1. WOMAN OF SUBSTANCE EXCLUSIVE INTERVIEW INTERVIEW
IN THE FACE OF BEAUTY CULTURE OF COMMITMENT IS THE ONE TEAM, ONE TARGET—
MASSARAT MISBAH KEY TO OUR PROGRESS--CEO KSB HAIER PAKISTAN

4. EDITOR’S
NOTE
Mail
Box
MAKING THE DIFFERENCE
Manager Today is penetrating into the corporate sec-
eceiving the 4th issue of ne of my students brought
tor of Pakistan with admiration and suggestions from
the whole industry. These responses are showing R Manager Today greeted me
enough to make me call the
O a copy of Manager Today
for me a few days back. I could
that many of the corporate issues were left unad-
dressed since long. Thus, addressing these subjects, team and congratulate people read it after a few days and I ab-
the fifth issue on your tables is packed with all cur- doing this job in such a well man- solutely liked the idea behind
rent matters faced by the managers in Pakistani or- ner. this publication. Local matters
ganizations. Topic and image representing faced by managers in Pakistani
Unemployment being at the top of present day chal- workplace harassment on the companies are presented in a
Ijaz Nisar lenges is presented in the cover story ‘Job creation
Editor-in-Chief title pulled all of my attention very general and understand-
through developing entrepreneurs’. Due to the slug-
gish economic activity in the country jobs can only while on opening it up; I could able manner that everyone can
be create through promoting self employment. not resist reading the whole enjoy the reading. The style of
The cover story is also supported by a survey bring- content discussing indigenous matters is
ing opinions of influential people from different in- Articles and the interviews inside simple and non technical; mak-
dustries. were very informative supported ing it interesting for all.
An exclusive forum with the students of IBA, Punjab by the images. I would like to Dr. Shabbir Rana
University is a revealing dialogue voicing the aspira- mention that I fell spell bound Government College University
tions of Pakistani youth. During this forum Manager seeing the image in an article ________________________
Today could explore the mind set of young genera-
named Visualization, it was ab-
tion particularly for their future career orientation.
solutely amazing that I loved! am an income tax officer in
This segment is meant to get a direct peep into the
minds of future entrepreneurs who can create work Huma Iqbal
Islamabad
I Faisalabad. There was a com-
plementary copy of Manager
opportunities and increase the rate of employment
in the country. How to set a company culture is well ________________________ Today in the office, which was
advised by Philip Lall, and also the recipe of estab- highly praised by my boss. Lis-
lishing future proof corporations is suggested by anager Today has arisen as tening to his words of applause I
Massod Ali Khan in this issue. Other articles include
‘sales objections’, which is an advisory for sales per-
M a breath of fresh air, re-
freshing the corporate environ-
picked up the magazine to scru-
tinize it critically.
sons. The ABC of communication is well brought by
ment. Something I felt needed; is a
Faiez H. Seyal while dilemma of performance man-
agement is discussed at length by Atif Tufail. I like this publication. more technical and research
An exclusive meeting with Massarat Misbah is open- Mohsin Iqbal based data on different manage-
ing that she is a true woman of substance being a Head HR Haier Pakistan ment issues present in public
successful entrepreneur with a great zeal for serving ________________________ and private companies in Pak-
women victims of violence through her foundation istan. Hope it will improve the
‘Smileagain’. The other exclusive interviews in the ot belonging to the corpo- quality and influence of the mag-
magazine are highlighting the management skills of
CEO Haier Pakistan and the CEO KSB Pumps.
N rate sector of the country, I
picked up the magazine from the
azine.
Mustafa Malik
Completing the 5th issue of Manager Today, I wish all
rack of a book store, feeling that Income Tax officer
of my readers a blissful year ahead as we are stand-
ing at the end of the year 2009. As like every other I also need to know manage-
Pakistani I also pray for an eternal peace and ment tactics being the principal
progress for the motherland particularly pure of the of a school. And its no wonder
horrendous incidents of terrorism. that I got it subscribed for the
whole year only on the next day.
Mrs. Zeenat Awan
Lahore
INSPIRED? MOTIVATED? DID YOU LIKE WHAT YOU READ?
If you find ManagerToday inspirational for the personal and professional development, do inform us. You can also contribute with
your articles, suggestions and recommendations at: Email: editor@themanagertoday.com, managertoday@hotmail.com
Website: www.themanagertoday.com, Ph: 0423 5792066, 0423 5817048, 0323 4443482,0300 4521298
Don’t forget to mention your full name, postal address and phone number on your letters.

