FACULTY OF BUSINESS AND MANAGEMENT
JULY SEMESTER / YEAR 2020
BBPB2103
HUMAN RESOURCES MANAGEMENT
MATRICULATION NO : 960112145975001
IC NO. : 960112145975
TELEFON NO. : 010 2501128
E-MAIL : [email protected]
LEARNING CENTRE : SRI RAMPAI
TABLE OF CONTENTS
No Title Page
1.0 Selected Organisation – YTL Cement Bhd 3
1.1 History 3–4
1.2 Vision and Mission : What YTL stands for? 4
1.3 Products and Services 4–5
1.4 Employees 5–6
2.0 What Is Human Resource? 7-8
2.1 What is Performance Appraisal? 8–9
2.2 Functions of Performance Appraisal 10
2.3 Selected Function – As Employee Development Tool 10
2.4 Purpose, Main Components and Process 10 – 11
3.0 Performance Appraisal for YTL 12 – 13
4.0 Suggestions to Improve Employee Development for YTL 14
4.1 Human Resource Planning 14
4.2 Recruitment and Selection 14
4.3 Human Resource Development 14
4.4 Career Progress 14
4.5 Reward Related Program 15
4.6 Employee Internal Relations 15
4.7 Evaluating Employee Potential 15
5.0 Summary – Analysis and Challenges 16 – 17
6.0 Reference 18
2
1.0 SELECTED ORGANIZATION – YTL CEMENT BHD
With a tagline “BUILDING TOGETHER”, YTL Cement is a leading regional
building materials group in Asia contributing to constructing homes, buildings and
infrastructure for more than 60 years. Their passion for building better and together is rooted
in their beginning as a construction company in 1955. It drives their commitment today to
offer world-class quality products and end-to-end solutions.
YTL Cement currently has operations in 6 countries; Malaysia, Singapore, Vietnam,
Myanmar, Philippines and China with a network of operations consisting of cement plants,
ready-mix concrete batching plants and aggregate quarries.
1.1 History
YTL Corporation (YTL Corp) was founded by the late Tan Sri Dato' Seri (Dr)
Yeoh Tiong Lay in 1955. His oldest son, Tan Sri Dato' (Dr) Francis Yeoh became the
Managing Director of YTL Corp in 1988 and subsequently became Executive
Chairman in 2018. Under Francis Yeoh's stewardship, the YTL Group has grown
from a single listed entity in 1985 to a group of 5 listed companies with a combined
market capitalisation of RM29 billion (US$7 billion) and total assets of RM77 billion
(US$18 billion) which includes cash reserves of RM12 billion (US$3 billion). The
company is also listed on the Tokyo Stock Exchange since 1996, being the first Asian
non-Japanese company to be listed there.[1]The late Tan Sri Dato’ Seri Dr. Yeoh Tiong
Lay started his construction company in 1955. Tan Sri Francis Yeoh Sock Ping (3rd
generation), YTL’s current Managing Director ventured into utility industry – 1st
independent power producer established in Malaysia (1988). He later diversified into
cement manufacturing, hotels, technology and property development which resulted
in the creation of YTL Corporation, listed both in Bursa Malaysia and the Tokyo
Stock Exchange.1
The YTL family conglomerate siblings are Dato’ Yeoh Soo Keng, Dato’ Mark
Yeoh Seok Kah, Dato’ Yeoh Seok Hong, Tan Sri (Dr) Francis Yeoh, Tan Sri (Dr)
Yeoh Tiong Lay, Dato’ Yeoh Seok Kian, Dato’ Sri Michael Yeoh Sock Siong &
Dato’ Yeoh Soo Min.
1
https://en.wikipedia.org/wiki/YTL_Corporation
3
1.2 Vision and Mission : What YTL stands for?
YTL Cement is in the business of nation building. As builders, they have
always stood for what they believe in, and strived to build better and higher to offer
products of value and quality.
They are invested in building a family culture that has evolved over the years
to form the foundation of their business.
