Hi All

I'm Joseph from Cebu, Philippines. I have a degree in BS-Psychology and currently a candidate of a master's degree in Industrial/Organizational Psychology.

Would like to ask for suggestions and comments on setting up a HR department.

The company I'm working for is a family owned business for the last 25 years, it is mainly involve in electrical appliance retail and in 2001 it started operating budget hotels. It started from scratch and made its way to compete with big name stores, so HR as a whole was not really on the mind of the owners at that time. They treat there employees really well and though most of the employees, including managers earn minimum wage, they do receive big bonuses if they perform well. This practice is done in the hotel and retail business.

The problem now is that there is no department or people in charge in succession, training, etc. Currently, there are around 300++ employees in the company (both in the retail and hotel), the previous setup
26th October 2011 From Philippines, Cebu
Dear Mr. Joseph,

Glad to know that, you want to setup HRM DIVISION. Hope your organisation is doing good as i feel the same from your post.

1) Since your organisation's strength is above 300, i would suggest to hire CONSULTANTS to set up HRM DIVISION. Its upto you to decide whether you want to AUTOMATE the COMPLETE PROCESS and make your organisation PAPER LESS OFFICE or you want to follow MANUAL PROCESS which is TEDIOUS PROCESS & TIME CONSUMING too. It takes 3 - 6months to complete the PILOT PROJECT because without EMPLOYEE DATA nothing is possible.

2) Setting up COMPANY POLICIES depends upon the MANAGEMENT's OPERATIONAL STRATEGIES aligned with BUSINESS OBJECTIVES and also you have to comply with your COUNTRY LABOUR LAW.

3) The most important factor to be considered is PERFORMANCE APPRAISAL SYSTEM. This is also associated with SUCCESSION PLANNING as it will help you to study your EMPLOYEE(S) SKILL SETS/TALENT/COMPETENCIES, UNLEASH THEIR HIDDEN TALENTS, PROMOTE THEM FOR BETTER PERFORMANCE and ALIGN WITH YOUR ORGANISATION'S GROWTH FACTORS.

4) COMPENSATION & PAYROLL is linked with TIME & ATTENDANCE MODULE. Also you can define EMPLOYEE GRADING SYSTEM describing their SALARY STRUCTURE & ASSOCIATED BENEFITS. You can make best use of EXCEL for the same. Hope your FINANCE DEPARTMENT is taking care of EMPLOYEE SALARIES.

5) If you happen to recruit employees often, then you can also create STRUCTURED RECRUITMENT PROCESS based on your needs.

6) EMPLOYEE TRAINING is associated with your organisations need for various skill development including WORKPLACE SKILLS. Its involves cost factors.

Perhaps you need to share more information about your organisations modus-operandi. Based on that we can suggest you proportionately.

Use RESEARCH option on the top of the website to search for information pertaining to HRM SETUP. Various formats are uploaded by members of this community. Study them and you can also modify to suit your operational needs.

If you need more information, please feel free to write to me.

With profound regards
26th October 2011 From India, Chennai
hoi joseph hahaha....building hr department is so easy....problem with it, ma bag-ohan ang mga tao. stand firm lang and with your decision making lang
5th March 2013 From Philippines, Quezon
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