5. MANAGER TODAY’S
CONTRIBUTORS
DR NOOR UL AIN FATIMA signing & construction firm ‘Takhleeq Designing and SHAKIL A. CHAUDHARY
is a civil servant by profession Management Consultants’. He is committed to help earned his MSc and MPhil in in-
and a medical doctor by train- individuals and organizations reach personal and pro- ternational relations at the Quaid-
ing. She did her MBBS from fessional excellence. i-Azam University, Islamabad. In
King Edward Medical University Email: takhleeqdesigning@yahoo.com 1994, he won a Chevening
in 2005. She got first position scholarship that enabled him to
in CSS in 2008 and got allocated BILAL ILLAHI do his master’s in media and communications at the
to District Management Group. She takes a keen in- is an eminent business consult- London School of Economics. He has worked as a copy
terest in writing articles on health and current affairs. ant & trainer. He has conducted editor for several English-language newspapers. He has
Email: lala1447@yahoo.com workshops/seminars for MCB, also worked as a political analyst at the Australian High
The Institute of Chartered Ac- Commission and US Embassy. He is a British Council-
SHAKEEL AHMED countants of Pakistan (ICAP), certified management trainer and an executive member
has a keen interest in motiva- Habib Bank Ltd, The Bank of of the ICI-British Council Management Centre. He is
tional reading and writings. Punjab, Bank Alfalah, UBL, ABL, PSO, NIBAF (State about to publish a bilingual guidebook for the benefit of
Running a successful personal Bank of Pakistan), etc. on topics relating to Macro-Eco- those who wish to improve their English skills. He en-
business, he spares a good nomics and Management. Having an MBA’s degree joys reading self-improvement books.
amount of time to attend and from the USA, he is working as an entrepreneur since
lead training sessions on soft 1980. He is also visiting professor at top level local & ATIF TUFAIL
skills and motivational stuff. foreign business schools. His articles are regularly pub- is serving a US-based Informa-
Email: kamyabzindagi@gmail.com lished in Dawn and Business Recorder. tion Technology company as
Email: b_ilahi@yahoo.com head of human resources these
PROF. BASHARATULLAH days. He is managing all human
MALIK PHILIP S. LALL resource functions like recruit-
has a diverse and rich blend of Philip S. Lall is an MBA from ment, performance manage-
experience in general manage- IBA, Karachi, also holding the ment, training and compensation & benefits.
ment, marketing and HRM, of UNDP, US-AID and UNCTAD- prior to his current work commitment, he added value
above 33 years with different GATT Fellowships. He is at Aitchison College Lahore as a faculty member and
multinational organizations. He presently serving as the CEO, human resources advisor for a decade.
has an excellent experience of teaching management Pro-Cel Consulting, Lahore. He did masters in Physics from GCU Lahore and mas-
and marketing related courses at masters level at ac- He has 41 years of marketing, consulting and train- ters in HRM from University of the Punjab. Now a
credited universities of Lahore like UMT, COMSATS, ing experience, including 24 years with Pakistan Insti- days, he is also preparing for 'Global Professional in
IQRA and AIOU. At present, he is associated with tute of Management. Human Resources' GPHR certification offered by So-
University of Central Punjab (UCP) as assistant pro- Email: procel@lhr.comsats.net.pk ciety for Human Resources Management, USA.
fessor and head of CMER & CAL. Email: attiexpert@gmail.com
Email: Basharatullah_malik@yahoo.com SAGHIR AHMED
is a seasoned sales trainer who FAIEZ H. SEYAL
MASOOD ALI KHAN studied and taught sales, manage- a best selling author, coach,
has many years of experience of ment, customer service etc. at the speaker and a consultant,
senior management and leading Dale Carnegie Institute, California. blessed of influencing positive
positions in USA & Pakistan. He He is also very much interested in change in the lives of hundreds of
has been hotel group consultant writing thought provoking articles with guiding princi- people and hundreads of
for Holiday Inns Inc., USA. ples of sales and marketing. orqanizations throughout the world.
Presently, he is the chief execu- Email: lite4all@hotmail.com Learn more about and his work at
tive of one of the most innovative management, de- www.FaiezSeyal.com
December - January 2009-10 | MANAGER TODAY 5

6. PCPB # 303-M
MANAGER
TODAY
Editor-in-Chief
IJAZ NISAR
Editorial Advisor
SHAKEEL AHMED
Editor
NABEELA MALIK
COVER STORY
Art Director
FAIZ-UR-REHMAN
Designer
Job creation through developing entrepreneurship
It is very important to assist and equip people
with all the necessary information and
10
SHAH JAHAN (SHANI) guidance for establishing any of their own
business to earn livelihood not only for
Corporate Manager themselves but also for many around.
RASHEED HAYYAT
Operations Manager
Innovationtocombatunemployment
MUHAMMAD YASIR
Business Development Manager
M. JAVED IQBAL RAKIZAR
The brave new world of tomorrow belongs to
entrepreneurs and innovators.
16
Sales Manager
HASEEB NISAR INTERVIEW
Photographer
KAMRAN
One Team, one target—Haier Pakistan
Social commitment is an essential principle
underlying the corporate policy
18
Contributors guidelines of Haier Pakistan.
MASOOD ALI KHAN
FAIEZ H SEYAL
BILAL ILAHI MANAGEMENT
DR. NOOR-UL-AIN FATIMA
ATIF TUFAIL
PROF. BASHARAT ULLAH MALIK
What constitutes company culture?
A company’s ‘culture’ combines three aspects:
unwritten rules; implicit expectations of em-
20
SAGHIR ASHMED
SHAKEEL AHMED ployees and kind of values demonstrated in
SHAKEEL A. CHAUDHRY everyday work.
Legal Advisor
MUHAMMAD ZULFIQAR ALI BUTAR
ORG DEVELOPMENT
Publisher
LEADING EDGE
Printer
Future proof corporations
Leadership makes the followers want to
achieve high goals, rather than simply bossing
24
QASIM & NAEEM ART PRESS
HEAD OFFICE MANAGERTODAY people around.
PL-20 SIDDIQUE TRADE CENTRE
MAIN BOULEVARD, GULBERG III
LAHORE
Tel: 0423-5792066, 5817048
Cell: 0300 4521298
HUMAN RESOURCE
Dilemma of performance management
Performance management has turned into a
28
0300 8445208 ritual in Pakistan.
0323 4443482
email: info@themanagertoday.com
www.themanagertoday.com
www.leadingedge.com.pk
WOMAN OF SUBSTANCE
In the face of beauty - Masarrat Misbah 30

7. 34 COMMUNICATION
ABC of interpersonal communication
The rules of communication; from A to Z and may
be a good start to build or refine communication
skills.
38 EXCLUSIVE INTERVIEW
Culture of commitment is the key to our
progress-- CEO KSB
42 SALES
Sales objections are sales opportunities
Almost all sales management gurus agree that selling
doesn’t really start until the prospects raise objections.
46 MANAGER TODAY FORUM
IBA future managers
Manager Today conducted a forum at the Institute of
Business Administration (IBA) Punjab University to
get to know how the youngsters see career
opportunities for them.
48 IN-CAMPUS
Handling defiant students
Any emotional discussion with the confrontational
student will be sure loss to the teacher.
52 HEALTH
Superfoodsthatlowercholesterol
54 EXCLUSIVE EVENT
EidmillaneveningwithbankAlfalahclubs

