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Essay: Essay on Samsung Electronics

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  • Subject area(s): Business essays
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  • Published: 1 August 2014*
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  • Words: 3,030 (approx)
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Hi, Good afternoon! Nice to meet you all. I am the assistant manager of Samsung Electronics. I am here to provide training and guidance to you about the importance of HRM as part of my role. So let’s get started. There is not much difference between personnel management and HR management.
Difference between Personnel management and HR management
‘ Personnel management deals with employees, employment laws and the payroll of the employees. On the other hand, Human Resource Management deals with the recruitment of people in an organisation, handling employee relation, management of the workforce and management of all other aspects which contributes to the well-being of the employees and the development of an organization.
‘ Personnel management is an independent function in an organisation based on the maintenance and the administration of the organisation while HR management is a development-oriented function within an organisation consisting of inter-dependant parts.
‘ A personnel manager is exclusively responsible in the personnel department while HR manager is responsible of all managers in the organisation.
‘ A personnel manager aims at improving the administration of an organisation while HR manager aims at improving employee relations’ and the development of the organisation as a whole.
‘ Personnel management emphasises on increasing monetary levels of an organisation while HR management emphasizes on managing the workforce to meet the needs of an organization.
ROLES OF HRM IN SAMSUNG ELECTRONICS
Samsung is the second largest company composed of 35 enterprises which employs 233,000 employees in 66 countries. Samsung has been a major catalyst for the growth of economy being a champion among the organisations in terms of maintaining effective human resource systems. Samsung is known to have used a modest recruiting system during the 1960s.
The HR manager of Samsung is responsible for:
‘ Recruiting staff in the organization.
‘ Finding and developing policies to adopt good working conditions and engaging a lot with employees by providing advice and guidance on all employee relations issues to managers
‘ Managing design of training material to meet appropriate training requirements of management and employees
‘ Helping management and teaching staff. He is supposed induct and train staff and support the employees who are discriminated.
‘ Leading the development of and carrying out HR policies and initiatives as appropriate and working for the development of the HR function
‘ Supporting the probationary process with the manager, ensuring probationary reviews are completed, letters issued for successful completion or detailed plan to improve performance etc.
‘ Providing feedback and coaching managers on individual leadership and behavioural skills as appropriate.
‘ Providing reports and information to be presented to the senior management in conjunction with the company’s reporting requirement.
‘ Providing assistance with resourcing and success planning of the business.
‘ offering rewards and incentives which motivates employees in the job
‘ Managing the production and distribution of regular and accurate statistical data to the department.
Overall, the HR manager deals with issues related to employees such as health and safety, performance management, organization development, recruitment and selection, motivation, benefits and development, compensation, implementation of employment legislation and the training of employees in an organisation which is what I’m doing as part of my job and finally employment termination. Line managers play a great part in carrying out the business operations in an organisation. Basically, they act as links between specialist managers and workers. So as I am saying the overall purpose of human resource management is to enable an organization to enhance the individual and collective contributions of employees to the success of the organization.
Importance of legislations of human resource management at Samsung Electronics
Much of the foundation of any human resources management approach is already established. The Employment Rights Act (1996), The Employment Relations Act(2004)-updated from the 1999 Act and the Employment Act (2002) provides a structure for the employment of workers. These legislations ensure that all employees are treated fairly and justly. These policies cover :
‘ Health and safety measures and respectful working environment
‘ Assigning, promoting and monitoring staff
‘ Handling staff requests for holidays
‘ Handling grievances and Confidentiality
‘ Fair wages, equal pay and limited working hours
‘ Dispute resolution methods
‘ Race, sex and disability discrimination protection
Work hours are always monitored at Samsung Electronics to ensure a good balance of work and leisure in life. We have announced a time program that is flexible for administrative staff so they can decide their work hours. Our HR policy is summarized in the following statement: ‘The workers and the company will cooperate for mutual advancement based on the principles of co-existence, co-prosperity and harmony.’ We strive to provide good working conditions suitable for our employees so that they do not need a labour union. All our branches have a labour council to enable dialogue between labour and management.
RECRUITMENT OF EMPLOYEES
Reasons for HR Planning in organisations
‘ HR looks for employees to take up new positions that a company hopes to fill in the future ensuring that a company has always got candidates to replace the lost ones, Thus ensuring that time and productivity are not lost. Long-time gaps between one employee’s leave and a new hire can affect the company’s ability to compete.
‘ HRP is also important to secure existing workers if the job market is tight for workers with knowledge and skills needed to prevent them from moving to their opponents. Overall, the HR Planning programme assists the Organization to manage its staff strategically.
‘ HRP also enables employees in planning their career and assists them to achieve the objectives as well.
