Consultancy Project

2012

INEFFICIENCY OF HR DEPARTMENT IN FILLING OUT A VACANT POSITION

Acknowledgment
Sir ____________________
The Course Instructor Entrepreneurship Superior University, Lahore

Respected Sir_______________ ; We would like to thank you for the valuable guidance and advices that you provided us throughout your tenure with us, you inspired us greatly to work in this project. Your willingness to motivate us contributed tremendously to our projects and class assignments. We would also like to thank you for showing us some cases that related to the topic of our projects, and linked the theory to practical to make us comfortable. Besides, we would like to thank our institute which provided us an excellent environment for the creation of this project; we would like to take this opportunity to thank to all of our class fellows for the creation of this project. It gave us an opportunity to participate and learn about the major areas of Human Resource Management.

Sincerely Yours Group Leader Asif Riaz MBP 11029

Allied Bank Limited

Introduction to Allied Bank Limited

Allied Bank was the first Muslim bank to have been established in Pakistan. Established in December 1942 as the Australasia Bank in Lahore with a paid-up share capital of Rs. 0.12 million under the Chairmanship of Kawaka Bashir Bux, the Bank attracted deposits equivalent to Rs. 0.431 million in its first eighteen months of business. Today, Allied Bank's paid up Capital & Reserves exceed Rs. 13 billion, deposits exceed Rs. 325 billion and total assets exceed Rs. 418 billion. 1.46 billion, and Advances & Investments from Rs. 1.34 billion to Rs. 22 billion during this period. It also opened three branches in the U.K. Australasia Bank was the only fully operational Muslim bank in Pakistan on August 14th, 1947. However, it was severely hit by the riots in East Punjab. The Bank was identified with the Pakistan Movement. At the time of independence all the branches in India, (Amritsar, Batala, Jalandhar, Ludhiana, Delhi and Angra (Agra)) were closed down. New branches were opened in Karachi, Rawalpindi, Peshawar, Sialkot, Sargodha, Jhang, Gujranwala and Kasur. Later, the network spread to Multan and Quetta as well. The Bank financed trade in cloth and food grains thus, played an important role in maintaining consumer supplies during the early months of 1948 affected by riots. Despite the difficult conditions prevailing and the substantial set back in the Banks business in India, Australasia Bank made a profit of Rs. 50,000 during 1947-48.By the end of 1970 it had 101 branches. Unfortunately, it lost 51 branches in the separation of East Pakistan. But the Bank did well despite losing a lot of its assets and by the end of 1973 had 186 branches in West Pakistan. In August 2004 as a result of capital reconstruction, the Banks ownership was transferred to a consortium comprising Ibrahim Leasing Limited and Ibrahim Group.Today the Bank stands on a solid foundation of over 63 years of its existence having a strong equity, assets and deposits base offering universal banking services with higher focus on retail banking. The bank has the largest network of on-line branches in Pakistan and offers various technology based products and services to its diversified clientele through its network of more than 837 branches.

Allied Bank Limited operates by the following Vision, Mission & Values:

Vision
To become a dynamic and efficient bank providing integrated solutions in order to be the first choice bank for the customers.

Mission
To provide value-added services to our customers To provide high-tech innovative solutions to meet customer requirements To create sustainable value through growth, efficiency and diversity for all stakeholders To provide a challenging work environment and reward dedicated team members according to their abilities and performance To play a proactive role in contributing towards the society

Core Values
The core values of Allied Bank are: Integrity Excellence in Service High Performance Innovation and Growth

Retail Banking
The CRBG (Commercial & retail banking) is the major contributor to the banks income. People benefitting from the CRBG include individuals, students, senior citizens, sales persons, business from small shops to middle or large sized organized businesses. It offers its customers various deposit products, commercial and SME loans, agricultural loans, trade facilities and online banking ensuring instant transfer of funds within the entire banking network. This department is organized under four geographical territories and 27 regions across the country.

Recent Developments
Allied Bank is currently rated as one of the largest and leading banks in the banking sector of Pakistan. They hold a very wide network of branches across the country with over 700 branches in 24 cities. Also as compared to their competitors, they are creating more employment which is evident from their last weeks job employment ad for MTOs hiring in newspapers. Their commitment to improve the efficiency and efficacy can be clearly seen through their investment in latest technological developments. They have invested Rs. 2 billion in buying software Temenos 24 or T24from a Swiss company recently and its already implemented successfully in some of the banks large branches while implementation in other branches is under progress. The main reason for implementing this software is to reduce the paper work, to improve efficiency and to reduce the chance of human error. Allied Bank has also introduced four different types of mutual funds mainly Allied income fund and stock fund which were introduced last year while Cash fund which provides more liquidity than other funds and Islamic fund. The Cash fund and Islamic fund were introduced last month. As far as their marketing department is concerned, they are emphasizing on brand imaging mainly by renovation of their branches with state of the art facilities including touch screen ATMs which also provide an additional facility to deposit cash. In addition, all of their branches countrywide are interconnected via online network increasing the work efficiency and giving a unique advantage over their competitors. Finally their HR department is currently working on a cultural change within the bank by an aggressive hiring of young people. Over the last 3 years, they have hired over 1000 fresh graduates and young professionals.

Human Resource Practices at ABL

The Human Resource department at the ABL is known as the Human Resource Group which was formally organized and established in 2007. Even though it has been formalized and the basic structure is there but still a lot of work needs to be done. Currently there around twenty people working there out of which the majority of the employees are male. The policies regarding the human resource of the company have been recently formulated and they are constantly being revamped and improved. The policies that have been recently formulated by the Human Resource Group of Allied Bank Limited are stated later in the report.

Policy Statement
The Human Resource Policy of the Bank has been established in order to provide a guide to the personnel practices, ensuring consistency of human resources related decisions. Allied Bank is committed to fair, clearly stated and supportive relationships between the organization and its staff. The Bank will treat its employees with respect, equal consideration and opportunities for growth. As an employer the Bank accepts that it has a responsibility to eliminate from its structures and practices any source of direct or indirect discrimination on the basis of gender, race, colour, disability, marital status, ethnic origin, age, religion or political conviction. These policies and procedures are applicable to employees in their employment relationship with the Allied Bank of Pakistan Limited. It provides for managerial and supervisory personnel uniform knowledge with regard to Human Resource policies and procedures equitable and consistent application of them, together with the associated rules and regulations.

