FINAL PROJECT REPORT

SUI NORTHERN GAS PIPE LINES LIMITED

Submitted BY:

Atif Waqar

Zunair Ahmad

Adnan al Warraich

Submitted TO:

DR.Nisbat Ali Malik

National University of Modern Languages main campus H9 Islamabad.

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SUI NORTHERN GAS PIPE LINES LIMITED

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 ACKNOWLEDGEMENTS

. We want to thank Dr.Nisbat Malik who encourages us to study a Pakistani based company
to learn about this very subject more closely with practical information and knowledge.

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 TABLE OF CONTENTS

Contents
Introduction ........................................................................................................................................... 6
Core Values of SNGPL ......................................................................................................................... 7
Vision Statement ................................................................................................................................... 8
Mission Statement ................................................................................................................................. 8
Hierarchy of the Organization ............................................................................................................. 9
Hierarchy of the Organization ........................................................................................................... 11
HUMAN RESOURCE AT FUNCTIONAL LEVEL ................................................................... 12
TRIANING AND DEVELOPMENT ............................................................................................ 12
DEVELOPMENT ........................................................................................................................... 14
SNGPL EXECUTIVE GRADING ................................................................................................ 16
PERFORMANCE APPRAISAL ................................................................................................... 16
FEEDBACK SYSTEM AT SNGPL .............................................................................................. 18
PROMOTIONS ............................................................................................................................... 18
CONCLUSION ............................................................................................................................... 18
RECOMMENDATIONS ................................................................................................................ 19

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 SUI NORTHERN GAS PIPE LINES LIMITED

Introduction

Sui Northern Gas Pipelines Limited (SNGPL) is the largest integrated gas company serving
more than 3.4 million consumers in North Central Pakistan through an extensive network in
Punjab and NWFP. The Company has over 46 years of experience in operation and
maintenance of high-pressure gas transmission and distribution systems. It has also expanded
its activities to undertake the planning, designing and construction of pipelines, both for itself
and other organizations. SNGPL operates in a region of the nation that has a rapidly growing
demand for natural gas and power generation due to significant industrial development.

SNGPL was incorporated as a private limited Company in 1963 and converted into a public
limited company in January 1964 under the Companies Act 1913, now Companies Ordinance
1984, and is listed on all the three Stock Exchanges of the Country.
SNGPL has 3,451,142 consumers comprising Commercial, Domestic, General Industry,
Fertilizer, and Power & Cement Sectors. Annual gas sales to these consumers were 584,895
MMCF worth Rs. 168,933 million during Jul 08 - Jun 09. SNGPL has 3,451,142 consumers
comprising Commercial, Domestic, General Industry, Fertilizer, and Power & Cement Sectors.
Annual gas sales to these consumers were 584,895 MMCF worth Rs. 168,933 million during
Jul 08 - Jun 09.

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Core Values of SNGPL

SNGPL has following core values which are completely embedded in their culture.

 COMMITMENT
We are committed to our vision, mission, and to creating and delivering stakeholder
value.

 COURTESY
We are courteous - with our customers, stakeholders and towards each other and
encourage open communication.
 COMPETENCE
We are competent and strive to continuously develop and improve our skills and
business practices.
 RESPONSIBILITY
We are responsible as individuals and as teams - for our work and our actions. We
welcome scrutiny, and we hold ourselves accountable.
 INTEGRITY
We have integrity - as individuals and as teams - our decisions are characterized by
honesty and fairness.

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Vision Statement
To be the leading integrated natural gas provider in the region seeking to improve the
quality of life of our customers and achieve maximum benefit for our stakeholders by
providing an uninterrupted and environment friendly energy resource.

Mission Statement
A commitment to deliver natural gas to all door steps in our chosen areas through
continuous expansion of our network, by optimally employing technological, human
and organizational resources, best practices and high ethical standards.

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Hierarchy of the Organization

Company is operating under board of directors and several committees that are:

 Finance committee
 Audit committee
 Human resource committee

Human Resource Committee:

 The Human Resource Committee contains six non-official chiefs and the Chief
Executive. It is basically in charge of influencing suggestions to the Board for keeping
up a sound hierarchical arrangement of the Company, compelling workers'
advancement, pay program and particular progression gets ready for Senior
Management positions.
Responsibilities
The Committee will be responsible for making recommendations to the Board for maintaining:
 A sound plan of organization for the Company.
 An effective employee’s development programme.
 Sound compensation and benefit and plans, policies and practices, designed to attract
and retain the caliber of personnel needed to manage the business effectively.

