Overview of the Management Practices of (Hunbul Tex)

Overview of the Management Practices of (Hunbul Tex)

Prepared for Imran Akbar Saifi

HR

Class: MBA-P Section: G, Fall 2017

A Study Conducted by (Ahmed Kamal, Ahmed Hayat , Arham Adeel Amir, Rimsha Mehmood , Saba Sarfraz)

Submitted on: 05^th January, 2017

University of Management and Technology

Executive summary

This report basically analysis the growing and flourishing textile industry named as Hunbul Tex. The purpose of this report was to look at the overall company and its HR department. This industry has been operating since 1990 in Lahore. This company being small yet has learned to use new technology quite effectively.

The major task of this report was to measure the practices and procedures used by the HR department in the company. And how do these measures and practices help to improve the performance and effectiveness of the company. We have created the internal analysis which includes the weaknesses and strengths of the company and work force characteristics of the company. This help is indicating the internal working system of the company.

We also conducted and external analysis which includes the opportunities and threats faced by the company, with the competitors and the customers of the company.

The organization is small and in learning process but it should change certain old procedures and include new strategies to improve the HR related functions in company. These functions have proved to be beneficial in many companies in the world. Some of the problems we personally observed in the company which should be improved are as follow:

The HR department of the company is very small, which can be seen by the level of hierarchy.

Proper HR tools and evaluations are not used in the company.

The company should expand it HR department to improve the work flow of the company as HR plays the role of  an supportive department whose main focus are the employees of the industry, and if the employees are happy so will the customers will be.

Introduction:

HunbulTex (Pvt) Ltd. is a textile design house based in Lahore, Pakistan. They have an excellent team of textile professionals, textile designers and process managers working on latest fabric manufacturing techniques, futuristic designs and hi yield production management. With an experience of more than 10 years, HunbulTex is standing and committed to produce innovative textile articles which are futuristic and low in cost. They are considered as the best source of fancy fabric in the region. HunbulTex provides all types of textile services from yarn import/export to stitched garments. They have production facilities like, Spinning, Weaving, Dyeing, Finishing, Rotayr printing, flatbed printing, digital printing, embroidery and Stitching.

HunbulTex takes pride in the standards it has set in its designs and quality control. A team of highly motivated and experienced fabric designers helps in keeping the company abreast with the latest trends in designs and colors, and at the same time every care is exercised to ensure 100% quality control.

VISION

To be recognized as the most creative one-stop solution  provider in the field of fashion textiles.

MISSION

To exceed our customers' expectations in creativity, quality, delivery, and cost effectiveness through continuous improvement and customer interaction.

HISTORY

The company was established in early 90's for the production of textile fabrics for local market of Pakistan, with a potential to export within its capacity. With its digital printing, rotary printing, flatbed printing, dyeing and embroidery facilities along with well equipped state-of-the-art production lines, the company is now able to fulfill the needs of not only domestic, but also international buyers.

PRODUCTS

• FANCY FABRICS
• JACQUARD FABRICS
• DOBBY FABRICS
• YARN DYED FABRICS
• PRINTED LAWN
• EMBROIDERY FABRICS
• DIGITAL PRINTED FABRICS
• DYED AND PRINTED FABRICS

WEAVING

Hunbul Tex (Pvt) Limited currently operates 100 high speed, state of the art air-jet looms. We also have specialized dobby and jacquard machine in narrow and wider widths. Our product range includes plain, canvas, twils, drills, sateens and textures. We are fully equipped and capable to deliver yarn dyed products with any number of colors in the warp and up to 6 colors in the weft for both home and apparel fabrics. Hunbul Tex (Pvt) Limited has dedicated product development department with specialist designers who are capable not only to replicate customer's designs but also create and develop new designs for export and local markets.

FABRIC DYEING

Our fabric processing facility is one of the most modern of Pakistna. with an array of customer-made machinery. It has the capacity to produce 60 million meters of fabric per annum. It is specailly designed to handle heavy as well as light weight fabric with minimum tension such as stretch fabrics and all high density weaves. The advanated achieved by the customized design of its machines is the result of an extensive research work with the help of world renowned machine makers. To ensure that our customers get the very best we use more than 75% dyes and chemicals of European origin. The standars are higher than every dedicated by fashin efficient productivity and further automation is engineered in the plant.

