests,

learning styles and other relevant characteristics.

So the company had develop the following tests for the new candidates to be

able to identify the need capabilities and competencies for a each job level or

each group of job,

Level Name Position

Job Knowledge Tests

Aptitude tests

Assessment Centers

interview E

Test

Level 1 a

Labors B Production Technician

√ X √ √ X

Level 1 c

Labor A Supervisor √ √ √ √ √

Level 2

Juniors and assessed

junior engineer , accountant , HR Admin ,

√ √ √ √ √

Level 3

Experienced employees

He Specialist , section Head

√ √ √ √ √

Level 4

Managers Plant Manager , HR Manager , Finance Manager

√ √ √ √ X

Level 5

Managerial level

Directors √ √ √ √ X


Job Knowledge Tests: typically use multiple choice questions or essay

type items to evaluate technical or professional expertise and knowledge required for specific jobs or professions.

Aptitude tests: used to predict how well you can perform a particular job or task. It examines your potential by testing aptitudes that are relevant to the job or task in question. They are usually timed against the clock. They may test:

Spatial awareness (dealing with diagrams and three-dimensions

Verbal reasoning

Numeracy

Problem-solving

Manual dexterity or hand/eye co-ordination.

Assessment Centers: Designed to measure many different types of job related skills and abilities, but are often used to assess interpersonal skills, communication skills, planning and organizing, and analytical skills.

Interviews :Interviews vary greatly in their content, but are often used to

assess such things as interpersonal skills communication skills, and teamwork skills


2- Training & Development

As per the HR Scope analysis and the exit interview records made by the HR we found that we have some issues to be developed by the training function:

1. High Turn Over Rate.

2. Low training budget.

3. Lack of Health and Safety trainings.

4. Non-Qualified candidates.

5. No Orientation Procedure.

6. Lack of the employee career path.

7. Lack of succession plans and developing a second line of management.

8. Training & development are not integrated with the business needs or

strategic analysis.

So in order to build up our training implementation strategy we have to focus on all the training areas and t start with the easiest and the most important methods which is the orientation,

Orientation

Orientation help employees to work cooperatively and flexibly with other team members and help them understanding their Job role to avoid the below role problems:

Role ambiguity when individuals are unclear about what their role is, what is

expected of them, or how they are getting on, they may become insecure or

lose confidence in themselves.

Role incompatibility – stress and poor performance may be caused by roles

having incompatible elements, as when there is a clash between what other

people expect from the role and what individuals believe is expected of

them.

Role conflict – this happens when, even if roles are clearly defined and there

are no incompatible elements, individuals have to carry out two antagonistic

roles.


So HR management developed orientation form to cover all the types of Orientation and to avoid the un-clarity problem

1- Organization Orientation: Through describing Edita's traditions, rules, mission, vision, values.

2- Role Orientation to emphasize legality and responsibility.

3- Task Orientation to focuses on task accomplishment. Authority is based on appropriate knowledge and competence

4- Team Orientation: through influencing each other's & their relationships in work as one team.

So we developed a new Team members check list to cover all the Functions

inside the company and not only all the functions but also all the departments

and the jobs starting from the labors to the plant manager.

Edita not only focusing to prepare and develop the new hires but also

focusing on the existing employees and consider them as the most

important asset for the company

Learning and development philosophy

A learning and development philosophy expresses the beliefs of an organization on the role of

Learning and development, its importance and how it should take place. It can

be expressed in the following terms:

• Learning and development activities make a major contribution to the successful

Attainment of the organization’s objectives and investment in them

benefits all the stakeholders of the organization.


• Learning and development plans and programs should be integrated with and support the achievement of business and human resource strategies.

• Learning and development should be performance-related – designed to achieve specified improvements in corporate, functional, team and individual performance, and make a major contribution to bottom-line results.

• Everyone in the organization should be encouraged and given the opportunity to learn to develop their skills and knowledge to the maximum of their capacity.

• Personal development processes provide the framework for individual and self-directed learning.

• While the need to invest in learning and development is recognized, the prime responsibility for development rests with individual employees, who will be given the guidance and support of their manager and, as necessary, members of the HR department.

And In order to achieve all the benefits from our training program we found

that we have to follow certain steps to be able to conduct effective training

program :

a) Training Need Assessment Process.

b) Training Approaches and Designing Training Programs

c) Delivering

d) Evaluate Training Program

A. Training Need Assessment Process :


We determined the training needs through using the below sources:

- Self-Assessment : By checking the company appraisal and the surveys

developed by HR

- Customer complaints: Our company aims is to reduce employees

complains and increase customer satisfaction so we have to hear from

customers and to act accordingly.

