Human Resources Management
Human Resource Management
IRPC’s valuable employees are the fundamentals to driving the organization towards continuous and successful growth. With the risk from dependence on employees with high expertise who are near retirement, IRPC could be driven into a workforce shortage situation. This realization stimulates IRPC to become in need of transferring knowledge to new recruits, while ensuring that skills and capabilities are updated to the global benchmark under a lean organization structure. Therefore, we aim to develop their potentials as well as their living quality by cultivating the core organizational value of iSPIRIT, focusing on Individual ownership, Synergy performance excellence, Innovation, Responsibility for society, Integrity and ethics, and Trust and respect. We are well aware of operating with cost-efficiency in mind, developing future skills, building an efficient performance management and rewarding system, and acquiring new talent. We thus, drive our human resource management to elevate our organization to be recognized in international level by employee and stakeholders from every sector, and to become an employer of choice for potential candidates by introducing the new management approach, New Organization with Agile Human (NOAH).
New Organization with Agile Human (NOAH)
To further enhance business strategies after digital transformation, IRPC developed a new lean management structure in 2020, New Organization with Agile Human (NOAH) consisting of 4 different dimensions which will enhance and transform the organization and the capability-to-perform. The 4 different dimensions of NOAH includes, (A) The Most Cost-efficiency Operating Model at Speed, (B) Future Skill Development, (C) New Performance Management and Rewarding, and (D) Talent Acquisition.
Dimension A: The Most Cost–Efficiency Operating Model at Speed
IRPC is committed to establishing a lean organizational structure to move towards more cost-efficient operating practices. IRPC adopts an organizational restructuring plan by applying various digital technology to the operational process, such as iConnect or IRPC HR Digital Platform in order to support human resource planning and expand business opportunities at a faster pace. During the COVID-19 pandemic, IRPC has adapted to using different digital applications and online working platforms to accommodate COVID-19 protection measures while ensuring that operational needs are being met. The key outcomes of the most cost-efficiency operating model reduction of FTE and a fair distribution of age groups among the workforce which is IRPC needed.
Dimension B: Future Skill Development
IRPC recognizes the importance of improving the skills and capabilities of all employees, especially in regards to developing updated skills to align with the future demand of data analysis and digital innovation. IRPC human resource management team is assigned to develop a benchmarking study on capacities of employees in the global companies, which allow IRPC to effectively review employees’ leadership and competencies for further enhancement, as well as prepared to train employees of different sectors to align with organizational needs through various training programs. Under this management strategy, IRPC establishes the ACCELERATE program to reskill and upskill foundations of future skills across all employee levels, primarily under social and emotional (personal learning agility), complex cognitive (innovation, critical thinking), and digital (advanced data analysis, applied data analysis, basic digital skills). Moreover, this program will endorse IRPC to reach a goal of being an organization with top quartile people in order to achieve top quartile performance. IRPC also monitors skill development across all employee levels by mapping skills according to each level under the ACCELERATE program.
IRPC develops other training and development program to induce leadership skills for employee in executive levels, middle-managers, and senior officers to prepare for preventing interruption in the future operations. Training are conducted to build leadership among its leaders via Training: Coaching: Experience (10:20:70), coaching by external consultant following 5D Model, and training courses in Learning Management System LMS software.
In 2020, IRPC had measured the objective performance on knowledge application from human development program in terms of return on investment. Average training hours per employee in 2020 was 14 hours per person per year which decreased the target of 40 hours per person per year because we have to followed Covid-19 protection and the social distancing measurement. The Key Performance Indicators (KPIs) for the average training hours per employee is shown below:
Dimension C: New Performance Management and Rewarding
To meet IRPC’s goal of sustainably achieving top quartile performance, IRPC emphasizes the development of employee’s capabilities to align with current business needs and is committed to developing long-term incentive measures for rewarding based on performance. IRPC has put an emphasis on competency based performance to drive key skills needed for new business opportunities by adjusting performance targets from KPI 60%, competency 20%, and behavior 20% to KPI 50%, competency 25%, and behavior 25%. In addition, adjustment of performance targets will further allow the human resource team to distinguish top performing competent employees within the organization. IRPC employs various types of performance appraisal, such as Leading and Lagging Indicators and Value Tree and KPI Cascading Tool that can display a graphical representation that show the relationship between each KPI of the employees at all level to be able to analyze and define key indicators which can actually measure the performance.
