People Organization

Final Report:

Pakistan International Airline (PIA)

Submitted To:

Sir. Mussarat Khan

Submitted From:

Muhammad Usama

Muhammad Nasir

Khalil Ahmed

Javed Jahan Khattak

Syed Ahsan Ali Jafferi

Date:

20-05-2013

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Table of Contents

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Introduction………………………………………………………………………………..4-5

Historical summary…………………………………………………………………………………………………………………….5

Total number of employees………………………………………………………………………………………………………6

Nature of business…………………………………………………………………………………………………………………….6

Type of ownership…………………………………………………………………………………………………………………….6

Questionnaire………………………………………………………………………………..6-7

Literature Review…………………………………………………………………………..7

Research methodology…………………………………………………………………..7-8

Discussion………………………………………………………………………………………8

Finding…………………………………………………………………………………………8-10

Conclusion………………………………………………………………………………..10-11

Bibliography…………………………………………………………………………………..11

References…………………………………………………………………………………….12

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Introduction

Pakistan International Airline Outline:

P I A is the national airline of Pakistan and abroad. On, March 11, 1955, Air Orient amalgamated

with the airline planned by the government, becoming Pakistan International Airways. On March

1960, P I A becomes the earliest Asian airline which comes in the jet age with the introduction of

Boeing 707 service. On 1978, the company acquired its first Boeing 747, which becomes a nail

of the airline's fleet. On 1996, the company leased Tupolev Tu-154 aircraft, and the reopening of

the services of the Beirut International Airport in Beirut, Lebanon.

Pakistan International Airlines (P I A is also called) is the national transporter of Pakistan and

operates of passenger and cargo services around the globe. The major centers are Jinnah

International Airport Karachi, Allama Iqbal International Airport Lahore and Islamabad

International Airport, Islamabad / Rawalpindi. (student papers from 04-Apr-2008)

It also provides the services to other domestic airports, including the International airport

Peshawar International Airport Faisalabad and Multan International Airport connecting the main

centers and air travel services to the Middle East.

PIA trace its origins reverse to that time when there was no country named as Pakistan. On 1946,

Muhammad Ali Jinnah, realized that there is a need for air transporter. He asked for a technical

industrial Ispahani Mirza Ahmad. Eastern Air was formed on October 23, 1946. In February

1947, three DC-3 airplanes were purchased by a company situated in Texas, and in May that year

the business got authorization to fly. Services were initiated in June from Calcutta to Rangoon as

well as to Akyab.

After two months from starting of service, Pakistan formed as a country. Orient Airways start on

assistance flights to the fresh country and soon after this shifted business to Karachi, where

company begins the significant way ( Karachi to Dhaka ). In addition, their new path inside

country was started from Karachi to Lahore to Peshawar, and Quetta. (student papers from 04-

Apr-2008)

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The Pakistan’s government, conduct of failing operations economically, has advice the airline to

amalgamate into a new state’s airline that government wants. On 11March, 1955, Air Orient

amalgamated with the government's offered airline, becoming P I A C ( Pakistan International

Airline corporation ). Through the similar year, the airline begins its very first International

service, since the P I A starts service from Karachi towards Heathrow Airport in London, United

Kingdom, by the "Cairo International Airport, Egypt.

Historical Summary

• The first airline from one country to land in Asia, the earliest airline started by a Muslim nation

to take off the Super Constellation.

• P I A is the foremost Asian airline company which acquire and operate a jet aircraft.

• The foremost Asian airline which got food authorization by the Federal Aviation

Administration (F A A) and the Board of Air Registration.

• The earliest non-communist airline company which go to the China, also run a service among

Asia and Europe passing through Moscow.

• The number one Asian airline to introduce the innovative technology of Boeing 737-300.

• The earliest company to launch a second track to the China through the great Karakoram

Mountains.

• The earliest airline in world which operates programmed helicopter.

• The earliest airline company which shows in-flight movies going on international routes.

• Implement first P I A Planetarium in Karachi, Pakistan.

• The initial airline in Southeast Asia to introduce automatic ticket facility.

• The earliest Asian airline company which begin air travel to Oslo, the gorgeous capital of

Norway.

Total Number of Employees:

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Pakistan International Airline has total 18,014 number employees working in business which

includes the Board of Directors, Corporate secretary, Internal Audit employees, Top

Management and examiner who work under different departments.

Nature of Business:

The nature of business of Pakistan international airline is transport & services though air, and by

road.

Type of Ownership:

Pakistan International airline is semi- government organization. 80% owned by government &

20% owned by private sector.

Questionare:

Q-1: what is the procedure of recruitment?

Q-2: All vacancies are advertised in News Papers?

Q-3: Is there any quota system?

Q-4: Is there relaxation in quota system?

Q-5: Do PIA prefer fresh candidates or experienced?

Q-6: What is the minimum level of Education?

Q-7: Who takes the tests?

Q-8: Who takes interviews from candidates?

Q-9: Anyone in the interviewers have any veto power?

Q-10: Is there any influence from political parties?

Q-11: Is there any influence from Union (CBA)?

Q-12: Finally who decide weathere to accept a candidate or not?

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Q-13: Is there any audit system in recruitment process?

Q-14: What is recruitment process in foreign countries where PIA offices are located?

Literature Review:

Recruitment process or selection of employees is defined as the practice whereby a company or an organization employs new employees in order to fill a vacant place or help the existing ones. According to Ireland et al (2005: 218), recruitment process is very crucial in any company and hence should be conducted with ultimate care in order to avoid using huge sums of an organization’s funds without providing any profitable employees. In airline industry, pilots and cabin crew play a very essential role and hence if they are selected carefully, they would bring about problems in this industry. In the growing market in airline industry, more pilots and cabin crews are required in order to effectively increase the competitive advantage of individual airline company. In this respect, when professionals are employed in this area, a lot of profits will be obtained. According to Harvey (2007: 61), professionalism of a pilot usually positively impacts the performance of this industry and hence a lot of consideration needs to be put when carrying out the practice of pilot and cabin crew recruitment.

