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Internship report on Nestle

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Internship report on Nestle

  1. 1. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE1 INTERNSHIP REPORT NESTLE KABIRWALA FACTORY (PVT.) LTD
  2. 2. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE2 SUBMITTED TO: MR. MUSTABSAR AWAIS IN CHARGE INTERNSHIP PROGRAM ALFALAH INSTITUTE OF BANKING & FINANCE B.Z.U MULTAN SUBMITTED BY: MUHAMMAD RIZWAN NAWAZ ROLL NO.52 MBA ( BANKING & FINANCE) 5TH SEMESTER AL-FALAH INSTITUTE OF BANKING & FINANCE, BAHA-UD-DIN ZIKRIYA UNIVERSITY, MULTAN
  3. 3. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE3 Table of Contents Preface............................................................................................................................................ 5 Executive Summary ....................................................................................................................... 6 Nestle .............................................................................................................................................. 7 Mission Statement.......................................................................................................................... 8 Vision Statement ............................................................................................................................ 8 SLOGAN......................................................................................................................................... 8 Introduction of Nestle Kabirwala Factory.................................................................................. 10 Understanding HR Department Working................................................................................... 17 Remuneration............................................................................................................................... 29 Industrial Relations...................................................................................................................... 30 Unions Management in Nestle Kabirwala Factory Limited....................................................... 31 Employee Relations...................................................................................................................... 32 Financial Analys………………………………………………………………………………...33 Swot Analys………………………………………………………………………………… 34 My Assignment on Employee Old Age Benefit Institutions……………………… ……… 35 Celebration of 14 august 2014..................................................................................................... 40 Distribution of Continuous Improvement Award ................................................................... 41 Conclusion.................................................................................................................................... 41
  4. 4. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE4 Acknowledgement I say thanks to ALLAH Almighty who bestowed me the opportunity, courage and confidence to obtain more knowledge to complete my internship program, which will facilitate me greatly in my intellectual development and skills capitalization. Then I pay all my respect and praises to the greatest man of universe, Holy Prophet Muhammad (PBUH) for whom this entire universe was created. I would like to submit my deepest gratitude to my parents, whose prayers always supported in every task of my life. Secondly, I am grateful to my institute, Al-Falah Institute of Banking and Finance, B.Z.U Multan that made this learning opportunity a part of our education. I am also thankful to all other teachers as the knowledge imparted by them enables me to gain knowledge of the organization in a best way. I am also thankful to Mr.Athar Bukhari, Mr. Liaqat Ali, Mr. Waseem Ahmad, Mr. Awais Mehmood, Ms. Shazia Parveen, Mr. Kashif Khalil, and Mr. Sohaib. They gave me full assistance regarding my area of responsibility. They were very cooperative and willing to help when I faced any problem & asked for help. There was a very good learning environment. I will always remember their cooperation and support. I would also thank to all other staff of the Nestle Kabirwala Factory who helped me a lot.
  5. 5. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE5 PREFACE Internship at multinationals has its prime objective to develop trained managers by offering their broad knowledge in a number of business areas and thus preparing successful management careers. One step to achieve this objective for students is to exercise internship program in any recognized organization. So this internship program facilitate the students to gain some understanding of complete working of the organization and at the same time enables the students to face challenges in their professional life by sharpening their skills of decision making, leadership, communication and team work. Internship at Nestle Pakistan Ltd. (Kabirwala Factory) was an attempt to seek experience of the corporate lifestyle of a successful multinational company. The idea was to understand the corporate structure, while developing skills needed to thrive, of one of the leading global multinationals whereas applying the knowledge and skills acquired during the academic career. This wonderful experience of just 6 weeks proved to be a high inclination in the graph of my personal learning.
  6. 6. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE6 EXECUTIVE SUMMARY Nestle is the world’s largest food company. It has operations in many countries. This internship report is based on Nestle Kabirwala Factory. It is a famous and reputed multinational organization working in Pakistan. The report contains all activates performed in the Human Resource department of organization. Similarly my daily assignments and the projects I performed there. The report contains introduction of the company, and working of Human Resource Department in specific, ratio analysis and Swot analysis are also there. In my report I have also stated the activities which I performed during my internship in the Nestle Kabirwala Factory. The main asset of Nestle Kabirwala Factory is its qualitative human capital. And Nestle Kabirwala Factory is continuously improving day by day with the help of its qualitative human capital.
  7. 7. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE7 NESTLE Henri Nestle, the founder of “Nestle” created the trade-mark of the Nest, a translation of his last name. In German, Nestle means “Little Nest.” The symbol showing 2 young birds being fed by their mother perched in a nest on an OAK tree depicts in the motherhood, the arm, and loving, caring, protective and sincere feelings of a mother for her younger ones. So, this symbol helps to give a visual sign that nobody other than Nestlé can care about its consumers friendly. It shows that the Nestle provides the purest food product to its consumers because it is as sincere with them as a mother. It is universally understood that this reflects the maternity and affection, and thus helps to draw a visual link between the name, “Nestle” and its products. Nestlé is the world’s leading nutrition, health and wellness company. The company employs more than 280,000 people and has 456 factories in 84 countries. Nestlé products are sold in almost every country in the world. Founded in 1866 in Vevey, Switzerland, where it is still based, Nestlé has often been called “the multinational among multinationals”. Only about 1.5percent of its sales are generated in its home country, and all but 12 of its factories are situated abroad. The CEO is Paul Bulcke, and the General Management includes a Belgian, two Canadians, one Dutch, a Frenchman, a German, a South African/British, three Spaniards, one Swiss, one American and one Swiss American. Nestlé is a truly public company with over 250,000 shareholders of which around one third are Swiss. As the world’s leading nutrition, health and wellness company, Nestlé is the worldwide leader in product categories such as
  8. 8. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE8 soluble coffee, infant nutrition, bottled water, condensed and evaporated milk, ice cream, as well as chocolate and malt drinks, and culinary. The Group is also a co-leader in pet care. The Company is committed to delivering shareholder value through sustainable, capital efficient and profitable long-term growth. Over the past years it has concentrated on furthering organic growth and performance improvement. MISSION STATEMENT At Nestlé, we believe that research can help us make better food so that people live a better life. Good Food is the primary source of Good Health throughout life. We strive to bring consumers foods that are safe, of high quality and provide optimal nutrition to meet physiological needs. In addition to Nutrition, Health and Wellness, Nestlé products bring consumers the vital ingredients of taste and pleasure. VISION STATEMENT The vision of Nestle Group is, “Nestlé aim is to meet the various needs of the consumer every day by marketing and selling food of a consistently high quality. The confidences that consumers have in our brands is a result of our company’s many years of knowledge in marketing, research and development, as well as continuity – consumers relate to this and feel they can trust our products”. SLOGAN “Good food, Good life”
  9. 9. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE9 A LITTLE ABOUT HISTORY OF NESTLE The credit for the foundation of Nestlé entirely goes to a real man Henry Nestle. He said: “The thought that my invention could save the lives of so many children encounter enormously the financial gain was not the prime motivation”. (Henry Nestle 1869) Nestle Pakistan Limited (Formerly Nestle Milkpak Limited) Nestle Pakistan is a subsidiary of Nestle S. A. –a company of Swiss origin headquartered in Vevey, Switzerland. It is a food processing company, registered on the Karachi and Lahore stock exchanges. For five years in a row, the company has won a place among the top 25 companies of the Karachi Stock Exchange. Headquartered in Lahore, the Company operates five production facilities. Two of its factories in Sheikhupura and Kabirwala are multi product factories. One factory in Islamabad and two in Karachi produce bottled water. Through its effective marketing and a vast sales and distribution network throughout the country, it ensures that’s its products are made available to consumers whenever, wherever and however. Nestle has the unique ability to provide a complete range of food products, services and well- known brands to meet the needs of consumers around the world. It is not a faceless corporation catering to faceless consumers, but a human company providing a response to individual human needs. It respects the cultures of the countries it operates in and recognizes the need for quality of life of their people.