- Interview with the managers: As the line manager are the best to

describe what we need to develop in employee performance to fit the

company requirements.

- Management by Objectives: Edita setting a certain standards - to fill

the gap in the performance by finding the gap percentage

Organization analysis: is the process for demining the business

appropriates for training.

- Support of managers and peers: Managers and peers are not

accepting the idea of the change and they don’t need to develop training as the don’t know what will be the impact on the employees performance.

- Company Strategy: We found that the company human resources

is supporting encouraging the training in the company and they agreed that it will help in achieving the company goals and objective.

Organization Analysis:

- Exit Interviews - Accident Records

- observations - Complaints

Task Analysis:

- Job Analysis

- Job description

Employees Analysis:

- Preformance Appraisals

-Records - Assessment Center

- Questionnaires


- Training Resources: The Company has insufficient budget for

the training and also we don’t have the experts trainers so we have to outsource the training function,

• Person Analysis : This process determine

(1) Whether employees need training to achieve organizational

objectives

(2) Who Need training

(3) Whether employees are ready for the training

Employees in some departments in the company need to develop their KSA to coup with the company strategy.

Input: the company lack of instruction to tell employees what, how and

when to perform also there isn‘t enough support to help them to perform.

Output: Lack of performance standards.

Consequences: There weren‘t any kind of incentives the employee

receive for performing well

Feedback: Those employees receive it while they are performing

concerning how well they are meeting their objectives.

Task analysis: A process identifying the tasks, knowledge, skills and behaviors that needs to be emphasized in training.

As per the result of the organizational analysis we found that the company strategy is supporting the training and believe that the training is one of major factor that will help the organization to achieve the goals and objective but in the reality we found that the management is not focusing on the strategy so we found that we need to start our training plans by the managers to make them feel the importance of the training by seeing the results reflected on their own performance and to believe that the training is not money waste without benefits but the training is reflected on the employees satisfaction by having the feeling that company is investing on them also training will improve the individual performance which will be reflected on the overall all company performance, So we started by making task analysis questionnaire for a job from the level on the Manager and peers which is HR manager


Training Approaches and Designing Training Program:

Designing training program:

Once training needs have been identified using the various analysis, and then training objectives and priorities must be established. We will start working on the following steps:

1- The Readiness of the Employees and this through: - Making orientation session about the objective of the training and

its impact on the organization and the employee. - Motivate employees to have self-efficiency that they can succeed

in learning and applying it on job.

2- Fill Employee Training Program because it help us to set an action plan for each employee to set out the points of improvement of each employee and the expected outcomes ( Training Objectives )and what is the expected activities or how it will be delivered ( Training Methods)

3- Create Learning Environment by motivate employees through - Arrange and coordinate the training activities before and after

training. - Provide the employees to practice what they have learned by

interacting with others, observing and experimenting. - Support of supervisors and managers through feedback about how

well they perform to meet the training objectives. - Provide Employees with continuous learning through transferring

what have they learned and their experiment to other colleagues.


4- Implement Training : - HR select the most suitable solution for the training (in-house or

outsourcing) that according to expertise available and budget.

Training Evaluation

Evaluation of training compares the post-training results to the objectives

expected by managers, trainers, and trainees.

EDITA evaluate the reaction level of trainees by:

1- Evaluate the training program or event through Evaluation Form (f – 1).

2- Test results are used to determine how well the courses have provided employees with the desired content.

3- Conduct an interview of trainees and their coworkers and observing job performance and fill in an Employee Performance Review form ( F – 2)

4- Measure the effect of training on the achievement of organizational objectives. By comparing results records such as productivity, turnover, quality, time, sales, and costs before and after training.

5- Measure the return on investment through ROI form ( F – 3)

In – House Training Steps Outsourcing Steps

Develop training Materials Send a request for the required training to the provider

Choose an expertise trainer Receive Different offers from providers

Choose the location Choose the Suitable offer

Send an email to inform the employees with the training Schedule

Send an email to inform the employees with the training Schedule

Send an email to the finance


Development Plan:

EDITA's Strategy is supporting the high performance & high involvement and

this is through continuous development to increase the importance and to

ensure the effectiveness of training .

Succession Planning:

It's an important part of development to make a large increase capacity

through developing the existing talent. There are three approaches for

development the organization used:

1- Coaching ( Job site Method ) :

It's the daily training and feedback given to employees by immediate

supervisors. Coaching involves a continual process of learning by doing. For

effective coaching, a healthy and open relationship must exist between

employees and their supervisors or managers. And we also provided it formal

through Appraisal Coaching work sheet ( F- 4 ).

