Human Resource Management

Recruitment Process: Interloop (PVT) LTD.

5/26/2009 PRESENTED TO: MS. SANA SALEEM PERSENTED BY: NAMES
Muhammad Salman Rasheed Zarmeena Khan Umer Shehzad Saira Tariq Aimen Tariq

ROLL NO.
04 08 14 25 37

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Dedication Acknowledgement Executive Summary Interloop: An Introduction Interloop : Organogram Interloop: H R Deptt. Interloop : Recruitment Process Appendix

03 04 05 06-09 10 11-12 13-22 23- on ward

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THIS REPORT IS DEDICATED TO OUR RESPECTED TEACHERS AND BELOVED GRAND PARENTS.

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ALLAH the name we begin with the most Merciful and most Gracious. First of all We offer our humble appreciation from the core of our heart to the HOLLY PROPHET HAZRAT MUHAMMAD (PBUH) who is forever torch of guidance and knowledge for humanity as a whole. We acknowledge with deep reverence and sincerity and feel much pleasure in expressing heartiest gratitude to our respected teacher MS. SANA SALEEM, who always served for the betterment of students . Finally We would like to express heart -felt gratitude and thanks to our adoring parents for economic and social support and countless prayers throughout our educational career and thanks to our class fellows and respected seniors for their cooperation .

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he rise of this Company epitomizes a true success story, Interloop started out in 1992 with just 10 knitting machines, now has 2300 machines and a workforce of more than 8000, and has transformed itself into SOUTH ASIA'S largest sock manufacturer and exporter offering the highest quality socks at a level of service unknown in our industry. It is located in Pakistan's Industrial hub Faisalabad; also known as the "Manchester of Pakistan". Interloop is an integral part of this business community, continuously striving to revolutionize business practices in this region. Interloop is a complete vertical unit offering a wide range of price points and needle counts and is on the cutting edge in terms of the latest technology for each production process. We believe our success is due to a highly focused concentration on quality and speedy turnaround; a combination which increases our customers' edge in a highly competitive marketplace. In pursuance of our goal to achieve and maintain good quality, Interloop has now set up a high-tech spinning unit that will ensure finest quality yarn made from the best available natural cotton. This project will enhance the value of money for our customers by offering even more competitive rates to our clients Hard work and utmost commitment from its employees and management, strict quality control measures, timely shipments and reliable service standards have been paramount towards Interloop's phenomenal growth. It is one of the very few firms in Pakistan with an impressive social responsibility portfolio, realizing that a commitment to sustainability in all areas of commercial activity endorse the long term interests of a business.

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The rise of Interloop epitomizes a true success story.Interloop started out in 1992 with just 10 knitting machines, it now has 2300 machines and a workforce of more than 8000, and has transformed itself into one of the WORLD'S largest sock manufacturer and exporter. It is a limited company located in Pakistan's Industrial hub Faisalabad; also known as the "Manchester of Pakistan". Interloop is an integral part of this business community, continuously striving to revolutionize business practices in this region. Interloop is a complete vertical unit with all processes ranging from yarn-spinning to packaging and it employs a centralized computerized system which handles all aspects of operations. We ensure quickest possible turnaround of shipments with strict compliance to our customers' specifications. In pursuance of our goal to achieve and maintain good quality, Interloop has now set up a high-tech spinning unit that will ensure finest quality yarn made from the best available natural cotton. This project will enhance the value of money for our customers by offering even more competitive rates to our clients. Hard work and utmost commitment from its employees and management, strict quality control measures, timely shipments and reliable service standards have been paramount towards Interloop's phenomenal growth. It is one of the very few firms in Pakistan with an impressive social responsibility portfolio, realizing that a commitment to sustainability in all areas of commercial activity endorse the long term interests of a business

Year Established : 1992 Total Area of Factory: 3,232,000 SQ FT (300,000 SQ MTR) Total Covered Area Hosiery Division I: 486,600 SQ FT ( 45,223 SQ MTR) Total Covered Area Spinning Division: 325,000 SQ FT ( 30,200 SQ MTR) Total Covered Area Hosiery Division II: 634,530 SQ FT ( 58,972 SQ MTR)

Capacity

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Knitting per month Dyeing per month Packing per month Minimum order qty Minimum Lead time

2.5 Million dozens 2.7 Million dozens 2.7 Million dozens 2,500 dozens( variable as per terms) 45-60 days after approvals Short lead time possible for repeats

Year Volume/Dozens Growth

2003

2004

2005

2006

2007

2008

5,608,592 8,782,368 10,879,773 12,245,561 15,375,158 20,000,000 65% 57% 24% 13% 26% 30%

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Certifications
Interloop complies with world's most demanding, quality and social standards. WRAP ISO 9001 REV 2000. CTPAT. OKEOTEX.100 AVE (Aubenhandelsvereinigungdes deutschen einzelhandels) SA-8000 ISO-14000 Fair Trade ISO 17025