Their five values are:
1. Honestly
2. Hard Work
3. Moral Responsibility
4. Togetherness
5. Vitality
1.3 Products and Services
Cement is the core product for the construction of buildings and
infrastructures. As a key player in this industry, YTL Cement strives to produce
innovative cement for different construction purposes. In many cases, our cement is
specially formulated to meet specific project needs.
4
The different types of cement are as depicted in Figure 1 below:
FIGURE 1
The most common use for cement is the production of concrete, which is a
composite of cement, aggregates, chemical admixtures and water.
1.4 Employees
YTL Group boasts of 13,753 staff strength 2 as depicted in Figure 2 below,
with 5632 3 staff from the cement and construction division.
While there are no fixed data to confirm the types of employees in YTL, the
websites does specify that the cement group of employees diversify from race, gender,
2
https://info.creditriskmonitor.com/Report/ReportPreview.aspx?BusinessId=5488077
3
https://en.wikipedia.org/wiki/YTL_Corporation
5
ethnicity and age group judging by the diverse business locations of the cement
plants.
CEMENT
“YTL Cement operates 2 world-class Integrated Cement Plants in Pahang and
Perak as well as Clinker and Blastfurnace Slag Grinding Plants at Westport, Klang
and Pasir Gudang, Johor.
YTL Cement is currently the largest cement producer in Malaysia.
YTL Cement also owns an Integrated Cement Plant in Hangzhou, China,
which has a production capacity of 2.0 million tonnes of cement per annum.
CONCRETE
YTL Cement is Malaysia's largest producer of ready-mixed concrete, through
its subsidiary Buildcon Concrete Sdn Bhd. Buildcon Concrete currently operates more
than 50 batching plants throughout Peninsular Malaysia, and operates with more than
700 mixer trucks comprising the largest fleet of mixer trucks in Malaysia. It also has
international operations in Singapore.
Buildcon is an experienced leader in sustainable construction through the
reduction of carbon footprint through the usage of fly-ash and GGBS instead of OPC
(Ordinary Portland Cement), in its mix designs.”4
4
https://www.jobstreet.com.my/en/companies/655268-ytl-cement-berhad
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Figure 2
2.0 WHAT IS HUMAN RESOURCES MANAGEMENT?
Human Resources Management (HRM) is a relatively new approach to managing
people in any organization. People are considered the main source of this approach. It is
about the dimensions of people in the management of an organization. Since organizations
are a group of people, acquisition, skills development, motivation for higher levels of
achievement, and review to make sure their level of commitment is all important. These
activities fall within the HRM domain.
Human Resources Management is a process, consisting of four core functions:
staffing, development, compensation, and labor relations. Spriegel5 has defined Human
Resources Management as a responsible branch of management on a personnel basis to focus
on key aspects of operations related to the management of employees and employees to
employees and to individual and group development.
Human Resources Management is responsible for maintaining good human
relationships within the organization. It is also about individual development and integration
5
Spriegel, William R., and E. C. Davies. Principles of Business Organization (1946). New York: Prentice-Hall, Inc.
7
achieving the goals of the organization and the individuals. Human Resources Management is
not something that can be separated from basic management functions. It is a key component
of the wider management function. French Wendell 6, defines Human Resources Management
as the acquisition, selection, development, utilization, compensation and human resource
motivation of the organization.
Therefore, an organization needs human resources planning that involves short and
long term plans. Without good planning and organization, an organization is likely to find it
difficult to obtain human resources in the event of a vacancy, let alone hiring a truly qualified
and suitable employee in the short term. Those involved in human resources planning not
only outline the categories and the number of positions that need to be created, but also must
consider the criteria of qualified workers to fill those positions. In this regard, a
comprehensive study of employee specifications such as age, gender, academic
qualifications, work experience, sportsmanship, leadership or the like, should be considered
in the planning process.
Furthermore, once planning for human resources needs has been made and employee
specifications have been established, management needs to outline recruitment, selection,
training, and career development programs for employees. Performance appraisals also need
to be planned and implemented so that the quality and productivity of their work can be
improved over time. All of these steps are a reflection of the human resource management
process.
