Pepsi Cola Human Resource Management Project

HUMAN RESOURCES MANAGEMENT
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HUMAN RESOURCES
MANAGEMENT
COMSATS Institute of Information &

Technology M.A Jinnah Campus, Lahore.
Acknowledgment
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First of all we thank Allah Almighty the most beneficent

and merciful who gave us strength, patience and
inspiration needed to complete this task, which is
essential requirement for the completion of our project.
We would like to acknowledge,
MAM FUKAIHA KAKAKHAIL

It was only due to his guidance, we had the
opportunity to gain the latest hand-on knowledge
conducting ON
NAUBAHAR BOTTLING COMPANY

We are also very thankful to all our fellows who
Guide us in all
The manners we required.
Executive summary
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PepsiCo, Inc., incorporated in 1919, manufactures,

markets and sells soft drinks and concentrates, and
snack foods. PepsiCo and its divisions and subsidiaries
operate in three business segments: Worldwide Snacks,
Worldwide Beverages and Quaker Foods North America
(QFNA). The Company's snack food business is
comprised of two business units: Frito-Lay North
America (FLNA) and Frito-Lay International (FLI). The
Company's beverage business is comprised of three
business units: Pepsi-Cola North America (PCNA),
Gatorade/Tropicana North America (GTNA) and PepsiCo
Beverages International (PBI). On August 2, 2001, the
Company completed a merger transaction with The
Quaker Oats Company (Quaker) whereby Quaker
became a wholly owned subsidiary of PepsiCo.
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DEDICATION
Our Honorable Teachers & Loving Parents
Whose,
Love, Affection, Motivation, Patience, Support
&
Spiritual Inspiration
Give us Encouragement,
To all those People who have quenched for

Knowledge,
To all those who have dedicated their lives to

others,
To all of those who have served and sacrificed for
Sake of Freedom
To all of those people, they may be gone now
But they will never be
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Forgotten....
Table of Content
• Mission statement
• Vision
• Pepsi introduction and future planning
• Pepsi slogan and logo
• Organizational structure
• Delivery system
 Direct delivery
 In direct delivery
• Departments
 Operating department
 Production department
 Human resource department
• Structure of human resource department

• Major functions
 Planning and forecasting
 Planning
 Human resource planning
 Human resource planning process
 Forecasting
 External supply
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 Internal supply
 Forecasting human resource demand
• Job description
 Job description process
 Job identification
 Job summary
 Responsibilities and duties
 Standard of performance
 Working condition
 Authority and incumbent
• Job specification
 Specification for trained personnel
 Specification for untrained personnel
 Specification based on judgment
 Specification based on statistical analysis
• Recruitment and selection process

• Recruitment in Naubahar bottling company
 Major sources
 Types
 Candidates
 Newly hired
• Training and development

 Basic model
 GAP
 Structure need
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• Application process
• Model of result oriented needs assessment
• Compensation management
 Compensation
 Reward system
 Salary
 Probation period
 Rent
 Medical care
 Social security card
 Transportation
• Changes within the organization

 Promotion
 Transfer
 Demotion
• Separation
 Lay off
 Retirement
 Resignation
• Leave system
 Casual leave
 Medical leave
 Annual leave
• Weakness in human resources department

• Observations and suggestions
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• Recommendations
• Glossary
MISSION STATEMENT
“The mission is to produce PepsiCo quality

beverages, maintain market leadership by
growing our sales volumes, strengthen our
market share, delivering ROI to all of its
stakeholders and fulfill its responsibilities in the
community”.
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VISION STATEMENT
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“The Vision of the company is to continue to build

a strong company which is the number one
beverage company in Pakistan and provides value
to all of its stakeholders.”
PEPSI
IN PAKISTAN
Pepsi cola is also very popular in Pakistan

that’s why its market share is about 90% in the
soft-drink market. Pepsi Cola International, a
remarkable name in the cola industry is doing its
business in Pakistan through franchising. PCI has
developed following bottlers in Pakistan till now.
Naubahar Bottling Company
is the largest manufacturer and distributor of
Pepsi Cola soft drinks in Pakistan.
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These franchises are located in PAKISTAN

 Karachi
 Lahore
 Multan
 Faisalabad
 Gujranwala
 Peshawar
 Islamabad
 Sukkher
 Hyderabad
Naubahar bottling company
(NBC)
Pvt. Ltd. Gujranwala
Naubahar Bottling Co. (Pvt.) Ltd. (NBC) is one of the nine

(09) franchises of “Pepsi Cola International” in Pakistan. Naubahar
Bottling Co. (Pvt.) Ltd. (NBC) first was involved in the business of
manufacturing and marketing of Coca-Cola. Later on it started
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manufacturing and marketing business with Pepsi Cola in May 27,