Role of Human Resource Division

Providing expert support for recruitment and selection. Assisting in identifying and providing training and development needs. Implementing job evaluation program. Ensuring staff performance evaluation is done at least once a year. Managing all exits of staff due to resignation, retirement or other forms of separation within policy guidelines. Developing remuneration and benefits policies in line with market and Banks needs and resources. Be fully conversant with Government rules, regulations and laws concerning personnel function in Pakistan. Providing expert advice, interpretation and support on personnel issues to the users. Developing centralized computerized Human Resource Information System (HRIS) so as to provide meaningful information to management on all matters relating to personnel. Bargaining, negotiating and administering agreements with the employees representatives (CBA). Retention of technically and professionally competent staff.

RESEARCH PROBLEM
Statement of the Problem

Human Resources department for any organization is one of the most critical departments needed to thrive the organization in the right direction. It is the responsibility of the HR department to make sure they hire the employees who are right for the company and are in compliance with the mentality of the organization they are joining. Then the HR department is also responsible for training them so they can work to the best of their potential and be productive for the organization to the best of their abilities. It is also the job of the HR department to make sure employees remain motivated and make sure everything is done to keep them motivated. Finally it is also the responsibility of the HR department to make sure their policies and regulations are followed by the whole organization and are not ignored in any case. There is no room for complacency in this matter. Policies are made to make the organization efficient and if they are not followed then it means efficiency is being compromised somewhere. These are not the only responsibilities of the HR department but just the basic ones. When interviews with the employees of Allied Bank were conducted in order to explore the possible problems that could be worked upon, a lot of problems were discussed but almost all of the employees agreed on one problem which they had all faced at one time or another. The first interview was conducted with Mr. Waqas Arif, credits manager at Allied bank. When asked about the existing problems at Allied Bank to his point of view, he pointed out to two basic problems that he thought the bank faced and he had faced. Firstly he said that a lot of times appraisals sent to the region by branch managers are biased. In his experience he told that at one time when his promotion was due, he was to be transferred but his branch manager didnt want this so he sent a wrong appraisal in order to prevent the promotion. Secondly he said that the vacant positions in Allied bank are not filled

immediately when an employee is transferred or resigns. He mentioned that during the last seven months, twice his assistant resigned and the first replacement took 3 months while second replacement is yet to be made. He also said that during his employment period, whenever his transfer letter was sent from region to the branch, he was not released immediately as per the policies but he was released after several days and a lot of other employees faced the same problem. He said it almost never happens that an employee is released from the branch immediately after the letter is sent. So in conclusion he said this problem needs serious addressing. Second interview was conducted with Mr. Mohammad Ali, branch manager at Allied bank. He denied that appraisals are biased, he claimed any appraisals he sends are never biased and are done on merit. However, he said that the whole process takes too long. Appraisals are sent in December and are processed by April after which actions based on appraisals are executed. According to him this process needs to be quickened to improve operational efficiency and to improve morale of employees. When asked about the problem of filling out vacant positions, he agreed to the problem. He said the same thing as Mr. Waqas that vacant positions are not filled immediately and whenever an employee is transferred/resigns, even by sending reminders to the region, the replacement doesnt take place immediately and for that reason he cant release employees on immediate basis when they are transferred to keep the operations running smoothly. He said if he releases an employee the next day, he can do that but who will take care of that employees job? The replacement doesnt come for at least a month or even more than that sometimes. He said if HR department and the region can make this process efficient and smooth, then no branch manager will hold out their employees after their transfer letter and this problem would not exist. Since all of the employees interviewed as part of exploratory research agreed over the problem of HR Groups delay over deployment of employees where theres a vacancy, this

problem has been selected around which the research will be based. The research will try to find out the extent of this problem and the factors because of which this problem is existing. The research will also look over the competitors take on this problem and in the end it will provide the firm with possible recommendations. These interviews conducted with the employees of Allied bank lead to the following problem of statement: Inefficiency of HR Department in filling out a vacant position More precisely, following questions will be answered through this research: 1. Does this problem of inefficiency on part of HR department exists or not? 2. If yes what are the factors causing the inefficiency? 3. What could be possible recommendations

RESEARCH METHODOLOGY
Components of methodology followed to carry out this research are below:

Nature of Research
This research is applied as its based on primary data gathered through questioning the bank employees and aims to investigate the underlying problem and factors influencing it. Furthermore, this research is diagnostic and descriptive as it aims to diagnose the factors behind the main research problem and provide possible recommendations.

Data Collection Methods

Data type for this research is purely primary in nature as all data will be conducted through personal interviews and survey questionnaires. Primary data was collected through questionnaires and interviews for the main part of the research, however, in order to get a better understanding of the dynamics of research, in depth study of secondary research was also done through literature review of past researches done on topics related to the research, industry analysis, competitors analysis, the scope of human resources in Pakistan, the scope, significance and operations of human resources in banking industry of Pakistan specifically. This secondary research was then analyzed.

Survey questionnaires were made and were filled by employees of Allied bank who were selected for the survey. In dept interviews were conducted from employees of Allied bank including credit managers, operations managers and branch managers of different branches in Lahore. After the collection of primary data, tabulation was done and based on the tabulation and research results, data was presented and analysis was done.

Reference Period
Reference period of this research is January 2012-May 2012.

Plan of Analysis
Both qualitative and quantitative researches have been used in the project; however, the major portion of this research is based on quantitative research which involves gathering of data by means of survey questionnaires. The aim of the questionnaire is to get to the root of the problem under question through consensus of the people surveyed. As for the qualitative part, it was initially done in order to screen out the internal problems and later on for the descriptive part of research, in depth interviews were done in order to get a rational and logical result for this research.

Population
Universe: The universe would include all employees of ABL. Sample size: The survey will be done among 30 employees selected from different branches of ABL in Lahore. Population screened for this research is both males and females without restriction of any age group from different branches. The only condition applied is that they must be employees to ABL working in Lahore.

Sampling Technique
Sampling technique which will be used is convenience random sampling.

Significance of Research
This research is important because it aims to find out the factors that are affecting the efficiency of the HR department of ABL. First of all, the delays in deployment of employees devalue the motivation level of the branch in which the vacancy is not being

filled as workload on individual employees increase because someone has to cover the work left by the employee who resigned or got transferred. Secondly it affects branchs day to day operations directly by slowing down the pace. Having one employee doing work of 2 employees slows down the work pace and diverts the focus of employee when he has to do something out of his job description.

Limitations
The limitation of this research could be: Huge network of ABL branches countrywide. Its impossible to cover all branches of Lahore let alone the countrywide network. This is why sample has to be picked very carefully in essence that it makes up for branches that are not visited. Second limitation could be ABL employees reluctance to share information specially HR departments reluctance as the whole research is based on inefficiency of their work.

