FAP412

HUMAN RESOURCES MANAGEMENT FOR ARTS PRODUCTION

NAME:
NURSYUHADAH BINTI RAZALI

STUDENT ID:
2023380271

STUDENT PHONE NUMBER:

0136564837

GROUP:
CAFF2371A

LECTURER:
MADAM KENCHANA WATI MD YUSOP

TITLE ASSIGNMENT:
INDIVIDUAL ASSIGNMENT - JOURNAL REVIEW 30%

DATE SUBMISSION:
10 APRIL 2023
1.1 Introduction

This study is based on Empowerment Of Smart Human Resources by Enhanced Innovation

(Manager's Perspective at Creative Industry). This study was studied using journals written by
several writers namely Sevenpri Candra, Natalya, Melianie and Diah Wulansari. Furthermore,
this Journal study has been published by the Management Department, BINUS Online Learning,
Bina Nusantara University, Jakarta, Indonesia 2020.

According to the Journal, the purpose of the writing is to tell about the human resource approach
that currently depends on human capital. With that, the growth of the creative industry depends
on creativity and the ability to be able to empower smart human resources and determine the
impact of human resource practices on innovation and human capital as an intervening variable.
Thus, through the results of this study, it shows that human resource practices influence
innovation through human capital. The stronger the practice of human resources, then the human
capital owned by the company will be more competent and able to produce better innovation.

However, in order to obtain strong human capital, the company needs to implement a strong
human resource practice strategy by paying attention to the recruitment/selection process and the
training/development process to form a solid team that is cohesive and contains the best figures
to increase human capital. With strong human resource practices, a company will have
employees who are able to make their own decisions, think creatively and innovatively and be
able to improve the overall innovation of the company.

Other than that, the problem faced by creative industry companies is that the creative industry
companies are very dependent on their human resources to produce innovative, unique and
creative products that support their performance. This is so because currently creative industry
companies are getting serious about doing good human resource practices to form strong human
capital and ultimately to increase innovation in the company, so it needs to be investigated how
to increase human capital and innovation in creative industry companies in Jakarta.

1.2 Theory and Case Study

In writing this study, the author has used several theories to examine the Empowerment of Smart
Human Resources by Enhanced innovation, Manager's perspective at creative Industry. Among
the theories used by the author are Innovation, Human Capital, Human Resources Practices,
Research Method, and Result and Discussion.

In the theory for Innovation, Innovation is the discovery or expression of ideas, methods,
concepts and objects that are considered as new. This is because, it can be seen from two sides
which is product innovation and process innovation. In this contect, Product innovation involves
creating new products while process of innovation involves making the production process to
become more effective and efficient.

Moving on to another theory that is used by the author for Empowerment of Smart Human
Resources by Enhanced Innovation Manager's perspective at creative industry is through the
Human Capital method. Human Capital is a differentiating factor and the basis of an
organization’s competitive advantage. It can be seen from three aspects like intellectual capital,
social capital and organizational capital. Intellectual capital is the accumulation of knowledge
and expertise owned by employees, social capital is the ability to interact with members of the
organization.

Therefore, another theory that is used by the author is Human Resource Practices. Human
Resource Practice (HRP) is an important factor for companies to consider, as it affects
employee’s desire to leave. This is because management is a process of Human Resources
Management that distributes employees according to their needs. Indicators of HR Management
include work imposed according to efficiency, ability to work well with colleagues, recruitment,
training, career path, fair evaluation and compensation commensurate with performance.

In addition, Research Method is also a theory that is used by the author for Empowerment of
smart Human Resources by Enhanced Innovation Manager’s perspective on the creative industry.
The sampling technique used in this study is purposive sampling, or sampling with specific
criteria. The sample criteria for this study are managers or employees at the manager level in
creative economy companies in the city of Jakarta. The data collection technique in this study is
to use media questionnaires whose content is about the factors that influence innovation.

The creative Industry is characterized by high levels of human resource practices,human capital,
and innovation. Human resource practices are based on the employee’s competence, training is
tailored to their abilities, and compensation is fair. Human Capital is based on their skills and
knowledge, and employees follow the company’s SOP. Innovation is driven by changes in work
processes and RnD funds.

Apart from that, among other theories is Structural Equation Modeling (SEM) analysis. This
method has two levels of evaluation, namely measurement model evaluation and structural
model evaluation. Evaluation of a measurement model is an evaluation that specifies the
relationship between the latent variable and the indicators within it. In evaluating the
measurement model, validity tests will be performed using convergent validity and discriminant
validity of indicators, and reliability tests are measured by composite reliability and Cronbach’s
alpha.

1.3 Discussion of the case

Through this journal review, I agree that with the human resources empowerment system, it can
increase innovation and thus form the perspective of the creative industry. This point can be
proven by taking a quote from K.Laursen (2020), who states that strong human resource
practices will enable employees to make decisions, so that management does not have to make
feasible decisions, but only strategic decisions. have a positive influence on innovation.

Apart from that, as Human Resources Management in the Creative Industry, the innovation
theory used by the author is very reliable. I can prove this by doing a study based on the writing
issued by the National Creative Industry Policy which states that in driving the country to the
pinnacle of progress, creativity and thinking outside the box need to be increased and stimulated.
Therefore, as the Human Resources Management of the National Creative Industry, the
innovation that can be done is to advance further to contribute to the growth of the national
economy. These industries include performing arts and music, design, animation, advertising and
content development. This is necessary to coordinate the development of various segments in the
industry.

Apart from that, as a result of creative industry research from developed countries such as the
United Kingdom, Singapore, South Korea, New Zealand, Australia and UNESCO, the definition
of creative industry in the context of Malaysia is the mobilization and production of individual or
group abilities and talents based on creativity, innovation and technology that leads to a source of
economic success and high income for the country by emphasizing the aspect of works and
intellectual copyright in line with the culture and pure values ​of racial diversity in Malaysia.

Finally, in my personal view, the role of human resources in companies in the creative industry is
very important because existing human resources will form the entire product creation process,
so that the innovation that is formed is due to the role of human resources.

1.4 Conclusion

To sum up, This study confirms the findings of other studies that human resources practices
influence human capital and innovation. Companies need to implement a strong human resource
practice strategy to form a pool of employees who will become a force or capital for the
company. Additionally, companies need to provide compensation in accordance with the
personality of employees, and continuously upgrade their systems or work processes by
accommodating the latest technology. In addition, Companies involved in the creative industry
also need to form an appropriate culture with the personality of the employee and find employees
who are willing to integrate with company culture values. Companies need to constantly upgrade
themselves systems or work processes by accommodating the latest technology, for example
cloud-based workspace that allows employees to collaborate on one platform even if they are far
away from breaking up.

1.5 References

Candra, S., Natalya, N., Melianie, M., & Wulansari, D. (2021). Empowerment of smart human resources
by enhanced innovation (manager's perspective at Creative Industry). Proceedings of the 1st International
Conference on Social Science, Humanities, Education and Society Development, ICONS 2020, 30
November, Tegal, Indonesia. https://doi.org/10.4108/eai.30-11-2020.2303696

K. Laursen and N. J. Foss, “Human Resource Management Practices and Innovation,” The Oxford
Handbook of Innovation Management, Jan. 01, 2014.
https://www.oxfordhandbooks.com/view/10.1093/oxfordhb/9780199694945.001.0001/
oxfordhb-9780199694945-e-009 (accessed Apr. 10, 2020).

Portal Rasmi Kementerian Komunikasi dan multimedia Malaysia. (n.d.). Retrieved April 9, 2023, from
https://www.kkd.gov.my/pdf/dikn.pdf.