chapter 1 an overview of human resource management

AN OVERVIEW OF HUMAN

RESOURCE MANAGEMENT

Chapter 11

All Rights ReservedHRM Principles and Practices Third Edition© Oxford Fajar Sdn. Bhd. (008974-T), 2014 1– 3

PREVIEW

The importance of human resource management. The growth of the human resource function from the mid-19th

century until today. The impact of current social, business and economic changes on

human resource management. The structure of the human resource function in organizations. The requirements for a career in human resource management. The functions within the scope of human resource management. The role and structure of the Ministry of Human Resources. The purpose of each of the most important labour laws.


WHAT IS HUMAN RESOURCE MANAGEMENT?

Human resource management is the development and implementation of systems in an organization for attracting, developing and retaining a high-performing workforce.


OTHER TITLES FOR HRM SPECIALISTS

Welfare Officer Personnel Manager Human Resource Manager Human Capital Manager


HISTORICAL FACTORS IMPACTING HRM

The Industrial Revolution 1850s–1920s Specialization Exploitation of workers Worker alienation


HISTORICAL FACTORS IMPACTING HRM (cont.)

Human Relations Approach 1930s–1950s

Emphasis on supervisory training Recreation programmes Welfare programmes


HISTORICAL FACTORS IMPACTING HRM (cont.)

Recent developments 1950s–2020

Increased labour legislation Organizations getting bigger Increasing workforce diversity Rapid changes


CHANGES AFFECTING HRM

Technological changes

Globalization and increased competition

Employee education and expectations

Workforce diversity


USEFUL MALAYSIAN STATISTICS

Population: 30 millionCurrent labour force employed: 13 millionUnemployment rate: 3%Number of foreign workers: 1.4 millionNumber of employers registered with the Employees Provident Fund: 510,000Life expectancy (Males): 72.3 yearsLife expectancy (Females): 77.2 years

Source: Ninth Malaysia Plan: www.kwsp.com.my; www.mef.org.my; www.statistics.gov.my


DO ALL ORGANIZATIONS HAVE AN HRM DEPARTMENT?

NO!What are the criteria for an organization to have a dedicated HRM department? Ownership of the company Philosophy of top management Size of the company Unionization of the workforce


HUMAN RESOURCE MANAGEMENT IS A SHARED FUNCTION

In organizations with an HRM Department, the function of HRM is shared between this department and ALL managers and supervisors.

Sharing leads to conflict. Agreement must be made so that tasks and

duties are clearly assigned.


PERSONAL QUALITIES AND SKILLS REQUIRED OF HRM SPECIALISTS

Communication skills Ability to bring about change Information technology (IT) savvy Numerate and able to analyse data Ability to understand the business context High ethical standards


FUNCTIONS OF THE HR DEPARTMENT

Employment Human resource planning

Setting policies and administering disciplinary action systems

Recruitment


FUNCTIONS OF THE HR DEPARTMENT (cont.)

Establishing career movement policies, including transfers and promotion

Terminating employees

Liaison with Immigration and Labour Department

Records keeping



Training and Development Holding induction programmes

Providing skills training

Organizing supervisory and management development programmes

Establishing and administering performance management and appraisal systems



Payment/Reward Systems

Developing a wage structure Preparing information for payroll Establishing incentive schemes Advising on benefits



Organizing safety programmes

Establishing wellness programmes

Accident investigation

Provision of health services

Establishing programmes to prevent sexual harassment and violence

Health and Safety



Employee Services/Welfare

Overseeing canteen facilities Provision of transport Provision of recreation facilities Counselling Managing employee assistance programmes



Establishing and maintaining quality improvement initiatives, including ISO programmes.

Introduction and implementation of suggestion schemes, team problem-solving activities, Kaizen tools and other similar programmes.

Productivity Improvement Schemes



Industrial Relations

Grievance handling Relations with trade union representatives Collective bargaining negotiations Preparing for contingencies, including strike

action


ROLE OF THE MINISTRY OFHUMAN RESOURCES

The Ministry: sets policies,

prepares draft employment legislation, and

enforces the employment legislation.


ORGANIZATION CHART MINISTRY OF HUMAN RESOURCES

Ministry of Human

Resources

Department of Labour

Department of Trade

Union Affairs

Department of Industrial

Relations

Department of Occupational

Safety and Health

Department of Manpower

Department of Skills

Development


OTHER ORGANIZATIONS OF RELEVANCE TO HRM

The Employees Social Security Organization

Pembangunan Sumber Manusia Bhd.

National Institute of Occupational Safety and Health

Skill Development (Loan) Fund Corporation

The Employees Provident Fund


THE EMPLOYMENT LAWS

The Employment Act 1955 The Sabah Labour Ordinance, updated 2005 The Sarawak Labour Ordinance, updated 2005 The National Wages Consultative Council Act

2011 The Employees Provident Fund (EPF) Act 1991


THE EMPLOYMENT LAWS (cont.)

The Employees Social Security Act (SOCSO) 1969

The Occupational Safety and Health Act (OSHA) 1994

The Factories and Machinery Act 1967 The Children and Young Persons (Employment)

Act 1966 The Employment (Restriction) Act 1968


THE EMPLOYMENT LAWS (cont.)

The Trade Unions Act 1959

The Industrial Relations Act 1967

Pembangunan Sumber Manusia Bhd. Act 2001

The Skills Development Fund Act 2004

The National Skills Development Act 2006

The Minimum Retirement Age Act 2012


REVIEW

The importance of human resource management.

The growth of the human resource function from the mid-19th century until today.

The impact of current social, business and economic changes on human resource management.

The structure of the human resource function in organizations.

The requirements for a career in human resource management.

The functions within the scope of human resource management.

The role and structure of the Ministry of Human Resources.

The purpose of each of the most important labour laws.

chapter 1 an overview of human resource management

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