  10. 10. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE10 In line with Nestlé’s global philosophy, Nestle Pakistan is proud of its commitment to excellence in product safety and quality and to providing value and services to its consumers. On the social front it acts very responsibly when it comes to environmentally sound business practices and corporate social responsibility. Nestle Pakistan operates in many ways but people, products and brands are the main flag bearers of the Company’s image. On the one hand, it has brought prosperity to farmers through an assured and growing income resulting from sale of their milk, and on the other, it has enabled Nestle Pakistan to collect better quality milk in the quantities it needs. Realizing that rural women play an important role in animal husbandry and milk production, Nestle Pakistan has pioneered the concept of inducting women milk promoters in its team to educate and encourage rural women to increase per animal yield. Four teams comprising three women each are currently working in the field. Results being very encouraging, more teams are planned. By taking this professional help and guidance to the farmers’ doorsteps, that they otherwise would find difficult to access, coupled with incentives for increased milk production and a good and prompt return for their milk, the company is playing an important role in creating opportunities of economic growth for dairy farmers. INTRODUCTION OF NESTLE KABIRWALA FACTORY Kabirwala is situated near Khanewal city and Nestle` factory is located at 4 Km Khanewal Road Kabirwala. The distance of Nestle factory from Khanewal is 6 Km. It has beautiful and clean building. Kabirwala factory was established in 1983. Located in the heart of Punjab province, Kabirwala Dairy Limited (its then name) started its Operations with the production of UHT milk in1984. It was taken over by Milkpak Ltd in 1990. Maggi 2 minutes noodles and milk powder plant started their productions in 1992 and 1996 respectively.
  11. 11. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE11 In 1996 UHT production was shifted to SKP while production of Nestle Culture Butter started in 2000. Dry mixing line was installed in 2002 to produce Every Day tea whitener, while Desi Ghee line was installed in 2003. On February 7, 2005 nestle KBF joined GLOBE GO LIVE that performs as a facilitator to achieve long-term business growth. As a result of management commitment and dedicated effort and hard work of Kabirwala factory staff at all levels it got the high status in milk powders category amongst all the Nestle factories around the world in 2007 Kabirwala Factory has got the potential of expansion in existing and extension in the new categories in the future. Location:  Middle of Pakistan  East of Multan  7 Km. from Khanewal direction Kabirwala. Factory Area:  Total Land 84.46 Acres  Building (Covered) 17.34 Acres This Factory Fact book was created with the modest aim to provide the Reader with a flavor of this factory’s growth over the years and the present role. The brief history of the development of Nestle` Kabirwala factory is as under: 1980: Established locally By Mr. Syed Fakhar Imam as Faisal Dairies. 1990: Merge with Nestle` 1992: Maggie Noodle’s Plant was installed 1996: Powder milk Plant was installed (IST Egron) 2002: D.C. (Distribution Center) Establishment
  12. 12. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE12 2003: Desi Ghee Plant was installed 2004: N2 Self Generation Plant 2006: Installation of Liquid Dairy Plant 2007: Powder Milk Plant (2nd Egron) 2008: UHT Cream Plant 2009: Commission of Probiotic& EVAP 3 2010: Production of Eight new products 2011: Production of three new products, extension of RP Store & fuel storage tank, Installation of CAT Engines and two new Wolf Machines 2012: Wet tipping 2 Confectionery plant in process. Product History: 1984: LIQUID MILK BASED PRODUCTS UHT MILK NESTLE MILKPAK LTD: 1990: JOINT VENTURE WITH NESTLE 1992: MAGGI NOODLES LOCAL 1995: MAGGI NOODLES EXPORT 1996: UHT PRODUCTION STOPPED AND SHIFTED TO SKP 1996: MILK POWDER BULK 1997: COFFEE PACKING 1999: NIDO 1000 gm. 1999: MILO PACKING 2000: MAGGI YAKHANI DISCONTINUED 2000: WHITE BUTTER NESTLE CULTURED BUTTER NIDO 2002: PACKING OF MILO AND COFFEE DISCONTINUED
  13. 13. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE13 EVERYDAY 2003: DESI GHEE NIDO MQV-14 2006: Liquid Milk 2007: E.Day 04g 2008: E.Day Mixed Tea (1000g, 400g, 40g, 25g) Milkpak Cream 200 ml 2009: Nido Bunyad 2010: Nido 1+ and 3+ probiotic. 2011: Nesvita 2012: Crunch chocolate Some other products
  14. 14. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE14 Nestle Kabirwala Factory Hierarchy Structure
  15. 15. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE15 Departments of Kabirwala Factory: Nestlé Kabirwala is headed by the Factory Manager of the company. Presently Mr. Raheel Afzal is performing the services of the Factory. Directly reporting to the Factory Manager are the fourteen major Departments i.e.;  Finance & control Department  Human Resource Department  Logistics Department  Safety health & Environment Department  Industrial Performance Department  Engineering Department  IT Department  Application Group  Rec. & Standardization Department  Liquid Dairy Department  Powder & Noodle Department  Quality Assurance Department  Technical Training Department  Nestlé Distribution Channel Nestle System: Nestle has best systems but others are also consulted. Following are the own systems of Nestle  Nestle quality management system-NQMS  Nestle good manufacturing practices-NGMP (production, environment, building, designs)  Safety, health environment-SHE  Total performance management-TPM (make policies to support business)
  16. 16. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE16  Nestle continuous excellence-NCE Nestle Certifications Certifications of nestle Pakistan Ltd. are as under  ISO 14001(safety)  OSHAS 18001(safety)  HACCP (operation pre- requisite, critical control point, pre-requisite programmed)  Integrated pest management (IPM)  ISO 2200 granting (Combination of HACCP related to safety and ISO 9000 related to quality and many more things)  A successful GLOBE system that works for Nestle around the world in order to communicate confidential data  As a result of management commitment and dedicated effort and hard work Of Kabirwala factory staff at all levels KBF got the high status in milk powders category amongst all the Nestle factories around the world in 2001. It was achieved because of continuous improvement drive and passion to become best in the World. Kabirwala Factory has got the potential of expansion in existing and extension in the new categories in the future. Executive Hierarchy and Job levels at Nestle Management has the following job grades G1: Entry level management post G2: Managerial level G3: Senior Manager G4: Board of Directors Non-management has the following job levels L3: Process Operators L2: Senior Process Operators