TEXTILE ROTARY PRINTING

It is imperative to convert design / desire into reality with the desired look and desired feel. Customers demand for conventional / low cost print has increased tremendously. To deliver our customer and to remain at par with the market desires / price point, we are equipped with rotary 12 Color printing setup with the capability of producing 3 million meters / month. Setup is strengthened by our team of designers who ensure the process for consistency and designs.

TEXTILE FLATBED PRINTING

It is imperative to convert design / desire into reality with the desired look and desired feel. Customers demand for conventional / low cost print has increased tremendously. To deliver our customer and to remain at par with the market desires / price point, we are equipped with Flat Bed 14 Color printing setup with the capability of producing 3 million meters / month. Setup is strengthened by our team of designers who ensure the process for consistency and designs.

TEXTILE DIGITAL PRINTING

Through the diversity and depth of experienced designing and technical staff, access to state-ofothe-art technologies, and commitment to offer quality printing products to our valued customers. We have been working successfully with famous national brands in fashion and textiles and as well developing commercial partnerships with internation companies. Hunbul Tex offers services to industry working with diverse clients from fashion and accessory designers, interior designers and manufacturers and is recognized one of the major digital printing hub in Pakistan.

FABRIC EMBORIDERY

Decorating fabrics with a needle & thread has become most popular and best technique to attract clients from national and international market. Hunbul tex Pvt. Limited is a trust worthy name in textile & fashion industry having a setup of most advanced embroidery machines.

FACILITY

DIGITAL PRINTING

EMBROIDERY

DESIGN HOUSE

TESTING & QUALITY CONTROL LAB

DYEING & FINISHING

PACKING & STORAGE

ROTARY & FLATBED PRINTING

MARKETING & DEVELOPMENT

Organizational Chart

Departments of the Company

• Marketing
• Finance
• Management
• R&D
• Processing
• Production
• Printing
• Dyeing
• Administration

Analysis of External and Internal Environments

 External Environment

Competitors:

There is not one textile working on the same level as Hunbul is working as it is a complete book having many operations under the same roof. So there isn’t any direct competitor that can be found in the local market. There are sectors who are competing with Hunbul indirectly in on form or another. Some of them are as follow:

• Firdous textile:
• Sitara textile
• 5 star textile
• Kohinoor Textile:
• Nishat Textile:

Customers:

There are many high class and top of the line customers of Hunbul which include some of the biggest retailers of the local market, which are as following:

• Bareeze
• Khadi
• Warda And etc

Opportunities

International Market:

Hunbul Tex can be more profitable if it increase the capacity of it plants which can help Hunbul Tex in gathering more international orders and hence increasing its profit.

Retail Stores

Hunbul Tex can take a step forward for directly dealing with the general public by making new retail stores in the metropolitan cities of Pakistan. These steps can maximize the profits of the industry.

E stores

Hunbul Tex can further make E-business a mode of transaction and with this it can help increase the customer cycle. Opening an online retail store can help increase the profitability of the company.

Backward Integration

Backward integration can help company increase the profits and decrease the operational cost of the company. This backward integration means that company produces its own raw material which can increase the profits of the company.

Hunbul Tex have many opportunities in the market of Pakistan as it is yet to flourish it can target the following segments which can increase the profits:

·         Baby clothing

·         Wedding clothing

·         Formal dressing

THREATS

New competitors:

 New entrants in textile have always been a threat as it brings new competition and new aspects in the textile business. Competition in any field cannot be avoided, so Hunbul Tex needs to look for ways and strategies to be an effective textile.

The always changing fashion

Fashion is a trend which is seen to be changing quite rapidly and easily. Fashion changes day by day and these days media plays the major part in influencing our daily lives. So the fashion which is promoted by the media is adopted easily. The life cycle of fashion is always changing, creating big problems for textile designing manufacturers.