2.1 What Is Performance Appraisal?
Performance appraisal is one of the most important processes in human
resources management practices. Through this performance assessment, organizations
can see how much productivity their employees have achieved in terms of
achievement, efficiency and level of effectiveness of employees who have carried out
their responsibilities over a given period of time.
6
Wendell, L. French, Human Resources Management (2006). Houghton Mifflin Company.
8
Usually the frequency of assessments varies between organizations and
organizations. Some run it quarterly, every half year and others make it once a year.
The impact of the performance appraisal is very significant to the employee as
it has a direct bearing on the performance of the employee. This is because when an
employee's performance is evaluated correctly and fairly, it can help the manager or
appraiser determines the appropriate remuneration of the employee's pay, determine
eligibility for a permanent job, eligibility for promotion, improve career progression
etc.
However, organizations will have a negative impact on their performance if a
performance appraisal system is viewed as an irregular, unfair system as an example
of giving high esteem to the employees they favour even if the employee is not
eligible to receive such an assessment marking.
As a result of this injustice, situations where workers' motivation decreases,
productivity does not reach the required quality level and unstable employee
commitment also affects the overall performance of the organization involved. At the
same time, of course, it will undoubtedly frustrate the diligent workforce as they feel
that filling in the form of performance appraisal is just a waste of training and does
not give them any meaning. If this continues, organizations may lose dedicated
employees and have to spend more and more time looking for alternatives.
In addition, based on these performance appraisals, organizations can also
encourage employees and employers to develop bilateral communication between
them. As we know when the evaluation form is ready, the final stage of the
assessment process should be held between the two parties.
However, in this case it is usually overlooked by the assessor; particularly in
discussing the results of the employee's performance appraisal with the employee. In
this situation, the employee must be informed of the results of their assessment so that
they can correct any deficiencies or weaknesses. By recognizing these shortcomings,
they are able to correct any shortcomings while also entitled to know about their good
reputation and contribution to organizational productivity. This is where we need the
commitment of employers and employees to sit down and discuss.
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Although there are obstacles and obstacles in terms of time constraints,
assessors need to find a solution to how those obstacles can be overcome. If
appraisers succeed in doing so, it can alleviate the employees' dissatisfaction and
discomfort with their performance evaluation form. It should also be noted that the
purpose of this performance assessment is also to improve performance in the future
and not to find fault or to punish employees alone. An effective performance
evaluation is necessary to ensure that both workers and employers receive the best
benefits.
If this is to be done systematically, justly, transparently, legally and properly is
certainly the majority of employees in the organization are satisfied with the system
used. However, if the performance appraiser fails to perform properly and efficiently,
this will create a conducive working environment and this will affect the commitment
that the employee will have to the job. If this is the case employers and workers will
be at a disadvantage. The end result is differences of opinion such as conflicts
between employer and employee and this will contribute to the failure of mission and
organizational vision.
2.2 Functions of Performance Appraisal
Performance appraisal has three basic functions:
(i) As an Employee Development Tool and to provide adequate feedback
to each person on his or her performance.
(ii) As an Administrative Tool which is to serve as a basis for modifying or
changing behaviour toward more effective working habits.
(iii) As a Data Tool which is to provide data to managers with which they
may judge future job assignments and compensation.
2.3 Selected Function of Performance Appraisal
The selected function which we will focus on is Employee
Development Tool which is the most important part of performance appraisal
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is to make decisions for individual performance in identifying goals.
Evaluating performance is easier than making quality decisions.
2.4 Purpose, Main Components and Process
Performance must be evaluated based on the overall objective, which
will be broken down into several goals that will be influenced by the overall
objective. Objectives should be applicable to all employees who have a
mixture between objective measurement and competition where the
competition used should be described carefully in the form of skills that can be
demonstrated or treated.
There are a few short ways to evaluate performance. Precautions
should be given to each objective and goal. Estimates should be made in the
circumstances in which they have been reached. In the performance rate, the
evaluator should take into account in all aspects of the job. Giving an overall
rate for a job as a whole and untrue and will affect overall performance.