  17. 17. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE17 L1: Process Specialists Every plant has a plant manager supported by a team and a team leader. So the operators report to the team leader and team leader reports to the plant manager. UNDERSTANDING HR DEPARTMENT WORKING Nestle Hr Policy, Theory into Practical The policy encompasses those guidelines which constitute a good sound basis for efficient and effective HR management in Nestle Group around the world. They are in essence flexible and dynamic and may require adjustment to a variety of circumstances. Therefore its implementation will be inspired by sound judgment, compliance with local market laws and common sense, taking into accounts the specific context. Its spirit should be respected under all circumstances. As Nestle is operating worldwide basis, it is essential that local legislation and practices be respected everywhere. Also to be considered is the degree of development of each market and its capacity to advance in the management of their human resource. Should any HR policy conflict local legislation, local legislation will prevail. These policies are addressed to all those who have a responsibility in managing people as well as to HR professionals. A Shared Responsibility Each employee has a distinct responsibility in dealing with people be it as a leader of a team or as a peer. HR managers and their staff are there to provide professional support in handling people matters but should not substitute themselves to the responsible manager. Their prime responsibility is to contribute actively to the quality of HR management throughout the organization by proposing adequate policies, ensuring their consistent application and coherent implementation with fairness. Acting as business partners, the HR manager advises and offers solutions which result in positive impact on the organization’s effectiveness. Furthermore he /she proposes best practices and provides state of the art support and counseling to his/her colleagues. Together they act as co-responsible partners for all HR matters. This partnership is the key for efficiency in people management.
  18. 18. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE18 The communication skills of HR staff must be appropriate to deal with all delicate matters as they occur frequently in human relations issues. They gain their credibility not only from their professional contribution but also through the care and excellence of their communication skills. People Dealing in Nestle The Nestle Management and Leadership Principles describe the management style and the corporate values of the Nestle Group, especially in the area of interpersonal relations. Their respect calls for specific attitudes which deserve to be outlined in the present policy. Respect and trust- A prerequisite for dealing with people is respect and trust. There can be no room for intolerance, harassment or discrimination of any kind as they are the expression of an elementary lack of respect. This principle suffers no exception and is to be applied at all levels and under all circumstances. Transparency and honesty- Transparency and honesty in dealing with people are a sine queue for efficient communication. Based on facts and on a sincere dialogue, such transparency is the only solid basis for boosting continuous improvement. Open communication- This is to be complemented by open communication with the purpose of sharing competencies and boosting creativity. It is particularly relevant in a flat organization to convey systematically all information to those who need it to do their work properly. Otherwise no effective delegation or knowledge improvements are possible. Listen- to communicate is not only to inform. It is also to listen and to engage in dialogue. Every employee has the right to an open conversation with superiors or colleagues. Cooperate- The willingness to cooperate and to help others is a required basis for assessing potential candidates in a view of a promotion. Conflict resolution- In case of discord between an employee and his/her superior or another employee, the possibility must be offered for a fair hearing. The HR staff will provide assistance to ensure that the disharmony is dealt with impartially and that each party has the opportunity to explain his/her viewpoint regardless of hierarchical position. Recruitment Policy and Joining Nestle The long-term success of the Company depends on its capacity to attract, retain and develop employees able to ensure its growth on a continuing basis. This is a primary responsibility for all
  19. 19. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE19 managers. The Nestle policy is to hire staff with personal attitudes and professional skills enabling them to develop a long-term relationship with the company. Therefore the potential for professional development is an essential standard for recruitment. Each new member joining Nestle is to become a participant I developing a sustainable quality culture which implies a commitment to the organization, a sense for continuous improvement and leaves no place for complacency, and in view of the importance of these Nestle values, special attentions paid to the matching between candidate’s values and the company culture. Hence, a clear communication of these principles values from the very beginning of the recruitment process is required. Personality of the Candidate To succeed at Nestlé Pakistan, you need more than professional knowledge. You need a flair for the field of activity of their choice, an open mind, and a willingness to dig in and learn new skills and ideas. They're looking for applicants who are dynamic and communicative. People, who can listen, understand and integrate the opinion of others, people who can express their ideas clearly, both verbally and on paper. They want people who like to negotiate, even with very different partners, and to solve problems in complex situations. They like candidates who show leadership, inspire others, and are self-confident, yet realistic people who have a positive attitude to work and are willing to work hard, even under pressure. They seek people who can be objective in their assessment of themselves and of others. Motivation: While they expect loyalty to their company, they expect their people to be critical and suggest improvements wherever necessary. They like people who are motivated themselves & can motivate others. Are you Right for Nestle? A Nestlé employee is characterized by creativity and dynamism. They don't only look for specialists, but people who have knowledge and skills in more than one field, with broad interests. To sum up, they want people with purpose and ambition, though not at the expense of others. They want people who take responsibility for their actions, who consider Nestlé their own
  20. 20. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE20 business, and who show an entrepreneurial spirit. If you think you fit the Nestlé profile, you might be just the person they're looking for! Recruiting Process Generating Candidates: Through following means the candidate are generated o Career Website o Generating candidates overview o Employee Referral Program o Graduate Trainee Programs o Internships o Job fairs o Job Posting Portals o Media Selection Guidelines o Partnering with Universities (CEMS) Applying for a Current Job / Graduate Program / Internship Please look through the vacancies and choose which you are interested in. Create your CV by filling out the online form. Once the application is complete, you will receive a confirmation message telling you that it has been received and is being processed. Receiving CVs: They will review and select only and only those CVs out of all, that best match open jobs, Similarly, only selected candidates are contacted for that purpose. In any case, you will receive an e-mail telling you when the job you applied for has been filled. Registering for Nestle Pakistan (PVT) Ltd talent pool: If there is no job opening suitable for someone, one can still register his/her details in Nestlé database. He/she will then be considered as a potential candidate for new up-coming positions. They regularly review CVs and jobs to try to match registered candidates with job openings. The person is only be contacted if they find a suitable match.
