HISTORY
In the early 30s, under the inspiration of the Quaid-e-Azam Muhammad Ali Jinah, there began to appear signs of economic renaissance of the Muslims of India. Shipping, Airline, Baking and Insurance companies made their debt.
In 1932 in Culcutta, Mr. Ghulam Mohammad, a far sighted man, who later became governor General of Pakistan, established an insurance company was named Eastern Federal Union Insurance Company. It was registered in Calcutta and operated in (Undivided)India and Burma .It's business was both General and life Insurance.
In 1947, on the birth of Pakistan, EFU (as the company was called). found a new country and rapidly established itself as progressive and innovative insurance company. It provided the emerging insurance industry the leadership, the manpower and the drive needed to grow in a situation where at that time foreign companies held three-fourths of insurance business.
By 1961, EFU had become the flag bearer of Pakistan's insurance industry on the world stage and the largest life company in Afro-Asian countries (Excluding Japan)under the leadership of late chairman Mr. Roshen ALi Bhhimee (August 13, 1917-December 10,1998)
NATIONALIZATION
It remained so until 1972 when life insurance industry in Pakistan was nationalized. Form this time onwards EFU operated solely as a General insurance company, and was subsequently renamed EFU General Insurance Company Limited.
PRIVATIZATION
In 1992 the Life Insurance was reopened to the private sector and on 8th November 1992, EFU Life was first insurance company to be granted a license. It started operations in a 1993 with Group Life products and in March, 1994 launched its Individual Life Insurance products. EFU entered the filed of life insurance with the focus on the changing needs of the population. The company is committed to provide its policyholders with solutions to the problems of today's complex and rapidly changing financial environment by introducing innovation and modern products.
Traditionally, the EFU name has become synonymous with progressiveness and prompt claim settlement. Now the EFU Group provides a full range of insurance services through innovative covers against all kinds of life-events, perils, risks and disasters.
INTRODUCTION TO SLIC
BRIEF HISTORY
In Pakistan, Life Insurance business was nationalized under Presidential order on 19th March, 1972 when Government of Pakistan had taken the administration of 32 Companies.
On November 1, 1972, a single corporation have three units Came into existence by the name of State Life Insurance Corporation of Pakistan (SLIC).
On September 30,1975, three units of SLIC were merged and split into five Zones.
v Karachi
v Hyderabad
v Lahore
v Peshawar
v Rawalpindi
SLIC NOW
Now SLIC has become the largest insurance company with dynamic sale force of above 42000 highly skilled professionals. At the moment, SLIC has a large set up of 27 Zonal Offices (Including Multan) and 5 Regional Offices spread throughout Pakistan.
OBJECTIVES OF SLIC
Some of objectives of SLIC are:
v To run life insurance business on sound lines
v To provide more efficient services to policy holders.
v To widen the area of operations of life insurance &making it available to large section of population.
EXPERIENCE
SLIC is the most experienced insurance company of Pakistan ,having experience of about 31 years.
COMPETITORS
Competitors of SLIC include:
v Eastern Federal Union (EFU) (Established in 1992)
v Metropolitan Insurance Corporation (MIC)
v American Life Insurance Company (ALICO)
MARKET SHARE
SLIC has near about 90% market share in life insurance business in Pakistan.
CULTURE
Culture of SLIC reflects devotion motivation and cooperation which is a valuable asset of Company.
SALE FORCE
SLIC has the largest sale force of about 42000 Professionals in Pakistan
GOOD WILL
SLIC, has very good repute with life insurance business in Pakistan.
SLIC MULTAN
In Multan, Zonal office of SLIC is situated in State life Building, Abadali Road , Multan
POLICIES
SLIC is proudly offering above 30 different polices to their valuable customers.
Motivation Strategies in State Life Insurance Corporation &
EFU Assurance Corporation:
During the field survey of state life and EFU we came to know about the strategies being implemented to motivate the employees in these organizations. We can summarize those findings as follows:
Ø There is some sort of formal planning to motivate the employees. They alter this plan according to the environmental changes.
Ø Moreover, employees aren’t motivated by their transfer. However about rotation, different situations result in different results.
Ø No additional tasks are added to the existing tasks.Moreover additional tasks de-motivate the employees.
Ø Jobs demanding high skills really motivate the employees to give high performance.
Ø There are flexible work methods. Flexible methods really improve the performance through motivation.
Ø There is no increase in autonomy of employees. Rarely does it happen in the culture of this organization.
