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BMHR5103 2018

OUM Business School


MASTER OF BUSINESS ADMINISTRATION
_____________________________________________

BMHR5103
HUMAN RESOURCE MANAGERS
ASSIGNMENT
JANUARY 2018
_____________________________________________

NAME : ANIS ILYANA ISMAIL


MATRICULATION NO : CGS01701301
IDENTITY CARD NO. : 940322-10-6394
TELEPHONE NO. : +6017-911 9970
E-MAIL : ilyana220394@gmail.com
LEARNING CENTRE : OUM MAIN CAMPUS

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TABLE OF CONTENT

TITLE PAGE

Introduction 2
Question 1
Part 1 : 3-6
Discuss how recruiting effort can generate a pool of potential qualified
candidates.

Part 2 :
If you are a human resource manager of a company, decide which technique of 7-9
recruitment you would choose for your company. Justify your decision with
reference to the industry type.

Part 3 :
Identify potential interview problems and discuss ways to fix these problems. 10 - 12

Question 2
Part 1 : 13 - 16
Review the implication of performance appraisal bias and errors on individuals,
organisation and the performance appraisal system.

Part 2 :
Find the relationship between effective performance management and company 17 - 18
performance. You may have the option to conduct interview with a HR manager
of any selected organisation of your choice to gain more insight about the
relationship between performance appraisal and organisational effectiveness.

Reference 19

Appendix 20

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INTRODUCTION

The concept of selection has been defined from different views by various researches and
represented as follow, that selection is the process of hiring, offering the jobs to one or more
candidates from the applications received through recruitment. From the recent studay, there are
various methods through which employee selection can be carried out, such as selection
interview and selection test. According to Alan (2004) and Armstrong (2009), they consider that
selection interview and selection test as most suitable tools in order to predict prospective the
employee performance.In fact, selection interview can helps to abtain and assess information on
the job for which they are being considered in comparison with the predictors made for other
candidates. Meanwhile selection interview is defined as the answering of questions and
communication between two or more persons or a purposeful exchanges of ideas, according to
Scott (1995).

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ANSWER OF QUESTION 1 (PART 1)

According to Neeraj Kumari (2012), the better recruitment and selection strategies will
improve the result in organization outcomes. Successful human resource should identify what the
needs of human resource in the organization. Once the needs of human resource identified, the
process of recruitment function will start. Based on the recent study, recruitment is process of
attracting potential and hiring the right employees in order to stimulating them for applying job
in an organization. The process of recruitment will help to create a talent pool of potential
candidates for the benefits of the organization, can increase the pool of job seeking candidates at
minimum cost and also helps in identifying and preparing potential job applicants who will be
the appropriate candidature for the job. There are a few common characteristics that should have
in potential qualified candidates in each of department in the organization.

Common characteristics that should have in potential qualified candidates.

1) Intelligence

Intelligence in these area means are the potential candidates should have the ability to
plan, to organize, to set priorities, to solve problems and to get the job done. Besides that,
intelligence of the potential candidates also refers to the level of common sense of them and the
practical ability to deal with day-by-day challenge of the job. Usually, the interviewer will
practise their intelligence by asking them with the intelligent questions and see how they answer.
So that, the intelligence is one of the important characteristics that should have in the potential
candidates.

2) Leadership ability

Leadership is the willingness and the desire to accept the responsibility in order to get the
job done on time. Responsibility of leadership are huge such as the ability to take charge, to
volunteer for the task given and accept the accountability for achieving the required results for
the task. As a potential candidates for a organization, they must show their willingness to be a
leader by offering themself to take charge in order to achive the gols that have been set up and

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also must commite in their work instead of to performing their leadership ability in the higher
levels.

3) Communication skills
Communication skills is one of five major skill sets employers consider most important when
hiring recent business grads for a mid-level position. Based on the recent study, in manufacturing
communication skills were in greatest demand and this finding was true across all world regions
and employers, regardless of industry or company size. Besides that, communication skill also
the one common trait at the top of any employer’s “wish list” for a potential sales employee.
Strong communication skills are important in every aspect of a sales career, whether make
interaction with customers whether in previous, current or future. So that, potential
candidates should have a strong communication skill in order to get hire in an organization.