  21. 21. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE21 The Interview Process Graduate Program Applicants Regular group interview sessions are held throughout the year for most of the Graduate Programs. This is a one-day sessions that consists of discussions about potential jobs and career developments, individual interviews with HR and line managers, group and/or individual case studies. If someone is successful at the group stage, he/she be invited for an individual interview day with HR and line managers. Professional applicants You should expect a series of individual interviews with HR and line managers. These will generally focus on your background and motivation as they’ll as how you likely fit Nestlé’s culture and values. Internships applicants The candidate is interviewed by HR as they’ll as a line manager. These interviews generally focus on the candidate’s background and motivation as they’ll as how you likely fit Nestlé’s culture and values. Recruitment Process Purpose This policy applies to all personnel involved in recruiting staff. This policy:  Ensures all recruitment activities are conducted in full recognition of, and maximum regard for, the principles of equal employment opportunity  Establishes minimum standards of recruitment  Seeks to maximize opportunities to recruit the best person for each job  Recognizes & complies with current legislation governing all aspects of recruitment  Will be reviewed regularly and modified as required, to reflect Company policy, best practice in recruitment and compliance legislation
  22. 22. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE22 Policy It is the policy of Nestlé Pakistan Ltd. to promote from within the Company; provided its employees have the appropriate skills and professional level of performance. Nestlé Pakistan Ltd.’s approach to recruitment and development is to hire men and women with the appropriate professional background and personality, and then support them in a long-term career with the organization. The policy covers both internal & external recruitment activities designed to fill permanent and contract staffing vacancies, regardless of how the vacancy has arisen. Human Resources’ Responsibilities The Human Resources (HR) function is responsible for ensuring line management, and any agency engaged to recruit on our behalf, adheres to this policy and uses current recruitment practices. Identifying vacancies It is the responsibility of each line manager to identify vacancies within their department. Where necessary, the line manager, their manager and the Corporate Recruitment Manager discuss whether the vacancy should be filled, and if so, whether by a full time, part time or contract employee. Authorizing recruitment A Recruitment Requisition form, signed by the line manager and the Division Head/ NPL HRM / MD, is the only acceptable authorization for initiating recruitment for any position. Recruitment Requisition Form A current position profile and organization chart should be included with the Requisition form. The form may be completed in consultation with the Corporate Recruitment Manager. Finding the right applicant Preference will be made to fill vacancies with suitably qualified and / or experienced current employees. In the first instance, succession plans (where applicable) will be used to attempt to fill the vacancy. It is the role of management and HR to keep an eye on valuable candidates from outside and to benchmark internal skills with external offers.
  23. 23. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE23 External recruitment Vacancies which cannot be filled internally shall be advertised externally, after approval is given by the HRM. All external advertising will be coordinated through the HR function. Updating this policy The Corporate Recruitment Department is responsible for ensuring this policy is updated as necessary. How to Select an Applicant This Procedure covers:  all level recruitment in the Corporate office  all level recruitment for the Regional Sales offices  Executive and up recruitment in Factories and Milk Collection 1) Recruitment Requisition Form (RRF) Recruitment Requisition Forms are available from Corporate Recruitment and from Divisional Secretaries for the use of Line management and Division Heads. It’s updating from time to time is the responsibility of the Corporate Recruitment Manager. a) Approvals: For all budgeted hiring, the Division Head must endorse the RRF, initiated by a functional manager in order to activate the process. This authorization is required for all levels of hiring (Supervisors to Key Managers) covered by this procedure; ensuring hiring is consistent with changing business needs. The approval of the NPL HRM and MD is required for recruitment of manager and above positions, new positions and unbudgeted recruitment. b) Job Profile: To be completed by the functional or divisional manager in consultation with the Corporate Recruitment Manager to ensure that a focused and, practical profile is agreed. A targeted job profile on the RRF will also help HR and Line Management in screening applicants before validating their candidacy for the position. 2) Sourcing a) CV Database:
  24. 24. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE24 On receiving the completed RRF form, the Corporate Recruitment Manager, in consultation with Line management, will review the database of CVs and profiles to find suitable applicants. b) Placement offices: In the case of Management Trainee hiring, the Corporate Recruitment Manager will liaise with Placement offices of targeted educational institutions to generate a suitable pool of applicants. c) Recommendations: Suitable applications recommended by NPL Management may also be considered. Their details should be forwarded to HR through the appropriate Line Manager or Division Head for merited consideration. HR will not always interview or screen recommended applicants who don’t meet the minimum standard, or for positions that are not vacant. However, their CVs will be acknowledged and kept on file for future reference. d) Advertising: If an appropriate resource pool is not generated from the above activities, the Human Resources Manager may authorize advertising the position(s) through print media. The Corporate Recruitment Manager will prepare the advertisement incorporating key functions from the job profile. A standard format incorporating the statement “Nestlé Pakistan Ltd. is an Equal Opportunity Employer” will be used. e) Consultants: For low-applicant availability or highly technical management positions, the HRM and Corporate Recruitment Manager may use HR authorized consultants to support Line Management objectives in recruitment. 3. Screen the applicant The Corporate Recruitment Manager, with support from the line manager, screens the applicants to assist in obtaining a short list of potential candidates. Screening may consist of face-to-face interview, telephone interview, screening test or scrutiny of the employment application / résumé. Screening should determine whether the applicant has the skills, attitude, knowledge, behavior, ability and experience required for the position. 4. Interview the short-listed applicants