1981. The Area allotted to it, was Gujranwala Franchise. The
franchise area consists of the following nine districts.
 Gujranwala
 Gujrat
 Hafizabad
 Mandibghaud
 Jehlum
 Sialkot
 Narowal
 Sheikhupura
 Chakwal
The company operates through a well-established network of a number of

distributors. The company has two types of delivery systems i.e.
 Direct delivery system
 Indirect delivery system
The basic difference between the direct and the indirect delivery system is
that in a direct distribution system, the company spends its own resources
while in an indirect distribution; the dealer spends his own resources on all
the factors which increases the sales volume:
DIRECT DELIVERY SYSTEM
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Manufacturer Retailers Customers
INDIRECT DELIVERY SYSTEM
Manufacturers distributor Retailers

Customers
Most importantly, this direct delivery system is present only in Gujranwala

franchise in Pakistan. The company also has its depots (remote depots) in
different cities. It helps a lot in increasing its sale and directing the
distribution system. They are in
 Sialkot
 Gujrat
 Shahdara
 Jehlum
 Sheikhupura
 Narowal
HISTORY AND FUTURE PLAN
THE SUMMER OF 1898, AS USUAL, WAS HOT AND HUMID

IN NEW BERN, NORTH CAROLINA. SO A YOUNG
PHARMACIST NAMED CALEB BRADHAM BEGAN
EXPERIMENTING WITH COMBINATIONS OF SPICES, JUICES,
AND SYRUPS TRYING TO CREATE A REFRESHING NEW
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DRINK TO SERVE HIS CUSTOMERS. HE SUCCEEDED BEYOND

ALL EXPECTATIONSBECAUSE HE INVENTED THE BEVERAGE
KNOWN AROUND THE WORLD AS PEPSI-COLA.
Caleb Bradham knew that to keep people returning to his

pharmacy, he would have to turn it into a gathering place. He did
so by concocting his own special beverage, a soft drink. His
creation, a unique mixture of kola nut extract, vanilla and rare
oils, became so popular his customers named it "Brad's Drink."
Caleb decided to rename it "Pepsi-Cola," and
advertised his new soft drink. People responded,
and sales of Pepsi-Cola started to grow, convincing
him that he should form a company to market the
new beverage
In 1902, he launched the Pepsi-Cola Company in

the back room of his pharmacy, and applied to the
U.S. Patent Office for a trademark. At first, he mixed the syrup
himself and sold it exclusively through soda fountain.
He mixed the syrup himself and sold it exclusively through soda

fountains. But soon Caleb recognized that a greater opportunity
existed to bottle Pepsi so that people could drink it anywhere.
1903, "Pepsi-Cola" was officially registered with the U.S. Patent

Office. That year, Caleb sold 7,968 gallons of syrup, using the
theme line "Exhilarating, Invigorating, Aids Digestion." He also
began awarding franchises to bottle Pepsi to independent
investors, whose number grew from just two in 1905, in the cities
of Charlotte and Durham, North Carolina, to 15 the following year,
and 40 by 1907. By the end of 1910, there were Pepsi-Cola
franchises in 24 states.
Pepsi-Cola's first bottling line resulted from some less-than-

sophisticated engineering in the back room of Caleb's pharmacy.
Building a strong franchise system was one of Caleb's greatest
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achievements. Local Pepsi-Cola bottlers, entrepreneurial in spirit

and dedicated to the product's success, provided a sturdy
foundation. They were the cornerstone of the Pepsi-Cola
enterprise. By 1907, the new company was selling more than
100,000 gallons of syrup per year.
1898 Caleb Bradham’s, a New Bern, North Carolina, pharmacist,

renames "Brad's Drink," a carbonated soft drink he created to
serve his drugstore's fountain customers. The new name, Pepsi-
Cola, is derived from two of the principal ingredients, pepsin and
kola nuts. It is first used on August 28.
1903 In keeping with its origin as a pharmacist's concoction,

Bradham's advertising praises his drink as "Exhilarating,
invigorating, aids digestion."
1905 A new logo appears, the first change from the original
created in 1898
1920 Pepsi appeals to consumers with, "Drink Pepsi-Cola. It will

satisfy you."
1938 The trademark is registered in the Soviet Union.
1941 In support of America's war effort, Pepsi changes the color

of its bottle crowns to red, white and blue. A Pepsi canteen in
Times Square, New York, operates throughout the war, enabling
more than a million families to record messages for armed
services personnel overseas.
1950 "More Bounce to the Ounce" becomes Pepsi's new theme as

changing soft drink economics force Pepsi to raise prices to
competitive levels. The logo is again updated.
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1953 Americans become more weight conscious, and a new

strategy based on Pepsi's lower caloric content is implemented
with "The Light Refreshment" campaign.
1958 Pepsi struggles to enhance its brand image. Sometimes

referred to as "the kitchen cola," as a consequence of its long-
time positioning as a bargain brand, Pepsi now identifies itself
with young, fashionable consumers with the "Be Sociable, Have a
Pepsi" theme. A distinctive "swirl" bottle replaces Pepsi's earlier
straight-sided bottle.
1963 In one of the most significant demographic events in

