The Future HR Development in Manufacturing Sector of Penang
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The document discusses the future possibilities of human resource development (HRD) in Malaysia's electronics sector. It summarizes the current state of HRD in Malaysian manufacturing firms, trends in US training budgets and programs due to economic downturn, and future possibilities for HRD including training delivery methods, organization development, and career development. It advocates expanding HRD departments' roles, developing learning cultures, and the Malaysian government supporting HRD through organizations like PSMB.
![The Future Possibilities of
HRD in Electronic Sector
Laurence Yap M.A.
[Senior Manager]
Human Resource Development](https://image.slidesharecdn.com/thefuturepossibiltiesofhrdinmanufacturingsectorpenang-150418214203-conversion-gate02/85/The-Future-HR-Development-in-Manufacturing-Sector-of-Penang-1-320.jpg)
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The Future HR Development in Manufacturing Sector of Penang
- 1. The Future Possibilities of HRD in Electronic Sector Laurence Yap M.A. [Senior Manager] Human Resource Development
- 2. Our Only Competative Edge is to Learn Faster than Our Competitors
- 3. WIIFM? • Training and HR Profession – Broaden your understanding of in training, OD and Career Development • Functional Managers – Propose your HR Department to experiment these activities • Senior Managers – Recruit HR/Training personnel who can carry out these activities
- 4. Meaning • To materialize 2020 as Industrial nations, HRD is the key factor • For Malaysia to compete with the world, HRD can contribute in OD, Training, and Career Development • To become a high performance company, HRD has the capabilities to develop workforce and organization
- 5. Agenda 1. Manufacturing and Semiconductor in Malaysia 2. Current Status of HRD in Manufacturing 3. Training Trends in US and Malaysia 4. Future Possibilities of HRD Training, OD and Career Development 5. After Thought: PSMB and HRD Network
- 7. Background • The electronics industry is the leading sector in Malaysia's manufacturing sector, contributing significantly o the country's manufacturing sector • Output 29.3% or RM 167.2 Billion • Exports 55.9% or RM 233.8 Billion • Employment 28.8% or 296,870 29.3%
- 8. Malaysia's electronics industry: a. Electronic Components 58.7% FDI 2008 38.4 % TOTAL electronics export 2008 Semiconductor b. Consumer Electronics c. Electrical
- 10. Semiconductor History • The semiconductor industry started in 1970's when the government then embarked on a strategy to attract export- oriented industries into Malaysia . • From mere assembly and testing operations such as metal-cam packages, p-dip packages, and dip packages, the industry has now moved into higher value- added activities including wafer fabrication and IC design.
- 11. R&D Some semiconductor companies, especially MNCs have undertaken R&D activities in Malaysia , either in-house, jointly with local universities (UKM, USM, UTAM and UM) or by outsourcing to local R&D companies. Among the R&D activities undertaken are in the areas of: • Process and materials technologies; • Advanced flip chip packaging development; • RF module; • Advanced test technologies development; • Total packaging; • Board design; and • Simulation capabilities. (Carsem Technology Center 2007)Source: www.miti.gov.my
- 12. IC testing and packaging companies • Currently, the IC testing and packaging companies in Malaysia are undertaking more complex packages, to cater for demand which requires faster, smaller and high computing power and multi functional chips. Among the packages are: • Organic land grid array packages; • (OLGA packages); • ASICs; • Flip chips • Ball grid array (BGA) • Wafer level for IC integration; • System on Chip (SoC); • System in package (SiP); and • Multiplayer packages (MLP) Source: www.miti.gov.my
- 13. In Operations • To date, there are 63 companies in operation, producing semiconductor services or undertaking semiconductor related activities. Among these companies are: • Wafer fabrication – 3 companies (MIMOS, 1 st Silicon and Silterra) • IC design – 20 companies (mostly with MSC status) • IC testing & packaging companies – 26 companies (8 Malaysian – owned) • Other semiconductor devices – 14 companies Source: www.miti.gov.my
- 15. Research Results • DESIRABILITY AND EXISTENCE OF HRD STRUCTURE IN MALAYSIAN MANUFACTURING FIRMS • Haslinda ABDULLAH, UPM
- 16. Methods • The questionnaire was sent to all 2,135 manufacturing firms listed under the Federal Malaysian Manufacturers (FMM), with a response rate of 16.5%. • A sample of 50 HR managers was selected to participate in the interviews. The interviews were used to solicit perceptions and evaluations of the various dimensions of this study.
