1.

1 INTRODUCTION:

The automobile industry is currently one of the most important in the world. Though the
industry was birthed in the United States and Germany, Japan and China are now the
countries which are home to the worlds largest automotive industries, with many other
nations pitching in with their own unique contributions. Transportation is one of the
major industrial sectors of a society. As the country is developing more and more, the
demand for vehicles is also rising. In fact, Bangladesh is not manufacturing any type of
motorized vehicles, it is totally dependent on imported ones. Particularly, Bangladesh
vehicle market is being dominated by imports from Japan, Korea and India. India has
started to increase its local market share in recent years. Over the last few years, the
unemployment rate went down and foreign investment increased. As a result, many
individuals can now afford personal transportation facility. Most importantly, there are
several automobile companies operate business successfully by manufacturing or
assembling the vehicles. Apart from this, Ifad Autos Limited is one of the emergent
automobile company which has been run business since 1985 as a sister concern of Ifad
Group. Admittedly, todays competitive environment, high performing organizations, for
example, Ifad Autos Limited has learned how to deploy human resources practices to
enhance competitive advantage. Human resources management faces challenges of
bringing better fitted workers in the organization and meeting the workers needs and
expectations. Therefore, Ifad Autos Limited would be established human resource
practices wherein need to be revamped and rejuvenated to be more dynamic, effective
and in tune with changing situation. The people management in this automobile
organization should cultivate a climate characterizing values such as open
communication, trust and respect for human capital in order to promote employee and
organizational performance.

1.2 EVOLUTION OF AUTOMOBILE INDUSTRY:

It is known that people in the developed countries like Japan do not use cars for a long
time, after using one for a few years they discard the vehicle and go for a new model.
Having no demand in the domestic market, these used cars are sold to Bangladeshi car
dealers. The cause of concern in this regard is environmental degradation at the cost of
hard earned foreign exchange of the country.

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 Automobile Industry Heads Current Scenario
Local Demand $ 2.58 Billion
Raw material source(Local: Imported) $ 5:95 Million
Future Investment possibility $ 2.5-3 Billion
Future employment option $ 1.5 Million
Import situation $ 2.01 Billion
Source: BOI, Bangladesh

Auto rickshaws have been producing in Bangladesh since 1980s and local production of
motorcycle begun in early 2000s. As one of the fastest growing and most promising
economies in Asia-Pacific region, Bangladeshs economic outlook is highly promising
with an anticipated real annual GDP growth at 7 percent on average until 2018. With
improving road infrastructure and greater household purchasing power in Bangladesh,
used car sales are set to accelerate over the next five years. Bangladesh is among the
leading importers of reconditioned cars.

Bangladesh offers the most liberal FDI regime in South Asia. There is no limit on equity
participation and repatriation of profits and income. Tax holidays and accelerated
depreciation is also allowed. Businesses exporting at least 80% of goods or services
qualify for duty free import of machineries and spares and bonded warehouse facility.
Cash incentives for selected products. Equal treatment for local and foreign investors.
Foreign investment is protected from expropriation and nationalization by the Foreign
Private Investment (Promotion & Protection) Act 1980. Complete duty and quota free
access to EU, Japan, Canada, Australia and most other developed countries. Investors can
repatriate dividend and capital at exit. Young and energetic work force, nearly 60% of
the total population is economically active and almost a million graduates enter the
workforce annually. Bangladesh is a signatory to ICSID, UNCITRAL, OPIC, MIGA,
WAIPA, WIPO and WTO.

Currently in Bangladesh, there are many new and reconditioned cars available from
different companies. But there is no local car or automotive manufacturer yet. But, a state
running company called Pragoti has been manufacturing Mitsubishi vehicles at a low
rate. Though there is no automotive industry in the country, there are some companies
that manufacture motorcycles. Since two stroke engine vehicles are banned in the
country, the demand of motorcycle has increased. In 2003, when Baby taxis were
withdrawn from Dhaka city, many people realized the demand of motorcycle.

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Bangladesh has a huge demand of automobiles for the increasing population and we have
to import cars from abroad since there is no local car company. In Bangladesh, more than
80% cars are coming from Japan. To tackle this situation, government has barred import
of cars which are older than 4 years from the manufacturing date and also surcharged the
taxes on import of new cars to discourage the import of reconditioned cars.

Till now, the automotive market in our country has been dominated by Japanese, Korean,
Chinese, German, Indian and other car companies. Now if an automotive industry is set
up in Bangladesh, it will surely improve current scenario and thereby contribute to
countrys development.

Products Brand Name

Heavy Bus Hino, Mitsubishi, Isuzu, Volvo, Tata, Ashok Leyland etc.
Mini bus Hino, Mitsubishi, Isuzu, Toyota, Sawraz Mazda, Tata, Eicher
etc.
Microbus Nissan, Mitsubishi, Toyota etc.
Heavy truck Hino, Tata, Bed Ford, Isuzu, Ashok Leyland
Mini Truck Hino, Tata, Mitsubishi, Isuzu, Toyota, Eicher, Sawraz,
Mazda etc.
Motor Car Toyota, Mercedes Benz, Nissan, Mitsubishi, Ford, Suzuki,
Dewoo, Proton Saga, Proton Vira, Hyundai, BMW, Maruti
etc.
Four wheels Toyota, Tata, Mitsubishi, Nissan etc.
Auto tempo Bajaj, Krishan
Scooter Bajaj, Krishan
Motor-cycle Honda, Xingfu, Jialing, Jangshen, Yamaha, Suzuki, Hero,
TVS Victor, Bajaj Vespa etc
Light & heavy Nissan, Dewoo, Hyundai, Volvo, Ashok Leyland, Tata, Hino,
commercial vehicles Mitsubishi etc.
Farm and agricultural Hyundai, Dewoo, Dongfang, Dongchang etc.
vehicles
Source: BOI, Bangladesh
Vehicles are the major cause of air pollution in Dhaka. Especially vehicles that run in
diesel pollutes the air more. French company Renault manufactured Twizy, Ford brought

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The Focus Electric which completely runs on electric power and are not harmful for
environment at all. But in Bangladesh, there is no single electric car charge station and
the environmental awareness is much lower than the industrialized countries of the west.
Therefore it may take a long time for Bangladesh to start importing electric cars. But
CNG auto rickshaws have been a great alternative so far. It is clear that the vehicles
industry will grow more and more over time as districts like Sylhet, Khulna etc. are also
being developed fast. In addition more and more brands are getting interested in opening
manufacturing factories in Bangladesh.

There are well over 11 automobile companies in Bangladesh and now several automobile
companies are on discussion to build automobile factories in the country. Like other
industries, the automobile industry is one of the major sectors which can contribute a lot
to economic development and at the same time it removes unemployment problem.
Focusing on it, many other supporting equipment and spare parts companies are built up,
indicating much employment throughout the country. Progoti Industries Limited is an
only one state-owned automobile company in Bangladesh which involved in assembly of
CKD/SKD automobiles. If it could run in full operation then thousands of people could
be employed in this company.

Automobile manufacturing is one of the tremendous potentials of heavy industries in

Bangladesh. The market condition is matured enough to go for manufacturing import-
substitute vehicles of different categories, bus, minibus, truck and especially sedan for
personal use. In 2009, the Malaysian Agate group proposed to build a car manufacturing
plant in Bangladesh in cooperation with Walton, which itself is preparing to produce
motorcycles. In February 2010, Japanese car manufacturer Mitsubishi officially proposed
to the Bangladesh government to manufacture him Mitsubishi Pajero Sport in
collaboration with Pragoti Industries, with a goal of production in 2011. Presently
Japanese reconditioned cars dominate the Bangladesh market. Around 20,000 used cars
are imported each year, while the number is 2,000 for brand new cars. Some brand new
carmakers like Ford have already initiated move to enhance their presence in Bangladesh
(The Daily Star, February 25, 2014). Japanese Toyota still leads the market in both used
and brand new car segments. The automotive industry in Bangladesh currently
manufactures auto rickshaws and a locally designed three-wheeler motor vehicle,
Mishuk, utilizing an engine from Honda. The country has a few large car plants which

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assemble the Mitsubishi Pajero Sport, Hino bus, and also the Tata bus and motorcycles.
According to recent study, auto E-Commerce has grown at such an overwhelming rate
that now as many as 80 percent of new car customers and almost 100 percent of used car
customers begin their car shopping experience online in Bangladesh. As internet and
mobile access significantly growing in emerging markets and the rate of moving the car
shopping experience online is beginning to reflect that of western markets. Global
automotive sales for 2015 are expected to reach close to $89 million, a 2.4 percent growth
from 2014. A recent study said, Emerging markets share of global sales will rise from
50 percent in 2012 to 60 percent by 2020, while their share of global profits is also set to
rise by 10% (BIDA, March 07, 2017).

Most of the Toyotas on Bangladesh's clogged roads, however, are second hand,
reconditioned imports shipped from Japan. While Toyota has 80% of the market share,
reconditioned sedans account for more than 85% of sales. Since there is no official
automotive industry in the country, Bangladesh has to import cars from abroad by paying
high amount of taxes. Car sales will grow significantly only when the tax rate will be in
a tolerable state. The National Board of Revenue has decided to raise the tax benefit
ceiling for the import of hybrid cars up to 2500cc, which was earlier set at 1800cc, for
the fiscal year 2013-14 budget. If the current tax structure remains same, then the sales
of good quality small cars will increase.

Globally, China became the largest automobile market in the world for the full year 2009,
overtaking the United States. India became the 6th largest automobile producer and the
second fastest growing automobile market (after China) in the World. Based on
Carmudis Car Dealer Survey, car dealers were divided when it came to car sales during
the past year. 40% saw no change, and the remaining 60% were equally split, at 30%
reporting seeing an increase in sales, and 30% reporting seeing a decrease. One possible
explanation is the competitive dealer marketplace. Automotive Division, explains, due to
high stock, the competition is now more intense, the best deals that auto-importers must
make will be bigger, faster, riskier, and fraught with complexity. Another factor could be
the recent periods of instability. Based on the Survey, it is found that the majority of
respondents have moved to the digital world for researching and purchasing cars. Online
classifies were the most widely used with 70% of respondents saying these platforms
were highly influential in their decision making (Carmudi Car Buyer Survey, October 06,

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2015). In addition, 20% said internet searches, and 10% listed dealer sites as a major
influencer. Traditional media in this case, newspaper classifieds were selected as a major
influencer by 40% of respondents. The reconditioned car traders have expressed mixed
reactions to the proposed budget for fiscal year (FY) 2013-14 (Dhak Tribune, March 07,
2016).

