final report avanza

7/28/2019 Final Report Avanza

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2013HR Policies Analysis


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Submitted To:

Mr. Abdul Hameed Khan

Submitted By:

Shazia Tabassum (ID#11616)

Saba Salahuddin (ID#13153)

Abdullah Chaudhry (ID#10244)

Submitted On:

20 th April, 2013


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Table of Contents PAKISTANS SOFTWAREINDUSTRY .................................................................................................... 1

Statistics of the Pakistani IT Industry .............................................................................................. 2

Pakistani IT Export ......................................................................................................................... 3HR CHALLENGES IN THE SOFTWARE INDUSTRY .................................................................................. 4

Workforce Retention and Motivation ............................................................................................ 4

Attracting the Best Talent .............................................................................................................. 4

Compensation and Reward ............................................................................................................ 5

Being the best place to work with .................................................................................................. 5

Coping with the Demand-Supply Gap............................................................................................. 5

Integrating HR strategy with Business Strategy .............................................................................. 6

Encouraging Quality and Customer focus ....................................................................................... 6

Up-gradation of Skills through Re-training ..................................................................................... 7

In a nutshell ................................................................................................................................... 7

COMPANY INTRODUCTION ................................................................................................................ 8

Company ....................................................................................................................................... 8

Vision Statement ........................................................................................................................... 8

Mission Statement......................................................................................................................... 8

Corporate Values ........................................................................................................................... 8

Business Philosophy....................................................................................................................... 8

History ........................................................................................................................................... 9

Global Operations.......................................................................................................................... 9

Human Resource ........................................................................................................................... 9

i) HR Vision ............................................................................................................................... 9

ii) HR Mission ............................................................................................................................ 9

iii) HR Values ........................................................................................................................... 10iv) HR Performance Areas ....................................................................................................... 10

Career Management .................................................................................................................... 11

HR Tools for Career Management ................................................................................................ 11

HR Area of Practice ...................................................................................................................... 12

Staffing/Recruiting ................................................................................................................... 12

Succession planning ................................................................................................................. 12

Staff turnover .......................................................................................................................... 12

Staff motivation ....................................................................................................................... 12


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Employment equity ................................................................................................................. 12

Performance Management ...................................................................................................... 12

RECRUITMENT ................................................................................................................................. 13

Equal Opportunity Employment................................................................................................... 13

New Employee Orientation .......................................................................................................... 13

New Employee Documentation ................................................................................................... 13

Identification ............................................................................................................................... 14

Job Announcements .................................................................................................................... 14

Probation .................................................................................................................................... 14

CAREER PATH IN AVANZA SOLUTIONS ............................................................................................. 15

Performance Areas: ..................................................................................................................... 15

Career Path ................................................................................................................................. 16

Performance Management .......................................................................................................... 17

COMPENSATION & EMPLOYEE BENEFITS ......................................................................................... 18

Salary .......................................................................................................................................... 18

Payouts ....................................................................................................................................... 18

Increments .................................................................................................................................. 18

Reward & Recognition ................................................................................................................. 18

Provident Fund ............................................................................................................................ 19

Employee Old Age Benefit ........................................................................................................... 19

Car Entitlement ........................................................................................................................... 19

Car Maintenance ......................................................................................................................... 19

Fuel Entitlement .......................................................................................................................... 20

Group Life Coverage .................................................................................................................... 20

Cell Phone ................................................................................................................................... 20

Laptop ......................................................................................................................................... 20Blackberry ................................................................................................................................... 20

Travel & Daily Allowance (TADA) ................................................................................................. 20

Office Meals ................................................................................................................................ 21

Travel Allowance ......................................................................................................................... 21

Health Care ................................................................................................................................. 21

i) Family Outpatient ................................................................................................................. 21

ii) Group Health Coverage ........................................................................................................ 21


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HEALTH & SAFETY ............................................................................................................................ 22

a) Management Responsibilities ................................................................................................ 22

b) Team Lead Responsibilities .................................................................................................... 22

c) Staff Member Responsibilities .................................................................................................. 23

HEALTH COVERAGE POLICY ............................................................................................................. 24


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LETTER OF AUTHORIZATION

20 th- April, 2013

Dear Reader

As a student of IoBM, I have been authorized by our Human Resource Management

course teacher Mr. Abdul Hameed Khan to submit a term assignment on the HR Policies

Analysis of any reputed organization. I have chosen to write a report on Avanza

Solutions.