8. 8 WISDOM
CORNER
WISDOM
CORNER
Quoteable Quotes
THE FEAR OF GOD The trouble with the world is that the stupid are cocksure and the intelli-
gent full of doubt.
MAKES ONE .................................................................................................... Bertrand Russell
It takes a strong fish to swim against the current. Even a dead one can
SECURE. float with it.
................................................................................................................John Crowe
...................HAZRAT ALI (A.S)
Man is always more than he can know of himself; consequently, his accom-
plishments, time and again, will come as a surprise to him.
...................................................................................................................Golo Mann
Whoever seeks and follows the advice of another, avoids many errors: whoever
acts, following no counsel but his own, exposes himself to the risk of making
many mistakes.
........................................................................................................ Hazrat Ali (A.S)
I wonder at the arrogance of a haughty and vain person. Yesterday he was
only a drop of semen and tomorrow he will turn into a corpse.
.........................................................................................................Hazrat Ali (A.S)
If you want to make enemies, try to change something.
......................................................................................................Woodrow Wilson
Take counsel even of an enemy, if he is wise: follow not the advice of an ig-
norant friend.
.........................................................................................................Hazrat Ali (A.S)
He who knows best knows how little he knows.
....................................................................................................Thomas Jefferson
The man of great meritoriousness is the one who can smoother his anger,
and not take advantage of his power.
.........................................................................................................Hazrat Ali (A.S)
8 MANAGER TODAY | December -January 2009-10

10. 10 COVER
STORY

11. IJAZ NISAR
T
here is always a saying that Pakistani economy ever offered
scarce employment opportunities which is a big hurdle in the
way of a progressing economy. Unemployment is called a cen-
tral problem because when unemployment is high, resources
are wasted and people could not find work to earn their liveli-
hood in a satisfactory way. In a depressed economy; not only
that people suffer financially but as its consequences they
start living tensed and mentally and emotionally disturbed. Un-
employment is measured annually as the percent of the labor
force that cannot find a job. The labor force comprises adults
who want to work and earn for them independently. At present
there are nearly three million people unemployed in Pakistan.
The year 2008 proved economically difficult for all the world
nations. A wave of economic meltdown came from Wall Street
and the economies of almost all developed and developing na-
tions flew with it. Multinationals faced a dire time to deter-
mine lay offs that tremendously increased the unemployment
ratio, dollar soared high and peoples’ purchasing power de-
clined sharply.
The International Labour Organization warned that two
years of global financial and economic meltdown could leave
over 50 million more people unemployed by the end of 2009,
risking social unrest, new estimates indicate that "global un-
employment in 2009 could increase over 2007 by a range of
18 million to 30 million workers, and more than 50 million if
the situation continues to deteriorate.
Economic depression forced companies to lay off a huge num-
ber of employees in an effort to survive by minimizing expendi-
tures, consequently unemployment surfaced as an instant
problem of every nation. Many multinational companies did
large scale downsizing. Pakistan has reached a critical stage
and joblessness is increasing daily. Moreover, downsizing in
many government offices and within the private sector have
exacerbated the problem.
The situation affected middle class strata of society the
most while middle class is the backbone of every economy
being the main buyer of consumer goods. This class enjoys the
comforts of life and is the principal buyer of cars, television,
refrigerators, washing machines, microwave ovens, vacuum
cleaner, personal computers, laptops and air conditioners.
Only eight months back when the dollar was valued at Rs62
the family earning only Rs1.06 million a year qualified in the
middle income group. If the purchasing power parity principle
was applied the family earning Rs830000 per year was among
the middle class. The recent wave of retrenchments has also
pushed many middle class families among low income groups.
No doubt a hundred per cent employment cannot be ensured
in any country, however, in the Pakistani context, factors min-
imizing employment opportunities are manifold i.e.
December - January 2009-10 | MANAGER TODAY 11

12. disturbance in the country is also squeez-
ing chances of foreign and even local in-
vestment.
SOCIAL STIGMA
The other big issue in Pakistanis the so-
cial stigma attached to losing a job. Losing
a job has more than just financial implica-
tions because people work long hours at
the workplace and are paid very well; their
families tend to believe that they play a cru-
cial role within the organization. If they were
to suddenly lose their jobs it is perceived as
a reflection on their competence. The so-
cial environment does not understand that
one can be asked to leave a job because
there is an economic downturn. The job cut
in Pakistan is more painful than developed
economies because there are no social
protection net work for the unemployed in
our society.
DOCILE INDUSTRIES
The local textile industry buys cotton at
import substitution rates because the local
production has fell short of industry de-
mand. This adds to cost as cotton consti-
tute 70 per cent of total input cost of yarn.
Construction industry that generally pro-
vides employment on daily wages basis has
not been impacted by the increase in mini-
mum wages. The informal sector that also
provides substantial employment has also
not implemented the minimum wage di-
rective as they operate outside the ambit
of law. The agriculture sector is also im-
mune from minimum wage law. Only the
registered productive sector has been af-
fected by this directive.
The workers now face the dual dilemma
of managing to keep their jobs intact and
balancing their budgets on the increased
POLITICAL INSTABILITY tion in Pakistan about which little attention minimum wage. Twenty three per cent in-
has been paid and which continues to de- creases in petroleum rates in past six
Political instability is one with the suc- teriorate. Budgetary allocations are very weeks, nine per cent increase in electricity
cessive governments failing to come up small for such an important sector with the rates and high food inflation during this pe-
with any substantial plan to tackle growing result that we are unable to produce qual- riod has increased their expenses more
unemployment. There is a vicious cycle of ity graduates at a tertiary level. The cur- than the increase in their wages.
unemployment and the mandarins at the riculum is outdated and the teachers are The creation of productive income-earn-
top don’t have a clue as to how to reduce not trained to meet modern day chal- ing opportunities to absorb the existing un-
it. lenges. employed people and the future labor force
remains a formidable task in the context of
LOW QUALITY OF EDUCATION LAW AND ORDER SITUATION resource constraint that Pakistan has
It all boils to the primary or basic educa- The day to day eruption of law & order been facing since last two decades and the
12 MANAGER TODAY | December -January 2009-10