Company Name: Interloop Limited Office Address:AL-Sadiq Plaza, P-157, Railway Road Faisalabad, Pakistan. Factory Address: 1 km Khurianwala-Jaranwala Road, Khurianwala, Faisalabad, Pakistan Telephone NO. + 92 41 4360400 Fax NO + 92 41 4360100 Email: sales@interloop.com.pk Internet: http://www.interloop-pk.com Contact Persons: For Yarn Mr. Hasan Masud hasan@interloop.com.pk For Hosiery Mr.Muhammad Shahzad mshahzad@interloop.com.pk

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In addition to being the leading Socks Manufacturing Organization in the Country, Interloop is also a large scale employer. Presently, we have more than 8,000 work force. These people are supported by more than 577 executive officers, who are providing managerial input and guidance to them. With such a large base of people, it is imperative to have a world class HR Function which is able to harness the combined efforts of our people towards achieving excellence in all aspect of our activities. The Human Resources department in Interloop is providing precisely the support, which the top team is looking for achieving his objective. Our HR Team has the full capability to be an active business partner, a Change Agent, and an employee advocate. We have been able to recruit the best professionals, who have taken the company to new heights. Our HR philosophy is based on the belief that we can increase our overall Human Capital by improving the following:

Intellectual Capital: Processes which will improve specialized knowledge, skills, tacit knowledge, and imagination of our people. Emotional Capital: Developing a culture which breeds self confidence, ambition, and courage. Developing Leadership capabilities and encouraging team based environment, is an essential ingredient. Social Capital: leveraging social contacts for business and personal gains, strengthening networks of our people with outside world, trustworthiness, etc. are the hallmark of this process.

We have a strong people development process, which enable us to plan career paths for our executives. It also helps us to identify areas of improvement for further training by developing a gap analysis. The assessments are done continuously so that our people are ready to face the ever increasing challenges of the corporate world. As a part of our Values, we are constantly striving to transform Interloop into a more "Caring & Sharing" Company. We believe that the success of a company comes through its workers and we have recently launched an initiative, known as "Project CARE" for this purpose. This project is recognition of our people's performance & dedication towards Interloop. Long Service Awards, supporting children education, integration of families through social activities, and guaranteed jobs for our long serving employees are some of the salient features of this program.

HUMAN RESOURCE MANAGEMENT DEPARTMENT

DIRECTOR HR

D.G.M. HR

SR. MANAGER HR

MANAGER HR

DY. MANAGER HR

ASSISSTANT MANAGER H.D. 01

ASSISSTANT MANAGER H.D. 02

SR.OFFICER LEGAL & COMPLAINCE TRAINING WING OFFICER RECRUITMEN T EXECUTIVE OFFICER TRAINING

SR.OFFICER NONEXECUTIVE

SENIOR OFFICER TRAINING & COMPLAINCE WING

ASS. OFFICER ASS. OFFICER

ASS. OFFICER TIME KEEPER

SUPERVISOR

SUPERVISOR

TIME KEEPER

JUNIOR SUPERVISOR

For the purpose of H.R. Project, we have to select an organization to see its recruiting process. To collect this information we have chosen Interloop. After conducting a visit of interloop, we have almost complete information about their recruiting efforts. They have: 8,000 employees; Employee turnover is about 5% that is acceptable.

There are different ways through which vacancies may be created. When there is expansion of business. When an employee suddenly leaves the organization. When a person reaches to superannuation age or near to retirement age. When an employee is promoted.

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Recently, the Interloop expanded its business and of new plant has been installed for this purpose because of this a lots of vacancies have been created. To fill these vacancies, Interloop has divided the recruiting efforts into 2 parts. 1. Executive Recruitment. 2. Workers recruitment. The hire workers on daily basis, however the criteria for executive recruitment covers 2 3 months time period. And for some immediate requirements, they shorten this period to one month only.

Following practices are adopted for executive recruitment. Fresh Post graduates. Experienced person. In fresh post graduates they prefer fresh MBAs and some other people having 16 years education. For this, experience is not required. In recruiting experienced persons, they require people having leadership skills, people and time management skills and also good communication skills.

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Retirement age fixed by Interloop is 60 years however if they are unable to fill the vacancy create by retired person, they make a contract with this person. 5 6 employees are employed there on the basis of such contracts.

For this purpose existing employees of interloop are very much helpful, so it not required to conduct separate recruitment process for employees.

An effective recruiting process requires a significant pool of candidates to chose from and the more diversity within that group the better. Like all good companies their recruiting goals are to invite a large pool of applicants and discourage unqualified workers. We have provided a specimen of an ad of interloops recruitment in which they have provided all necessary information that encourages only qualified workers.

While the image of company is so much good that they always have a necessary pool of applicants for the recruiting purposes.