Research Methodology:

We search the data from primary as well as from secondary sources. Secondary data is gathered

from different articles, newspapers, business recorders, also search on internet by different

search engines such as Google, msn, scribed, answers etc. We also gather information from the

PIA’s website. For getting the primary data a questionnaire was made by us in which we all

group members were ask to make their own questions and after this all these questions were

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combined and we make a separate questionnaire which includes about 15 different questions that

to be asked from the HR Manager of PIA. It was also decided that other than this any other

random question can be asked if it comes in mind of any one of us and audio recording of this

interview was also decided to be done and at last to take some snap shots with the officer have to

be taken.

Discussion:

Luckily when we reach Booking office of PIA in RWP interviews of candidates for

Internship 2013 were in progress and we have practically seen all the process of recruitment by

ourselves that candidates after short listing were called for interviews and a panel of four peoples

were from head office to take the interviews which includes GM HR and three junior officers

and DGM HR MR. Aftab who is the senior officer most officer of HR in remote base he also

controls Airport and Islamabad office from here. Due to these interviews in process and arrivals

of his seniors from Head Office MR. Aftab was not available for the interviews and therefore we

have to take interview from his subordinate MR shazad he is senior HR officer and in charge of

recruitment.

Findings:

After conducting interviews and studying the Primary data from internet articles we have made

following conclusions about the recruitment process of PIA. According to HRM of PIA different

departments of PIA identify the shortage of Human Resource in their departments and forward

their requirements of staff needed to their concerned director and then directors of concerned

department meeting with board of directors make them agree to recruit or not. If they agree on

recruitment to be done they send the proposal to HR.

HR department tries first to fill up these vacancies by the internal recruitment if any

people have the capabilities and qualification they make him recruit and for this proper

interviews and tests are conducted.

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Otherwise the vacancies are uploaded on the website of PIA and are also advertised in the main

News papers of Pakistan. Forms for these vacancies are available on the website of PIA and in

the HR offices of all the booking offices of PIA free of cost.

Details of qualification, papers to be attached and experience if any required is mentioned in the

AD.

There is quota system as per government of Pakistan to give also the peoples of rural areas of

Pakistan to serve in the national Airline and work for the country. Quota is also allocated to the

son of deceased employees of PIA they are preferred than other candidates subject to meeting

criteria of the recruitments process.

Depend on the nature of vacancies it is decided weathered to induct fresh candidates or

experienced candidates as some times experienced guys are needed subject to operational

requirements of the organization.

Minimum level of education is Graduation no candidates are inducted below this qualification

some times for the office boys, office attendants and record keeper Inter level of education is

asked.

Tests of the candidates is conducted by the PIA in low level vacancies while for the recruitment

of middle order level management test is conducted by third party that is National Aptitude Test.

For higher level management recruitment experts from outside the organization are also invited

in the panel to take interviews etc.

After the candidates qualifying the test have to clear the interview in interview the GM of

concerned department is present and officers from HR department and recruitment and selection

department also presents. In the interview panel each person have weight age of marks and the

candidate who have got maximum weight age is selected.

Grooming test is conducted for Air Hostesses and Flight Bursars Here, men and women present

themselves in a manner, both physical and behavioral, befitting the job while women’s make-up

skills are also checked.

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For the recruitment in PIA foreigner candidates can also apply and PIA office in foreign

countries can also recruit but these nature of jobs are of low level and on daily wages basis and

are paid according to the rules of that countries.

MR. Shazad told us that interviewer might have some time political influence as the are working

under the Ministry of Defense and have to follow their guidelines also and also some time

influenced by the Union pressure which have a strong hold in the organization,

Conclusion:

It is concluded from the research on the selection and recruitment process in PIA that

process of recruitment is fair in PIA all over but there are some problems occurring in it after

clearing these problems this process can be role model for the all other organization as all steps

of International Recruitment and selection are followed by PIA.

Influence of political parties should be removed and recruitment and selection department should

be made totally autonomous so that no one can blackmail them and influence them. Even there

are some cases shows that Prime minister is appointing the CEO of PIA on their relation basis.

Officials appoint their relatives and friends. Selection and recruitment are not done on merit

basis.

Influence of Union (CBA) also depicts on the organization it also should be removed as Union is

very much strong in PIA but for the betterment of process this step must be taken.

There is no Audit system on the recruitment and selection process therefore an Audit committee

should be made who just have to audit the whole process and scrutinize it but they should not be

given any power to directly influence the department as they will exercise it in negative way.

Even though Pakistan international airline is operating a training and development section in

Karachi but it is not enough to train such a large number of employees in the organization, with

nearly 18,000 staff. Particular skills, as engineering and technicians are insufficient.

Bibliography

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Group Picture taken at PIA sadar office

References:

1. Workshop On Preparations For An-Conf/12 − Asbu Methodology

2. Nairobi, 13-17 August 2012

3. Securities and Exchange Commission of Pakistan Promoters’ Guide 2012

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4. Organizational Design & Structure Final Project Muhammad Haris Hameed 2011

5. Research Project on Determinants of Loss To Pia Ahsen Ali 2012

6. PIA-Policy-Project 2012

7. Pakistan International Airlines

8. Times News

9. Student Papers from 07-Dec-2012

10. Student Papers from 14-Dec-2010

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