commercial history, the post-war baby boom emerges as a social
and marketplace phenomenon. Pepsi recognizes the change, and
positions Pepsi as the brand belonging to the new generation-The
Pepsi Generation. "Come alive! You're in the Pepsi Generation"
makes advertising history. It is the first time a product is
identified, not so much by its attributes, as by its consumers'
lifestyles and attitudes.
1964 A new product, Diet Pepsi, is introduced into Pepsi-Cola

advertising.
1973 Pepsi Generation advertising continues to evolve. "Join the

Pepsi People, Feelin' Free" captures the mood of a nation involved
in massive social and political change. It pictures us the way we
are-one people, but many personalities.
1976 "Have a Pepsi Day" is the Pepsi Generation's upbeat

reflection of an improving national mood. "Puppies," a 30-second
snapshot of an encounter between a very small boy and some
even smaller dogs, becomes an instant commercial classic.
1982 With all the evidence showing that Pepsi's taste is superior,
the only question remaining is how to add that message to Pepsi
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Generation advertising. The answer? "Pepsi's got your Taste for

Life!" a triumphant celebration of great times and great taste.
1990 Teen stars Fred Savage and Kirk Cameron join the "New
Generation" campaign, and football legend Joe Montana returns in
a spot challenging other celebrities to taste test their colas
against Pepsi. Music legend Ray Charles stars in a new Diet Pepsi
campaign, "You got the right one baby."
1991 "You got the Right one Baby" is modified to "You got the
Right one Baby, Uh-Huh!" The "Uh-Huh Girls" join Ray Charles as
back-up singers and a campaign soon to become the most
popular advertising in America is on its way. Supermodel Cindy
Crawford stars in an award-winning commercial made to
introduce Pepsi's updated logo and package graphics.
1992 Celebrities join consumers, declaring that they "Gotta have

it." The interim campaign supplants "Choice of a New Generation"
as work proceeds on new Pepsi advertising for the '90s. Mountain
Dew growth continues, supported by the antics of an outrageous
new Dew Crew whose claim to fame is that, except for the unique
great taste of Dew, they've "Been there, Done that, Tried that."
1993 "Be Young, Have fun, Drink Pepsi" advertising starring

basketball superstar Shaquille O'Neal is rated as best in U.S.
1994 New advertising introducing Diet Pepsi's freshness dating

initiative features Pepsi CEO Craig Weather up explaining the
relationship between freshness and superior taste to consumers.
1995 In a new campaign, the company declares "Nothing else is a

Pepsi" and takes top honors in the year's national advertising
championship.
In 2000 PepsiCo sales are $20 billion and the company has
125,000 employees at year
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Now Pepsi is available in more than 200 countries of the world.
Pepsi slogan and logo

1902 Brad's Drink
1903 Exhilarating, Invigorating, Aids Digestion
1906 Original Pure Food Drink
1908 Delicious and Healthful
1915 For All Thirsts - Pepsi: Cola
1919 Pepsi: Cola - It makes you Scintillate
1920 Drink Pepsi: Cola - It Will Satisfy You
1928 Peps You Up!
1929 Here's Health!
1932 Sparkling, Delicious
1933 It's the Best Cola Drink
Double Size
1934
Refreshing and Healthful
1938 Join the Swing to Pepsi
1939 Twice as Much for a Nickel
1943 Bigger Drink, Better Taste
1947 It's a Great American Custom
1949 Why Take Less When Pepsi's Best?
1954 The Light Refreshment
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Refreshing Without Filling
1958 Be Sociable, Have a Pepsi
1961 Now It's Pepsi for Those Who Think Young
1963 Come Alive! You're in the Pepsi Generation
Taste that Beats the Others Cold, Pepsi

1967
Pours It On.
You've Got a Lot to Live, Pepsi's Got a Lot

1969
to Give
1973 Join the Pepsi People Feelin' Free
1976 Have a Pepsi Day!
Catch That Pepsi Spirit

1979
Take the Pepsi Challenge
1981 Pepsi's Got Your Taste for Life
1983 Pepsi Now!
1984 The Choice of a New Generation
1987 America's Choice
1989 A Generation Ahead
1992 Gotta Have It
1993 Be Young, Have Fun, Drink Pepsi
1995 Nothing Else is a Pepsi
1997 Generation Next
1998 Same Great Taste
1999 The Joy of Cola
2000 The Joy of Pepsi
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2003 Pepsi. It's the Cola
2010 Yes you can
Organizational structure
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Managing Director
Director
General
Manager
Sales Manager Sales Manager

(Local Sales) (Out Sales)
Plant Manger
Marketing &
Services Manager
Producti QC
on
Manager Manager
Purchas
Purchas
e Shippin
HR Audit MIS Store
e Finance g
Manage Manage Manage Manage Manag
Manage Manager Manage
r r r r er
r r
Assistant Manager
S&D Publicity
Marketing &
Mangers Manager
Services
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MAIN PRODUCTS OF PEPSI

