LE MENDOZA PHARMACEUTICALS

MANAL KHAN NIAZI

20202 – 26812

SHAH SAAD HUSSAIN

Supervisor

MANAGING HUMAN CAPITAL

FALL – 2020

JANUARY 01, 2021

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CONTENTS: PAGE NO.

1. Introduction ………………………………………………………….. 4
1.1.Overview …………………………………………………….….. 4
1.2.History of the company ………………………………….. …..... 4
1.2.1. Vision ……………………………………………. ……. 4
1.2.2. Mission …………………………………………….…... 5
1.2.3. Goal ……………………………………………… ……. 5
st
1.3.21 century positioning …………………………………… ……. 5
1.4.Corporate strategy and corporate goals ……………………. ……. 6
1.5.Strategic goals of Le Mendoza Pharmaceuticals ………………. 6
1.6.Recruitment strategy……………………………………….……. 6
1.7.Training strategy …………………………………………………. 6
1.7.1. Inspirational goals …………………………………….. 8
1.7.2. Facilities strategy ……………………………………… 9
1.7.3. Communication ……………………………………….. 9
1.8.Swot analysis ………………………………………. …………… 9
1.8.1. Strengths ………………………………………….……. 9
1.8.2. Weaknesses ……………………………………..……... 10
1.8.3. Opportunities …………………………………….. ……. 10
1.8.4. Threats …………………………………….. ……..……. 10
2. HR department of Le Mendoza pharmaceuticals ……..……..……. 11
2.1.Organizational structure ………………………………………... 11
2.2.HR strategies ……………………………………..…………….. 11
2.2.1. Recruitment strategies ………………………………… 11
2.2.2. Selection strategies ……………………………………. 12
2.2.3. Training and development strategies …………….….... 12

2.3.HR goals ………………………………………………………… 12

3. Performance management system ………………………………….. 13

3.1.Performance management cycle ………………………………... 14
3.2.Performance management system of Le Mendoza
Pharmaceuticals ……………………………………. …………… 14
3.2.1. Objectives ……………………………………………… 14
3.2.2. Staffing ……………………………………..…………… 15
3.2.3. Training ………………………………………………... 16
3.2.4. Rewarding ……………………………………………... 17
3.2.5. Appraisal ……………………………………………… 18

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 3.2.6. Motivation …………………………………………….. 19
3.3.Performance management strategic fit ..………………….......... 20
3.4.Major problem in performance management ………………….. 21
3.4.1. Not giving employees timely feedback ……………….. 21
3.4.2. Impact of not giving employees timely feedback ……. 21
4. Root cause analysis of not giving employees timely feedback……. 22
5. Solution and recommendation ……………………………………... 23
6. Implementation plan ……………………………………..…………… 24
7. References …………………………………………………………… 25
8. Appendix …………………………………………………………… 25
8.1.Questionnaire ……………………………………………… ……. 25

LIST OF FIGURES PAGE NO.

Fig 1: logo of the organization …………………………………………….. 4

Fig 2: Main gate of organization …………………………………………… 4
Fig 3: Training strategies …………………………………………………… 7
Fig 4: Inspirational Acts……………………………………………………. 8
Fig 5: Organizational Structure ……………………………………………. 11
Fig 6: Performance Management Cycle …………………………………… 14
Fig 7: Staffing …………………………………………………………….... 15
Fig 8: Training ………………………………………………………….…... 16
Fig 9: Rewarding …………………………………………………………… 17
Fig 10: Appraisal ………………………………………………………….. 18
Fig 11: Motivation …………………………………………………………. 19
Fig 12: Fit Diagram ………………………………………………………… 20
Fig 13: Fish bone Diagram ………………………………………………... 22

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 1. INTRODUCTION
1.1 OVERVIEW OF INDUSTRY

Fig 1: Logo of the company

Fig 2: main sector

The company which is selected for the term report is Le – Mendoza

Pharmaceuticals. The company is based on pharmaceutical sector of Medicam
Group of Industries.

Medicam Group of Companies comprises of 4 companies named

1. Le Mendoza – Pharmaceutical Sector

2. Mariana International – toothpaste sector
3. Wooodwads – Herbal and Pharmaceutical sector
4. The Looks – Cosmetic Sector.
1.2 HISTORY OF THE COMPANY

The company was established from 1971 and providing its great services in
Karachi and other major cities of Pakistan.

