PAYING PEOPLE TO LIE: THE TRUTH ABOUT BUDGETING PROCESS BY MICHAEL C. JENSEN

FINAL PROJECT

STRATEGIC HUMAN RESOURCE MANAGEMENT

BILAL ASHRAFAHSAN MEHMOOD SHAMIUMER FAROOQRAZA IFTIKHAR

We are going to talk about:Company Profile

Vision & Mission Statements

Companys Management

Products & Services

Organizational Chart

Role of Human Resource ManagementWe are going to talk about:Functions of HR at MCBRecruitment & SelectionTraining & DevelopmentPerformance Management

Diversity Management at MCB

Organizational Strategy & HR strategy

Questionnaire Survey of HR Division

Conclusion & Recommendations

Company ProfileMCB is one of the leading banks of Pakistan. It is incorporated in 1947 MCB soon earned the reputation of a solid and conservative financial institution managed by expatriate executives. In 1974, MCB was nationalized along with all other private sector banks following the Bank Nationalization Act 1947.

The Bank has a customer base of approximately 4 million and a nationwide distribution network of 1,700 branches, including Islamic banking branches, and ATMs.Vision & Mission StatementsVISION STATEMENT:To be the leading financial services provider, partnering with our customers for a more prosperous and secure future.

MISSION:To become the preferred provider of quality financial services in the country with profitability and responsibility and to be the best place to work.

MISSION STATEMENT:We are a team of committed professionals, providing innovative and efficient financial solutions to create and nurture long-term relationships with our customers. In doing so, we ensure that our shareholders can invest with confidence in us.

Companys ManagementThe Company is managed by a Board of Directors comprising a Chairman, a Managing Director and 11 other Directors. The day-to-day functions of the Company are looked after by the Managing Director assisted by Executive Vice Presidents, Vice Presidents/ Division Heads. Various divisions headed by Vice Presidents/General Managers are broadly divided into project management and specialty groups. The project management divisions are responsible for the management of projects and the specialty divisions are centers of excellence for various disciplines.Products & ServicesDEPOSIT ACCOUNTSBASIC BANKING ACCOUNTPAK RUPEE CURRENT ACCOUNTPAK RUPEE SAVINGS ACCOUNTPAK RUPEE TERM DEPOSITFOREIGN CURRENCY SAVINGS ACCOUNTFOREIGN CURRENCY CURRENT ACCOUNTSMART DOLLAR ACCOUNT:BUSINESS ACCOUNTLIABILITY PRODUCTSMCB BUSINESS SARMAYAMCB CAR4UMCB PYARA GHAREASY PERSONAL LOANMCB MASTER CARD:

PAY ORDERDemand draft (D.D)MCB Rupee Traveler's ChequeONLINE SERVICES:MCB ATM Services MCB MOBILE BANKINGMCB CALL CENTER:MCB SMART CARDMCB DEBIT CARDVIRTUAL BANKING

Products & ServicesOrganizational ChartPresidentSenior Executive Vice PresidentExecutive Vice PresidentSenior Vice PresidentVive PresidentAssistant Vice PresidentGrade IGrade IIGrade IIIAssistant

Clerical Staff Non-Clerical Staff Cashier Messenger Technical Staff Dispatch Rider Head OfficeRegional OfficeZonal OfficeBranch

Divisional head Regional Head Zonal Head Branch Manager (SEVP) (EVP) (VP) (VP, AVP)Organizational ChartRole of Human Resource ManagementMCB has on its rolls some of the best professionals in various fields of banking services. It has also been able to attract a large number of Pakistani experts from abroad. MCB is thus able to offer the services of highly qualified and experienced professionals. At present, MCB has staff strength of 9946.

MCB set out to make its mark in the field of banking services with only a handful of people in 1973, but had to expand very rapidly to meet the enormous work load it was able to generate for itself. Today, it has on its rolls staff strength of 9946 approximately. Functions of HR at MCBRecruitment & SelectionJob AnalysisThe process for determining the duties and skills required for the job and the kind of person who should be hired fir it. Job Description A list of a job duties, responsibilities, reporting conditions, and supervisory responsibilities-one product of a job analysis is being prepared by the HR experts.Job Specification A list of a jobs human requirements that is the requisite education, skills, personality, and so on another product of a job analysis.ApproachesInterviewsAnnual ReportMCB Web Site

Functions of HR at MCBRecruitment & SelectionRECRUITMENT PLANNING With all the divisions of MCB recruitment of employees is done on the need basis by the Vice President of the concern division with the approval of the Managing DirectorSOURCES OF RECRUITMENTInternal sourcesExternal sourcesTESTING AND SELECTION PROCESSMCB has two types of staff as professional staff and non-professional staff. Test tool is only used for the induction of professional staff. MCB uses the following types of tests:Initial Test (via NTS).Panel interviews Medical Test (After selecting the candidates)

