4-Jun-07www.terminal.kz President Vice-PresidentFinancial Director Production Business development department HR-department Legal department Presidents. - презентация

1 4-Jun-07www.terminal.kz President Vice-PresidentFinancial Director Production Business development department HR-department Legal department Presidents administration Accounts devision Chief Accountant deputy Ac-t by income Accountant Accountant-cashier Ac-t by taxes Financial analyst Head of expedi- tion department Reg. man-r. by Almaty Director Atyrau subsidiary Director Aktau subsidiary Manager of the PTB in Aktau Transportation department Manager of the hotel Representative Office in Astana Chapter I The Structure of the Company

2 4-Jun-07www.terminal.kz Strategy Multiplanning management Project management and configuration of a product Work of executors over the set tasks Shareholders General Director Department Director Coordinator (manager) of a project Analyst, programmer, specialist… Management by the program and portfolio of the project. Investments management. Management by priorities of executing projects, planning of bargains. Management by the team of the project and configuration Execution of tasks Other activity Scheme of strategic planning in realization of planning management Chapter II

3 4-Jun-07www.terminal.kz Level 1.Supporting one project Level 2.Supporting several projects within one program Level 3.Supporting projects of the whole department or the branch of an organization Level 4.Supporting all the projects in the organization Level 5.Strategic unit, formed on the level of executive government and realizing the support of strategic solutions and distribution of resources within the scales of the enterprise Levels of a company's maturity. Chapter II

4 4-Jun-07www.terminal.kz Newly accepted employees start giving feedback very quickly, that is connected with simplicity of technology and correspondingly with a short period of training. Here can be given examples of franchising organizations (exactly in that comprehension in which they were formed in our country) – Gerbalife, Chinese medicinal herbs and other products for growing thin. Employees with experiences of work and knowledge of the organization are less valuable than newcomers. Examples can be spheres of services – cafes, restaurants, resorts. More young personnel can be attractive for clients, despite moral principles laid in the society. When a loss of employees with experiences does not threaten for the organization. The example: MacDonalds and other fast foods. In this case the turnover is something usual and routine. As the main manpower are young employees, students, part-time employees working up and earning additionally at the time free of studies. When the market of specialists with demanded for a firm qualification is overfilled and their demands leave behind the supply. The example: Hollywood. Positive sides of personnel turnover: Chapter II

5 4-Jun-07www.terminal.kz Lowering the quality of products. It reveals without an exception at all types of enterprise, branches of economics and sectors as of industrial as of production sectors. A specialist with experience of work always fulfills his work more qualitatively. High index in production costs. Along with lowering the quality, raises the index of production costs, which is connected with as the reduction of production as the increase of defective goods and the usage of raw materials. At industrial enterprises is raising the level of waste products and deterioration of ecologic indices of the enterprise. In financial world the presence of high level of personnel turnover is the evidence of low level of management in a company that negatively influences on the image and reputation of the company. Imagine yourself an investment bank, in which the level of personnel turnover comprises more 30-40%. Above it was mentioned that exactly a human factor is the main one in such type of companies. How great are chances of such bank to get a serious and important client? Perhaps, not great. And left employees present themselves a hidden threat as they posses huge volume of information, ties, contacts. Competing companies would like to get hold of such valuable employees with pleasure. New expenses of a company, connected with search of new employees, their training, adaptation at a new place. Negative sides of personnel turnover: Chapter II

6 4-Jun-07www.terminal.kz 1 st quarter2 nd quarter3 rd quarter4 th quarterPer year In the whole company Top-management----- Average management---11 Linear management313-7 Key workers Specialists Example of the table on monitoring of personnel turnover: Chapter II

7 4-Jun-07www.terminal.kz The main process of motivation: NECESSITIESMOTIVESREWARD Chapter II

8 4-Jun-07www.terminal.kz Power of Motivation F =Σ valencies* *of expectations Expectations Result 1 Result 2 Results of the first level Result 1а Result 1b Result 2а Result 2b Instrumentality Results of the second level Theory of expectation or theory of Vroom in labor theory of motivation Chapter II

9 4-Jun-07www.terminal.kz The level of labor productivity in LLP Firm Terminal, thsd tenge/person Chapter III

10 4-Jun-07www.terminal.kz Dynamics of personnel turnover in LLP Firm Terminal Chapter III

11 4-Jun-07www.terminal.kz Line of trend for data of personnel turnover Chapter III

12 4-Jun-07www.terminal.kz Chapter III Category Number of filled questionnaires Number of filled tests Almaty 2924%3025% Aktau 2521%1714% Atyrau 1613%2723% Aktyubinsk 54%76% Department of Transport 2420%1815% Production Technical Base 2118%2017% TOTAL %119100% Number of employees that have taken part in the poll:

13 4-Jun-07www.terminal.kz The structure of a Company`s employees according the experience of work in Firm Terminal LLP: Chapter III

14 4-Jun-07www.terminal.kz Companyyesno Find difficult in replying Did not reply 25 Do you consider it to be normal - the delays outside working hours if there is presence of urgent work? 72-60%30-25%2-2%16-13% 26Does your job negatively influence your personal life?30-25%76-63%9-8%5-4% 28 Do the functions performed by you correspond to the functions defined by the job description? 73-61%21-18%14-12%12-10% 29 Do you consider that the payment for the job corresponds to the volume of the work executed by you? 25-21%68-57%18-15%9-8% 32 Are you satisfied with the equipping of your working place (please, estimate the presence of office equipment, program products, means of communication, information and etc.)? 60-50%40-33%6-5%14-12% Satisfaction of employees by their work : Chapter IV

15 4-Jun-07www.terminal.kz QuestionYesNoFind difficult in replying Did not reply 21 Are there often in the company happened conflicts between employees (in administration, between employees and managers)? 3-3%78-65%24-20%15-12% 22Do employees support relations outside the work?100-83%1-1%14-12%5-4% 24 Do employees of the structural subdivision, where you work, like to be in the staff, to participate in joint actions, to spend pastime together? 97-81%2-2%17-14%4-3% 31 Have you ever participated in events for elaboration of development plans of the subdivision/the company, improvement of work in the subdivision and etc.? 34-28%69-58%11-9%6-5% 34 In your subdivision there is existed equal and fair distributions of additional weal and privileges, granted by the Company (for example, usage by employees of the official transport or official equipment for personal aims and etc.) 24-20%66-55%22-18%8-7% 35 Do you feel as a member of the united team, the opinion of whom is considered? 85-71%11-9%18-15%6-5% 40 Have you ever noticed that there exists divergence between words of your direct manager and his practical actions? 16-13%44-37%47-39%13-11% 42 If you stopped working in the Company for some reason or other, would you strive to come back? 21-18%26-22%54-45%19-15% 4343 Is it accepted among employees of the company/the subdivision to help each other in work? %04-3%9-8% Psychological climate in the staff: Chapter IV

16 4-Jun-07www.terminal.kz QuestionYesNoFind difficult in replying Did not reply 23 Does the companys management orient for the opinions of employees while taking decisions? 37-31%14-12%57-48%12-10% 31 Have you ever participated in events for elaboration of development plans of the subdivision/the company, improvement of work in the subdivision and etc.? 34-28%69-58%11-9%6-5% 46 Can any employee freely express critical opinion about the company`s actions? 42-35%23-19%43-36%12-10% Only managers reply Responsibility is equally distributed among employees Did not reply 45 In your opinion, only managers are responsible for results in the company or the responsibility is equally distributed among employees? 21-18%75-63%24-20% Involvement of employees into processes of taking decisions: Chapter IV

17 4-Jun-07www.terminal.kz QuestionReplied Did not reply 36 Please, point at the encouragement which would be important for you for special achievements (can be chosen up to 3 (three) variants of replies): premiums99-83% 9-8% promotion up the career36-30% admittance of the his associates18-15% souvenirs, gifts7-6% tickets for entertaining or sportive institutions/payment for dinner in a restaurant 12-10% additional training46-38% public approval, praise5-4% board of honors0 other variant good attitude, "thank you", a place to a sanatorium or tourist centre More preferable ways of motivation: Chapter IV

18 4-Jun-07www.terminal.kz QuestionRepliedNo reply 47 What is the attitude in the staff towards the appearance of a new employee? positively (normal, good, friendly)90-75% 19-14% suspiciously, with distrust6-5% in no way2-2% in different ways3-3% I don't know1-1% 48 How quickly is a new employee adapted (becoming theirs)? quickly (at once or during a month)44-37% 25-20% It depends on a person44-37% I don't know 2-3 months 2-2%5-4% 49 Is there existed any responsible person for the adaptation of a new employee? yes2-19% 16-13% no63-53% I don't know18-15% 50 How is it accepted to present a new employee to the staff? at a ????55-46% 29-24% is lead to office rooms25-21% in no way4-3% I don`t know7-6% 51 Are there existed any special programs for adaptation of new employees? yes4-3% 22-18% no56-47% I don't know37-31% special programs are not needed1-1% Attitude towards new employees in LLP Firm Terminal: Chapter IV

19 4-Jun-07www.terminal.kz Company207 employees Turnover 15% in a quarter31 employees Average salary of one employee600 USD Cost of replacement of one employee2 000 USD Sum of expenses for personnel replacement in a quarter USD In turnover reduction to 4%23 employees Sum of expenses for personnel replacement in a quarter in turnover 10% USD Total economy USD Defining economic damage, received from the process of personnel turnover in LLP Firm Terminal Chapter IV