1.2.1 VISION:

We always believe in quality than quantity. Our vision is to become the first choice
company for our customers and employees. To achieve this, we will be driven by
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an obsession to be better than the best in a continuous journey. At Le Mendoza
first choice means a sustained commitment to meet and exceed our customer’s
expectations. We will go to the “extra mile” to delight our customers with products
and services that exceed their expectations. Together with our customers and
employees, we will achieve world-class quality standards through continuous
quality improvement. Achieve zero defects in everything we do.

1.2.2 MISSION

We realize well that to keep the necessities of lSO-9001: 2015 and for fruitful
achievement for our objectives, we require group of experts with most elevated
type, remarkable astuteness, inspiration and shrewdness. This must be conceivable
through broad and interest-arranged instructional courses to all representatives' up
to specialist level. For this reason, we have planned thorough preparing programs
fit to all class of representatives. Our trademark is to give great items at a moderate
cost to our clients. We have made an impressive interest in extending and up-
evaluating our creation ability to accomplish elite principles of cGMP. Quality is
incorporated with each progression of our responsibility for consumer’s
satisfaction.

1.2.3 Goal

The goal of organization is the prime focal point of every one of our exercises is
patients and in all exercises we are focused on most elevated moral and virtues. To
be in top 10 public organizations

1.3 21st CENTURY POSITIONING

In the era of 21st century, Le Mendoza Pharmaceutical is evolving at the higher

rate. The technology we are using is latest and we are working at a flexible scale.
Our employees are highly qualified and we are now planning to spread our

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business in foreign countries. The area in which the company is lacking is the pay
scale which is at low side.

1.4 CORPORATE STRATEGY AND CORPORATE GOALS:

Corporate strategic goals are made to beat the organization’s competitors in order
to meet customer’s satisfaction in this huge market place. These strategic goals
depend on organization’s vision, mission and its objective.

1.5 STRATEGIC GOALS OF LE MENDOZA PHARMACEUTICALS:

Corporate goal of Le Mendoza pharmaceutical is based on its vision that is to

provide healthy life to people of the nation and its objective is to provide quality of
medicines in affordable rates for this the strategy is based on quality of medicines
rather than quantity by strictly following GMP guidelines and SOP made by
quality department. They approach to the vendor that provides them higher quality
neglecting how much the rate they claim.

1.5.1 RECRUITMENT STRATEGY:

The HR department focuses on employees that are highly motivated and energetic
at the time of recruitment. To get new ideas and more energy in work they hire
fresher mostly rather than experienced at the officer level. They believe that the
ideas and mind that new generation has cannot beat the experienced and aged
person as well as the learning capability is much higher in fresher rather than
oldies also freshly graduate people are more exposed to new technologies and have
more capability to make their links stronger with others.

1.5.2 TRAININGS STRATEGY:

Trainings are provided to on job employees on GMP and on any newly developed
SOP before distributing in to concern departments in order to achieve strategic
goals of the company that is to maintain quality of the product. 3 days training in
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every concern department is also provided to newly hired employees and an
assessment is taken from the newly hired employees after training that is based on
SOP of the concern department. A TNA (Training Need Analysis) form also filled
by HR where they evaluate each and every employee whether they need training
on any section or not. Through this form they also evaluate lacking of skills in
employees (for example computer skills, communications skills etc). After
evaluating the employee internally trainings are provided to him.

For the training of workers a CGMP booklets are made in a easy language that
could be understood easily by them for their training purpose

Fig 3: Training strategies

After the probation period of 3 months of newly hired employees, KPI (Key
Performance Indicator) form has been filled by HR department of a respected
person where the performance is evaluated and decision made on the basis of that

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form that either to made that employee permanent or extend his/her probation
period.

