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By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


Maliha
Graduating with an MBA from Karachis leading
private business University, IOBM, Syeda Maliha
Hasan (or Malo for short) joined MAFOM
Pharma as a Manager for product development.
After 6years studies, with a high GPA and
excellent references from her professors, she
was ready to take on the world.
After completing her BBA she had worked for
two years at KAHO TV as a Pharma Marketing
Expert, gaining valuable experience before
returning to do complete her MBA. She had
hoped to join a multinational like P&G but no
one was hiring when she got her MBA. She had
loved her internship with Glaxo SmithKline and
enjoyed the thought of being in the
Pharmaceutical sector.
Eventually a chance meeting with Mehmood
Qureshi, the MD of MAFOM Pharma, at a fund
raiser changed her chances of getting a suitable
job. MAFOM Pharma originated as a trading
company from Mardan that went from trading
activities exporting cotton to packing
medicines. In time it shifted its head office to
Karachi where it got into a joint venture with a
medium sized French company, Medicines Avec
Frontiers MAF for short.
Malo had done well at KAHO TV she was hard
working, ambitious and always ready to take
the initiative. As a star performer she caught
the eye of many people. One such person was
her owner- boss who was going through a
midlife crisis. She had attracted unwanted
attention from him and as he sought to come
terms with his life at that stage, he had made a
pass at Malo who was unsure whether to fight
him or not. In the process he suggested she
become his mistress in exchange for rapid
career growth. He had given her the key to his
hotel room where he would be spending the
weekend.

And if I refuse? she asked


If you say yes, we will have a lot of fun
together and your career will shoot into space.
You will go places in this company and we will
enjoy ourselves a lot he paused and then
added very directly Otherwise your career here
at KAHO is over
But Im engaged! And youre married with kids.
How will your wife feel?
Hmm, my wife knows that boys will be boys. I
provide her a home, money to burn and good
living. That is what she wants he said it as a
matter-of-fact and smiled back.
She was shocked and furious. She contacted
other senior people in the company but they
seemed to think it was an acceptable price for
rapid career growth. One even told her that not
everyone got such an opportunity. She went to
the HR department but they flatly suggested
she get another job. Malo then complained to
her fiance Noman, expecting him to fix it.
Noman however, had other ideas. When they
got married, the extra money would come in
handy and they could afford so much more he
could get a nose job. But hes harassing me!
So? came Nomans reply It is your problem:
you deal with it. Give him what he wants or
leave the job. It is simple. I am such a great help
to you
Then she had a big break --- a job offer with
Nestle Foods. One of her IOBM professors
strongly recommended her. They offered her
everything she had dreamed of and more but
her fiance, Noman, wouldnt let her take it.
Noman had wanted to join Nestle but couldnt
even get an interview. He was deeply jealous
and made sure that Malo didnt work there
either. With a C grade from Shah College, he
was working at a Call center for NEL. So she
returned to IOBM again on a scholarship to get
her MBA. Noman was annoyed that she didnt
have any money to lend him during her studies
and frequently told her what a drag she was on

1
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


his finances although he never paid for anything
she did.

Qureshi took extended leave and a successor


was appointed.

After Malo completed her MBA and was about


to join MAFOM Pharma, Noman was happy
again because now he would get her to take
him to movies, buy him expensive items and
pay for his Hairdressing parlor bills where he
spent hours grooming himself, especially his
moustache that was his pride and joy.

Humayun

The MAFOM Management


The Zarmina Group in which MAFOM Pharma
was its flagship company and most profitable
unit -- was the brainchild of Captain (Retd)
Sultan Sherwani, husband to a wealthier
younger wife, Zarmina Khan, the daughter of
Nawab Zahid Khan, a one-time Provincial
Minister and progressive landowner. He had
two brothers in the group, along with several
relatives. Their eldest son, Sultans stepson, had
studied in the US where he had met and
married a minor Emirati Princess with family
interests in the Far East. Their daughter, Mina,
an artist, was busy enjoying life in the south of
France while the youngest son Khalid, liked to
spend time in the Far East, especially Singapore
where he had settled. MAFOM Pharma was a
joint venture between MAF - Medicines Avec
Frontiers - a medium sized French company and
Sultan Sherwanis medical distribution company
Oriental Medicines (OM). Sultan Sherwani was
Group Head and Chairman.
MAFOM Pharmas Managing Director (MD)
Mahmood Qureshi, was an MBA from the
Wharton school of Business; and had worked in
France for many years. He had joined MAFOM
at Sultan Sherwanis request as the two got on
well together - often playing bridge at the Sindh
Club. Mahmood Qureshi had made a huge
success of MAFOM and was always looking for
talented managers. Unfortunately a few months
after hiring Maliha, Mahmoods wife had a
relapse. Her cancer had got worse and she
shifted to France for treatment. Mahmood

