Choosing Between Manufacturing and Service Sectors: Where Can HR Learn More?

Hello everyone, please tell me where an HR person can have more learning and exposure, whether in a manufacturing plant or in a service sector.

Regards,
Ish Singh

The Debate: HR in Manufacturing vs. Service Sector

This is a very controversial question: who is superior and which task is better?

Hence, I do think HR has a very wide scope of tasks from entry to managing and exiting the whole process. In the manufacturing industry, you will have to tackle statutory compliance, employee relations, etc., where you will be well-confronted with the legal aspects of HR in the manufacturing industry, which makes you special in comparison to others.

Regards,
Amar Nath Sharma

Thanks, Amar, for your reply. Actually, my flair is more towards statutory compliance, but I like the culture of the service sector and want to move into it. Does the service sector include all the functional areas of HR, including statutory compliance?

Regards,
Ish

Manufacturing Sector vs. Service Sector

Manufacturing sector and service sector are two different sectors with HR issues peculiar to them. For example, the manufacturing sector has to deal with a blue-collar workforce, which has problems peculiar to them like welfare issues, compliance with factory laws, negotiations, and labor disputes. However, there is probably less headache regarding employee turnover in this segment of the workforce. Thus, an HR professional in the manufacturing sector will grow stronger in the skills of negotiations and, as Mr. Amar said, in the knowledge of labor laws and compliance, and emerge tougher in management skills. The performance appraisal will be different from that in the public sector since, in the manufacturing sector, productivity is quantifiable.

The service sector comprises a white-collar and educated workforce, which is highly mobile because of the market for them. So, there will be high employee turnover, and one should be strong in the skills of recruitment and talent management. Thus, I concur with Mr. Amar that experience in the manufacturing sector will equip you with the special knowledge and skills which give you an edge over others. The transition from the manufacturing sector to the service sector will be smooth for HR, but the vice-versa may not be true.

However, the basic concepts of HR shall be acquired, which can be applied and adapted to any sector.

Regards,
B. Saikumar
HR & Labor Law Consultant
Chipinbiz Consultancy Pvt. Ltd
Mumbai
[Phone Number Removed For Privacy Reasons]

Fortunately, yes, statutory compliance is a legal obligation as well as an integral part of every organization, including manufacturing and service industries. Furthermore, if your question is whether the service sector also has these features, then my answer would be yes. Before engaging in any endeavor, you should be equipped with all the necessary tools that may be required in the future. Similarly, in the service industry, before selecting a field, you should prepare yourself to enter it.

Professional Edge in the Service Industry

In this regard, it would be beneficial to have a professional edge in a specific field, such as LLB, IRPM, CS, and MBA (HR), to strengthen your entrance into any field.

Regards,
Amar Nath Sharma

Turnover in Manufacturing vs. Service Industry

The manufacturing industry surely has more turnover than the service industry. Many HR professionals do not agree with me, especially those working in the service industry. However, as an HR person in a manufacturing unit, I can say this with a lot of certainty.

The Role of HR Management & Development

HR Management & Development plays a vital role in the corporate world. It's not the technology, equipment, or machinery that drives industrial/corporate growth, but rather it is human resources and their efficient, skillful management and application that create brands and foster the most creative and innovative concepts in business.

Industry Type and HR Learning

Regarding the learning and exposure of HR concepts, I believe that the type of industry does not matter significantly. HR personnel must apply their best-acquired skills to develop human resources in a manner that ensures wherever they work, the employees under their supervision experience job satisfaction, organizational commitment, and focus on achieving higher goals, performing at the peak of their skills and talents.

Thanks,

Bijay
[Phone Number Removed For Privacy Reasons]

In my opinion, in the manufacturing sector, there is a lot more scope compared to the service industry. I have experience in both sectors, and based on that, I am saying this. In the manufacturing sector, you will have full-time work, whereas in the service industry, there is not as much work compared to the manufacturing sector. The reason is that in the manufacturing sector, the workforce is more on the company's payroll as well as contract labor, so there are statutory compliance, recruitment, etc., whereas in the service industry, the workforce is smaller.

Manufacturing and the service sector are two different sectors with HR issues. If you want to learn many things related to HR & IR, you can get it only in a manufacturing unit. If you just want to learn something and enjoy the job, you can consider the service industry. But make your choice as every industry has its own pros and cons.

Regards,

If you want to just learn something and enjoy the job, you can consider the service industry.

Clarification Needed

Kindly elaborate. Are you saying that HR professionals in the manufacturing industry do not enjoy their job? Or are you saying that HR professionals in the service industry have lots of free time to enjoy?

Regards,

If you are looking at things from a long-term perspective, for example, if you have experience in the manufacturing industry, you can easily switch to the service sector. However, if you have experience in the service industry, it will be a bit more difficult to switch industries.

As some people have already mentioned, in the manufacturing industry, you will have the opportunity to deal with topics such as compliance, labor law, trade unions, and labor welfare. Therefore, I would recommend gaining experience in manufacturing to become a competent HR professional.

Regards,
Swapnil Muley

I want to add a little bit from being a professional from both backgrounds. I can say one thing - to learn systems and procedures, one should prefer the manufacturing sector in the early days of their profession. It is a risk-free and stabilized environment in comparison with the service sector. You can shift into the service sector after gaining sufficient knowledge in systems and procedures to enjoy, adopt, learn, and implement the latest HR techniques. I mean, experience from the manufacturing sector is a base, and from there, you can excel with the knowledge of the service sector.

There is a great demand for those who know both.

Regards,
Rajendra Prasad

Wishing you all a very happy 2012. All your opinions are good and thought-provoking. In my opinion, both sectors are good. It is advisable, in the initial stage, to take up a career in the manufacturing sector and, at the age of 40+, transition to the service industry to settle down.

With previous experience in the manufacturing sector, shifting to the service industry is easier. However, transitioning from the service sector to the manufacturing sector may not be as smooth. Even within the manufacturing sector, it is always better to start a career on the factory side rather than taking up a job in the corporate or head office of a manufacturing company.

I welcome your suggestions.

Regards,
K. S. Sivakumaar

HR Role in Manufacturing vs. Service Industries

The HR role is common to both the manufacturing and service industries. The difference lies in its applicability. When speaking about applicability, both the manufacturing and service sectors have their own pros and cons. It purely depends on the area where you want to pursue your career; select that field.

Hi, great contributions by all. HR itself is a service sector as it is a support function and not the main function like production. So HR provides services in manufacturing as well as the service sector, and as rightly said by many, the nature of services would change. If you see your interest in handling things like the charter of demand, suspensions and inquiries, handling the dynamism of a unionized environment (though it's also there in the service sector, the severity is lesser), etc., you are a manufacturing HR person; otherwise, you are a service person. Training will be a common portfolio.