1.5.3 INSPIRATIONAL ACTS

To maintain quality of products it is essential to maintain quality of employees and

to retain these employees for the longer period of time. For this purpose they
perform some inspirational acts to their employees like after every 2 or 3 months
selected employees are sent to seminars to made them motivate, on birthday of any
employee a message of wishes was generated by HR on organizations portal and
every year award given ceremony is arrange by organization in which certificates
given from CEO on different titles to every employee. Iftar party and dinner is
thrown every year in the mid of Ramadan by CEO, where employees meet to each
other outside organization’s premises and spend a memorable time with their
colleagues. New Year cards and Eid Greetings card are distributed among
employees

Fig 4:
Inspirational acts

1.5.4 FACILITIES STRATEGY

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Upon audit every year, of each department the profit is calculated and the average
is distributed among all the members of the factory and the person with the lowest
rank got the highest amount of average. Yearly bonus is given to employees on the
basis of gross salary rather than the basic salary. Increment done of all employees
over 15% on their salary. Upon leaving the job, gratuity is given to employee.
Alternate Saturdays are given off to employees after certain period of time. Those
employees who are involved in having an education are provided with complete
off on Saturday so they can complete their education and serve them with their
skills. From EOBI findings employees who are studying are provided with
scholarship too.

1.5.5 COMMUNICATION:

There is no communication gap between upper level management and lower level
management in order to solve the queries to lower management staff too.
Employees can immediately get in touch with higher authority and feedback and
response from the higher authority is also immediate which make employees ease
and make them loyal to organization. Ultimately organization gets good quality of
product.

1.6 SWOT ANALYSIS

1.6.1 Strength
 Established brands
 Product range are having less market competitors
 Experienced staff
 Low staff turnover rate
 Latest technology

1.6.2 Weakness

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  Can’t do expansion in plant
 No business available internally
 Lack of reforms in government regulatory policy
 Strong competition from low cost generic equivalents
1.6.3 Opportunities
 Export criteria
 New product are in development pipeline that will strengthen the
portfolio of the company
 The company is having cheap labor staff, while qualified staff is
available in the market
 Corona testing
1.6.4 Threats
 Fluctuating dollar rates effect on the cost of product
 Demand and supply chain cannot be maintain in current prevalent
situation
 Due to corona virus, market share is decreases and purchasing power is
also low
 Rising cost of raw material and packaging material having an adverse
effect on the company’s bottom line
 Rising number of generics
 Weak intellectual property laws and lack of their implementation

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 2. HR DEPARTMENT OF LE MENDOZA PHARMACEUTICALS
2.1 ORGANIZATIONAL STRUCTURE:

CEO

HR MANAGER

HR EXECUTIVE HR OFFICER

Fig 5: Organizational Structure

The HR department is comprises of 3 members: HR Manager, HR Executive and

HR Officer. The communication is parallel to upward. Only HR Manager can
communicate to CEO.

2.2 HR STRATEGIES:
2.2.1 Recruitment strategies:

we develop a clear employer brand to our job seekers we recruit people by using
social media to find talent, advertise jobs, and communicate with potential
candidates. We ensure that our promotion is smooth and business-like. This will
assist us with getting more candidates and draw in individuals who will find a
place with our organization culture. We also recruit from colleges in many ways,
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including attending career fairs, volunteering to speak at events for our industry,
being featured on campus online job boards etc

2.2.2 Selection strategies:

Currently HR department strategy is selecting top representatives, motivating force

programs for staff, comprehension and managing authoritative issues, being
inventive in helping the organization remain in front of the opposition.

2.2.3 Training and development strategies:

The department works on reverse monitoring, performance evaluation and

employee satisfaction. Reverse mentoring is that of filling in the gaps of
knowledge and skill of the older employees with regard to emerging trends.
The performance evaluation included both qualitative aspects and quantitative
aspects. 70% of the evaluation was on quantifiable terms while 30% was for
competencies like integrity, leadership, creativity etc.

Performance appraisal is the best way to achieve our goals. Performance

management has been done annually and high performers are rewarded we do not
directly target poor performers for improvement or termination. But by the
appraisal concept they tried hard to get rewards in this way we play mind games
with employees to do better work

2.3 HR GOALS:

Currently HR department goals are to lower the turnover rate of employees and to
provide them a platform where employees stick to their job rather than searching
for other jobs. Improving organization’s efficiency and effectiveness to a greater
level. In order to achieve the goal we are manage learning and development
aspects where employees can show their creativity and innovative minds.

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 3. PERFORMANCE MANAGEMENT SYSTEM

A performance management system helps HR directors to set up clear performance

desires through which employees can undoubtedly comprehend what is anticipated
from their work. It permits chiefs to fortify on their workers, the individual
responsibility to meet their objectives and assess their own performance.