Ethical Issues to be Considered

Some ethical issues to be considered during the research are: Not to share anyones personal information without their permission Not to offend anyone with blunt questions Do the research with honesty without any manipulations as this research might be useful for the bank.

Literature Review

Literature Review Industrial Analysis of Banking Sector of Pakistan

There are many problems facing by the Pakistani banking industry. The history of banking shows that politicians have used the banking sector for personal gain, which affects the efficiency of the sector and limits its profitability. The Pakistani banking sector has also faced a problem of capital adequacy over the years; but following the reforms introduced by the State Bank of Pakistan in 2006, banks have overcome this problem by adopting the policy of plugging back profits1 (I. Husain, 2006). Recent progress in the Pakistani economy is mainly a result of the improved efficiency of the banking sector. Butt discusses one of the major problems that Pakistans banking industry has faced since the advent about 64 years ago, non-performing loans. NPLs have played a major role in less profitability leading to less than optimal efficiency of the sector. The major reason for this NPLs have been huge amount of loans borrowed by politicians and bureaucrats never to be returned as part of corruption which is at the bottom of this countrys adder bitten roots. Banks intense more on consumer loans during 2001 to 2006. The interest rate dropped from 21 percent to as low as 5 percent for borrowings. People were able to borrow money from the banks on lower interest rates to buy consumer items (I. Hussain, 2006). The conditions were made very friendly as the borrower just had to deposit 10 percent as down payment and the rest to be paid in equal instalments (I. Hussain, 2006; S. Akhtar, 2007). By 2006 the banking sectors reported profit jumped from Rs. 7 Billion in 2000 to Rs. 123.4 Billion (IANS, 2008). For the year 2006 the reported profit for the banks was above Rs 400 billion (I. Hussain, 2006). This policy could have directed the country in a positive direction. But due to high volume of loans issued, banks suffered a serious recovery

problem and within a few years, banks found it impossible to recover money. Volume of non-performing loans was increasing sharply. Defaulters lists continued to rise and there was a call for the State Bank of Pakistan to intervene. The latest era of the banking industry in Pakistan came after 1991 marked by privatization of several banks except NBP. This step was taken in order to increase the profitability of banking sector. This decision was criticized by some banks; however, maximum took it well. During years 2001-2006, as the result of this policy banks focused more on consumer loans. This part of the policy led to a immense decline in interest rate from 21% to mere 5%. This decrease in interest rate enabled a common man to borrow money. Initially this change increased the profitability of the banking sector as a whole, however, due to lending of many loans, recovery of these loans was made difficult and accordingly increasing the number of NPLs. This continued until SBP intervened. Pakistan banking sector has performed remarkably under the given circumstances. It has passed through various challenges during its short history of more than 63 years. It has had its drawbacks in the forms of nationalization and privatization. On both occasions, the banking sector had to re-arrange and start from the scratch. History has proved that in privatization era banking sector performance improved in 1996. Banking reforms of 1996 freed the banking sector of the country from the government influence which gave a positive boost to the banking sector of the country. Pakistans banking sector has agreed through many years of difficult challenges which it passed through quite remarkably. Policies like nationalization and privatization had their advantages and their disadvantages however, government tell that banking sector performed better improving its efficiency and profitability under privatization period as compared to nationalization phase. Banks performance can be affected through different internal & external factors. It may be the level of technology, job satisfaction, Retention of Employees, nature of reforms,

performance of management, profit efficiency, Organization Justice or the manpower. A banks performance depends on the performance of all these factors. The hardest part of measure the performance of banking sector we should take care of all the above the factors that there is no such defined input or output in case of banks (Vitas, 1991). There are many factors to measure the performance of banking sector like technology, motivation level of employees, policies by government and central bank. A banks performance cans be calculated in view of only one or a couple of factors. This will resulted to get an actual picture of the situation, all factors must be considered in regard to their importance and to the extent they affect the performance of banking sector. Government must encourage the banking sector of Pakistan in the world and at the same time should promote the general public to increase their confidence level in the banking sector. For enhancing the small and medium enterprises banks should increase the deposits that resulted to increase the opportunities for the banks. These enterprises are the main contributors in the development of the economy as they not only create the jobs for local employees but at the same time increase the productivity as well. Government should support to banking sector for flourishing & generating profits. As the result government must formulate and regulate policies keeping focus on profitability on banks. Government also focuses on promotion of SME in the country. SME can play an important part in revitalizing the banking industry of Pakistan. It has boosted up Bangladeshs economy as well as Pakistan. Promotion of SME will serve two purposes. First it will help to boost the economy; secondly it will enable poor people to make their own living in a positive way. For the banks scored inefficient, it is suggested to overcome the high costs associated with their staff. Since last few decades the management is facing a few major problems like operations of the bank. The banks must learn from their efficient counterparts how they have performed given the same constraints that these banks had.

State Bank of Pakistan must monitor the banks constantly and must not wait for the years to introduce reforms. In last 14 years, the State Bank has introduced twice the reforms for the mergers of banks and to increase the capital requirements. These reforms are not healthy to adopt for the banking sector as the resulted the banks have closed their operations in Pakistan due to the increase requirements in regards to capital and were merged in other banks by losing their identities. Banks must be controlled and reforms on the basis of needs and necessaries. Banks take few steps to increase the revenues and profits to improve their management and reduce their operational cost. Poor and inefficient management has also been one reason of failed to produce huge profits in banking sector. Recently many foreign banks have either merged into other banks in order to fulfil the requirements set by SBP, hence losing their own identity or they have left the country. SBP must not introduce such reforms that repel foreign banks to enter the domestic environment. Instead SPB in collaboration with the government must take steps and make the banking industry profitable enough to attract the foreign banks. This will not only contribute to the economy but it will also increase the competition and eventually increase the efficiency and profitability of the banking sector in the country. Major problems that we recognized in this issue are employee turnover and organizational justice Now we shall discuss it in detail according to the banking sector of Pakistan. One of the greatest challenges of todays business world is to remain up to speed and run the business according to the growing pace of technological growth. Different organizations spend a lot of money to stay on the pace of growing world and technology. Unfortunately, Pakistan is facing an increasing shortage of highly skilled employees in banking sector, thats why employee retention is becoming a huge concern for the