Political instability:

The political instability of Pakistan has always played its role in affecting the textile units the most. Examples of political stability have been seen in the past and can affect the businesses in the future.

Energy Crisis:

Electricity and Gas shortage can be seen as a current weakness as it had forced many factories to close their businesses. This energy crisis in the future can also harm the businesses if they aren’t control.  Backups in form of generators are needed which raise the prices of the clothing.

Exporting trend:

Pakistan due to energy crisis had faced a lot. The crisis have forced factories to use other alternatives to tackle the energy crisis which force the price of commodities to rise and hence people of Pakistan have started exporting products from other counties(mostly China).

PEST ANALYSIS

POLITICAL FACTOR

The largest problem not only this industry faces but all the industries facing today is the political factor. In Pakistan the biggest problem any industry faces is the political instability, which is the major cause of failure in national development. These instabilities do not let the industry gain success, good reputation and trust both domestically and internationally.

Political instability creates problems in making policies some of the policies can be seen as follow:

• Tax policy
• Employment laws
• Environmental regulations
• Trade and tariff restrictions.

Political Instability always had bad impact on the textile industry. It has been the main component in increasing the cost of production in the textile sector by introducing new taxes and policies.

 ECONOMIC FACTORS

The economical factor plays a huge role in running an industry effectively as it concludes all the factors affecting the country. In Pakistan we are well aware of the economical crisis. The circulation of money is the major issue. Due to unstable circulation of money the demand of goods in the local market has been unstable.  The governmental policies and the corruption in Pakistan don’t allow the economy to grow which have a direct impact on every industry in Pakistan.

In international market Hunbul face difficulties due to the lack of creditability in local market.  Energy crisis is also a major issue without with economical growth cannot be reach. And when an economy is not growing so the industry is also suffering. Some economical factors affecting the businesses of Pakistan are as follow:

• Economic stability
• Economic growth
• Interest rates
• Inflation rates
• Exchange rates

Socio-cultural Sector:

Society and culture is an important factor that must be given emphasis by any business, specifically those who are operating in the global arena. It is important that the company must operate in compliance with the social systems in order to gain good reputation and effective public image. On the other hand, cultural aspects is equally essential, in order to understand the various needs of different individuals that belongs to different cultures.  Some of the social variables which must be kept in mind to overcome social problems are as follow:

• Population growth rate
• Age distribution
• Career attitudes
• Consumer behavior
• Religion and culture itself

Technological Aspects

In this era of advancement technology can help to touch the sky of success. Technology creates new products and processes. It can also reduce the cost, improve quality and lead to innovation. These developments can benefit the consumers as well as the organization

 The complexities of achieving business success through increased efficiency, effectiveness and competitiveness, combined with innovative applications of modern technology, has heightened the awareness of both technology and business managers towards more strategically oriented approaches for planning and management of any industry. Hence, it is important that industry must be able to give consideration to the technological aspects. The industries of Pakistan work on their traditional ways and the workers as barrier to adapt technology. But hunbul Tex is industry having technological advantage over many other companies as it is tend to adapt to new technologies. A major reason for this is that this company was founded 10 years ago in a technological era, by which the company had to adopt to the latest technology.  Internet development helps Hundel Tex to reduce its advertisement cost and get quick feedback from its customers. Technological advancement helps industry in following thing:

• Distribution and communication channels
• Automation
• Barriers to entry
• Production level
• Having an upper hand on other competitors

Labor force characteristics

The demand of Hunbul Tex for labor varies from machine to machine as they deal with many sectors under the same roof so different labor is required for all the different machines. Digital printing requires specialized labor while embroidery machines require simple labor which doesn’t need any specific training like in digital printing.

Internal Environment

Strengths:

ISO standards:

Hunbul Tex is a socialy responsible company, following all labor laws of Pakistan and ILO standards and also certified for

ISO 9001:2008

ISO 14001:2004

Good relationships with customers:

Hunbul Tex is known for have good terms and relationship with both its domestic customers and international customers.

Technology advancement:

Hunbul Tex is a company adapting to new technologies. These technologies help increase the production of the company.