LE MENDOZA PHARMACEUTICALS

Le Mendoza Pharmaceutical Pvt. Ltd. came into existence in 1971 with the
Dedication to the Quality Pharmaceuticals, to empower mankind by promoting
mental and physical wellbeing across Pakistan. Le Mendoza Pharmaceuticals, a
leading domestic pharmaceutical manufacturer, was established in Karachi in
1971. It is a pharmaceutical sector of Medicam Group of Industries comprising of
3 other companies including Marriana International for manufacturing of toiletries
and health care products, Woodwards Herbal and Pharmaceuticals and Looks for
Cosmetics. Total employees 375 people, Field staff consists of around 150
personnel. The company product portfolio involved in the promotion of over 50
branded products belonging therapeutic classes through its own distribution
network.

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 3.1 PERFORMANCE MANAGEMENT CYCLE

Fig 6:

Performance management Cycle

3.2 PERFORMANCE MANAGEMENT SYSTEM OF LE MENDOZA

PHARMACEUTICALS

3.2.1 OBJECTIVES
Le Mendoza Pharmaceutical Pvt. Ltd does use performance management
system by which the performance of employees is measured in terms of
quality, quantity, and cost and time to evaluate the employee’s job-
related strengths and weaknesses and addresses adherence to a set of pre-
defined organizational standards. And it is good to have such
performance system to meet the organizational goals effectively and
efficiently.
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 Purpose and reasons of using PMS is to assess the performance, basis for
rewards, basis for promotion and ascertain training & development needs for
the special skills or the required skills for doing the job can be given to
them.
Benefits of using the performance management system are reducing
turnover, employee motivation, sales increment. But they focus on sales
boost due to performance management system.

3.2.2 STAFFING
The company is applying the performance management system on all the
employees from the entire department making up the organization to assess
their performance so that if any of the employee from any department is
lacking in any part of their job which actually hinders in achieving the
organizational goal should be improve.
Le Mendoza has organized structure regarding all employee salaries,
updated personal files, global peoples. Software has been introduced by H.R
where by employees can access all their personal information and can make
any changes they need to. They started dealing with all kinds of sensitive
issues and harassment cases if any.

Fig 7: Staffing

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3.2.3 TRAINNING
They conduct regular appraisals to identify training needs and help
employees set and achieve development objectives. Performance
management system is carried out semiannually and its good thing to
motivate the employees so that they may retain in organization for a long
period and remain committed to their work. In this way Training and
development opportunities by Le Mendoza which they employ for
employees to help employees feel valued and engaged in their work.
Le Mendoza provides work-related training courses for all employees, and
leadership training for managers. These focus on providing people with the
right behaviors and expertise for their jobs and the skills needed to apply
their knowledge effectively. So their goal is for each individual to achieve
their potential and contribute fully to company performance.
They look after employees & take care of their welfare revise remuneration
& perks from time to time maintain good employee-employer relations,
execution of corporate polices & labor laws, emphasize on employees
development & training needs (in-house training + on the job training +
safety training etc.)

Fig 8: Training

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 3.2.4 REWARDING
Le Mendoza Pharmaceutical is using the PMS highly for assessing the
performance (usefulness of employees) and for giving promotions to
employees if they are at the level that they can be propped up. They also use
this system for the basis for reward (increment bonus) to motivate them for
employees who are motivated through the incentives.
They measure the performance by rating the employees. This rating is giving
by the head of the department or by the supervisor to subordinates. And for
top managers they conduct 360 degree assessment so that they can have
feedback from the employees they manage and colleagues.
Salary benchmark surveys are conducted on a regular interval to balance the
short term with the long term incentives. They adopt a total compensation
and benefits approach in the design of its salary packaging model.

Fig 9:
Rewarding

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3.2.5 APPRAISAL
Le Mendoza Pharmaceutical is carrying out this appraisal on all the
employees working under the roof. No matter how long it has been for an
employee to work with them but they do this performance management
system for them as well including the new hired employees so to
continuously monitor the performance with the time.
The HR Department also conduct exit interview of companies high revenue
generated employees, and the high post employees (those employees achieve
good rating) and of employees of high turnover department. They defined
HR satisfaction level “good”. This indicates that they are doing best in
improving the processes of their business by knowing through the
employees who leaves the organization.