Nevertheless, the difference would not be eliminated completely as the authority did not
bring about major changes to depreciation rates and duty structures in the budget.
Bangladesh Reconditioned Vehicles Importers and Dealers Association (BARVIDA)
somehow welcomed the budget as the government increased depreciation rates slightly
which will help reduce the prices of used cars. The government has increased
depreciation rates from 35 per cent to 45 per cent for 1500cc cars in the proposed budget.
If the government could raise the depreciation to 60 per cent, the difference between old
and new cars would be removed totally. Thus the consumers can get a car at a low cost
and thus increase revenue collection because of the rise in deprecation rates. But the price
will not be changed for 2011 model cars while it will be increased by around Tk 150,000
for 2012 model ones from the total value. Earlier the traders got 35 per cent depreciation
for all such cars.

Most importantly, the vehicle traders also urged the government to consider their
proposals for the revised budget. Their proposals include waiving import duty on
microbus as it carries more people than private car and reducing import duty and cc slab
of used cars. Now the maximum import duty is 841 per cent and minimum 131 per cent
on reconditioned motor vehicles, according to the importers. It is reported that due to tax
anomalies and scarcity of bank loans a large number of traders closed their business. As
per data the country had imported some 7000 used cars in FY 2012-13 so far. The figures
were 1,100 in FY 2011-12 and 19,823 in FY 2010-11 (BIDA, March 07, 2017). BMI
(Business Monitor International Rebrands) Research, part of Fitch Group, viewed that
Infrastructure development should lead to another positive year for the Bangladeshi new
vehicle sales market in 2016. It is forecasted 15.3% sales growth for the sector as a whole,
with commercial vehicles set to outperform passenger cars.

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1.3 COMPANY PROFILE

IFAD Autos Limited is engaged in the business of dealing in vehicles in various sectors
of Bangladesh. Ifad Autos Limited was incorporated in Bangladesh on February 17, 1988
as a private limited company and was subsequently converted into a public limited
company on 30 September, 2011. The company received A from CRAB based on
vibrant and sound financial performance. Furthermore, the Credit Rating Agency Crab
(Credit Rating Agencey Bangladesh Limited) has awarded Ifad Autos Limited A1 (Long
Term) and ST-3 (Short Term) basis. The Ultimate outlook is stable in credit worthiness.
The companys vision denotes, To ensure a favorable atmosphere in the transport sector
in Bangladesh and Mission as Our mission is to provide Bangladesh with reliable
models of transportation; both passenger and cargo, to facilitate business maintain
sustainability in their logistical and operational needs. Most importantly, the companys
board of members have been fostering the precious Core value, namely optimistic,
integrity, efficient, consistent, and reliable.

Ifad Autos Limited collaborated with Ashok Leyland Limited, India since 2002 for
importing complete bus, truck, pick up chassis and ESCORTS Limited, India since March
01, 2016 for importing and marketing of different models of Farmrtac brand like
agricultural tractors, implements, other special construction equipment and spare parts.
The Company is engaged in importing, marketing and body-building of different models
of vehicles, through its own marketing staffs, dealers and selling agents in various
districts of the country. The types of vehicles include air-conditioned buses, deluxe buses,
goods trucks, dump trucks, and prime movers. The Company has sales outlets at Khulna,
Rajshahi, and Chittagong divisions, which cover the districts, such as Jessore, Faridpur,
Mymensingh, Rangpur, Comilla and Sylhet in Bangladesh. It offers 52 seat bus, 42 seat
bus, and 38 seat bus. It offers Lynx diesel buses. It offers Tusker Super 1613 covered
vans. It also offers milk tankers, tippers, and Taurus cement carrier. Its light commercial
vehicle (LCV) offers lighter cargo vehicles. It serves both private and public sector
customers.

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 At a Glance
Turn Over Tk. 6,932,578,110.00
Number of Vehicle Sold 3821
Growth Rate 37.09%
Net Income Tk. 58,904,622.00
Contribution to National Exchequer Tk. 2052.7 Million
Source: Annual Report, 2015-16
The number of members of board of directors stands 07 (including two independent
directors) regarding to BSEC. The company had 721 permanent employee as at 30 June
2016 and varying number of seasonal and temporary workers as required which was 93
as at June 30, 2016. Al the permanent employees received salary and allowances in excess
of Tk. 60,000 per annum (Annua Report, 2015-16). During 2014-2015, the company has
introduced Worker Profit Participation Fund for its employees in accordance with
provisions of Bangladesh Labour Act 2006 Sec-232(1).

Top Executive
Name Age Title
MoinuddinAhmmed Chowdhury - Company Secretary
Uttiya Bakshi Abir - Director - Administration & Corporate Sales
Arif Masud Chowdhury - Assistant Director - Sales
Golam Saklaen Miah - Deputy General Manager - Finance
Golam Mostafa - General Manager - Recovery
Abu Sayeed Ahmed - Chief Financial Officer, Compliance Officer
Taskeen Ahmed 34 Managing Director, Director
Iftekhar Ahmed Tipu 65 Chairman of the Board

S.W.O.T Analysis of Ifad Autos Limited

Strengths:
It has well-furnished and Developed.
Market is Available
Demand for the vehicles is high.
Weaknesses:
There is no Human Resource Department.
No initiative on human capital oriented training program.

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 The subject property is very vulnerable at the time of natural disaster such as
Earth quake, Landslide etc.
Opportunities:
The subject property has a good prospect in the subject market area due to the
countrys economy growth in terms of GDP growth.
As the density is growing faster due to civilization.
Scarcity of the household land, commercial space, residential space, and
arable land.
Threats:
There is no such threat except natural disaster and sudden imposition stiff
and stringer government regulations or of any financial institution.

2.1 Theoretical background of Job analysis and Human resource planning

Job analysis, contains a simple term called analysis which means detailed study or
examination of something (job) in order to understand more about it (job). Therefore job
analysis is to understand more about a specific job in order to optimize it. Job analysis is
a systematic process of collecting complete information pertaining to a job. Job analysis
is done by job analyst who is an officer have been trained for it. Job analysis is a
procedure through which you determine the duties and responsibilities, nature of the jobs
and finally to decide qualifications, skills and knowledge to be required for an employee
to perform particular job. Job analysis helps to understand what tasks are important and
how they are carried on. Job analysis forms basis for later HR activities such as
developing effective training program, selection of employees, setting up of performance
standards and assessment of employees performance appraisal and employee
remuneration system or compensation plan. One of the first industrial-organizational
psychologists to introduce job analysis was Morris Viteles. In 1922, he used job analysis
in order to select employees for a trolley car company.

The intention behind job analysis is to answer questions such as:

What is the need of the job to exist?
What physical and mental activities does the worker undertake?
When is the job to be performed?
Where is the job to be performed?
How does the job performed by an employee?

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 What qualities and qualifications are required to perform the job?

Job analysis is a detailed examination of

(1) Tasks that make up a job (employee role),

(2) Conditions under which an employee performing his/her job, and
(3) what exactly a job requires in terms of aptitudes (potential for achievement),
attitudes (behavior characteristics), knowledge, skills, educational qualifications and the
physical working condition of the employee.

Its objectives include

(a) To determine most effective methods for performing a job.

(b) To increase employee job satisfaction.
(c) To identify core areas for giving training to employees and to find out
best methods of training.
(d) Development of performance measurement systems, and
(e) To match job-specifications with employee specifications while selection of an
employee.

(Reference. http://www.whatishumanresource.com/job-analysis)
Definitions of Job Analysis
Some important definitions of job-analysis are as under:

Harry L. Wiley. "Job analysis deals with the anatomy of the job.....This is the complete
study of the job embodying every known and determinable factor, including the duties
and responsibilities involved in its performance; the conditions under which
performance is carried on; the nature of the task; the qualifications required in the
worker; and the conditions of employment such as pay, hours, opportunities and
privileges"

Dale Yoder. "A Job is a collection of duties, tasks and responsibilities which are
assigned to an individual and which is different from other assignment"

Michael J. Jucius, "Job analysis refers to the process of studying the operations, duties
and organisational aspects of jobs in order to derive specification or, as they are called

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by some job description

Edwin B. Flippo, "Job analysis is the process of studying and collecting information
relating to the operations and responsibilities of a specific job "

According to Blum, "A job analysis is an accurate study of the various components of
a job. It is concerned not only with an analysis of the duties and conditions of work, but
also with the individual qualifications of the worker."

John A Shubin "Job analysis is the methodical compilation and study of work data in
order to define and characterise each occupation in such a manner as to distinguish it
from all others."

Scott, Clothier and Spriegel, "Job analysis is the process of critically evaluating the
operations, duties and relationship of the job."

In simple words Job analysis is a formal programme which examines the tasks, duties
and responsibilities contained in an individual unit of work.
Job analysis process:

Reference. http://www.whatishumanresource.com/job-analysis

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Job Analysis is a primary tool to collect job-related data. The process results in collecting
and recording two data sets including job description and job specification. Any job
vacancy can not be filled until and unless HR manager has these two sets of data. It is
necessary to define them accurately in order to fit the right person at the right place and
at the right time. This helps both employer and employee understand what exactly needs
to be delivered and how.
Both job description and job specification are essential parts of job analysis information.
Writing them clearly and accurately helps organization and workers cope with many
challenges while onboard.

Though preparing job description and job specification are not legal requirements yet
play a vital role in getting the desired outcome. These data sets help in determining the
necessity, worth and scope of a specific job.

Job Description

Job description includes basic job-related data that is useful to advertise a specific job
and attract a pool of talent. It includes information such as job title, job location, reporting
to and of employees, job summary, nature and objectives of a job, tasks and duties to be
performed, working conditions, machines, tools and equipments to be used by a
prospective worker and hazards involved in it.

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Purpose of Job Description

The main purpose of job description is to collect job-related data in order to

advertise for a particular job. It helps in attracting, targeting, recruiting and
selecting the right candidate for the right job.
It is done to determine what needs to be delivered in a particular job. It clarifies
what employees are supposed to do if selected for that particular job opening.
It gives recruiting staff a clear view what kind of candidate is required by a
particular department or division to perform a specific task or job.
It also clarifies who will report to whom.

