HUMAN RESOURCE MANAGEMENT PRACTICES IN PRIVATE SECTOR ORGANIZATIONS IN SRI LANKA

 

The key elements of a successful workplace diversity programme would include mutually reinforcing human resource practises that support diversity through staffing, work design, training and development, organizational policies that follow fair procedures and management that embraces the practices and policies of the program and compensation. (Richard and Johnson 2001). Current competitive environment, every organization has to change its internal environment according to external environment changes. To perform as successfully in such a turbulent environment competitively, Organizations need resources such as capital, methodology, material, machine, men and management information system. Also, resources should be used in a very effective way to achieve strategic objectives. (Gamage and Imbulana 2013). Serasingha and Opatha (2007) explained, the economic development of Sri Lanka heavily depends on the success and progress of organizations including listed firms. Human resource management is one of the most important functional fields of organizational management.

Video 1.0. Human Resource Management in Organizations

Source. Gregg Learning 2018

Video 1.0 explained about benefits of Human resource management,co-competencies and challenges to Human resource Management in organizational level and also how human resource management applies to the organization. Considering the human resource management practices, Serasingha and Opatha (2007) state that following five main practices under Human resource management and figure 1.0 shows an employee satisfaction link.

• Human Resource Planning ( Recruitment / Selection / Induction / Orientation)
• Training and Development
• Performance Evaluation
• Grievance Handling
• Discipline Administration 

Figure 1.0, Human Resource Management Practices - Employee Satisfaction Link

Source, Sri Lankan Journal of Human Resource Management (2007)

Ijigu (2015) states that Human resource practice like recruitment, selection, induction and orientation, training and development, performance appraisals and compensation management is positively related to employee job satisfaction. Wickramasinghe (2007) suggest that the companies move away from the internal labour market and prefer to recruit from the external labour market. This has implications for practice as internal recruitment not only motivate current employees to perform better and increase their commitment towards the organization but may also help to create a flexible/mobile internal labour market whose job security could be improved through upward or lateral career opportunities. Thus, a greater preference for external labour market may not represent a deliberate, organization-wide, strategic selection strategy. Serasinghe & Opatha (2007). noted that, A Nestle very large multinational company operating closely in hundred countries worldwide and in Sri Lanka too. In Sri Lanka, the employee strength of that company is less than 500 but comparatively the Human Resources management practices are at an acceptable level. Similarly, if Coca Cola Company in Sri Lanka is taken it has less than 500 employees but its systematic use of Human Resource Management practices is high. When looking at large firms operating in Sri Lanka such as Uni-Leaver, Hayley’s, there are comparatively good Human Resources Management practices.

Singer Finance Lanka Plc (2018/2019) states that in Human Resource strategies “Finding the right fit to the right job, continuous human capital development and creating a healthy work environment that encourages a healthy work-life balance are our strategic HR goals. Currently, we are in the process of securing a Human Resource Information System (HRIS) and a Performance Management Framework and putting in place a process for measuring Key Performance Indicators (KPIs) this programme was initiated by the ultimate parent company. Considering the company new management, the Company has streamlined the recruitment process by introducing a recruitment tracker and conducted interviews for over 500 candidates, absorbing 46% into the carder as a result. We also began maintaining a CV bank to strengthen the pool of sources in generating interview candidates”.  

   

Considering the Singer, Sri Lanka Plc continued to have excellent industrial relations and continued its engagement activities and events for employees as well as their families. The Group continued the development and training for its staff as well as for our partners and their staff. Development of the retail channel continues with a focus on enhanced merchandising and displays, overall shop administration, and staff training and development to serve our customers better. Induction and orientation are important and useful for our employees to have a macro picture of Singer’s operations. The formal induction and visits to the retail outlets of the Company’s channels of distribution offer a broad overview of the whole business upon joining. As a large household retailer, the service provider of 430,000 customers and well-diversified social responsible Company, conducting various categories of training programmes for several levels of employees to serve better to internal and external customers. Also, Singer retail academy aims to develop company employees in field activities, providing five diploma programmes. These aspects constitute the modules of the programmes, culminating in 164 modules being conducted under these diplomas that have benefited over 2,700 employees. All employees of the Group undergo performance appraisals except interns, trainees, and temporary employees. The process facilitates career management, mapping development paths, and enhancing the effectiveness and motivation of our employees. It helps to achieve better results, manage employees effectively, and identify the training needs of individuals.      