The efforts put in to collecting and analyzing the data will polish my analytical skills and

also furnish my report writing ability which is an essential component of the corporate

world.

Sincerely,

Shazia Tabassum (2010-1-46- 11616)

Saba Salahuddin (2011-1-07- 13153)

Abdullah Choudary (2009-1-44- 10244)


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LETTER OF TRANSMITTAL

April20, 2013

Abdul Hameed Khan

Course Instructor

Human Resource Management

Institute of Business Management

Here is my term report of Human Resource Management course on Avanza Solutions. I have chosen

the organization Avanza Solutions.

I greatly benefited from this report as it helped widening my vision, improving my quality of work,

building self-reliance and gave a vital experience in order to improve my research and analysis skills.

I hope it is up to your expectations and fulfills all the requirements given by you.

Yours sincerely,

Shazia Tabassum (2010-1-46- 11616)

Saba Salahuddin (2011-1-07- 13153)

Abdullah Choudary (2009-1-44- 10244)


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PAKISTANS SOFTWARE INDUSTRY

In a short period of three decades, computer science has transformed from a branch of electronics

to one of the largest engineering disciplines. It now consists of many branches and SoftwareEngineering is considered to be the largest. The reason for the rapid growth in the demand forsoftware development is lead by the widespread use of computers in everyday life, evolution of high-powered general purpose computers and low cost of maintenance and duplication of softwareproducts.

The potential in the field of software development is still growing worldwide and is expected tocontinue for the years to come. The field is at its infancy and evolutions will continue to occurtechnically and directionally. Even now the key players in this industry are changing the way we thinkabout organizing our lives with the help of computers.

To provide services like networking, internet connectivity, system support at the international levelrequires huge investment in setup and research, as compared to setting up a software house, whichrequires little investment and mostly little or no research. Providing services in fields of computerscience other than software engineering generally means providing services to the local customersonly. This reduces the amount of profit that can be earned through these services. The majoradvantage the software development industry offers to a developing state like Pakistan is that mostof the software development projects are from international market, while all the expenses andsalaries are paid at local rates, which are considerably lower as compare to other countries.Therefore in Pakistan, doubtlessly, software development industry has currently the highest profitmaking potential.

Currently a very small amount of this potential is being utilized. Government is trying to improve thestatus, by providing many incentives to software development organizations, but still a lot has to bedone if the opportunity is to be properly availed. The lack of availability of quality software engineersand project managers is the huge problem which is being faced by the software industry in Pakistan.Software projects are easy to obtain, but much harder to deliver. A good project manager, in-depthproject analysis and a proper team of software engineers are required to make a large projectsuccessful.

The root of the problem lies in the fact that qualified computer professionals easily get much higherpaying jobs abroad than locally. The difference in the pay scale is so much that a qualifiedprofessional can earn more in a month in US/Canada than in a year in our country. Until thisdifference is minimized, this problem will remain persistent and will continue to be a major obstaclein the development of software industry in Pakistan.

The IT and IT-enabled Services (ITeS) marketplace offers lucrative opportunities for developingcountries to join the ranks of the developed world. The scale and pace of growth in this sector isfaster than in any other industry, and a number of developing countries are attempting to emulatethe success enjoyed by countries such as China, Thailand and India.


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The Government of Pakistan has been proactively developing the IT sector in Pakistan since the lastfew years. A few of the incentives offered include tax exemption till 2016, establishment of IT Parkswith low rent, foreign ownership of equity invested in IT and 100% repatriation of profit allowed toIT companies.

State Bank Reporting

Earnings

Estimated Total IT Industry Export

Revenue

Estimated Total IT Industry

Size

US$ 116m US$ 1.4b US$ 2.8b

Pakistans IT industry has been rising steadily since the last three years. A marked increase insoftware export figures are an indication of this booming industrys potential.

