Professional Documents
Culture Documents
1. 2. 3. 4. 5. Mohd Firdaus Bin Razak Muhammad Asyraf Bin Azmi Amir Syazzuan Bin Omar Mohd Sabri Bin Salem Zaid Iqram Syakir Bin Mazlan
MODULE 7
May 2013
6 3
Introduction
The most challenging and critical resource that need to be managed is human resource (HR). Human Resource Management (HRM) is the design of formal systems in an organization to ensure effective and efficient use of human talent to accomplish organizational goals HRM includes: 1. HR Planning 2. Job Analysis 3. Recruitment and Selection 4. Training and Employee Development 5. Compensation and Benefits 6. Performance Management 7. Industrial Relations and Employment Laws 8. Occupational Safety and Health
Basic Entrepreneurship (ENT028)
HR Planning
HR planning refers to the forecasting on HR needs in the context of strategic business planning Forecasting of HR needs requires entrepreneurs to determine the demand for and supply of human resources for bot short and long-term planning.
May 2013
6 5
HR Planning
HR planning process
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6 6
HR Planning
May 2013
6 7
HR Planning
Options for Reducing an Expected Labor Surplus and Avoiding an Unexpected Labor Shortage
Options
Expected Labor Surplus
Downsizing Pay Reduction Demotions Transfers Work Sharing Hiring Freeze Early Retirement Natural Attrition Retraining
May 2013
6 8
Job Analysis
Job Analysis is the process of gathering information about the job The information are:
Job activities The duties Responsibilities Scope Work environment Person behaviour Person characteristics
Basic Entrepreneurship (ENT028) 6 9
May 2013
Job Analysis
May 2013
610
Job Analysis
Interview
Observation
Directly observing employees performing the job and writing down all the job activities performed
Job analysis helps to perform other HR functions such as recruitment and selection, training, performance appraisal and compensation
Basic Entrepreneurship (ENT028) 611
May 2013
May 2013
612
External
Getting potential employees from outside the organization such as vocational school, secondary school, universities, labour unions, competitors, labour office and employment agencies. Methods of Recruitment:
Career fair Engaging employment agencies Advertisement in major mass media Advertising in firms websites and internet Advertising in recruitment agencies websites. Headhunters Employee referrals Walk-in
May 2013
613
Selection
Selection is the process of choosing the best candidate for the job Steps in selection process
Receive application form Review of application form Selection test Employment interviews Background and references checks Selection decision Medical examination Employ individual
May 2013
614
May 2013
615
Employee Orientation
Providing new employees with the information about the company departments in which they will be working and community they will be with throughout their tenure Contents (Examples):
Company vision Company mission Goal Company history Language Performance proficiency Rules and regulations
Basic Entrepreneurship (ENT028) 616
May 2013
Employee Orientation
Feel welcome and accepted Appreciate the companys culture and values Understand the jobs requirements demand and performance expectation
May 2013
617
Employee Orientation
A general introduction to the organization A specific orientation to the department and their job A follow-up meeting
May 2013
618
Training Process
Needs Assessment
Employees Readiness for Training Plan Training Programme
Step 4
Step 5 Step 6
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619
Employee Development
Job Experience
Interpersonal Relationships
May 2013
620
Tangible rewards
o
Direct monetary rewards Salary, wages, bonus, commission, shares and overtime claims
Indirect monetary rewards Mandated or non-mandated benefits such as EPF, SOCSO, annual leaves, maternity leaves, medical leaves, loans and scholarships.
Intangible rewards
o
Non-monetary rewards Conducive working environment, management support, recognition, empowerment and supervision
May 2013
621
Equity Compensation
Compensation system that is acceptable and effective that is perceived by employees as fair.
To make ensure fairness, equity must have:
Internal
External
Individual
May 2013
622
Attracting the best candidate in the market to work for the organization
Motivating employees to achieve productivity
May 2013
623
Performance Management
Performance management: Is a system that aims to maximize the potential, competency and performance of the employees. Is done through a continuous process of communicating, coaching, motivating, training, feedback, evaluating and reviewing employees performance Is a dynamic, on-going and continuous process
May 2013
624
Performance Management
Performance management also is defined as a process by which executives, managers and supervisors work to align employees performance with the organizations goals. Performance management cycle:
Performance Planning
Rewarding Performance
Managing Performance
May 2013
625
Performance Management
Performance management: Is a system that aims to maximize the potential, competency and performance of the employees. Is done through a continuous process of communicating, coaching, motivating, training, feedback, evaluating and reviewing employees performance Is a dynamic, on-going and continuous process
Purpose of Performance management: To meet strategic, administrative and developmental purpose of the organization.
May 2013
626
Performance Appraisal
Performance Appraisal: Is a system It is a process of evaluating employees current and/or past performance relative to his or her performance standards. It involves setting work standard, assessing employee actual performance relative to these standards, and providing feedback to the employees with the aim of motivating or eliminating their performance deficiencies. By evaluating employees performance, the organization is able to determine the level of its employees performance and allows to make administrative and developmental decisions.
May 2013
627
Performance Appraisal
Immediate supervisors
Peer
Employee himself or herself Committee Multisource
May 2013
628
Performance Appraisal
Category rating
Comparative Narrative Behavioural or objective
May 2013
629
Performance Appraisal
Rater Error
May 2013
630
Industrial Relations Act 1967 (IRA) The Trade Union Act 1959 (TUA) Employment Act 1955 (EA)
May 2013
631
Refers to the relationship between employees and their employers The three most important laws are:
Industrial Relations Act 1967 (IRA) The Trade Union Act 1959 (TUA) Employment Act 1955 (EA)
May 2013
632
More than five consecutive hours without a break of not less than 30 minutes More than eight hours in one day More than 48 hours in one week
Employee is entitled to at least one rest day per week. Employee is entitled to a minimum of 10 paid public holidays in Peninsular Malaysia, 14 days in Sabah and 16 days in Sarawak. Annual leave after 12 months of continuous services as follows:
Eight days for employment of less than two years 12 days for employment of between 2 and 5 years. 16 days for employment of more than 5 years 14 days for employment of less than two years 18 days for employment of between 2 and 5 years. 20 days for employment of more than 5 years
Hospitalization paid leave of 60 days in the aggregate. 60 days paid maternity leave for female employees
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633
avoid accidents at workplace avoid costly medical related expenses minimize employees and their families physiology and psychological distress Avoid severe legal implication
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634
Ensure, so far as is practical, the safety, health and welfare at work of all their employees.
Make arrangements for safety and absence of risk to health in the use of plant and substances. Provide information, instructions, training and supervision to ensure safety and health. Maintain place of work and working environment to ensure safety and without risk to health.
May 2013
635
Summary
Entrepreneurs need to understand and be able to apply the functions of HRM effectively. Functions of HRM include: Human Resource Planning Job Analysis Recruitment and Selection Training and Employee Development Compensation and Benefits Performance Management Industrial Relations and Employment Laws Occupational Safety and Health
Basic Entrepreneurship (ENT028) 636
May 2013