Ø Employees here are invited to share their ideas about setting goals and objectives, which motivates employees through satisfaction about goals that are to be achieved. Even business level objectives are decided jointly by department managers and the top management.
Ø Promotion is thought to be the most important factor which may enhance level of motivation and hence performance. Promotions are made purely on merit. There is formal plane for evaluating performance. Performance appraisals are prepared on regular basis by the supervisor of each employee. For example, a sale officer prepares performance appraisal of his junior sales representative; sales manager of sales officers and so on.
Ø Employees are provided with equal opportunities for career development.
Ø After evaluating the performance of employees rewards are also given. These rewards are in the form of bonuses, dinners etc.
Ø To motivate employees are being provided with benefits and services like medical scheme, house rent, petroleum expenses etc. employees get satisfied by using these facilities an other recreational activities like tours and dinners.
Ø Advance payments are also available for employees which they can get when required. These are to be returned in installments.
Ø On the job and before the job training help employees to perform with high aims.
Ø In case of mistakes, employees are tried to make understand. But in severe conditions employees may be laid off.
Ø Recreational and social plans are carried out to motivate the employees. For example employees performing high are taken to a visit of Bhorban.
CONCLUSION
After detailed analysis of the extent of practical application of motivational concepts at STATE LIFE and EFU, we have observed that there Human Resource Management policies are being formulated and implemented by the highly educated, trained and experienced managers. Both employees and management are satisfied with the appropriate use of motivational tools.
Though they have implemented motivational policies in very effectedmanner, they are not static, 'they are always seeking for new dimension of
creating motivation in reference with the change in environment and employee behaviors. In the following lines we have some suggestions in the Sacking:
Intradepartmental communication takes place formally at manager's level but not on employee/worker's level. Employee should he allowed to make contacts with labor or other departments without management involvement. Information will disseminate more easily in tills way and they will be more comfortable to talk the person at their level and almost with same type of background.
operational level to set targets and periodic goals.
Currently there is no system of stress counseling. We suggest that they should realize its importance and adopt this technique when, workers are in stressed mental and psychological situations. There are two main sources of job stress; environmental and personal. These include work schedule, pace of work, job security, and route to and from work and the number and nature of customer or clients. Even noise, including people talking and telephone ringing , contributes to stress.
STRESS COUNSELING
Will help workers in taking them out form desperate situations. Job-related factors such as overwork, relocation, and problems with customers eventually put the person under such stress that a pathological reaction occurs. There is tow main source of job stress; environmental and personal. These include work schedule, pace of work, job security, route to and form work and the number and nature of customers or clients. Even noise, including people talking and telephones ringing, contributes to stress.
HOW TO REDUCE JOB STRESS
The organization and the supervision can also play a role in identifying and reducing job stress. For the supervisor, this includes monitoring each subordinate’s performance to identify symptoms of stress and then informing the person of the organizational remedies that may be available such as job transfer or counseling.
Following techniques should be used in reducing job stress:
Ø Allow employees to talk with one another and to consult with colleagues about work issues.
Ø Reduce personal conflicts on the job.
Ø Give employees adequate control over how they do their work.
Ø Provide competitive personal leave and vacation benefits.
Ø Maintain current levels of employee benefits, since benefits reductions lead to stress.
Ø Recognize and reward employees for their accomplishments and contributions.
Ø Ensure effective job fit, since stress overload can result when workers are mismatched with jobs.
Ø Being students of IMS, we recommend that there should be computerized human resource information system at PACKAGES.
BIBLIOGRAPHY
1) The process of Management (6th)
By New man,arren, Schnee.
2) Behavior in organizations (3rd)
By Robert A. Baron, Jerald Greenberg.
3) Management (7th)
By Stephen P. Robbins Mary Coulter.
QUESTIONNAIRE
Have you the complete authority for making motivational programs or is it a collective decision?
- What experiences/education you have regarding employees’ behavior?
- What are the general social characteristics(family background, life-style, social status etc) of the employees?
- Which factors you consider motivators and de-motivators for employees( To be selected from the list) ?
- How You relate them with performance and productivity?
- Is there any formal plan for employee motivation? If not, how do you motivate them?
- What is the main idea behind the motivation plan?
- How this plan is implemented?
- How you alter plan regarding changes in environment, work procedures, technology and employee behaviors?
- Do you rotate/transfer employees in the organization?