13. inability of its planners to boost its indus-
trial sector through increased market ac-
Social experts warn that if the economy failed to
cess. turn around Pakistan might loss a sizable chunk
In the wake of such a deteriorating situ-
ation there is a dire need of planning for
of its middle class.
creating new opportunities for learned and
skilled lot. That may equip people to earn
their livelihood without falling a victim of job all the necessary information and guid- the customers.
search and depression of being unable to ance for establishing any of their own After considering these factors minutely,
find a suitable work opportunity. business to earn livelihood not only for a new business initiative can prove very
In this article, we would try to find solu- themselves but also for many around. successful where difficulties and chances
tions to the problem of unemployment The areas, about which they should be of failure would be little. However, in our
through exploring new options for creating guided include; a deep study of market country it happens very frequently that peo-
new jobs and developing entrepreneurs. based on a realistic and detailed analysis ple consider only on securing a healthy cap-
in relation to the demand and supply of ital that they may invest in plenty. While
JOB CREATION STRATEGIES the product or service, it should also capital alone can not ensure the success
A real assessment of circumstances make the margin of profit or loss very of any business if not backed by practical
show that the government alone cannot obvious; some formal education relating approach relating to all the factors dis-
ensure jobs for every person in the coun- to the business that may enable people cussed above. To improve employment op-
try, therefore promotion of businesses is to take suitable measures for the activ- portunities on the whole, there are some
essential to cope with rising unemployment ity; sufficient capital to meet expenses in- suggestions in the following;
and poverty. dependently to avoid financial troubles;
The government is realizing that busi- legal implications of the particular busi- SUGGESTIONS
ness activities are engine of growth for ness meeting all the requirements of law 1. Economic Revival package should be
economy and it is taking practical steps to in practice; the social value of a chosen announced by the government for the re-
create more business friendly environment business is also of vital importance, be- vival of industries sector, to stimulate pro-
so that business can flourish that would fore investing in any business it should be duction and investment.
create more jobs for economic develop- analyzed very carefully how society and 2. Government should try to boost ex-
ment. common masses perceive it because ports through broadening the tax base and
It is very important to assist people with they have to be the ultimate clients and lowering tariffs.
3. Government should announce multiple
packages for the development of agricul-
ture sector.
4. A number of fiscal and monetary
measures should be taken to attract in-
dustrialists and particularly foreign invest-
ment.
5. Technical training facilities should be
provided. In this way unemployed people will
get a chance to enhance their skills and be-
come able to earn more reason able in-
come.
In conclusion, another erupting chal-
lenge standing before Pakistan is wide-
spread unemployment. Thousands of
educated graduates are jobless. Hun-
dreds of thousands of unemployed work-
ers are forced to lead their lives below an
average status. Large scale unemploy-
ment has serious effects on the country’s
production also. But as these days self
employment through entrepreneurial ac-
tivities is high, I hope ratio of unemploy-
ment will become low soon. n
December - January 2009-10 | MANAGER TODAY 13

14. 14 COVER
STORY
Coping
unemployment with AASIA SAAIL KHAN
s the world got hit by major
A recession, we had a Domino
effect on Pakistan's economy too.
Though, other domestic factors
have also played a role in affect-
ing the economy of Pakistan. Se-
curity lapses have decreased
sales in the country. Improving
the situation of law and order is a
HASSAN AMJAD must. Frequent acts of terrorism
he economy of Pakistan is facing an industrial must be controlled to improve
T slump at present. The dire reasons of this worsen-
ing situation are war, energy crisis, political instability
production; more production will
increase more employment op-
SURVEY RESPONSES ON JOB OPPORTUNITIES IN PAKISTAN
and lack of visionary leadership. Actually creating job portunities.
opportunities in the present situations is like making Ending the heavy load shedding is
bubbles in air. Thus we have to work a lot for eco- a must. Expensive electricity
nomic growth. Once economy get on the move every means high cost of production; in-
thing would be fine. flationary prices and conse-
Soaring crime rate and the aggravated security is- quently less demand. To improve
sues are playing a very negative role. I think in the employment, we need to establish
present day conditions we need to train our youth in more industries.
the vocational and technical fields. There is also a Aasia Saail is serving as the
need of supporting self employment. CEO and designer, ‘Aasia Saail-
The government should also start mega projects for Designer Collection’. She has
development that may create work opportunities, i.e. also been the founder of Almas
building big dams and big infrastructures. Zaka Ur Rehman Foundation
Mr. Hassan Amjad belongs to a renowned busi- and the executive committee
ness family. He has established himself as an im- member of LCCI 2008.
porter and trader of various agri equipments. He
is the member of executive committee of the La-
hore Chamber of Commerce & Industry.
S. M. NAQI
o meet the challenge of unemployment in Pakistan we need to develop entrepreneurship extensively.
T Gone are the times when looking for a job in the market was a sole option for degree holders; pres-
ent day world belongs to innovative entrepreneurial ideas. There is a dire need to explore creative ways
to remove bottlenecks in existing businesses. We can create more work opportunities in that way.
Dr. S. M. Naqi is a PhD in Business Administration (USA), a Chartered Engineer and Fellow of
the Institution of Mechanical Engineers (UK). He is the Chairman, SPEL Group of Companies.
He has established his repute as a teacher, trainer, consultant, and an author of several books.
PROF DR. EHSAN MALIK
To create jobs in Pakistan, encouraging private public partnership is the most essential factor at present. In
the era of an aspiring entrepreneurship, private enterprises must be supported and encouraged as much as
possible. SMEDA is working quite well in this regard however still there is room for small businesses develop-
ment. Inculcating creative knowledge and innovative ideas in the existing business can also increase work op-
portunities.
Professor Dr. Muhammad Ehsan Malik a Ph.D. from Leicester University Management Centre, UK, is
serving as Director General, Punjab University Gujranwala Campus, Dean, Faculty of Economics and
Management Sciences, Punjab University and Director, Institute of Business Administration, Punjab
University, Lahore.
MANAGER TODAY | December - January 2009-10