  25. 25. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE25 All short-listed applicants will be required to complete an Employment Application form prior to any interview. Screened candidates will initially be interviewed by R & D staff. The short-listed applicants will be further interviewed as follows: Positions Group 1: by HR + Dept. Head then by HR + Division Head(if required by Div.) From Group 2 up & all by HR + Dept. Head + Div. Head Management Trainees then by HR + MD Interview panels: May be formed for recruitment of positions entailing diverse or multi-faceted functions. Expert views of different functional Managers may be required at such points. The Corporate Recruitment Manager will establish interview panels in consultation with the recruiting Line Manager. A standard interview guide will be used for each interview so that all applicants are reviewed against the same criteria. Behavioral interviewing techniques are the preferred method of conducting interviews. 5. Check references Carry out and document a minimum of 2 verbal reference checks for the preferred short-listed applicants. No employment offer will be made prior to the completion of these reference checks. The applicant’s highest academic qualification will be confirmed with the issuing academic institution prior to any employment offer. 6. Choose the successful applicant The recruiting line manager is responsible for making the final hiring decision. On Division Head / recruiting Line Managers selection of the successful candidate, the remuneration, job conditions and an appropriate commencement date will be decided by the Division Head supported by HR. A Status Change Form must be completed by the recruiting Line Manager and approved by the Division Head and NPL HR Manager for successful candidates. 7. Notify the successful applicants Successful applicants will receive a written offer of employment from the Company prior to commencing work. The offer will detail the following:
  26. 26. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE26 a) Commencement date (agreed between applicant and NPL) b) Remuneration c) Major conditions of employment Any offer of employment for executive positions with the Company must be supported by an approved Status Change Form. The required approvals are the Division Head and NPL HR Manager. In addition, Group 3 and above job offers also require the approval of the MD. These written approvals are required prior to job offer. The Appointment letter / Contract will be prepared by R & D and signed by the NPL HR Manager. All other pre-employment requirements including academic and professional documentation and medical checks must be completed by the R&D Manager prior to issuing Appointment Letters to successful applicants. In exceptional circumstances an Appointment Letter may be issued before receipt of the official medical report. However the employment offer remains subject to a satisfactory medical clearance. The Corporate Recruitment Manager will manage the recruitment process, obtain approval on the Status Change Form from the approving authorities and discuss employment offer/conditions with the prospective employee. The Remuneration Manager will support the Corporate Recruitment Manager by providing sufficient information regarding the total compensation offer based on the job, candidate’s experience, and internal relativities. This offer will be detailed on the Status Change Form. 8. Notify unsuccessful candidates Job applicants not selected will have their applications acknowledged within ten working days of receipt of the application by HR. Those applicants interviewed by the Company and not selected during recruitment will receive a letter of regret within one week of the decision. Details of unsuccessful job applicants will be kept in the database file for a period of 12 months. 9. Medical clearance The successful applicant’s appointment to the Company will be confirmed subject to medical clearance by the Company’s appointed doctor. The cost of this pre-employment medical will be borne by the Company.
  27. 27. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE27 10. Recruitment in Factories & Milk Collection Points 1-8 are procedurally applicable for all recruitment in the Factories and Milk Collection. However, recruitment of Supervisors and Clerks in the factories or milk collections to be completed by the Functional / Division Heads directly. Appointment letters / Contracts will also be issued, (after approval from the relevant Division Head) directly to the new employee by the Human Resources Department of the Factory. If required by line management, HR may facilitate this recruiting by advising on reference checks, or the credibility of academic and professional documentation of the applicant. 11. Induct the new employee The line manager is to ensure that an appropriate orientation is arranged and completed for the new employee. What you need  Recruitment Requisition Form & Position profile  Organization Chart  Employment Application Form (for Management Staff & Non-Management staff)  Interview Evaluation Form  Status Change Form Professional Development Learning Each employee, at all levels, is conscious of the need to upgrade continuously her/his knowledge and skills. The willingness to learn is therefore a non-negotiable condition to be employed by Nestlé. First and foremost, training is done on-the-job. Guiding and coaching is part of the responsibility of each manager and it is crucial to make each one progress in her/his position. When formal training programs are organized they should be purpose oriented and designed to improve relevant skills and competencies. Therefore they are proposed in the framework of individual development programs. Training
  28. 28. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE28 Management Trainee Program If you're young, bright and hardworking, the Management Trainee Program may be the place for you. They hire fresh graduates as potential managers to develop new competencies and skills through on-the-job development. You'll be hired in one of various departments at inductee level on a 12-month training program. Once you've completed the program, you will be assigned independent responsibilities supporting the company's business needs. They begin sourcing Management Trainees in January. Preliminary interviews and screening is organized according to the graduation schedules of Pakistani and foreign universities, and are followed by interviews with senior management. Performance Evaluation The performance evaluation (PE) is an annual cycle which aligns your individual objectives with the business priorities in a given performance year. On-going feedback discussions with your manager to make sure you are on right track is essential, as it allows you to take any required measures if needed. This will ensure you and your line managers are aligned throughout the year and make the yearend evaluation as fast based and effective as possible. The PE form enables you to structure the PE process in quality way to increase dialogue and alignment with your line manager. At the end of the year, you will receive PE Rating, which will be based on the level of your performance against your objective. This PE rating includes an overall evaluation on ‘WHAT’ you have achieved and ‘HOW’ you have demonstrated the 4 Nestle behaviors (Practice What You Preach, Result Focus, Pro-active Co-operation & Initiative) in the execution of your objective. Your level of performance achieved will have direct impact on your salary review and Short Term Bonus (STM). PE has four phases.  Objective Settings (Jan-Feb); Performance objectives are set with the manager.  Interim Review (Jun-Aug); Review progress against objectives.  Calibration Meeting (Dec-Jan); Management meeting to ensure effective and equitable performance evaluation across the organization.