Company has introduced the ORACAL HRIS system in 2019 and is designed to support the planning, administration, decision-making, and control of human resources management. Candidate Applications such as employee selection and placement, payroll, pension and benefits management, intake and training projections, career pathing, equity monitoring, and productivity evaluation are supported by this information system.

References

Annual Report (2017/2018). Singer (Sri Lanka) Plc

Annual Report (2018/2019). Singer (Sri Lanka) Plc

Annual Report (2018/2019). Singer Finance Lanka Plc

Richard, O.C. and Johnson, N.B. (2001), “Understanding the impact of human resource diversity practices on firm performance”, Journal of Managerial Issues, Vol. 13 No. 2, pp. 177-96.

Gamage, P. Ambulant, L. (2013). Tanning and Development and Performance of Employees, Evidence from Sri Lanka Telecom, International Journal of Marketing, Financial Service and Management Research 02.

Ambulant. (2007). Human Resource Management Practices in listed Firms in Sri Lanka, Sri Lankan Journal of Human Resource Management 01.

Ijigu, A.W. (2015). The Effect of Selected Human Resource Management Practices on Employees’ Job Satisfaction in Ethiopian Public Banks. Emerging Markets Journal, 5(1), pp. 1–16.

Wickramasinghe, V. (2007). Staffing practices in the private sector in Sri Lanka. Career Development International, 12(2&3), 108-128. 

EMPLOYEE TRAINING AND DEVELOPMENT

 

Organizations are maintaining a business during a severely competitive environment today's business the interior and external environment is continuously changing thanks to numerous factors. (Gamage,Imbulana ,2013).In other words, Organizations try to survive within the turbulent dynamic market, strong emphasis must be laid on human capital to be competitive and financially solvent (Nda, Fard 2013). According to Jehanzeb and Bashir (2013), the 1970s the efforts of career Training and development were mainly dedicated to young employees those demonstrate to have a high potential. It has been suggested for the organization to form an idea for the longer term and supply training and development to their fresh employees for the high ranking positions in future (Moses 1999).To ensure that employees are equipped with the proper quite skills, knowledge and skills to perform their assigned tasks, training and development play its critical role within the growth and success of the business. (Nigzi, 2011). Falola, Osibanjo and Ojo (2014) noted that Training and development play an important role within the effectiveness of a corporation. It is one among the foremost pervasive techniques for improving employees' performance-enhancing organization productivity within the workplace. Employees are the essential asset and key element of gaining competitive advantage of any organization and training is an essential tool for its actualization.

Video 1.0. Introduction to employee Training and Development.

Source.Gregg Learning 2016

Grubb, T. (2007). defined that ‘training is a short-term educational process utilizing a systematic and organized procedure by which nonsupervisory personnel learn technical knowledge and skills for a definite purpose. Development, about staffing and personnel matters, is a long-term educational process utilizing a systematic and organized procedure by which managerial personnel learn conceptual and theoretical knowledge for general purpose’. Video 1.0 explained the definition of Training & Development, Role of Tanning (Formal / Informal & Knowledge Management) and training process.

Figure 1.0. The Context of Training and Development

Source. Nelson Education series 2011

Training and development are embedded with large environmental and organizational context as well as a human resource system. Considering Figure 1.0 training and development is just one part of human resource practices. In other words, the human resource system is convinced by environmental and organizational factors. Environmental factors such as rule, the economic climate, competition, demographics and social volume have an impact on the organization. The key factors of environmental context a Global competition. Technology, the labour market and change. The factors under organizational context are strategy, structure and culture. (Saks, Haccoum, Belcourt 2011).

