HR Transformation at Attock Refinery Limited. Asif Saeed. Attock Refinery Limited Rawalpindi, Pakistan

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1 HR Transformation at Attock Refinery Limited Asif Saeed Attock Refinery Limited Rawalpindi, Pakistan 1

2 1. Introduction and Background of ARL S E S S I O N T R A I L E R 2. Organizational Change General View 3. Why Change At ARL? 4. Our Philosophy 5. Stepping Stone- Psychological Contract 6. Promoting HR Best Practices at ARL 7. Change Impact Analysis 8. Key Lessons Learned 2

3 INTRODUCTION AND BACKGROUND OF ARL 1 3

4 A T T O C K G R O U P P R O F I L E ARL is a member company of Attock Group of Companies, a fully integrated group covering all segments of oil and gas industry from exploration to production, and refining to marketing of a wide range of petroleum products in Pakistan. ARL is strategically located upcountry in the north of Pakistan and caters to the petroleum products requirements in its region of location and beyond. ATTOCK REFINERY LIMITED NATIONAL REFINERY LIMITED PAKISTAN OILFIELDS LIMITED ATTOCK PETROLEUM LIMITED ATTOCK CEMENT PAKISTAN LIMITED ATTOCK GEN LIMITED ATTOCK HOSPITAL (PVT.) LIMITED ATTOCK INFORMATION TECHNOLOGIES SERVICES (PVT.) LIMITED 4

5 A T T O C K R E F I N E R Y L I M I T E D History Since its commissioning in 1922, ARL has passed through various stages of transformation and stood the test of time through war and peace. From batch distillation stills of 2,500 barrels per day (BPD), today it has grown into a modern state-of-the-art refinery with a capacity of 43,000 BPD. It was subsequently converted into a Public Limited Company in June 1979 and is listed on the three Stock Exchanges of the country. The company is also registered with the Central Depositary Company of Pakistan (CDC). 5

6 A T T O C K R E F I N E R Y L I M I T E D VISION To be a world class and leading organization continuously providing high quality diversified environment friendly energy resources and petrochemicals. MISSION We will utilize best blend of state-of-the-art technologies, high performing people, excellent business processes and synergetic organizational culture thus exceeding expectations of all stakeholders. 6

7 Our success will not be a matter of chance, but of commitment to the following enduring beliefs and values that are engrained in the way we think and take actions to pursue a climate of excellence: A T T O C K Integrity & Ethics Quality Integrity, honesty, high ethical, legal and safety standards are cornerstones of our business practices We pursue quality as a way of life. It is an attitude that affects everything we do for relentless pursuit of excellence R E F I N E R Y L I M I T E D Social Responsibility Learning & Innovation Teamwork Empowerment We believe in respect for the community and preserving the environment for our future generations and keeping National interests paramount in all our actions. We embrace lifelong learning and innovation as an essential catalyst for our future success. We believe in continuous improvement and to seize opportunities inherent in change to shape the future We believe that competent and satisfied people are the company s heart, muscle and soul. We savour flashes of genius in organisation s life by reinforcing attitude of teamwork and knowledge sharing based on mutual respect, trust and openness We flourish under an ecosystem of shared understanding founded on the concept of empowerment, accountability and open 7 communication in all directions

8 ORGANIZATIONAL CHANGE GENERAL VIEW 2 8

9 Individual Change Approaches Teams Organization From a current state to a desired future state Includes Both organizational change management processes Individual change management models 9

10 WHY CHANGE AT ARL? 3 10

11 Age inertia Technology Processing Capability Competition-New Refineries Deregulation of Petroleum Sector Stringent Product Specifications Retention of Trained Human Resource Exports-New Markets 11

12 Diversification of Operations Corporate Social Responsibility Profit/Shareholder s value In 2005, ARL management vowed to transform its corporate culture from comfort zone to performance based organization 12

13 OUR PHILOSOPHY 4 13

14 To own change as a way of life Continuous improvement and to seize opportunities inherent in change to shape the future was the bottom-line of this process 14

15 STEPPING STONE- PSYCHOLOGICAL CONTRACT 5 15

16 THINK!! Why employee make expectation??? Why the management cares for them??? 16

17 PROMOTING HR BEST PRACTICES AT ARL 6 17

18 Company Wide Climate Surveys Promoting Open Communication Embedding Core Values from the Grass Root Levels Introducing Formal Coaching, Counseling & Mentoring Forming Help Desks in different areas Intra/ Inter departmental meetings to improve better Coordination 18

19 Start of Formal Career & Succession Planning of staff featuring cross functional rotation Strengthening of Induction Process Synchronization of T & D with Career Planning Start of Performance Improvement Program through cross functional teams Implementation of Structured rotation of Manpower 19

20 Revamping of Grievance Handling Procedure Inculcating learning culture through Conferences Skill Development Programs Transformation & communication of HR policies Strengthening of Performance Management System Copyright 2008 Attock Refinery Limited. All rights reserved Employee Relations Manual Attock Refinery Limited 20

21 Organizational Restructuring & Manpower Planning Empowerment through revision in Company wide Limits of Authority Revamp of the entire recruitment process Revision of Employment terms and Conditions Adjustment in compensation practices 21

22 Strengthening of CBA Management Relations based on mutual respect and principles Revamping Outsourcing Procedures Implementation of Rewards & Recognition Procedures Alignment in Refinery Timing & Holidays Improvement in Working Conditions Promoting family involvements through different events 22

23 CHANGE IMPACT ANALYSIS 7 23

24 BAROMETER FOR CHANGE INITIATIVES Key Performance Indicators Employee Turnover Behavioral Safety Audits Safe-man-hours Training Hours Removing Anomalies in Employment terms Employee Grievances Received Reduction in Lead time of Annual Appraisals Announcements Process Improvement Suggestions Reduction in Recruitment Lead Team Copyright 2008 Attock Refinery Limited. All rights reserved Employee Relations Manual Copy right 2007 Attock Refinery Limited. All rights reserved Key Performance I ndicators Catalog Attock Refinery Limited 24

25 BAROMETER FOR CHANGE INITIATIVES Exit Interviews Post & After Surveys Feedbacks Review and Implementation of Corporate Targets Winning of HR Best Practices Awards Formation of different Committees to ensure the smooth implementation of change program at ARL Copyright 2008 Attock Refinery Limited. All rights reserved Employee Relations Manual Copy right 2007 Attock Refinery Limited. All rights reserved Key Performance I ndicators Catalog 25 Attock Refinery Limited

26 KEY LESSONS LEARNED 8 26

27 First the People then the strategy. Goals and values alignment is the key. Confront the brutal facts of the game. Respond to technological changes with thoughtfulness and creativity. 27

28 Sustainable transformations follow a predictable pattern of buildup and breakthrough. Keep everyone to remain focused on the plan. Top Team has to walk the talk. Reward risk-takers, innovators and learners. Hire well (4E+P). Be flexible and trust your people. 28

29 Build a top team that fosters innovation and focuses on growth. Budgeting (Breaking the rituals). Power of differentiation Empowerment Identifying change agents Extend our networks to share, learn and consolidate our resources. Create mentors who are exceptional role models 29

30 - Larry Bossidy, former Chair and CEO of Honeywell

31 THANKS 31

FROM COMFORT ZONE TO A PERFORMANCE ZONE

FROM COMFORT ZONE TO A PERFORMANCE ZONE FOM COMFOT ZONE TO PEFOMNCE ZONE Compa ny sif Saeed Manager (H & ) ttock efinery imited asif@arl.com.pk 1. Introduction and Background of ttock efinery imited () 2. Organizational Transformation General

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