Pepsi The flagship product and the best tasting beverage there is.
Diet Pepsi Great taste, with only one calorie.
Pepsi Vanilla Fresh new Vanilla taste
Diet Pepsi Vanilla Fresh new Vanilla taste with only one calorie
Pepsi One Great tasting with only 1 calorie.
Pepsi Twist Adds a twist of lemon to the great Pepsi taste.
Wild Cherry Pepsi Adds the flavor of cherry to the great Pepsi taste.
Mountain Dew Crystal clear and refreshing.
Code Red Mountain’s product
Aquafina Bottled water.
Mirinda Fruit drink.
DEPARTMENTS
(1) OPERATING DEPARTMENTS
• Procurement store
• Raw material purchase
• General purchases
• Purchase process
• Domestic and foreign purchase
(2) PRODUCTION DEPARTMENT
• Quality control
• Water treatment
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• Process of empty bottling filling

• Process of washing bottles
(3) H.R.M DEPARTMENT
• Structure of H.R.M Department

• No of employees working in H.R.M Department
• Functions of H.R.M Department
• Human Resource Planning and Forecasting
• Human Resource planning process
• Recruitment and selection
• Employees Selection Process
• Recruitment Process in NBC
• Model of result oriented need assessment
• Training in NBC
• Organizational management
STRUCTURE OF HR DEPARTMENT
Assistant to H.R Assistant to H.R

Manager (H.R Manager (H.R
Executive) Officer)
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H.R Helper
Number of employee working in the H.R.M Department:
Almost three employees working under the Human Resource

Manager but on the other hand 2500 employees working in PEPSI
(Naubahar Bottling Company) also manage the H.R department
with the coordination of the each department.
Major Functions
 Human Resource Planning and

Forecasting
1. HUMAN RESOURCE PLANNING:

Human Resource Planning Parallels the plans for the business as a
whole. HRP focuses on questions such as these:
i. What do the proposed business strategies imply with respect

to human resources?
ii. What kinds of internal and external constraints will (or do) we
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face?
iii. What are the implications for staffing, compensations
practices, training and development, and Management
succession?
iv. What can be done in the short run (tactically) to prepare for
long term (strategic) needs?
Although HRP means different things to different people, general

agreement exist on its ultimate objective-namely the most
effective use of scarce talent in the interest of the worker and
organization. Thus we may define HRP broadly as an effort to
anticipate future business and environmental demands on an
organization, and to provide qualified people to fulfill that
business and satisfy those demands. This general view suggests
several specific. Interrelated activities that together constitute an
HRP System.
They include:
 A talent inventory:
A talent inventory to assess current human resources (skills,

abilities, and potential) and to analyze how they are currently
being used.
 Human Resource Forecast:
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Human resource forecast to predict future HR requirements

(the number of worker needed, the number expected to be
available based on labor market characteristics, the skills mix
required, internal versus external labor supply)
 Action Plans:
Action plans to enlarge the pool of people qualified to fill the

projected vacancies through such actions as recruitment,
selection, training, placement,
Transfer, promotion, development, and compensation.
 Control and evaluation:
Control and evaluation to provide feedback on the overall

effectiveness of the human resource planning system by
monitoring the degree of attainment of HR objectives.
 Human Resource Planning Process
Issues Analysis
Business needs
External Factors
Internal supply
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Forecasting
Requirements
Staffing levels
Staffing mix
(Qualitative)
Action Plans
Staffing authorizations
Recruitment
Promotions and transfers
Organizational changes
Training and development
Compensation and benefits
Labor relations
 Human Resource Forecasts:
The purpose of human resource forecasting is to estimate labor

requirements at some future time period. Such forecasts are two
types.
 The external and internal supply of labor and
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 The aggregate external and internal demand for labor
o EXTERNAL AND INTERNAL SUPPLY
 Forecasting External Human Resource Supply

Recruitment and hiring new employees are essential activities
for virtually all firms, at least over the long run. Whether they are
due to projected expansion of operations or to normal workforce
attribution, forays into the labor market are necessary.
Managers in (PEPSI) Naubahar Bottling Company pay especially

close attention to forecasts of HR supply.
 Forecasting Internal Human Resource Supply
A reasonable starting point for projecting a firm’s future supply

of labor is its current supply of labor. Perhaps the simplest type of
internal supply forecast is the succession plan, a concept that has
been discussed in the planning literature for over 25 years.
Succession plans may be developed for management employees,
non management employees, or both. The process for developing
such a plan includes setting planning horizon, identifying
replacement candidates for each key position, assessing current
performance and readiness for promotion, identifying career
development needs, and integrating the career goals of
individuals with company goals.
JOB DESCRIPTION
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Job description also provide on the basis of the designation.

