ACKNOWLEDGEMENT

First and foremost we are so grateful to Allah for guiding us to done this assignment. We
are hereby our special thanks and gratitude to all of them as mentioned below :

To our beloved lecturer Miss Dayang Siti Noor Saufidah Bt Awang Mohd Saufi, who's
the one gave an instruction of the topic will be finish and presented for course of
ADM551.

Each of us who's prepared this paperwork in the term of "team" from A to Z, from the
below till the top and from the start until we were finish it. Consists of Sitti Aisyah
Orlando, Stepanie Liguori Sylvester and Zulinah Ikah as the group members.

Last but not least we would like to expressed our gratitude to our friends, and coursemate
due to the support.

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TABLE OF CONTENT

NO CONTENT PAGE
1.0 INTRODUCTION 3
2.0 SUMMARY OF THE CASE STUDY 4
3.0 DISCUSSION ON ISSUES
4.0 CONCLUSION

1.0 INTRODUCTION

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 Human Resources Management is the most important things in designing a better
quality among the workers on that particular of organization. It is not only focusing on
the social welfare about the workers but it elaborate the concept of recruiting the
employees, provide training and development in other to give a better knowledge to the
workers, motivating to perform their task accordingly and also achieve a certain goal of
the organization such as profitability through perform well their workers.

The Human Resources branches may classified into a few including of Planning,
recruiting, staffing, job design, training, performance appraisal, communication,
compensation, benefits, and the last one labor relations.

For each of the organization must existence of HR Manager. Aim is to make it easy for
them to achieve the organizational goal's. It required in term of profit or revenue either
quality. Actually it is not easy to managing change in human resources because of it gave
a lot of issues need to be faced. In order to discuss more about it our group will answer
these are three question as below ;

Question 1
What possible problems do you see with this approach for HR management in other
organization ?

Question 2
Explain what competencies needed by GE Fanuc's top management to champion the
changes in the company?

Question 3
Explain what are the merits and demerits of changes that have been done in GE Fanuc
towards its employees?
2.0 Summary Of The Case Of Study

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 This case was mentioned about the changes have been done by GE Fanuc organization.
They were applying the Human Resources approach to deliver their organization become
more effective and efficient. The concept or approach have been used comprises of
restructuring, training and development, benefits and last but not least will be
performance appraisal.

After Sir Donald Bortwhat Jr was took over as Senior Vice President Of Human
Resources, he make a lot changes. Including of restructuring the organization by existing
the HR Manager for every single department of that particular organization. Such as he
mentioned that the HR Manager of Manufacturing department handling around 600 of
employees.The second one, training and development become more to born an excellent
of worker in that organization. Other than that, they were also provide a benefits to the
workers through promise that there's no employees would lose their jobs but they provide
more opportunity to them such as transferring to another department or give the job
promotion. Thus, this promise has been made was reduce the number of turnover among
the workers at the organization. And the last one GE Fanuc Manufacturing was introduce
the concept of performance appraisal. Whereby the profit will be sharing together and as
a result, the profit was rise and as a reward they were paying for their bonuses in some of
year. The change has been done drastically but it shown that it provide a positive
feedback as a proof the revenue of the organization increasing to 18 % and at the number
of labor turnover have been decrease.

3.0 DISCUSSION ON ISSUES

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In this situation, they were used restructuring, decentralizing of the HR entity and every
functional area or department of organization must consist of HR management. The HR
managers are allowed to know about the issues have been faced by them. So, it is make it
easy for them to handle the kind of issues. They were also making a transition in HR
management which is required the seven task to becoming three level of management and
the last one they were used training to encourage a teamwork. In other to implement this
approach on the particular of organization, there are certain of problems or issues will be
face by those organization. It is including of cost, time, communication, culture.

The first issue will be in term of cost. When we talk about cost it is not only focusing
pay a salaries to a workers, but it is actually refer to the term "The cost of work". It
synonym to the situation where the action has been taken will give an effect to that
particular of organization. The actions have been taken including of restructuring. After
the restructuring, the number of HR manager will become a large. So, the organization
need to pay more since the number of workers have been increase due the HR Manager
was put on every functional department on GE Fanuc organization. Not only that, the
organizational must come out with a new budgeting scale since they were provide more
training to their workers. The budgeting will take a few situation need to be considered
such as pay the salaries of the trainer and give a some allowances to the trainee, and
maybe they will pay for another cost such transportation cost if they sent the workers to
be trained in outside of the organization. According to Bass & Barrett 1972, he mentioned
that the cost of work also concentrate on the roles of human factors, or the personnel
subsystem. Here means, we were also committed to the system that we used to. As an
illustration, if we add the number of worker to be large, at the same time we will face the
problem in term of cost. For instance, a cost to purchase a new asset comprises of a new
computers, fax machine, a new office and other things.

The second one is problem in the context of time. In this case, whereby Bortwhat
restructuring the GE Fanuc organization with existing the position of HR Manager in
every single of department, the time will be the barrier to put the right person for this

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position. Means, they required a certain time maybe it can be a few of months to
advertise the job vacancy, and conduct the interview. Not only that, but the time also
required by the employees to make themselves comfortable with a new weather on that
particular organization such as establishing a new relationship with the new employer,
HR Manager who will monitor their job.

In term of communication we can said that the HR Manager must find a way on how
to communicate with the worker who work at the lower level such as in production or
operational workers. The better communication skill will establish the good relationship
between the employer and workers. This situation will prevent the workers of being feel
unappreciated. Most of the reason why the workers hate their manager is all because of
there is no better communication to maintaining their relation on that organization. And if
this might happen it may contribute to the turnover, absentenism and hate coming in to
work as explained by Homans in 'Distribute Justice And Equity Theories'. So, the
manager or organization must be fair in serving their workers.

Last but not least, will be the culture. In this case, the culture here was refer to the
work culture has been practices by the workers for a long time ago before Sir Bortwhat
took over the GE Fanuc organization. The main challenges is the way on how they adapt
a new culture among the workers and at the same time the workers must left their old
style or work culture in order to be more effective and efficient. What i am trying to
explain is to be more effective and efficient the organization should divided a task
correctly, underline their goal including of long term and short term goal. And introduce a
new guidelines to the workers for example, in Malaysia we adopt the 5S principle in
promoting quality culture among the workers which is work as civil servant. Not limited
to the organization, but the workers also they need to understand and perform well their
task. In suggestion, the organization must provide something more like bonus in some
year or job promotion as a reward.