Job Specification

Also known as employee specifications, a job specification is a written statement of

educational qualifications, specific qualities, level of experience, physical, emotional,
technical and communication skills required to perform a job, responsibilities involved
in a job and other unusual sensory demands. It also includes general health, mental health,
intelligence, aptitude, memory, judgment, leadership skills, emotional ability,
adaptability, flexibility, values and ethics, manners and creativity, etc.
Purpose of Job Specification

Described on the basis of job description, job specification helps candidates

analyze whether are eligible to apply for a particular job vacancy or not.
It helps recruiting team of an organization understand what level of qualifications,
qualities and set of characteristics should be present in a candidate to make him
or her eligible for the job opening.
Job Specification gives detailed information about any job including job
responsibilities, desired technical and physical skills, conversational ability and
much more.
It helps in selecting the most appropriate candidate for a particular job.
Job description and job specification are two integral parts of job analysis. They define a
job fully and guide both employer and employee on how to go about the whole process
of recruitment and selection. Both data sets are extremely relevant for creating a right fit
between job and talent, evaluate performance and analyze training needs and measuring
the worth of a particular job.

Reference http://www.managementstudyguide.com/job-description-specification.htm

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PROCEDURE FOR JOB ANALYSIS

Job analysis is done by using two approaches one is

1. work oriented approach and

2. employee oriented approach

1. work oriented approach

this approach focus on the actual task involved in a Job. this approach mainly concentrate
on duties, functions and responsibilities involved in a job

Example
Job of court manager at Courts (judiciary), task oriented approach of job analysis
statement include

The Court Manager shall function under the control and guidance of the Chief
Justice in the High Court, and the District Judge in the respective district Courts.
He shall work on policies and standards, based on applicable directives of superior
Courts, establish the performance standards applicable to the Court (including on
timeliness, efficiency; quality of Court performance; infrastructure; and human
resources; access to justice; as well as for systems for Court management and case
management.
He will carry out an evaluation of the compliance of the directives of the Court
with such standards; identify deficiencies and deviations; identify steps required
to achieve compliance, maintain such an evaluation on a current basis through
annual updates.
He will in consonance with the rules and policies of the court and in consultation
with the stakeholders of the Court including litigants, the Bar, ministerial staff,
Executive Agencies supporting judicial functions such as prosecutors/police/
process service agencies prepare, submit and update annually a 5-year court-wise
Court Development Plan (CDP), for approval of the court.
He will monitor the implementation of the approved CDP and report to the
District Judge and the High Court with the progress.

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 He will ensure that statistics on all aspects of the functioning of the Court are
complied and reported accurately and promptly in accordance with systems
established by the High Court.
He will ensure that reports on statistics are duly completed and provided as
required.
He will ensure that the processes, procedures, policies and standards established
by the High Court for Court Management are complied with and that they
safeguard quality, ensure efficiency and timeliness and minimize costs to litigants
and to the State; and enhance access to justice.
He will ensure that case management systems are fully compliant with the policies
and standards established by the High Court for case management and that they
address the legitimate needs of litigants in terms of quality, efficiency and
timeliness, costs to litigants and to the State. Standard systems for case
management shall be developed by the High Court time to time.
He will ensure that the Court meets standards established by the High Court on
access to justice, legal aid, alternative dispute mechanisms and are user friendly.
He will ensure that the Court meets quality of adjudication standards established
by the High Court.
He will ensure that Human Resource Management of ministerial staff in the court
comply with the Human Resource Management standards established by the High
Court.
He will ensure that the core systems of the court are established and function
effectively (documentation management ,utilities management,infrastructure and
facilities management, financial systems management (audits, accounts,
payments).
He will ensure that the IT systems of the court comply with standards established
by the High Court and are fully functional.
He will feed the proposed National Arrears Grid to be set up to monitor the
disposal of cases in all the Courts, as and when it is set up.
The Court Manager shall be responsible in implementation, managing data entry
initiation, services roll-out and monitoring of the e-Court Project in the respective
Districts/High Court.

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 He shall perform all other administrative functions and duties as may be assigned
by the Chief Justice in the High Court and the District Judge in the District Court
from time to time.
He shall report to the Chief Justice/ District Judge or any other Judge/ officer
nominated by the Chief Justice/ District Judge and shall perform the duties as
assigned to him from time to time.

2. Employee oriented approach

This approach focus on examining of human attributes needed to perform the job
perfectly. human attributes have been classified into knowledge, skills, attitude and other
characteristics. Knowledge is the information people need in order to perform the
job. Skills are the proficiencies needed to perform each task. Abilities are the attributes
that are relatively stable over time. Other characteristics are all other attributes, usually
personality factors.

Example

The Court Manager shall have M.B.A. Degree or Advanced Diploma in General
Management from a recognised University/institution of India.
He shall have minimum 10 years experience in the field of management,
experience/training in I.T Systems Management, H.R.Management, Financial
Systems Management.
He shall not be more than 40 years of age.
He should have excellent communication skills.
He should have excellent Computer application skills.

Job Analysis, Job Descriptions and Job Specifications Can be Used for
Job analysis is a technical and managerial tool for gathering, analyzing and
synthesizing information about jobs and other units of work. The analysis assists
HR specialists, industrial engineers, organization designers and others in such
end-use areas as:
Workforce / Manpower planning (skill inventories and supply/demand
forecasting)

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 Organization design (missions, functions and other aspects of work units for
horizontal and vertical differentiation)
Performance management (performance criteria and appraisal)

Affirmative Action plans

Recruiting and selection (Employment)

Career and succession planning

Training and development (needs assessment)

Compensation administration (Job Evaluation, Grades, Pay Surveys and Pay

Setting)
Health, safety and security
Employee/labor relations
Compliance with legal requirements
Risk management

Work management (work processes and outsourcing)

https://www.linkedin.com/pulse/20140916051732-51307174-job-analysis-job-description-and-
job-specification

Importance of Job Analysis

helps in analyzing the resources and establishing the strategies to accomplish the business
goals and strategic objectives. Effectively developed, employee job descriptions are
communication tools that are significant in an organization's success.

The main purpose of conducting job analysis is to prepare job description and job
specification which would help to hire skilled workforce. Job description is a statement
of information about duties and responsibilities of a particular job.

Whereas job specifications is a statement of information about qualifications, special

qualities, skills and knowledge required for an employee to fit for a job. Therefore job
analysis enables recruiter/employer to have a deep insight of a job, with that, recruiter
can easily track candidates who have required qualifications and qualities to perform a
job.

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Job Analysis can be used to identify areas where an employee needs training, since job
analysis make it clear to understand about core duties and responsibilities of a job.
Besides, it provides information to develop suitable training material for a job to be
performed by an employee after completion of his training.

Compensation management/salary administration is one of core HR functions. salary for

a job is decided on skill level required, duties and responsibilities, qualification and
experience level/seniority, altogether, called as compensable factors, which could be
known by job analysis only. But there is a separate method to determine value of job that
is called as job evaluation which is part of job analysis. Job evaluation is process of
valuing or determining how much is to be paid for a job. Job evaluation is mainly used
when a specific job or a single job is to be evaluated or when there are different jobs in
same Cader, or when there jobs based on projects or piecework. However job analysis
has its own importance in concluding compensation/remuneration/ salary of an
employee.

No organisation exists without goals and objectives to achieve, performance standards to

be maintained by every employee and reviewing performance of employees. These could
be cross checked with outcome of job analysis of a job, whether outcome of job analysis
of a job is in tune with goals and objectives of an organisation or not, performance
standards are being maintained or not and reviewing employee performance based on
performance standards or not.

Job Analysis can be used in performance review to identify or develop goals and
objectives, performance standards, evaluation criteria, length of probationary periods,
and duties to be evaluated

An ideal job analysis should include

The below listed are areas where job analyst should focus to bring out facts about a job.

Duties and Tasks: The basic unit of a job is the performance of specific tasks and
duties. This segment should include frequency, duration, effort, skill, complexity,
equipment, standards, etc.

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 Environment: This segment identifies the working environment of a particular
job. This may have a significant impact on the physical requirements to be able to
perform a job.

Tools and Equipment: Some duties and tasks are performed using specific
equipment and tools. These items need to be specified in a Job Analysis.

Relationships: The hierarchy of the organization must be clearly laid out. The
employees should know who is under them and who they have to report to.

Requirements: The knowledge, skills, and abilities required to perform the job
should be clearly listed.

There are several ways to conduct a job analysis, including: interviews with
incumbents and supervisors, questionnaires (structured, open-ended, or both),
observation, critical incident investigations, and gathering background information
such as duty statements or classification specifications.

The following are the benefits of job analysis.

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1. Organizational structure and design :Job analysis helps the organization to
make suitable changes in the organizational structure, so that it matches the needs
and requirements of the organization. Duties are either added or deleted from the
job.
2. Recruitment and selection :-Job analysis provides information about what the
job entails and what human characteristics are required to perform these activities.
This information, in the form of job descriptions and specifications, helps
management decide what sort of people to recruit and hire.
3. Performance appraisal and training/development :- Based on the job
requirements identified in the job analysis, the company decides a training
program . Training is given in those areas which will help to improve the
performance on the job. Similarly when appraisal is conducted we check whether
the employee is able to work in a manner in which we require him to do the job.
4. Job evaluation :- Job evaluation refers to studying in detail the job performance
by all individual. The difficulty levels, skills required and on that basis the salary
is fixed. Information regarding qualities required, skilled levels, difficulty levels
are obtained from job analysis.
5. Promotions and transfer :- When we give a promotion to an employee we need
to promote him on the basis of the skill and talent required for the future job.
Similarly when we transfer an employee to another branch the job must be very
similar to what he has done before. To take these decisions we collect information
from job analysis.
6. Career path planning :- Many companies have not taken up career planning for
their employees. This is done to prevent the employee from leaving the company.
When we plan the future career of the employee, information will be collected
from job analysis. Hence job analysis becomes important or advantageous.
7. Labour relations :- When companies plan to add extra duties or delete certain
duties from a job, they require the help of job analysis, when this activity is
systematically done using job analysis the number of problems with union
members reduce and labour relations will improve.
8. Health and safety :- Most companies prepare their own health and safety, plans
and programs based on job analysis. From the job analysis company identifies the
risk factor on the job and based on the risk factor safety equipments are provided.

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 9. Acceptance of job offer :- When a person is given an offer/appointment letter
the duties to be performed by him are clearly mentioned in it, this information is
collected from job analysis, which is why job analysis becomes important.

Reference. http://www.whatishumanresource.com/job-analysis

2.2 Human resources planning

Human Resource Planning (HRP) is the process of forecasting the future human resource
requirements of the organization and determining as to how the existing human resource
capacity of the organization can be utilized to fulfill these requirements. It, thus, focuses
on the basic economic concept of demand and supply in context to the human resource
capacity of the organization.

