Transcript University Technology Mara Faculty of Plantation

3rd INTERNATIONAL PLANTATION INDUSTRY
CONFERENCE & EXHIBITION (IPiCEX 2012)
Session 1
ISSUES AND CHALLENGES TOWARDS
GLOBAL PLANTATION INDUSTRY –
EDUCATION & MANAGEMENT
Education & Professional
Development Program
By Daud Amatzin
IPiCEX 2012
5 – 7 Nov 2012, Le Meridien Hotel, Kota Kinabalu, Sabah, Malaysia.
Talking points
1. Introduction
2. Map of Asean
nations, crops by
importance
3. Populations and
dominance by
economics
4. Human capital
development in
plantation
5. Issues and
challenges
6. Discussions and
trends
7. Conclusion/closing
remarks
Introduction

What is Human Capital?

Health, knowledge, motivation and skills, the attainment of which is
regarded as an end in itself (irrespective of their income potential)
because they yield fulfillment and satisfaction to the possessor.

In an organizational context, human capital refers to the collective value
of the organization’s intellectual capital (competencies, knowledge, and
skills). This capital is the organization's constantly renewable source of
creativity and innovativeness (and imparts it the ability to change) but is
not reflected in its financial statements.
(Definition by Business Dictionary.Com)
Introduction

What is Plantation Sector?


A sector for commercial industrial agriculture crop production and
business supply chain. (Def. by Daud Amatzin)
Asean Region?

ASEAN is the Association of Southeast Asian Nations, a political, cultural,
and economic organization of nations in Southeast Asia. ASEAN includes
Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines,
Singapore, Thailand, and Vietnam. (Def. by Investor Glosary)
Asean Nations
Asean Major Commodities
COUNTRY
PALM OIL
P
(1000mt)
Area
(000
ha)
Malaysia
19,000
Singapore
Nil
Brunei
Nil
Thailand
1,700
1,450
27,000
23,000
Indonesia
4,670
RUBBER
P
(1000
mt)
Nil
Area
(000
ha)
1,022.78
COCOA
P (1000mt)
COCONUT OIL
Area
(Ha)
P (1000mt)
35
4,133
37
Nil
Nil
Nil
Nil
Nil
Nil
Nil
Nil
407.24
710
16.16
572
917,634
968
25
8,500
Nil
46
Vietnam
Nil
64.47
Philippines
100
53.85
1,518
Cambodia
Nil
10.01
Nil
Laos
Nil
Nil
Nil
Myanmar
Nil
21.41
Nil
Area
SUGAR CANE
Production
Area
Asean Nations – Economic Indicator
Source : The Official Website of The Association of Southeast Asian Nations
Asean Nations – Economic indicator
Source :Asian Trade Database
Asean Nations – Economic Indicator
Source : The Official Website of The Association of Southeast Asian Nations
Asean Nations Populations & Economic Indicator
Source : The Official Website of The Association of Southeast Asian Nations
Asean Nations Populations & Economic Indicator
Source : The Official Website of The Association of Southeast Asian Nations
Asean Nations - Trade
Source : The Official Website of The Association of Southeast Asian Nations
Asean Nations – Economic Indicator
Asean Nations – Economic Indicator
Asean Nations - Competetiveness
Source : The Star, Saturday April 21, 2012, Unleashing Asean’s dynamism, By CECILIA KOK
Asean Nations – Population Age Group
Source : Asian Community in Figures 2009
Asean Nations – Literacy rate
Source : Asian Community in Figures 2009
Asean Nations – Unemployment rate
Source : Asian Community in Figures 2009
Human capital development in plantation
Training & Development
Proven emotional intelligence principles
Plantation HRD
TRANSFORMATION
Positive cultural change
Strategic alignment
Grass roots operational efficiencies
Human capital development in plantation
Leadership
behavioral quality
delivery
Plantation HRD
LEADERSHIP
Assertiveness, Flexibility,
Inquisitiveness
Involvement, Responsiveness
Respect for people (friendly, caring,
dynamic),
Leadership values
Leadership
competencies
Walk the talk (consequence
management, result focus, continuous
improvement).
Communication, business acumen,
teamwork, cultural sensitivity
drive & resilience, global mindset,
decision making sciences
Human capital development in plantation
Information
Technology
Coaching &
Mentoring
System
Seminar & TOT
Program
E-Learning
Plantation
HRD
TECHNOLOGY
Off campus
graduate
program
Part-time postgraduate
program
Benchmarking
Systems
HRD Database
Human capital development in plantation
Business
strategy
partner
Adult learning
expert
Change agent
Plantation HRD
PRACTITIONER’S
SKILLS
Instructional
designing
capabilities
Administration
Expert
Employee
Champion
HC Issues and challenges
The Top 25 Critical Human Capital Issues (AVG GAP),
By Erik Samdahl | March 31, 2010
Source : HRM Today
HC Issues and challenges
1. Managing / Coping with Change
• From basic to high-end product
• From local player to global enterprise
• From labour to technology intensive
2. Performance management
• Insignificant research outcome
• Sluggish plantation technology progression
• Productivity stagnant (i.e. OER, yield per hec)
HC Issues and challenges
3. Leadership Development
• Unable to leading change
• Unable to take advantage of growth
opportunities
• Inefficient
• Insufficient leadership capacity
• Unable to develop better teamwork
• Incapable to create a passionate workforce
• Non-customer driven
HC Issues and challenges
4. Talent Management
• Attracting and retaining enough employees
at all levels to meet the needs of organic
and inorganic growth
• Creating a value proposition that appeals
to multiple generations
• Developing a robust leadership pipeline
• Overcoming a "norm" of short tenure and
frequent movement
HC Issues and challenges
5. Succession Planning
•
•
•
•
Lack of a sufficient pipeline of talent
Inability to motivate and retain key employees
Ineffective business practices
Lack of company vision and failure to address future
needs
6. Knowledge retention
• Baby boomers and X generation retiring
• Improper knowledge management system
HC Issues and challenges
7. Workforce planning
• Guess workers dependency
• i.e In 2011, Plantation sector in Malaysia utilized 255,600
foreign workers (93% from total requirement)
• Aging workforce - Especially, the industry expert
8. Skill level of the workforce
• Language barrier ; Foreign workers (Bangladesh, Myanmar,
Nepal), Internal talent to go abroad.
• Technology savvy
• Unfilled skill gap
HC Issues and challenges
9. Engagement
• Employee trust (Turnover, Career development, Safety &
Security)
• Inadequate talent recognition & reward
10. Sentiment
• Gender bias
• Important role for women in Plantation?
• National Sentiment
• Any dispute has become national issues
Discussions