Functions
Review organization structure periodically to:
 Evaluate and recommend for approval of changes in organization, functions, and
relationships affecting Management positions equivalent in importance to those on the
Management position schedule.
 Establish plans and procedure which provide an effective basis for Management control
over company manpower.
 Determine appropriate limits of authority and approval procedures for personnel
matters requiring decision at different level of Management.

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Review the employee’s development system to ensure that it:
 Foresees the Company’s Senior Management requirement.
 Provides for early identification and development of key personnel.
 Brings forward specific succession plans for Senior Management positions.
 Training and development plans.
Compensation and Benefits:
 Review data of competitive compensation practices and review and evaluate policies
and programmes through which the corporation/Company compensates its employees.
 Review salary ranges, salaries and other compensation for CEO and Senior.
 Management/Executive Directors reporting to the CEO.

Powers
The Board has delegated its limited powers to the Human Resource Committee to deal with
certain human resource matters.

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Hierarchy of the Organization

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Under the committee and board of directors managing director is looking the company. Under
M.D there are several departments including Human Resource department.

The Human Resource department work under Senior General Manager. Under Senior General
Manager, G.M Human Resource operations & G.M Training and Development operate. Under
these two G.Ms Chief of Human resource services operates.

All these executives are responsible for human resource department.

HUMAN RESOURCE AT FUNCTIONAL LEVEL

Sui Gas Company Limited is engaged in the transmission and distribution of natural gas in
Pakistan. It is also engaged in the construction of high pressure transmission and low pressure
distribution systems. The Company is involved in certain activities related to the gas business,
including the purchase and sale of gas meters, and construction contracts for lying of pipelines.
The company is in growth mode and they are expanding their business day by day by starting
new projects, for starting new projects they required new employees who can work on their
projects that are why their demand is high as compare to the supply.

TRIANING AND DEVELOPMENT

There are following procedures used for training and development of the employees by the
organization:

Training

SNGPL used various methods and techniques for training its employees and these are:

 On job training
 In house training
 Off job training
 Induction training

On job training:

In on work preparing the representatives are moved into different divisions to coin the skills
and take in the philosophies utilized as a part of the association. SNGPL is gas transmission
and Distribution Company so it has wide activities and systems which must be learned and
honed by the representatives.

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In house training:

SNGPL provides in house training to its employees. Company has its own training institute
named as SNGTI (Sui Northern Gas Training Institute). Here the company invites external
speakers and trainers time and again to train their employees. Besides company has its own

training staff too.

This training institute provides training to the employees according to the requirements of the
job and the upcoming projects. More over it gives training not only for technical but for the
soft skills as well.

Induction training:

Induction training is important as it enables a new recruit to become productive as quickly as

possible. It can avoid costly mistakes by recruits not knowing the procedures or techniques of
their new jobs. The length of induction training varies from job to job and depends on the
complexity of the job. In SNGPL following areas are included in induction training:

 Learning about the duties of the job

 Learning the values and aims of the business
 Learning about the internal workings and policies of the business

Off job training:

Organization likewise gives off occupation preparing to its representatives in extraordinary

conditions. At the point when there is a venture and a particular aptitude is required in gas
weight checking or pipe establishment under a waterway or some trench in these cases if
organization required mastery so it for the most part send its representatives for preparing
purposes abroad or once in a while request that the remote organization send coaches to prepare
their workers.

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DEVELOPMENT
Employee development is a joint, on-going effort on the part of an employee and the
organization for which he or she works to upgrade the employee's knowledge, skills, and
abilities.

Stages of Employee Development:

 Everyone goes through several stages of development as they move from being a career
"beginner" to a full expert in their field. Each stage has specific needs and tasks to
consider.

 As you work with employees on development, it can be helpful to look at their stage in
order to find the best kind of activities for them. If an employee has recently completed
a career change, he or she is probably in the "exploration and trial" stage.
 If, on the other hand, he or she has burned out on his or her career, he or she might be
in "disengagement" even though chronologically he or she might be in his or her early
thirties in age.