It is the HRP process which helps the management of the organization in meeting the
future demand of human resource in the organization with the supply of the appropriate
people in appropriate numbers at the appropriate time and place. Further, it is only after
proper analysis of the HR requirements can the process of recruitment and selection be
initiated by the management. Also, HRP is essential in successfully achieving the
strategies and objectives of organization. In fact, with the element of strategies and long
term objectives of the organization being widely associated with human resource
planning these days, HR Planning has now became Strategic HR Planning.

Though, HR Planning may sound quite simple a process of managing the numbers in
terms of human resource requirement of the organization, yet, the actual activity may
involve the HR manager to face many roadblocks owing to the effect of the current
workforce in the organization, pressure to meet the business objectives and prevailing
workforce market condition. HR Planning, thus, help the organization in many ways as
follows:

HR managers are in a stage of anticipating the workforce requirements rather than

getting surprised by the change of events
Prevent the business from falling into the trap of shifting workforce market, a
common concern among all industries and sectors

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 Work proactively as the expansion in the workforce market is not always in
conjunction with the workforce requirement of the organization in terms of
professional experience, talent needs, skills, etc.
Organizations in growth phase may face the challenge of meeting the need for
critical set of skills, competencies and talent to meet their strategic objectives so
they can stand well-prepared to meet the HR needs
Considering the organizational goals, HR Planning allows the identification,
selection and development of required talent or competency within the
organization.

It is, therefore, suitable on the part of the organization to opt for HR Planning to prevent
any unnecessary hurdles in its workforce needs. An HR Consulting Firm can provide the
organization with a comprehensive HR assessment and planning to meet its future
requirements in the most cost-effective and timely manner.

HR Planning process involves the following four broad steps:

Current HR Supply: Assessment of the current human resource availability in

the organization is the foremost step in HR Planning. It includes a comprehensive
study of the human resource strength of the organization in terms of numbers,
skills, talents, competencies, qualifications, experience, age, tenures, performance
ratings, designations, grades, compensations, benefits, etc. At this stage, the
consultants may conduct extensive interviews with the managers to understand
the critical HR issues they face and workforce capabilities they consider basic or
crucial for various business processes.
Future HR Demand: Analysis of the future workforce requirements of the
business is the second step in HR Planning. All the known HR variables like
attrition, lay-offs, foreseeable vacancies, retirements, promotions, pre-set
transfers, etc. are taken into consideration while determining future HR demand.
Further, certain unknown workforce variables like competitive factors,
resignations, abrupt transfers or dismissals are also included in the scope of
analysis.
Demand Forecast: Next step is to match the current supply with the future
demand of HR, and create a demand forecast. Here, it is also essential to

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 understand the business strategy and objectives in the long run so that the
workforce demand forecast is such that it is aligned to the organizational goals.
HR Sourcing Strategy and Implementation: After reviewing the gaps in the
HR supply and demand, the HR Consulting Firm develops plans to meet these
gaps as per the demand forecast created by them. This may include conducting
communication programs with employees, relocation, talent acquisition,
recruitment and outsourcing, talent management, training and coaching, and
revision of policies. The plans are, then, implemented taking into confidence the
mangers so as to make the process of execution smooth and efficient. Here, it is
important to note that all the regulatory and legal compliances are being followed
by the consultants to prevent any untoward situation coming from the employees.

Hence, a properly conducted process of HR Planning by an HR Consulting Firm helps

the organization in meeting its goals and objectives in timely manner with the right HR
strength in action.

https://www.managementstudyguide.com/human-resource-planning.htm

Characteristics of Human Resource Planning

1. Future Oriented

Human resource planning is prepared to assess the future requirement of manpower in

the organization. It helps identify the size and composition of resources for future
purpose.

2. Continuous Process

Human resource planning is a continuous process. The human resource planning prepared
today may not be applicable for future due to ever changing external forces of the
environment. Hence, to address such changing factors, the human resource planning
needs to be revised and updated.

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3. Optimum Utilization Of Human Resources

:Human resource planning focuses on optimum utilization of resources in the

organization. It checks how the employees are utilized in a productive manner. It also
identifies employees' existing capabilities and future potentialities to perform the work.

4. Right Kinds And Numbers

Human resource planning determines the right number and kind of people at the right
time and right place who are capable of performing the required jobs. It also assesses
the future requirement of manpower for organization objective.

5. Determination of Demand and Supply

Human resource planning is a process of determining demand for and supply of human
resources in the organization. Then a match between demand and supply estimates the
optimum level of manpower.

6. Environmental Influence

Human resource planning is influenced by environmental changes, hence, it is to be

updated as per the change occupied in the external environment.

7. Related To Corporate Plan

Human resource planning is an integral part of overall corporate plan of the organization.
It can be formulated at strategic, tactical and operational levels.

8. A Part Of Human Resource Management System

As a part of total human resource management system, human resource planning is

regarded as a component or element of HRM which is concerned with acquisition ans
assessment of manpower. It serves as a foundation for the management of human
resource in an effective and efficient manner.

http://accountlearning.blogspot.com/2013/01/characteristics-of-human-resource.html

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Significance Or Importance Of Human Resource Planning

Human resource planning aims at fulfilling the objectives of manpower requirement. It

helps to mobilize the recruited resources for the productive activities. The human
resource planning is and important process aiming to link business strategy and its
operation. The importance of human resource planning are as follow:

1. Future Manpower Needs

Human resource planning ensures that people are available to provide the continued
smooth operation of an organization. It means, human resource planning is regarded as a
tool to assure the future availability of manpower to carry on the organizational activities.
It determines the future needs of manpower in terms of number and kind.

2. Coping With Change

Human resource planning is important to cope with the change associated with the
external environmental factors. It helps assess the current human resources through HR
inventory and adapts it to changing technological, political, socio-cultural, and economic
forces.

3. Recruitment Of Talented Personnel

Another purpose of HR planning is to recruit and select the most capable personnel to
fill job vacancies.It determines human resource needs, assesses the available HR
inventory level and finally recruit the personnel needed to perform the job.

4. Development Of Human Resources

Human resource planning identifies the skill requirements for various levels of jobs. Then
it organizes various training and development campaigns to impart the required skill
and ability in employees to perform the task efficiently and effectively.

5. Proper Utilization Of Human Resources

Human resource planning measures that the organization acquires and utilizes the
manpower effectively to achieve objectives. Human resource planning helps in assessing
and recruiting skilled human resource. It focuses on the optimum utilization of human
resource to minimize the overall cost of production.

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6. Uncertainty Reduction

This is associated with reducing the impact of uncertainty which are brought by unsudden
changes in processes and procedures of human resource management in the organization.

http://accountlearning.blogspot.com/2013/01/significance-or-importance-of-
human.html

2.3 Human Resource Planning Approaches

HR planning is a mechanism created to forecast the required human resource to perform

a specific task. It also assesses the skill requirement of employees for each job. It is a
complex task which estimates the future demand and supply position of HR in the
organization. Hence, it gives a picture of infinite future in advance in terms of human
resource requirement for the company. Here, the approaches to HR planning are as
follows:

1. Quantitative Approach

It is also known as top down approach of HR planning under which top level make
and efforts to prepare the draft of HR planning. It is a management-driven approach under
which the HR planning is regarded as a number's game. It is based on the analysis
of Human Resource Management information System and HR Inventory Level. On the
basis of information provided by HRIS, the demand of manpower is forecasted using
different different quantitative tools and techniques such as trend analysis, mathematical
models, economic models, market analysis, and so on. The focus of this approach is to
forecast human resource surplus and shortages in an organization. In this approach
major role is played by top management.

2. Qualitative Approach

This approach is also known as bottom up approach of HR planning under which the
subordinates make an effort to prepare the draft of HR planning. Hence, it is also called
sub-ordinate-driven approach of HR planning. It focuses om individual employee
concerns. It is concerned with matching organizational needs with employee needs.
Moreover, it focuses on employee's training, development and creativity.
Similarly, compensation, incentives, employee safety, welfare, motivation and

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promotion etc. are the primary concerns of this approach. In this approach, major role is
played by lower level employees.

3. Mixed Approach

This is called mixed approach because it combines both top-down and bottom-up
approaches of HR planning. In fact, the effort is made to balance the antagonism between
employees and the management. Hence, it tends to produce the best result that ever
produced by either of the methods. Moreover, it is also regarded as an Management By
Objective(MBO) approach of HR planning. There is a equal participation of each level
of employees of the organization.

http://accountlearning.blogspot.com/2013/01/human-resource-planning-
approaches.html

Forecasting HR Supply & Demand

An important, yet challenging, element of human resource planning is forecasting

demand for certain types of skills and positions. As well as use of information from the
past and present to identify expected future condition. Each industry is different and each
is impacted by different factors. Staying on top of industry, regulatory, governmental and
economic changes can help businesses improve their success at forecasting demand for
employees and building the human resource plan.

Demand Forecasting methods:

2 types of methods.

1. Judgemental

Estimates asking managers opinions, top down or bottom up.

Rules of thumb-using general guidelines

Delphi techniques-asking a group of experts

Nominal groups

2. Mathematical methods

Statistical regression analysis

Simulation models

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 Productivity ratio

Staffing ratios.

Succession Planning as supply forecasting method

Succession planning is the process whereby company leaders and HR professionals

identify key positions within the company and develop plans to fill those positions either
with internal or external staff. Succession planning is closely tied to leadership
development, which is the process of providing training and on-the-job experiences to
prepare internal staff to step into positions that may become vacant. Succession planning
is a key element of human resource planning.