16. 16 COVER
STORY
BILAL ILLAHI
Using
innovationtocombat
unemployment The brave new world of
tomorrow belongs to
entrepreneurs and innovators.
T
he global financial meltdown of the
past two years signifies the end of
the cradle-to-grave security offered
by corporate jobs. The brave new
world of tomorrow belongs to en-
trepreneurs and innovators, those
who anticipate and fulfill society’s needs cre-
atively. Innovation has become the buzz word
of our times and not without reason. Busi-
nesses, both large and small, see it as the
key to increased profits and market share.
Governments automatically reach for it when
attempting an economic turn-around. Inno-
vation has been traditionally defined as the
successful implementation of creative ideas. ognize. and creativity were once the responsibility of
While creativity refers to thinking of a new Among the keys to innovation are the abil- the entrepreneur, the marketing depart-
product, service or a process, innovation ity to imagine the future, to think in quantum ment, or the advertising agency—now they’re
refers to successfully carrying that idea to leaps rather than in small increments, and the responsibility of the entire private sector,
the market- place. When Jeff Bezos thought also most importantly, being prepared to fail. the government and society as a whole.
of selling books on the net it was ‘creativity’, An innovative person in other words has to The exciting part of innovation is the possi-
when he set up Amazon it became ‘innova- be imaginative and has to be a risk taker; bility of being able to create something out
tion’. There is widespread recognition of the someone for whom failure is just another of nothing. Capital is not a prerequisite. A de-
fact that innovation is crucial to the success learning experience. A culture of innovation gree is not a must, though knowledge is. In
of a business and the economy at both the and entrepreneurship has to be developed in other words, knowledge can be formal or in-
micro and macro levels. As innovative busi- Pakistan. This is something which has to be formal. Creativity comes in when a person is
nesses and the economy grow, they positively encouraged by government policy. And of able to combine various strands of knowl-
impact unemployment and poverty. This is course as a society we have to change our edge in a way it has never been done before
something which we in Pakistan need to rec- world view and become innovative. Innovation and come up with an idea of a new product,
MANAGER TODAY | December - January 2009-10

17. As innovative businesses and the economy grow,
they positively impact unemployment and poverty.
This is something which we in Pakistan need to
recognize.
intuitional, inspirational and ideas generating over the years to provide reasonable educa-
(all components of creativity). Innovative peo- tion to our citizens, opportunities exist,
ple have to be recognized and encouraged. It amongst other things, for innovative persons
is now believed that creativity can be taught to develop web-based models of education
and innovation can be managed. This delivery. All innovative solutions need not be
process, however, has to start at the school technological in nature; innovation does not
and continue to the university level. Ideas have to be technology based. The crisis of il-
should be germinated in university and cor- literacy in all its dimensions, offers huge op-
porate incubators. Trade bodies can play an portunities to the innovator. The government
active part. Government has to have a policy on its part has to look into the possibility of
of supporting a whole culture of innovation. public-private partnerships.
The impact of an innovative culture can be Also, our agriculture sector is underde-
huge. Wealth creation will follow and have a veloped. Rural based businesses like dairy
positive affect on GDP growth and employ- farming, storage and supply chain manage-
ment opportunities. A small sole proprietor- ment can benefit immensely from creative
ship or a large multi-national can reap profits ideas. There is a huge scope for technology
through innovation. Lots of opportunities based innovation in agro-industry. Process
exist for innovation and entrepreneurship to innovation is required to develop more effi-
thrive in developing countries like Pakistan. cient systems. Presently bright young peo-
Pakistanis have strong innovative and entre- ple do not even think of taking jobs and
preneurial instincts. Areas such as I.T, health doing business out of the big urban centers.
care, education and rural marketing are un- Again, provision of incentives has to come
derdeveloped in our country. from both the public and private sector. And
Many information technology firms in needless to say both need to work on this
India and some in Pakistan have been inno- on an urgent basis. Government organiza-
vative and have been able to develop niche tions like SMEDA need to be empowered to
service or a process. In the case of Jeff products. They have quickly been able to in- play a more active role.
Bezos (Amazon’s founder), the combination crease their revenue manifold. In many Unemployment is now a global problem.
was of knowledge of two types; knowledge of cases these firms were started by a couple The major source of new job generation is
IT and knowledge that the book buying public of young IT specialists with a little capital not going to be the public sector and the tra-
was not happy with the way they had to pur- base but because of their expertise now ditional large corporations. Future job op-
chase books. In retrospect, these two count some of the well known corporate gi- portunities, globally and in Pakistan are going
strands of knowledge were hardly a secret. ants in the west as their clients. Encourag- to come from innovative organizations and
Jeff bezos was creative in combining the two ing IT graduates to think on these lines has the entrepreneurs. The goal to become an
and innovative when he set up Amazon. to come from the universities and the gov- innovative and entrepreneurial society /
Today Amazon’s annual revenue is $ 20 bil- ernment. The absence of venture capital in economy sounds like a tall order but other
lion (Pakistan’s annual budget is $30 billion.) Pakistan is also an impediment to the countries have tried and succeeded. Once a
which is truly remarkable if you consider that growth of IT start-ups and needs to be ad- consensus develops among all stakeholders
it all started with an idea in one man’s head. dressed. a determined effort can help us take this big
An innovative person has to be imaginative, Similarly, as the public sector has failed leap forward. n
December - January 2009-10 | MANAGER TODAY 17