Statistics of the Pakistani IT IndustryTotal number of IT companies registered withPSEB

1306

Number of substantial IT companies region-wise breakup

445 Karachi351 Islamabad/Rawalpindi426 Lahore84 Others

Total number of foreign IT and

telecommunication companies working inPakistan

60

Number of CMMI-assessed companiesOne CMM Level 5 company, one CMMI Level 5company, three CMMI Level 3 companies and sixteenCMMI Level 2 companies

Total industry size US$ 2.8 billion (WTO-prescribed formula)

IT and IT-enabled services exports US$ 1.4 billion (WTO-prescribed formula)

Percent growth in exports over the last oneyear

61%

Number of IT graduates produced per year Approximately 20,000

Export targets for the current fiscal year2007-2008

US$ 162 million

Number of universities offering IT/CSprograms

110

Number of IT professionals engaged inexport-oriented activities (softwaredevelopment/call centers etc.)

More than 15,000

Total number of IT professionals employed in 110,000


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Pakistan

Total IT spending in the fiscal year 2005-2006 US$ 1.4 billion

Total space utilized in IT & SoftwareTechnology Parks

Eleven IT Parks covering an area of 750,000 sq ft

Pakistani IT Export The State Bank of Pakistan in its statement for the year 2006-07 reports the export figures of software and IT-enabled services to be US$116 million which shows a consistent annual growth.State Bank of Pakistan adopted BPM 5 Reporting system to report the IT exports revenue, whichrestricted the export figures to US$116 million only in 2006-07. In India, the Reserve Bank of Indiafollows the BPM 6 (also called MSITS) Reporting System, which raises its exports to billions of USdollars. BPM 6 includes sales to multinationals, earning of overseas offices & salaries of non-immigrant overseas workers to export revenue. Using the MSITS Reporting System, Pakistan ITIndustry exports are estimated at US$ 1.4billion while the industry size is estimated at US$ 2.8billion. It is significant to note that Pakistan IT exports growth in each of the last few years has beenmore than 50%.

State Bank Reporting

Earnings

Estimated Total IT Industry Export

Revenue

Estimated Total IT Industry

Size

US$ 116m US$ 1.4b US$ 2.8b

The World Trade Organization (WTO) lists Mode 3, revenue generated by commercial officesoverseas, and Mode 4, compensation received by temporary workers who have travelled abroad, asexport revenue streams which must be included in trade revenue calculation. There is also strongevidence to suggest that other countries, such as India, in fact employ global services export figureswhen reporting or estimating revenue.

The following table describes the four WTO modes for export-in-services recognition. The need forthe four-mode model arises because trade in services is much harder to monitor than trade inphysical goods. Physical goods pass through air, sea or land ports, and are accompanied by detailedfinancial and other documentation. Services trade, on the other hand, can be transacted over the

Internet, through post, or through travel of personnel, with revenue flowing into company orpersonal accounts, which can exist anywhere in the world.


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HR CHALLENGES IN THE SOFTWARE INDUSTRY Pakistans IT industry has been rising and a marked increase in software export figures are anindication of this booming industrys potential. The industry as a whole is doing over 2 billion dollars

a year in revenue. The largest members are grossing 15-25 million dollars in revenues, and receiving100 million dollar valuations. Most tech companies are growing in excess of 30% a year annually.Pakistans low er cost of labor, land and tariff exemption on IT exports gives the sector an advantageover other competitors and also has a major contribution in job creation.Export figures for the software and IT-enabled services were US$ 204 million till the year 2009-10however the software developers say that the actual export earnings are upto US $ 1billion. Thetotal number of IT companies registered with PSEB is 1141 out of which 393 are located in Karachiand 337 in Lahore. Total number of foreign IT and telecommunication companies working inPakistan are 60.

The annual growth rate of the IT Sector is approximately 33% with 41% growth in employment of professionals.

Software is a wealth and job creating industry, which has in just a few years, grown to US $ 1 trillion,employing millions of professionals worldwide. Being a knowledge-based industry, a high intellectualcapital lends competitive advantage to a firm. Intellectual capital comprises human capital andintellectual assets the latter being any created bit of knowledge or expertise. With a global explosionin market-opportunities in the IT sector, the shortage of manpower both in numbers and skills is aprime challenge for HR professionals. The related issues are varied indeed: recruitment of world-

class workforce and their retention, compensation and career planning, technological obsolescenceand employee turnover.

Workforce Retention and MotivationRetention and motivation of personnel are major HR concerns today. People at Gartner group, acompany specializing in management of human capital in IT organization has observed that theaverage tenure for an IT professional is less than three years. Further, the use of new technologies,the support of learning and training, and a challenging environment ranked higher than competitivepay structures as effective retention practices.