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3.1 Problems with HRP in IFAD autos:

An automotive business is only as strong as its employees. Within the automotive

industry, human resources departments are tasked with identifying, recruiting and
developing talent that ranges from cashiers to mechanics to managers and senior leaders.
By remaining cognizant of the challenges they face, human resources professionals and
owners of of small automotive businesses can grow and improve the performance of those
businesses.

a. Lack of a Human Resources Strategic Plan

According to business advising firm Schneider Downs, one of the biggest human
resources challenges the auto industry faces is the fact that many automotive businesses
lack a "comprehensive, step-by-step action plan to become an 'employer of choice." In
other words, automotive businesses struggle with major human resources functions
because they do not have a strategic, focused plan that involves hiring, training,
delegating, promoting and releasing employees. Because they do not have strategic plans,
Schneider Downs argues that most automotive businesses operate without both the
strategies needed to find the right talent and the processes required to maximize their
impact.( N.p., 2017.)

b. High Turnover

Turnover, or the number of employees who quit or are fired and must be replaced, is an
key human resources problem in the automotive industry because it is both common and
costly. According to Auto Dealer Monthly, the total cost of replacing a lower-level
employee, such as a cashier in an auto dealership, is around $3,000. Senior and skilled
employees, such as sales professionals, managers and mechanics, cost even more to
replace. To overcome this challenge, Auto Dealer Monthly suggests that automotive
businesses closely review turnover metrics to identify patterns and causes of turnover.
Once identified, patterns and causes can be strategically reversed. (N.p., 2017.)

c. Developing Leaders

While the Society for Human Resources Management notes that "developing the next
generation of corporate leaders" is a key human resources challenge facing all industries,

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cultivating and training leaders is especially challenging for the automotive industry.
High turnover can partially account for this challenge. When employees tend to leave a
business just a few months or years after they are hired, senior staff cannot mentor them
into leaders. Another reason why automotive businesses have difficulty developing
leaders is the fact that the automotive industry tends to be focused on daily operations.
Often struggling with few employees, numerous tasks to complete and the need to
consistently redevelop marketing and advertising plans, automotive businesses regularly
lack the time to institute management and leadership development programs. (N.p.,
2017.)

d. Lack of Collaboration and Communication

In the automotive industry, effective human resources management means building and
maintaining strong teams. However, as is true in most project-based industries,
employees in the automotive industry tend to have difficulty communicating or working
together. Instead, they are focused on completing the task at hand: repairing the
malfunctioning vehicle, meeting an individual sales quota or completing a detailing job.
According to Forbes, one of the best ways to develop leaders and meet human resources
challenges is by developing employees' communication and collaboration skills. (N.p.,
2017.)

e. Decision making

Chain of command thinking originated in an industrial age when work involved more
rote activities, information, and communication options were limited, and decision
making in automobiles industry and authority were clearly placed in the hands of a few
individuals at or near the top of an organization chart. (Rick, T. 2011)

f. Employees communication

The need for flexibility and faster decisions in an agile work environment requires that
employees communicate directly with all levels of the organization. Waiting several days
for the boss to be available is not acceptable if a customer's need goes unserved or an
employee's work is slowed. The employee should be able to talk with his boss's boss or
the president. (Rick, T. 2011)

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 g. Demographic Transformations

A number of long-term demographic trends are affecting the role of HR. As baby
boomers retire, the workforce is expected to shrink, with the possibility of a
corresponding decline in economic output. As an adjunct, more employees now have
elder-care responsibilities-with many juggling responsibilities for both their children and
elders. Family patterns are changing as well, with a growing number of single-person
households and couples without children. The retirement of the baby boomers is expected
to lead to a cultural shift in the workplace as Generations X and Y take over, with work
becoming more demanding, employer-employee relationships less hierarchical, and
employers moving away from long-term employment relationships. In 2003, Hispanics
became the largest minority group in the United States, and immigration is expected to
rise to help meet the dwindling number of U.S. workers, adding complexities to managing
the work force. ( Wetfeet. N.p., 2017)

h. Labor Shortage and High-Skilled Workers

Experts forecast a labor shortage thanks to generations moving through the workforce
that are smaller than the one leaving it. In particular, high-skilled workers will be harder
to find, as job growth will be concentrated in sectors like education, health services, and
professional and business sectors that require a skilled labor force. As baby boomers
retire, the skilled worker gap is expected to hit 5.3 million in 2010, according to a
National Association of Manufacturers study. Other experts expect the effects of this
shortage to be felt much sooner, while some suggest that the increasing tendency for
companies to outsource work offshore could mitigate the differential. ( Wetfeet. N.p.,
2017)

i. Demographic Transformations

A number of long-term demographic trends are affecting the role of HR. As baby
boomers retire, the workforce is expected to shrink, with the possibility of a
corresponding decline in economic output. As an adjunct, more employees now have

31 | P a g e
elder-care responsibilities-with many juggling responsibilities for both their children and
elders. Family patterns are changing as well, with a growing number of single-person
households and couples without children. The retirement of the baby boomers is expected
to lead to a cultural shift in the workplace as Generations X and Y take over, with work
becoming more demanding, employer-employee relationships less hierarchical, and
employers moving away from long-term employment relationships. In 2003, Hispanics
became the largest minority group in the United States, and immigration is expected to
rise to help meet the dwindling number of U.S. workers, adding complexities to managing
the work force.( Wetfeet. N.p., 2017)

3.2 Problems with Job Analysis in Automobile Industry:

No process can be entirely accurate and fully serves the purpose. Job analysis is no
exception to it. The process involves a variety of methods, tools, plans and a lot of human
effort. And where people are involved, nothing can be 100 percent accurate. However,
they may be appropriate considering various factors including organizational
requirements, time, effort and financial resources. Since the entire job analysis processes,
methods and tools are designed by humans only, they tend to have practical issues
associated with them. Human brain suffers with some limitations, therefore, everything
created, designed or developed by humans too have some or other constraints.

Coming back to the subject, even the process of job analysis has lot of practical problems
associated with it. Though the process can be effective, appropriate, practical, efficient
and focused but it can be costly, time consuming and disruptive for employees at the
same time. It is because there are some typical problems that are encountered by a job
analyst while carrying out the process. Lets discuss them and understand how the process
of job analysis can be made more effective by treating them carefully.

3.3 Problems with Job Analysis in IFAD autos

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a. Lack of Management Support: The biggest problem arises when a job analyst
does not get proper support from the management. The top management needs to
communicate it to the middle level managers and employees to enhance the output
or productivity of the process. In case of improper communication, employees
may take it in a wrong sense and start looking out for other available options.
They may have a notion that this is being carried out to fire them or take any
action against them. In order to avoid such circumstances, top management must
effectively communicate the right message to their incumbents.

b. Lack of Co-operation from Employees: If we talk about collecting authentic

and accurate job-data, it is almost impossible to get real and genuine data without
the support of employees. If they are not ready to co-operate, it is a sheer wastage
of time, money and human effort to conduct job analysis process. The need is to
take the workers in confidence and communicating that it is being done to solve
their problems only.

c. Inability to Identify the Need of Job Analysis: If the objectives and needs of
job analysis process are not properly identified, the whole exercise of
investigation and carrying out research is futile. Managers must decide in advance
why this process is being carried out, what its objectives are and what is to be
done with the collected and recorded data.

d. Biasness of Job Analyst: A balanced and unbiased approach is a necessity while

carrying out the process of job analysis. To get real and genuine data, a job analyst
must be impartial in his or her approach. If it cant be avoided, it is better to
outsource the process or hire a professional job analyst.

e. Using Single Data Source: A job analyst needs to consider more than one sources
of data in order to collect true information. Collecting data from a single source
may result in inaccuracy and it therefore, defeats the whole purpose of conducting
the job analysis process.

f. Time Consuming: The biggest disadvantage of Job Analysis process is that it is

very time consuming. It is a major limitation especially when jobs change
frequently.

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 g. Involves Personal Biasness: If the observer or job analyst is an employee of the
same organization, the process may involve his or her personal likes and dislikes.
This is a major hindrance in collecting genuine and accurate data.
h. Source of Data is Extremely Small: Because of small sample size, the source of
collecting data is extremely small. Therefore, information collected from few
individuals needs to be standardized.
i. Involves Lots of Human Efforts: The process involves lots of human efforts. As
every job carries different information and there is no set pattern, customized
information is to be collected for different jobs. The process needs to be
conducted separately for collecting and recording job-related data.
j. Job Analyst May Not Possess Appropriate Skills: If job analyst is not aware of
the objective of job analysis process or does not possess appropriate skills to
conduct the process, it is a sheer wastage of companys resources. He or she needs
to be trained in order to get authentic data.
k. Mental Abilities Cannot be Directly Observed: Last but not the least, mental
abilities such as intellect, emotional characteristics, knowledge, aptitude, psychic
and endurance are intangible things that cannot be observed or measured directly.
People act differently in different situations. Therefore, general standards cannot
be set for mental abilities.

l. Other problems are:

Intentional or unintentional distortion from incumbent

Absence of a review
Lack of participation of all stakeholders
Job-based rather than person-based.
Lack of reward for providing quality information
Insufficient time allowed for the process
Time spent of job analysis too lengthy.

However, this is not the end. There may be many other problems involved in a job
analysis process such as insufficient time and resources, distortion from incumbent, lack
of proper communication, improper questionnaires and other forms, absence of
verification and review of job analysis process and lack of reward or recognition for
providing genuine and quality information.

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4.1 Recommendation for job analysis of IFAD Autos Limited:

Job Analysis for IFAD autos is very crucial as it is a foundation of management activities.
The job analysis methodology developed for this project utilized a task analysis approach.
The methodology included

1 ) relevant background information to develop a preliminary list of task and KSA

statements

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2) on-site job experience/interviews with incumbents and top level management of ifad
autos to discuss, review, revise, and augment the preliminary list of task and KSA
statements

3) a job analysis questionnaire

4) an analysis of the questionnaire data to determine the essential tasks.

The project began with a meeting to discuss

(1) initial project timelines,

(2) the job analysis methodology,

(3) the responsibilities of each project staff member in completing the project as described
below

One of the first steps in conducting a job analysis is to review previous job analysis
reports and the class specification for the classification. Information obtained from
review of the previous job analysis and the class specification assisted our project staff
in developing a preliminary list of task and KSA statements discussed and reviewed with
incumbents and top level employees supervisors during the interview phase of the job
analysis process. Factors considered in the job interviews included:

1) Geographic location

2) Size of Department

3) Participant experience level(s)

4) Utilization of incumbents throughout the interview lasted approximately 4 hours.

5) The participants training and experience

6) Typical, frequent, and important duties performed by an incumbent

7) The KSAs required for the successful completion of job tasks;

8) personal characteristics and competencies necessary for successful job performance;

9) equipment, materials, and supplies used in the completion of job tasks;

10) reference materials used in the course of completing job tasks; and,

11) the general differences between the duties

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Each participant then reviewed supplemented a preliminary list of tasks and KSAs. A
preliminary list of tasks and KSAs was compiled from our background research and
modified based upon information collected from the interview participants. Furthermore,
the entire job analysis questionnaire was reviewed, revised, and approved. As a final
verification of accuracy before being questioned in the interview session at IFAD autos.
We have prepared a model for IFAD autos consisting of some steps to consider for job
analysis

1. General Information

General, organizational information about the position, including department, proposed

working title, job family, zone, job category, NOTE: Only those individuals identified
as Hiring Managers in this information area will receive an electronic notice of
classification approval.

2. Job Summary

Summarize the basic functions and responsibilities. Applicants will see this summary as
the Description of Work on a Job Posting. It may be easier to write the summary after
completing the other sections of the job description.