Functions of HR at MCBRecruitment & SelectionSelectionAfter the recruitment and testing process so as to screen the candidates knock out sort of interview is started. MCB conducts only two types of interviews.Walk-in Interviews Panel InterviewsRECRUITMENT PROCESSAdvertisement SelectionEqual Employment OpportunityEMPLOYMENT CLASSIFICATIONSProfessional EmployeeNon-Professional EmployeesRegular EmployeesContract EmployeesINTERNSHIP PROGRAM

Functions of HR at MCBTraining & DevelopmentMCB provides employees adequate training to do their job safely and competently. They believe training is a two-way process. They encourage employees to participate and to highlight any gaps in their own skills or knowledge they believe they have.

TRAINING PROCESS/POLICYNominations for training are made in all cases by the Vice-President/Division Head under his/her signature or his/her authorized representatives signature. Until absolutely necessary, the division heads cannot nominate a professional for more than two training exposures in a month.Nominations are received by the HR Unit at least 2 days before the course is scheduled to commence. If nominations are not received within the time mentioned, the HR Unit assumes that the Division Head does not wish to make a nomination. HR Unit announces a one (1) month training schedule showing core content and the target audience in advance to enable Divisions to adjust the work of prospective nomineesThe training group size for technical lectures, etc., ranges between 25 to 40 persons. For Management and other training courses, the maximum group size is20 persons.

Functions of HR at MCBTraining & DevelopmentTRAINING PROCESS/POLICYOnce a nomination has been made and accepted, and the nominee is attending a course, he/she cannot be called away to attend to normal functions. Only in the most exceptional circumstances, to be decided by the concerned division head/VP, can the nominee be allowed to leave the training course.The official Certificate of Course Attendance and Completion is given only to those who have attended for the full duration of the course.Unless otherwise notified full day course timings are from 6 to 8 hours, with 45 to 60-minute break for lunch and prayers. For half-day training programs, duration is from 3 to 4 hours, unless otherwise notified by the Human Resources Unit. All trainers and training courses are evaluated by all participants and Head HR Unit. The Evaluation forms to be used for this purpose are issued by the HR Unit.If circumstances dictate, training courses can also be held on Saturdays, following the same timings mentioned above.The record of these trainings is maintained by the HR Division in the training database.Participation of MCB professionals in seminars, conferences, both local and foreign is also handled by HR Division.

Functions of HR at MCBTraining & DevelopmentTRAINING STRATEGYMCB as a forward looking organization has visualized a training strategy that is essentially focused on:Improve technical knowledge & abilities of professionals.Enhance skills in Managerial and support Competencies amongst professionals.Transfer the knowledge and experience of senior professionals to juniors.Improve upon the level of inter-divisional working.

TRAINING EVALUATION FORMName (optional)___________________ Designation/Grade____________________ Division_____________________Lecture/Course title________________ Course Conductor_____________________ Date and Duration_____________ Please rate on the scale of 1 to 5 (1=Worst 5=Best)CONTENTComprehensiveness 1 2 3 4 5Understandability 1 2 3 4 5Related Examples 1 2 3 4 5Helpful for my Personal Development 1 2 3 4 5TRAINERClarity of Communication 1 2 3 4 5Trainers Subject Knowledge 1 2 3 4 5Response to Questions 1 2 3 4 5Contents Explanation 1 2 3 4 5Trainers Punctuality 1 2 3 4 5Participants Involvement 1 2 3 4 5Effectivity of Training Method 1 2 3 4 5Training tailored according to scope of work 1 2 3 4 5Preservation of Learning Environment 1 2 3 4 5Deliverables Rating (1=Worst 5=Best)Did the program meet its stated objectives? 1 2 3 4 5Did the program objectives meet your needs? 1 2 3 4 5COMMENTS OR SUGGESTIONS:_____________________________________________________________________________________What Improvement will you be able to bring in your work after this training?______________________________________________________________________________________Functions of HR at MCBPerformance ManagementIn MCB Performance Appraisal is a function not actually handled by the HR Division instead the Coordination & Administration Division handles the appraisals. PERFORMANCE REVIEWSAll employees will undergo a formal performance review with their immediate managers once in a year. A review is also conducted in the event of a promotion or change in duties and responsibilities. During a formal performance review, the manager covers the following areas:The quality and quantity of your workStrengths and areas for improvementAttitude and willingness to workInitiative and teamworkAttendanceProblem solving skills

Functions of HR at MCBPerformance ManagementAPPRAISAL PROCESSThe employee fills his/her Annual Performance review Form (Part 1).The reporting officer completes his/her part which is Part 2.The reporting officer then forward the Annual Performance Review form to department head.The department head, then decides that if this report needs to be reviewed with reporting authority or forward it to admin department.The admin department prepares cases for each department and forwards them to Admin Committee.The Admin Committee makes the recommendation to the Board of Management.The Board of Management re-screens the cases and forward to the Managing Director.MD can re-evaluate or approve the cases.