Attracting the Best Talent In a tight job market, many organizations often experience precipitous and simultaneous demandsfor the same kinds of professionals. In their quest for manpower, they are persuading talent aroundthe world. In such a seller's market, software companies are striving to understand whichorganizational, job, and reward factors contribute to attracting the best talent, one having the rightblend of technical and person-bound skills. This would mean a knowledge of 'the tools of the trade'combined with conceptualization and communication skills, capacity for analytical and logicalthinking, leadership and team building, creativity and innovation. The Indian software industry


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He said that local universities are producing merely 50 percent workforce of the what marketrequires. Not only this, very few of these fresh graduates come with exceptional professional skills.P@SHA chief mentioned that top-notch universities including FAST, NUST, GIK and few othersinstitutes produce excellent graduates but their share is very limited, just around 1,000 graduates anyear or so.

He urged that Pakistani IT universities should enhance their standards of the education as well asnumber of students to meet the growing demand of local and international market.

The local software houses are once again making high success to obtain handsome businesses indeveloped countries, particularly in US and EU markets, nonetheless they keep their firm focus onlocal market, which is also witnessing significant expansion thanks to multinational and privatesector entities of the country, he added.

I hire 40 to 50 fresh IT graduates every year for different positions but this figure will increase innext couple of years, Kapadia said, who is also Managing Director of System Limited. i

Integrating HR strategy with Business Strategy

The strategic HR role focuses on aligning HR practices with business strategy. The HR professional isexpected to be a strategic partner contributing to the success of business plans, which to a greatextent depend on HR policies pertaining to recruitment, retention, motivation, and reward. The

other major areas of concern for HR personnel in this context are, management of change, matchingresources to future business requirements, organizational effectiveness, and employeedevelopment.

Encouraging Quality and Customer focus

Todays corporate culture needs to actively support quality and customer orientation. Withglobalization and rapid technological change, quality is of utmost importance for the Pakistanicompanies, which earn most of their revenues through exports. Hence, the HR professional as a

strategic partner needs to encourage a culture of superior quality to ensure customer satisfaction tobe the only real measure of quality of a product or service.To be competitive today, an organization needs to be customer responsive. Responsiveness includesinnovation, quick decision-making, leading an industry in price or value, and effectively linking withsuppliers and vendors to build a value chain for customers. Employee attitudes correlate highly withcustomer attitude. The shift to a customer focus redirects attention from the firm to the value chainin which it is embedded. HR practices within a firm should consequently be extended to suppliersand customers outside the firm.


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Up-gradation of Skills through Re-trainingRapid and unpredictable technological changes, and the increased emphasis on quality of servicesare compelling software businesses to recruit adaptable and competent employees. Software

professionals themselves expect their employers provide them with all the training they may need inorder to perform not only in their current projects, but also in related ones that they maysubsequently hold within the organization. As observed by Watts Humphrey, Fellow of the CarnegieMellon University, "as software professionals gain competence, they do not necessarily gainmotivation. This is because a creative engineer or scientist who has learned how to accomplishsomething has little interest in doing it again. Once they have satisfied their curiosity, they mayabruptly lose interest and seek an immediate change". And when the rate of technological change ishigh may b e higher than the time required to acquire competence in one areas professionals couldundergo psychological turbulence owing to the need to work in a new technology throughout theircareer. They want to gain new knowledge, which will be utilized by their organization. On the basis

of the new learning they want to work in higher segments of software value chain. Therefore,constant up-gradation of employee skills poses yet another challenge for HR personnel.

In a nutshellWith the advent of a work situation where more and more companies are having to concede thattheir valued employees are leaving them, a new concept of career and human resourcemanagement is bound to emerge. The focus of this new paradigm should not only be to attract,motivate and retain key 'knowledge workers', but also on how to reinvent careers when the loyaltyof the employees is to their 'brain ware' rather than to the organization.

With lifetime employment in one company not on the agenda of most employees, jobs will becomeshort term. Today's high-tech employees desire a continuous up-gradation of skills, and want workto be exciting and entertaining, a trend that requires designing work systems that fulfil suchexpectations. As employees gain greater expertise and control over their careers, they wouldreinvest their gain back into their work.