companies in this sector. Despite of great number of employment opportunities, this sector is lacking in talent. If any business sector, higher the skill set of employees, the greater the demand for their services. On the other side, workforce is growing so increasingly, but dark side of this increase is that employees are not getting that much skilled and are not having that skill set with them when entering in practical field. According American Management Associations 13th annual survey of the US workforce, as companies hire and fire and do both side by side, the overall growth of the workforce gets slow down. The survey of 1,192 large and mid-sized firms shows that staffing increased by an average 5.0 percent in the twelve months ending in June 1999, compared to 7.7 percent in the prior twelve months Of those surveyed, 77.2 percent reported creating new jobs, up from 72 percent in the previous twelve-month period, while 49.6 percent eliminated jobs, up from 40.9 percent previously. Actual downsizing, or net reductions in the workforce, rose to 24.1 percent of the surveyed companies from 21.9 previously. Many job cuts were offset by concurrent hiring: 36 percent of surveyed firms both created new jobs and cut existing jobs in the period, up substantially from 27.1 percent previously. By William A. Howatt, 1999. Working morale of the staff of any organization plays a very vital role, and is a huge variable which determines the ultimate success of a company. Thus an organization has to study the topic of employee retention so closely and carefully. The objective of this employee retention model includes different views, defining employee retention, offering suggestions to increase employee retention, providing a method to evaluate potential risk factors that may decrease risk employee retention, discussing viewing how should an organization should address the issue of employee retention in corporate environment, moreover, designing interventions that will increase

retention for a particular organization, and finally measuring program success by doing following up activities. An organization should be aware of cost of employee turnover, according to American Management Association the cost that an organization bears by firing an employee is conservatively 30 percent of their annual salary, while for those with high skills and in demand cost can rise to an alarming, 1.5 times the annual salary to replace. Research of the most profitable companies in America indicates that happy employees produce more, and are less likely to leave. Rising and soaring companys always have the ability to retain the key workers and keep them working in organization effectively and efficiently with higher and greater profitability, there are direct and indirect costs as well, direct costs include the recruitment and training and even greater indirect cost in loss of productivity. Less obvious are the costs of maintaining morale when there are change and threats of job cuts. Discussing about the employee turnover, this is going to happen always. The main purpose of this retention model is to increase the likelihood that an employee will stay with the organization, in other words, an organization should seek out the masses needs, and strive to correct that. The result of this research is the loyalty of an employee with the organization. Organizations are always trying to cutting the positions, that are causing the higher costs and on the same time strives for the retention of the positions that are causing higher yields and profits. There are many challenges that an organization faces to keep their work force working. For example making employees respected, valuable for the organization. Building a perception of being well paid and compensated effectively. Moreover, making them feel good about their growth. Some other observations about the employees are also discussed below; employees always remain in the point of not being given the tools to accomplish the job, employees normally lack trust at workplace, there is too much mentality of survival of the fittest in the

organizations, due to which employees start leg pulling and always tries to let the other people. Resultantly, employees get stressed and their creativity and resourcefulness gets nullified. Employees are normally reluctant to work and always resist change, changing according the requirements of vision of the organization. In every organization, employees, mix up the rewards with the bonuses. People, gets rewards for the wrong reasons (favouritism) which results in negative competition within the organization. Employees feel unappreciated and gets de motivated due to meaningless feedback from the higher positions. Many employees complain that they are being judged according to wrong key performance indicators, resultantly their performance gets lacking in various areas. On the other side, employees are so much conscious about their career planning and observe their position and job at the organization according to the future needs of their careers. Cultural insanity, the company front line is out there, but behind the scenes no one believes. Sometimes an organization faces very crucial situations when employees get confused about their existence in the organization and get passion less and de motivated. If employees dont have any vision about themselves and also about organizations vision, it may cause a very slow but huge loss to both. Employees have to be congruent to the organizational goals and should always strive to make the big picture clearer. Sometimes employees get lost, thinking and wondering about that what their organization expects from him. The only solution to this problem is to make the employees participative in the organizational decisions. Another vital cause of employees turnover in an organization is personality conflict, normally employees dont leave for money. Most of the causes are rooted to the

personality conflicts with the direct supervisors. The only remedy to this type of problems is effective and efficient communication within the organization. Balancing work life and home life is also a very important factor. Many talented people know how to balance their lives. Employees may also leave due to poor management practices in organization, when organization starts cutting staff or downsizing, employees get scared of being fired and remains in this condition until downsizing ends. Till that time they dont see opportunities and openings in such conditions and feel boxed in. The most important and vital factor in this issue is organizational justice. Organizational justice has the powerful benefits to overcome most of the issues in organization that are related to human resource. Management of organizational justice with some suggestions for building fairness into widely used managerial activities. These include hiring, performance appraisal, reward systems, conflict management, and downsizing. When an employee enters a new employment relationship with a company, there begins an exchange, which is, at least in part, characterized by an exchange of material benefits. The employee has to carry out tasks and receives material outcomes for it. This type of relation is close to what has been named an exchange relationship (Clark and Mills, 1993). In this, employees feel the fear of exploitation from the employers; indeed, he uses his resources, gives time, and leaves his own fate on the others. Issues of justice or fairness are a key concern to virtually all individuals. In work settings, employees often gauge whether the rewards they receive match their contributions to the organization or the rewards received by their colleagues (J. S. Adams, 1965; Leventhal, 1976).

Employees also judge the fairness of the decision-making procedures used by organizational representatives, to see whether those procedures are consistent, unbiased, accurate, correctable, and representative of worker concerns and opinions (Greenberg, 1986; Leventhal, 1980; Thibaut & Walker, 1975). DeFrank and Ivancevich (1998) reported some sobering statistics about the magnitude and effects of workplace stress. For example, 79% of employees surveyed reported that the year prior was one of their most stressful years ever and that work was the primary source of that stress (HR Focus, 1996). Stress-related complaints have also become a common source of Workers Compensation claims filed by current and past employees (DeFrank & Ivancevich, 1998). In every organization, exchange theory is the only base to examine the relationship between an employer and an employee. Theoretically an employer has to compensate his employee by giving him the job security and fair treatment and in return employees are expected to trust top management and be fully committed to the organization. As there are many variable that contribute in organizational justice, but there are three mostly known types of organizational justice, distributive justice, procedural justice, and interactional justice. Distributive justice is all about the fairness of outcomes, such as pay, rewards, and promotions. Procedural justice refers to fairness issues concerning the methods, mechanisms, and processes used to determine outcomes. Interactional justice deals with the fairness of interpersonal communication. Interactional justice means that people are sensitive to the quality of interpersonal treatment they receive during the enactment of organizational procedures. (Colquitt, Greenberg, & Zapata-Phelan, 2005). Normally in every organization, issues of unfairness in organizations concerns both distributive and procedural justice.

