AAM 2053 HUMAN RESOURCE MANAGEMENT Dr. Khairunneezam Mohd Noor FKP USIM AAM 2053 HUMAN RESOURCE MANAGEMENT DrNeezamNoorFKPUSIM2014

AN OVERVIEW OF HUMAN RESOURCE MANAGEMENT 1 CHAPTER AN OVERVIEW OF HUMAN RESOURCE MANAGEMENT DrNeezamNoorFKPUSIM2014

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. DrNeezamNoorFKPUSIM2014

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. DrNeezamNoorFKPUSIM2014

OTHER TITLES FOR HRM SPECIALISTS Welfare Officer Personnel Manager Human Resource Manager Human Capital Management DrNeezamNoorFKPUSIM2014

HISTORICAL FACTORS IMPACTING HRM The Industrial Revolution 1850s–1920s Specialization Exploitation of workers Worker alienation DrNeezamNoorFKPUSIM2014

HISTORICAL FACTORS IMPACTING HRM (cont.) Human Relations Approach 1930s–1950s Emphasis on supervisory training Recreation programmes Welfare programmes DrNeezamNoorFKPUSIM2014

HISTORICAL FACTORS IMPACTING HRM (cont.) Recent developments 1950s–2020 Increased labour legislation Organizations getting bigger Increasing workforce diversity Rapid changes DrNeezamNoorFKPUSIM2014

CHANGES AFFECTING HRM Technological changes Globalization and increased competition Employee education and expectations Workforce diversity DrNeezamNoorFKPUSIM2014

USEFUL MALAYSIAN STATISTICS Population: 28 million Current labour force employed: 12 million Unemployment rate: 3.9% Number of foreign workers: 1.8 million Number of employers registered with the Employees Provident Fund: 395,000 Life expectancy (Males): 71.8 years Life expectancy (Females): 76.3 years Source: Ninth Malaysia Plan: www.kwsp.com.my; www.mef.org.my; www.statistics.gov.my DrNeezamNoorFKPUSIM2014

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 DrNeezamNoorFKPUSIM2014

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. DrNeezamNoorFKPUSIM2014

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 DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT Employment Human resource planning Setting policies and administering disciplinary action systems Recruitment DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT (cont.) Establishing career movement policies, including transfers and promotion Terminating employees Liaison with Immigration and Labour Department Records keeping DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT (cont.) Training and Development Holding induction programmes Providing skills training Organizing supervisory and management development programmes Establishing and administering performance management and appraisal systems DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT (cont.) Payment/Reward Systems Developing a wage structure Preparing information for payroll Establishing incentive schemes Advising on benefits DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT (cont.) Health and Safety Organizing safety programmes Establishing wellness programmes Accident investigation Provision of health services Establishing programmes to prevent sexual harassment and violence DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT (cont.) Employee Services/Welfare Overseeing canteen facilities Provision of transport Provision of recreation facilities Counselling Managing employee assistance programmes DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT (cont.) Productivity Improvement Schemes 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. DrNeezamNoorFKPUSIM2014

FUNCTIONS OF THE HR DEPARTMENT (cont.) Industrial Relations Grievance handling Relations with trade union representatives Collective bargaining negotiations Preparing for contingencies, including strike action DrNeezamNoorFKPUSIM2014

ROLE OF THE MINISTRY OF HUMAN RESOURCES sets policies, prepares draft employment legislation, enforces the employment legislation, and Establishes codes of practices as guidelines to employers and employees DrNeezamNoorFKPUSIM2014

ORGANIZATION CHART MINISTRY OF HUMAN RESOURCES DrNeezamNoorFKPUSIM2014

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 DrNeezamNoorFKPUSIM2014

THE EMPLOYMENT LAWS The Employment Act 1955 The Sabah Labour Ordinance, updated 2005 The Sarawak Labour Ordinance, updated 2005 The Wages Councils Act 1947 The Employees Provident Fund (EPF) Act 1991 DrNeezamNoorFKPUSIM2014

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 DrNeezamNoorFKPUSIM2014

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 DrNeezamNoorFKPUSIM2014

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. DrNeezamNoorFKPUSIM2014