  29. 29. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE29  Year End Review (Dec-Feb); PE-Rating – Evaluation of the achievement against objectives. REMUNERATION The Nestle Remuneration Policy states the major principles of our approach to remuneration, which is guided by a sound balance between corporate as well as local responsibilities and between the different remuneration elements. As well, it is based on, and aligned with, Nestle Human Resources Policy. The main objective of this Policy is to ensure that Nestle is able to attract and retain motivated and high-performing employees through an equitable and coherent approach to Compensation and Benefits within the Nestle Group. Remuneration Principles are influenced by various factors such as competitive market practices, cost considerations; business results achieved both locally and globally as well as the individual performance. Similarly Nestle believes that there is a link between Performance and Pay. Nestle believes in:  Recognize high performance  Manage low performance with integrity  Increase transparency and feedback  Career management as a partnership  An open and engaging work culture Similarly Nestle has the policy that we all know that the PE tool is being used to drive and evaluate the right performance Let’s understand what we mean by “Pay-for-Performance”. Planning, coaching, and evaluating performance and then aligning rewards (pay) with performance outcomes. The short term bonuses are also given to the employees according to the policy of the company.
  30. 30. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE30 Recognition and rewards Nestle has a clear policy on recognition and reward. And same is communicated to the Nestle Pakistan (Pvt) Ltd. The recognition programs are launched in Nestle Kabirwala Factory Limited as well in order to boost up the creativity, innovation. There is CI program working under the IP department Continuous Improvement IP ensure Continuous improvement of factory performance in terms of safety, quality, service, performance, environment and cost savings. It also ensures the proper evaluation of the improvement ideas, concerns related to them and their implementation & sustainability. IP also facilitates & involves in the Nestle Performance Teams (NPT) & Continuous Improvement Teams (CIT) which basically works on the improvement projects with SMART objectives and effective outcomes. The employees are also rewarded for their effective ideas. Top 10 ideas are given recognition and they are given the some monitory and extrinsic rewards to boost up this activity. Last year another employee recognition program was launched which was very successful in Nestle Kabirwala Factory Limited as well. Similarly other employee recognition ceremonies are also held annually quarterly and now Nestle Kabirwala Factory Limited has launched these programs on monthly basis. The line manager notices down the trouble handling of the workers. Similarly they notice that when and how the worker handled the problem and how troubleshoot the problem. So it is proved to be very effective. The Factory Manager gives rewards to the recognized employee so this activity has proved very helpful in increasing the morale of the employees. INDUSTRIAL RELATIONS A Nestlé upholds the freedom of association of its employees and the effective recognition of the right to collective bargaining. Nestlé wishes, also through its relationship with unions another representative association to sustain the long-term development of the Company, both to the benefit of the employees and of the Company, by maintaining a level of competitiveness adapted
  31. 31. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE31 to its economic environment. Industrial relations are a clear responsibility of local management and will be handled at the appropriate level: first at site level (factories, warehouse) subsequently at regional or national level, according to local law and practices. UNIONS MANAGEMENT IN NESTLE KABIRWALA FACTORY LIMITED Election Procedure Previously introduced Punjab Industrial Relation Act 2010 regulates the election process of the unions in organizations. IR ordinance 1969 also regulates the unionization in the companies and all the issues relating to CBA. Elections are conducted after two years of completion. If fifty or more people are agreed to form a union in the company, they can register themselves as union. But they must be from non-management. After winning the election, the union certifies itself from Labor Department and is called collective bargaining agents or CBA. Collective Bargaining Agent The CBA negotiates with the management of Nestle not at the basic benefits that are provided by the law but over and above those basic benefits. For that purpose CBA raises the demand notice and if the management accepts the demand notice it means management has accepted what the CBA is demanding from them. But if management feels that these demands have already been fulfilled by management it also sends the demand notice to the CBA. Then the negotiation starts. The management has the aim to end the negotiation on win-win situation. Relation Building with CBA It is the utmost desire of Nestle Kabirwala Factory Limited to build the good relations with CBA and to win the heart of people at Nestle Kabirwala Factory Limited. Therefore so many initiatives are taken by management. Recently following initiative has been taken;  5 kg noodles pack was given to all permanent staff
  32. 32. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE32  Promotion plans  Employee’s child scholarship  Shift allowance  Motor bike schemes  Hajj Qurandazi EMPLOYEE RELATIONS Is there a good relation between non-management and Management staff? Yes, Nestle Pakistan has several regular team building activities involving all levels of employees e.g. Sports Week, family day, cordial relationship with the employees union &management. Is there any level of interaction between management and non-management at work? Yes, Nestle daily has the Operational Review Meetings in which issues are discussed and corrective actions are taken after seeking concerned opinions and regulars visits of the plant by the team leaders and the manager. Do Nestle has the direct access to your Management Team to give spontaneous feedback? Yes, Plant Manager can easily be accessed, apart from that, FM can also be approached, if needs be. Management attends the shift handover and DOR that are also attended by the operators and responds the queries of the participants. Recognition Is recognition really given to employees in Nestle Pakistan? Yes, one recently launched by the Company "Maan Humara Tum Sa” in addition to this, joint birthday of staff, monthly lunch, hygiene trophy, CI Awards, Good Attendance Award. Have employees been recognized for a good job (above average) you made? Yes, if perform well:
  33. 33. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE33 • can get hygiene trophy as a group • Thank you cards • Emails from the line in charges • And managers appreciate on line in case of any achievements Is there decentralization and power in the hands of employees? Nestle employees are authorized to stop the production to take appropriate action against any Quality and Safety issue on your plant or machine. Feedback methods DOR, annual performance appraisals meetings and on line coaching by the line managers help to improve the performance. Succession Planning At the time of the performance appraisals, discussion is held for the future prospect. Financial Analysis There are five types of financial statements which are used in the any company Income Statement (Profit & Loss Statement) Balance Sheet Retained Earnings Statement Statement of Owners Equity Cash Flow Statement .