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 Stage Characteristics Needs Tasks

Work with regular Learn to ask for help Develop self-image

guidance in the job
Exploration and
Learn to take
Trial
Work is routine, initiative
detailed

Has own area of Build a reputation Accept

responsibility organizational
Learn to work realities
Work independently independently
Learn how to cope
Establishment and
Independence and Produce significant
Advancement
specialization results Deal with change or
lack of it

Learn how to get

ahead

Responsible for Feel disappointment Develop others

guiding others if goals are not through knowledge
Mid Career: Growth,
achieved
Maintenance,
Use great breadth of Serve as mentor
Decline
technical skill to Learn to help others
support organization

Use experience to Prepare Learn to let go

provide direction for psychologically for
the organization retirement Achieve balance in
Disengagement
life
Influence decisions Learn to accept a
different role

Executive development program is mandatory at grade -3..GRADE 4 had to get training

for the gas control in overview of company and they are also trained for leadership skills.
Senior management has provided with outdoor training and external trainers are arranged for
work-shops in SNGDI.

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 SNGPL EXECUTIVE GRADING

GRADE RANK/DESIGNATION

1-3 OFFICERS

4 EXECUTIVE OFFICERS

5 SENIOR EXECUTIVE OFFICERS

6 DEPUTY CHIEF OFFICER

7 CHIEF OFFICERS

8 GENERAL MANAGERS (G.M)

9 SENIOR GENERAL MANAGERS (SMG)

PERFORMANCE APPRAISAL
It is a procedure by which a supervisor or specialist;

(1) Examines and assesses a worker's work conduct by contrasting it and preset benchmarks

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(2) Documents the aftereffects of the comparison

(3) Uses the outcomes to give input to the worker to demonstrate where changes are required
and why?

Performance appraisals are employed to determine who needs what training, and who will be
promoted, demoted, retained, or fired. The performance appraisal is done either formally or
informally.

Aims of a performance appraisal:

The aims of the performance appraisal are;

 Give employees feedback on performance

 Identify employee training needs
 Document criteria used to allocate organizational rewards
 Form a basis for personnel decisions: salary increases, promotions, disciplinary actions,
bonuses, etc.
 Provide the opportunity for organizational diagnosis and development
 Facilitate communication between employee and administration
 Validate selection techniques and human resource policies to meet federal Equal
Employment Opportunity requirements.
 To improve performance through counseling, coaching and development.

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FEEDBACK SYSTEM AT SNGPL
The company uses 360 degree appraisal for getting feedback regarding employee’s
performance. As we know that 360 degree appraisal feedback is the process by which an
individual’s performance is assessed through feedback from managers, peers, customers and
the individual himself.

Over here the employees at Sui Northern Gas Company are in the same way accessed with
regard to their performance of jobs and duties which are reported by the supervisors, coworkers.
Finally the employee himself gives feedback about his performance and duties.

PROMOTIONS
In SNGPL employees are promoted on the basis of their overall performance in the required
fields. The officers of grade 1-3 are promoted on the basis of their yearly performance and till
grade-3 officers are promoted in the same manner. But after grade-3 it is mandatory for the
officers to clear gas control test to get promotion in grade-4.

At executive level not only the yearly performance is considered but also further trainings are
put into consideration of other fields.At labor level promotions are given on the learned skill
level. And after necessary training they are promoted to the positions of pipe line supervisor,
patrol team head on site, head technician etc.

CONCLUSION
Through the study of the Human Resource Management of Sui Northern at strategic and
functional level that it is essential for every organization to run all of its businesses and
activities according to their strategic goals and objective and all of these goals and objective
should not only be understood and followed by the top people but also by middle and lower
level.

Every activity especially our concern is HR, so it should be in total agreement and integration
with company goals, vision and mission. A company can only be successful if its Human

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resource Department should include in policy making and at strategic level. That thing also
should reflect in minor to major function of human resource and other departments.

RECOMMENDATIONS
After our study of this organization we come up with following recommendations:

 SNGPL should reduce and lighten the number of people at the top management of the
company. There are so many who reports to whom that reduce the momentum of work
and one person’s direct contact to upper authority.
 The company should have to develop proper human resource functioning in terms of
strategic alliance with the company’s other departments
 We found that company is at the rudimentary level of the establishment of proper
human resource structure i.e. there is no proper system of job description designing and
redesigning. Company should involve lower layer of HR officers so that they bring in
new ideas.
 We feel lack of coordination between lower level and upper level of HR people. They
should improve their coordination level.

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