In order to maximize the human capital values,
plantation organization should recognize the
importance of the following aspects in human capital
management:
 Talent
 Recruiting


for the right talent through
effective recruitment and
identifying talents already embedded in the organization
 Develop
these talents or potential capacity into needed
competencies.
Discussions
 Competency
 Applying
competency based human resources management
whereby


All job positions have the required competency profile well
documented and
Individual competency level of incumbents periodically appraised.
 Training,
 Investing
education, on the job experience
on improvement of individual competency in line
with their respective talent into the required level of
competency of the job position
The Incorporated Society of
Planters (ISP) 1919






Fellowship (FISP)
Advanced Professional Diploma (AISP)
Licentiate Diploma (LISP)
Certificate Plantation Management (CPM)
Certificate Plantation Practices (CPP)
Short/Refresher Courses (Customised)
Discussions

Placement, Rotation and Succession Planning and
Performance Management

These are essential processes in managing talents and
competencies:



Good talent based manpower planning




to develop the right talent for the right competency
to carry out current or future job assignments.
To reduces development cost and cycle time,
Improve productivity, and
Creates employee satisfaction.
Effective performance management

To improvement of human capital values.
Discussions
 Health
and Safety
 Attention
to personnel health and safety are paramount to
ensure that the organization’s human capital performs well
and grows to higher value.
 Motivation,
 These
Innovation
represent the people aspect of human capital which
do not exist in other physical capital.
 Highly motivated, innovative and creative people with the
right talent based competency well developed will ensure
high value of corporate human capital and growing
corporate wealth.
References
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Harvard Business Review
Malaysian Palm Oil Board Website
Malaysian Palm Oil Council Website
Malaysian Cocoa Board Website
Malaysian Rubber Board Website
World Cocoa Foundation
Bloomberg Businessweek Website
The Association of Southeast Asian Nations Website
ASEAN Economic Community Chartbook 2009
Business Dictionary.Com
Investor Glosary.com
The Star
Thank you


Isp.org.my
016 2309359