  34. 34. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE34 Income Statement The income statement summarizes revenues and expenses and gains and losses, ending with the net income. It summarizes the result if operations for a particular period of time. Balance Sheet A balance sheet shows the financial condition if an accounting entity as if a particular date. The balance sheet consists of three major sections: assets, the resources of the firm; liabilities, the debts of the firm; and stockholders’ equity, the owner’s interest in the firm. At any point in time, the total amount of the assets must equal the total amount of the contributions of the creditors and owners. Assets = Liabilities + Stockholders equity Retained Earnings Statement Retained earnings statement shows the undistributed earnings of the corporation. A Reconciliation of retained earnings summarizes the changes in retained earnings. It shows the retained earnings as the beginning of the year, the net of the year as an addition, the dividends as a subtraction, and concludes the end of the year retained earnings. Statement of the Owners’ equity It shows the changes in the stockholders equity at the end of the accounting period. In shows the addition to capital, subtraction or with drawl from capital. Cash Flow Statement The statement of cash flow details the inflows and outflows of cash during the a specified period of time, the same period used for the income statement. It consists of three sections: i. Cash flow from operating activities ii. Cash flow from investing activities iii. Cash flow from financing activities Key Financial Data of Nestle (Rupees in million) 2013 2012 2011 Trading Results Sales 86,227 79,088 64,824 Gross Profit 24,161 21,523 16,725 Operating Profit 11,471 10,966 8,458 Profit Before Tax 8,113 7,978 6,503 Profit After Tax 5,867 5,865 4,668
  35. 35. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE35 Balance Sheet Shareholders’ Funds 11,859 11,560 7,612 Reserves 11,406 11,107 7,159 Operating Fixed Assets 31,468 21,882 16,089 Net Current Assets/Liabilities* 4,767 (3,120) (3,352) Long Term Liabilities* 22,429 19,351 10,821 Investor Information - Gross Profit Ratio 28% 27% 26% - Operating Profit Ratio 13% 14% 13% - Inventory Turnover Ratio 7.8 : 1 7.7 : 1 8.2 : 1 - Total Assets Turnover Ratio 1.7 : 1 1.8 : 1 2.2 : 1 - Market Value Per Share 7,550 4,733 3,597 - Debt Equity Ratio 68 : 32 69 : 31 69 : 31 - Current Ratio 1 : 1 0.8 : 1 0.8 : 1 Swot Analysis Strength Brand: One of the greatest strengths of nestle is its brand name and brand image in the local Pakistani market. People trust nestle. They see nestle as a top priority product. Although the price matters a lot for a customer but when the name comes of nestle, the customer is willing to pay any amount for the products of nestle. So they have not only the increasing customer demand but also the customer retention as well. Similarly the consumers taste is changing, the consumer is more aware, and consumer gives lot of importance to the hygiene and Nestle has positioned its products in the mind of consumers as top hygienic products. So it is also a great strength. Time Spent in market: Nestle has been serving its consumers since 140 years and it is a very long time span. Similarly Nestle Pakistan has been serving Pakistan since so long. If we talk about specifically Nestle Kabirwala Factory, it has also been become very experienced in the
  36. 36. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE36 market. In 1990, Milkpak acquired the Kabirwala factory, located in Khannewal district of the Punjab, as a subsidiary. By 1997 it was a fully owned unit of Nestlé Pakistan Ltd. Soon after it was acquired, we began upgrading its capacity. Human Resource: “You can copy the policies, you can copy the procedures, but you cannot copy the people.” No doubt the Human Resource at Nestle is very competitive and if we specifically talk about Nestle Kabirwala Factory, the management as well as the workers, all are the greatest asset of Nestle Kabirwala Factory. So it is one of the greatest strength of Nestle Kabirwala Factory which is ensuring its sustainability and continuous growth in the market. The diversified workforce has been proved very effective in the way to continuous excellence. In Nestle Kabirwala Factory there has been so many people working and They are all from different backgrounds, caste, color, religion and different mindsets. So the diversified workforce has b been proved to be very productive and competitive. The management is also diversified and this is helping the Nestle Kabirwala Factory to ensure the idea generation process. The top management is no doubt the greatest strength of Nestle Kabirwala Factory. World Wide R&D: Research and Development is a key competitive advantage for Nestlé. Without our R&D Nestlé could not have become the food industry leader in nutrition, health and wellness. With 29 research, development and technology facilities worldwide, Nestlé has the largest R&D network of any food company. Nestlé’s research, development and technology network, together with local market application groups, employs over 5,000 people. Weakness Strong unionization: The increasing influence of unionization in Nestle Kabirwala Factory has been the sign that employees have been lacking trust on management. Therefore they are joining the unions. It can also be due to the increasing job security, sense of having less benefits and not having competitive salaries, so thee employees are joining union and want negotiations with the management. Communication problems and grapevine: Because the Nestle is a multinational Company and it is serving in a market where the effective communication is very important to gain the confidence of the employees. The people at Nestle Kabirwala Factory are very use to the grapevine and therefore they immediately lose the confidence from the management without any confirmation. So the management needs to get the people in confidence that it cares for its employees as well. Third Parties: One of the weaknesses of Nestle Kabirwala Factory is that it is relying on the third parties in most of its operations. For example it has been working since so long but still it has not focused on the forward integration and is completely relying on the distributors.
  37. 37. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE37 Similarly for the following jobs the contractual labor is hired; 1. Labor, NDC, R & P, Canteen, Gardening 2. Mechanical works 3. Mechanical Engineering 4. Paint Job 5. Repair and maintenance of the buildings 6. Security Services 7. Scrap disposal 8. Electrical services 9. Laundry 10. Transportation Relying too much on third parties can be a weakness which can turn into a threat in future. Target Market: The target market of Nestle MilkPak is upper middle and high class because lower middle and poor class cannot afford to buy UHT milk due to its premium price. Opportunities Market Opportunities: The local market is not fully saturated and still there is a huge market that can be captured by Nestle. Specifically talking about the Nestle Kabirwala Factory There are substantial growth opportunities considering the average yield of Pakistani animals at only 1,100 liters/annum as compared to 6,000 liters/annum for animals in Europe and USA. There are nearly 20 million milk producing animals in the country, mostly in Punjab (80%). The overall milk market in Pakistan is 20 billion liters; out of which processed milk contributes only 3 million liters. Nestlé MilkPak along with other processed milk businesses contributes only 2% to this large market. Nestlé MilkPak has expanded its product range by entering the cold dairy market recently by launching Nestlé plain yogurt and now fruit yogurt is also added to it. 1. Competitors are also not there to serve the market which is not captured. 2. Nestle is only a food company but it can target other FMCG’s as well similarly it can diversity its products and become a conglomerate as well. 3. It can gain more supplier integration which has not been done yet. For this purpose nestle has developed two model forms in Rinala and Sahiwal With the name of “Dairy Hub” and “Sursubz Form” respectively. For this purpose European breeds have been imported and are given on easy installment to the farmers. The expertise are provided free of cost. 4. Nestle can educate the supplier and for this purpose it has started the project named UHTP in which lady livestock workers have been given training from villages. 5. Nestle has been relying on two distributors in south Punjab. One is located in Multan and other is in Bahawalpur. Nestle can go for forward integration as well. 6. As nestle has targeted upper and middle class consumers, it has the greater opportunity to
