EXECUTIVE SUMMARY

As management students, we got exposure in the HRM department of Avari hotel. Since we are business students, so it is very important part of our business studies to go out and get a practical knowledge. Mr.Awais Khan was holding an office of HRM in an acting capacity. This report covers the detail description of Avari hotel and its HRM department. We have discussed our visited experience in HRM department some of the weaknesses of Avari hotel, and future prospects. Then our recommendations in context to product improvement, employee relationships, consumer relations and profit enhancements are also described in this report. This report is based on our visited experience and knowledge which we have acquired during our visit and personal experience.

AVARI HOTEL LAHORE

INTRODUCTION

The Avari family own and operates the 240 room 5 star hotel Avari towers at Karachi, the 5 star deluxe 200 rooms Avari Lahore and the seafront beach luxury hotel at Karachi. Additionally, Avari hotels limited manages the 220 rooms 4 star deluxe Avari Dubai and 200 room Aamada Hotel Toronto Airport in Canada. Avari hotels are designed for business, traveler and conference or incentive group organizers whose discerning taste demands luxury accommodation, a higher level of personal service and quality amenities all for a less than luxury price. Avari hotels offer the very highest standards of facilities, amenities and service, from the moment you are welcomed by the friendly door man, to the time you are ushered into your luxuriously furnished accommodation, you will be able to relax in the warm and inviting ambience of Avari hotels. Avari plaza is a 150,000 sq.feet commercial complex adjacent to the Avari towers at Karachi whose tenants are prime multinationals like IBM, Lever/Lipton, ABN-AMRO, national bank of Pakistan, united bank limited, American airlines, Canadian airlines international and other international airlines offices. Avari travel agencies (PVT) limited represent American airlines and Canadian airlines international as their GSAs in Pakistan. This company has the required organizational backup with a network of offices that are manned by professionals to represent international airlines in Pakistan. The Avari group is highly respected in the business community and carries the necessary references required to assure its business partners of their ability and competence to achieve the targets and meet its goals.

HISTORY AND BACKGROUND

This year is 1905 two Italian gentlemen, Falettis and Nedous, start building a hotel in Lahore completed in 1908, named the nedous, this hotel is not only in the heart of the city, but also in the heart of history itself, as it belongs to the daughter of Mr. Nedous, who marries sheikh Abdullah, the late president of post partition Kashmir. In 1947, after the independence of Pakistan, Nedous was not run as hotel, but was turned into numerous small offices. In 1961, Nedous was auctioned to the late Mr. Dins haw Avari and after extensive renovations PAK LUXURY HOTEL came into existence in 1962, with 80 rooms, 50 of which were suits, Pak luxury boasted of dining halls, a lobby, card room, billiard rooms, garages and 150 rooms for servants. Each of the 50 suits, besides a huge bath offered attached dressing and sitting rooms, along with their own servant room and a parking garage: Vedera (rich landlords) and businessmen were the usual clients. Year 1970 saw end of this grandeur as this building was demolished according to a contract with the government. The foundation stone for the present hotel was laid on September 23rd 1973 and was inaugurated on January 3rd 1978, in association with Hilton international for 10 years. Hilton international Lahore operated as one of the only two five-star hotels in Lahore. On October 1st 1988, this contract came to an end and the management of Hilton international Lahore reverted back to the owners, Avari hotels limited. The Avari hotels in Lahore and Karachi now portray logo with the name Avari Lahore and Avari tower Karachi.

MISSION STATEMENT

We aim to provide all our guests outstanding quality and comfort with genuine friendliness and professional warmth surpassed by none

STANDARDS TO ACHIEVE OUR MISSION

Unconditional team work and communication. Being fair with our guests and with our colleagues. Personal responsibility For oneself For property Protecting assets Identifying defects For knowing the product For making guest complaints your own and recording them properly to prevent a repeat occurrence.

Salesmanship being everyones responsibility. Always talk positive about hotel Sell services of hotel Being profitable

DETAIL DESCRIPTION AND WORKING OF HR DEPARTMENT

As an interviewee we got interview in HR department of Avari. HR department of Avari is associated with performing the administrative function of an organization, such as handling employee benefit questions or recruiting, interviewing and hiring new staff in accordance with policies and requirements that have been established in conjunction with top management. In the next few pages we are going to discuss the detail working of HR department based on our learning and knowledge which we acquired during interview.