2- COMMITTEE ASSIGNMENTS

Assigning promising employees to important committees can give these

employees a broadening experience and can help them to understand the

personalities, issues, and processes governing the organization.

3- JOB ROTATION

It's the process of shifting an employee from job to job. Job rotation through

lateral transfers may be beneficial in rekindling enthusiasm and developing

new talents.


Performance Management System:

EDITA's have Performance & promotion system based on seniority and this

cause diversity in culture and inequity so EDITA assess development needs of

its employees & it's objectives through different methods include assessment

center and performance appraisals.

Assessment Center :

It used for developing and for selecting managers. The trainees go for a

mission away from job to practice some activities that include role playing,

pencil-and-paper tests, cases, leaderless group discussions, management

games, peer evaluations, and in-basket exercises, in which the trainee handles

typical problems coming across a manager’s desk.

Performance appraisal:

Its source of performance data on productivity, employee relations, job

knowledge, and other relevant dimensions can be measured this way. ( F – 0)

In EDITA we use management by objectives appraisal because it increase

productivity and support performance based on performance not on seniority.

3- Compensation and benefits Strategy

As per our HR scope of work and the exit interview records made by the HR,

we found that we have some issues to be developed by the Compensation &

Benefits function:

1. Highly Turn Over Rate.

2. Lack of competitive salary structure.

3. Non-Qualified candidates.

4. Promotion is based on seniority other than competency based.

5. Lack of Competitive reward system.

6. Inequity in the company benefit system.


EDITA developed Compensation & Benefits Management Philosophy

Compensation & benefits management philosophy include beliefs in the need to achieve fairness, equity, consistency and transparency in operating the reward system. The philosophy recognizes that if HRM is about investing in human capital from which a reasonable return is required, then it is proper to reward people differentially according to their contribution.

The philosophy of reward management recognizes that it must be strategic in the sense that it addresses longer-term issues relating to how people should be valued for what they do and what they achieve. Reward strategies and the processes that are required to implement them have to flow from the business strategy.

Reward management adopts a ‘total reward’ approach which emphasizes the importance of considering all aspects of reward as a coherent whole which is integrated with other HR initiatives designed to achieve the motivation, commitment, engagement and development of employees.

This requires the integration of reward strategies with other human resource management (HRM) strategies, especially those concerning human resource development. Reward management is an integral part of an HRM approach to managing people.

The philosophy will be affected by the business and HR strategies of the organization, the significance attached to reward matters by top management and the internal and external environment of the organization. The external environment includes the levels of pay in the labor market (market rates) and it is helpful to be aware of the economic theories that explain how these levels are determined


While designing EDITA’s compensation & benefits system we focused on developing ARM model to construct Equal Effective Compensation & Benefits System and build up system that can attract qualified candidates , motivate and retain the existing professional employees.

,

1- Attraction: establishing Competitive pay structure to attract

2 - Retention: Benefits & services

3 - Motivation: Establishing pay for performance plan

So we found that in order to maintain effective system we have to focus on all

the compensation and benefits parts (Financial, non-financial, direct and

indirect).as shown in the below figure

Attraction

Retention

Motivation


Firstly: EDITA’s Pay Structure:

Step 1: Salary survey:

We will conduct salary survey for five benchmark jobs through counseling

company (hey survey) and this to:

1- Make it more efficient to obtain the Salaries and accurate.

2- To provide us with around 15% to 20% of the price of the company

positions directly in the market.

3- Collect data on benefits like insurance , Pension and other personal

benefits to provide a base for decisions regarding employee benefit.

Step 2: Job evaluation Using point method

Job evaluation is a formal and systematic comparison done in order to determine the worth of one job relative to another and to ensure internal equity.

Step.2.A:

Identifying our compensable factors that we will evaluate the company different jobs based on it (skills, responsibilities, effort, working conditions).


Step.2.B:

Adding the degree of importance for each compensable factor separately.

Step.2.C:

Take one major factor from each compensable factors (Experience, Safety of others , Mental, Working conditions).

Step.2.D:

Add the Evaluating Levels

Compensable factor

Wait of each Factor Major Factor No Of Levels

Skills 30% Experience 5

Responsibilities 20% Financial 5

Effort 40% Mental 5

Working conditions 10% Hazards 5

Step Three:

Define a description for each level.