18. 18 INTERVIEW
MANAGER TODAY | December - January 2009-10

19. IJAZ NISAR
Talking about himself Mr. Song said that after get-
ting his degree in industrial automation from the
Shandong University of Technology. He started
working in refrigeration department of Haier
China in July 1998. From there he went to Amer-
ica as assistant production manager but was
called back to China as director for the refriger-
ator workshop. In 2000 he was assigned as the
marketing manager in Europe but was again sent
to America to overlook production facility devel-
opment. As the chief operating officer for over-
seas business division. He trained a team of
qualified operating managers and added the
management procedures to the network and
made it a success. In July 2007, he was made
the CEO of Haier Pakistan. Haier Pakistan has en-
tered the local market with the commitment to
help its consumers reap the benefits of modern
life style and to provide the world class innovative
products. Pakistan is No. 1 in producing home ap-
pliances with modern technology. Mr. Song said
that very soon Haier products in Pakistan will be
exported to Iran, Turkey, Afghanistan and Central
Asia.
Due to energy crises in Pakistan, there has
been a decrease of 40 % in purchase of home
appliances. With the power shortage situation in
the country the company has introduced energy
saving products in the market. Mr. Song said that
the objective was to facilitate the consumer with
the high quality products and solutions for their
queries. Creating a work environment that in-
spires every life style by offering a most authen-
tic product experience to the end consumers.
December - January 2009-10 | MANAGER TODAY 19

20. to fulfil the customers’ needs and staff’s re- tivating employees.
quirement; we believe in effective listening Continuous and fair appraisals also ensure
and communication between the manage- the right path and growth.
ment and the employees to minimize possi- Leaders must motivate employees through
ble gaps in the organization. We work on communicating the vision of the organization
target to monitor the performance in all lev- and providing inspiration through personal
els of the hierarchy. role model. Not all executives could do this
How do you balance the need for reform well; many do it poorly. But, to get true orga-
and quality? nizational traction, we link financial bonuses
I do not think there is any conflict to be re- for all employees in a large part to the per-
solved or to get reformed. However, in a con- formance indicators against targets from
stant urge for improvement; we are looking their cascaded scorecards. Their financial
Due to energy crises in for bringing up innovation in our products. bonuses are also augmented by traditional
What do you think is the outcome of soft and subjective assessments, such as
Pakistan there has been your change efforts at Haier? their personal growth and attitude toward
a decrease of 40 % in Management system and partner’s expe- working together cohesively.
purchase of home rience push Haier Pakistan improve day by What do you expect from your employ-
day. As CEO, I am only the representative of ees?
appliances. With the the execution of the policies of Haier brand Commitment and devotion - considering
power shortage situation and the culture of Haier. Haier as their own family business and taking
I am very happy with the achievement of it forward with the same ambition and to top
in the country the Haier in Pakistan, this is mainly because of the it all I expect creativity and new ideas. I am al-
company has introduced belief and support to Haier brand from Pak- ways open to new ideas from my employees.
energy saving products istan customers. What is Haier’s strategy regarding cor-
What is your response towards eco- porate social responsibility?
in the market. nomic downturn; is it affecting your busi- Social commitment is an essential principle
ness? underlying the corporate policy guidelines of
What are your major concerns as CEO It is certainly the worst I have ever experi- Haier Pakistan. We believe in bringing the
of Haier Pakistan? enced, and I can not guess how long this economic objectives of corporate
Being the chief operating officer; my target tough situation would continue. Even the Activity into alignment with broader social
is to secure satisfied employees, customers economists do not seem to have anything and environmental aims. To do so, we abide
and very satisfactorily happy shareholders. useful to say; failed to figure out what hap- by some principles that document our social
To achieve this target I plan the manage- pened to the banks. responsibility. The assumption of responsibil-
ment issues with an inclination toward inno- Owing to the worse economic situation, ity for society and future generations has a
vation. I always put my international consumer electronics companies have to long tradition at Haier. We have a welfare pro-
experiences into practice to improve man- lower their costs. However, I am far from pes- grams called Haier EHSAAS Welfare Society
agement and the use of technology. simism because a crisis is also an opportu- which promotes health care, welfare, educa-
I emphasize on developing products in ac- nity if one is determined to continue tion, training through monthly visits of a place
cordance with the real needs of Pakistani struggling. I feel this is a golden opportunity that needs support and motivation from the
customers; to provide them with a distin- for Haier Pakistan to regain its dynamism. corporate world.
guished level of satisfaction and service. For Haier, this means that it is now a lot eas- Where do you see Haier after five years
What is your strategy to grapple with ier for everyone to understand that our cost down the road?
any business obstacles in Pakistan? structures are too high, that we need to After 5 years, Haier will be the leading
If the workers of any enterprise believe in change with the rest of the world. home appliance and white goods manufac-
the doctrine of One Team, one target, any I would like to mention that due to the en- turer in Pakistan As per the most preferred
kind of obstacles can be removed success- ergy crisis in Pakistan there has been a de- home appliance brand in Pakistan by all cus-
fully. crease of 40% in purchase of home tomers; we understand our customers the
We define a clear action plan for every in- appliances. With the power shortage situa- best. We are confident enough to enjoy a
dividual with emphasis on a team spirit. This tion in the country the company has intro- leading position in the future market.
helps everybody staying connected to one duced energy saving products in the market. Please share with us your recipe of
another. IT support is also a pre-requisite to Could you please coin the key factors in success.
cope with challenges and obstacles in the employee motivation? Ingredients of recipe include hard work,
business world. Value and appreciation are the main keys. honesty, motivation; focus on quality, knowl-
How will you describe your management Increasing the participation of employees in edge, advice from those who have suc-
style? management decisions and encouraging ceeded. When these factors blend, success
Our management style is manly concerned open communication plays a vital role in mo- is inevitable. n
20 MANAGER TODAY | December - January 2009-10