Functions Of HR Department In Avari:

In Avari HR department is performing the following functions. Conducting job analysis Planning and recruiting job candidates Selecting the job candidates Orienting and training the new employees Managing wages and salaries Providing incentives and benefits Appraising performance Communicating

General Hiring Procedures:

The following is the hiring procedure discussed: An AD is given in the newspaper, CVs generated by the AD are screened Than candidates are called for interviews and selection is done. Once the decision has been taken, salary package is negotiated. The hired candidates are issued an appointment letter. The candidates are told when and where to report

Interviews:
How An Entry Interview Is Conducted: Candidates are given employment application form. The candidates will fill out the employment application form. HR manager takes the interview of applied candidates. Who passed in the pre interview selection process i.e. application forms etc. He then recommends few capable candidates to the department head and the final selection is made in their office. Interview Rating Form:

There is an interview rating form that is filled by the interviewer. The major contents of the form are as follows: Appearance and grooming Professional qualification Experience and knowledge job applied for Communication skills Balance poise and maturity Potential for growth Reasoning and judgment

STRATEGIC HUMAN RESOURCE MANAGEMENT

Formulating and executing HR system HR policies and activities that produce the employee competencies and behaviors the company needs to achieve its strategic aims. Linking firms different strategies: Companys competitive environment

Companys strategic situation strategic plan

Companys

Companys internal strength and weakness

Organizational performance Strategies

Companys HR

THE HIGH PERFORMANCE WORK SYSTEM

Every company tends to create a human resource system thats uniquely appropriate to its needs, for instance with selection and recruitment practices that makes sense for it. However there is certainly a trend towards installing HR systems that broadly share many characteristics. These include multi skilled work teams; empowered front line workers; extensive training; labor management cooperation; commitment to quality and customer satisfaction. Based on an ongoing research program with over 2800 corporations, firms that use high performances policies do perform a significantly higher level than those that do not. The High Performance Work System is a set of HR policies and practices that maximize the competency and commitment and abilities of firms employees in practice this means that HR activity produces measureable superior results. As hotel industry is service providing industry. HR has to play special role in this industry. Avari hotel is also taking the help of high performance work system which are helping them in superior recruiting screening training and other HR strategies. High performance work system is helping Avari groups in placing employees in self managing and cross functional training. The employee turnover rate is very high in Avari hotel and they want reduce it by implementing high performance work system. With the help of these work systems that are cutting the training hours for the employee. Secondly they are implementing employee empowerment in their firm.

The Components Of An Effective Performance Management Process

Direction sharing Role clarification Goal alignment Development goal setting Ongoing performance monitoring Ongoing feedback Coaching and support Performance appraisal Rewards, recognition and compensation Workflow and process control and return on investment management

Performance Appraisal Methods

Graphic Rating Scale A scale that lists a number of traits and a range of performance for each that is used to identify the score that best describes an employees level of performance for each trait. Alternation Ranking Method Ranking employees from best to worst on a particular trait, choosing highest, then lowest, until all are ranked. Paired Comparison Method Ranking employees by making a chart of all possible pairs of the employees for each trait and indicating which is the better employee of the pair. Forced Distribution Method Similar to grading on a curve, predetermined percentages of rates are placed in various performance categories. Example 20 percent low performance 15 percent average performance etc

Critical Incident Method The critical incident method of performance appraisal involved identifying and describing specific events (or incidents) where the employee did something really well or something that needs improvement. It's a technique based on the description of the event, and does not rely on the assignment of ratings or rankings, although it is occasionally coupled with a ratings type system. Narrative Forms The final written appraisal is often in narrative form. Behaviorally Anchored Rating Scale (BARS)

An appraisal method that uses quantified scale with specific narrative examples of good and poor performance. Developing a BARS requires typically five steps: Generate critical incidents Develop performance dimensions Reallocate incidents Scale the incidents Develop a final instrument

Computerized and Web-Based Performance Appraisal

Performance appraisal software programs Keep notes on subordinates during the year Electronically rate employees on a series of performance traits. Generate written text to support each part of the appraisal.