However it has to be noted that distributive justice concerns about the motivation and enthusiasm of self interest, on the other side, procedural justice is related to selfless motivation towards the others in workplace. Distributive justice is also related to the personal gain from the allocation of resource within the organization, as far as types of exchanges are concerned economic changes are contractual in nature and determines the accurate quantities to be exchanged between an organization and an employee. Most of the organizations integrates the distributive justice to the procedural justice which may cause anger, aggression and feeling of inequity in the employees. Keeping this in mind, organizations should always follow consistent procedures, should be unbiased, accurate, balanced in nature, providing the opportunity of growth resulting in creativity and innovation to the employees, and should follow moral and ethical standards. Job security is the probability that an individual will keep his or her job; a job with a high level of job security is such that a person with the job would have a small chance of becoming unemployed. Organizational justice includes the content of job insecurity, the severity of the threat to ones job and a feeling of powerlessness to counteract the threat. Based on this model of job insecurity, feeling of job insecurity is at its highest degree when the perceived threat is high and the perceived control is low, lowest when the perceived threat is low and the perceived control is high, moderate when both threat and control are high or both threat and control are low. According to comprehensive research on job insecurity (Ashford et al., 1989; Sverke et al., 2002), antecedents are classified as changes in external situations, organizational contexts, relationships within organizations, and personal differences. In some research, antecedents such as locus of control or individual personality were hypothesized as moderators (Greenhalgh & Rosenblatt, 1984). Job insecurity can be the result of economic expansion and economic recession. One

of the most important factors that can reduce the turnover rate in an organization is to design a base pay structure for employees very effectively, so that employees take the organization very loyal in their perceptions, and resultantly they perform good. Decisions that provide guidelines for the compensation manager or department to follow in developing a pay structure are made at the higher levels of the organization. These policy decisions include guidelines concerning the following, setting the minimum and maximum levels for pay by considering the job description, readiness to work for the organization. While setting the compensation strategy for the workers, employer has to be concerned about the level of the worker, whether he is of clerical, unskilled or semi skilled worker, skilled, technicians, or at the level of professional administrator. An employer can check and gauge the personality and readiness of an employee to work with an organization be observing some critical points, for example, does he talk optimistically about the future of the organization etc. Most of the people leave their workplace just for the behaviour and over asking attitude of their direct supervisors, basically thats all about lack of trust, proper feedback, appreciation, and fair treatment. Interpersonal trust is important social capital that can facilitate cooperation and enable coordinated social interactions (Williams, 2001). Trust reduces both the cost of and the need for monitoring others behaviour and creates an implied contract. Because trust facilitates informal cooperation and reduces negotiation costs, it is invaluable to organizations that depend on cross-functional teams and inter-organizational partnerships (Powell, 1990; Ring & van de Ven, 1994). However, there is also a critical weakness in trust. The rise and fall of Enron showed that excessive trust by some corporate stakeholders is very risky and harmful to the organization to the extent that a huge company collapsed quickly (Currall & Epstein, 2003).

The third necessary condition of trust is interdependence, where the interests of one party cannot be achieved without reliance on another. Although both risk and interdependence are required for trust to emerge, the nature of the risk and trust changes as interdependence increases (Rousseau et al., 1998). Although job insecurity leads to negative consequences for employees and organizations, some research indicates that negative consequences of job insecurity may have been overestimated in previous research (Hellgren et al., 1999; Sverke et al., 2002). Specifically, some research has reported inconsistent and contradictory findings compared with previous studies in regard to organizational commitment and work effort (Brockner et al., 1992; Mankelow, 2002; Spreitzer & Mishra, 1998). On the other side, Motivation is a deeply rooted psychological phenomenon related to the antecedents of which may be more difficult and complex in nature than organizational commitment or job satisfaction. We should always see the performance as ability but not only the function of motivation. Tools that an employer should use to tackle the HR of his organization are, making employees participative in organizational decisions, making rewards and recognition transparent and unbiased, providing growth opportunities on the basis of equality, perceived organizational support, keeping the employees committed by motivating them by different motivating tools, keeping them satisfied about their jobs or workplace, making them feel pride when telling someone about the organization. Now discussing about the impact of HR practices on the organizational performance, Impact of HRM practices has become very popular in the recent years (Ichniowski etal, 1994, Wanger, 1994 and Huselid, 1995). In spite of the assumption that HRM practices were linked to firm performance, earlier researcher found the relationship to be limited (Ulrich, 1997). In more recent years, however, researcher have used

improved techniques to demonstrate the link between HRM and organisational performance do indeed exist (Huselid, 1995, Ulrich, 1997; Becker & Huselid, 1998; Gedaliahu & Tzafrir, 1999; Gerhart, et al, 2000b; Wright et al, 2001; Wright et al, 2003). Scholars from different disciplines have suggested various conceptual frameworks as explanation of the link between progressive HRM practices and performance. These conceptual works generally converge on the importance of HRM practices in determination of both employee and firm level outcomes (Delaney & Huselid, 1996). Academic research conducted at the organisational level suggests that Human Resource Practices affect organisational outcomes by shaping employee behaviours and attitudes (Arthur, 1994; Huselid, 1995; Wood & De Menezes, 1998). Conceptually, these practices can be classified in terms of their impact on employee skills and ability, motivation and the way that work is structured (Arthur, 1994; Huseid, 1995; Ichniowski et, al, 1994). Stating the costs of employee turnover, Recruitment of replacements, including administrative expenses, advertising, screening and interviewing, and services associated with selection, such as security checks, processing of references, and, possibly, psychological testing, spending organizational admin cost to make a hiring plan and also executing it, for a few days productivity falls and loops down, productivity also loops down because of new hire, it may take a long while to get settled and start giving optimum performance, moreover, training and developmental programs has to be run again for the new hirings, most important and vital case is of business secrecy, which goes out as the employee leaves. In the above context we have discussed a lot about the employee turnover from the point of view of employer, we should also consider the causes of employee turnover from the point of view of employee and his environment, there are so many factors, for example economic condition of the country and also of his own, performance of the organization, social status that he gets in the society, taking into consideration the organizational culture,

characteristics of the job, job description, unrealistic expectations from the organization, demographic factors, and much more. Therefore, it is necessary for the bank management that they must satisfy the employees first to make them highly motivated with good working morale, and they will work more effectively and efficiently. The aspects of job-related attitudes enhanced as the ISQ practices increase. The study recommends that the human resource development departments should review and enhance the motivation, training, and retention of good employees and that employee should support the concept of the ISQ. The employees selection and their rewards and recognitions, their training and development, work design and job definition all are the most important human resource management practices in enhancing the employees job satisfaction and the retention of prospective employees. The greater the extent of internal service quality, the greater the enhancement and effect on the employee retention. The study further recommends that to deliver excellent internal service quality to the employees and strive for business distinction, the employees satisfaction and employees retention within the organization is very important. These all can be achieved if the top level management takes extra care while developing the

internal services quality bases starting from selection and recruitment process, recognizing the employees with their core expertise and setting up tremendous work design for the employees. Beside we are discussing retention problem at organization, we shall also discuss about the hiring factors that really matter for the retention in the organization, first of all, we should know that every candidate/employee has his/her own set of motivating factors that motivate them to work for the organization. A significant number of employees are motivated my money, because money is that factor that can be compared between the organizations easily.