The man who took Mahmood Qureshis place


was Humayun Shareef, General Manager (GM)
Finance at Zarmina Tiles. Humayun was a
Chartered Accountant (CA) from the UK and he
related to the famous singer Waheed Sharif.
Humayun was a soft spoken, quiet man who
had successfully reduced costs by 20% and laid
off 200 workers. However in their detailed
evaluation of the 52 year old Humayun, both
Mahmood Qureshi and Francois Martel did not
consider Humayun Shareef executive material,
had doubts about his integrity as a leader and
preferred him to be kept in a support role.
But a dozen years earlier Humayun, then aged
40, had married Faryal who was niece to
Zarmina Khans cousins sister-in-law, which
assured his career at the Zarmina Group. Just
as Mahmood Qureshi was about to leave
behind Francois Martel as his successor at
MAFOM, a scandal in Zarmina Khans family
drew everyones attention away from MAFOM.
Added to this Francois began to get death
threats from mysterious extremists so that he
left the country in a hurry. Meanwhile
Humayuns wife Faryal resolved the family
scandal as a mediator. In recognition of her
services, Humayun was appointed the new
Managing Director of MAFOM with Zarmina
Khans backing in the absence of Sultan
Sherwani, who was away in France at the time.
Humayuns first decision as Managing Director
(MD) was to close down the Human Resources
(HR) Department. Quarterly reviews became
yearly; bonuses would be based on overall
company, not individual, performance. His own
salary would be increased by 20% every year
regardless of how the company did. This made
hiring much easier as no candidates were
needed to be vetted with difficult job
descriptions to be followed. He assured
2

This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


everyone that he was doing this for the
companys own good, so that hiring could be
immediate and fast tracked. The result was a
hiring policy that ensured that most Director
and GM posts eventually went to Humayuns
friends also Accountants. He felt that MBAs
were arrogant while Accountants like himself
were reliable. The HR Department was
considered a key asset of MAFOM by its parent
company in France MAF but Humayun felt
that HR people would not allow him to hire his
friends, their sons and other well connected
people who could bring lots of business in, so
he got rid of it.
Another area which Humayun did not like was
Ethics and Compliance Committee. Its job was
to oversee all senior management moves and to
ensure fair play, honesty and justice in all
management decision. It reported to the
Chairman and was not accountable to the MD.
Humayun made a number of excuses such as
high costs, its unnecessary disturbing of the
busy chairman and tried to embarrass or cajole
its members. He paid them late, withdrew their
allowances and made their lives miserable so
that one by one they got themselves assigned
to other areas in the company and he was able
to close down the committees functioning. He
did all this in the absence of the chairman who
was still away on business.
Humayun would have preferred if Maliha left,
so her job could be taken by one of his friends
but because she had been hired by Mahmood
Qureshi, he thought it best to keep her until
such time as he could replace her with someone
less honest.

Exhibit 1
Background Information on the
Owners of The Zarmina Group

Sultan Mohammad Khan Sherwani was born on


2nd June 1936 in Aligarh, British India, where his
father, Dost Mohammad Khan Sherwani, a Pakhtun
from Mardan, was sent to study at Aligarh
University for a degree in law. Originally from
Afghanistan, the Shinwari tribe members that
settled in the subcontinent were called The
Sherwanis. After his fathers graduation, Sultan
grew up in Aligarh and at the time of partition
when his family moved back to Mardan in
Pakistan, he was sent to study in the UK. After
finishing boarding school, he did chemical
engineering and then worked in the UK and
France for a few years. He was 27 when he
arrived at his ancestral home in Mardan for the
first time. Sultan did not like Mardan at all and
found his family members there too limited,
feudal, selfish, greedy and mean. His Pashto was
also as poor, as he was eloquent in Urdu, Farsi
and English. He joined the Pakistan Army in
1964 and after his training was posted to Gilgit.
However after some years there, his wife and
baby daughter were killed in a landslide in the
northern areas and he left the army shortly
afterwards, heartbroken. He then set up his
business in dry fruits, transport and mangoes
and finally setting up factories in agro based
medicine. His business eventually grew large
and prosperous and he did not remarry for
another decade until he met the woman of his
dreams. He then settled down with her in
Karachi where he set up MAFOM Pharma under
her name, Zarmina.