3. Salary Considerations

When preparing the job description the hiring manager should indicate salary action
requested - hiring range for new/vacant position, salary increase for reclassification, or
no change in salary for an update of description. Hiring managers should indicate the
desired hiring rate/range, or the desired salary for an employee. Include rationale, when
appropriate. Department Heads/Chairs may indicate their concurrence on the
form. Consultation with HR is encouraged when setting a hiring rate/range or
increase. Advance consultation with HR is required if the classification of the position
will result in a decrease in salary.

4. Duties and Responsibilities

In order of importance, describe the principle responsibilities. Include the percentage of

time devoted to each responsibility. The total percentage must equal 100 percent. The

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described duties must correlate with the other sections of the description, i.e., Job
Summary, Salary, Zone Definition Factors, Minimum Qualification Requirements and
Physical Requirements.

Write in a consistent format.

Use clear and concise language.
Use present tense, action verbs to begin each item.
Avoid gender-based language.
Avoid unnecessary words.

To meet the legal requirements, IFAD autos should define essential functions such as:

a. the reason the job exists,

b. a limited number of employees available to distribute work, or
c. functions are highly specialized and require expertise.

As a general guideline, any single duty/task that occupies 20 percent or more of the
incumbent's time is considered essential. Place an asterisk * next to all duties
considered to be essential.

5. Zone Definition Factors

This is very important as IFAD autos has zonal stations spreading all over Bangladesh.
The information provided in these factors is used to determine zone placement. Provide
information not contained in either Duties and Responsibilities or Qualification
Requirements. Factor descriptions for each zone are described in the Zone Placement
Matrix and defined in Zone Assignment Matrix Factor Definitions.

The completion of this section as it relates to a specific job will enable the organizational
unit leadership to match the job to a zone in the appropriate job family. The five zone
definition factors are:

Knowledge, Skills and Abilities (KSAs)

1. Factors to Consider
KSAs are those special qualifications and personal attributes that are needed to

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 be successful in a particular job. Describe here the level that an experienced,
proficient job holder would have. Knowledge refers to an organized body of
information usually of a factual or procedural nature. Skills refer to the
proficient manual, verbal or mental manipulation of data or things. Abilities
refer to the power to perform an observable activity.

2. Example Descriptions

o Knowledge of project organization management and control.

o Knowledge of the hazards of working on or near energized lines and
equipment and of necessary safety precautions.
o Skill in analyzing information, problems, situations, practices or
procedures.
o Skill in organizing material, information, people in a systematic way to
optimize efficiency and minimize duplication of effort.
o Ability to analyze problems quickly and accurately and adopt effective
courses of action.
o Ability to prepare budgets and cost estimates.
o Ability to review or check the work products of others to ensure
conformance to standards.

Problem-Solving/Decision-Making

Indicate to what degree this job will exercise these skills.

1. Factors to Consider

o How much authoritative advice will be given?

o What level of analysis or information gathering will be needed?
o How much freedom will the incumbent have?
2. Example Descriptions

39 | P a g e
 o Makes decisions or judgments covering routine situations, within
established guidelines. If problem is beyond this scope, seeks advice or
resolution from manager / supervisor.
o Many problem-solving situations will require independent analysis of
relevant information from multiple sources.
o Analyzes job responsibilities, recommends and implements approved
changes.

Interactions

Describe the frequency and nature / purpose of contact with other people.

1. Factors to Consider
How much and what kind of contact will the incumbent have with co-workers
2. Example Descriptions

o Daily interaction with co-workers to gather or provide information needed

to accomplish tasks.
o Daily interaction with other units to exchange information and schedule
meetings.
o Occasional interaction with individuals at peer institutions of higher
education to gather or provide information or consultations like how
Dr.Khasro sir helped you.
o Daily interaction with customers who order products or services, in order
to provide information such as pricing, availability and shipping
alternatives.

Nature of Supervision

Identify how much supervision the job will both give and receive. Indicate whether
supervision will be given over regular staff, temporary staff/student or none at all.
Indicate whether supervision received by this job will be close, moderate or none at all.

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Impact

Describe how influential this position is within the institution.

1. Factors to Consider

o How much is the incumbent involved within, based on the importance of

the decisions or final recommendations typically rendered?
o What is the likely effect of potential errors made by the incumbent in the
regular course of work?
o How much impact does an incumbent have on the fiscal affairs of the
institution?
o How important is the impact of the work of this position to the operations,
activities and future of the entire institution?
2. Example Descriptions

o Decisions and influence are limited to short-range decisions and planning

within a small group or activity.
o Errors may result in significant disruption of operations or services or
damage to individuals or activities.
o There is responsibility for budget development, expense control, and/or
revenue generation usually covering one or more areas within a large
organizational unit, or an organizational unit or university activity of
moderate size.

6. Minimum Qualifications

Identify the minimum education, knowledge, skills and abilities (KSAs) and experience
necessary for entry into the job, including:

Level of education (such as high school, Bachelor's degree, Master's degree), and
specific degree requirements.
Work experience, both type and amount.
Special training, certification or licensure
Special knowledge, skills or abilities (such as PC skills)

41 | P a g e
Factors to Consider

Make sure KSAs represent bona fide occupational qualifications.

Be specific and realistic to ensure legal defensibility.
Relate job specifications to what, why and how work is done. Guard against
inflated specifications.
List the education, work experience, and technical/professional skills required to
be able to perform the job rather than those that describe the ideal candidate.
Specify if education is required or if equivalent experience can be substituted.

7. Physical Requirements

Complete the General Physical Requirements Section describing the work environment
and physical demands (i.e., environmental elements, travel, irregular hours,
hazardous/unpleasant working conditions, etc.) of the position. Indicate if a physical
examination is required before entrance to this position. Complete the remaining parts if
the job requires at least occasional manual effort, climbing, lifting, reaching, exposure to
harsh conditions, exposure to dangerous chemicals, and so forth.

We have prepared some excel sheets as to how IFAD autos may go about JOB
descriptions and JOB specifications.

4.2 Recommendation for HRP of IFAD Autos:

Current and future human resource needs of the department are identified and integrated
into the planning process. Human resource planning is aligned with strategic and business
planning. Corporate business planevolved into a more integrated approach to planning
and giving consideration to human resource needs required to meet strategic objectives.
IFAD autos has not yet developed templates for use in human resource planning to ensure
consistency in human resource plans both in headquarters and in the regions. As a result
the planning is not becoming more and more integrated and moving towards a more
mature organizational function for IFAD autos

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The seriousness and commitment of IFAD autos given to the planning process and the
evolution that has occurred in the human resource plans is evidence of the quality of the
planning function in the department. Much is being learned as the process evolves, but
the planning community across the department shows a serious commitment to moving
the whole management process of IFAD autos along to maturity.

In reviewing the integrated human resource plans of other departments, wenoted that
many departments in this company should have aone-year for short term or three-year for
long term human resource plans, which should also be updated annually to reflect current
priorities. Consideration could be given to the benefit of looking farther out beyond one
year especially where human resource strategies of a more long-term nature may be
appropriate.

When accessing and addressing gaps in human resources, consideration should be given
to risks. In that way, those areas of highest priority can be identified for earliest action
given limited resources.

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Reporting on progress towards achievement of human resource plans has not yet started,
so can further refined. The department has not yet developed a standard template for
reporting nor has it standardized reporting frequency. Although most organizations do
file a mid-year progress report, not all are doing that and reporting on progress varies
from none to monthly reporting depending on the importance.

Although human resource planning is not new, full integration with business planning is
relatively new. As a result, there is an evolution that is taking place in implementing new
concepts. As with many new ideas, there is a learning curve and a time lag between
inception and realization of the full benefits.

IFAD should fully monitor progress on human resource plans against business objectives,
the plans become an attachment to the business plan that is really just a stand-alone
document. The company has not yet evolved its integrated planning to its greatest
usefulness and potential. The results of the plan fail to inform the next year plan, and the
usefulness of the plan in decision-making is limited. The lack of consideration to progress
reporting requirements underlines the fact that the usefulness of the process is not being
utilized. Formalization of planning and reporting processes so that each department of
IFAD autos is following the same format would allow for easy roll up and enhance
usefulness.

Sub-Recommendation #1: IFAD auto should consider developing a multi-year

integrated business and human resource plan for the department that is adjusted annually
to reflect the priorities of the current year.

Sub-Recommendation #2: IFAD auto should consider risk-ranking human resource

gaps as a means of setting priorities given limited resources and to maximize results.

Sub-Recommendation #3: IFAD autos should formalize and standardize the

performance reporting process on human resource plans in order that the results can
inform subsequent plans or drive mid-year course corrections where warranted.

Criterion: The current priorities (planning, recruitment, development, and enabling

infrastructure) are being considered in developing HR business plans. In addition,
consideration is given too.

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In developing a departmental HR plan, the company has given consideration to the
priorities of the department and the priorities of the employees. It should develop an
annual Public Service Renewal action plan.

Criterion: In developing a HR plan, an analysis of the workforce should be undertaken

thereby identifying gaps between future needs and current capabilities.

Demographics, budgets, and gaps in human resources were a factor in determining future
human resource needs. In most cases, but not always, managers identified strategies to
address those gaps.

With limited resources, it may be beneficial to risk ranking the gaps in an effort to
prioritize actions to those most pressing. Gaps should be identified based on an
environmental scan completion. The risks to those gaps should also be identified along
with the impacts from those risks. This information could then be used in developing an
action plan outlining strategies, milestones, and completion dates. Performance indicators
need to be attached to gaps and target completion dates noted.

Sub-Recommendation #4: When management needs to establishe targets in their human

resource plan, management should ensure that strategies are established to achieve those
targets.

Criterion: Suitable policies and procedures to support the development and management
of human resources have to be established, maintained, and communicated.

We found that locating human resource policies was somewhat difficult and
cumbersome. Do IFAD should update to ensure easy access and completeness of relevant
human resource policies as a priority. In addition, policies should be well communicated
to employees, be monitored to ensure compliance, and updated as warranted to reflect
changing conditions.

Sub-Recommendation #5: IFAD autos ought to review its existing human resource
policies to ensure completeness and relevance to the departments current context; ensure
widespread communication and understanding of human resource policies; regularly
monitor compliance to human resource policies; and update human resources policies on
an ongoing basis.

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Criterion: An adequate succession plan need to be in place and should be effective
immediately as IFAD autos massively depends on Mr. Arif. We highly suggest a
replacement chart.

As we noted that there are only a few leaders for succession planning in the department.
IFAD autos should identify key positions and create profiles and related competencies
for those positions. Based on the gaps identified, managers should develop learning plans
to assist employees in reaching their goals. So the company should expand the succession
planning exercise to other regions of bangladesh to include more positions.