HR practitioners must also play a proactive role in software industry. As business partners, they needto be aware of business strategies, and the opportunities and threats facing the organization. As

strategists, HR professionals require to achieve integration and fit to an organization's businessstrategy. As interventionists, they need to adopt an all-embracing approach to understandingorganizational issues, and their effect on people. Finally, as innovators, they should introduce newprocesses and procedures, which they believe will increase organizational effectiveness.


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COMPANY INTRODUCTION

Company

We are a software solutions and service provider company with an employee base of around250 and a clientele of 150 plus spread across four continents. We provide specialized IT products,solutions and services to financial institutions, mid-large corporations and governmentorganizations.

Vision Statement To be recognized and respected as the best in class Software and Services Corporation anorganization built on core values of integrity, professionalism and excellence.

Mission Statement To be the premier provider of technology based business solutions in our key focus areas of

ebanking, ebusiness and professional enterprise services To continuously innovate solutions, processes and strategy to keep pace with changing

marketplace dynamics To create powerful partnerships and alliances to deliver best of breed solutions to customers

Corporate Values

Business PhilosophyOur business philosophy is based on the importance of relationships and a relentless search forgreater accomplishments. At Avanza, we never lose sight of our commitment to fulfilling the needsof each client, building a long-term, mutually beneficial relationship on that foundation. We have

adopted state-of-the-art tools, technologies and methodologies to provide hi-tech and high quality


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solutions for our clients. We can advise and explore new and exciting possibilities for our customersthat can help them in optimize their investments and achieve the bottom line: RESULTS!

HistoryAvanza Solutions foundation in 2000 provides an answer to the aim of building a net of bothbusiness development and software production multi centers. "Onsite- offshore model enablesthe presence of a consultancy team at the client's house, as well as production from remotecenters. Business development centers are inaugurated in New York, New Jersey and Madrid, and afirst production center was launched in Karachi. In 2003 Avanza has started its operation in MiddleEast. In this short span Avanza Solutions was able to cater its valued customer in 4 continents i.e.Asia, Europe, North America and Africa.

Global Operations

Human ResourceThe Human Resource department at Avanza Solutions is focused towards becoming a strategicpartner in attaining organizational objectives by providing value added services to its staff membersand developing them to meet future operational challenges.

i) HR VisionTo attain Employer of Choice by developing true human capital and providing opportunities forgrowth, well being and enrichment

ii) HR MissionTo establish the organizational climate in which people have the competency and commitmentto serve the internal and external customers with complete satisfaction, thus leading to anempowered, responsive and competent organization.


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iii) HR Values Reliability Respect Meritocracy

iv) HR Performance Areas


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Career Management

HR Tools for Career Management

People

Profit

Providing Employee Assessment and Career Planning Workshops

Conducting Career Coaching Workshops for Managers

Employee Career Centre

Open Business Briefing

Starting a mentoring program

Establishing Individual Learning Accounts

Maintain internal jobs and talent banks

Internal NW of information Providers


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HR Area of Practice

Staffing/Recruiting

Effective career management helps ensuring the continuous provision of different levels of staff required by the organization in order for the organization to achieve its goals.

Recruiting of new employees may be easier if prospective employees are made aware of the factthat the organization has an effective career management system whereby employees aredeveloped and provides career opportunities.

Succession planningEffective career management will ensure that employees can perform effectively in the positionswhich they have been promoted to.

Staff turnoverAn effective career management system will contribute to the lowering of staff turnover by ensuringthat employees are made aware of career opportunities within the organization.

Staff motivationBecause progression along the career path is directly related to job performance, an employee islikely to be motiva ted to perform at peak levels so that career goals may be accomplished. (Grobler,P. Et all. 2006)

Employment equity

An effective career management system will have to be in line with the Employment Equity Act andalso with the organizations BBBEE strategy. This would result in enhancing the career mobility of thehistorical disadvantaged.

Performance Management An effective career management system will work in tandem with a well -developed performancemanagement system whereby gaps in employee performance can be identified by the manager and/ or supervisor. These can then be addressed by specific T&D activities which will positively affectthe employees career development.