Zarmina Khan [Sherwani] was born at Wah


Cantt in 1950 to a family of large land owners.
She studied at the Murree Convent and
completed her Cambridge (OLevels). At the age
of 16 she accompanied her grandfather to Paris
who was posted there as Commercial Attach at
the Pakistan Embassy. While in Paris she was
then married to Kambakht Khan, who was
studying Law at the Sorbonne. The marriage
lasted less than a year because Kambakht would
not stop chasing the pretty Parisian women. Her

3
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


family however did not allow her to return to
Pakistan due to the dishonor of being divorced.
Zarmina remained there, alone, until the death
of her grandfather when her parents asked her
to return home. Back in Pakistan, proposals
flooded in for Zarmina because she was both
very pretty and quite wealthy.
Giving in to society pressure, she married Shahid
Cycle, scion of one of Pakistans famed 24
families. Her life with Shahid was happy and she
had a son, Hamid, by him. In late 1973 Shahid
fell ill from Hepatitis B and died. Grief stricken,
she returned to Wah to live her life with her son.
Zarmina continued to receive proposals until
1975 when the PPP Prime Minister, Zulfiqar Ali
Bhutto, nationalized and seized most of the
Cycle businesses and threatened Zarminas vast
landholdings. Undaunted she went to court to
fight the government for her assets and became
known for her fierce and independent character.
In 1980 she married Sultan Sherwani, an older,
upright businessman. Both Zarmina and Sultan
soon became the closest of companions and
lived their lives in great happiness.

Career Break
MAFOM had not been Malihas first choice but
another one of her IOBM professors strongly
recommended her. MAFOM Pharma had an
office in Clifton, a warehouse in Korangi with its
main factories in Mardan and Nowshera. In
view of her strong 2 years of work experience,
relevant internship, high grades and
membership of many societies at IOBM, Maliha
was given a starting salary of Rs70,000 a month,
a Cultus Car with petrol, a big office with a
personal assistant and several facilities. A new
drug UrrubbishMate.2 was about to be
introduced and she would be responsible for its
success. She also had to manage the older drugs
Itsnotallcrap1 and Itsallcrap2. Initially Maliha
was a part of the Product Promotion
department in the Marketing Division but after
6months she was transferred to her own area
at URRUBBISH Products or UR for short. The
work was exciting and challenging and she was
learning so much.

The environment was clean and polite with no


use of bad language or physical innuendos. No
men, both young and older, approached her
with their midlife crises or for any other
favours. Her bosses were amiable,
professionally focused and ready to help. She
wanted to do well but was unsure if she was
good enough for it. She was scared they would
find out how she really was and Noman used to
tell her all the time what a useless person she
was.
Her parents were no better. They used to tell
her she was no good and would never amount
to anything and that the best thing that ever
happened to her was her engagement with
Noman, which her mother had arranged. It
made her determined to show she was not just
good but better and it drove her on. But she
also felt insecure: what if she really wasnt any
good? What if she had just been lucky, as
Noman kept telling her? What if they found that
out about her at MAFOM? She was desperate
to do her best and drove herself to be perfect in
everything so that they would not notice her
shortcomings. And yet, Malo was plagued by
doubts about her competence. Was it just her
good luck?
Promotion
After three years of hard work and continued
perseverance, Malo was promoted to Senior
Manager Products with a two million a year
salary, generous allowances for among other
things entertainment, phone and electricity a new car, corporate membership of the
Dreamworld club, more travel allowances. She
would be sent on training for two weeks in the
companys operations in France. She longed to
see Paris how wonderful this would be! The
management announced it at the National Sales
conference and so many of her colleagues came
to greet and congratulate her. It was because
she was well liked, highly respected for her
accomplishments and easy to approach for
advice and counsel. In her office Inbox, she
4

This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


received a flood of congratulatory messages
and compliments with comments like:
It couldnt happen to a better person and
from juniors: You are my ideal: calm,
aggressive and polite and I wish I could be like
you. Feeling good she had taken sweets to her
fiance. They were to marry in 3months. But
Noman, as usual, was derisive:
Youll be sacked once they find out what you
are really like! You were just lucky this time but
your luck wont last. And dont think I dont
know how you got your promotion
She was confused by this: How did I get it?
she asked
Same way you always do! he shot back You
had an affair with your boss, maybe even with
two bosses!
What!!!!? She screamed at him
Dont what me! said Noman we both know
you are no good. You are a useless woman,
incapable of doing anything right. You got the
promotion and didnt call me immediately. First
you went to thank your bosses. That tells me
something about you. You are like that!
Malo was shocked: how could he say such
things about her? This was the man who had
borrowed Rs100,000 from her last week,
thousands of rupees in the past 6years, who
was unemployed most of the time and never
had a kind word for her. And then he used her
car for the past two months to take out a client
from BIG TEXTILE MILLS and he was talking like
this? How jealous could this man be?
How dare you say that! How dare you? she
cried
Noman broke their engagement. He had spent
so much of the money she had earned on
himself and was never nice. Now he announced
that he was going to be marrying Mr. BIGs
daughter of BIG TEXTILE MILLS in Faisalabad.
Mr. BIG had bought him a Honda Accord as a
wedding present. It was goodbye. Malo was
devastated.