Job description form also provides in the written form to the each
department according to the designation of the employees then
each department provides job description to their employees.
Here the pay professional should standardize and complete the

job description that were found to be lacking or missing during
the initial audit and review.
Job description will serve as and anchor for the pay professional
.They will provide a comprehensive understanding of the
organization and will serve as the initial basis for job evaluation.
A written statement of what the worker actually does how

he or she does it and what the job’s working conditions
are
 Section of a typical job description;
 Job identification
 Job summary
 Responsibilities and duties
 Authority of incumbent
 Standards of performance
 Working condition
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 Job specification
 JOB IDIENTIFICATION;
• Job title
• FLSA status section
• Preparation date
• Prepared by
 JOB SUMMARY;
• Describe the general nature of the job
• Lists the major function or activities
 RESPONSIBILITIES AND DUTIES;
A list of the job’s major responsibilities and duties defines limits of

jobholder decision making authority, direct supervision and budgetary
limitation.
 STANDARD OCCUPTIONAL CLASSIFICATION;
Classifies all workers into one of 23 major groups of jobs which are
subdivided into further 96 minor groups of job and detailed occupations.
 STANDARED OF PERFORMANCE AND WORKING CONDITION
Lists the standard the employees expected to achieve under each of the
job description’s main duties and responsibilities.
Job description use for:
 New position
 For promotion
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 Recruitment
 Transfers
 Performance Management
 Career Planning
 Staff Planning
 Training and Development
Steps in the Job Description Process
Determine Design the

Method of Questionnaire
collecting Data
Identify the
Appropriate
incumbent
Review and Write the Draft Conduct the

Rewrite process or Results Interview
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Obtain Approval of
Incumbent and supervisor
JOB SPECIFICATION
 Specification for trained personnel
 Specification for untrained personnel
 Specification based on judgment
 Specification based on statistical analysis
 Recruitment and Selection;
A. Recruitment as a Strategic Imperative:
Recruitment is a form of business competition. Just as

corporations complete to develop, manufacture, and market the
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best product or service, so they must also complete to identify,

attract, and hire the most qualified people. Recruitment is a
business and it is big business. It demands serious attention from
management, for any business strategy will falter without the
talent to execute it. Certainly, the range of recruitment needs is
broad. A small manufacturer in a well-populated rural area faces
recruitment challenges that are far different from those of a high
technology firm operating in global markets.
B. The Employee Recruitment and Selection Process:
Job analysis
Specification of people/task
Requirements of jobs
Human
Resource Specification of human resources
Planning
Requirements
Recruitment
A pool of qualified candidates
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Initial
Screening A smaller pool of
qualified candidates
Selection
New Employees
Orientation
Understanding of Company /
Departmental policies, procedures
And benefits
Placement
Optimal match of employee
talents
With organizational needs
Training
Competence to perform
present or
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Future Job
requirements
Performance
Feedback regarding past and
Appraisal
Present job performance supervisor/

subordinate plans
for the future
RECRUITMENT PROCEDURE IN
NAUBAHAR BOTTLING COMPANY
 Major sources of potential job candidates are
 Newspaper Adds
 Internal Search Advertisement
 Employees Referrals (Permanent Employees of NBC)
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 Types of Recruitment
 Permanent Recruitment (Minimum Requirement

Intermediate)
 Daily Wages (At least Metric)
 Contract (Graduation and Master for one

year)
 The candidates are selected on the basis of
 Interview by HR Manager
 Interview by Factory Manager
 Interview by Concerned Department Head
 Final Interview by MD/Director
 Check list for newly hire employees
 N.B.C application form

 Application (own hand written)
 Original Resume
 Attested copies of academic certificates
 Four number of photographs (passport size)
 Salary evidence
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 Two reference with complete name, address, Designation and

contact number
 Driving license of the employee

 Interview evaluation form and test result
 Training and Development
Training Need Assessment
A. Basic Model
It shows that in defining training needs we have to start by identifying

and comparing two levels of performance: the standard (desired, optimum,
future, planned) performance level (PS) and the current (existing real)
performance (pc). The difference between these two levels is the
performance gap.
B. Defining the gap between current and desired

performance
The identification of current performance starts by fact-finding, which

consists of collecting information indicative of performance, describing and
measuring it. For example, the plant utilization may be chosen and
measured as global indicator of performance. The related competence
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problems of production managers may be in areas of production scheduling

and control, maintenance management, quality improvement and purchasing.
Factors other than the production managers’ competence (calling for non-training
solutions) may include a shortage of foreign exchange, the absence of any bonus
systems for stimulating better utilization of plant, and so on.
C. Structure of the needs
In applying the approaches described above, it is useful to be able to refer to

clear and generally acceptable ways of structuring the training and development
needs. This help to avoid confusion in what is meant by needs, and endless debates
on the differences between performance and competence, and so on. In particular,
it is useful to differentiate between the levels of organizational performance,
individual behavior and performance, and competence, this consist with the
postulate that training must be performance and result oriented.
 Organizational performance
 Individual behavior and performance
 Competence
APPLICATION PROCESS
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Transfer in
Attendance
& Application
Leave Form
Register
Application
Process
Submitted Check by
in time office
availability
Time Office of leaves
Fill up and
Signature of
Department
Head
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Model of results oriented needs

assessment
Spotting organizational
problems
Tracing problems to
their main causes and
areas
Recognizing individual
(group) performance
problem
Job analysis
Performance appraisal
Determining
performance
improvement needs
Separating Training
from non training
solutions
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Training needs and Non-Training needs and

solutions solutions
COMPENSATION MANAGEMENT
 Compensation
At a broad level, and organizational reward system includes any thing

and employee values and desires that an employer is able and willing to
offer in exchange for employee contribution.
More specifically, the reward system includes both financial and no

financial Rewards. Financial rewards include direct payments (e.g. salary)
plus indirect payments in the form of employee benefits.
Compensation program also manage in the time office. Salaries are

paid to the daily wages, contract and permanent employees according to
their designation. Salaries and plus benefits also provide to the employees.
REWARD SYSTEM
Financial Non Financial
1. Pension (60 years) 1. Petrol +