Stages involved in planning HR requirements
The major steps involved in the process of HR planning are as follows:
1. Evaluating Human Resources
The assessment of HR begins with external and internal environment analysis to calculate the HR inventory level that is available at current which determines the overall objectives of the organisation. After analysing the external and internal forces of the organization, the HR manager would be able to find out the internal strengths and weaknesses of the organization on one side and the opportunities and threats likely to affect the organisation’s welfare, it also includes an inventory of the employees and skills already available in the organization and a comprehensive job analysis.
2. Forecasting
HR forecasting is the process of estimating the requirement and availability of HR in an organization.
‘ Requirement forecasting is a process of determining future needs of human resources in quality and quantity to meet the requirements of the organization in the future to achieve the required amount of output. It can be calculated with the help of the organization’s current human resource situation and analysis of plans and procedures in the organisation.
‘ Availability Forecasting is the process of estimating the supply of human resources i.e. analysing the current resource and analysing human resources that are likely to be available in the future inside and outside the organization.
3. Matching Demand and Supply
It is the process of comparing the forecast of future demand and supply of HR. The matching process refers to bring demand and supply in an equilibrium position.
. 4. Action Plan
It is concerned with excess and shortages of human resource. The HR plan is carried out through different HR activities. If there are shortages organizations have to deploy more employees, offer incentives/ compensation/promotion, provide job enlargement/ enrichment/transfer and carry out training programs for existing employees. On the other hand if there is over staffing it has to reduce the level of existing employment, lessen working hours , give early retirements and give layoffs.
Now I am going to tell you how the recruitment and selection process works in Samsung. Firstly you have to Fill and submit an online application at the Samsung recruitment website (www.samsungcareers.com). There will be a phone interview where the manager will contact to find out interest of the employee. Then there will be a test known as the Samsung Aptitude Test which aims at comprehensively assessing the applicant’s adaptability to respond flexibly with his or her comprehensive set of knowledge, instead of fragmented pieces of information followed by a 10-20 minute Interview by manager to assess basic knowledge and ability to adjust to the organization. If manager is happy with the employee he will inform the HR manager who will decide the case. Then the final selection is made. Finally an offer letter is sent to employee to be considered and then signed.
The Recruitment and selection processes in all other organisations is almost similar with minor differences. The recruitment process in Apple Company is quite similar to ours. If an employee finds an open position on jobs.apple.com he has to submit his application for consideration for that specific position or he can express his interest to a friend who is currently working at Apple. If there is interest in the application an HR representative or the hiring manager will contact him by phone and conduct a preliminary phone screen to see if he is further interested with the candidate. If there is further interest, the candidate will be invited to interview in person with several other members of the hiring manager’s team over the course of a day . The current team members will meet with the hiring manager to report their impressions. The hiring manager will make a decision and report back to HR. If there is not a good fit, the candidate will be informed of that by HR. If there is a good fit, the hiring manager will work with HR to prepare an offer.
Samsung uses a good system of recruitment and selection to get the best and most qualified staff to meet the needs of the organisations. Samsung has striven very hard to keep up its standards of recruiting despite the competition in the job market. The recruitment and selection process of apple and Samsung companies works mostly by online application which is one of best methods of recruiting as 89% of people apply online. Moreover, the long and careful process of recruiting and selecting ensures that right, qualified employees and appropriate workers are chosen for the tasks, thereby, saving time and preventing any loss created when the right people are not chosen due to improper recruiting systems.
Motivation and reward
A motive is a reason for doing something so motivation of employees are the factors that influence employees to behave in certain ways. As for reward it is something that is achieved by the employee by hard work and effort.
Motivational theories’
Frederick Herzberg’s book ‘The Motivation to Work’, set down his theories about motivation at the workplace. Herzberg showed that being satisfied or dissatisfied at work almost always came from different factors, and were not simply opposing reactions to the same factors, as had always previously been believed. He believes job satisfaction is influenced by motivator factors such as achievement, recognition, responsibility, work itself, advancement and personal growth. Job dissatisfaction is influenced by the hygiene factors such as working conditions, co-worker relations, policies and rules, supervisor quality, base wage and salary. However, Vroom suggests that motivation depends on two things-how much we want something and how likely we are to get it. He worked out a formula by which human motivation can be measured based on the expectancy theory which summarises that payments are directly linked to effort, care should taken to ensure employees believe they can achieve the effort, that the rewards are desirable, and that performance will improve, and produce the expected reward if they put in the effort. Another theory developed by Abraham Maslow which states that lower-order needs and higher order needs affect work place behaviour and attitudes. He says people in the western country were satisfied with the basic needs so money can’t be a motivator. Managers who follow his theory focus in offering good working conditions and pleasing relation.
Process of Job Evaluation
The process of job evaluation involves the following step:
‘ Creating a job evaluation committee consisting of HR employees, union representatives and experienced employees are gathered.
