HR’s new
role
The new
employment relationship gives the human resource staff the opportunity to
become more active in corporate strategy by quantifying the impact of training
programs on the bottom line. That is where the integration of human resources
is critical to the business partnership. Another evolving role will be more
familiar. Throughout the downsizing era, human resource professionals saw their
role shift from that of employee advocate to helping management cut staff. Now
it is time to shift the focus back. Good human resource people have to focus on
how to balance being a strategic partner with being an employee advocate.
HR
Management
The
efficient management of human resources is critical to achieving excellence.
Therefore, in today’s working world efforts will continue to be taken to increase
the number of skilled and knowledgeable workers who are technology-oriented,
particularly in information technology.
Measures to strengthen the quality of the workforce through training and
upgrading of skills will also be undertaken. The private sector had been urged
to support and complement the public sector initiatives. In this regard, the
establishment of new institutions of higher learning by the private sector is
encouraged. The government had stressed to private sector management in
particular, the need for a shift in paradigm towards better investment in
people and the management of knowledge workers to attain greater
competitiveness in the global market in the near future.
People and Performance
Human resources management is not restricted to hiring
and firing, and preparation of payroll only. As times goes on the HR function
expanded to cover selection, training and promotion. Another difficult task to
be performed by HR is to protect the firm in its interaction with unions.
Today, HR plays more important
role in the firm as strategic partner and agent for change. In today’s
high-performing organization in the competitive market, HR play an important
role to deliver highly trained and committed employees which will be the firm’s
competitive key. Manager and supervisor
in today’s market do accept the fact that the employee is the main asset of the
company. Thereby through HR involvement in strategy is necessary to ensure that
human resource support the organization’s mission.
HR and Performance
Similar to other departments,
human resource managers must be able to use data and other resources available
in their unit within their constraints to forecast outcomes and become real
partners with higher management. In essence, HR departments must be able to
show how they add value to the company. It must be noted and recognized that
the job of human resource professionals is continuously evolving along with any
other job and trends that are emerging.
HR and Employee Commitment
HR gives impact to employee’s
performance by providing motivational methodology towards achieving committed
employee through teamwork and ensuring two-way communication to foster
commitment. HR needs to be committed to ensure employees that fair treatment of
all employee’s grievances and disciplinary concerns.
Retaining
Employees
Salary is not everything to make employees stay, even
though salary can be one of the criteria.
HR management must accept the facts that other organizations can also
offer attractive salaries including fringe benefits. Managers have to
compensate employees beyond salary increases.
Employees
as commodities
There are times that foreign
companies in Malaysia, due to some internal reasons of theirs or due to tax
incentive purposes move their operations to other countries and thereby
downsize their current operations while a newly form entity will be
incorporated with new products and services or additional products and
services.
When this occurs these companies
that are normally highly equipped with better technologies then the local
companies will have an online database to:
1.
Match applicants from downsizing companies with
available jobs at other member companies.
2.
Have “lease link” system that allows member companies
to lease needed employees with special expertise from others in the alliance.
3.
Prepare program for career growth center that offers
counseling, networking, interviewing and negotiating.
4.
Have a research forum for job trends and workplace
issues.
5.
Training and education will be conducted within their
alliance. The training and education will focus on skills for interpersonal
leadership and networking. It will include videoconference seminars to reach
employees around the country and training programs on CD-ROM.
Companies have focused on downsizing
and jobs that are going away and the real issue is not to focus on jobs that
are obsolete. People need to be employable for life. That’s one reason skills
are at the center of the alliance’s mission.
This good and beneficial idea of
the foreign managers are not well informed to the local employees and as such
their perception is that they are being traded as commodities and their
thinking being brought back to the slavery days.
Emphasis career development
Employees have to be encouraged
to consider improving their education and tuition reimbursement has to be
offered if their selected course of study can benefit the organization in the
long run. A system should be set up that
ensures employees will not leave once they obtained their degrees. Opportunities
given to employees to attend seminars will improve their skills. If cost
permits in-house seminars should be held occasionally. In order to foster career guidance, a company
may set up a mentorship program that pairs high-level executives with young
professionals. Of course all those
should be organized within the constraints and resources available
An international health care
company has increased training, staff and budgets for key Revenue-Producing
departments, and pays employees based on
Performance. That had
proven to be of great benefit to the company.