A complete book:

Hunbul Tex is a complete book providing number of services and facilities. Some of them are as follow:

• DIGITAL PRINTING
• EMBROIDERY
• DESIGN HOUSE
• TESTING & QUALITY CONTROL LAB
• DYEING & FINISHING and etc

Human capital:

One of the major strength in all the success Hunbul has got throughout the years is the human capital of the company. As the company feels honored in saying that they have some of the best, experienced and competent employees.

Weaknesses

Management issues:

The manager we interviewed stated that the company faces many challenges in managing all the units of the company as all the units have different challenges which need to be resolved.

Energy Crisis & Political instability:

Energy in Pakistan is a major crisis due to which many industries were forced to close their business. These crisis force manufacturers cost to rise which raises the selling cost and hence customers are lost.

Learning Process:

This company needs time to mature as it does not have the experience as other companies like Nishat have. This lack of experience can cause many issues like management and financial issues.

Brand awareness:

People nowadays do not easily trust and buy from local and inexperience brand. So creating a good brand image will take some time, as many people do not even know the name of Hunbul Tex.

Turnover Rate:

Turnover rate of the company is high as employees have been leaving the company for better salaries.

Work force characteristics

The workforce characteristics inside the organization vary from unit to unit. Different labor is used to run different machines. We observed and were later informed by the workers that embroidery is a user friendly which do not require any such as training while digital printing is a new technology in Pakistan so the training for this machine is highly specialized and is very expensive as some time the training takes place in countries like Italy and China. Or otherwise experts are highly paid to train the local workers.

Human Resource Department

Hierarchy with the name of person at each position

Activities performed by the HR department

All the activities of the HR department have been discussed in detail in the following topic but the major activities of HR department namely are as follow:

• Selection & recruitment
• Interview
• Testing
• Performance appraisal
• Supporting
• Administrating
• Training

HR Manager Information:

Name : Adnan Ghuman

Postiton : HR Manager

Working in Hunbul: 8 year

Phone No :0332-4441077

Analysis of the interview:

The interview we conducted was from HR manager MR Adnan Ghuman He have been working in the company 8 years respectively. The company is basically a futuristic fashion fabric industry which deals in many businesses whether it is the dyeing, digital printing or embroidery. The company contains almost 700 employees which work on temporary basis, which can also be called on demand employment. This company was established in early 1990s. The basic segments targeted by Hunbul Tex are grey fabric, dyed fabric, printed fabric and embroidery. On asked about the strengths of the company the manager replied that the company possesses Jacquard fabric in cotton which is a rare technology in Pakistan. They also have digital printing machine which is only possessed by Nishat other than Hunbul. The weaknesses the manager face in Hunbul are the provision of skilled labor in digital printing and the training cost of teaching labor digital printing.

On asked about why is HRM important for all managers he replied that industries specifically textile industries face high turnover rate, which means that the hire and fire rate is rapid and quick in their industry for which they believe HRM is important to them. Secondly MR. Adnan claimed that organization development and culture cannot be achieved without an effective HR department. He also said that the increased number of workers and man power in the industry demand HRM practices.

MR. Adnan described that he as a HR manager has the authority to select and recruit employers alone in the services sector of the industry but needs cooperation with the supervisors of the departments to hire technical workers. He further has the authority to choose and implement training programs in the firm. According to him the HR department is allocated a limited budget for the expenses faced in training and etc. He has the budget in which he is restricted to conduct trainings and other HR related activities. On ask about how he assist other line managers he replied that he assist them recruitment and selection of employees, he assist with providing them environment for trainings, SOPS and HR department most importantly provide feedback to the supervisors on the performance of their subordinates and  on how can these performances be increased. On asked about what is the major role of HR dept. in a business he replied that HR dept. plays a role of a business partner for any business, as it is the factor of motivating and running the operations in the business smoothly. He further dictated that HR major function is to stream line the budget and decide the budgets and how to run the operations. The HR dept. further decides whether to hire trained employees or to hire fresh employees to and train them later. The major Staff function the MR. Adnan plays is the succession planning of making the hierarchy’s of different departments effective. As HR department with the support of top management in Hundel decide the positions and the hierarchy level of each level of the company.