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The ideal recruitment effort might bring in s satisfactory numbers of qualified applicants who want the job, but certain realities cannot be ignored for example, pool of qualified applicants may not include the best candidate or the best candidate may not want to work for the organization let us look if interloop is effected by some constraints or not.

Sometimes organization image effect the recruiting efforts because if a company has no good image, they can never invite large pool of applications. As the image of interloop is very much impressive in the minds of people so, they are always interested in having a job in Interloop. It offers best salaries excellent benefit and even respect in community so Interloop has no hurdle as regard to its image and thus able to attract large pool of applicants and chose out of them more qualified workers.

If the position to be filled is an unattractive job, recruiting a large and qualified pool of applications will be difficult, particularly manual labor positions are more effected by this constraint. But the jobs offered to workers and executives (Males & females) are so much attractive that no one hesitates to apply in this organization. People are very much afraid to send their daughters in textile industry but they offer a lots of benefits and best environment to work in the

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organization and thus they make jobs attractive for the females also. In Faisalabad Industry, they are at the top who offer best care to their employees. They offer overtime for their workers only of 2 hours. Thus job offered by them at all levels become more attractive than others.

The Governments influence in the recruiting process should not be overlooked. An employer can no longer seek out preferred individuals based upon non-job related factors such as physical appearances sex and religion. Interloop offers equal employment opportunities to females and minorities also. Male and female are equally important to an organization and the people of other religions exist in workers and also in executives jobs. This they always respect the rules set by the govt.

Recruiting is a costly process, Organization have to pay the costs of ads, time, socialization and training efforts. The interloop always spends an extra cost to get the more qualified workers, because performance of employees is more important than cost of recruitment. Their focus is just on business needs so to meet their business needs if they have to pay an extra cost, they pay for this purpose. They bear recurring cost i.e. 4 times of salary of an existing employees.

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Recruiting is more. Likely to achieve its objectives if recruiting sources reflect the type of position to be filled. To fill different jobs. Interloop uses 2 different sources. 1. Internal Sources. 2. External Sources.

They use planned approach for internal searching. Initial short listing is done by H.R. Department. If there is requirement of marketing or finance people, concerned department will do this job. sometimes they use employee referrals, that is for workers, whenever there is any vacancy, the exiting employees may ask their relatives & friends to apply for job. And thus their reference is considered and good applicants are hired. Their performance is good and response of employee referrals is very much positive. Their positive aspects are. It saves time. It saves cost. Adjustment becomes easy.

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In addition to looking internally for candidates, organizations often open up recruiting efforts to the external community. These efforts include advertisements employment agencies, schools colleges and universities, professional organizations and unsolicited applicants. Advertisement is made by the Interloop for top, middle and lower level. They have a contract with www.rozi.pk for the purpose of advertisements. For top and middle level jobs, they usually advertise the jobs in Jang & Down News. Qualification required for top and middle level management is:I.Q. Test for executives. Job knowledge Test. According to their specialization. MBA (Post graduates). Skills required for these managerial jobs include. Computer Skills. Time management skills. People management skills. Communication skills. For lower level jobs, they give ads in local news papers. Forms to be filled are in Urdu Language. Qualification required for these jobs is:Matric.

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Inter (F.A). Bachelors (B.A). And they must possess skills for using computer because the whole process in Interloop is computerized Note: They dont use blind box ads. Because they have a good image in the mind of people. And for the purpose to attract qualified workers they dont believe in giving blind box ads. As such there is no proactive for inviting fresh students from schools, colleges & universities, personally. However in last year a job fair has been conducted in G.C. Universities and also in superior college and at that place some recruitment efforts have been conducted. But they have no permanent association with any university to invite people for jobs. Employment agencies are not being used by Interloop as the H.R. system of Interloop is very much strong. So, there is no need of employment agencies. Unsolicited applications are also not preferred by Interloop. The management say that without inviting unsolicited applicants they have enough applications

therefore they are not considering unsolicited applications as an external source of recruitment. Cyber space recruitment is being performed by Interloop. They have place the application forms on their website and any interested person can till the form and

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submit it to the organization. So, online advertisement of jobs and at the same time applying for the job is offered by interloop.

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Today, many companies are hiring temporary help leasing employees and using independent contractors. Recruitment alternatives, discussed. Sometimes the old workers or retired workers offer temporary help service. Interloop gets temporary help service from retired workers in case if it has no person to till the retired persons, vacancy. By receiving temporary help from these persons gives a benefit to the organization as they have mentoring abilities for young workers. Generally employee leasing is not preferred by Interloop. However, sometimes, they have a contract, with leasing companies for the purpose of some technical jobs. The management of Interloop also says that, the lased employees are not much loyal to the mgt of Interloop is that as they have good employees at all level therefore they dont need to have contract with employee leasing companies. are used by Interloop are now

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