22. 22 MANAGEMENT
What salaries because they disliked employers’ poli-
constitutes
cies and a ‘bad’ company culture.
I found fresh MBAs from reputable univer-
sities were more concerned about ‘cultures’
of companies and they used to study the cul-
company
tures of different enterprises such as Pakistan
Tobacco, National Foods, PIA or big mergers of
banks etc.
I felt it was time to look more closely at this
culture?
phenomenon, we call ‘company culture’.
Though I looked at Terrence Deal’s ’Corporate
Cultures’ and Geert Hofstede’s ‘Cultures & Or-
ganisations’, I decided to try and analyze what
factors actually make the cultures of all the
companies I worked with during 1992-2008.
This is a preliminary attempt that I shall (clients
A company’s ‘culture’ permitting) later structure into a formal study.
PHILIP S.LALL
combines three aspects: Instead of making up a definition of ‘company
unwritten rules; implicit culture’ I gathered the thoughts of 12 very sen-
expectations of employees and ior Pakistani managers (including people such
as Tariq Saigol of Maple Leaf Cement, Abrar
kind of values demonstrated in
Hasan of National Foods, Arif Ejaz, ex-MD, KSB
everyday work. Pumps, Saulat Said, ex-GM, Packages). I found
their experienced views helped me a lot to
f you frequently interview job applicants you deepen my concept of ‘company culture’, ar-
I might have found that, when you ask why
they want to leave an employer, they usually
refer to ‘company culture’. Years ago, when
employers began asking me to assess job
applicants, I initially thought that candidates
blame company culture only to hide their real
motif of leaving an employer i.e. higher salaries
and more financial advantages.
riving subsequently at this tentative under-
standing of the concept:
“A company’s ‘culture’ combines three as-
pects: (1) unwritten rules that govern the con-
duct of supervising managers and
subordinates; (2) implicit expectations of em-
ployees from their seniors or peers, and (3)
kind of values demonstrated in everyday work”.
However, as the number of interviews grew, Let me illustrate each aspect of my Conduct-
I came across young men and women who Expectations-Values model of company culture
were willing to accept lower-than-market by ‘live’ examples.
MANAGER TODAY | December - January 2009-10

23. The unwritten rules that govern the find ways to bend the rules. In a Pakistani accept lies, versus insisting on the truth and
1. conduct of supervising managers
and subordinates.
company that regularly employs people who
are sons or relatives of past/present em-
(c) the extent to which managers practice
favouritism, versus encouraging merit.
In one Pakistani company, no supervising ployees, subordinates regard the directors To a degree I have found this company cul-
manager including the 70-year-old chairman as ‘elders’ and thus have implicit expecta- ture model most helpful in consulting work;
will ever call a female employee into his office. tions that they will be ‘looked after’ con- it often points out where the ‘real’ problems
A newly-appointed manager, unaware of this cerning salaries, medication and marriage may lie. In one family-managed company, the
unwritten rule, did this and received a repri- expenses, etc. In another company, despite MD repeatedly said the ‘real’ problem lay
mand from his superior. The unwritten rule at many team-building courses, employees re- with the company’s zonal managers; they
meetings in one Pakistani company is that all tain strong departmental feelings. Their im- were an unnecessary ‘extra’ layer between
supervising managers should ensure every plicit expectations are that managers will the Marketing Director and the regional
subordinate speaks up. In another company, not ask them to cooperate and do ‘extra managers. On careful analysis, I found the
the unwritten rule is managers should not be work’ for peers in other departments. problem originated in values demonstrated
harsh on late-comers, since employees are al-
lowed to come late. Another unwritten rule is In a Pakistani company that regularly employs
they should not ask subordinates to work late.
In another company, every manager is under-
people who are sons or relatives of past/present
stood to have the right to ask subordinates to employees, subordinates regard the directors as
offer Namaz. If subordinates miss Namaz, an ‘elders’ and thus have implicit expectations that they
unwritten rule allows the manager to talk to
erring subordinates. In another company, a will be ‘looked after.’
written rule says the HR Manager always
has an ‘open-door’ for all employees; the un-
written rule expects junior employees to
first ask the HR Manager’s PA for an ap- The kind of values demonstrated by the marketing director in everyday work;
pointment.
The implicit expectations of
3. in everyday work.
Three kinds of everyday work-values in a
he didn’t mind if RSMs took short-cuts (often
with serious consequences), and his
2.
peers.
employees from their seniors or company constitute a major part of its ‘cul-
ture’;
‘favourites’ were his product managers at
head office (which left field sales staff very
In one MNC, the written policies don’t (a) the extent to which managers & staff frustrated).
allow managers to oblige their subordinates take short-cuts, versus doing it right the first I believe many corporate training pro-
on things like coming late, extra leave, time. For example, a factory planning man- grams (in leadership, team-building, attitude-
TA/DA bills, or new furniture, etc. But over ager tells the stores officer to hurry up and change, decision-making, etc) fall short of
the past 10-12 years, employees have de- send head office the closing stock balances making an impact because the blocks lie in
veloped implicit expectations that, in return without first checking these thoroughly. Conduct-Expectations-Values components of
for loyalty and results, their managers will (b) the extent to which senior managers company culture. n
December - January 2009-10 | MANAGER TODAY 23

24. 24 ORGANIZATION
DEVELOPMENT
Future
proof Financial crisis, recession and uncertain economic
environment are testing the abilities of manage-
ment teams to foresee, prepare and lead. Main-
taining the commitment of senior management to
“strategic conversation” remains a continuous
corporation
challenge. How can enterprises get more value
from future-focused work? How can they put “fu-
ture” in the center of decision-making processes?
How can they build systems that link future-related
activities to core business processes, and bring
tangible and immediate benefits to stakeholders
Leadership makes the across the enterprise.
followers want to achieve To be a Future Proof Corporation, Organizations
MASOOD ALI KHAN high goals, rather than simply should focus on these six dimensions:
bossing people around.
Innovation
Innovation is a chaotic activity, particularly at the
early stages of idea generation, and can be unruly
if left without a clear strategy. Innovation strategy
defines how top management intends to use the
organization's innovative capacity to enhance per-
MANAGER TODAY | December - January 2009-10