- 17. HRD in Manufacturing Firms • Human resource development (HRD) in manufacturing firms in Malaysia is rapidly gaining importance • the Human Resources Development Act, 1992 has been implemented • 1% levy for manufacturing companies
- 19. LSI POV “Our employees’ training and development is really important to our top management, our business and productivity. We believe that in order to achieve business success, we must have well trained employees, which would be difficult without a separate HRD function…….” (HR & Corporate Relations Director; Food, Beverage & Edible Oils; LSI).
- 20. 2. HRD Section: 8 years average • Most of the HRD sections were first established around the mid 1990s (HRDF policy) • In this study, the majority of the remaining firms (65.9 percent) indicated that their HRD sections had been established for between 5 and 14 years. In addition, 29.6 percent of the firms had HRD sections that had been established for less than 5 years. • The minimum number of years for which these sections had been in operation was two years and the maximum was 20, with an average of 8 years.
- 21. Lack of HRD Skills It can be deduced that HRD practice in the manufacturing firms in Malaysia is still not very advanced in its development. HRD practitioners may require specialized education and training in HRD in order to carry out structured and systematic HRD, rather than merely providing training to employees
- 22. 3. Labeling: Training Dept • Only 18.2 percent of these departments are labeled as “HRD” departments or units. • More than half are called “Training” departments (55%) • Surprisingly, a few of these organizations label their • HRD units “Learning and Development” (15.9 percent) • A few others are called “Employee Development and Placement and Talent Development Unit” (6.8 percent). The
- 23. The Role of HRD and labeling merely about the provision of training rather than HRD. “I have been in this field for more than 10 years. I have seen many changes in the terms, from ‘training’ to ‘HRD’ and now some fancy names……’Capital Development?’…However, the basic concept is merely training. Therefore, whatever term is being used, it will mean the same…’training!’ (HR & Administration Manager; Concrete & Cement; LSI).
- 24. Comments 1. Formulate Corporate Learning Strategies 2. Initiate organization development works
- 25. Nine Strategies Focus on Performance Solution Align to Corporate Objectives Broadening Learning Activities Building Employee Branding Invest in Strategic Learning Leverage on our intellectual capital Partnership with Different Business Unit Cultivate Values and Positive Culture Speed up knowledge transfer
- 26. OD Driven 26 OD Driven Business Sustainable Growth Model Process Development Organisation Development Talent Development Productivity Profit Talent Culture Strategy Management Team Development Effective Org Structure Engagement Culture OD Interventions Talent Management Leadership Development Bench Strength Training & Dev Productivity Innovation
- 27. HRD Department Structure HRD Training Administration ( Chew ) Human Capital Development ( Malar ) Frontline Employee (Ros) Lean ( KS Chew ) Technical Skills Development (Chew ) OD ( KW Cheah )
- 31. HR + HRD Values : 1. Respect for People Empathy and understanding 2. Integrity Say what you do, do what you say 3. Customer-focused Shows enthusiasm and knowledge of products and services 4. Continuous improvement Be proactive, keeps up-to-date & promotes continuous learning 5. Open Communication Listens & responds constructively
- 32. 4. Weaker HRD Reporting Structure • Almost half of the respondents (45.4%) indicated that they report to the Human Resource Director. • Reporting to the Chief Executive Officer (CEO) and the General Manager (GM) is also a common phenomenon, which represents about 41.0 % of the total respondents. • The remaining 13.6 % of the respondents indicated that they report to the Board of Directors and the Human Resources Manager.