Maintenance
2. Direct Payments (Salaries) 2. Protection Program
3. Bonus (Three Basic Pay Annually) 3. Effective

Supervision
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4. Accommodation
5. Utilities bills
6. Vehicles
 SALARY
Salary of all the workers permanent and temporary (Daily Wages) is
prepared in time office with the help of attendance register. Salary of
permanent employee is prepared at the last of month and the salary of daily
wages workers twice a month. The increment is made when a worker
complete one year in service. Following deductions are made for preparation
of salary. The increment is made when a worker complete one year in
service. Following deductions are made for preparation of salary.
Salary Preparation
Daily Wages Permanent
Basic (daily wages) Rs. 81
Basic Pay 66.7 % of

gross pay
CLA- 1 Rs. 4
2
House Rent 40% of basic Pay
CLA- ii Rs. 2
Convene
Allowance Rs.3oo/-
CLA- iii Rs. 7
Other Allowances Rs.3oo/-
Special Excreta Rs. 7
EOBI Rs. 30/- (Deduct)
Adhock Relief Rs. 14
EOBI& ESSI 6%
(Company)
Total Rs.
116
 PROBATION PERIOD:
In the Naubahar bottling company the probation period of new employee

is three to six months in the probation period employee work routine wise.
There is no leave granted during the probation period.
2
In the probation period employee efficiency and effectiveness has been

check the permanent recruitment depends on the efficiency and
effectiveness of the employee. The probation period is necessary for the
newly hire employee it is the basis for permanent employee if the probation
period of the employee is satisfactory the employee will be hire permanently
if the probation is not satisfactory level then the employee will be dismiss.
During the probation period the salary will be given to the selected
candidate the salary will be start from the first month.
 RENT OR RESIDENCE FACILITY:
Rent or resident facility is given by company to those employees who are

from out of station/town/city. And their rent is paid by company.
 MEDICAL CARE:
The company provide the facility of Social security card to the

employee both permanent and daily wages. This card is issued by the
Employee Social Security Institute (ESSI). With this card an employee gets a
lot of benefits with pay anything. The social security card is allotted to these
candidates whose pay is up to 5ooo/-. Following documents are required to
achieve the social security card.
Social Security
Card
2
Application to the factory

manager
ID card of Employee
Detail of depended
persons
Registration Card (ESSI)
Affidavit of Parents Form
Medical Fitness Form
ID Cars of
Dependents Persons
 TRANSPORTATION:
Transportation allowance is given to only permanent employees which is

included in their salary. The amount of conveyance allowance vary from job to
job depend on status of job. Transportation allowance is included in their salary in
the name of CONVEYANCE ALLOWANCE.
 CHANGES WITHIN THE ORGANIZATION
 Promotion
 Transfer
 Demotion
2
1. Promotion
Promoted employees usually assume greater responsibility and authority

in return for higher pay, benefits, and privileges, psychologically, promotions
help satisfy employees needs for security, belonging, and personal growth.
Promotions are important organizational decisions that should receive the
same careful attention as any other employment decision.
 Promotion in NBC
 An employee Promoted after three years services in NBC but only on

permanent basis.
 On the other hand if en employee has intermediate qualification and
during the job he complete his graduation he will be promote
2. Transfer
Transfer function performs in NBC. There are two types of Transfer
 Transfer with NOC

 Transfer without NOC
 Transfer With NOC
If an employee transfer from department to any other department NOC is

necessary for transfer. For example an employee transfer from production
to shipping NOC is necessary for transfer.
 Transfer without NOC
2
An employee can transfer from sale department to sale department

without NOC. For example an employee transfer from Gujranwala to Gujarat
in sale department NOC is not necessary
2. Demotion
Employee demotions usually involve a cut in pay, status, privilege, or

opportunity, they occur infrequently since they tend to be accompanied by
problems of employee apathy, depression, and inefficiency that can
undermine the morale of a work group. For these reasons, many managers
prefer to discharge or to move employees laterally rather than demote them.
 SEPRATION
1) Layoffs
2) Retirements(PENSION)
3) Resignations
1. Layoffs
How safe is my job? For many people that is the issue of the late
1990s. It is becoming clear that corporate cutbacks were not oddity of the
1980s and 1990s, but rather are likely to persist.
Involuntary layoffs are never pleasant, and management policies must

consider the impacts on those who leave, on those who stay, on the local
community, and on the company
2. Retirements(PENSION)
2
For selected employees, early retirement is possible alternative to being laid