Levels/ Description

Experience

Points

Financial Points

Mental Points

Hazards Points

1 0-3 years 30 up to 5000 LE

20 Follow Standards

40 Office Hazards

10

2 3-5 years 60 up to 100,000 LE

40 Minor Decisions

80 Noise and Dust

20


3 5-7 years 90 up to 500,000 LE

60 Moderate Decisions

120 Road accident

30

4 7-10 years 120 up to

1,000,000 LE

80 Major Decisions

160 Physical Injuries

40

5 10 plus 150 1,000,000 Plus

100 Final Decision

200 Death / Disability

50

Step Six:

Select the Benchmark Jobs for evaluation.

Jobs Level /Points

Experience Financial Mental Hazards Total Point

Grade

CEO Level 5 5 5 1 460 10

Points 150 100 200 10

HR Generalist

Level 3 0 3 1 220 5

Points 90 0 120 10

Financial controller

Level 4 4 4 1 370 8

Points 120 80 160 10

HR Admin Level 1 1 1 1 100 2

Points 30 20 40 10

Site Engineer

Level 2 1 2 4 200 4

Points 60 20 80 40

Sales Person

Level 1 0 2 3 140 3

Points 30 0 80 30

Levels/ Description

Experience

Points

Financial Points

Mental Points

Hazards Points


Wage Curve

Grouping, Pricing and Fine Tune our Pay Rates.

Step Four : Job Evaluation Points

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

10000

G 1 G 2 G 3 G 4 G 5 G 6 G 7 G 8 G 9 G 10

Grades Below Points Mid Points High Points Point Range Range

Spread

G 1 833.3 1000 1166.6 < 50 40%

G 2 1083.3 1300 1516 50-100

G 3 1416.6 1700 1983.4 101-150

G 4 1760 2200 2640 151-200 50%

G 5 2240 2800 3360 201-250

G 6 2800 3500 4200 251-300

G 7 3760 4700 5640 301-350

G 8 4769.2 6200 7630.7 351-400 60%

G 9 6000 7800 9600 401-450

G 10 7307.7 9500 11692.3 451-500

A

v

e

r

a

g

e

P

a

y

R

a

t

e

s


Wage Structure

Maximum Rate

Wage Curve

Minimum Rate

After finishing the wage curve there were no either red or green circles to

freeze or raise

Secondly: Identifying our employee’s Needs.

Edita Compensation & benefit system adopts Psychological needs and

motivation theories in its structure to know how to effectively distribute its

benefits among employees according to their needs.

0

2000

4000

6000

8000

10000

12000

14000

G 1 G 2 G 3 G 4 G 5 G 6 G 7 G 8 G 9 G 10

Grades/Points

A

v

e

r

a

g

e

P

a

y

R

a

t

e

s


Abraham Maslow’s Hierarchy of Needs

– Five increasingly higher-level needs:

Physiological (food, water, sex)

Security (a safe environment)

Social (relationships with others)

Self-esteem (a sense of personal worth)

Self-actualization (becoming the desired self)

Lower level needs must be satisfied before higher level needs can be

addressed or become of interest to the individual.


Herzberg’s Hygiene–Motivator theory

Hygiene (extrinsic job factors)

Inadequate working conditions, salary, and incentive pay can

cause dissatisfaction and prevent satisfaction.

Motivators (intrinsic job factors)

Job enrichment (challenging job, feedback and recognition)

addresses higher-level (achievement, self-actualization) needs.

The best way to motivate someone is to organize the job so that doing

it helps satisfy the person’s higher-level needs.

A result of the lake of competitive reward system and salary structure, the HR analysis showed that our employees were suffering of low salaries and weak benefits programs which affect the sense of being an important part of the whole organization. And that led to lose the loyalty to their workplace and became disengaged from the company strategy which finally became a major reason of the high turnover rate the company experiencing especially on labors and technicians levels.

The aim from our scope is to maintain the lower levels of needs according to Maslow’ Hierarchy of needs in order to stabilize the work life balance for our employees and encourage the sense of creativity to reach the self-esteem level


Thirdly: Employees Benefits and Services.

Benefits is Indirect financial and nonfinancial payments employees receive for

continuing their employment with the company.

The major Objectives of Benefits Programs

Improve employee work satisfaction

Meet employee health and security requirements

Attract and motivate employees

Reduce turnover

Maintain a favorable competitive position

Position

Pay for

performance

(supplemental

pay)

Insurance

benefits

Retirement

benefits

Employee service and family

friendly benefits

Personal

services

Family

friendly

benefits

Flexible

benefits

program

HR Gen

Supplemental

unemployment

benefits.

Hospitalization,

health and

disability

insurance.

Social

security.

Credit

unions.

Subsidized

child care

Cafeteria

approach

Financial

Controller Sick leave.

Life

insurance.