One of the difficulties experienced by managers in evaluating
employees is to evaluate the individual himself. Among them is the problem
of giving good performance results to employees who are pleased and the
opposite decision. In taking into account individual performance emphasis
should be given based on priority objectives and overall performance and it
should be measured against the abilities of employees.
Considerations should be taken into account the internal factors that
will affect performance such as changes in the organization, available
resources and the level of competition that exists in the arrangement.
Appraisers or managers should take into account external circumstances such
as market conditions, changes in laws or government policies and economic
conditions.
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3.0 PERFORMANCE APPRAISAL FOR YTL CEMENT BHD
For YTL, performance management is more in the form of conducting evaluations or
a series of evaluations at a time and is an important part of the field of human resource
management. The employer should provide the employee with appropriate support and
conditions to obtain the desired performance evaluation results. The matters that need to be
taken into account by YTL in evaluating the performance of staff are as follows: -
1. Provide practical support appropriate to existing resources.
2. Ensure that the employee is aware of the results of the required performance evaluation
and provides advice when needed.
3. Provide training and development programs to employees so that they can achieve the
desired performance.
4. Modify target measurement, priorities and performance based on changes in organizational
priorities, markets, government policies and so on.
12
In a performance management setting, the key thing to consider is the performance of
excellent managers and the example of other employees. Management practices depend on a
number of factors: individual personality, work environment, size of time and culture of an
organization. Effective performance management should have guidance and assistance in
human resource development.
According to James A. F. Stoner “Management” (1987) Article 547 7, performance
appraisal means:
“It refers to the process of giving back to subordinate on a regular basis where they do the
work for the organization.”
Stoner argues that the progress of a subordinate should go through a continuous process
within a set time or when it is deemed necessary. Employees who are evaluated must be
informed orally in writing about their performance during the course of the study.
It is a two-way communication that has the following advantages:
· Employees who are assessed have the opportunity to know their fitness and need to
improve.
· Provide opportunities for employees to express their opinions.
· Assessors can identify areas of weakness that are accurate and allow for a practical way of
repairing.
· Appraisers can exploit the opinions of employees towards improving their performance by
benefiting the organization.
7
Stoner, J. and Freeman, R. (1989). Management. Englewood Cliffs, NJ, Prentice-Hall.
13
4.0 SUGGESTIONS TO IMPROVE EMPLOYEE DEVELOPMENT FUNCTION OF
PERFORMANCE APPRAISAL FOR YTL
Performance appraisal can contribute significantly to YTL Cement’s rights and ways
8
of planning its future in relation to humanitarian factors. According to Mondy and Noe
performance evaluation can be improved in the below ways are:
4.1 Human Resource Planning
With a systematic performance appraisal system, the management of YTL can
identify the type of training that employee’s need. It will also help determine the
capabilities and skills needed for a job while also identifying the strengths and
weaknesses of YTL’s staff.
8
R. Wayne Mondy, Robert M. Noe (1993). Human Resource Management. Allyn and Bacon.
14
4.2 Recruitment And Selection
The next role of performance appraisal system is that it enables predictions to be
made about the performance of candidates applying to work in YTL. Performance
appraisals of existing employees allow managers to make predictions about the
potential of candidates coming from the same / different educational backgrounds or
from similar / different higher education centres with existing employees.
4.3 Human Resource Development
Performance appraisals should also be able to show managers specific needs for an
employee's training, education and personal development. In line with this, managers
can plan programs to improve performance and reduce staff and department
deficiencies.
4.4 Career Progress
Data obtained from performance appraisals can help managers identify and estimate
their employees' strengths and weaknesses. Based on these data, they can guide and
assist employees in developing and implementing their career development plans.
4.5 Reward-Related Programs
Performance appraisals are useful as a basis for decision-making managers to reward
employees. A good performance appraisal system can encourage employees to
continue to do their best in the belief that the better they work, the higher the reward
will be. A good appraisal system can also encourage weak staff to change their
attitudes and behaviours and be able to exchange them with high performing peers. To
promote good performance, performance-based rewards need to be applied.