Money can proof itself a very good indicator of identifying the leavers in an organization. Individuals, who are primarily motivated by the money, are at highest risk of leaving the organization just for the high offers from the other organizations. It doesnt mean that if an organization is paying a good deal of initial pay, employees would be retained. Employees, always expect bonuses, benefits and other rewards time to time. Secondly, the source from where the employees have been hired also does matter, for example, if an existing employee refers another employee for a specific job in his organization, the employee making the referral has a inclination to mentor that individual and will mediate to help the candidate. Thirdly, at the time of hiring, hirers should also have some knowledge about the average time duration they work with an organization, to avoid hiring any serial quitter. Fourthly, at the time of hiring, hirers, tries to hire diversified human resource to make the HR team diverse, through which an organization can get the benefit of diversified human resource, once they are hired, they belong to different cultures and backgrounds, latterly, HR department doesnt care for them and conflicts get birth in organization. This problem of retention in organization can be due to several causes, few of them can be, specialist skills, poor quality applicants and pay inflexibility, despite of increasing literacy rate of Pakistan, most of the organizations are suffering from the retention problem. There is no standardised measuring tool, by which one can measure the ideal turnover rate in an organization, yet, it is easy to find out the loop holes in the skills set of the employees, and get them trained, which can cause the frustration decreased. During discussion, we should also consider the different types of the turnover, voluntary, involuntary, functional, dysfunctional, avoidable or unavoidable.

Whether employees want to quit or employer wants to make him leave, can be avoided or not. These all questions depend upon the situation. While suffering from the turnover problem in an organization, employer must have an eye on turnover costs, direct and also indirect. Direct costs include, separation cost, recruitment cost, induction costs while indirect costs effect the organization more terribly, because it causes, lower engagement among the employees, inefficiencies, mistakes and delays. These all types of costs combine to make dysfunctional turnover, resulting problems at individual level like, added workload, poor morale, stress induced health issues, similarly, at organizational level, loss of organizational and operational leadership, at operational level, organization suffers with lack of continuity and inferior execution quality. Broadly speaking, at sector level, sector losses, talent. In the 2006 People in Aid research 43% of respondents said retention can be improved by better pay and terms and conditions, while 24% indicated a better work life balance. In organizations, good HR practices ensure the foundation of improved retention and staff engagement, which results in high productivity and efficiency. Understanding the employees needs and requirements and formulating the terms and conditions accordingly, can minimize the turnover rate. When the companies are suffering from the turnover problem, they must be equipped with the eminence of coping up with it. Managing the consequences of turnover, ABL should ensure the effective succession planning, for avoiding unplanned vacancies in new and ongoing projects and programs, besides; HR department of ABL should start building local capacity, to ensure knowledge and knowhow of programme to keep it running, as well as capacity to run them. ABL should also make its employees quickly operational so that no continuity has been broken, by standardising the systems, allowing people to quickly and easily switch from one project location to another through standardised tools and policies.

In the process of induction and orientation, ABL, should provide staff with the information, tools and contacts that will allow them to successfully navigate the organization. In the organisation of Allied Bank Limited, employee turnover for the position of taller has to be valuable to the organization, making this position more prestigious in the eyes of the candidates, so that at the moment of the applying for the position they should be aware of the value of this position. If selection criteria for the post is made little bit tough, it can also get so delighting job for the candidates, they will always feel prestige, in serving the organization being a taller. If there would be some growth and other fringe benefits for this position, it will also help the organization to reduce the turnover for this position. Another very important and vital cause for a higher turnover is of not giving the work life balance to the employee, by which he gets frustrated so quickly. One of the main causes if the high turnover of this position is that, employee is at great risk, because all transactions are being made by the taller/cashier, only putting an extra zero or not putting an extra zero, can bring him in trouble. Cashier has to face the customer day to day, while interacting with people, a cashier may get in harsh words with client, for which he gets penalised, while bank doesnt consider the stress of his position. Banks operate in an increasingly competitive financial services environment. Cashier has to sell and market the products and services of the bank to make a reasonable tool for his client. For this reason, he should have a plenty of good knowledge about what is being offered by the bank for its customers. In most of the branches of ABL, cashiers operate from 9 to 5, and due to telephonic and internet banking, has created more and more weekend work for this position. They must be empowered by the very good communication skills and should be able to work with a team.

A cashier is the face of a bank; he must be loyal and honest enough to handle the cash and should be a reliable character. Despite of low income a cashier should be able to pay attention to accuracy and details of the transactions. Must be confident enough to sell and transact banks products and services to the clients so accurately and correctly, besides of all this he must be computer literate to conduct the transactions. A cashier is also aware of the confidentiality of the banks. Bank Cashier can grow to Senior Bank Cashier, Specialist Customer Service Advisor, Trainee Manager, and then Branch Manager, but it takes a lot of time. The findings of this research conducted included the factors like friendly work environment, training programs, promotions and also extrinsic factors like salary packages etc. Among these factors, employees also showed positive attitude towards permanent nature of job. The fear of losing job decrease the motivation level among employees. If they are guaranteed job security, they are more able to deliver to the best of their abilities. It can be deduced that positive reinforcement has more of a positive effect on motivation of an employee than using negative reinforcements. From the research, the author concludes the paper by recommending that the banking sector of Pakistan must give more importance to the human resources more than it currently is. The importance and significance of human resources cannot be negated and neglected in any way. Employees are motivated by an amalgam of extrinsic and intrinsic rewards so the focus should not be on any one of them but there must be a balance of extrinsic and intrinsic rewards. This study mentions the results of another study by Kennedy and White that training for employees in regard to a particular job turned out to be extremely effective and resulted in increased motivation on part of employee making them satisfied with their jobs. And with increased motivation levels and improved skills, increased customer satisfaction and attachment with the bank was observed.