Pension

plan. EAP.

Fitness

facilities.

Telecom-

muting

Admin Maternity

leave.

(Contributory

plan).

Food

services.

Flex

time

Site

Engineer

Severance

pay.

Executive

perquisites:

Salesperson - Loans.

- Cars

Labors

- Air

tickets.


Fourthly: Company Pay for performance Plan.

Company’s incentive plan

Position Incentives

Individual incentives Team incentives Company incentives

CEO Short term incentives (Fund Size Bases)- long term incentives (stock option)

Merit raise-Golden parachute

HR Gen Merit Raise Recognition Awards

Online Award Program

Employee stock ownership plan (ESOP) Profit sharing 15%

Financial Controller

Admin

Site Engineer

Salesperson Salary and commission (Combination) Merit raise Recognition awards

Online Award Program


6- Evaluation Strategy

HRM systems diagnostic checklists

The following check-lists present some questions which may prove helpful to think about when planning development programs for human resources in the organization.

The aim is to begin to explore how a considered and planned approach to people management can improve business performance, to the benefit of all.

Warning Indicators

The organization is more than likely in trouble if any of the following holds true:

- Chronic industrial relations problems.

- No means of resolving employee grievances.

- Increasing / erratic employee turnover.

- Increasing number of customer complaints.

- No pride in the organization.

- Inter-group conflicts.

- No career paths for ambitious talented employees.

- Dissatisfaction with pay and conditions.

- Unclear job roles.

- No clear performance measures.

- Quality is unimportant.

- Bad product service / delivery records.

- Poor recruitment standards / practices.

- No management development programs.

- No induction training for new employees.


- Critical skill shortages.

- Inter-departmental conflict.

Culture, organization, people, systems (COPS), checklist

Culture

- Do the staff identify with the organization and 'the success of the organization' as being of direct benefit to themselves?

- Does the staff see themselves as having common interests with their work colleagues and group? Is there a strong team spirit?

- Is work allocated on the basis of individual expertise rather than position in the organization?

- Are there sufficient skills / power bases in the organization?

- Are there appropriate leadership skills within the organization?

- Is the staff encouraged to say what they think about the organization?

- Does your organization encourage innovation and creativity amongst staff?

- Does the staff feel a sense of personal responsibility for their work?

- Is quality emphasized in all aspects of the organization?

Organization

- Does the structure of the organization encourage effective performance?

- Is the organization structure flexible in the face of changing demands?

- Is the structure too complex? If so in what areas?

- Does the staff have clear roles and responsibilities?

- Does the organization structure tend to push problems up rather than resolve them at the point where they occur?


- Do the procedures and management practices facilitate the accomplishment of tasks?

- Does the constantly seek to challenge the organization structure?

People

- Does the staff have the necessary skills and knowledge to perform their jobs in the most effective manner?

- Does the staff understand their jobs and how they contribute to overall business performance i.e. have clear goals and objectives?

- Does the staff have a customer service orientation?

- Are people with potential spotted and developed for the future?

- Is the staff encouraged to perform well through the giving of recognition, feedback, etc.?

- Do your people know what their expected performance standards are?

Systems

- Do the organization‘s systems (e.g. employee selection and recruitment, promotion, planning, management, information and control) encourage effective performance among your staff?

- Are these systems consistent across the organization?

- Are there clear rewards for effective performance within your work group?

- Does the organization review its systems frequently and ensure they mutually support each other? .


HR strategy evaluation Metrics

Metric KPI Weight

Compensation & Benefit System

Cost Rate of benefits 4%

cost rate of medical insurance 2%

cost rate of social insurance 2%

cost rate of worker compensation 2%

average income per employee by position 2%

Average income per employee by month 2%

Training and Development

On Job Learning effectiveness 4%

Growth Opportunities 3%

Average time to competence 2%

no. of employees reach the competency 3%

Time of training period 2%

no. of employees completing their program successfully 3%

no. of offered courses 2%

cost of training programs 2%

average training costs per employee 2%

Employees Satisfaction on the training 3%

Recruiting Vacant Period 3%

Turnover Rate of New Hires 3%

Financial Impact on Bad Hires 4%

Cost per internal Recruitment process 2%


Cost per out sourcing recruitment process 2%

Cost per recruitment position 3%

Average no. of Qualified CVs 3%

Average no. of interviews 3%

New hires achievement in the probation period 4%

satisfactory of the new hiring first appraisal 4%

cost per external recruitment 2%

Performance System adequate time to perform 2%

adequate time to conduct performance counseling 4%

rewards to distribute according to performance 4%

low performance employees 2%

high performance employees 2%

effectiveness of performance compared to the last month

3%

Employee Relations Degree of cooperation between the employees and management

2%

flexibility in working process 2%

ability of creativity in work 2%

aligning to culture and values and mission 2%

Team work 2%

Total 100%


7- Conclusion:

By measuring the key HR contributors to strategy execution the HR function is

transformed into a source of value creation for the organization. Measuring the

key HR issues in strategy provide the alignment between HR and business

process and ultimately what can be used to link to financial business

outcomes.