4) Passion of learning
In sales and marketing department, the organization more prefer the candidates that have
passion in learning something everyday. The sales world is a dynamic one, making it
imperative for those working in the industry to keep up with the pace by integrating learning
into their daily routine. By always learning something new, the candidates can improve their
level of performing job. Passion of learning also can increase the performance appraisals of
their employees in order to achieve mission and vision of the organization.

5) Competence
Competence is terribly important to organization in order to achive their mission and
vision. Competence is stater of everything that happens in the organization itself. During
interview session, the potential candidates should able to show their competence in order to get
trusted that they have the ability to set the prioties and can separate the relevant from
irrrelavant tasks in order to concentrate single mindedly until the job complete when they get
hire.

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Recruitment process is one of the most important part to born the potential qualified
candidates in an organization. Based on the past researcher, recruitment is the process of
identifying and attracting potential candidates from within and outside an organization to begin
evaluating them for future employment, selection begins when the right calibre of candidates are
identified (Walker, 2009). Basically, there are two primary types of recruiters which are agency
and internal. Agency recruiters is often focus on depth and more specialize in finding candidates
within specific industry with only work at staffing firms. Such as in marketing or technology
industry. Meanwhile, internal recruiters is more providing in hiring support for a variety of open
roles within only in their company. Now days, most of the recruiters use a combination of these
two techniques to find the potential candidates.

The common techniques to find the potential candidates


1) Through LinkedIn
LindkedIn is one of the most popular of recruiting tools for recently days, because of the
ease of use for the recruiters. For well-known organization, they must have the recruiter account
in LinkedIn too make easy for them to search any information of the candidates based on their
work history, job title, college and others. One of the important advantages of using these tools is
the recruiters can finding the qualified candidates on LinkedIn who would be otherwise
impossible to locate because the candidates are not actively looking for job. To make sure the
LinkedIn account represented what are currently looking for, the candidates must always keep
updating by providing a detailed account of the work history and the professional
accomplishment.

2) Through face-to-face networking


Technology now days are already made easier for these both which are to find job and
find candidates, but it is never can replaced the value of face-to-face networking. By doing
offline networking events such as job fairs, conferences, meet-ups and others events are still give
the recruiters the best ways and connections to finding the potential candidates. For specific
industry or event-related networking opportunities these tools are very suitable for them, because
the recruiters can impressing the candidates with the opportunities that industry offered for them

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to make a lasting impression. These tools can helps the recruiters meet with the active job
seekers, the professionals in the industry who they looking for, can identify the true candidates
who are strongly engaged for future hiring candidates and last but not least, the recruiters can
learn more about the positions in the field that they hire for. So that, by through networking
events it is helps a lot the recruiters to finding the potential qualified candidates.

3) Through employee referrals


Another tools for recruiting potential candidates is employee referrals. Most of the
recruiters feel easy to working with the candidates referred to them by internal employee at their
company or their previously replaced. As a referrals, they must tend to be strong candidates
because they are reliable to that someone is willing to vouch for the candidates. Now a days,
most of the companies offer a monetary incentives for the employees who are recommend the
future candidates for their company just to attract them to be employee referrals. It make the
recruiters easy and can save a lot of time for hunting the potential qualified candidates after they
can get referrals passed along to them.

4) Through Applicant Tracking System (ATC)


Applicant Tracking Systems (ATC) is one of the tools of the recruiting the potential
candidates. ATC is the submitted resume via online and store the information the database. Most
of the recruiters also using these tools and they will run the keyword searchers to find the
candidates in their ATS. By using these, the recruiters can easily get the potential candidates by
run the keyword searches and it will rank the list of the candidates whose resumes contain the
keywords. These applicant tracking system make the recruiters ease because the keyword
searchers are closely matches with the job description what they are looking for.

