INTRO TO HUMAN RESOURCE

1.DEFINITION OF HUMAN RESOURCE MANAGEMENT

What Human Resource management is?

In general, human resource management refers to the process of managing diverse people talent to achieve a common goal. According to Dessler (2001),

“human resource management refers to the policies and practices you need to carry out the people or human resource aspects of your management job.”

This definition is linked to an organization in carrying tasks to achieve their objectives. Organization is defined as “a group of people who work together to achieve common goal”. The definition clearly draws a picture of the need to people or human resource to carry on the tasks to achieve the organization’s goal. Without people or human resource the goal could not be achieved.

Which one, Human Resource Management or Personnel Management?

Human resource management was also known as personnel management. However, the term personnel management was changed to human resource management in the 1970s, and is widely used today. This development is in line with the changes on an international level, which recognises human resource as a major source in an organisation. Nevertheless, there are still groups that refer to human resource management as personnel management.

2. IMPORTANCE OF HUMAN RESOURCE MANAGEMENT

Is it important to has human resource management?

Human resource is an important resource to an organisation as technological resources are limited. Therefore, human resource management is essential so as to manage and conduct employees effectively in order to help the organisation achieve competitive advantage. Technology also should be performed by human being.

Human resource management also plays an important role in identifying human resource problems and providing solutions to the firm. Therefore, company or organisation can reduce problems in their journey to achieve their objectives.

Apart from that, it is able to influence and increase employee commitment at the same time motivate them. This, in hand, will increase organisation’s performance through an increase of manpower productivity. Employee’s satisfaction is one element that can enhance the strategic plan of the organisation be performed well.

At one time, human resource management was not related to an organisation’s profit. Due to that, it did not play an important role in the organisation’s strategic planning. Now, human resource management is starting to gain more attention in the development of strategic planning to most organisations, due to the effects of human recognition in an organisation. Moreover, the main human resource management strategy is integrated in the organisation strategy.

Human resource management strategy views organisation strategy on employee, profit and effectiveness as a whole. Effective human resource management activities and programmes ensure an effective organisation; therefore, help an organisation achieve competitive advantage.

Human resource management is also responsible for managing any changes that happen in an organisation due to merging activities, business downsizing and various work force cultures.

An effective human resource management is essential to ensure the organisation’s perpetuation and effectiveness. Some of human resource management’s contributions in achieving organisation’s effectiveness are:

· Helping an organisation achieve its targets.

· Fully utilising skills and ability of the workforce.

· Providing an organisation with trained and motivated employees.

· Increasing employees’ job satisfaction.

· Developing and maintaining the quality of employee work environment.

· Delivering human resource management policy to every employee.

· Helping maintain social responsibility and ethical conducts.

· Managing changes to benefit employees and organisation.

Therefore, it is an important part of the organisation to manage their human resource and to reduce conflict with their employee and make it as a strength of the company.

3. BACKGROUND OF HUMAN RESOURCE MANAGEMENT IN MALAYSIA

Since the 1980s, management teams in Malaysian firms have shown an increase in the usage of the term “Human Resource Management” to replace the term “Personnel Management”. This is in line with the development of human resource management in the international level. Besides that, Malaysian authorities have embraced this change by taking the initiative in replacing the Ministry of Labour with the Ministry of Human Resources in 1990.

In order to achieve Vision 2020 and make Malaysia a developed country by 2020, various efforts were planned to develop the human capital resource. Among them are:

· Rearranging the education system.

· Allocating the Human Resources Development Fund under the Human Resources Development Act 1992.

· Encouraging the involvement of public and private sectors in contributing to education and training.

· Encouraging continuous learning.

In Malaysia, a field of human resource management is expanding swiftly, especially in training and development. This is a result of the government’s efforts in encouraging training and development, particularly in the manufacturing sector. A Human Resources Development Fund was created under the Human Resources Development Act 1992 by collecting levy from registered employers. These employers then utilise the fund to train or retrain their employees.

There are a few more acts that can influence human resource management practices in Malaysia. Among them are Employment Act 1955, Industrial Relations Act 1967 and Occupational Safety and Health Act 1994.