Reporting Lines
While on her training orientation at IT, Maliha
reported to Ilyas Patani - a Humayun Shareef
appointee who was serving as the General
Manager (GM) for Information Technology (IT).
Ilyas had spent a lot of time in the USA and
made much of the fact. Although his resume
sounded impressive, Ilyas came across as a bit
insane. But Humayun explained this as a sign of
genius.
In the first departmental meeting that Maliha
attended, Ilyas Patani announced that hed
been Director of IT at Citibank posted in Florida;
he commuted to New York many hours away by
the corporate jet with the Citibank chairman.
Malo remembered that John Reed had been a
Chairman at Citibank from an old case study
shed done in her Strategic Management
course. To make herself an agreeable team
player she jumped up excitedly to say: You
must be knowing John!
Who? came the reply
John Reed. You know John. He was the
chairman of Citibank then in New York?
Ilyas glared her angrily and shouted You MBAs!
You MBAs! You think you know everything! and
marched off angrily.
A few days later as Maliha was testing the
system for her department, Ilyas came in and
announced: Theres Miss know it all! The MBA
Ilyas wanted to know where she had learned
about John Reed from?
Maliha bluffed: From Sally
Who is Sally? asked a troubled Ilyas
Well Sally Reed of course. But you already
know the family. Such a nice family arent they sir!
Ilyas let out a loud squeal, shouting You MBAs!
You MBAs! You MBAs! You MBAs! and again
marched off. A few days later he had forgotten
all about his bank days and was telling his
admirers about his time at Apple Computers
which he had turned around single handedly;
5

This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


where he and Ronald Jobs were best friends.
Again he came around and made fun of Maliha
with his stories. He seemed to imply that this
twit of a girl knew nothing and that men of the
world like himself ran the world.

but whose family was from Multan where the


Sherwanis had some Mango farms. Finally
there was another new employee -- Anees
Anwar -- a childhood friend of the 52year old
Humayun Shareef, the new MD.

Maliha politely said she was really impressed by


Ilyas experience but did he know Steve Jobs
the founder of Apple - who gave us I-phone and
I pad? And wasnt Ronald the clown at Mac
Donalds? Or was she mistaken?

Omar did not like reporting to a female boss


and frequently ignored Malos instructions.
Shakir was very attentive but wanted to go out
with Malos younger sister, despite having got
married to his own 15year old cousin the year
before. Anees Anwar, had twice registered for
MA degrees, giving his friends the impression
that he was a double MA. Anees wanted more
money; wanted the office located near his
home in Garden East; wanted a company car
with a driver, rather than the company van he
came in and an I-pod. Anees would have
preferred to be the boss, lounging around in a
big leather chair wearing a Texan cowboys hat
with a beautiful secretary outside. He looked
forward to such a day, if it ever came,
preferably before he died.

Ilyas was not seen for another month after


which he described his days with NASA and the
Space Program. He told everyone about how in
space there were no MBAs.
Maliha had had enough of stupid, bossy men.
She wasnt going to put up with Ilyas for a
moment longer than she had to. After all
Noman too had been a stupid, bossy man.

Team members
Back at MAFOM Pharma, the department was
being transformed. New people were being
inducted.
Javed, a BA from Rahimyar University was hired
on a low salary but his sponsor Mr. Saleem Haq,
a grade 22, Federal Secretary was promised the
world for him;
There was Najmi Maqsood, an MBA from some
University in the Philippines I am so happy
today. I spent the whole morning admiring my
face. Allah be praised: I am so beautiful. All of
you are so lucky to see me everyday. My
mother says I am the best looking man she has
ever seen.
His Mum is probably blind, thought Malo.
There was Shakir Khan Sherwani whose fathers
cousin was related to the chairman of MAFOM
Mr. Sultan [Khan] Sherwani and Omar
Perwaiz, who had lived in France for some years