25. It is the culture of an
organization that
naturally emphasizes
continuous
improvement of
processes, one that
results in a healthy
workplace, satisfied
customers, and a
growing profitable
company.
ponent of time management skills.
A significant part of decision making skills
is in knowing and practicing good decision
making techniques. One of the most practi-
cal decision making techniques can be sum-
marized in those simple decision making
steps, which help an organization to be a fu-
ture proof organization. 1) Identify the pur-
pose of your decision. 2) Gather information.
formance and attain the targeted competi- written, spoken, and electronic interactions 3) Identify the principles to judge the alter-
tive position. with your audiences. A corporate commu- natives. 4) Brainstorm and list different pos-
Innovation strategies play two roles. First, nications plan puts in writing: your objectives, sible choices. 5) Evaluate each choice in
they form part of the competitive strategy of purpose, goals or program of work, audi- terms of its consequences. 6) Determine
the organization by defining the areas in ences, evaluation, timings, and process of the best alternative. 7) Put the decision into
which new products will be introduced (i.e., feed back. action. 8) Evaluate the outcome of your de-
the markets and segments they will com- If your employees are aware with the pur- cision and action steps.
pete in). Second, innovation strategies pose and goal of the company and if you NOW “It is not the fruits of past suc-
shape the mix of the innovation portfolio and have a corporate communication plan in- cess but the living in and for the future in
the way innovation is managed across the cluding your purpose and goals, that will help which human intelligence proves itself.”
whole organiza¬tion at the operational level. you to sustain and get greater productivity Friedrich von Hayek
Innovation is not only product develop- of your employees and will make you a fu- Only those organizations survive which
ment or services but its how you manage ture proof corporation. plan their future while living in “now”.
comprehensibly at every level in the organi- Organizational decision making process An organization begins strategic planning
zation. also plays a crucial role to make it future by taking a critical look at itself and the envi-
proof. If it is centralized, the decisions will be ronment in which it operates. The process
Effective Communication imposed on employees without their partic- begins with an internal analysis of each
For an effective communication, organi- ipation, but if it is decentralized, employee major operation, e.g., marketing and sales,
zation should clear its Purpose and Goal to empowerment will increase as well as the production, administration and finance etc.
its employees. Then there should be a Cor- loyalty and productivity will also increase. This internal analysis is overlaid against an
porate Communication Plan. It includes all Decision making skills are also a key com- analysis of external developments such as
December - January 2009-10 | MANAGER TODAY 25

26. customer needs, preferences, and satis- Creating sense of ownership
faction levels, economic and market condi- and culture of entrepreneur-
tions, technological advancements and ship within the organization and
competitive pressures. departments is very important for
After the organization planning organizations to be a future proof
team assesses the firm's internal corporation.
strengths and weaknesses Most workers are conditioned
against future external opportuni- to view themselves as one-dimen-
ties and threats, a vision is developed along sional in relation to their com-
with a mission statement that defines the pany, as a salesperson, or an
firm's business purposes and values, identi- engineer, or a manager.
fying the ways in which the firm distinguishes
Social responsibility is Imagine the possibilities if everyone in your
it from its competitors. the obligation of organization started thinking and acting like
organization’s entrepreneurs—like owners of the business.
Core Values Imagine if your employees shared the same
Cultural norms are behavior patterns that management to make beliefs, both in their abilities and in the pur-
are typical of specific groups. Such behav- decision and take pose of your business, and focused all their
iors are learned from parents, teachers, energies on making that business success-
peers, and many others whose values, atti-
actions that will ful—knowing that they, in turn, would become
tudes, beliefs, and behaviors take place in enhance the welfare successful as well. That is the power of an
the context of their own organizational cul- and interests of ownership culture.
ture. It is the culture of an organization that It is also important that an entrepreneur’s
naturally emphasizes continuous improve- society as well as the desired culture must match the business
ment of processes, one that results in a organization. strategy outlined in the business plan. He
healthy workplace, satisfied customers, and needs to remember that it is easier to
a growing profitable company. change a person’s behavior than to change
A great strength of TQM and the systems the person’s attitude. Leadership needs to
view is that it shows us that growth, prof- establish core values and provide the ap-
itability, customer satisfaction, and a healthy • Measure the effectiveness of human propriate tools so that employees can ef-
work environment are not mutually exclu- capital policies and practices. fectively complete their jobs.
sive. In fact, they are mutually supportive and While making any kind of decision, it
necessary to succeed over the long haul. should be keenly focused if they are benefi- Environment
Future Proof Corporations keep focus on cial to shareholders, clients and the em- All outside factors that may affect an or-
its ‘Human Capital Issues’. ployees as well. ganization make up the external environ-
For this purpose they should: ment.
• Treat Human Capital Management as Visionary Leadership/ Personalities The external environment is everything
being fundamental to strategic business Although your position as a manager, su- that is outside of the organizational bound-
management. pervisor, lead, etc. gives you the authority to ary. Although organizations must interface
• Integrate human capital functional staff accomplish certain tasks and objectives in with customers and suppliers in order to
into management teams. the organization, this power does not make survive, there are enormous, but subtle dif-
• Leverage the internal human capital you a leader, it simply makes you the boss. ferences between being inside the organi-
function with external expertise. Leadership makes the followers want to zational boundary as an employee, and being
• Hire, develop, and sustain leaders ac- achieve high goals, rather than simply boss- outside in the external environment as a
cording to leadership characteristics iden- ing people around. customer, supplier or competitor.
tified as essential to achieving specific Visionary leaders/personalities are the Future proof corporation lives in present,
missions and goals. agents of a new dawn, working with imagi- plan strategies, and invests for future; while
• Communicate a shared vision that all nation, insight, and boldness. They present be a social responsible organization to its ex-
employees, working as one team, can strive a challenge that calls forth the best in peo- ternal environment. Invest in human capital
to accomplish. ple and brings them together around a while focusing on its goal and purpose. It cre-
• Hire, develop, and retain employees ac- shared sense of purpose. Their eyes are on ates sense of ownership and culture of en-
cording to competencies. the horizon, not just on the near at hand. trepreneurship within the organization and
• Integrate employee input into the design They are social innovators and change departments and it also produces the lead-
and implementation of human capital poli- agents, seeing the big picture and thinking ers which help the organization to be a fu-
cies and practices. strategically. ture proof corporation. n
26 MANAGER TODAY | December -January 2009-10