- 33. Org 1
- 34. Org 2
- 35. 5. Fewer Training Centers • Of the 365 participating firms, 122 reported that they had training centres: 45.4 percent of these firms were LSIs, while 24.9 percent were SMIs. • in the USA, where specialised HRD departments have been institutionalised into training centres and HRD activities are often housed within corporate universities or have university affiliation
- 36. Responses • Separate of HRD functions Pay more attention to SMI • HRD Department (Only 8 years average) Improve skills of Training Profession PSMB sponsors learning events • Labeling of Training Expand the role from Training to HRD OD work and Career Development
- 37. Responses • Reporting Structure Report to HR Director, COO or CEO • Training Centers (45.4%) Encourage training structure and facilitates from grants, HRDF or tax exemptions
- 38. III Training Trends in US The Impact of Economy Downturn
- 39. Impact: Global Financial Crisis
- 41. Training Budge • U.S. Training Groups Cut Budgets Fell 11 percent over the past year – from $1,202 per learner in 2007 to $1,075 in 2008. • U.S. Training Groups Cut Staffing The training staff ratios SMI: from 7.0 to 4.9 staff for every 1,000 learners. LSI: from 5.1 to 3.4 staff-per-thousand.
- 43. Comments • Many electronics tied up with US market • Expected cut budget and staff (Penang vs KL) • Unwise to cut HRDF levy 1% to 0.5% Government should subsidized 0.5% • Competitive market needs upgrading of skills
- 44. Training Hours • The average number of formal training hours dropped from 25 hours per learner in 2007 to 17.2 hours in 2008
- 45. Type of Programs (1) Funding moved away from IT and leadership development and toward programs that are mandatory, on meeting compliance requirements and on improving skills that are highly specific to a learner’s job.
- 46. Type of Programs (2) Coaching programs have become especially popular and are now incorporated into 30 percent of all training programs. Group and peer-to-peer collaboration are being facilitated through social networking tools , such as communities of practice , wikis and blogs . In fact, the use of communities of practice doubled from 2007 to 2008, making this the fastest-growing segment of the learning tools market today.
- 47. Types of Program (3) • Combined with self-study and e-learning, the total amount of online training dropped from 30 % of training hours in 2007 to 24 %in 2008. • This is somewhat ironic, since many companies originally turned to online learning to save money on their classroom programs. But the investments in learning technology, content and internal staffing do add up.
- 49. Comments • Less Soft skills and IT skills training • Maintain Mandatory like Technical skills programs • E-Learning are not received well yet (How do we compete?) • Formal coaching programs are not common on Malaysia yet. • Collaborative tools such as wikis and blogs are not common yet (Developed nations)
- 50. | Our Challenges: The World Is Changing |
- 51. IV Future Possibilities of HRD Training & Learning Organization Development Career Development
- 52. A. Training and Learning • Creative delivery of Training Nano Training, Mobile Learning • Management System E-Learning • Alignment to Department Needs YB approaches, Vendor support • Learning Culture Benchmarking, Shared Learning (Book, Best Practice), Internet research, Books and Magazines
- 53. Mobile Learning
- 54. Nano Training • Short Learning ( 1 hour) • Lunch, Department Meeting, Coffee Break
- 57. Align with Dept Needs • Talk to Department heads about their needs – YB • Eg. HR, Production Control and Customer services • TNA • Performance Consulting
- 58. Benchmarking • Visit Kobe about SDWT • Visit Maxis, Digi, Motorola, Pfizer and Sime Darby
- 61. Knowledge Network HRD Best Practice Sharing 23rd May 2009 Wisma PSMB
- 63. B. Organization Development • Organization Effectiveness Strategy Planning, Organization Design, Team Collaboration, Facilitation Change • Cultural Development Values, Leadership Development, Positive Mindset • Work Process Interventions Lean Manufacturing, TQM’s Small Group Activities
- 65. C. Career Development • Competency Development • Talent Management • Succession Planning • Coaching and Mentoring
- 66. AMA Management Competency Model
- 67. Future Managerial Skills • What are the skills and competencies of future Managers in Manufacturing? Positive Mindset People Skills Facilitation Process Learning and innovative (Informal Learning) Business Acumen (MBA)
- 68. Growth of HRD Shared Learning Team Upgrade Training function to HRD
- 69. Role of PSMB Consulting, Resource Center & HRD Functions
- 70. Summary 1. Manufacturing and Semiconductor in Malaysia 2. Current Status of HRD in Manufacturing 3. Training Trends in US and Malaysia 4. Future Possibilities of HRD Training, OD and Career Development 5. After Thought: HRD/Training, PSMB
Editor's Notes
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