MAFOM environment
Despite an environment with little or no office
politics, there were problems. One day, Shakir
and Najmi were working together on the ALU
Distributors file when Najmi picked up Shakirs
pen: Nice pen. Very beautiful he said,
admiring the blue lacquered instrument. Thank
you said Shakir. Najmi went talking: It goes so
well with my clothes. Because I am so good
looking it looks good on me. Shakir was busy
with his work: yes lets do our work here. What
do you think ALU wants to do business with us
for? Isnt the amount small for such a large
company? Why come to us? Najmi wasnt
paying attention You know this pen is the one I
want Now Shakir wasnt listening: We need to
find out what terms Novartis are offering is so
that we can give a competitive bid. Lets get a
print out and sign it Shakir went to get the
printout. When he returned he put the paper
6

This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


down and suggested they sign it together. He
looked around for his pen. Wheres my pen?
Najmi! Where is my pen? Najmi looked at him
blankly What? My pen damnit? You had my
pen give it to me! Najmi said: You took it
with you Shakir was upset he couldnt
remember when he took his pen or where he
had put it.
Najmi got up and borrowed one from Ismail. He
came over and signed and told Shakir to sign.
Shakir took the pen and said: You idiot! said
Shakir, unable to control his anger youve
signed under my name. Well have to take out
another printout. Let me give the command
again as he bent over the workstation. He was
about to get the printout when Najmi asked for
the pen back and getting it, walked away with
something noticeably pen like in his pocket.
Shakir saw it and felt still angrier. Shakir caught
up and demanded his pen again and the
argument became heated. Soon they were
physically fighting.
Omar rushed in and shouted: Fight! Fight! and
called others to have a look the odds are 4 to
3. 4 TO 3 place your bets! More people think
that Najmi will win: place your bets! Place your
bets! Malo came running in and tried to get
between them to stop it but by mistake
someone hit her and she fell down. They
stopped and lifted her onto a chair. Shakir and
Najmi were still cursing each other when Shakir
discovered his pen in his trouser pocket.
Embarrassment and apologies followed and
they laughed it off over some hot tea and
samozas.

Problems
Maliha was not the only one to have been
promoted. Shakir had also been promoted to
Assistant Manager which was the same level as
Omar and above Anees. Maliha tried to
convince Humayun Shareef at least to give
Omar more money in recognition of his
services. Many Doctors had complained about
Shakirs arrogant attitude while praising Omars

mature, friendly manner. Humayun Shareef felt


he had done enough for Omar and refused.
Omar became very angry and blamed Maliha
for favouring Shakir.
Next Javed was found to be selling
complimentary drugs (i.e.: free samples) and
pocketing the proceeds. His salary was
deducted as a fine. He blamed Maliha although
it was Humayun Shareef who ordered the
deduction without informing Maliha. Unable to
afford lavish living in Karachi anymore, Javed
left MAFOM Pharma, informing his powerful
uncle in Islamabad who called up angrily to
complain about Maliha. He was unhappy that
Javed had not been promoted when Shakir
Khan had been. To please him, Humayun cut
Rs20,000 per month of increments from
Malihas pay for 6months. She was speechless.
A week later the General Managers Committee
called Maliha in. They were cold and distant and
accused her of fostering an environment of
distrust that caused her colleagues to act
abnormally. No matter what she said, they did
not listen and suspended her new benefits. She
would be on probation for another 6months. In
addition Humayuns pay cut of Rs20,000 per
month would be applied to her old salary. She
was considered a bad manager while Humayun
Shareef saw he might soon be rid of her and
contacted his friends for a possible, upcoming
job opportunity once Maliha left. At the same
time, to safeguard his interests, he informed
the Chairman that Maliha was not working out
for the company and might have to leave soon.
Malo came back to the department with her
bruised face feeling low. Shakir was again
looking for his pen. Najmi was last seen using it
and Shakir was trying to find him. Omar came
up and encouraged him to have a real fight so
Omar could arrange a proper betting session.
Shakir now turned on Omar: You Arains are
messing up everything here. You want everyone
to fight so you can get the top post. But I know
you and I will be the top person here not you!
7