The author lay emphasis on the fact that the strength of any financial institution lies in its human resources. It can be the factor that differentiated one bank from another. External environment for a financial institution affects all other institutions but its the internal environment that can give one bank edge over its competitors. Smooth operations, better customer treatment, a motivated workforce, these are all the factors that can guide an institution to success even when financial situation isnt the most feasible. As the author states that it is a well known fact that the banking sector in Pakistan has been progressing slow for decades. Considering the fact that its the most dominating institution of the financial sector, it is not a pleasant fact. Recently, with the emergence of foreign banks to domestic market has increased the competition. These banks have brought on technologies and new work methods which have forced domestic banks to react as well. Authors of this paper also state the same point that due to the lack of HR in Pakistan, in this case, financial institutions, the banking industry has been facing problems in regard to loyalty of customers and employees. This is mainly due to lack of training on part of the bank to employees and secondly lack of banks efforts to retain their employees. Now with the introduction of several new banks and increased competition, it is extremely necessary for banks to make their customers satisfy. It has become very hard to retain customers and create their loyalty. At times like these when the banking industry like any other industry is facing drastic changes, it is extremely important for banks to realize the importance of human resources and the importance of training and retaining employees which would eventually improve the banking business. The latest era of the banking industry in Pakistan came after 1991 marked by privatization of several banks except NBP. This step was taken in order to increase the profitability of banking sector. This decision was criticized by some, however, majority took it well. As a result of this policy, during years 2001-2006, banks focused more on consumer loans. This part of the policy led to a massive decline in interest rate from 21% to mere 5%. This

decrease in interest rate enabled a common man to borrow money. Initially this shift in policy increased the profitability of the banking sector as a whole, however, due to lending of many loans, recovery of these loans was made difficult and consequently increasing the number of NPLs. This continued until SBP intervened. Pakistans banking sector has passed through many years of difficult challenges which it passed through quite remarkably. Both nationalization and privatization policies had their pros and cons, however, stats tell that banking sector performed better improving its efficiency and profitability under privatisation era as compared to nationalization period. Measuring the performance of banking industry is influenced by several factors like technology, motivation level of employees, policies by government and central bank and the like. A banks performance cans be measured considering only one or a couple of factors. In order to get an actual picture of the scenario, all factors must be considered in regard to their importance and to the extent they affect the performance. In order for the banking sector to flourish and generate profits, it is necessary that it has governments full support. Government must formulate and regulate policies keeping focus on profitability on banks. Government also place its focus on promotion of SME in the country. SME can play an integral part in reviving the banking industry of Pakistan. It has boosted Bangladeshs economy and likewise it can do the same with Pakistan. Promotion of SME will serve two purposes. First it will boost the economy; secondly it will enable poor people to make their own living in a positive way. For the banks scored inefficiently, it is suggested to overcome the high costs associated with their staff. The reason seems to be that the management of these banks had not been successful in controlling the operations of the banks. The banks must learn from their efficient counterparts how they have performed given the same constraints that these banks had.

Banks must improve their management and reduce their operational costs if they want to increase their revenues and profits. Poor and inefficient management has also been one reason of many because of which banks have failed to produce huge profits and instead give below par performance. In order to increase the profitability of the banking industry, state bank of Pakistan must keep on introducing new reforms and policies. According to the author of this report, SBP has only introduced reforms twice in last many years. The effort to take the banking industry of Pakistan to the next level must stay consistent and must not stop. Recently many foreign banks have either merged into other banks in order to fulfil the requirements set by SBP, hence losing their own identity or they have left the country. SBP must not introduce such reforms that repel foreign banks to enter the domestic environment. Instead SPB in collaboration with the government must take steps and make the banking industry lucrative enough to lure the foreign banks. This will not only contribute to the economy but it will also increase the competition and eventually increase the efficiency and profitability of the banking sector in the country. Policies formulated at head offices are cascaded down to each office/division for a uniformity of objectives and culture. Employees cannot approach their H R departments directly. Going though the proper channel is always stressed. Autonomy given to employees is low and they are not often encouraged to rely on themselves or to learn new things. There is a communication gap between management and employees. Typically, HR policies and practices are made in isolation; feedback from employees during formulation process or afterwards is not sought. Employees seldom know what decisions are being made at their HR departments as communication between employees and H R departments is kept to a minimum.

Porters Five Forces Model For ABL

PORTERS FIVE FORCES MODEL Degree of rivalry among existing banks Allied bank is one of the leading banks in Pakistan. For a long time, Allied bank competed with a few domestic banks but recently several foreign banks have came in increasing competition. Strict regulations by SBP led to some acquisitions and mergers decreasing competition, however, ABL survived. In recent times, Allied bank has managed to secure its place among the top banks of Pakistan. Overall growth of banking sector has been on a decline for some time and due to the low exit barriers, several banks who fail to establish themselves, opt to go out. Threat of substitute products Substitute products are indirect competition to the product. The threat of substitute products in banking sector is quite low because the services offered by all financial institutions are more or less same with minimal differences. However, customers can easily switch their options so banks have to advertise in order to retain their customers. Bargaining powers of the customers The bargaining power of customers is quite high in Pakistani market. The products/services offered by banks are more or less same with a few differences so due to these little differences, customers can opt for one bank or another. Customer loyalty is pretty low and banks have to be at their toes to make sure their customers are retained. Allied bank is competing against some of the leading banks in Pakistan who all have almost same resources available as ABL, so the only way to ensure the competition is kept alive is by constant innovation. Relative power of other stakeholders In case of banking industry, SBP is the highest stakeholder in a way that all banks including ABL have to follow the set of regulations and policies set by State Bank of

Pakistan. Also Allied bank is a publicly listed company so that makes all the shareholders a part of stakeholders of the bank. Lastly, the people who have big amounts of money deposited with ABL, are also stakeholders of bank as these are the people who are critical in running the operations of the bank smoothly.

SWOT Analysis of ABL

SWOT ANALYSIS

Strengths
ABL has a strong branch network of over 800 online branches In addition with the branch network, it also has the strongest and largest ATM network with about 570 ATMs in about 150 cities Allied bank has came out as one of the strong investment banks as well in recent years ABL managed to increase its deposits by 13% by December 31, 2010 which shows good performance by the bank ABL has recently installed Temenos 24 software in all of its branches, the process is still undergoing. Once completely installed, it will come up as a major strength because by use of this software, ABL will have a total computerized system in addition with easier and improved communication across the wide network of its branches. In addition with T24, ABL is also implementing Operational Risk Monitor, software to improve its Operational risk framework. After the establishment of HR group in 2007, ABL has seriously took steps to improve it, however, there is still room for improvement. ABL recovered of about Rs. 3 billion in previous year which is excellent

Weaknesses
The introduction of new technology like T24 and ORM, the costs have gone up considerably.