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ANSWER OF QUESTION 1 (PART 2)

As a human resource manager in manufacturing industry, the techniques of recruitment


that would be choose are behavioural and biographical interview in order to find a potential
qualifiied candidates.

1) Behavioural interview

Behavioural interview is a job interviewing technique whereby the applicant is asked to


describe the past behaviour in order to determine whether the candidates are suitable for the
positon or not. In simple meaning, behavioural interviewing is a method of questioning that
requires the candidates to answer with a story of how they can handle a specific circumstance.
Basically, these type of interview have designed to get the candidate to reveal how they able to
respond to the real life of work situation and make easy to them for understand on how they
might to respond in similar situation if they get hired. By using these technique of the interview,
as a human resource manager, they easy to get the potential candidates that match with the
vacancy of the job itself. If the candidates have a great skills and work histories, it does not mean
they can match with the specific job. But through behavioral interview, can help human resource
manager to see beyond the candidates that can be more useful and have solid details about their
experience. For example, maybe the candidates a very nice and well done in positions where
they worked in a team environment, but the position that might be offer is more time spent by
working alone and must have a great deal of autonomy. So that, by using these technique it can
help the human resource manager a very clear idea of whether they would be able to thrive in the
type of work environment.

2) Biographical interview

Biographical interview or also called as unstructured interview are essentially a conversation


chinterviewers ask a few question that relevant with what they looking for without any specific
aim in mind, and it more like getting an overall impression of the potential candidate as an
individual. The questions that might be ask are mostly fairly random and can be sometimes quiet
open. Biographical interview is basically to explore a candidates chronological history, confirm
specifics, identify patterns and many more. Besides that, biographical interviews are also

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characterised by temporality. Human recourse manager able to capture the past experiences
through the candidates perspective of a present understanding together with future expectations
and potentials. But consequently, usually the candidates story or history will changes over time.
In stead of using these technique of interview, human resource manager able to understand and
aware with the candidates sharing about them. Standard of question in these type of interview is
already structured and will asked in the same way that make the candidates can answer easily.
The example of common question in these interview, the interviewee will ask “tell us about
yourself?”, and the candidates will explain in short about themself. So that, indirectly it’s can
help the interviewee know the history and experience that they have.

3) Employee refferals

Besides of the two techniques of interview, human resource manager also choose
employee referral as one of their common technique of interview. Employee referral is an
internal recruitment method employed by organizations to identify potential candidates from
their existing employees’ social networks. Every organization know that, an employee referral
scheme will encourages a company’s existing employees to select and recruit the most suitable
candidates from their social networks. Usually, the organization will give a referral bonus to their
employees that recommend the future candidates for the organization. Recruiting candidates
using these technique is widely acknowledged as being the most cost effective and efficient
recruitment method. Based on Global Employee Referral Index in 2013 of survey, 92% of the
participants reported employee referrals as one of the top recruiting sources for recruiting as
well. There are a lot of advantages of using employee referral method in recruiting the potential
qualified candidates for an organization.
By using these method, the organization will get the better candidate quality. The
organization usually prefer someone they know about their work history than someone that they
do not know from where they are. These method will make them ease to choose the qualified
candidates and fits for the position in the organization. Besides that, employee referral programs
are most cost effective than other hiring process. It is because employee referral just only using
the internal or existing candidates in the organizations to fits the positions without using any
cost. Such as, no job board charges, agency or search fees and others. These will minimized and
eliminated as the employees will have face-to-face meeting with the potential candidates at