This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


Omar didnt like the tone of Shakirs voice and
hit back: You corrupt Sherwanis! Who do you
think you are? This is a French Joint venture! I
know French and they will come here and make
me manager! I will lead this department! Soon
they were fighting as well. Malo didnt know
what to do. Just yesterday she had intervened,
got punched and today suspended. After quite a
few things had been broken and files and paper
flying she started shouting but no one heard.
Finally she screamed. There was a sudden
silence. Please dont fight: please, please said
Malo and began to cry. Everything she had
worked for was gone. She had lost control and
this might be her last day on the job. People
started looking busy and working again. They
gave her some tea.
Everything she had worked for was gone. She
had lost control and this might be her last day
on the job.
Once calm had been restored, she tried to
speak to each one individually, but they
patronized her for being only a woman. Shakir
declared he would get Omar removed and
having made the threat followed it up by
demanding a posting with a bigger car in
Islamabad as Regional Manager. If she didnt he
would get his uncle who was related to the
Chairman to intervene. Maliha tried to reason
with him but he wasnt interested in hearing
her. He demanded that Maliha immediately
issue orders for the posting. But Maliha knew
that only Humayun Shareef had the authority to
do that. Annoyed at her non-cooperation he
stormed off. Her talk with Omar fared no
better. He felt that she was taking Shakirs side.
Shakir had been promoted hadnt he? Omar
complained to Humayun Shareefs managers
about Malihas high handedness. He refused to
listen to a silly girl.
Resolution
The next day was a holiday but Maliha came
into work as she was going on tour from the
next week. Humayun Shareef saw her and

enquired about the incident between Shakir


and Omar. Maliha didnt want to talk about it.
Being punched by mistake, demoted, having her
pay cut was enough de-motivation. And then to
go home to a family who blamed her breaking
up with the wonderful Noman was getting too
much. She was beginning to lose focus and snap
at people and couldnt remember the last time
she was happy. Humayun told her not to worry
as he would have a word with them sometime
next week.
Islamabad
The cool winter weather of Islamabad made her
feel very good about the world. But a week into
her trip she got an SMS from Humayun Shareef
ordering her to drop everything and rush back
to Karachi by the earliest flight. She made the
booking but realized it was a call to crisis again
and she suddenly felt very old and tired beyond
her years.
Karachi
It was a public holiday so the office was closed
as she entered. She had come directly from the
airport from where her parents picked her up.
Seeing her frail form, they had hugged her and
said nothing. For the first time in so long she
felt like they understood by their silence. They
took her to work and parked outside and said
they would wait there until she was done.
She went inside to Humayun Shareefs office
and sat down. He told her hed spoken to Omar
and Shakir and showed her a paper with a long
list of accusations. She read the paper until her
eyes rested on:
We Omar and Shakir have no idea what that
conniving Maliha is talking about. She is always
lying and insulting us with her behavior.

Maliha looked up and protested: I have


always treated them with respect. I dont
understand why they would say such
things... READ ON commanded Humayun
8

This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


We are ashamed to be in the same room as her
because she has shown us a list of Zarmina
Khans lovers
WHAT?! said Maliha WHAT? She went on
reading
How can we not be ashamed to be in the same
room as this vile person! I requested a posting
only to get as far away from this vile witch!
Omar complained to the other General
Managers because we were so shamed by this!
What has my family done to deserve this
treatment? Please tell us how we can face her
again after this dishonor! Help us please Sir
Humayun please help us!

company cannot take this kind of nonsense!


Hand in your resignation today and Ill give you
a recommendation and three months extra pay
which is very generous. I am sorry it had to end
this way. But its over.
Goodbye

Maliha was stunned, but Humayun Shareef


wasnt listening. Maliha got up from her chair
and walked out with tears rolling down her
cheeks. Her career in Pharmaceuticals was over.

---------------------This is ridiculous! Zarmina Khans only lover


would be her husband Sultan Sherwani
Stop acting Maliha! We both know Zarmina
Khan was married before she got to Sherwani
sahib. And we all know what kind of family they
are. Look at the scandal they had when Qureshi
sahib was leaving. My wife had to work so hard
to save the situation!
I didnt know she was married or that there
was a scandal ---
Dont act so dumb! Ilyas Patani says you know
about everyone, even about top Americans
Top -- ? I read Businessweek and the
Economist and Dawn. I was a business school
student!
MALIHA KHAN!! barked Humayun loudly
Its Maliha Hasan. Syeda, Maliha Hasan she
interrupted him calmly
Maliha! Your career here is finished. You have
created a huge mess in your department and
everyone is angry. You lied about Shakir and
Omar. I dont know what you said to Javed but
the Federal Secretary, called up especially to
complain about you! You cant do business in
this country if you annoy a Federal Secretary.
Its simple as that. You have to go because the
9
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN

Epilogue:

Maliha eventually became Chairperson and


Group Head for the Al Khalid Group in
Singapore, where she settled down after
marrying a wonderful man. They have two
delightful kids.
Faryal Shareef - Humayuns wife - was found
out to have engineered the scandal in Zarmina
Khans family so that Humayun was transferred
to Somalia, where he eventually became a
pirate. Javed joined the PTI and migrated to
South Africa where he set up a sweet shop
named PTISA.
After Humayuns transfer to Somalia,
Omar quickly left the company and joined City
School but now has only women bosses; Shakir
too, sensing trouble, migrated to Mongolia.
Najmi is now a highly paid male model for Veet
but everyone still hides their pens when he is
around. Noman was kicked out by Mr. BIG and
has joined the circus. He can be seen in the
Monkey act

---------

DISCLAIMER: All names and industries have


been changed. All characters whether alive or
dead are purely fictional and any resemblance
to any living person is purely coincidental.

10
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN

MAFOM PHARMA
Exhibit 2

Organizational notes on MAFOM Pharma Ltd


Chairman --- Board of Directors (Directors from MAF, ZG, OM, NBP, IFC, SABIC)
|
Managing Director (MD) (CEO)
|
Deputy Managing Director (DMD) (CCO)
|
Marketing
Division
Finance Division

Administration
Division

Pharma
Production
Division

IT, R&D
Strategy
Division

Marketing & Product Development Division

Executive Cadre
Director
(C M O)

803,000pm

plus 710,000pm benefits

Accord + Civic

General Manager (EO)

465,000pm

plus 500,000pm benefits

2 Civic / 2 Corolla

Manager Cadre
Senior Manager (Maliha after promotion) 167,0000pm Plus 275,000 pm benefits

City /New Swift

Manager (Previous Maliha)

55,000 pm

140,000pm benefits

Cultus Car/Passo/ Vitz

Senior Asst Manager (OMAR)

43,000pm

70,000pm benefits

Alto / Mira

Asst Manager (SHAKIR/ NAJMI) 37,200pm

60,000pm benefits

Cuore Auto

31,000pm

45,000pm

Car loan / Mehran

24,800pm
20,250pm
17,050pm

30,000pm
20,000 pm

Motorbike/Van
Company Van
Company Van

Officer Cadre
Senior Officer
Officer
Asst Officer
Trainee

(ANEES)
(JAVAID)

Bonus and incentive rewards are earned. Extra performance is compensated by cash awards, foreign vacations,
local vacations, access to beach huts Hill cottages City Rest houses, foreign training programs, better facilities,

11
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


club allowances, time off, school/college fees, local or foreign medical treatment, stylish mobiles, entertainment
facilities, up-graded travel allowances, share options for stock in Pakistan and or France, US, EU (E cadre) and so on

Abbreviations: CEO Chief Executive Officer (MD)


EO Executive Officer

C_O C-SUITE OFFICERS

All Directors are in the C Suite and have C (Chief [?] Officer) titles, e.g.: Director Marketing is CMO;
Director IT is CIO; Director Corporate is CCO (= Chief Marketing Officer; Chief Information Officer; Chief
Op Off; Chief HR Officer; Chief Technical Officer; Chief Strategy Officer and so on)
HIERARCHY titles:
Rank
General Manager
Senior Manager
Manager
Assistant Manager
Officer
Trainee

Age
50
40
35
30
25
21

Avg age
53
46
43
33
29
25

Exp. Qualification
MA/MCOM/MBA
MA/MCOM/MBA
MA/MCOM/MBA
MA/MCOM/MBA
MA/MCOM/ BBA
BA/BCOM

Tenure
12
8
10
7
7
3

Avg increments
17
12
12
10
8
2

The HR (Administration Division)


Career Planning & Development
Exhibit 3
There are 2 career paths at MAFOM. One is the normal progression path where rankers are allowed to rise in
time and according their ability. The second is the fast track to which talent is recruited and tested through initial
Management Trainee Program (MTP) at the initial level and the Key Employee Program, where employees are
identified as important, essential and key to the success of the company leading to early promotions, tougher and
increasing employment challenges and higher compensation packages. MTP are hired at the Assistant Manager
level without benefits confirmation as Assistant Managers. This exhibit demonstrates the normal progression path .