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 Fig 10: Appraisal

3.2.6 MOTIVATION
The HR Department encourages employees of to give suggestions to
improve the quality of work and management. The HR manager arranges
meetings with the HOD of other department within 2 months. 5% - 10% of
the employees give the suggestions and welcomed openly to throw their
suggestions.
They focus on transforming their culture to improve retention rates by
enabling workforce mobility for employee retention. They make employees
to look internally at opportunities within the organization via PDP
(PERFORMANCE DEVELOPMENT PROGRAM) process.

Fig 11: Motivation

We aim to provide: Optimum flexibility, choice; and targeted incentive

programs to provide us with the best opportunity to attract and retaining
world class employees. Bonus plans are an integral component. A long term
incentive scheme is offered to senior managers.

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 3.3 PERFORMANCE MANAGEMENT STRATEGIC FIT
CONSISTENCY

Organizational Strategies Environment

-give yearly bonus based on gross salary
- Graduity is given on employee’s resignation
- Attracting committed and loyal candidates
Cost effective, efforts effective recruitment
- yearly increment based on employee’s
performance and achievements
- Market competitive salary and compensation
packages
- Healthy and professional environment
- Safe and pleasant work place
- Learning skills are being polished
- Provide employees with the opportunity for
growth and development provide employees
with the opportunity for growth and
development
- Appropriate educational programs, alternative
working arrangements

FIT FIT

CONSISTENCY
HR Strategies
CONSISTENCY

Performance Management

- Performance measured in terms of quality, quantity,

cost and time
- Improve employee motivation status
- To increase employee satisfaction
- To increase retention time period of employee
Improved Hospital Performance

- Done on yearly basis

- Focusing on employee’s career progression
- To keep evolving gaps for training and development

FIT FIT

Organizational Unique Characteristics Organization’s Competence

CONSISTENCY
- Part of a brand; Medicam group of - Great opportunity in training, learning
companies and development
- have a unique formulation of a suspension - Efficient team work
with Silymarin - Make the best possible decisions in the
- Resilient infrastructure and organization shortest amount of time
structure - Leadership abilities in employees
- believes in quality rather than quantity - Efficient with resources available and
- A synonym of quality and perfection monitoring progress.Page 20 of 26
- Latest technology
 Fig 12: Fit Diagram
3.4 MAJOR PROBLEM IN PERFORMANCE MANAGEMENT
3.4.1 NOT GIVING EMPLOYEES TIMELY FEEDBACK

“Feedback is the breakfast of champions.” (Ken Blanchard)

If the only time an employee hears of how he or she is performing is once per year,
there are bound to be some surprises in there. Many managers use the existence of
a performance management system as an excuse to delay giving feedback until the
formal review period—but this is a recipe for disaster. The formal review period
should be just that: a formal summary of status. There should be no surprises at
that time if employees are given feedback at appropriate times throughout the year.
In other words, this should not be the first time an employee hears how he or she is
tracking against goals and expectations.

3.4.2 IMPACT OF NOT GIVING EMPLOYEES TIMELY FEEDBACK

If feedback is not being given then employees will not get their weak points
and they may assume everything is good enough
Employees will not think out of the box. They will not show their internal
creativity and will not use their innovative minds for the organization
Employees turnover rate would be increased
Employees will not struggle hard to get over their challenges and will not be
remain focused on their task

82% of employees appreciate feedback, whether it’s positive or negative.

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 4. ROOT CAUSE ANALYSIS

Not sure how to give Not enough time

feedback

 a fear that poorly delivered  Takes priority over providing

feedback can be worse than
no feedback at all
 Mixed messages, lack of
clarity, and misplaced blame
are all significant issues
 managers may not have
the emotional intelligence
needed for feedback
 giving and receiving
feedback isn’t the norm
 conditioned by years of
minimal or non-existent
guidance
 employees simply don’t know
how to handle feedback
on-the-spot corrective advice
 coordinating their team, and
completing their own work
 Coordinating their team and
completing their own work
Not Giving
Employees
Timely
Feedback
 Managers are not trained to
give productive feedback
 Managers don’t have experience
of giving feedback
 Lack of self-confidence can
hold a manager back