In addition to succession planning, IFAD autos may afterwards put many of its integrated
human resource plans into action. This served as evidence that planning is not just an
exercise, but is being approached with the attitude that it can contribute to improvements
in the department. Examples of planning put into action included:

Consultations need to be held with management on learning needs in the

department, and a learning strategy was developed;
A mentoring program should be noted to be in the early stages of development in
the department;
A project need to be undertaken with an educational institution to improve
linkages between universities and government; and

In summary, it was evident from our interview done, that IFAD autos should taken action
to plan for future human resource needs that would help the department achieve its goals
and objectives.

We have prepared some excel sheet as how they may go about HRP. We have taken
Regression analysis as demand forecasting tool and Succession planning as supply
forecasting tool into consideration.

Forecast the demand on automobiles In Bangladesh

The client is an automotive corporation who sell automobiles and motorcycles in

Bangladesh. We are hired to forecast sales of automobile in 2017 in four of Bangladesh
largest cities: Dhaka, Sylhet, Chittagong, and Rajshahi initially. The forecast results will
be used to set promotional plans among regions and seasons, and measure the amount of

46 | P a g e
automobile to import in 2016. Potential business benefits include reducing costs
(inventory costs and advertisement at lower sales seasons), and improving marketing
strategies (targeting the right seasons).

(1) Number of New Automobile Registration;(2) Number Of Automobile 1. The data is

measured the number of new automobile registration monthly in four regions: Dhaka,
Sylhet, Chittagong, and Rajshahi. There are four series from 2012:01 to 2014:11, 35
observations in total. The series have 6 months seasonality, and there are two peak period
on January and July. We found that the peak in January is due to tax concerns and
Bangladesh New year effect. 2. The number of automobile in four regions (: Dhaka,
Sylhet, Chittagong, and Rajshahi) from 2000:01 to 2014:09. We found the series has a
upward trend.

Automobiles Registration During the year in Bangladesh

300000

250000

Auto Rickshaw
200000
car

150000 Bus
Truck
100000 Motorcycle

50000

0
2012 2013 2014 2015

47 | P a g e
The number of automobiles in Bangladesh

350000

300000

250000

Column2
200000
Column1
150000 Series 1

100000

50000

0
2013 2014 2015 2016

Reference data:

The data are the same type and period for motorcycle

1. The added number of motorcycle registration in four regions. We found there are one
year seasonality from the plot.

2. The number motorcycle in four regions (Dhaka, Sylhet, Chittagong, and Rajshahi).
The number of motorcycle has decrease sharply in July 2016, due to a policy that
encourage the retirement of old motorcycles.

The Number of Motorcycle

100%

80%
Forcast
60%
Total
40% Series 1
20%

0%
2012 2013 2014 2015

48 | P a g e
Data Preparation

Our data has 36 rows from 2012 to October in 2015. Since we are going to forecast
demand of automobile in one year, we partition our data into one year for validation and
others for training. First of all, we got the two data, number of automobile and number of
new automobile registration. The first problem we encountered was that the number of
automobile data is accumulation, we can find only trend in our data. Too less things can
do by this data, so we tried to find out some other data which is more useful. We also do
lag-1 for number of automobile to make the dataset have seasonality. The second problem
is the model training problem. In the project, we do many models to train our data. In the
Holt-Winter model, our seasonality move one month forward. We found out the problem
that the data in 2015 only have eleven months from January to November. Some
visualization are shown below.

Forecasting Solution

For the new automobile registration data, we considered three methods: seasonal nave,
linear regression and holt-winter. After we compare the RMSE and residuals of each
model, linear regression got the smallest result as below.

Table 1: RMSE of three models

RSME

Dhaka Chittagong Sylhet Rajshahi

Seasonal nave 990.68 1061.85 927.16 691.33
Regrassion 474.03 686.63 425.97 376.44
Holt-winter 408.14 515.49 309.50 286.01

Table 2: Regression details (Dhaka)

Input coefficient Std.Error t-statistics p-value

Variable
Intercept 6521.546 517.2545 15.6297 0
Time 13.1364 19.7798 0.6641 0.5216
Month_10 -1700.227 584.4241 -2.9092 0.0156
Month_11 -1535.364 590.7496 -2.599 0.0265

49 | P a g e
 Month_12 -1055.182 688.8925 -5.7713 0.1566
Month_2 -3214.636 557.0031 -2.4017 0.0002
Month_3 -1340.273 558.0557 -2.9973 0.0372
Month_4 -1677.909 559.8057 -2.0348 0.0134
Month_5 -1144.046 562.2464 -2.1724 0.0692
Month_6 -1228.182 565.3691 -0.2474 0.055
Month_7 -140.8182 569.1624 -4.5875 0.8096
Month_8 -2631.455 573.6131 -4.5875 0.001
Month_9 -2421.091 578.7059 -4.1836 0.0019

In these three models, linear regression has the best performance. Seasonal naive has the
bigger forecast and holt-winter model forecast result easier. Thus, we chose linear
regression as our final model. The Holt-Winter does not capture the high (January and
July) and low (February and August) well. The reason might because that our sample
period ends in November 2015 instead of December 2015, which does not complete a
whole season. In the future, when we obtain the data of December 2015

Limitations:

Our forecasts is an overall automobile demand in the four cities in Bangladesh. We do

not consider consumer preference for different brands. Since Suzuki has around 10%
market share among all foreign cars (in 2014), if we have detail sales data of Suzuki cars,
we can make more accurate forecasts for Suzuki. Besides, there are more factors that
affect automobile sales. For example, the state of the economy, household income, oil
prices, etc. Including these factors and applying more advenced methods (e.g.
multivariate regression) in the analysis would give a better picture of the market
sentiment for automobile demand. We leave this to future works.

Demand Solutions has allowed us to manage our inventory so tightly that we havent had
to increase it in line with our increasing sales. Our company has been growing every year
and we havent had to stock more to meet these increased sales. Demand Solutions has
therefore significantly increased our profits. CML France, leading supplier in LED
automotive lighting

50 | P a g e
Recommendations:

(1) Increase automobile import in 2015 Forecasts of the total amount of automobile
series show a steadily upward trend, indicates that the automobile sales will increase
steadily in 2016. Thus we recommend our client Suzuki to increase the import amount of
automobile in 2016.

(2) Develop different marketing strategy based on seasons The chart of new registered
automobiles shows clear seasonality, with peak in January and July, and low in February
and August. The seasonal pattern is the same among the four regions we consider; as a
result, we suggest applying same marketing strategies among the regions but different
promotional plans over the seasons. Based on this findings, we recommend invest more
on advertisement near January and July.

(3) Opportunity: Demand for new motorcycle to increase The total amount of motorcycle
in Taiwan has decrease sharply since July 2014, due to a new policy that encourages old
motorcycles to retire before October 2014 in order to waive tax. The decline is a one-
time event. We consider it a great opportunity to promote motorcycle sales in 2015,
because owners of retired motorcycle are likely to purchase new one. As a result, we
forecast the demand of new motorcycle will increase in 2015, and recommend the
company to increase its import amount of motorcycle.

Succession planning of IFAD Automobiles

The Succession Planning Company is a new type of talent company that offers clients
an integrated approach to planning and managing the employee life cycle. We work
with clients that have a continuous need for talent and who demand a responsive,
flexible approach from their talent advisors.
We can help them to find the best solutions for your current talent gaps and plan for
your future needs. Using TSPC consultants with expertise in Executive Search,
Coaching, Team and Individual Assessment, Career Planning and Leadership
Development our clients are always in the market.

51 | P a g e
Completed Succession Planning Status Worksheet

Number Number
Retire Succession
Incumbent Critic of Staff of Staff
Position Title ment Planning
Name ality Ready Ready in
Status Priorities
Now 1-2 Years

Director A 1 1 1

Deputy Director 1 0 0 x

Assistant Director B 1 0 2 x

Finance Director A 1 1 2

Marketing Director C 2 0 1

Admin Director B 2 0 0

HR Director A 1 2 3

Labor Relations C 2 1 2

Personnel 2 1 1

Staff
B 2 2 2
Development

Communications
1 0 0 x
Director

Director of Policy A 1 0 1 x

Quality and
2 0 0
Planning

Field Operations
B 1 2 3
Director

Department A
B 2 1 2
Manager

Department B
C 2 2 2
Manager

Department C
2 0 0
Manager

Department D
A 2 1 2
Manager

Department D
A 1 0 0 x
Manager

52 | P a g e
 Retirement Status:
A: Retirement likely within 1 year
B: Retirement likely within 3 years Criticality:
C: Retirement eligible within 5 years 1: Critical - Must "hit the ground
running"
2: Very Important - Fully functional
within 6 months

Acceleration Pool Nomination Form1

Nominee Name: Classification:

Nominated By: Date:

Leadership Area Strength Proficient Developmental Need

Support of organizational
Values
Behaves Consistently
with values
Displays respect for
others
Is a good team player
Identifies with
management
Leadership Promise
Is motivated to lead
Accepts leadership
responsibility
Mobilizes
resources/people to
action
Leads teams that have
high morale
Interpersonal Skills
Communicates clearly
and effectively
Makes effective
presentations
Demonstrates diplomacy
Is trusted and respected
Demonstration of Results
Shows positive
team/unit results
Displays objective
indicators of success
Accomplishes major
assignments

53 | P a g e
 Developmental Orientation
Has accurate self-insight
Is coachable; accepts
feedback
Has history of learning
from experience
Quickly learns new tasks
Self-initiates
development activities
Acceleration Pool Applicant Profile2

Employee Information

Name:

Title:

Job Classification:

Length of Service:

Time in Current Job:

Current Supervisor:

Career Goals

1 to 3 Years:

3 to 5 Years:

Beyond 5 Years:

Educational History

Area of Study: Years:

Institution: Degree:

Area of Study: Years:

Institution: Degree:

54 | P a g e
 Area of Study: Years:
Institution: Degree:

Special Skills/Expertise

Languages:

Technology:

Professional Expertise:

Other:

Developmental Experiences - Past 3 Years

Formal Training: Competencies/Skills Developed:

Special Assignments: Competencies/Skills Developed:

Other: Competencies/Skills Developed:

Acceleration Pool Nomination Summary

Support of Leadersh Demonstrat Developmen

Interperson
Name Agency ip ion of tal
al Skills
Values Promise Results Orientation

Applicant
S S S P S
A

Applicant
S S P P S
B

Applicant
P P S S P
C

Applicant
P S P S P
D

55 | P a g e
 Applicant
P P P P S
E

Applicant
D P P P P
F

S = Strength
P = Proficiency
D = Developmental Need

4.3 Strategic HR options and decisions:

After much analysis and our presentation on TOYOTA, GENERAL MOTORS, BMW
AND TATA we have come to realize that as IFAD autos is taking up a strategic approach
which calls for some strategic choices and decisions too.