Regulations
Forging a
business partnership
One major concern under the new
employment pact is finding a way to focus employees on the financial success of
the company and explain that jobs and salary increases are subject to that
success, without creating an adversarial relationship. The challenge for HR is
finding a way to meet the needs of both employers and employees and develop a
business partnership. Articulating the terms of the deal is the place to start,
since companies must acknowledge that they are offering employees different
deals, and that there is no one employment relationship, even in the same
company, the relationship turns on which employees are contributing directly to
a company’s financial success—who is really core, or who are the people who
deliver the most value to the customer. While all employees may be valuable, at
some point, management has to tell employees who is “core” and who is not. But
as companies merge and change product lines, what is core today may be
peripheral tomorrow.
Employees and managers have
shifted roles to accommodate the changing workplace. Companies that progress
very well will sure to increase their workforce may be five or ten fold. As the
number of employees per manager increased, managers became responsible for
establishing overall department goals and the context in which employees do
their jobs. The employees, who are closer to the daily needs, are responsible for
developing the work initiatives and reviewing them with management.
Many HR consultants said that the
onus is on the employee. It’s a shift of responsibility from the manager to the
employee to take ownership for the job, learning and progress the career.
In today modern world, human
resource department has also shifted its emphasis, focusing more on business
strategy, partnering and training. The training budget increased to keep up
with all the people. The company relies on shared services whenever possible
and is in the process of outsourcing as much as possible of its administrative
transactions. That’s not a moneymaker and other people can do those things
better and less expensively. Therefore part of the training program are being
outsourced even though the company relies on management staff for core
competency as well as identifying and training employees to meet the future
needs of the company.
Legal trends affecting HR management
Due to uncertain new happenings
in the labor industry, many new laws continue to be passed which effectively
limit managers’ actions. The equal employment opportunity laws bar
discrimination on the basis of race, age, disability, religion, sex or national
origin. HR management need to give assistance to other managers on the various
legal constraints such as mandated health benefits, occupational safety and
health requirement and union-management relation’s laws.
Conflicts
Foreign company manager will sure be aware of
Malaysian regulations which pertains to employee and employer relationships,
may not in detail but in general.
Besides the written laws, there are expected implied laws, which are
approved by employers from local companies such as matters relating to the
various religious, believe in Malaysia. For example as a Muslim male shall
require more than one-hour lunch break on every Friday to perform Friday’s
prayers. During the fasting month all
Muslim staff would be happy if their employer allow them to work through the lunch
hour and release them an hour earlier at the end of the day. Likewise the
Chinese staff will need an off-day for the Chinese New Year eve, otherwise they
will be required to be in their house for an early family dinner by 5.00 p.m.,
therefore the superior will need to give time off for them be back home early.
For a production company, foreign company manager
may require the factory to close down for long break for the workers and
maintenance of the machine during the Christmas and New Year eve, however the
Malaysian workers wish to have a long break during the local festival such as
Malay Hari Raya or the Chinese New Year.
The foreign company manager may want to have the break to go back to his
country, however likewise the local wish to celebrate long holidays during
local festive at their provinces or villages.
Another problem faced by the
foreign company manager during the relationship with the Malaysian workers is
the difference in culture, behavior and work habits. Most Malaysian workers are backed by local
culture of soft-spoken and not direct in pointing out certain errors of
subordinates and not at all to point out mistakes of superiors. Whereas the foreign managers from the
developed nations like United State and United Kingdom are used to be direct on
pointing out critiques. Even there are corporate cultures in many organizations
that practice openness where the subordinates may also remind their bosses.
Protection
from change
As information becomes the most
valuable commodity in society, organizations are changing faster and more
frequently than the employees who work for them. Indeed, there often is a
perception that employers change for the sole purpose of changing. In many organizations, employees believe that
change takes place without regard to its effect on professional goals or
personal lives. Compounding the problem, the change may be part of a program of
total quality management that has lofty goals but, in effect, conveys the
message that employees can never do enough.
A number of things can be done to
minimize the adverse effects of change. Involving employees in the change
process can be helpful. Also helpful is giving employees advance notice of
changes so they have time to adjust, explaining the reasons for changes, and
timing changes so that employees are not disproportionately affected.
Unions
The employees in the sense that
the employer cannot be relied on to keep promises may find unions attractive.
Broken promises not only fuel the desire for unionization; they also make the
union's election campaign easier. A foreign employer that cannot keep a promise
should explain why. One way to ensure that broken promises do not fester is
through formal employee attitude surveys.
