1. Assignment on Human Resource
Department of Pearl-Continental Hotel
Advanced HR Practices
Submitted By:
Anam Nasir
MBA 6th
Roll No 054
Submitted To:
Dr. SulemanAziz Lodhi
2. Human Resource Department of Pearl Continental Hotel
History:
Pakistan Services Limited (“PSL”) was incorporated in 1958 as a Public Limited company and is
quoted on Karachi Stock Exchange since 1964. The primary business of PSL is hospitality.
It initially operated under the management of Inter-Continental Hotel; however, when Hashoo
Group acquired PSL in 1985 it changed the name of the Hotels to PEARL CONTINENTAL
HOTELs and became the largest and oldest five star hotel chain of Pakistan.
In October 1985 all the Inter Continental hotels in Karachi,Rawalpindi, Peshawar & Lahore beca
me the PEARL CONTINENTAL HOTELs.Another pearl was added to the chain in1992 at
Bhurban.
PEARL CONTINENTAL HOTELs is the first Pakistani chain which has achievedexcellent
international standards of services, quality and product.
Vision statement:
The vision statement of PC Group of Hotels is
“We’ll open the doors; you’ll see what’s in store.”
We feel pride in making efforts to position Pakistan in the forefront of the International arena.
Mission Statement:
“Our mission is to be the hotel recognized as the leader in the industry in any aspect. We are
committed to train and develop all our staff members allowing them to grow in their careers and
provide services and standards which exceed guest expectations.”
Foreword:
There are several information related issues at hand for PEARL CONTINENTAL
HOTEL Lahore; of primary importance is the human resource department that has the capability
of performing functions such as:
Job analysis, recruitment, training and development, performance appraisal, setting
compensation policies and providing safety and health to their employees.
This report covers all the aspects of the human resource management concepts presently applied
in PC. On the basis of observation it has been extracted that Human Resource in PC is highly
motivated due to the perfect conditions provided to them.
3. Human Resource Management Practices at Pearl-Continental Hotel
HR Division-A Review
Time Office
HR Main Office
Training & Development
Cafeteria
Industrial Relations
Mosque
HR department at PC hotel looks after the hiring, firing, employees’ welfare & development
aspects. HR mainly monitors disciplinary actions of hotel employees. Employee facilitations
provided such as defined employees locker areas with lockers for accessories & clothing
storage, hot and cold water facility along with toilets. Cafeteria namely Associates Restaurant
with standardized defined menu catering all employees from all levels functions from
morning till late evening (Breakfast, Lunch & Dinner). Then there is Hotel Mosque for
everyone. Maintenance & improvement in facilities in mosque is responsibility of HR. Time
office records and maintains attendance of all hotel employees excluding top management &
senior management employees. House Doctor in the Dispensary reports to Director Human
Resource. It is primarily responsible for medication, inspection and consultation of hotel
employees/guests. Training department works under HR division and facilitates employees
for their welfare & development which aligns with an individual career path. Training
Department takes care of all employees training & development programs, internships,
orientation and looking after Hashoo Foundation programs for external candidates.
Structure of HR at Pearl Continental Hotel
4. Role of HR department at PC:
“Organization needs people and people need organizations.”
Since PC Hotels are a part of the service industry, the HR element of the organization is
fundamental and carries a great value. We interviewed Aqeel Ahmed who is the HR Executive at
PC Lahore regarding the role of HR department in PC. He provided us with his valuable time to
brief some important aspects of PC’s HR practices.
Human resource plays a vital role in the smooth running of an organization. The total numbers of
employees working for PEARL CONTINENTAL HOTEL Lahore is more than 1500.
A large number of these employees are working in Food & Beverage Department and House
Keeping Department.
Although PEARL CONTINENTAL HOTEL segregates its employees and their duties in
departments, the individual employees work together as a team to provide the guests with
exclusive services. They view their guests as their first priority and provide them with an
everlasting experience. They struggle hard to maintain the nation’s most exciting hotel
experience. Collectively they provide the guests with such services that the client re-discovers
the simple pleasures of life.