off. Early retirement programs take many forms, but typically they involve
partial pay stretched over several years, along with extended benefits. Early
retirement programs are intended to provide incentives to terminate; they
are not intended to replace regular retirement benefits. Any losses in
pension resulting from early retirement are usually offset by attractive
incentive payments.
In NBC no early retirement is not possible pension are paid after retirement
to those employees who are more than 60 years of age.
3. Resignations
Resignation, or voluntary worker turnover, has been increasing steadily over

the past 15 years, particularly among white-collar and professional workers.
Employees who resign should avoid burning their bridges behind them,
leaving anger and resentment
In their wake; instead, they should leave gracefully and responsibly,

stressing the value of their experience in the company.
In NBC early resignation is possible who will resign from the company; he
must deprive from the benefits of the company.
 LEAVE SYSTEM\\VACATION CRITERIA:

Like other multinational companies Naubahar Bottling Company
(NBC) Allot to the permanent staff different kind of leaves. Weekly rest day
and other holidays declared by the Government of Pakistan around the year
enjoy every permanent employee of NBC. Except all above leaves the
company allotted the following holidays to the permanent workers.
2
 Causal Leaves
When a permanent employee completes his probation period of three month
(Extendable if required) he has awarded ten (10) causal leaves which one can avail
in any cause of emergency with full pay. A worker can not avail all the leaves
(Expect Special causes) at once he can maximum four (4) leaves can avail at once.
 Medical Leaves
Sixteen (16) Medical leaves are given to the permanent employee for the
period of one year. A Permanent employee can avail these leaves with half pay. If
the employee goes on leave for more then 4 leaves then he would have to present
the Medical certificate in which his disease and rest mentioned.
 ANNUAL LEAVES
When a permanent employee complete his one year in this company, He is eligible to
avail the fourteen (14) annual leaves for any visit purpose with his family with full pay. Mostly
these holidays are allotted to the workers in off season. If a worker did not avail these leave
Then it transfers it into his account. But only two year vacations are recorded and
two year it did not transfer to the previous balance.
 Leaves Against Over Time
In Naubahar Bottling Company (NBC) at officer & supervision level did not
pay against over time. He can change his overtime to a leave. Every body
can not do over time. Only those persons those who are permitted by the
department head.
2
Types of
Leaves
Causal Medical Annual Over time

Leaves Leave Leaves leave
 CRITERIA OF LEAVE APPLICATION

When a permanent employee wants to a leave he gets an application form
from the time office. First of all the time office staff checked that is there
availability of leaves in his account, if yes then the concern person marked
the application that many leaves in his account. After that the applicant fills
up this application for and then signature from hiss concern head of the
department. After fill up this form submitted in the time office and the time
office staff transfer it in the attendance and leaves register according to their
department.
 OVER TIME APPLICATION

To avail over time following process is completed by the applicant.
 INTIMATION FORM
2
First of all a intimation form is filled by the applicant and then he go to

his manager for sign that he is need to department for over time. After
the signature of manager this for is submitted in the time office.
 OVER TIME/ALLOWANCE FORM

Now after submitted the intimation form the applicant submit a form in
the time office and the time office person transfer this from application
to the over time register in which is against over time are recorded.
WEAKNESSES IN HR DEPARTMENT
1. Policies have been developed but not implement.
2. The employees did not promote soon that’s why employees
leave the factory.
3. New employee’s salary is more than old employees.
4. Lose the key employees because of the reference.
5. One person handles all the recruitment procedure of the
N.B.C which may be burden for him.
6. HRM department in NBC is not working professionally .Only
two to three persons are handling all the work.
H.R.M functions are more but employees working in H.R.M
Department are less.
OBSERVATINS AND SUGGESTIONS

There should be proper planning by:
 Assessing current human resource standards & generating human
2
resources inventory.
 Assessing future human resources needs by organization’s strategies &
future programs.
 After assessing current capabilities of future needs a program should
be developed to have right person for the right job & at right time.
 At the moment, HR department is itself facing staffing problem & it
seems to be non existent.
 The selection process through which candidates pass is very slow &
time consuming pass is very slow and time consuming. Candidate have
to sit day long waiting for management approval to start test & then.
There is service of interviews which have no time table. It is generally
three four days patience test & trouble some for candidates from other
cities or already doing jobs.
 For the medical bills and small loan employees need to get managing
director’s approvals and then pass through a long procedure. It
should be simplified. Department heads should be authorized to
approved loans and medical bills up to a certain amount.
 Computer & job related aptitude test should also be made part of
selection tests to have better job personality fit.
 Formal training is conducted but that is due to ISO department not with
the planning/efforts of HR department.
 Performance appraisal has only once but it was a useless exercise
because its results were not used in future planning or changes.
Performance appraisal should be conducted:
 To know development & training needs of employees.
 To get performance feed back.
 Anticipate direction for future performance
 To change/ compensation system.
2
There is not idea of planned career development in NBC. Career