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RECRUITMENT

Equal Opportunity Employment It is the policy of Avanza Solutions that employee recruitment, appointment, assignment,training, compensation and promotion shall occur on the basis of merit and without regard to race,gender, religion, color, ethnicity, origin, age, political affiliation, or disability. Ensuring equalemployment opportunity is the responsibility of all managers, supervisors and employees. Equalemployment opportunity means providing a workplace where decisions are made solely onindividual performance and ability. It is our policy to select the best-qualified person for eachposition in the organization. This policy applies for all positions including permanent, contract ortemporary staff.

New Employee OrientationUpon joining you will be handed over a Welcome Pack that will include some informationaldocuments and forms to be completed and submitted by you. During the first few days of youremployment, you will participate in an orientation program conducted by members of theHuman Resource and/or other relevant functional departments including yours. Thisorientation may be in the form of a structured classroom session or an informal walk-aroundtutorial, nevertheless, during this period you will receive important information regarding your job, the performance requirements of your position, basic information on your compensationand benefits and safety programs etc

You will be given a tour of the premises and a brief introduction with the CEO andDepartment Heads (where available). Human Resources will inform the relevant departmentsto make appropriate arrangements for your seating, workstation, equipment, literature, emailaccounts, visiting cards and relevant administrative requirements. We encourage you to askany questions you may have during this program so that you will understand all guidelinesthat affect and govern your employment relationship at Avanza Solutions.

New Employee DocumentationOn the first day of joining, you will be required to complete and submit the following paperwork:

1. Employment Application Form 2. Copy of CNIC 3. Copy of Passport 4. Academic Certificates 5. Passport Size Photographs 6. PF Nomination Forms 7. Confidentiality Pledge 8. Bank Account Opening Form 9. Joining Report


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IdentificationIn order for you to be recognized as a staff of Avanza Solutions and for others to associatewith you, an Identity card will be issued to you within a few days time. You are required to wear your

ID card in plain view at all times during office hours. In the event your ID card is lost or stolen,you must notify the HR department immediately to arrange for a replacement card. Upontermination of your employment, you must return the ID card to the Human Resourcedepartment.

Job AnnouncementsAt Avanza, we make every effort to fill open positions from within the organization.Announcements for open positions will be made by Human Resources Department via regularbulletins as and when they become available. These announcements will contain the required

eligibility criteria, qualification, experience, position level and related information. However, thedecision to consider the candidate for this position will be solely with the management. In theevent a suitable candidate is not available from within the company, Management may considerfilling the open position by hiring from

ProbationAll persons newly hired or re-hired will be put on probation for a period of three months and will bereviewed upon completion of this period or before if required. This period may be extended uponDepartment Head recommendation if additional time is required for further assessment of employees performance.

The probationary period gives both the Company and the employee time to assess their newrelationship and performance. Upon successful completion of the probationary period, youremployment will be confirmed as a permanent member of Avanza staff and you will enjoy allbenefits as a regular permanent staff member.

In the event of unsatisfactory performance or conduct during the probation period, your servicesmay be terminated by giving one day s notice. Similarly, you may also choose to terminate therelationship by giving one days notice.


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CAREER PATH IN AVANZA SOLUTIONSAt Avanza, we ensure that every eligible staff member has the opportunity for career advancementand strive to fill each key role from within the organization. As part of providing this opportunity for

professional growth, at the time of appointment, you will be provided a detailed Job Description thatis also posted at the Employee Portal which will help clarify what is expected of you and therequirements to perform of the job you have been appointed for. Considering your competence andability demonstrated on the job you are performing, you may be given additional responsibility fromtime to time that may or may not be directly related to your job function, however is in the interestof the company.

You will be required to work flexibly, which means you must accept any reasonable request toperform tasks in any department outside your normal range of duties. The Company will give dueconsideration to your skills and experience before making such requests. Similarly any

internal/external placement within Avanza Solutions (Pvt) Limited or group company will beconsidered based on your overall conduct and performance over a period of time in your currentrole and responsibility along with your Department Head recommendation. Your progress will bemonitored regularly with a view to considering you for promotional the time of appraisal or whensuitable vacancies arise. Please do not hesitate to put yourself forward for any suitable position inconsultation with your Department Head who are available to discuss your current progress and/orfuture career progression at all times and will make necessary recommendations in the best interestof the company.