Many major companies were
shifting priorities, employees needed to know what new skills would be needed,
and business would have to clearly define those requirements and anticipate the
big trends quickly. Companies should bring together a group of companies to
discuss common interests in which they did not compete. They need to come up with new models for
shared success. That idea developed over time into the Talent Alliance, a
private, not-for-profit so-called coalition.
Give and Take
Companies throughout the country
are examining employees’ need for lifetime employability and continuous development
of skills. After years of downsizing, rightsizing, reengineering and
restructuring, employers and employees are coming to terms with each other in
new and complex ways, leading to what some call the new employment pact.
The expectation of lifetime
employment at one company is mostly a thing of the past, and the evolving
agreement—which no one has clearly defined yet—is based on the company’s
financial and market success. Typically, employers who want more productivity,
innovation and commitment are finding they must do more than tell employees
they will have a job as long as they help the company make money—or until the
business changes.
Wary
employees are willing to give more, but in return they want career security.
That means training to improve their skills for the next job; performance-based
compensation including bonus plans, incentives and stock options to give them a
stake in the company’s success; and portable benefit and retirement plans.
Along the way, companies will also address increased job flexibility,
telecommuting and family-care issues. An insurance-based company sells
disability insurance, provides career counseling and training for employees, as
well as stock options that are redeemable if the company meets its goals.
A focus on continuous learning
Companies
are changing and people have to know what skills will be required. Human
resource departments need to set new standards for collaboration and continuous
learning. While all companies need to provide more employee training and career
development under the new terms of employment, continuous learning and
increased skills are vital in the fast-changing high technology industry.
Employers need to keep skill levels up to meet changing customer needs;
therefore employee development is an integral part of company policy. Many
companies embarked on quite an intense look at this.
In addition
to enhanced compensation, top performers are to receive added educational and
networking opportunities, such as a week at the Foreign School of Business for
leadership programs. Nestle’s in Malaysia increased sales force was accompanied
by a shift in the way its employees are compensated. The human resource staff
serves as the lead team in setting pay-related goals. They have evolved into
much more of a performance-for-reward company. There are measurable goals
people have to accomplish in order to get paid incentives.
Human resource personnel will
have to work closely with the management team to meet strategic needs and to
understand what business the company is in, what kind of skills are needed, and
what the employee population needs to ensure success in the business. Employees
have a keen interest in training and keeping themselves marketable and without
career development opportunities, employer would not be able to retain
employees, obviously.
There is no guarantee by the
employer to the employee and vice versa on what will be the future, usually,
employees do not have the opportunity to get their skills up. When the company posts a job, the job is
there now, which is good for people with those skills. The career trends give
them a vision for what’s hot in the future, so they can set a course of
development, plan and get the skills necessary for the jobs of the future, with
the present employer or a new employer. There are things that an employer can
provide that distinguish it from everyone else in the marketplace and make it a
place employee want to work and they had to be the employers’ of choice.
The company provides the training, but employees “own”
their career development, if they want to work and progress, they’ve got to
keep their skills current and updated, understand the business the company is
in, the requirement and how the company makes money.
Paying for performance
The trend toward pay for
performance is another hallmark of the new employment agreement, and cash
incentive and stock option plans are especially useful in keeping company
stars. Employees who are skilled and able to generate ideas will do well. They will be more like free agents, and will
stay as long as they benefit.
Stock
Options
High technology and big companies
frequently rely on stock options to attract quality employees and to connect
the employee’s work future to the company.
Stock options have turned more employees into millionaires, debt free,
reduce housing loan outstanding and many were able to go for overseas
vacations. The company stocks were being given to employees based on their
ranks. Therefore most employees will struggle to compete to get promoted in
order to benefit on the employee share option scheme.
Loosing
Stake
This is one of the trends of
employers retaining employees, however some foreign own companies refuse to
float their shares, as they might have to let go may be about 40% of their
holdings even though they still have the controlling stake. This issue too
became a conflict issue between local employees and the foreign management of
the company. Employees envied
neighboring company staff that had the opportunity for extra income that there
is times, which is more than their yearly bonus from the employees share option
scheme when their company is listed at the stock exchange.
There are employees who have been
with the company for a long time has done very well. Keeping the stars requires
a creative mix of substantial stock options and non-monetary benefits such as
allowing telecommuting and flexible hours. Awards and incentives are given to
top performers in the company. This reward may not direct monetary benefits as
bonuses attracted income tax, whereas profit form stock options are tax-free.