20 4-Jun-07www.terminal.kz Evident expenses«Hidden» expenses An Old employee: - the last salary and bonuses - payment of holidays - privileges, preserving at the employee A New employee : - applying ads for vacancies or payment of services for recruitment agency - conducting interview - estimation - check-up recommendations - salary - adaptation - training - lowering of productivity because of deterioration of psychological climate in the staff - final interview - organization of the process of search and selection, adaptation of a new employee - loss of base of knowledge and of human capital - loss of clients - chain of dismissals Expenses, connected with dismissal of employees Chapter IV

21 4-Jun-07www.terminal.kz The effective system of personnel turnover management in LLP Firm Terminal in the realization of planning management Singling out the projects of the company Making up projects portfolio and constructing a signal card of the projects` riskiness Defining a coordinator and a group of responsible persons for the project execution Introduction of the process approach in projects management Motivational stimulation and introduction of new systems of quality management, limiting personnel turnover Stage 1Stage 2Stage 3Stage 4Stage 5 Chapter V

22 4-Jun-07www.terminal.kz The structure of Investment Fund of Kazakhstan as an Example of matrix structure of management Chapter V Chairman of the Board Vice-chairman of the Board – members of the Board Members of the Board Managing directors Apparatus of the Chairman of the Board Adviser Press-secretary Assistant Structural subdivisions Fund Management A centre of information procession Management of investment projects # 1 (APC) Management of investment projects # 2 (construction materials) Management of investment projects # 3 (metallurgy, chemistry, mechanical engineering) Management of investment projects # 4 (inter-branch projects) Management of investment projects # 5 (infrastructural projects) Department of analysis of project estimates Department of structural financing Juridical department Department of strategic analysis, statistics and estimates of assets Department of monitoring and audit Financial administrative department Security serviceRepresentative office in Astana city

23 4-Jun-07www.terminal.kz Certification Phyto sanitarian Certificate of security Certificate of conformity Transportation and local delivery Auto transport Railway transport Air transport Forwarding Calculation of transportation cost Following wagons Account with railway Customs-logistic services Customs clearance CCD DCD PoD CCV SFD Warehousing Capital storehouse Open -air ground In containers Transports Unloading and loading Work with goods Acceptance of load Insurance of load Loading/ unloading By auto loads By air loads By railway loads Cleansing of load Registration of documents Classification of customs-logistic services and business- processes in LLP Firm Terminal Chapter V

24 4-Jun-07www.terminal.kz Project Employee 1Employee 2Employee N Process 1 Process 2 Process … Process N Indexes R R R IP P P I I II I Functional-role matrix of a separate project Chapter V

25 4-Jun-07www.terminal.kz QUALITY MANAGEMENT SYSTEM IN PLANNING MANAGEMENT: Principle Leadership of management Principle Process approach Principle Systematic approach Principle Involvement of personnel into QMS Principle Orientation at a consumer Principle Relations with suppliers Principle Taking decisions, based on facts Principle Constant analysis, measurement and improvement Chapter V

26 4-Jun-07www.terminal.kz Type of solution Aims Concrete subprograms of actions StrategicTactical 1.Selection, placing and promotion of personnel in LLP Firm Terminal Advancing qualification of the acting personnel by means of training for achieving a necessary position in future Formation of individual plans of qualification advancement for all personnel categories Plan of personnel qualification advancement (in all categories). Universal programs of training. Analysis of professional skills which are needed in future. Corporate programs in training the managers of the organization. To elaborate a program of actions for department chiefs. 2. Estimation of personnel in LLP Firm Terminal Turning the system of estimation into the system of training Turning the system into a tool of improving effectiveness of the management Conducting workshops on issues of career with joint participation of chiefs and subordinates. Seminars in correction of current functioning. Seminars in interrelations inside the personnel. Workshops in management development. To work out a program of actions for department chiefs. 3. System of reward (compensation) in LLP Firm Terminal Realization of the principle of differentiated reward Intensification of reward differentiation among all categories of personnel Workshops for specialist of high level, connected with estimation of the activity and reward. System of encouragement for the quality of services offered. Reward for right servicing. System of encouragement for providing the growth of profit. Programs in bonuses and premiums. To work out a program of actions for chiefs of departments. 4. Strategic personnel management in LLP Firm Terminal To increase a part of the market, to improve servicing, to improve quality and productivity To prepare managers to current changes of the business Programs of development for managers of higher level. Workshops, devoted to the development of personnel potential on corporate level. Trainings in skills of managing in small groups. Projects on personnel growth on the company. Creation of the system of defectless functioning. To work out a program of actions for chiefs of departments. Strategic program of actions for the period of Chapter V