Performance Areas:


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COMPENSATION & EMPLOYEE BENEFITSAs this is a sensitive area in the HR function it requires special attention. It is so crucial becausecompensation is the basic reason why an employee joins an organization. Employee benefits also

work as a motivational force that drives employees to contribute their skills to an organization. Themanual guides management towards designing a fair compensation plan that would comply with thestandards. Compensation plan and related details are dept strictly confidential.

Avanza Solutions is committed to provide market competitive remuneration to its dedicated andperforming staff members. Details of compensation and benefits are communicated to each staff member at the time of appointment or any change in their functional grade or update in benefitsduring the course of their employment with the company. Any revision or update in compensationor benefits of staff members is subject to CEO approval. You may contact Human Resource for anyclarification or additional information related to your compensation or benefits.

Salary Salary scale is established for each level of job within the organization and is controlled by HumanResource department. These salary ranges are internally equitable in relation to each other and arealso externally competitive. All compensation and benefits related information including salary,bonus and other payments are strictly confidential and must not be shared with anyone within oroutside the company. Non compliance with the confidentiality clause may result in stern actionincluding penalties or warnings leading to termination of service.

Payouts All permanent / contract / temporary staff members will be paid salary / fee / stipend / on monthlybasis as per the agreed terms. The salary / fee / stipend paid to staff members will be subject toincome tax deduction as per applicable regulations and will accrue on the basis of actual number of days worked in a month. Salary will be credited to the company recommended bank / branch on orabout the 5th day of the month. All reimbursement claims of previous month are to be submitted by5th of every month to be credited or paid by 20th of the same month.

IncrementsSalaries are normally reviewed on an annual basis and are effective from January 1st of each year.Salary increments are made on the basis of employee conduct and performance during the year.Employees who have served 3 months or more will be considered for salary reviews at the time of Performance Appraisal. Salary increase will be calculated on pro-rated basis for those employeeswho are eligible but have not completed a full year of service.

Reward & RecognitionAny kind of Variable Pay, Commission, Project Bonus, Performance Bonus and/or Incentive orRewards/Certificates given to any staff member will be in addition to their normal pay and will be


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Fuel Entitlement Staff members entitled for Fuel as per their functional grade may avail their monthly fuel limit fromthe date of joining. Staff up to Level 3 will be paid Conveyance Allowance along with their monthly

salary. All other staff members will be issued a Corporate Fuel Card with limits as per their functionalgrade. In case Fuel Card is not issued due to whatever reason staff members may claim theirmonthly fuel entitlement through reimbursement by submitting original and legitimate receipts.

Group Life CoverageAll permanent staff members upon confirmation of employment are automatically enrolled underthe group life coverage plan as per company rules and in compliance with The West PakistanIndustrial and Commercial Employment (Standing Orders) Ordinance.

Cell PhoneAll permanent staff members who are entitled for Cell Phone Allowance as per their functional grademay claim their entitlement limit upon submission of duly completed Reimbursement Claim Form(available at HRMS) by 5th of every month to be reimbursed within the same month.In case a post paid SIM is provided by the company to make official calls as per job requirement,staff member may avail the limit as per their management level entitlement. However any amountspent over and above the entitled limit that is not utilized for official purpose is subject to be paidback through cross cheque in favor of Avanza Solutions (Pvt.) Ltd.

LaptopStaff members who are entitled for a company provided Laptop as per their functional grade or jobrequirement may be issued the same from the effective date. Maintenance and security of theLaptop will be responsibility of staff member. Any loss or damage incurred due to personalnegligence is not covered through insurance and hence will be charged to the staff member.

Blackberry

Staff members who are entitled for a company provided Blackberry as per their functional grade or job requirement may avail this facility from the date of joining that will be provided to them byAdmin Department upon submission of Joining Report to HR Department. Maintenance and securityof the Blackberry will be responsibility of staff member. Any loss or damage incurred due to personalnegligence is not covered through insurance and hence will be charged to the staff member.

Travel & Daily Allowance (TADA)Staff members may be required to travel for official purpose depending on their functional role andresponsibility. In case any staff member is required to make out of city or out of country travel on

behalf of the company, their ticketing, accommodation and visa will be arranged by the company or


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client subject to submission of duly completed and approved Travel Requisition Form by thecompetent authority. In addition to this they will be entitled for TADA that will cover their dailymeals, laundry, transportation and personal calls as per company policy.