Electronic Performance Monitoring (EPM) Having supervisors electronically monitor the amount of computerized data an employee is processing per day, and there by his or her performance.

SPECIFIC METHOD FOR APPRAISAL

The specific method AVARI uses for performance appraisal is judgment method and critical incident method both are very good tools. They keep the positive and negative records of employees and review it at predetermined times. They overall judge the employee and then give a consequence about him. We expect a continuous good performance from our employees. Competition is very strong because the numbers of employees are fewer. Greater the mistakes he do greater he will suffer. One cannot hide his mistakes. They give a chance to their workers to improve and do better in future. To avoid any issue its necessary for them to give a continuous good recital.

How To Handle A Defensive Subordinate

The HR manager told that there are some situations exist like:

A worker is working quite well for the whole year and loses his efficiency at the time of appraisal due to some domestic reasons. In this situation we give a relief to an employee and compensate with him and expect a good work in future. A worker do not works well for the whole year but at the time of appraisal he started buttering of the manger. In the situation we give one chance to him to avoid such things in future.

FACTORS OF APPRAISAL TNA

Knowledge of Job Quality of Work Quantity of Work Courtesy Reliability and Adaptability Personal Qualities Cooperation Initiative Discipline Communication in English

These factors are rated qualitatively and numerically and signed by the worker and the supervisor and reviewed by the further management.

Steps in Appraising Performance

There are many steps involve in appraising performance three of them are as follows: Define the Job Assessment Persuade

Define The Job

It means making sure that supervisor and subordinate both have agreed on their duties and job standards.

Assessment
A supervisors responsibility is assessing and giving timely feedback to their staff on their performances. There are many benefits in doing this. Feedback on performance that is given as soon as possible has proven to be the most effective. Let, people know quickly so they can either address the error or replicate the success.

Persuade
This is mostly applies at the end of performance appraisal or after the meeting which also marks the end of one appraisal performance cycle and the beginning of the next, their job is to encourage. They want to motivate the employee to continue doing that which he does well and to improve in the areas where there is a room for escalation

PURPOSE OF PERFORMANCE APPRAISAL

The main of evaluation system is to identify gaps (if any). This gap is the shortfall that occurs when the performance does not meet the standard set by the organization as acceptable. Appraisals provide information upon which promotion and salary decisions are made. They provide an opportunity for supervisor and subordinates to review his performance.

PERFORMANCE APPRAISAL ACCORDING TO THE HR MANAGER:

Performance appraisal means evaluating employees standards current or past performances. Appraisal involves: Setting work standards Assessing the employees actual performance relative to these standards. Providing feedback to the employees with aim of motivating that person to eliminate deficiencies.

In Avari performance appraisal is done in every six or three months and they do their evaluation on these bases. The feedback of the line managers is given to the department head.

The Role of HR Manager

When forms come to them he studies them and removes or corrects error if any. They rectify the environment which is causing problems. Their maximum effort is to satisfy their employees and create a friendly environment between them. They have an open door policy and have a one to one interaction between employees. They know the majority of their employees working under them by Name, nature, personality and character. Then they see that the employee is working according to their perception or not. They do their maximum effort to appraise the performance of their employees and motivate them for work.

Basic Problem In Appraisal

The problem occurs when the interaction of employees by nature is very good but he is not performing up to the mark that causes biasness. The manager said there is a dilemma that when appraising performance chances of biasness exist all over the world.

Why Performance Appraisal Is Necessary?

We check performance of employees for evaluation For their promotions, recommendations and the monetary benefits. It is also the right of our religion.

The Need For Appraisal

Basically we want to evaluate a continuous performance of our employees. After performance appraisal they identify needs of their employees. They see what kind of training they need after identifying this they make a proper plan for training. Through performance appraisal they also give monetary benefits to employees having an outstanding performance. Monetary benefits include increment in salary, special bonuses at the end of the year. We further discuss about benefits from senior management. Their seniors mangers praise them for their efficient work.