Environment of an Lack of confidence

organization

Fig 13: Fish bone Diagram

5. SOLUTION AND RECOMMENDATION:

Feedback should be offered to the employees concerning his performance
and its relationship to the expectations set into view by management. It is
also recommended that constructive instead of destructive feedback is given
in the form of comments while being honest about the appraisal so that

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employee does not get discourage and also employees do not leave the
organization especially for Le Mendoza Pharmaceutical Company.
Feedback must be goal-related. Since the goal of performance management
system is to achieve the organizational goal we need to coach the employee
before and after evaluating their performance. Provide the resources required
for them to get to the management expectations.
Feedback must be two-way. Workplace dissatisfaction is associated with
supervisors’ unwillingness to listen to their workers
Performance management system should be job-related so for an effective
performance management results it is recommended to confer with the
employee job description. Bring into line the organizations goals with the
jobs objective so that every employees work lead to the organizational goal.
Communicate management expectations to the employee so that a
widespread understanding must exist between management and the
employee regarding the job expectations, the nature of job to be
accomplished and the standards by means of which the work is evaluated.
Assess the employee’s performance on the basis of various methods. Like:
By self appraisal in which the employee is asked by his supervisor to weigh
up his/her own work. By peer appraisal by which staff of equal rank within
the organization are asked by their supervisor to evaluate the employee.
Team Appraisal: In this type of appraisal employees who work as part of a
team are asked by their supervisors to assess the teams work. 360-Degree or
Full Circle Appraisal: the employees work is reviewed by congregation
input from representatives of all the groups the employee intermingle with
such as supervisor, peers, subordinates and clients. Management-by-
Objectives: The employee’s achievements of work objectives that are set in
association with his/her supervisor are evaluated. Through using these
appraisal methods we have more clear evaluation of employees for their
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 work done by them. Through these the employee is required to understand
why the subordinate or peer have come to conclusions so he is able to
correct any problems. Performance management system should be more
frequently conducted on the new employees than those of the older
employees.

6. IMPLEMENTATION PLAN
Feedback can be constructive and supportive of an individual. It needs to
focus on the behavior of a person and not the person. No judgment of the
person, just facts. No generalization, just specifics, and in a tone that is
gentle and empathetic. Encouraging the person to reflect on the feedback
elicits commitment.
Focus on the recipients, listen first, gather your data to make decision and
don’t take it personal
Make it opportune. Try not to stand by over 48 hours after an occurrence to
address it.
Feedback is a two-route road for the both administrators and workers. Permit
your representatives to speak with their administrators also.
Focus on the current objectives. Giving vague "character based" feedback
isn't useful or essential.
Try to adjust among positive and negative input. In the event that you can't
discover any positive input, it very well might be an ideal opportunity to
think about a Performance Improvement Plan.
Keep it reliable. Your representatives need feedback more than two times
per year. Month to month or even every other week feedback is better.

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7. REFERENCES
1. http://medicamgroup.com/chas/
2. https://medicamgroup.com/lemendoza/
3. https://fp.brecorder.com/2012/07/201207141215882/
4. Interview from HR Officer

8. APPENDIX

8.1 QUESTIONNAIRE
1. Does your company have a Performance Management System for its
employees?
a. Yes
b. No

2. Is the Performance Management System for all employees of your

Company?
a. For all Employees
b. For selective employees

3. Does Your PMS cover all employees under the functions of:
a. Sales Employees
b. Operation Employees
c. Finance Employees
d. H.R. Employees
e. Admin Employees
f. All of the above

4. Is Performance Appraisal done annually or more frequently?

a. Annually
b. More than once P/A

5. What is the purpose of Performance Management System?

a. To access the performance (usefulness of employees).
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 b. Basis for reward (increment bonus)
c. Basis for promotion Placement
d. Ascertain training and development needs
e. All of the above

6. How are the results of the process measured?

_____________________________________________________________

7. Do you think that HR Performance Management System helps your

company in
a. Increasing Profits
b. Increasing sales
c. Reducing HR turnover
d. Increasing HR suggestions
e. Increasing HR Motivations

8. Hr satisfaction level (measured through exit interview).

a. Excellent
b. Good
c. Poor

9. How many numbers of employees give suggestions?

a. > 10%
b. 5-10%
c. 1-4%
d. None

10.Do the involvement of the stakeholders ensured in performance management

system?
a. Yes
b. No

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