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industry events and conferences. Not just that, the costs of labour also will reduced because of
the employee spending less time working on hires.
Other than that, by doing quicker on boarding can generally able to get up to speed faster
than other hires. Usually, the organization that use these method they can get the higher quality
of hires candidates. Basically the referred employee already has in close up relationship with the
current employee who recommend them, by providing them with the question of the job position,
workplace environment and the company culture. As referring employees, they will give extra
guidance and mentoring to the new employees to ensure they will adjust quickly as soon as
possible.
In addition, employee referral programs can increase the level of concern each of their
employees and generally can be boost the morale for them to be the best employee. It is because
the referral employee programs can encourage the current employees to emphasize the
organization best qualities when among their peers, thus reiterating the positives that make the
organization one worth working for it. By creating the right incentives for referrals will make
them feel appreciated, indirectly will help to raise the motivation among them to be the qualified
employee in the organization.
Employee referral also can help to raise or improved retention of the employee in an
organization. The referred employees that work at companies longer than non-referred
employees owning to the implicit commitment to someone who referred them as well as to get
higher job satisfaction. As referred employees, they must be a successful referred employees
with growing more understanding of the company. Other than that, they as referred employees
indirectly leads to someone who recommend them to stick around longer and being more
engaged with the organization.
Being as well-designed referral program in an organization, will make the employees
have a greater feeling of ownership for hiring process than a talent acquisition from the portal
can. As successful well-designed referral, their role in recruitment process will gets higher
visibility from the organization. So that, the organization will understanding and respect for the
value of being successful well-designed referral as well as an appreciation for them.

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ANSWER OF QUESTION 1 (PART 3)

According to a recent CareerBuilder survey, more than 6,000 global hiring managers,
more than half of employers in each of the ten largest world economies have felt the effects of a
bad hire. Nowadays, with that many people having had bad hires, something must be wrong with
the way of the interview job candidates. Based on the recent study, interview is
a formal meeting in which one or more persons question, consult, and revaluate the potential
candidates. Basically, interview sessions happen when the organizations wants to hire the new or
existing employee to fit with the vacancy position. There are a few common problems with the
job interview process nowadays, and the way how to fix them to land the better hires and
improve employer brand of an organization.

A few common problems with job interview and way to fix.

1) Standardization of the interview sesion


An organization should have the standardization of interview session to ensure the hiring
managers fairy assess and compare the potential candidates. Basically, most of the hiring
manager in an organization probably experienced an interview where the conversation should
flowed in the multiple directions, but often times its can be unrelated to the actual job interview.
Even the hiring managers already have the list of the interview questions, the nature of the
conversation between them makes it easy to venture the topic of the job position. In order to fix
this problem, the hiring managers can use the one-way interview method. One-way interview
method will ensure all the potential candidates being asked with the same questions. Besides
that, one-way interview method is one of the unique approach to make the interview session
being quick, helps hiring managers to fairly assess and being fair in compare the potential
candidates. During one-way video interviews, the potential candidates will record their responses
to a series of pre-set questions, in a period of time that already set. Opting for this method
interview will exist a sense of reliability, by having the potential candidates answer the same
questions in the same period amount of time.

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2) Culture in the organization
Culture are one of the important part in an organization, because it will give reflect and
effect towards the organization. If the organization have a good culture in all aspect, it will create
a positive view from the customers and indirectly makes the employee in the organization can
work in positive environment. Another problem that having by the interviewer is culture.
Basically, the potential candidates may seem like they are the most suitable candidates to fill the
vacancy, but they also cannot be the candidates that can suit with the culture in the organization.
If they cannot joint with the culture in the organization, it will give bad affect towards the
organization culture in future. To avoid this problem happen in future, the organization may start
with hiring the candidates that have the suitable criteria to fit the job vacancy. In order to make a
better assess candidates in culture fit, hiring manager can asked them about the question that
related about the culture of the organization. The answer of that question will help hiring
managers to hire the right candidates and fit well with the organization culture. Therefore, to
create a company culture employees can be proud of, culture fit should be at the forefront of the
hiring decisions in the organization.
3) Have collaboration during hiring decisions
Another of the interviewer is having little collaboration in hiring decisions. By having a
good collaboration with any organization will make the organization being standard with another
organization. Basically, by having the collaboration with any organization, institution or
colleagues in process of hiring candidates, can eliminates any bias or prejudice that can occur
when assessing them. If during the interviewer session may only be one interviewer, hiring
manager will make sure that someone is taking clear and concise notes about the candidate, to
easy share with others after the fact. Or, better yet, consider to conducting a video interview. The
aim of the video interviews often be recorded is because it easily to share with colleagues. Some
of the video interview platforms can even offer collaboration tools, such as comment and rating
systems, in order to make collaborating on candidates easier than ever.
4) Having a surface level assessment
Just having a surface level assessment of the potential candidates can be occur some
problem in hiring decision. Because it will bad affect to the hiring manager in hire the right
candidates to fit the vacancy. If the candidates can pass all the surface assessment, it does not
mean they are suit for the vacancy. In order to have the best employee in the organization, the

