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Following partial deregulation of the Sri Lanka telecommunications market and SLT's privatisation in 1996, the Company was obliged to function in a new context. Shareholders demanded profits, while competition threatened business margins and market share. To succeed, SLT's working culture had to change. Effecting this change meant motivating the Company's employees to be more efficient, effective, market-sensitive and customer-focused.

This was the primary challenge facing SLT's Human Resources Group in the years following privatisation. Overstaffing was addressed by means of a voluntary retirement scheme, successfully completed in 2003. Efficiency was promoted through the adoption of 5S and Kaizen techniques organisation-wide in addition to the extensive use of IT and other new technologies. Customer focus was promoted through consciousness-raising and training.

These efforts continued in 2005, in line with the Company's policy of continuous improvement, but the challenge, it is now clear, has been successfully met and mastered.

A further impetus in this direction is planned for 2006 with the introduction of the 'breakthrough thinking' concept at SLT. Breakthrough thinking is a new problem-solving paradigm geared to help users deal with a rapidly changing professional, technical or social environment. It is a concept of Japanese origin, composed of seven basic mental assumptions, that provides a holistic approach to problem-solving. Breakthrough thinking has been introduced to many leading corporations in Japan, USA, Korea, China, among them Canon, Fuji, NEC, Toyota and Xerox. In addition, numerous governmental organisations and other top companies worldwide also follow this approach.

Promoting a Profit and Performance-driven Culture
SLT's efforts to promote a profit and performance-driven working culture have consistently borne fruit. Success in this area is reflected by increasing productivity as measured by the number of direct exchange lines per employee, a figure that has shown continuous increase since privatisation in 1996, as shown

Direct Exchange Lines per Employee

  96 97 98 99 00 01 02 03 04 05

Direcet Exchange
Lines per Employee

38 36 55 64 75 84 93 115 120 130


Another ongoing initiative with the same objective is the management of absenteeism through awareness programmes, counselling and discipline. Absenteeism results from sicknesses, mobility issues and other personal problems of employees. In order to address such problems 30 employees have been trained as counsellors and employees with grievances are referred to them for counselling on informal basis.

  2002 2003 2004 2005

Number of Employees on No-pay
Leave by year

574 545 490 536

Our Employees
SLT is, by Sri Lankan standards, a very large employer. As at 31 December 2005, there were 7,311 men and women on the Company payroll. This figure comprised

Executives 527
Technical Employees 3,393
Non-Technical Employees 2,768
Contract Employees 623

Total

7,311

Recruiting Right People with Right Skills
In terms of personnel, SLT faces the problem of an ageing workforce. The average age of an SLT employee is 43 years, while around a quarter of all employees are over 50 years old. Last year SLT recruited 328 new employees to address this issue and to meet the needs of service expansion and the introduction of new services.

Recruitment is strictly in a needs basis. SLT makes special efforts to attract employees with the right competencies and appropriate skills.

Introduction to the "SLT Way"
The HR Division holds residential induction programmes for all newly recruited staff. Their purpose is to introduce and accustom newcomers to SLT's technically skilled, market-oriented working environment.

Performance Appraisal
SLT has a continuous process of recognition integrated deep into its culture and work processes. An enhanced performance management system was introduced to align employees with Company goals & objectives, to monitor the performance of the employees and to provide feedback and development opportunities. To enhance the effectiveness of the performance appraisal scheme, current methods are being customised to the needs of the jobs. The results of these appraisal schemes are used for employee remuneration and for career progression schemes.

Performance Management through Employee Development
The advancement of telecommunications is very rapid and employees have to be encouraged to keep up with these new developments. Competency and performance based career progression schemes together with necessary assistance from SLT Training Centres have helped to achieve this successfully.

Enhancing Skills of our Employees
To us at SLT learning is a continuous process and this is another value we are trying to ingrain. We operate five training centres, which offer a variety of programmes to upgrade technical knowhow and soft skills alike. The main areas of focus in 2005 were:

  • IT orientation and enhancement
  • New technology
  • Management development
  • Soft skills development

In all, 4,045 employees - substantially more than half the total workforce - participated in programmes at SLT training centres during the year under review. A further 908 attended external programmes conducted by other organisations in Sri Lanka, while 545 received training overseas.