Functions of HR department at PC:
Like all other HR Departments PC’s HR Department is responsible for managing all the
activities related to Human resource.
HR department is responsible for following duties:
Personnel Panning
Interview
Performance Appraisal
Job Analysis
Selection
Recruitment
Orientation
Training
Benefits& Compensation
Health & Safety
5. Pearl-continental hotel’s HR role in executing strategy:
Pearl-continental hotel’s functional strategies support its competitive strategies. To play a role
in executing strategies PC must require highly committed employees which are the part of the
PC culture.
This means PC, begins its HR processes to create a committed, competent, and customer-
oriented workforce. Hotel’s HR department supports strategy implementation in many ways.
When HR played a strategic role it becomes a good culture of PC.
HR’s role as a strategic partner:
PEARL CONTINENTAL HOTEL can also play a vital role in making strategies with other
departments as well. They make their own forecasting plans.
Our view is that pearl-continental hotel’s HR is strictly operational and that HR activities are not
strategic but it can help organization in making strategies.
HR can also adapt the strategies made by the organization for them. Mostly the top managements
craft the strategies of the organization. The strategies made for the
HR dept. are then programmed to execute that strategy. For Pearl-Continental Hotel’sstrategies
there is a matching human resource strategy.
Here, HR’s role is not just to adapt its activities neither to the PC’s business strategy, nor,
certainly, just to carry out operational day-to-day tasks like paying employees.
Job Analysis:
Following up of documents from candidates for joining.
Employee joining.
Preparation of letters (Contracts, Show cause, Warning).
File Preparation (Manual record keeping of employees).
File Audit.
Employee interview scheduling.
Managing the vacancy board.
Maintaining the resume bank.
Checking the reference (Above officer level).
HR department mail distribution.
Formulation of productivity reports.
6. Human Resource Planning:
HR planning at PC Hotel is generally of following types.
1. Staffing plans for the future of all departments in consultation with the concerned
departments.
2. Then there is Budgeting planning for all the departments of PC in consultation with
concerned departments.
3. Then there is HR department’s own planning which include the business plan.
4. HR department also plans for the projects for the coming year. This may include
renovation projects such as flooring etc. and projects vary from department to
department.
Appraisals are submitted to executive committee.
Recruitment and Selection Procedures:
Recruitment is through internal memos.
Employee referrals.
Newspaper and other media advertisements for higher positions.
Drop in CVs
Walk in interviews if there is vacant position.
During selection procedure candidates may have to give four to five or even more
interviews depending on the position. Interviews for top level positions are conducted by
the members of the board. Background checks are performed of the employees to confirm
given details and then they undergo physical examination as well.
HR Department Selection Procedure:
1. Requisition
2. Sourcing
3. Shortlisting
4. Scheduling
5. Application for Employment
6. Capability Test
7. 7. Interview
8. Staff Approval Form
9. Police Verification
10. Medical
11. Job Contract
12. Appointment
Orientation of New Hires:
PC conducts both Organization orientation and Work unit orientation. Employees are given
Organization orientation; where they are told about company’s goals, departments, history,
broader rules and they are given a tour of the hotel. The work unit orientation is done so that new
hires can get an idea how their work contributes to the larger goals of the organization to
engender a sense of purpose.
Training & Development of employees:
Training at PC is conducted by the Training Department (comes under HR). Training is done on
daily, weekly and monthly basis. Training is categorized in to types which are general and
specific. There are departmental trainers as well which are nominated by the director that train
other employees based on their performance. Job rotation is also practiced to see and identify
how work is done in other departments and develop a connection with other employees as well.