Office MealsOccasionally staff members may be required to stay beyond office hours in order to complete apressing task to meet certain deadlines. In the event any staff member is Employee required to staylate in excess of 4 hours after the regular office timings or gazette holiday for official purpose, theywill be entitled to claim Rs.150 for their meal through submission of meal claim form that is dulyapproved by their manager.

Travel AllowanceThis is paid to staff members who are not entitled for company conveyance and are required totravel regularly for official purpose.

Health CareEnsuring continued employee health is of major importance to the management of AvanzaSolutions. The employee Out Patient and Hospitalization policies have been framed to ensurecoverage to employees in the event of sickness or injury.

i) Family Outpatient Out Patient facility is limited to staff and their immediate family only i.e. Self, Spouse, Children and

Parents. All permanent staff members entitled for Family OPD (Outpatient) as per their functionalgrade may avail their annual OPD limit upon submission of a duly filled Reimbursement Claim Form(available with HR or Reception) along with original doctor consultation, medicine, test receipts of staff member / spouse / children / parents by the 5th of every month to be paid within the samemonth. Annual OPD Limit is entitled from the date of appointment; however may only be claimedupon successful confirmation of employment. Any un-availed balance will lapse at year end.

ii) Group Health CoverageIn order to provide better healthcare benefits to our staff members, all permanent employees along

with their spouse and children upon confirmation of employment are entitled for the Group HealthCoverage through the company selected service provider. It is recommended that all entitled staff members avail this benefit to secure themselves and their family members in case of any unforeseenemergency or health condition that may require additional financial assistance.


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HEALTH & SAFETY Avanza Solutions (Pvt.) Ltd is firmly committed to the provision of a safe and healthy environmentfor its staff members. The company recognizes that this commitment will only be achieved with

positive leadership, the provision of necessary resources and continued pursuit of bestpractice in occupational health and safety. The company expects every staff member to acceptpersonal responsibility for promoting the safety and well being of themselves and those involvedin, or affected by, the company activities.

a) Management Responsibilities

I. Maintain an effective program to ensure that all workplace hazards are systematicallyidentified and appropriate measures introduced to control these hazards.

II. Review and monitor the hazard management program to take account of changingconditions and circumstances within the workplace, and ensure appropriate records arekept.

III. Ensure all staff members have the opportunity to participate in the development of healthand safety practices, and that all relevant documentation relating to health and safety issuesis made available.

IV. Ensure that all staff members and contractors are trained, supervised and provided withinformation to undertake their duties safely.

V. Ensure all personal protective equipment needed to secure health and safety isprovided to staff members and that they are adequately trained in its proper use,maintenance and storage.

VI. Encourage all staff members to set a high standard of health and safety managementby personal example.

b) Team Lead Responsibilities

i) Comply and ensure compliance of their staff with all relevant health and safetylegislation, standards and codes of practice.

ii) Ensure that all equipment, substances and work systems used are suitable for their intendedpurposes and take all reasonable and practicable steps to meet safety requirements.

iii) Ensure that adequate training, information, instruction and supervision is provided.


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iv) Ensure a prompt response to any health and safety issues brought to their attention.

v) Ensure that all accidents and incidents are investigated and reported promptly andaccurately to the Health and Safety Unit.

vi) Ensure that health and safety objectives and responsibilities are included in individualrole descriptions and are reviewed annually.

vii) Undertake training and / or instruction in health and safety related subjects to ensurethey are competent to carry out their health and safety responsibilities.

c) Staff Member Responsibilities

i)

Immediately report all accidents and incidents to their manager /supervisor and to theHealth and Safety Unit.

ii) Carry out their work in a way that does not adversely affect their own health and safety orthat of others.

iii) Keep the work space and office premises clean

iv) Ensure everything possible to try to consume energy by switching off unutilized Lights,AC, PC, etc.

v) Learn, understand and abide by company Health and Safety rules and procedures.

vi) Undertake training and / or instruction in health and safety related subjects to ensure theyare competent to carry out their health and safety responsibilities.


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HEALTH COVERAGE POLICY

In order for the company to ensure that all medical emergencies related to staff members and their

immediate family members (spouse & children) are taken care of in a timely manner, the followingHealth Coverage has been made available through a company sponsored and reliable serviceprovider:

final report avanza

Documents