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hiring manager must dig a little deeper by having them to complete some form of pre-
employment testing. For example, the hiring manager should give a try creating a mock
assignment that closely related in what they would be working on if they were offered the
position. If they have the ability to accurately complete the assignment in a period of time, it will
can help the hiring manager to find the candidates most likely to succeed in the open position.
But it also depend on the job, which may be helpful to require work samples from the potential
candidates, like designer. The work samples from the potential candidates will give better idea
and helps the hiring managers in hire the right candidates to suit the job by their late experience.
5) Interview are primary held in person
Next problem that may occur is, interview are primary held in person. Basically, the
interview will be costly and a bit expensive. The hiring manager and the potential candidates,
require both to take valuable time out of their day to meet, and the hiring manager can also cost
candidates a pretty penny in travel expenses. By having to travel a long distance for just the
interview can completely turn the candidate off from the process. Technology nowadays are
already advances and will helps to cut the cost of interview session. The organization can choose
to do the video interview or one-way interview over the internet between around the world. This
type of interview can save time and costs for all the parties that involved, can making it an
attractive screening and the interview option for the organization.
6) Kept the potential in the dark
Last but not least, if hiring managers only kept the potential candidates in the dark it does
not help them to hire the right candidates for their organization. The potential candidates must
always keep in mind that the interviewee is not the only one who can be the judged during the
interview process. The process of hiring itself will give effect towards the employer brand and
fuel their decision to pursue a job with your company rather than look elsewhere. If the hiring
managers not communicate with the potential candidates throughout the hiring process, it can
reflect poorly on the employer brand of the organization. Instead, the hiring managers should
keep informed and respond to them in between and after the hiring process. This approach will
create a more positive candidate experience, in order to increase the level of interview in an
organization.

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ANSWER OF QUESTION 2 (PART 1)

According to Mahmoud Javidmehr1and Mehrdad Ebrahimpour2 (2015), performance


appraisal is an important responsibility of managers and supervisors and being a crucial issue in
human resource management department (HRM). In order to attain organizational goals, an
organization needs to expand the awareness of its position. An organization needs to develop the
level of awareness of personnel efficiency to increase the production volume and services, and
the important things to improve the human resources in the organization. According to HR
management theories (Ford, Latham, & Lennox, 2011) providing employees with feedback
enables them to set specific high goals and help them see the relationship between what they are
doing and the outcome they can expect, that is goal attainment.
Employee performance evaluation can be as a basis for reward allocation for them.
Performance-based allocation of rewards can brings it to the satisfaction of getting the qualified
employees, encourages them to have a longer service with the organization and unconditionally
can make them stay loyal to work at the organization. Obviously, if the organization implement
the rewarded element for each of their employee based on their performance its can help them
appealing to be a qualified employees. Another major goal in rating performance is providing a
good feedback about outcomes of employees' work. Such feedback should be provided
immediately after the event in order to provide the necessary energy and motifs for sustenance
the behaviour of the employees.
Performance appraisals that contain errors or are constructed from a supervisor’s biased
viewpoint can affect an employee’s working relationship. Obviously, if the employees whose
performance is ranked incorrectly or inaccurately may be they on the verge of losing their jobs,
or they may become disillusioned and exhibit signs of low morale and poor job satisfaction.
Eliminating bias and error in performance appraisals is a critical responsibility for supervisors,
managers and human resources staff. Evaluation errors and biases may occur in judgment
observations or information process stages and that will affect the appropriateness and accuracy
of performance evaluation. According to Folger & Cropanzano, 1998), in order to do the
performance evaluation, organization need to assumed the achievement of the performance
standards or goals, how that standards can be achieve, what the criteria for the process evaluation
and need to do the timely feedback.