ABL employees are still not given a set of banks policies or some sort of employee handbook so many of the employees remains unaware of banks policies regarding issues like resignation, leaves and the like.

Weak and slow appraisal process that goes on for about 4 months Bureaucratic appraisal process, sometimes promotions are not awarded on meriy

ABL is yet to introduce any product regarding Islamic banking

Opportunities
ABL already have a strong network across Pakistan which gives them an opportunity to strengthen it even more ABL is already strong in Pakistan, it can now plan to move abroad as well as a global bank The implementation of Temenos 24 will facilitate several operations coming out as a major strength ABL can also work on a fast delivery of funds from foreign countries via online banking, provided, it already has a basic framework of online banking, it can only be feasible and successful program for the bank ABL can enter the Islamic banking sector which has a positive scope in industry

Threats
Political instability is one of the major threats posing to ABL like any other organization in the country Change in governing bodies can also be a threat as a change in governing body will come with change in policies Natural disasters like flooding, earthquakes, heavy rains also pose a threat

Economical problems like financial instability and rising inflation are also a threat

Other problems that the country is facing are also a threat like power shortages, gas shortages and the like

Threat of terrorism is not only a threat for the bank in terms of security but also it affects the capital inflows in the country

Increase in competition with many of domestic banks getting stronger along with many new foreign banks entering the market due to low entry barriers

Overall banking sector is facing an increase in NPLs which is also a threat for ABL as well as other banks.

RECOMMENDATIONS
Through this research, some recommendations that were extracted were as follows: Allied bank should revise their policies regarding the transfers of employees and filling the vacant position left behind Allied bank should improve their communication and coordination among the HR department, the regional offices and the branches. By having a better communication, there is a better chance of making this process more effective and efficient The bank should hire more people in order to reduce the time required to fill out vacant positions and it is evident that the bank is already aware of the problem and has been making recruitments aggressively since the last 2 years HR should hold regional offices and branch managers accountable if the process is not carried out within the specified time. If the branch managers fail to release the employee who is to be transferred, they should be held accountable. Likewise, if the regional office fails to follow up with these transfers, they should also be held accountable

The existing policies need to be revised, however, in addition with the revision, their implementation must be ensured. The HR department and regional offices should work in coordination to make sure the policies are properly implemented in timely manner.

CONCLUSION

The fist conclusion from this research was evident that inefficiency does lie on part of HR department while carrying out the transfer process and vacant positions are not filled in time and the process is delayed unnecessarily. A lot of operations are delayed just because employees are not transferred in time. There lies slackness on part of branch managers when it comes to releasing employees after the notification for their transfers is sent to branches. The regional office is not held accountable by the HR department and because of this regional office do not bother to follow up with branch after the notification is sent. What needs to be done is to improve the process by increasing accountability on all parties involved so everyone plays his/her part in the process with effectiveness and with efficiency. The HR group must make sure that the policies defined by then are followed and implemented by everyone including the HR group itself. They should review their existing policies and amend them if any change is needed. With taking care of these issues, this problem of delayed transfers can be eased out of the system because there exists a chain of transfers and if every branch manager starts to release their employees in time, there wont be any delayed transfers.

QUESTIONNAIRE
Name Sex Post Contact # Department .

Branch .
(Please read carefully and tick the appropriate answer).

What according to you are the main causes of employees turnover?

Agree

Neutral

Disagree

Strongly disagree

Strongly Agree 5 5 5 5 5 Strongly Agree

1. Compensation package differentiation 2. Job and employee skill mismatch 3. Inferior facilities, tools etc 4. Less recognition 5. Less growth opportunities What according to you are the few ideas to retain the employees?

4 4 4 4 4 Agree

3 3 3 3 3 Neutral

2 2 2 2 2 Disagree

1 1 1 1 1 Strongly disagree

1. Pay them well 2. Treat each employee with respect regardless of their job 3. Offer flexible hours and generous vacation plans 4. Offer a bonus plan to safe and efficient worker 5. Begin a profit sharing plan How you calculate a turn over cost of the organization?

5 5 5 5 5 Strongly Agree

4 4 4 4 4 Agree

3 3 3 3 3 Neutral

2 2 2 2 2 Disagree

1 1 1 1 1 Strongly disagree

1. Very high 2. High 3. Low 4. Very low In case of high employee turn over what are the highest costs?

5 5 5 5 Strongly Agree

4 4 4 4 Agree

3 3 3 3 Neutral

2 2 2 2 Disagree

1 1 1 1 Strongly disagree

1. Recruitment cost 2. Selection cost 3. training cost of new employees

5 5 5

4 4 4

3 3 3

2 2 2

1 1 1

What steps should be taken to check the employee turnover time to time?

Agree

Neutral

Disagree

Strongly disagree

Strongly Agree

1. Measure the cost of turnover. 2. development retention strategies 3. recognize quality of work life 4. Plan for changing workforce culture 5. Plan for future turnover employees What initial steps can be taken to reduce turnover 1. Hire the right people and continue to develop their careers 2. Most companies with low turnover rates are very employee oriented. 3. Develop an overall strategic compensation package. What are the certain causes associated with turnover In any organization?

5 5 5 5 5 Strongly Agree 5 5 5 Strongly Agree

4 4 4 4 4 Agree 4 4 4 Agree

3 3 3 3 3 Neutral 3 3 3 Neutral

2 2 2 2 2 Disagree 2 2 2 Disagree

1 1 1 1 1 Strongly disagree 1 1 1 Strongly disagree

1. High stress 2. Working condition 3. Poor supervision 4. Poor fit between the employee qualification and job 5. Inadequate training 6. Organizational practices What suggestions in order to avoid employee turnover?

5 5 5 5 5 5 Strongly Agree 5 5 5

4 4 4 4 4 4 Agree

3 3 3 3 3 3 Neutral

2 2 2 2 2 2 Disagree

1 1 1 1 1 1 Strongly disagree

1. Be fair and consistent in establishing compensation 2. Promote from within if possible 3. Policies to prevent discussion of wages do not work

4 4 4

3 3 3

2 2 2

1 1 1

Contact persons: Amir javed ( teller) bilal ganj. Workload Qualification difference Salary difference

Irfan amin (teller) samnabad Workload Better opportunity slow career path

sayed Jawad ali (teller) Liberty branch Qualification difference Continuous hiring Long hours working tarinings

Tahir ahmad khan (manager hr) operation office Najam-u-Tariq (manager hr) city region Mubashir ahmad malik ( branch manger y block DHA) Zafar Qadeer ( ROM) Gulberg Abid anwer (RH) Gulberg