‘ Finding the jobs to be evaluated:
‘ Analysing and preparing a job description and also analysing the job needs for effective performance.(person specification)
‘ Selecting the method of evaluation
‘ Classifying jobs: The worth of various jobs in an organisation may be found out by arranging jobs in the order of importance using criteria such as skill requirements, experience needed, under which conditions job is performed, type of responsibilities to be shouldered, degree of supervision needed, the amount of stress caused by the job, etc.
The Other factors determining pay
‘ Education, skills and experience determine pay because employees get paid according to their level of education, skills they have acquired and the experience they hold. Starters’ aren’t paid much salary as others.
‘ Size of the organisation sometimes determines pay
‘ Location of the organisation determines pay as in some places there is high cost of living so employees are paid more
‘ Performance of employees for example, commission-based sales employees are paid according to their performance
‘ Type of the service offered by organisations determine pay
‘ Profitability of the organisation determines pay sometimes.
Effectiveness of reward system in the organisation
Samsung evaluates performance of all its members against a consistent goal.
Samsung’s compensation scheme is based on’compensation without discrimination and compensation for performance’ to ensure internal impartiality and external competitiveness. Samsung has institutional means up and runs to guide fair and understandable evaluation and for the evaluated to defend themselves. If the evaluated submits an application to file a protest within five days after disclosure of evaluation results, HR committee is convened with the evaluator and the evaluated present and adjusts the results, if necessary. Apart from the monetary benefits Samsung products are available to the employee at a rate of discount; say for example 25% if he wishes to buy any electronic appliance. Quarterly rewards are given for employees who perform well. Additionally, outstanding performers are given special rewards. All these rewards:
‘ induces and motivates our employees to perform better.
‘ It also develops the efficiency of our organisation as our targets are achieved.
‘ It enhances the relationship between us and the employees.
‘ We can expect improved performance, skill, knowledge, ability and an increased commitment from our workers. Thus, benefitting themselves and the organisation as a whole.
Employee performance monitoring methods
Samsung uses the most effective performance monitoring methods. When an employee is first taken into work he is put into a probation period where a manager checks his performance and if he finds it unsatisfactory he can terminate the contract of employment. Appraisal is another formal structured system used at Samsung which finds out job related behaviours and outcome to discover reasons of performance. Samsung uses the traditional method of performance appraisal, i.e. target vs. achievement method. The employees’ performance is estimated based on how they perform within a certain time, whether they are able to meet their target or not. For instance, an employee may be given the target of selling 500 smartphones within a certain period of time. Feedbacks are always monitored at Samsung. It is important for line managers to be constantly keep checking feedbacks. Performance of an individual is also measured by the performance indicator, either by the quantity of units produced or by the quality of units or by a member of the team or peer who has been asked to appraise.
Reasons of employment termination
Employers can terminate the contract of an employee for any reason or even if there are no reasons, as long as employment laws and antidiscrimination laws are not violated. Unless restricted by company policy or a written contract employers usually have the right to terminate employment for just cause like lying, absenteeism, bad behaviour and the like of it. A contract may also be terminated by resignation, retirement, or by the termination of the contract. Employers may terminate the contract by dismissal which can be constructive, wrongful or unfair.
Employment termination procedures
Samsung holds certain termination procedures just as other organisations too and it follows the best ways in dealing with employees. We offer a meeting in exchanging information. If it is a resignation the manager speaks about issues of the resignation. For example, If employee leaves work due to being offered a better salary elsewhere or due to less pay, he would offer him more and try to retain him in the job by changing some employment conditions. If he leaves for some other reason or still the employee is not satisfied with the job then the manager will inform the HR manager that the employee is leaving and will confirm the leaving date. Thereafter, the HR will send an exit interview letter where some issues like annual leave and any property that employee has to handover would be discussed and the interview would be recorded in writing. Additionally, contact information will be recorded as well.
When talking about exit procedure of employees at fast food centres or supermarkets like Tesco employees must inform the store manager two weeks ahead of the resignation. the manager first tries to discuss the reason behind leaving this job. The Manager tries to retain the employee at work, if he cannot convince then here it is the store manager who arranges for all the employment termination process. He informs it to HR manager. Then he provides a form to the employee mentioning the date of termination of the employee and other issues like- outstanding wages to be paid to the employee. The resignation is then confirmed and the letter along with the form is send to the HR Department.
Impact of regulatory framework in employment cessation
There are many advantages in such framework because it helps in
‘ Minimising constructive, wrongful and unfair dismissal. This gives support to the employees.
‘ Providing assurance in financial aspects- In some reasons when employment comes to an end for example retirement or redundancy or resignation employee is entitled to get any outstanding money from the organisation as it is clearly mentioned on the act. If the employer ignores this then he can be charged under this policy.
‘ Reducing discrimination at workplace as employment cannot be terminated due to discrimination by employer
‘ Enhancing job security for the employee because as there are certain procedures to be followed and employees cannot leave until they are carried out.

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