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The biases in performance evaluation process may occur when some managers have the
tendency to allow individual differences such as age, religion, race and gender and it will affect
the appraisal ratings subordinates receive. Based on the recent study stated that, performance
ratings amplify the quality of the personal relationship between boss and subordinate. It may
occur a bias statement, which is a good relationships tend to create good appraisal and a bad
relationships tend to create bad appraisal. According to Moers (2005), bias in performance
appraisal is a crucial issue and being problematic since it makes difficult to make an appropriate
personnel decisions, such as promotions. In fact, the empirical results will indicate to the
performance measure subjectivity is positively related to performance evaluation bias. The
superiors in organizations have the incentives to being bias when during the performance
evaluation towards the employees in an organizations (Prendergast and Topel, 1993). Besides
that, Moers (2005) also found that using subjectivity in performance evaluation will lead to
evaluations that make it difficult to differentiate among subordinates or employees and the result
may can be in problems in personnel decisions and future incentives.
The performance appraisals might be influenced by rater's attitudes which is personal
bias toward the rate, i.e. liking and trust in the rater and perceived quality of their relationship. It
obviously, related with the way the supervisor feels about each of their employee whether they
like or dislike them. Based on the past researchers, about 80% of managers admit that the fact
that they like or dislike an employee can give effects on their appraisals. These bias may come
from several of sources, it can be the name just a few, information obtained from colleagues,
considerations of faith and thinking, and social and family background. Other than that,
stereotyping and hostility errors can be included of which take the rater away from the reality,
which is the actual behaviour of the rates about the each of employee. This are rge common
examples where include showing bias based on race or gender.
In order to solve this bias problem on performance evaluation, the organization need to
use the multiple raters and having the manager’s superior to review the actual rating of the
performance of each of their employees. Besides that, the supervisors in the organization must sit
and discuss among themselves about the true appraisals performance on each of their employees.
The honours appraisals performance from the supervisors will lead to improve the motivation of
the employees to be a potential qualified employee in future.

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The common error may occur in performance appraisal in an organization is halo error.
Based on the recent study stated that, halo effect is defined as the problem that occurs when
manager’s rating of an employee on one trait biases the rating of that person on other traits or the
influence of a rater’s general impression on ratings of specific rate qualities. As conceptualized
in the literature, hallo effect also is the tendency to rate an employee uniformly high or low in
other traits if he is extra-ordinarily high or low in one particular trait (Mahmoud Javidmehr1and
Mehrdad Ebrahimpour2, 2015).
As the example, managers in the organizations frequently rate friendly subordinates
higher than on all traits, rather than just on not get along well with other subordinate’s which is if
a worker has few absences, his supervisor might give him a high rating in all other areas of work.
Managers often do this in the organization when they have a generally good relationship with the
person they are rating and do not want to be too harsh or when they really like an employee and,
thus, usually allow their personal feelings about this employee to influence their performance
ratings. It will be not fair for others subordinate in that organization. In order to be fair with
them, the supervisors need to put differently in order to let the assessment of an individual on
one trait influence our evaluation of that person on other specific traits.
Next error that may occur on the appraisal performance is leniency and severity errors.
Based on the recent study, leniency and severity errors occur when some managers are inclined
to rate their subordinates consistently low or high. Basically, this type of error may problem
related with the graphic and rating scales. It always happen when some managers tend to give
relatively high ratings to virtually everyone under their supervision depending upon their own
standards, values, and physical and mental makeup at the time of appraisal (Mahmoud
Javidmehr1and Mehrdad Ebrahimpour2, 2015). Leniency error is a critical issue where
evaluation-related decisions have a bearing on official decision making, such as rewards and
promotion, it shown based on the past studies.
Based on the past researcher, these errors are commonplace in graphical evaluations
which use figures to represent the value of the evaluation results and the evaluation does not
support with any written statements. Thus rankings, in which each rate’s performance is ranked
in comparison with other rates, is a better alternative than using figures. In order to rank the
rates, the rater does not have to assign them on grades and have concerns over assigning higher
or lower grades. Rather, they need to discriminate them according to their relative level of job