- Do you find it beneficial to rotate employees in the organization for motivation purpose?
□ Most of the times
□ Sometimes
□ Rarely
- When you modify employees’ duties?
□ As per need of the time
□ On regular basis
- Decision about modification in duties are taken by
□ Supervisor/Immediate boss only
□ Group of experts
- Do you add same sort of tasks to already existing tasks in employees’ job?
- What is the response of the employee when they have to perform additional number of similar tasks?
□ Positive response
□ Neutral response
□ Negative response
□ Different in different situation
16. What is the response of employees when they have to perform a job demanding
more skill variety than that of the existing ones?
more skill variety than that of the existing ones?
□ Positive response
□ Neutral response
□ Negative response
□ 
Different in different situation
Different in different situation17. Are the work methods standardized or flexible?
18. Up to what extent, employees enjoy the autonomy while performing their jobs?
□ Complete autonomy
□ Partial autonomy
□ No autonomy
19. Do you see any effect to added autonomy on the performance?
□ Most of the times
□ Sometimes
□ Rarely
20. What you perceive that effect of added autonomy is
□ Positive
□ Negative
21. Do you Invite opinions from subordinates before setting goals?
□ Yes
□ No
22. Business level objectives are
□ Defined by department managers independently
□ Imposed by top management
□ Decided jointly by department managers & top management
- Operational level objectives are defined by
□ Managers
□ Workers
□ Jointly
- You take promotion decision on the basis of
□ Performance
□ Experience
□ Seniority level
□ Social contacts/ Relationships
- Do you have any formal system for evaluation of the performance?
□ Yes
□ No
- You monitor the current progress towards achievement of objectives
□ Continuously
□ On regular intervals
□ No system Exist for monitoring
- Does your organization care for EEO (Equal Employment Opportunity)?
- How do you check the performance of the employees?
- Are you satisfied with the way of checking performance? Why or Why not?
- What plans your organization in order to give rewards?
- What is the frequency of giving these rewards?
- To whom employees express their needs? Are their needs fulfilled in time?
- In case of mistake made by any employee, how your organization treats that person?
- What are the social & recreational plans carried out by the organization?
- Do you agree or disagree that the motivational plans are 100% implemented in your organization?
Set of Potential Motivators | Set of Potential De-motivators |
□ Feedback | □ Style &level of supervision |
□ Involvement in target setting | □ Lack of consultancy |
□ Company car | □ Additional responsibilities |
□ Training Opportunities | □ Size of targets |
□ Share options | □ One-to-one meetings |
□ Bonus of incentives | □ Hours work |
□ Prizes awards | □ Pension/Health scheme |
□ Pension/Private health scheme | □ |
Our first obligation is to thank the ALMIGHTY ALLAH who has enabled us to complete this report.
We are highly grateful to our respectable teacher Mr. Nouman Saadulah for providing us such a vital chance to explore the role of motivation of employees in “STATE LIFE” and “EFU”. His guidance enabled us to complete this report. HE motivated us by appreciating any good effort from us.
In the completion of our report some people have contributed to the heights of their knowledge and experience. We are grateful to Mr.Iqbal Ch. and Mr.Massood Ahmad in the State life and Sh.Hamid inEFU who provided us the useful information about the Motivation of employees in the “State life” and the “EFU”. We are also obliged to the employees of “State life” and “EFU” for their cooperative behavior to complete this report.
MANAGEMENT SUMMARY
Competent employees are the engines of an organization. An organization needs to motivate and maintain its high potential workforce to achieve its strategic goals. This critical significance of motivation makes it an integral part of human resource management. As a learning step of Management our group was assigned to portray the thorough picture of motivation in State life and Efu. For the purpose designed two questionnaires to get the views of management and employees. We conducted in depth interviews with both managers and employees. The report comprises of live chapters. In chapter one we have presented the history and introduction of organization. Chapter no two gives us some highlights of motivation theories presented so far. After dial, we have described how we have designed (he theoretical base and framework of our study. On this basis we have identified factors influencing the motivation. We have argued and explained in detail how these factors relate to the motivation, the questionnaires were prepared keeping in view the identified factors. Chapter four comprises the finding and analysis i.e. management and employees viewpoints. On the basis of these viewpoints, we have analyzed the facts in comparison with theoretical concepts. In the last chapter we leave given conclusions and suggestions on the basis of analysis we made in previous chapter. The last portion of our report consist of the reference, we used in our report at various stages.