IT Training
2,025 employees received training aimed at improving their IT skills.

Familiarising Employees with New Technology
In a fast-changing technological environment, it is essential that SLT's people stay on top of relevant new developments. SLT HR group always facilitates the employees to upgrade their skills and knowledge. In pursuance of this goal, a High Speed Internet Lab was opened at Telecom Training Centre, Moratuwa in 2005. During the year 2005, Training centres provided many training programmes in new technologies with experts in the fields. Among them VOIP, DSL & CDMA training attracted many and were conducted with foreign experts.

Management Development Programmes
Management development programmes are primarily conducted to enhance the management decision-making abilities of the managers. Among many programmes conducted programmes on Competency Mapping and Business Decision-Making were highlights. Competency Mapping programme was conducted aiming at practising competency based HRM whilst Business Decision-Making Programme would enhance the management in business decision-making and formulation in strategy.

Soft Skills Development
For a performance-focused company, 'soft' skills are essential to ensure better corporate relations and brand image. This year too our human resource training policy focused on customer orientation; team building; interpersonnel cooperation; workplace cooperation and attitude development.

Use of surplus capacity to generate revenue for the Company
SLT, through the HR group, uses surplus capacity in training facilities to provide internationally recognised training and educational programmes in Sri Lanka. Most of these programmes are in the field of telecommunications and utilise our core competencies. In 2005 the training division conducted the following initiatives:

  • Training to Certificate, Diploma and Advanced Diploma levels in Telecommunications: These courses are offered in
    partnership with City & Guilds of London Institute, and were attended by 124 participants in the year under review.
  • Classes leading to a BTEC Higher National Diploma in Telecommunication: The BTEC HND is pre-degree professional
    qualification awarded by Edexcel International, UK. The course was attended by 48 students.
  • Training programmes for external trainees in IT, Datacom, P&AC, TX and SW fields as part of the CAIT programme.
    80 participants attended.

The results, in financial terms, represented a contribution to Company turnover, of Rs.11.6 million exceeding the targeted Rs. 10.0 million.

Employee Welfare
We believe that employee motivation is the key to corporate success and the key to motivation is employee satisfaction at the workplace. As always, the HR group was responsible for activities connected with employee welfare.

Tsunami Relief to Employees
In terms of employee welfare, priority was given to the rehabilitation of tsunami-affected employees. The effect of this national tragedy on SLT's employees was substantial, as the following statistics indicate:

  • Employee deaths connected with the tsunami : 2
  • Employee bereavements: 10
  • Temporary displacements: 166
  • Permanent displacements : 83

The Company's response to the tragedy was as follows:

  • Immediately after the disaster, officers of HR group visited almost every employee affected and provided assistance
    and many others and trade unions too provided helping hands to affected employees.

  • A payment of Rs. 10,000 was made to every employee displaced.

  • A grant of Rs. 50,000 was made to all employees permanently displaced. In addition, housing loans were provided without
    interest for two years and on nominal interest of 3.3% for the last three years of the five-year repayment period. Applications
    received - 83
    Loans granted - 68

  • Funds donated by employees were donated to affected persons on a need basis. The total amount disbursed was Rs. 6.1 million.

HR Mobile Clinics
The HR mobile programmes introduced in year 2003, help to resolve employee grievances at regional locations. These mobile clinics also help to identify the HR policies and procedures which need to be fine-tuned. Three such clinics were conducted in 2005, at Galle, Bandarawela and Kandy respectively solving many issues.

Other Welfare Initiatives
Many different welfare activities were undertaken in 2005. Some of these, such as get-togethers, employee outings, were undertaken to promote team spirit and cohesiveness. Other programmes, such as health education, awareness programmes on EPF & labour law and cultural shows, were undertaken to educate and enhance the knowledge of employees. To encourage all employees to get their annual health checks, two health camps were organised during the year. SLT employees also came together to donate blood by way of three blood donation camps to help to save the lives of many.

To ensure that our people feel at home and get the best of facilities at work and when on holiday, SLT undertook the upgrading and expanding of the staff canteen and staff holiday bungalows.