  38. 38. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE38 target the lower class customers. Third largest producer of milk Pakistan is the Third largest producer of milk in the world with a total production of 32 billion liter of milk a year, whose value is more than that of the combined value of wheat and cotton, from a total herd size of 50 million animals (buffaloes and cows). Livestock accounts for 46.8 percent of agricultural value added and about 10.8 percent of the GDP. Milk is the largest commodity from the livestock sector accounting for 51 percent of the total value of the sector. Due to the steps taken by the government and private sector, country’s annual milk production is expected to grow at an additional 3 billion liters in the next few years. This is quite an opportunity for Engro foods as there is lot of growth in this part of the sector. Improving Economy Population growth rate. High urbanization rate and high literacy rate. Flexible government policies for food industry. Have significant growth opportunities Has sufficient capital to expand. Has the potential to innovate and differentiate the company's products to sustain a competitive advantage Threats Following can be the threats for Nestle Kabirwala Factory; Too much dependence on third parties As nestle has been very efficient in its operations but it is getting the services of the third parties. So too much relying on the third parties can also be a threat for nestle. Because it involves so many uncertainties. So it can be a threat for the company to rely many of its operations on the third parties. Limited distribution Having a very limited number of the distributors and solely relying on them can also be a threat. Because too much reliance on them may cause Nestle to lose of control and power over distributor and high dependence on the distributors. Uncertainty in economic condition in Pakistan Price fluctuations due to rupee devaluation as raw material are imported. The uncertainty of economic conditions poses a great threat as the major funds invested in the country come from outside Pakistan. Entry of new competitors Market is growing and is attracting new competitors so the entry of new
  39. 39. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE39 Competitors is one of the major threat for Nestle Pakistan. As already thee entrance of Engro Foods has been a very competitive situation for Nestle Pakistan. Unionization Increasing trend of unionization is also a threat for nestle. Because it can weaken the company’s image as well. Thee negative activities by the union can be an alarming situation for Nestle Kabirwala Factory Limited. MY ASSIGNMENT ON EMPLOYEE OLD AGE BENEFIT INSTITUTIONS In the second week of my internship, I was given task to collect the data from employees about their EOBI (Employee Old-Age Benefit Institution) cards. Basically the data collected consists of CNIC numbers and other relevant information. This exercise was performed to check the present status of EOBI cards of employees whether these cards are already formed or not and if the cards are not formed, then these employee’s card will be applied at EOBI website. I was provided with list of all the permanent employees of the factory. Some employees CNIC and EOBI numbers were mentioned on the list. List was segregated department wise. I started with the Engineering department and visited different personnel there asking about the information of EOBI cards. Some employees provided me with the EOBI card number while some were not aware of their card number. I marked these employees on the list for applying for their EOBI card in near future. Then I visited Quality Assurance department and similarly I visited every department and tried to meet the employees personally. It took two to three days to complete the visit of each department of factory. Employees work in three shifts. Those employees whom I was unable to contact in first day of visit to their respective department became available later on next day or day three. The pace of work was slow initially. But gradually when employees became aware that this exercise is in their favor, they started co-operating with me much more and also communicated with other employees to provide me with relevant data necessary for EOBI card applying. Team Leader also circulated message among their sub-ordinates to check about their EOBI card number. If number is available then provide, otherwise provide relevant information.
  40. 40. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE40 After collecting maximum of data about the EOBI card numbers, CNIC numbers and other relevant information, I reported to my supervisor Mr.Waseem Ahmad (Employee Relations Manager) & Mr. Liaqat Ali (Public Relations Manager). Next step was to check this data online on the website of EOBI. The procedure was to enter CNIC data in website and check out whether any record is available relevant to this CNIC on the website. All the CNIC of whole factory employees were checked. Most employees EOBI data was available on website. The data provided by the employees was also cross checked for verification. The employees having no record of EOBI number were marked. Furthermore step was to apply for the EOBI card number of those employees having no record. Mr. Liaqat Ali supervised this activity and employees having no EOBI card number were applied for this card. This whole exercise of working over EOBI card number was carried out gradually in my internship tenure of six week. CELEBRATION OF 14 AUGUST 2014 It is tradition of Nestle to celebrate national occasions whether it is of Aftaar Party, Birthdays of National personalities, Defense day or 14 August as Pakistan Day. During my internship we celebrated 14 august with patriotic enthusiasm among the employees of Nestle KBF. We decorated the interior of the Admin department of Nestle KBF with Pakistani flags and balloons. We arranged a quiz competition and national song singing event among the employees. The winners of quiz competition were awarded with T shirts. In the national song singing event, 5 volunteer among each department sung the national song and other employees sung with them. On the day of 14 august, celebration ceremony started at 9 am. First of all, recitation of Holy Quran and Naat took place. After that national anthem was played and national flag was hoisted by the Factory & HR Manager and all other employees wavered small flags. Afterwards, volunteers from the employees sung national songs and others also sung with them. The celebration ceremony lasted for nearly 4 hours and it ended with playing of national anthem.
  41. 41. INTERNSHIP REPORT 2014 NESTLE KABIRWALA FACTORY LTD PAKISTAN PAGE41 Distribution of Continuous Improvement Award Nestle has a clear policy on recognition and reward. During my internship we also arrange a function for distribution of CI award and gifts to the employee of the KBF. The Factory Manager gives rewards to the recognized employee so this activity has proved very helpful in increasing the morale of the employees. CONCLUSION The period of my internship with such esteem organization like Nestle KBF Pakistan was a great delight for me who enhanced my knowledge up to latest trends and bridged the gap between theoretical knowledge and practical approaches being implemented in the industry. The learning environment was superb, just like an ocean where you come, take what you want but there is no deficiency in that ocean. The safety & hygiene practices followed at Nestle KBF are superb. There was no compromise on product quality. Moreover, different HR departments such as Procurement, Employee Services, Employee Relations, Industry Relations, Personnel Development, Trainings etc. are working within their premises and they co-ordinate with each other for the overall effectiveness and synergy creation. With their collective efforts, employees of the factory feel better. Nestle Pakistan emphasize on the motivation of the employees, so employee are motivated and work more efficiently. What I had learnt here is how to tackle the people who are busy on their lines and how to get their attention towards us. Beside the project I had learnt how nestle is working to delight their consumers and how nestle keep the best quality product with low cost for the consumer. Lastly, I would definitely say that working at Nestle KBF was a charm for me. I will always remember these moments which I spent here. This was our best experience we ever had in our life.

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