development can be in term of job rotation, transfer & promotion. It
improves the organization's ability to attract of retain talented people,
anticipating change & helping employees to learn new skills and improve
utilization of a personal abilities.
Motivation is the willingness to exert high level of effort to reach

organizational goals. The general level of motivation in NBC employees is
very low and they are dissatisfied with their jobs and pay scales. Only best
employee of the month program is implemented highlight employees whose
work performance is excellent.
There would be lobbies or affiliations in the organization. These should
2
be canalized in positive approach e.g. mentoring, communication link instead

of source of conflicts.
Teams (functional, self-managed, cross functional, problem solving)

should be to speed decisions, increase performance, facilitate cooperation &
improve employee morale.
There must be some channel to communicate employees

problem/suggestion/comments directly to top management e.g. suggestion
box. These suggestions should be discussed in quality control meetings.
No attitude surveyor any internal research has ever conducted by the HR

department to get.
Employees in NBC are performing well but they have low level of
motivation. Absenteeism is controlled because total forty annual leaves are
allowed but more important reason it that employees feel self responsibility.
However the alarming indicators are turnover and job satisfaction. The
organization is facing high turnover rate and employees are dissatisfied with
their jobs and pay scales. Experienced staff is leaving the organization or
searching for opportunities. With the kind attention and efforts of general
manager & deputy general manager, the situation is improving. Qualified &
young people are joining the organization. The pay scales of metric,
intermediate & graduate employees are revised. However much more is
needed to do in this regard.
RECOMANDATIONS
In PEPSI (NBC) Human Resource Department must expand the

strength of its employees
2
 Assess current human resource standards & generate

human resources inventory.
 Assess future human resources needs by organization’s
strategies & future programs.
 To know development & training needs of employees.
 Anticipate direction for future performance
 Formal training conduct with the planning/efforts of HR
department.
 Perform all the functions of Human Resource Department
more efficiently and effectively.
GOLSSARY
ESSI: Employ Social Security Institute
EOBI: Employ Overage Benefits Institute
TIME OFFICE: Establishment department is under the human resource manager. Time
office of NBC is the part of establishment department. This office is lead by an office in
charge under the guidance of factory manager (Head of Establishment Department). The
2
main purpose of this department (Time Office) is to keep record of the entire employee
that is working in the Naubahar Bottling Company (NBC)
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HUMAN RESOURCES MANAGEMENT

COMSATS Institute of Information &

First of all we thank Allah Almighty the most beneficent

We would like to acknowledge,

MAM FUKAIHA KAKAKHAIL

NAUBAHAR BOTTLING COMPANY

The manners we required.

PepsiCo, Inc., incorporated in 1919, manufactures,

Our Honorable Teachers & Loving Parents

Love, Affection, Motivation, Patience, Support

To all those People who have quenched for

To all those who have dedicated their lives to

To all of those who have served and sacrificed for

To all of those people, they may be gone now

But they will never be

 Human resource department

• Structure of human resource department

 Human resource planning

 Human resource planning process

 Forecasting human resource demand

 Responsibilities and duties

 Authority and incumbent

 Specification for untrained personnel

 Specification based on judgment

 Specification based on statistical analysis

• Recruitment and selection process

• Training and development

 Social security card

• Changes within the organization

• Weakness in human resources department

“The mission is to produce PepsiCo quality

“The Vision of the company is to continue to build

Pepsi cola is also very popular in Pakistan

These franchises are located in PAKISTAN

Naubahar bottling company

Naubahar Bottling Co. (Pvt.) Ltd. (NBC) is one of the nine

manufacturing and marketing business with Pepsi Cola in May 27,

The company operates through a well-established network of a number of

 Direct delivery system

 Indirect delivery system

DIRECT DELIVERY SYSTEM

Manufacturer Retailers Customers

INDIRECT DELIVERY SYSTEM

Manufacturers distributor Retailers

Most importantly, this direct delivery system is present only in Gujranwala

HISTORY AND FUTURE PLAN

THE SUMMER OF 1898, AS USUAL, WAS HOT AND HUMID

DRINK TO SERVE HIS CUSTOMERS. HE SUCCEEDED BEYOND

Caleb Bradham knew that to keep people returning to his

In 1902, he launched the Pepsi-Cola Company in

He mixed the syrup himself and sold it exclusively through soda

1903, "Pepsi-Cola" was officially registered with the U.S. Patent

Pepsi-Cola's first bottling line resulted from some less-than-

achievements. Local Pepsi-Cola bottlers, entrepreneurial in spirit

1898 Caleb Bradham’s, a New Bern, North Carolina, pharmacist,

1903 In keeping with its origin as a pharmacist's concoction,

1920 Pepsi appeals to consumers with, "Drink Pepsi-Cola. It will

1938 The trademark is registered in the Soviet Union.

1941 In support of America's war effort, Pepsi changes the color

1950 "More Bounce to the Ounce" becomes Pepsi's new theme as

1953 Americans become more weight conscious, and a new

1958 Pepsi struggles to enhance its brand image. Sometimes

1963 In one of the most significant demographic events in