Appraising & Managing Performance:
Performance management is done 3months on a yearly, monthly and sometimes on weekly basis
if the need arises. The process is as follows. Performance appraisals is done by employee rating
himself. The next step is his/her manager rating through written essays in which the evaluator
writes the description of employee’s past performance, strength and weaknesses and the potential
they have. Employees performing poorly are given show cause notice, warning letters and
suggestions plus trainings and employees performing well are given increments.
The most important factors that are considered while appraising an employee are:
Appearance
8. Conduct
Professional Work
Leadership & Teamwork
Planning & Organization
Initiative & Creativity
Communication
Training Skills
Business Attitude & Operational Performance
Achievements of Objectives
Besides this they also consider their customers feedback regarding employee performance
in order to bring quality improvements.
Compensation & Benefits Policies:
Compensation of employees vary from person to person. Salary varies but other perks and
privileges include provident fund, EOBI funds, allowances, awards, appreciations, free
hospitalizations and insurance coverage.
Work schedule:
Meals & Breaks: One meal and two tea breaks in one shift. 15 minutes break for tea and
breakfast. 30 minutes break for lunch.
Leaves:
Maximum of three casual leaves. Sick leave requires medical certificate for 3 or more leaves.
There are minimum of seven earned leaves.
There are annual increments plus medical allowance. There is facility of health insurance and
family counselling as well. Career benefits include provision of staff with trainings so that they
can improve their performance and get promoted.
Labor Relations
There is a union of around ~240-250 people at PC Hotel Lahore. The director of HR department
negotiates with union leaders on matters of concern to employees in general.
Procedures of Record keeping of Employees
There are various modes of record keeping of employees at HR. Apart from manual record
keeping of files of each employee on HR department shelfs there is electronic record keeping of
records as well. This includes Human Resource Information System, Gulf HR, Microsoft Excel
9. & Word and share folders. The database of CVs is maintained which is sort through as per need
basis.
Medical Facilities:
PC provides free medical facility to all its employees and their children.
Life Insurance:
PC provides life insurance facility to its employees. Minor charges are deducted from
employee’s pay.
Increments:
PC offers yearly pay rise to its employees regardless of their performance. The rate of increments
is same for all employees.
Other Benefits:
Free uniform is provided to all employees.
Free laundry services for employees’ uniforms.
Free transportation for female workers.
Hajj Lucky Draw Package.
Challenges for the Human Resource Department:
In order to manage people effectively in today’s world of cut throat competition, it is vital to
understand and appreciate the significant competitive, legal and social issues. The
human resource department of PEARL CONTINENTAL HOTEL has to cope with internal as
well as external challenges to ensure the achievement of its mission. Some
of the internal and external challenges faced by the human resource department are presented
below:
Relationship between the Workforce and Management
Managing a Dynamic Environment
Conflict Management
Managing Workforce Diversity
Lack of Trained Workforce
Global Competitive Loyalty of Employees
Environment
Economic Challenge
10. Recommendations:
THINGS WHICH AN EMPLOYEE SHOULD AVOID:
Smoke, eat, drink, chew gum, whistle, hum or sing in the lobby or any public areas.
Stand in groups and casual conversation with co-workers.
Shout or talk in the public areas.
Allowing of personal friends to visit employees at the hotel.
Spit in any area.
Say anything negative about the hotel.
Entering in other departments, public areas, or guest floors.
Other Recommendations:
PC should send its managers/employees to abroad for training purpose for it will
ultimately improve the organization’s overall performance.
Internees should be paid for their services.
More flexible benefits plans should be introduced for employee so they can choose which
suit them the best.
As PC doesn’t have any special program to bring the outside talent in, so they need to
take this area under consideration.
More incentive programs should be introduced to maintain employee motivation.
Conclusion:
After a thorough study of Human Resource Department at Pearl Continental, Lahore I can
conclude that PC is a huge name in the hotel industry and its Human Resource Department is
working dynamically to pursue its organizational goals. This project has given us the realistic
view of how Human Resource practices are followed in any organization