The HR system needs to be created in alignment with the organization's

strategy. HR needs to ensure that employees are strategically focused. Every

element of the HR functions from hiring, compensation, reviews, training... etc.,

needs to be developed in order to enlarge the human capital in the

organization.

HR Management is the design and the implementation set of internally

consistent practices that ensure an organization's human capital contributes to

the achievement of its business objectives.

The essence of HR is strategic, so it needs to:

1- To be a part of strategic team to gain access to full involvement with

strategy development.

2- HR needs to acknowledge all what it does to provide value organization

bottom line.

3- HR needs to measure itself to guide itself through monitoring and

evaluating of strategic role.

A strategic approach that is aligned with HR ensures that an organization's

employees, skills, and abilities contribute to achievement of its business goals.

Through our project we clarified that the kind of problems EDITA's

Organization face which affect its performance are:

Lack of Implementation of HR strategies.

Lack in aligning Edita's values and strategic objectives with

performance.


We demonstrated through the project a lot of HR strategies & HR best

practices in each of the HRM Functions (Recruitment, Training, Compensation

and Benefits) to maintain Edita Business strategy also to promote The Human

Resources Department of the company to recruit top talent and keeps current

employees satisfied through benefit plans, training and the creation of a

pleasant work environment. To achieve this, the company needs to attract the

appropriate type of employees and develop programs to train their current

staff. Although HR strategies may be as unique as a fingerprint, they all require

executive and managerial support in order to thrive.

So we developed a strategic aligning model to adhere edita'

strategic business objectives through solid HR practices and competitive

people competencies

The ultimate strategic HR goal is to have a set of HR practices that acquire, develop and motivate necessary performance competencies in a consistent and supportive manner. It is generally agreed that achievement of this goal requires an aligned set of HR practices, ones that exhibit both vertical and horizontal alignment. To create such alignment, the organization must ensure that the performance competencies are embedded in the HR practices

themselves, so that the practices reflect and communicate the competencies.

HR practices in the area of:

Selection

Development

Performance Appraisal

Compensation

Emphasize on:

Job

People

Organization

Provide the foundation for organizational competencies:

Function

Innovation

Culture


Finally, many organizations are struggling with the implementation of their new strategy. Much time is spent on the formulation of a new strategy, and even though this was done thoroughly, many organizations still fail to successfully implement the strategy. As stated by Hambrick et al. (1989) “without successful implementation, a strategy is but a fantasy”. In addition to spending time on the formulation of a strategy, organizations should spend enough time on the implementation.


List of Forms

1- ………………………………..…………………………..Recruitment.

……………………………………….Interview Assessment Form.

2- ……………………………….……………..Training & Development.

……………………………………..New Team Member Checklist.

……………………………… Employee Training Programs Form.

…………………………...….Employee Training Evaluation Form.

…………………………….Employee Performance Review Form.

…………………………….Employee Return on investment Form.

……………………………………….Performance Appraisal Form.

…………………………………….…..Appraisal – Coaching Form.


EDITA

Interview Assessment Form

Candidate Name: ……………………………………………………………………….

Position Applied For: ………………………………………………………………….

Interviewer Name: ……………………………………………………………………..

Date: …………………………………………………………………………………………..

Acquiring professional knowledge (Continuous Learning) Identifying and addressing individual strengths and weaknesses, developmental needs and changing circumstances to enhance personal and organizational performance Poor Fair Average Good Outstanding

Comment:

Ambition Desire of Personal Achievement Poor Fair Average Good Outstanding

Comment:

Focusing on the Future and on Targets Developing long term plans, exploring alternatives and responding to challenges with innovative solutions or services Poor Fair Average Good Outstanding

Comment:

Analytical Thinking Interpreting, linking and analyzing information in order to understand issues Poor Fair Average Good Outstanding

Comment:


Decision Making Making decisions and solving problems involving varied levels of complexity and risk Poor Fair Average Good Outstanding

Comment:

Handling Conflicts Preventing, managing and/or resolving conflicts Poor Fair Average Good Outstanding

Comment:

Planning and Organizing (Setting Priorities) Defining tasks and milestones to achieve objectives, while ensuring the optimal use of resources to meet those objectives Poor Fair Average Good Outstanding

Comment:

Reacting to changes (Adaptability) Adjusting own behaviors to work efficiently in light of new information, changing situations and/or different environments Poor Fair Average Good Outstanding

Comment:

Trying to improve (Initiative) Identifying and dealing with issues proactively and persistently Poor Fair Average Good Outstanding

Comment:


Ability to communicate Listening to others and communicating in an effective manner that fosters open communication Poor Fair Average Good Outstanding

Comment:

Team Orientation Working collaboratively with others to achieve common goals and positive results Poor Fair Average Good Outstanding

Comment:

English Language: Poor Fair Average Good Outstanding

Computer Skills: Poor Fair Average Good Outstanding

Applicant Salary: ……………………………………………………………………….

Expected Salary: ……………………………………………………………………….

Pre Notice Period: ……………………………………………………………………..

Reason of leaving: ……………………………………………………………………..


HR Section Applicant Assessment Applicant Strength Points Applicant Weakness Points

Decision: Unsatisfactory

Below Standard

Medium Level

Above Average but Acceptable

Over Qualified

Manager Section Applicant Assessment Applicant Strength Points Applicant Weakness Points

Decision: Unsatisfactory

Below Standard

Medium Level

Above Average but Acceptable

Over Qualified

HR / Recruitment Signature: ……………………………………………………. Date: ………………………….

Direct Manager Signature: …………………………………………………... Date: …………………………


EDITA

New Team Member Checklist

EMPLOYEE INFORMATION

Name:

Start

date:

Position: Manager:

Induction Plan For The First Week

Provide employee with New Employee Workbook.

Assign "buddy" employee(s) to answer general questions.

Company Over View ( HR Presentation)

Explain EDITA's History and Traditions through Orientation Video

Explain EDITA’s vision and mission and values statements and how these apply in your role

Explain business plan, show copy, explain /check understanding.

Explain background and structure of the organization/team. Explain how things are done, i.e.

customer care ethos, quality systems and team working ethics,.

Introduce to CEO, MD, directors, department heads, managers as appropriate.

POLICIES

Review key policies. Contract Conditions

Anti-harassment

Vacation and sick leave

leaves of absence

Holidays

Time and leave reporting

Overtime

Performance reviews

Dress code

Personal conduct standards

Progressive disciplinary

actions

Security

Confidentiality

Safety

Emergency procedures

Visitors

E-mail and Internet use


POSITION INFORMATION

Introductions to team.

Review initial job assignments and training plans.

Review job description and performance expectations and standards.

Review job schedule and hours.

Review payroll timing and policies and procedures.

ADMINISTRATIVE PROCEDURES

Review general

administrative procedures.

Office/desk/work station

Keys

Mail (incoming and

outgoing)

Shipping (FedEx, DHL, and

UPS)

Business cards

Purchase requests

Telephones

Building access cards

Conference rooms

Picture ID badges

Expense reports

Office supplies

COMPUTERS

Hardware and software

reviews, including:

Email

Intranet

Microsoft

Office

Data on

shared drives

Databases

Internet

INTRODUCTIONS AND TOURS

Give introductions to department staff and key personnel during tour.

Tour of facility,

including:

Restrooms

Mail rooms

Copy centers

Fax machines

Bulletin board

Parking

Printers

Office

supplies

Kitchen

Coffee/vending

machines

Cafeteria

Emergency exits and

supplies


I …………………………………. declare and agree that I have read and understand all the above

statements, and agree in all the terms and conditions been provided by EDITA, and committed to

adhere in all the above rules.

Name: _______________________________

Signature: ____________________________

Date: _________________________


EDITA

Employee Training Programs Form

Employee Information

Employee Name:

Employee ID:

Job Title:

Department

Responsible :

Date: Year :

points of improvement

1.

2.

3.

4.

