INTRODUCTION TO

HUMAN RESOURCE
MANAGEMENT
CHAPTER 1
After learn this topic, student will able to:
 Explain the background of human resource management
 Define human resource management
 Objective of human resource management
 Factors determine the establishment of human resource department
 Explain the function of human resource management
 Job analysis and Human resource Strategic planning
 Recruitment and selection
 Training and development
 Performance appraisal
 Compensation management
 Industrial relations
 Factors affecting human resource management
 Internal factors
 External factors
 DEFINITION OF HRM

 HRM is the development and implementation of system in an

organization designed to attract, develop and retain high-
performing workforce.
 IMPORTANCE OF HRM

 Recruit suitable workers

 Ensure the workers receive appropriate training
 Establish systems for compensation and rewarding employees
 Help heads of departments keep their subordinates free from injury
and sickness
 Design and implement appropriate disciplinary system
 Develop working relationship
 Complying the employment law
 Maintain staff records
Determine the establishment
of human resource
department in organization
 SIZE OF THE ORGANIZATION

 Larger organization usually have a systematically human resources

management while small size of the company usually does not have
a human resource management

Big responsibilities
of HRM
Small
responsibilities of
HRM
UNIONIZATION OF WORKFORCE

 Strong unions will have strong influence the human resource

management function.

 In Malaysia, more than 90 percent of workers have no union. The

unions are relatively weak due to the union leadership did not favor
the needs and rights of workers.
OWNERSHIP OF THE COMPANY

 Sole proprietorship, partnership and company

 PHILOSOPHY OF TOP
MANAGEMENT
 IIUM VISION:
 IIUM aims to become a leading international centre of educational
excellence which seeks to restore the dynamic and progressive role
of the Muslim Ummah in all branches of knowledge and intellectual
discourse.

 PSAS VISION:
 Menjadi institusi TVET perdana terpimpin industry menjelang 2020
 HR FUNCTIONS

 Job analysis and Human Resource Strategic Planning

 Recruitment & Selection
 Training & Development
 Performance Appraisal
 Compensation Management
 Industrial Relation
 HUMAN RESOURCE PLANNING

 A process of identifying human resource needs of current and future

for an organization to achieve its goals.
 Process:
1. Identify HR needs
2. Analyze HR availability
3. Compare demand with supply
4. Draw solution programs
5. Implement solution programs
 RECRUITMENT

 A process of finding and hiring the best qualified candidate (from

within or outside the organization) and bring them as new
employees into the organization.
 SELECTION

 A process which is evaluating candidates for specific job and

selecting individuals for employment based on certain criteria
 TRAINING AND DEVELOPMENT

 It is an effort to enhance the skills, attitudes and knowledge of

employees.
 PERFORMANCE APPRAISAL

 It is a method which an employee’s work performance is evaluated.

COMPENSATION MANAGEMENT

 It is the remuneration received by the employee regarding of his

contributions to the organization.
 INDUSTRIAL RELATION

 It is an effort to create a good relationship between employers and

trade unions to protect workers and improve productivity of the
organization.
 ENVIRONMENTAL FACTORS
INFLUENCING HRM
 INTERNAL
 Size of organization
 Ownership of the company
 Philosophy of top management / vision and mission
 Unionization of workforce

 EXTERNAL
 Technological changes
 Globalization and increased competition
 Employee education and expectation
 Workforce diversity
 Labor law
 TECHNOLOGICAL CHANGES

 When there are changes in the technology used in carrying out

daily work .
 It is necessary to lay off workers or train employees to adapt with
new technologies.
GLOBALIZATION AND INCREASED
COMPETITION
 EMPLOYEE EDUCATION AND
EXPECTATION
 Highly educated workers more demanding than those who are not
educated.
 WORKFORCE DIVERSITY

 Workforce diversity that occurred in the organization today will be a

big challenge to HRM to manage them.
 3 generation which is generation X, generation Y and Baby Boomers
have a big differences of skill, attitude and knowledge.

Baby Boomers Generation X Generation Y

 LABOR LAW

 All the human resource functions must be legally applied.

 There is some act are related to the human resource function such
as:
• The Employment Act 1955
• The Wages Council Act 1947
• The Employee Provident Fund (EPF) Act 1991
After learn this topic, student will able to:
 Explain the background of human resource management
 Define human resource management
 Objective of human resource management
 Factors determine the establishment of human resource department
 Explain the function of human resource management
 Job analysis and Human resource Strategic planning
 Recruitment and selection
 Training and development
 Performance appraisal
 Compensation management
 Industrial relations
 Factors affecting human resource management
 Internal factors
 External factors
All the best
Wan ‘Afifah Binti Wan Abdullah