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performance. According to Dessler (1997) said that, here obviously leniency and severity errors
are not an issue in rankings.
These both errors will make the performance appraisal results in ineffective system and
should be avoided in all organization. Basically, by the following diagram illustrates the
distributions of ratings one might get from two different raters, which are one who is overly
being very lenient and the other will be very severe. According to Prendergast & Topel, (1993),
there are the evidences that discretion in performance evaluation gives rise to a number of
problems. Moers (2005) found that superiors being more lenient when ratings the performance if
they have discretion in performance evaluation because of the subjectivity per se or the use of
multiple objective. Last but not least, most of the variance in halo and leniency error is will be
linked to the behaviours of raters, rather than the work of the rates (Vance, Winne, and Wright,
1983).

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ANSWER OF QUESTION 2 (PART 2)

Strategic human resource management (SHRM) theory is predicated on the assumption


that effective human resource management (HRM) processes have the capacity to contribute
significantly to organizational effectiveness, expressed in terms of productivity, flexibility,
effectiveness, efficiency, return on investment, competitiveness, and last is profitability.
Individual performance will drives the organizational performance in order to achieve the goal
that have been set up, mission and vision of the organzation. It is will be the most important part
in order to ensure everyone understands about the mission and vision of the organization.
Besides that in recent years, the performance management system has been considered as the
most significant system in the organization. A successful performance management in the
organization will helps in evaluating and improving both individual and organization
performance against pre-defined business strategies and objectives.
According to Lebas (1995), perfomance management is the deploying and managing the
components of causal model that can lead to the timely attainment of stated objectives within
constraints specific to the firm and situation. By performing well in the organization is one that is
effectively implementing an appropriate strategy (Otley, 1999). Basically, performance
management is a process of designing and executing motivational strategies and drivers with on
objectives to transform the raw materials potential of human resource into performance
management. Comprehensively, according Bacal (1999) defines performance management as on
going communication process between an employee and the supervisor that involves in
establishing clear expectations and understanding the job functions. In term of job function here
are what the job that they are expected to do, how the empolyees can contributes to achieve the
goals of the organization, how the employee and supervisor will work together to sustain,
improve and build trusting between them, and how performance management will be measured.
The relationship between performance management and human resource are the goal
setting, planning, evaluation, feedback and rewarding activities. But, the human resouce mostly
related with the performance management that more focus on the managemnet of employee or
managers, and thus motivating them. However, in general defined of performance management
are more widely than human resource related performance management itself. Basically, human
resource management aims at the process of developing the potential capabilities of human

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resource. Based on the past researcher (Kandula, 2006), the performance management must be in
line with the organization long-term policies. According to Zhang Ying Ying (2012),
performance management involves managing employee efforts, based on measured performance
outcomes. Therefore, determining what constitutes good performance and how the different
aspects of high performance can be measured is critical to the design of an effective performance
management process.
There a few insight based on the conducted interview with human resource in Otai Pos
Marketing about the performance management and organization effectiveness. In order to
increase the effectiveness in the organization, human resource manager should increase the
consistency on the job and the employees itself. They must do the research on who are the right
person that able to perfomance and matched with the job or task given in the right time.
Consistency are the most important part in an individual itself. Next insight is motivation, where
all the organizations employees as well as the supervisors and managers should be more highly
motivated. Hence, the objective of performance appraisal itself will identify those who are
perform well in their task will be rewarded. Every employee in the organization will be rewarded
and indirectly can increase their motivation in order to improve their performance in the work
place.
In all organization, as a employee itself they prefer to be loyal toward their organization.
When the employee stay loyal toward the organization, they will received their own reward in
order to maintain the performance towards the organization. As a loyal employee, they can be
the best of sample employee towards new employee in the organization. Not only that, morale of
the employee itself should be improve in order to make the workplace more pleasant, out per
hour worked should increased and can also cutting the labor cost. Performance management
system, as a field of study, is a popular topic in HRM over time. It is important for a organization
to plan, manage and reward the performance. In doing so, company’s productivity would be
developed and profit would be increased as well through supervising the whole process of
performance management, such as building objectives, checking feedback and evaluating
performance. On the other hand, employees are the resources and assets of an organization.