The major challenges faced by MR. Adnan as the HR manager are that the skilled man power varies from region to region, as for example skilled labor can be heavily found in Multan Road but not near the location of the factory.

This location issues increases the transportation cost. There are certain globalization issues faced by the company as these issues are faced by every industry. He further added that new technology needs trainings, for some training he had to visit Italy and China, increasing the costs of training by the companies. Reducing these costs is a challenge for the HR department.

There’s a meeting between the HR department, the Head of each department and the top management to design the job analysis of a specific job. They are designed after keeping many things in mind like the tasks, responsibility and roles of the future employee. The job analysis is later modified into job descriptions and those job descriptions are then modified into job specifications.

Different machines need different trainings; digital printing machine needs specialized training while embroidery is an user friendly machine which can be easy to run. On asked about the strategic planning procedure, he replied that it is done according to the present circumstances for example if there is a new machine to be installed , the area required by the machine is measured and the need of man power including skilled man power and administrative man power is also measured. But all the planning are ultimately done keeping in mind the present situation and circumstances. On asked about the benefits of new technology he replied that it has help computerized all tasks of HR department which includes , The time keeper job, before biometric technology the time keeper have to manually keep record of all the people present on the job. But because of biometrics technology everything about all the employees can be presented in a computer in front of MR Adnan , who can easily analyze the data. The task of verifying people entering the premises of the factory has become computerized and easy, which were before tough and manual. Bio metric and face recognition machine has helped HR department with easy data collection.  MR. Adnan said that he does not use any HR metrics to be specific. Performance appraisals are done at the end of the year to evaluate performance. Further the performance evaluation is done according to the department not through individual performance. As departmental performance can easily measure the efficiency and effectiveness of all the people in that department. KPI’s are considered in evaluating a person, what were the goals assigned to a person in marketing department and to what extent did he achieved those goals.

Hierarchies of goals in Hunbul Tex are assigned with the job descriptions of the employees in every department. He indicated that first internal audit of the company is done and then it is compared with the company being benchmarked to know the flaws in the company and to cover them policies and procedures of the company are made. On asked about the role of HR dept. in making policies and procedure, the manager replied that HR dept. provides a platform to all the other heads of departments to discuss and talk upon an issue of importance. HR. dept. plays an supporting role in arranging meeting for other departments. On asked about the role of HR manager in designing strategic planning, he replied that first of all the business goals are kept in mind with the target market kept in mind by which clients are indemnified through which the requirement of workforce is indentified. And what compensations should be provided to the new recruits. HR major role in corporate strategies is that the HR dept. deals with all the government agencies involved with the businesses of Pakistan. He said that designing the compensation is the main role HR dept. plays in competitive strategies of the industry. The role of HR dept. in designing functional strategies in Hunbul Tex is developing the hierarchies of the departments and planning and implementing SOP’s and succession with the coordination of all the heads of departments.

On asked about job analysis information, he gave us the table

  

On asked about the steps taken before merging and acquisiting other companies, he replied that first of all the financial position of that company is kept in mind including the debt of the company and the analysis of the product and the market demand is done. HRMS which is based on oracle is used as an HR tool. Strategic maps are used to assist training and administration needs with budgeting for the future. Digital Dashboard is used in the process of promoting and raising salaries of the employees in a way that the qualification and evaluation of past trainings are compared in order to promote an employee. On asked about what company is benchmarked MR. Adnan replied that there is no specific company doing the same kind of work as Hunbul Tex is doing under one roof so for digital printing Nishat textile is benchmarked and for dyeing Eshan textile is benchmarked. On asked about the major problems faced by company while recruiting, he replied that as we are a unique nature unit so we need to work hard to find relevant source and most of the time have to give time to employee after hiring to understand out mission & vision. On asked about designing and conducting interview, he replied they conduct tests, orientation, get information about his circumstances, offer accordingly etc. When it was asked about the type of interview do they conduct, He replied it depends upon position. For fresh & normal position usually structured for professional & strategic position it’s non-structured. On asked about the type of tests do they conduct before recruiting a candidate, he replied for fresh candidates SAT & GAT based tests for IQ & other analysis, for professional they just conduct interview.