Manager Cadre
Rank

Minimum Age Av age Degree for starting

Tenure

Avg increments

Senior Manager
Manager
Senior Asst Manager
Asst Manager

30
25
25
23

7
7
7
5

6
6
6
9

38
43
32
26

MA/MBA/MS
MA/MBA/MS
MA/MBA/MS
MA/MBA/MS

Officer Cadre
Rank

Minimum Age Av age Exp. Qualification

Tenure

Avg increments

Senior Officer
Officer
Asst Officer
Trainee Officer

30
26
21
19

11
7
6
2

14
9
5
1

34
29
24
22

MA/MCOM/MBA
MA/MCOM
BA/MA/BCOM
BA/BCOM

Retirement age is 62years which is mandatory for all except Key employees
12
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


Employment Conditions
Exhibit 4
Probation: All employees, except Trainees, are on a 3month probation period from the start of their
employment. On successful completion of the 3month probation, employees services are confirmed
wherein they are invited to join the provident fund (PF), avail of leave, medical benefits, receive
insurance cover and so on. Their salary is usually increased by 5% or 10% as an indication of successful
completion of the probation period. Employees may sometimes have their probation extended to
6months, 9months or 1 year. Such an employee may require more grooming, training, guidance or
counseling to reach the required parameters of the job for which they were hired.
1 bonus equals a months salary. Maximum bonuses are paid as follows:
E cadre
M cadre
O cadre

2 bonus per quarter


- 1 bonus paid in FCY
1.5 bonus per quarter
1 bonus per quarter

A quarter is 3months
Bonuses: All employees must receive 1 bonus per year in order to remain employed. Any employee
ending the year with no bonus received, will be asked to resign as follows: any employee who has not
been paid a bonus in the quarter is put on probation for a minimum of 3months, given any training as
needed, as well as counseling, guidance and helped to return to a normal operational output.
Every year salaries are increased by 5% to 7.5% as COLA (Cost of living Allowance) award.
1 increment, given annually, is equal to approximately 7.5% (range 7% to 7.875%)
The salary is divided up as follows:
Basic salary
Rent Allowance as 55% of basic
Allowances paid as 20% of
_____________
Total pre-tax salary

Example

10,000
05,500
02,000
______
17,500

13
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

By Professor Baber Saad Khairi SPRING 2016

A DAY IN THE LIFE OF CORPORATE PAKISTAN


Confirmed Employee Allowances
Exhibit 5
Provident Fund is deducted as 10% of Basic salary directly from salary and deposited as Employees
contribution. Employers matching contribution is made as 12.5% of basic salary. An employee may
withdraw his/her own and his/her employers contribution plus profit earned on the gross amount after
5 years.
Gratuity is paid after 5years as 1 total salary per year of service at the latest total salary. So if according
to the above example the employees salary after 5 years has advanced to a basic of Rs15,400 and a
total salary of Rs26,950pm, that employee will be paid Rs134,750 as the gratuity earned - in addition to
the provident fund contribution as earned - and any other termination dues.
OPD (Outpatient) is an allowance for medicines, doctor check up and any spending on the employees
medical condition. It is budgeted as one total monthly salary per year at the Officer cadre; two total
monthly salary per year at the Manager cadre; three total monthly salary per year at the Executive cadre
unless already covered by medical insurance policy or if the employee wishes to seek medical attention
outside Pakistan at a mutually approved facility. All employees are covered by medical insurance.
Termination dues are any amounts such as earned leave, medical allowances as pro-rated, bonus and
options due/earned but not yet paid and any other amounts owing to the employee at the time
departure from the company.
Employee Leave Policy All employees are entitled to 25 days privileged leave earned per year which are
allowed to accumulate for a maximum of 3 years. In addition all employees may avail themselves of 10
days of medical leave and another 10 days of casual leave which expire at the end of the companys
financial year. Additional privileged leaves may be earned in lieu of bonuses, share options, or other
incentive programs. All privilege leave granted is only for working days. For example a 31day month
might have 9 days as weekends, therefore an employee availing privilege leave during the whole of that
month will only be counted as having taken 22days of privileged leave, allowing the employee 3 days of
privileged leave balance outstanding. Similarly if there are any public holidays that fall during that period
these will be deducted from the total of the leaves taken unless these already fall on a weekend.

Study Questions:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.

Does MAFOM have a competitive compensation structure?


Why is senior Management paid so much more than the lower cadre employees?
Is the executive cadre paid too much?
What is the organizational structure of MAFOM?
What kind of organizational structure would be better for MAFOM? Explain.
Is this a good organizational culture? If not, what issues need to be addressed in this culture?
Is Humayun Shareef a good Managing Director (MD)? Why and why not?
Why is there so many politics in this organization?
Why is there so much emphasis on Talent and Key employees at MAFOM?
Should Maliha accept her termination? What should Maliha do when faced with termination?
What other information do you need to better understand and use this case study?

14
This case prepared for discussion in Seminar for Business Policy. Baber Khairi may be found at: bkhairi2004@yahoo.co.uk

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