(5976 words)

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BMHR5103 2018
REFERENCES

1) http://smallbusiness.chron.com/eliminate-bias-error-performance-appraisals-11187.html
2) https://www.tlnt.com/6-problems-with-job-interviews-today-and-how-to-fix-them/
3) https://theundercoverrecruiter.com/top-7-qualities-employers-are-looking-candidates/
4) https://talentegg.ca/incubator/2013/10/22/top-traits-employers-look-for-in-a-sales-
candidate/
5) https://www.staples.com/content-hub/8-qualities-to-look-for-when-hiring-employees-for-
your-small-business/
6) https://www.mba.com/global/the-gmat-blog-hub/the-official-gmat-
blog/2014/aug/employers-want-communication-skills-in-new-hires.aspx
7) http://www.waxselection.com/images/wax-competency.pdf
8) http://methods.sagepub.com/case/srmpromo/ZiSqT2/biographical-interviewing-non-
traditional-students-in-higher-education
9) https://jobs.telegraph.co.uk/article/example-interview-questions/
10) Zhang Ying Ying, 2004, Journal of the Impact of Performance Management System on
Employee Performance, WERS, 2004.
11) Aberdeen Group, 2010. Employee performance management : The alpha and the omega
of talent strategy and business execution. Boston, MA: Aberdeen Group.
12) Arya, Anil, Mittendorf, Brian, 2011. The benefits of aggregate performance metrics in
the presence of career concerns. Management Science58(2): 1424 – 37.
13) Bernardin, H. John, Thomason, Stephanie, Buckley, M. Ronald, Kane, Jeffrey S. 2015.
Rater rating-level bias and bias accurancy in performance appraisals: The impact od rater
personality, performance management competence, and rater acoountability, Human
Resource Management55(2): 321 – 40.
14) [BLS] Bureau of Labour Statistics, 2014. Employed persons by occupation, sex and age.
(May2015)
15) Grund, Christian, Przemeck, Judith, 2012. Subjective performance appraisal and
inequality aversion. Applied Economis44(17): 387 – 414.

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BMHR5103 2018
Anis Ilyana Ismail
Kuala Lumpur Learning Centre,
Open University Malaysia (OUM),
Jalan Tun Ismail,
50480 Kuala Lumpur.

Ceo,
Otai Pos Marketing & Bioasli network,
No. 15, Jalan PPSL 1,
Pusat Perniagaan Sungai Lias,
45300 Sungai Besar,
Selangor. 24.February.2018

Dear Mr,

Apply for permission to conduct a study about the relationship between performance appraisal
and organisational effectiveness in Otai Pos Marketing.

In partial fulfillment of requirement of MBA students, I am Anis Ilyana bt Ismail from Open
University Malaysia (OUM) want to do research on Human Resource department at your
company as course requirement in the Master of Business Administration.

2. I am required to conducting a research on the relationship between the performance


appraisal and organizational effectiveness. Besides that, I am in the process of gathering data
through internet and journal that related with the assessment.

3. Regarding to the issue, I would like to ask your permission to make an interview with
your human resource manager in order to obtain more information about performance appraisal
of your employee in your organization.

4. I would like to appreciate your assistance and support in this particular research
endeavour.

Thank you for your time and positive action.

Respectfully yours :

Anis Ilyana Ismail


MBA’s student of OUM

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