On asked about the preference of hiring inside or outside candidates Mr. Adnan replied that their first priority is to hire from inside by promoting the experienced employee and they encourage succession planning than outside. Pre employment and blood relation is avoided while hiring new employees. On asked about the major problems faced by company while recruiting, he said that it is really difficult to find a qualified person who can be put in charge of the complete unit as this company includes many sub sectors so finding a man who knows about all including dyeing and printing is difficult. For this purpose different segment s are created inside the company. There are basically two units of Hunbul Tex one in Lahore and the other in Faisalabad; the recruitment done in Hunbul is centralized. On asked about the recruitment process Mr. Adnan replied that if internal recruitment is not done than first of all Job descriptions are made through which job specifications are made after which Job ads are posted and CV’s are collected , those CV’s are shortlisted by testing and interviews are done and then the eligible person is hired. Mr. Adnan stated that the effectiveness of recruitment is measured by the turnover rate. The outside sources of recruitment are selected according to the designation of the job, higher post ads are published on the newspaper and other on the internet but Linkdn is specifically used. But private agencies of recruitment had never been used by Hunbul Tex. On asked about how the HR dept. ensures that EEO standards are met, Mr. Adnan replied that the company tries to implement the policies to every extent which ensure that EEO is kept in mind. On asked about the limitations of the law which Mr. Adnan face while hiring, he replied that they have to keep in mind that the give social security and provident fund. And most importantly have to keep in mind the minimum wage imposed by government. He further stated that until we are fulfilling all the policies given by the government they won’t face any problems. On asked about neglect hiring, the manager replied that usually we don’t face neglect hiring because a complete panel sits and interview the candidate, HOD’s have to be with him while hiring, so in top positions neglect hiring never occurs while in lower positions it may occur sometimes i.e. MTO, but he believe that after a year of training the employee can become effective in his/her work the company wants for him/her.  On asked about what test are used in hiring process, the manager replied that testing is measured by the GMath test score of the candidate. On ask about background investigations and reference checks , the manager replied that background check generally consist of universities check and letters are send to past employer to find about the performance of the candidate. On asked about the interview format used for hiring, appraising and employee exits interview, Mr Adnan stated that a mixture of structured and unstructured interviews are conducted as they are more effective in getting response of the person. On asked about the type of questions used in the interview MR. Adnan told that these questions are a mixture of intelligence test, cognitive test and include behavioral questions and job related questions. This test was actually outsourced by Kohinoor Textile.  On asked about the mode used to administer interview, the manager replied that usually panel interviews are conducted for high posts, while for lower posts structured sequential interviews are conducted. On asked about the type of orientation given to new employees, the manager replied that on the first day they new employee is told completely about the company, he is given a complete tour of the company and is introduced to all supervisors, specially his/her senior. The advantage of orientation in the eye of MR. Adnan is that it is the first interaction of the employees with others and play a key role in team management. To judge the need of training T&A analysis are used and the job description of the specific employee is seen to know where he/she lacks. Daily routine incidents including production gaps and profit are the determinants of whether training is needed or not. On asked about how HR dept. plays the role of a change agent, he replied that all the policies and SOP’s are discussed with the heads of all the departments and suggestions are asked to implement the new policy of effectively and all the new policies are implemented at once, it is implemented slowly. On asked about who in the company do the performance appraisal MR. Adnan  replied that verbally appraisal is done in  360 degree feedback , while analysis of the annual appraisal are made by the HR department with the help of the supervisor. He dictated that promotions and salary rise is highly dependent upon the performance appraisal. He further said that KPI’s of the employee are dependent of performance appraisal so the supervisor cannot make fake performance appraisals. Different compensations are designed for export manager and the local manager. While determining the pay rates the company looks at the minimum pay rates and with that it keep in mind the pay rates given by the benchmarked company.  On asked about legal considerations about compensation, he replied that there are no such legal considerations as the COLA( cost of living appliances)  are so low that there is no such use of it. Major problems faced while designing compensations according to HR manager were the implementation of the policies as the demand for compensation are really high which go outside the policies so maintaining them is a big problem. Different types of incentive plans are given i.e. profit participation and individual pay plans, they are use for efficiency of work and retention of employees. Provident funds and loan are the major type long term incentives provided to the employees. According to the HR manager the better motivation factor is not cash but are job security and performance recognition.  Different benefits are offered to the employees including health insurance, life insurance, provident funds and free transportations. Sick and paid leaves are also offered to the employees. Hunbul Tex doesn’t provide any flexible benefits plans to its employees but flexible work arrangements are given to employees including flex times and flexible work arrangements.