4.6 Employee Internal Relations
In this regard, the data obtained from performance appraisals are useful for the
processes of determining which employees can be promoted, promoted, terminated or
exchanged. If these data show the manager, the ability of the employee to perform
other tasks at the same level, then the employee can be changed if necessary. Or if the
data is satisfactory then it is useful for the promotion process. If a person is found to
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be low performing then it is likely that they will be involved in the "Lay - Off"
process and so on.
4.7 Evaluating Employee Potential
YTL can evaluate their employees' ability based on past successes. However, this is
not wise because it is possible for someone to show great potential in one job, not
necessarily succeed or exhibit excellent work in another. Therefore, a performance
appraisal system that can focus on future employee performance, identify potential
employees with the hope of increasing and retaining their work performance in new
jobs.9
5.0 SUMMARY – ANALYSIS AND CHALLENGES
Performance monitoring is one of the parts in the performance management process.
Performance appraisals are held once or twice a year and are in the form of interviews
between employees and employers. Sometimes the results of these interviews of employees
can increase the salary and promotion of employees. Apart from that, the results of these
interviews will give emphasis to employee training and development programs.
The interview process can also build and support an individual in improving and
developing his or her work performance. Enthusiastic employees will usually receive
criticism from their employer at the end of the interview. Several principles are needed in
fulfilling these characteristics. Among them are: -
1. No surprises occur in the evaluation during the interview. Evaluation should take
into account the performance of employees before the interview because it is feedback
from the manager.
9
Thomas H. Patten, Jr. (1972) Manpower Planning and Development of Human Resources. John Wiley & Sons, Inc., New
York.
16
2. This process needs to be applied to all employees. All employees have the right to
know their level of performance and it is a necessary condition in further improving
the achievement of the employee.
3. Employees are encouraged to express their performance and give their opinions on
what they think and what they have done.
4. The discussion should focus on the goals set and the achievements required to
achieve the goal.
5. Assessors should keep in mind that they only have 2 ears and one mouth to use
when conducting the interview.
Both the employer and the employee must be aware of the main objectives of assessment in
performance management, namely;
• Make sure employees know what to do or what to do and how an assessment is
done.
• Assist staff to develop the necessary skills to ensure success for themselves and the
employer for promotion or a suitable level of employment.
• Provide a mechanism for staff to discuss their ability to carry out tasks with
administrators / managers and the rewards and rewards that will be earned.
• To ensure that it is fair and that the purpose of the assessment is for the payment and
adjustment of staff salaries.
• Provide service records for each employee for their achievements in an organization.
Efficient and effective performance management not only benefits the employer, but also
contributes to healthy competition between the organization itself and other organizations and
subsequently to the social system and government of a country.
(Word Count : 3,272)
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6.0 REFERENCE
Spriegel, William R., and E. C. Davies. Principles of Business Organization (1946). New
York: Prentice-Hall, Inc.
Wendell, L. French, Human Resources Management (2006). Houghton Mifflin Company.
Agho, A., Mueller, C. and Price, J. (1993). Determinants of Employee Job Satisfaction: An
Empirical Test of a Causal Model.
Analoui, F. (2007). Strategic Human Resource Management. Thomson Learning, UK.
Arnolds, C.A. and Boshoff, C. (2002). “Compensation, Esteem Valence and Job
Performance: an Empirical Assessment of Alderfer‟s ERG Theory.” International Journal of
Human Resource Management.
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Stoner, J. and Freeman, R. (1989). Management. Englewood Cliffs, NJ, Prentice-Hall.
R. Wayne Mondy, Robert M. Noe (1993). Human Resource Management. Allyn and Bacon.
Thomas H. Patten, Jr. (1972) Manpower Planning and Development of Human Resources.
John Wiley & Sons, Inc., New York.
http://www.ytlcement.com
https://en.wikipedia.org/wiki/YTL_Corporation
https://info.creditriskmonitor.com/Report/ReportPreview.aspx?BusinessId=5488077
https://www.jobstreet.com.my/en/companies/655268-ytl-cement-berhad
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