Restructuring: No business can continue to function in the same way forever. With
changing times and changing business conditions, restructuring is one of the options for
a business to stay on track. Heres a quick look at how businesses have used restructuring
to come out of difficult situations.Organizational restructuring involves making changes
to the organizational setup. These changes have an impact on the flow of authority,
responsibility and information across the organization.The reasons for restructuring vary
from diversification and growth to minimizing losses and cutting down costs.
Organizational restructuring may be done because of external factors like merging up
with some other company, or because of internal factors such as high employee costs.
Lets take a look at some of the commonly used restructuring strategies.

Downsizing
Call it downsizing, layoff, rightsizing or smart sizing; in essence, it is all one and the
same thing. This restructuring strategy is about reducing the manpower to keep employee
costs under control. Take the case of auto-giant General Motors, which in 1991 decided
to shut down 21 plants and lay off 74,000 employees to counter its losses.

Another example is that of IBM, which had never laid off staff ever since its
incorporation, but had to layoff 85,000 employees to stay in business. This type of

56 | P a g e
 restructuring is tough to manage and is mostly adopted to overcome adverse situations.
Downsizing is not always a result of business losses; it may be needed even in cases of
takeovers, acquisitions and mergers, where duplicity of the staff propels this form of
organizational restructuring.

Whether you are acquiring a business or some other business is acquiring your business,
restructuring will be needed post acquisition. The business being acquired undergoes
major restructuring to get in-line with the organizational setup of the acquiring business.
When AT&T acquired BellSouth, BellSouth was restructured to fit into the
organizational setup of AT&T. And it wasnt just BellSouth that was restructured, as
AT&T too saw some restructuring to accommodate BellSouth. Altogether, AT&T had to
cut down 10,000 employees over a period of three years, following acquisition of
BellSouth.

Also, when two businesses decide to merge together, organizational restructuring is a

must to unite the two distinct organizations into one organization. When Glaxo Wellcome
and SmithKline Beecham merged together to form Glaxo SmithKline in 1999, both the
companies had to undergo major restructuring, and there was some major downsizing
before as well as after the new company was formed.

Starburst
This restructuring strategy involves breaking a company into smaller independent
business units for increasing flexibility and productivity. This may be done either to
dissect the business into manageable chunks or when the business wants to diversify and
foray into unrelated areas. One of the latest examples of this strategy is Pfizers decision
to spin off four non-pharmaceutical firms this year.

Star bursting may also be used for expansion of the existing business such as when a
business decides to spin off subsidiaries to handle business in different geographic areas.

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 Verticalization
This is the latest in restructuring trends, wherein an organization restructures itself to
offer tailored products and services to cater to the requirements of a specific industry. In
2002, HCL verticalized its operations to meet the specific demands of five different
industries: retail, media and telecom, manufacturing, finance and life sciences. This type
of restructuring opens up avenues for specialization.

De-layering
De-layering involves breaking down the classical pyramid setup into a flat organization.
The main objective of this type of restructuring is to thin out the top layer of unproductive
and highly paid white collar staff. General Electric has reduced the number of
management levels from ten to four in some of its work facilities in order to improve
overall productivity.
Hewlett Packard, on the other hand, has de-layered to promote innovation, build customer
intimacy and increase consumer satisfaction. The major advantage of de-layering is that
the decision making process becomes shorter and more effective.

Business Process Reengineering

This type of restructuring is carried out for making operational improvements. It begins
with identifying how things are being done currently and then it moves on to re-
engineering the tasks to improve productivity.

Business process re-engineering usually results in changing roles. While at times BPR
may lead to layoffs, it can also create new employment opportunities.

When Ford Motor was trying to reduce its cost, it found that the process at its accounts
payable department needed to be re-engineered. The reengineering helped in simplifying
the controls and maintaining the financial information more accurately, that too after
laying off 75 percent of the staff from the accounts payable department.

Implementation Procedure of BPR

STEP Zero - Preparation and Coordination of the Project
Objectives:
To establish a strong management support
To explain to the members of the BPR implementation team the
implementation details of the project and their role in the successful
outcome in the BPR effort.

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Actions taken:
Explain to the top-level management the necessity to commit to the BPR project.
Allocate the most capable employees to the BPR implementation team and assign
roles for each one of them.
Run a workshop having as participants the members of the BPR implementation
team. The consultants will present the project step by step, as well as, the role of the
implementation team in the success of the project.

STEP 1 - Business diagnosis and Measurements

Objectives:
To diagnose & identify problematic areas in the current processes
To measure the performance characteristics of the current processes based on
measurable factors such as average cycle time, delays, number of mistakes or number
of customer complaints.

Actions taken:
Record physical on the site measurements for each step of a process related to time,
resources spent or efficiency.
Input all measurements in the process management tool for further evaluation and
analysis.
Identify added value processes that have a major impact on customer service.

STEP 2 - Selection of Processes for Change and Modeling

Objectives:
To identify the strategic processes that are feasible to change
To redesign and model the selected processes
Actions taken:
Set the characteristics of the processes that are more important to the organizational
goals.
Based on the characteristics identify the processes that will change based on the added
value they provide and their feasibility for change.

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STEP 3 - Technical Design of the Solution
Objectives:
To automate modeled business processes (step 2) using networks and workflow tools
To redesign and model the selected processes.
Actions taken:
Establish network connections between process team members.
Prepare intranet applications to exchange forms and documents between team
members
Prepare workflow application that will implement each step in the redesigned process
automatically.

STEP 4 - Personnel adjustment & Training

Objectives:
To train personnel in the new ways of working using IT in the redesigned processes.
To redesign and model the selected processes
Actions taken:
Adjust each position according to skills needed in the new process.
Provide training in the operation of new processes, so employees will feel
comfortable in the changing job environment

STEP 5 - Management of change and Employee Empowerment.

Objectives:
To establish a positive attitude for the change between employees
To minimize the resistance to change between employees by empowering their
position based on performance appraisal and bonus systems.
Actions taken:
Establish executive management determination for change and determinate any
attempts of resistance to change.
Facilitate the change process outlining the positive effects of change.

STEP 6 - Introduction of new processes into business operations

Objectives:
To set the time and date of operating under the new processes, emphasizing the fact
that working under the old processes is not an acceptable practice.

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Actions taken:
Prepare and test all background resources (IT, documents, equipment).
Set time and date for operating under the new processes.
Do not allow any non-conformities in the operations of new processes
STEP 7 - Continuous improvement
Objectives:
To capitalize from the BPR project and develop internal experts for other BPR
projects
Actions taken:
Periodically evaluate the performance of business processes
Plan the time and the resources for the next reengineering project

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 Outsourcing
Todays businesses prefer to outsource some of their processes to other firms. There are
two ways outsourcing benefits a business; first, it helps in reducing costs and second, it
allows the business to concentrate on its core business and leave the remaining tasks to
outsourcing firms.

Whenever a business plans to outsource one of its processes, it will cause some major
restructuring and reshuffling within the company. Downsizing is common when a
business outsources its processes. For instance, Nokia plans to layoff 4000 of its
employees by the year end 2012, as it will be outsourcing the production of its Symbian
operating system.

Virtualization
Virtualization is the last on our list of restructuring strategies. This strategy involves
pushing employees outside the office to places where they are more needed like at the
clients site. It also involves upgrading to technology, which allows unmanned virtual
offices to be set up. For example, the ATMs offered by banks are their virtual units.

Merger and acquisition

Mergers and acquisitions specialists assist businesses which are considering making
changes to their corporate structure by joining forces with another company in some way.
By combining expertise in corporate finance, corporate strategy and business
management, M&A experts provide companies with expert advice regarding company
restructure and the potential impact of a merger or acquisition.

Although the terms merger and acquisition are often used synonymously, they are in
fact very different. A merger involves two companies joining together to become one
company, whilst an acquisition generally involves one company buying out or taking
over another company. The company which has been taken over or acquired then ceases
to exist. There are various strategic reasons for companies to consider making an
acquisition and a successful takeover can help companies achieve their strategic
objectives as well as increase cost effectiveness within the business.

However, the process of merging with another company or acquiring a company is

extremely complex. In addition to the legal ramifications, companies must be aware of
the potential tax implications as well as ensuring the terms of the deal benefit both parties.

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Often companies rely on lawyers and M&A specialists to negotiate on their behalf in
order to obtain the best possible deal. By seeking the advice of mergers and acquisitions
experts, businesses can obtain specialist advice and ensure they are aware of all the
options available to them. In addition to providing information regarding the possible
options available, merger and acquisition specialists can provide forecasts highlighting
the potential effects of changes to the company structure. This can assist company
management teams in deciding which option is most suitable and whether to go ahead
with any proposed changes the company structure.

Although many companies consider mergers and acquisitions as opportunities for

growth, they can provide a viable business solution for companies attempting to downsize
or companies which are looking for an effective exit strategy. By divesting company
assets, the company can reduce costs and streamline its operation leading to an increase
in profitability. If companies have an underperforming department or subdivision, they
can rely on mergers and acquisitions experts to help them dispose of the asset effectively
and in accordance with their overall business strategy.

By helping companies prepare for potential mergers and acquisitions, corporate finance
specialists can help maximize the sale value of a firm or asset and obtain the best terms
of sale for their client. Negotiating terms for a merger or acquisition can be a long and
laborious process so companies often rely on M&A specialists to guide them through the
process and ensure they meet compliance requirements as well as ensuring they achieve
the best possible terms. Although complex, a merger or acquisition can be a rapid way
for companies to achieve their objectives and increase company growth. The complexity
of a merger or acquisition, in addition to the impact on the business if the deal goes ahead,
means that companies should obtain specialist advice from M&A experts prior to closing
a deal. By engaging with merger and acquisition specialists, companies can ensure they
are acting in according with their business strategy, complying with the relevant
regulations and acting in the best interest of the company, its shareholders, investors and
staff.

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References:

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from http://archive.dhakatribune.com/op-ed/2016/mar/07/bangladesh-four-
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Ashok Leyland opens a new assembly plant in Bangladesh. (2017, February 2). The
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Carmodi Car Survey (Rep.). (2017, October 6). Retrieved March 26, 2017, from
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what-motorists-wants-purchasing-car

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Worksheet

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