What flaws you observe in their practices

Turnover Rate: the turnover rate of the company is very high as people often resign after getting training especially of digital printing.

Less labor force: Less skilled and train labor force can be seen in Pakistan as digital printing is a new methodology in Pakistan and Hunbul is pioneer so finding skill labor is a difficult task.

Fewer Budgets spent on HR: the budget assigned to HR in Hunbul Tex looked like was limited or insufficient as it didn’t have many employees in the HR dept and the hierarchy of the HR dept was very small.

HR tools: Not much of the HR tools such as HR scorecard and digital dashboards are not used to measure effectiveness.

HR metrics: Not much of the HR metrics was used in Hunbul as the manager confessed that no such practice is used here to measure the performance of the worker.

Improper recruitment/selection method: the testing method in the recruitment is improper, using Gmat is not reliable. The testing method is not even later retested.

Conclusion

Hunbul Tex basically is futuristic and fashionable industry acting as a fashion designing textile. It is an inexperienced textile industry as it was established in 1990, but this company has a technological advantage over its competitor as it is one of a kind industry in Pakistan which has so many units i.e. dyeing, digital printing, weaving and etc. This company is the pioneer in introducing digital printing in Pakistan. This company has many customers in the market, which are some of the biggest retailers in the local market.

The HR department of the industry is very small right now which can be clearly seen in the hierarchy of the HR department.

The company due to the new technology faces many challenges, as there is not much skilled labor available and majority of the time trainings are required, which are costly. The HR department of the company is currently at a flourishing stage as currently the numbers of employees in the company are almost 700, but this Is a growing company which may require more labor force, so for managing and supporting the increasing the number the company will require to expand the HR department which is currently very small.

Hunbul textile has a small HR department but still the HR manager looked like a qualified person, who tried to include all the functions of an effective HR department into his department for the betterment of the employees. He quite brilliantly designed the recruitment/ selection, compensation, environmental security and training function of the company. He had have experience of working in other firms too like Kohinoor from where he adopted some policies and procedures and later implemented them in his company.
Hunbul Tex is providing a lot of services and facilities to its customer as having so many units under one roof is quite an achievement for the company, competing with mature companies like Kohinoor and Nishat is also an achievement. This company has created quite a name of itself in the local market and trying to do the same in the international market. Some of the customers of Hunbul in the local market are Khadi, Warda, Bareeza and etc.

Hunbul Tex is in growing stage and as the company will grow so will the HR department of the company flourish. As the company right now have 700 employees the HR department is enough to deal with them, but as the workforce of the company will increase so will the employees in HR department increase, because managing a bigger workforce require the company to increase the employees in the HR department.

The major problems company currently faces are job turnover rate and lack of skilled labor, as the company is pioneer in digital printing so the ratio of trained and skilled labor is low. But with new technology getting adopted in Pakistan, Hunbul tex can also take advantage of the situation in the future. The strength of Hunbul according to us is its centralized system for hiring.

 References

https://en.wikipedia.org/wiki/Textile_industry

http://www.hunbultex.com/

https://www.mindtools.com/pages/article/newTMC_05.htm

https://en.wikipedia.org/wiki/PEST_analysis

Also material is taken from Hunbultax broachers.

Appendices