 Importance of Training and Development

Training is importation for the survival of any organization. It is also imperative for the effective performance of employees, enhancement of employees' ability to adapt to the changing and challenging business environment and technology for better performance, increase employees' knowledge to develop creative and problem-solving skills. (Falola, Osibanjo and Ojo 2014). Rodriguez, Walters. (2017), Explained that employees are the backbone of the organization. All levels of employees such as strategic, tactical and operational, needs the training and development. In other words, Training and development will bridge the gap between business and management of career development programme. (Kunenc 2009). Mulang (2015) states that important points of the training and development process and those are as follows.

•  Helps remove performance deficiencies in employees
•   Greater stability, Flexibility and capacity for growth in an organization
•   Accidents, scraps and damages to machinery can be avoided
•   Serves as an effective source of recruitment
•   It is an investment in HR with a promise of better returns in future
•   Reduces dissatisfaction, absenteeism, complaints and turnover of employees

In the Sri Lankan context, Gamage and Imbulana (2013). states that Sri Lanka telecom limited at present enjoys greater employee performance through successful implementation of the training and development programmes. Also, Singer (Sri Lanka) Plc has mentioned "The Group continued to have very good industrial relations and continued its engagement activities and events for employees as well as their families. The Group continued the development and training for its staff as well as for our partners and their staff." Also noted that "Our capability development agenda enhances the skills of our employees through customized training and development programmes" Considering the company training and development agenda. Singer conducts four categories of training: major training, external training, operational training, and product training and the following are the subcategories of training programmers.

•  Showroom Level Training Programs for Shop Managers and staff Members
•  Product Demonstration Training and Competition
• Training on sales, Customer Care and self-Motivation
• Product Training (Industrial Sewing Machines / White Goods / Furniture and Argo Products
• Training oh Hire Purchase Business
• Language Development Programs
•  ERP Tanning 

Figure 2.0. Investment in Training and Employee Trained at Singer Sri Lanka Plc

Source. Annual Report 2018/2019

According to figure 2.0, Company has invested Rs 13.4M to train 8500 participants in both office staff and field staff in the year of 2018/2019 conduction 394 training programmes during the year.

 

References

Annual Report (2018/2019). Singer (Sri Lanka) Plc

Falola, H.O. Osibanjo, A.O.OJO, S.I. (2014). Effectiveness of Training and Development on Employees performance and Organization Competitiveness in the Nigerian Banking Industry,

Bulletin of the Transylvania University of Braşov, Series V: Economic Sciences • Vol. 7.

Gamage, P. Imbulana, L. (2013). Tanning and Development and Performance of Employees, Evidence from Sri Lanka Telecom, International Journal of Marketing, Financial Service and Management Research 02.

Grubb, T. (2007). Performance appraisal reappraised: It’s not all positive. Journal of Human Resource Education, 1, 1–22.

Jehanzeb, K. Bashir, N.A. (2013). Training and Development Program and its Benefits to Employee and Organization: A Conceptual Study, European Journal of Business and Management, Vol5.

Kunenc, M.P(2009). The Effectiveness of the Induction and Orientation Programme in the Nkangala Health District of Mpumalanga Province, 2006 to 2007, Nelson Mandela School of Medicine University of Kwazulu – Natal Durban, South Africa.

Moses, B. (1999, February 1). Career planning mirrors social change. The Globe and Mail [On-Line]. Retrieved January 18, 2001, from the World Wide Web.http://www.bbmcareerdev.com/careerplan.html

Mulang, A. (2015). The Importance of Training for Human Resource Development in Organization, Journal of Public Administration and Governance, Vol05.

Nigzi, A.S. (2011). Training And development strategy and its role in organizational performance, Journal of public administration and governance, Vol01.

Nda, M.M. & Fard, R. F (2013). The Impact of Employee Training and Development on Employee Productivity, Global Journal of Commerce & Management Perspective, Vol2, PP91-93.

Saks, AM. Haccoum, R.R. Belcourt, M (2011). Managing performance through Training and development, Nelson Education Series in HRM,5^th edition 17).