OGDCL.Problems

Outdated procurement procedures and stores inventory management system of OGDCL undermines OGDCL‘s performance. There is no formulized criterion for reserve to production ratio, which can compare their performance with the past.

No job description concept is prevailing in OGDCL.

There is injustice distribution of work among the employees.

There is no check and balance to monitor.

No experts for ORACLE software in spite of its implementation in OGDCL.

No planning is being done before initiating any project e.g. Implementation of ORACLE

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Environment is initiative killer, as there is no say of its employees.

Bureaucratic form of administrative setup.

Greater distances in hierarchy.

Delayed decisions due to prolonged procedures.

Adhoc approach to resolve major issues.

Political influence is being exercised for recruitment.

Members of Board of Directors are all outsiders, and selected by Government.

OGDCL

PROBLEMS AND SUGGESTIONS . 6.1 PROBLEMS







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Members of Board of Directors are all outsiders, and selected by Government.1. Unawareness of Employees from Latest Technological Changes. Technical and non technical employees working at field / wells sites in far away areas of the country do not have any access to the latest modern and technological changes, literature etc. 2. Lack of Career Planning Of Employees. OGDC is only organization in the field of exploration and development of oil and gas resources of the country, but unfortunately does not use scientific techniques in career planning of employees.







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Members of Board of Directors are all outsiders, and selected by Government.3. Unfair Utilization of Transport.

OGDC have a large number of vehicles, mostly at sites but they are misused by their location in

charge. While officers of Equ. Grades 19 are not entitled to have official transport. OGDC also

provides pick and drop facilities to stop and officers to some extent with few Buses / Cosdters

but it is not sufficiently only few percent get benefit from this.







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Members of Board of Directors are all outsiders, and selected by Government.4. Unnecessary Purchases at Sites

Due to less accountability and more delegate powers, location incharge use their powers towards

petty cash purchases from local market. OGDC have a centralized procurement department but

stocks are accumulated in the absence of the strict rules and policies regarding purchases and

stock position.







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Members of Board of Directors are all outsiders, and selected by Government.5. Poor Method of Recruitment

To recruit the employees both internal and external methods are used but the corporation gives

preference to the internal method. The main draw back of this method is that it blocks the way

for new generation which carry new ideas and knowledge. Further more the recruitment system

is also influenced by the nepotism of politicians.







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Members of Board of Directors are all outsiders, and selected by Government.6. Injustice Way of Awarding Training. Training is used to develop the skills of the employees in this regard lot expenditure is made on training but unfortunately training facilities is also awarded to the employees based on nepotism. 7. Promotion Policy. Promotion policy is the mixture of both merit and seniority, but in practice emphasis is given to ACR and can say that where there is ACR there an id a favoritisms







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Members of Board of Directors are all outsiders, and selected by Government.UGGESTIONS During my stay in OGDC I carefully observed the major weakness. For this weakness, I suggested the following practicable remedies to improve the existing practices.

1. With the passage of time many modern technologies changes take place in oil and gas industry,

OGDC must take necessary action to acquire modern technologies so that they can compete at

international level and in this way they can play more effective role in Pakistan’s economy







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Members of Board of Directors are all outsiders, and selected by Government.2. OGDC have a plot at blue area Islamabad for office building, the construction work may be started

as soon as possible as OGDC have no shortage of funds, and the only mile stone in this way is

administrative approval.

3. They should to pay full attention to the intensive professional training of staff in related fields. The

department concerned can organize professional training at OGDC or with outside agencies etc







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Members of Board of Directors are all outsiders, and selected by Government.and latest literature newspapers and magazines etc of professional interest should be provided at

sites free of cost.

4. Al though the management in recent past takes some initiative in this area, a new department

“career planning department “ is created and few posting were made in this department . But to

achieve excellent and positive results rapid operations are too much essential.







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OGDCL







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Members of Board of Directors are all outsiders, and selected by Government.5. Management should try to develop maximum and minimum store inventory levels and also 100% physical

verification to be done at least once a year. The powers of location in charges should be reviewed and

minimized.

6. Management must take necessary action to control costs i.e. administrative and selling expenses







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Members of Board of Directors are all outsiders, and selected by Government.7. To offset recruitment bias favoritism should be completely discouraged. And try to eliminate political

interference in recruitment, because it will affect the efficiency and ultimately the corporation will be unable to

achieve its objective.

•

Training facilities should be awarded according to the requirement of the job. •

If appraiser make appraising based on actual performance it will decrease heart burning problem and employees’ efficiency will be increased. •







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Members of Board of Directors are all outsiders, and selected by Government.As the promotion policy of the corporation clearly shows merit + seniority, so it should be fully implemented. •

Beside this it is also desirable to suggest that in this modern area computerization of record is very much

essential .So to facilitate the management computer system in all the section must be introduced.

6.3 Conclusion







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Members of Board of Directors are all outsiders, and selected by Government.The production of oil and gas is contributing a lot in reducing the country’s import bill. Power

generation by IPPs (Industrial Power Projects) in the country is a major source of energy.

OGDCL’s Uch Gas field and Panjpir/ Nandpur Gas Fields are the two main fields, which have

now started supplying Gas to power companies. This not only meeting the requirement of the IPPS

but also contributing a lot towards meeting the demand of electricity in the country.

OGDCL’s contribution to the national exchequer in the form of royalty; excise duty, debt







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Members of Board of Directors are all outsiders, and selected by Government.servicing, and taxes are a huge support as compared to the other state owned organizations. OGDCL entered into new JV agreements in various exploration Blocks with the foreign oil companies to boost up the efforts for increasing the Oil & gas demand of this country..

Oil and gas Training Institute (OGTI) is providing training facilities and meeting the

requirements of highly trained, motivated, and improved human resources. OGTI designs and

implements programme to develop and expand the technical and managerial skills of professional







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Members of Board of Directors are all outsiders, and selected by Government.to meet the fast changing challenges to the company. A total of about 150 courses in service

disciplines are conducted during every year.







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OGDCL

The quality of an organization is dependent on the quality of its work force. OGDCL has engaged top

professionals in Geology, Drilling, Engineering, and production who are working day & nights for







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Members of Board of Directors are all outsiders, and selected by Government.the search of Oil & gas. Besides this, the corporate sector is equipped with professionals having

qualification of CAs, MBAs, M.Coms, which support the technical wings. The time bound

necessity is that all these professionals be given a targets and their performance indicators be clealrly

defined. A good leadership and the motivation will surely boost-up the efforts and the collective

efforts will result in a huge reservoir of Oil or Gas INSHALLAH.

Weakness:







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OGDCL.Problems

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