1st Training Program Objective

Description:

Methods of training

Presentation Methods : Class Room Instructions Distance Learning Audiovisual

Hands on Methods : On Job Training Business Games Simulations

Behavior Modeling Interactive Video

Case studies

Self-Directed Learning

Group based Methods : Adventure Learning Action Learning Team Learning


2nd Training program Objective

Description:

Methods of Training:

Presentation Methods : Class Room Instructions Distance Learning

Audiovisual

Hands on Methods : On Job Training Business Games

Simulations


Case studies


Group based Methods : Adventure Learning Action Learning

Team Learning

3rd Training Program Objective

Description:

Measurement:

Presentation Methods : Class Room Instructions Distance Learning

Audiovisual

Hands on Methods : On Job Training Business Games

Simulations


Case studies


Group based Methods : Adventure Learning Action Learning

Team Learning

4th Training Program Objective


Description:

Measurement:

Presentation Methods : Class Room Instructions Distance Learning Audiovisual

Hands on Methods : On Job Training Business Games Simulations

Behavior Modeling Interactive Video Case studies


Group based Methods : Adventure Learning Action Learning Team Learning


EDITA

Employee Training Evaluation Form

Starting Date Ending Date

Instructor

Topic

Ratings

1 = Poor 2 = Fair 3 =

Satisfacto

ry

4 = Good 5 =

Excelle

nt Instructor Evaluation

fluency and presentation

knowledgeable about the topic

Used an appropriate method of training

Class Participation & Interaction

Eager to answer all the questions

Friendly with the participants

Spent a discussions irrelevant to the course

Regarded all educational rules and

regulations

The training met the expectations

The training objectives for each topic were

identified and followed

Content Delivery

Well organized and easy to follow

The materials distributed were pertinent and

useful

The training met my professional

requirements

The resources were adequate

Coordinator Evaluation

The coordinator's behavior was delicate and

respectful

The Coordinator tried to organize all the

things well


Starting Date Ending Date

Instructor

Topic

Good training aids ( chairs, air conditioner

and so on)

The schedule for the training provided

sufficient time to cover all of the proposed

activities

Additional Comments


EDITA

Employee Performance Review Form

Employee Information

Name Employee ID

Job Title Date

Department Manager

Review Period to

Ratings

1 =

Poor

2 =

Fair

3 =

Satisfactory

4 =

Good

5 =

Excellent

Job Knowledge

Comments

Cooperative

Comments

Attendance/Punctuality

Comments

Initiative

Comments

Communication/Listening Skills

Comments

Dependability

Comments

Overall Rating (average the rating numbers

above)

Evaluation

ADDITIONAL COMMENTS

GOALS

(as agreed upon by employee

and manager)

Verification of Review

By signing this form, you confirm that you have discussed this review in detail with your supervisor.

Signing this form does not necessarily indicate that you agree with this evaluation.

Employee Signature Date

Manager Signature Date


EDITA

Employee Return on investment Form

Year Costs Cumulative

Benefits Cumulative

Costs Benefits

0

1

2

3

4

5

Total 0 0

ROI ( The sum of cost - The sum of Benefits ) / The sum of Benefits


EDITA

Performance Appraisal Form

HR Manager objectives Appraisal form

Employee

Name : Date :

Manager :

Date Performance objective Priority Feed Back Frequency Self Rating

Supervi

sor

Rating

Final

Rating

/ / Increase employees

performance to 30% 15%

/ /

Increase Employees

Satisfactory and

engagements to 15%

20%

/ / Decrease turnover up

to10% 10%

/ /

Improving business

through cooperation

and creativity

15%

/ /

Increase the Return on

investment up to 10% 10%

/ / Coaching and

developing his team 10 %

/ /

Integrity , maintaining

respect, confidence 10%

/ /

Aligned with the

culture, mission and

values Encourage others

to act in a manner

aligned with culture and

values.

10%

Total Result 100%

Conclusion


Over all rating :

Development Goals

Development Goals Priority Target Dates

HR Comments

Sign Off And Review

HR Director :

Date :

Employee Signature: Date :

Date :

Recommendations

Sign Off And Review

HR Director:

Date :

CEO :

Date :


EDITA

Appraisal – Coaching Form

Instruction : this form is be filled out by supervisor and employee prior to each

performance review period.

Employee: Position :

Supervisor : Department:

Date : Period of work under consideration : from to

1- What areas of the employee's work performance are meeting job

performance standards ?

2- In what areas is improvement during the next six to twelve months?

3- What factors or events that are beyond the employee's control may

affect ( positively or negatively ) His \ her ability to accomplish planned

results during the next six to twelve months ?


4- What specific strengths has the employee

demonstrated on this job that should be more fully used during the next

six to twelve months ?

5- List two or three areas if applicable )in which the employee needs to

improve during the next six to twelve months ( gaps in knowledge or

experience, skill development needs, behavior modifications that affect

job performance ,etc )

6- Based on your consideration of items 1- 5 above , summarize your

mutual objectives:

A- What supervisor will do

B- What employee will do

C- Date for next progress check or to reevaluate objectives

D- Date evidence that will be used to observe and /or measure progress

Employee Signature :………………………………..

Supervisor signature :………………………………..

Date :…………………………………………

edita graduation project

Documents