Guiding
Principles
A conflict should be resolved
skillfully. A conflict, when happened may bring about benefits to the company
as it may bring about changes. As such when a conflict is taken in a very
positive way it can be a blessings. Conflicts when solved, means:-
- Gain
cooperation from team members
- Improve
performance and productivity
- Reduce
stress and preserve integrity
- Solve
problems as quickly as possible
- Improve
relationships and teamwork
- Enhance
creativity
- Increase
staff morale
Resolving
Conflict Situations
To manage conflict effectively a
superior must be a skilled communicator. That includes creating an open
communication environment in his unit by encouraging employees to talk about
work issues. Listening to employee concerns will foster an open environment.
The superior must make sure that he really understand what employees are saying
by asking questions and focusing on their perception of the problem.
Whether there two employees who
are fighting for the desk next to the window or one employee who wants the heat
on and another who doesn't, an immediate response to conflict situations is
essential. Notwithstanding the conflicts between fellow employees, there are
also managers who are in direct conflict with employees. Good managers though
have no prejudice. Good managers usually have some basic guidelines in solving
conflicts whether it’s a conflict between employees or a conflict between the
manager and an employee.
Acknowledging
the existence of a difficult situation.
Honesty and clear communication
play an important role in the resolution process. Acquaint one with what's
happening and be open about the problem.
Individuals
should be allowed to express their feelings.
Some feelings of anger and/or
hurt usually accompany conflict situations. Before any kind of problem solving
can take place, these emotions should be expressed and acknowledged.
A clear
definition of the problem must be established.
What is the stated problem? What
is the negative impact on the work or relationships? Are differing personality
styles parts of the problem? Managers usually meet with employees separately at
first and question them about the situation.
Determine
underlying need.
The goal of conflict resolution
is not to decide which person is right or wrong; the goal is to reach a
solution that everyone can live with. Looking first for needs, rather than
solutions, is a powerful tool for generating win/win options. To discover
needs, a manager must try to find out why people want the solutions they
initially proposed. Once the problem is understood the advantages their
solutions have for them, the manager have discovered their needs.
Find common
areas of agreement, no matter how small:
- Agree
on the problem
- Agree
on the procedure to follow
- Agree
on worst fears
- Agree
on some small change to give an experience of success
Find
solutions to satisfy needs:
- Problem-solve
by generating multiple alternatives
- Determine
which actions will be taken
- Make
sure involved parties buy into actions. (Total silence may be a sign of
passive resistance.) Be sure you get real agreement from everyone.
Determine
follow-up you will take to monitor actions.
A manager may want to schedule a
follow-up meeting in about two weeks to determine how the parties are doing.
Determine what to do if the conflict goes unresolved.
If the conflict is causing a disruption in the department and it
remains unresolved, the manager may need to explore other avenues. An outside
facilitator may be able to offer other insights on solving the problem. In some
cases the conflict becomes a performance issue, and may become a topic for
coaching sessions, performance appraisals, or disciplinary action.
Dealing
With Anger
When there someone who is angry,
one can use the tools of effective listening to help defuse this anger.
Nevertheless, when anger is directed at you, it is much more difficult to
respond definitively, because your own emotions are usually involved.
To effectively defuse anger, keep in mind the needs of
the angry speaker:
- To vent. An angry person needs to
let off steam and release the anger that may have been brewing for a long
time use your communication skills to allow the person to do this.
- To get the listener's attention.
An angry person wants to know that you are paying attention use your body
language to show this.
- To be heard. An angry person wants
someone to listen to her point of view acknowledge the feelings you hear
so that the speaker knows you appreciate how angry she is.
- To be understood. An angry person
wants someone to appreciate how she feels try to empathize with her
experience so that she feels you understand the situation, and acknowledge
her right to feel the way she does.
When
listening to an angry person:
- Be attentive and patient. Keep in
mind that she will become less angry as you let her express herself.
- Be sincere. Empathy and validation
must be both honest and genuine.
- Be calm. Try to remove your own
emotions from the discussion. Remember that an angry person may say
inflammatory things in the heat of the moment, but you do not have to
react angrily.
Summary
In most conflicts, neither party
is right or wrong; instead, only the different perceptions that collide and
give birth disagreements. Conflict is natural and it's up to the parties
involved to respond to conflict situations quickly and professionally. Conflict
should be viewed in positive ways; if conflict is dealt with openly, it can be
a too in strengthening work units by correcting problems. Conflicting views
usually create chances to disputing parties to learn more about each other. It
gives chances to one party to explore views of the other party. In the end it
will develop productive relationships. Clear and open communication is the
cornerstone of successful conflict resolution.