Functions of HR at MCBAPPRAISAL FORM SPECIMEN

MCBANNUAL PERFORMANCE REVIEW REPORTYEAR ENDING _______________________PROFESSIONAL AND ALLIED PROFESSIONAL EMPLOYEES NameTitleDivisionInitial AppointmentDate:Grade:Note: The purpose of the annual performance review is to summarize the staff members achievements over the past twelve (12) months and to assist in the further development of each staff member.Present Grade:Since:PART-I: (to be completed by the staff member)A.Please describe up to five best/most important assignments/tasks/reports during the last twelve (12) months in the space below; alongwith nature of your participation (solely/partly responsible). Project Managers should give figures of billing and receipts on their respective projects with job numbers. Grade 8 employees will only list the jobs they have worked upon.DESCRIPTION OF TASKS PERFORMED1.2.3.4.5.List of other tasks performed during the reporting period:B.Please indicate what you can do best, your preferences in career development and your perceived training needs. Any constructive suggestion(s) may also be given._______________________________________________________________________________________________ Date:dDmmyyyySignatureANNUAL PERFORMANCE REVIEW REPORTPROFESSIONAL AND ALLIED PROFESSIONAL EMPLOYEES (GRADE 8b TO 12)PART-II: Assessment by Reporting OfficerThe reporting officer must read the contents of the employees report written by him on page 1.Sr.FACTORS ASSESSED *POINTS**No.MaximumAwarded 1.QUALITY OF WORK AND TECHNICAL EXPERTISE52.QUANTITY OF WORK53.WRITTEN COMMUNICATION SKILLS54.VERBAL COMMUNICATION/ PRESENTATION SKILLS (IF APPLICABLE)55.PERSONALITY/ ATTIRE/ TURNOUT56.SUPERVISION REQUIRED (IF APPLICABLE)Does he function independently with minimum guidance?Does he keep his supervisors effectively informed? Is he a good team member?57.SUPERVISION EXERCISED (IF APPLICABLE)Does he delegate responsibility to his subordinates?Does he efficiently supervise their work? Is he a good team leader?58.INTELLIGENCE/ INTELLECT59.INITIATIVEHow often does he take correct necessary action without being told?510.DECISION MAKING (IF APPLICABLE)Can he analyze problem(s) and make appropriate timely decisions?Does he take the responsibility of his actions?511.ATTITUDE AND COOPERATIONIs he responsible, mature and fair? Does he accept constructive criticism?Does he willingly follow instructions? Is he a team worker? Does he volunteer his help?512.WORK HABITS/ ETHICS513.COST CONSCIOUSNESS (IF APPLICABLE)514.CLIENT DEALINGS (IF APPLICABLE)Is he able to develop effective relationships with clients?Does he safeguard MCBs interests?5TOTAL =Percentage*** =%MCBANNUAL PERFORMANCE REVIEW REPORTYEAR ENDING _______________________PROFESSIONAL AND ALLIED PROFESSIONAL EMPLOYEES (GRADE 8b TO 12)Name:Title:Division:Grade:COMMENTSAdditional Strength(s)Desired Improvement(s)1and Recommended Training Area(s)2Potentialto be Exploited/ Developed 3(Career Planning)(1, 2 & 3: These recommendations are to be entered in the HRD database. 1&2: These recommendations are to be communicated in writing to the employee by HRD as an advice to pursue his career development.)DateSignature of Reporting Officer DdmmyyyyName and Designation Accelerated Promotion Letter of Appreciation Promotion Adverse Remarks Honourarium Letter of Concern/WarningINITIAL RECOMMENDATIONS

Signature ofReporting OfficerSignature of Previous Division Head(if applicable) Date:ddmmyyyyName and DesignationName and DesignationPART-III: ASSESSMENT BY SECOND REPORTING OFFICER (if required)COMMENTSDateSignature of Second Reporting Officer DdmmyyyyName and DesignationPART-IV: ASSESSMENT BY HEAD OF DIVISIONOVERALL GRADING (G)OUTSTANDINGG > 90%VERY GOOD80% < G 90%GOOD60% < G 80%AVERAGE40% < G 60%BELOW AVERAGEG 40%686