Furthermore, IRPC ensures a sustainable management of the succession plan of soon-to-be retiring employees through preparing high-performing candidates for management work under the Break Through project which they will be practiced for up their leadership skill to achieve on project management. IRPC appoints a Human Resource & Organization Effectiveness Management Committee; HOMC) and Human Resource & Organization Effectiveness Development Committee; HODC) to review manpower, succession plan, and recruitment process in every employee level. With annual monitoring, we have developed the competency standard and take account of other necessary factors for sustainable succession.
Dimension D: Talent Acquisition
IRPC recognizes the importance of recruiting potential candidates for future business growth. With emerging future risks from relying on long-term employees with high expertise, recruitment of next generation who is talented with capabilities for IRPC’s future business will be essential. IRPC manages recruitment of potential candidates through the integration by internal potential high competency and external expert recruiting including talent cluster nurturing for replacement in vacancy position.
|Under the management goal of today’s priority is to “survive”, but tomorrow’s priority is to “perform in the new game, IRPC is committed to be in the forefront of competing markets by acquiring new talent and improving existing employee’s capabilities to meet the approach of each of the following quadrant:·|
Good Labor Practices
iSPIRIT Core Value
IRPC have cultivated iSPIRIT, our core value by promoting executives and supervisors to act as role model for the employees to encourage competency development and behavioral changes.
Diversity in IRPC
IRPC and its subsidiary are committed to promoting diversity and inclusion in recognition that a diverse and engaged workforce will contribute to improved operating performance and achievement of strategic objectives. IRPC is focused on training and developing its employees from all cultures to equip them for leadership positions. Diversity at IRPC encompasses employees at all levels across the organization. IRPC’s diversity initiatives targets diversity of ethnicity, nationality, gender, age and culture. Inclusion is the core fundamental for active, intentional, and ongoing engagement with diversity across the organization.
Total Employees by Nationality
Freedom of Association
IRPC fully supports its employees’ freedom to form a union, according to its Employee Relations Policy. In addition, the President encourages regular discussions between supervisors and employees in their reporting line to foster an understanding of employee welfare benefits, career growth opportunities, and business directions. There are also informal meetings, such as the CEO Town Hall and the quarterly chats with leaders of the labor unions, to foster good professional relations.
Human Capital Development
Human Capital Return on Investment
IRPC considers that Human Capital Return on Investment provides a means of measuring our profitability in relation to total employee costs. It is derived by removing non-employee costs from overall operating costs and deriving the resulting operating profitability. In 2020, IRPC invested in three human capital projects, including Advance Analytic Capability Program Leadership Development Program project and Break Through project.
Return on Employee Development Investment
In order to decide on investment plan for developing valuable training and development programs, IRPC applies the calculation of return on employee development investment, which is cost and benefit ratio. The ratio measures value for money of the programs, in which IRPC had invested in employee training and development and the monetary benefits. The higher the ratio signifies the return on investment generated by the program.
Employee Development Programs
Employee Development Program
Quantitative impact of business benefits (monetary or non–monetary)
Break Through program aims at developing management work for high-performing employees under the succession planning process to use as a performance indicator for further promotion evaluation.
Break Through project enhances the knowledge of management work of soon-to-be managers through assigning those high performing individuals with managing different projects in order to improve management skills, problem solving, and challenging capabilities.
The program is expected to increase productivity of new incoming high management level about 30 million THB
Advance Analytic Capability Program aims to develop data analytic skill for cost efficiency and process improvement.
Advance Analytic Capability Program allows all employees to learn and unlearned new valuable analytic skills for future opportunities by equipping with skills to be agile with future-read attitude, innovation & critical thinking, and data analysis.
Advance Analytic Capability Program aims to develop data analytic skill for cost efficiency and process improvement.
Leadership Development Program(LEAD 3) aims to develop project management for middle management level to cost efficiency and value added. )
Leadership Development Program(LEAD 3) allowed high performance middle management level to learn and apply leadership skill to achieve the projects for operation efficiency improvement and cost saving. . The positive impact of the learning through this program is used to improve performance at work for our employee and result in business benefits. The business benefits that derive from this program include cost reduction through higher efficiency in production by incorporating knowledge to design a better operating system in the production.
The program is expected to create more added value and reduce cost as well as improve productivity, in which participants are enabled to think more creatively and improve their problem solving skills by applying reasoning principles. The initiative raised production efficiency; resulting in increased net revenue through reduction of expenses for up to 120 million THB.
IRPC has 5 engagement drivers which can be divided as best employer’s differentiators and foundation to capture the overall work experience. The best employer’s differentiator engagement drivers include (1) Agility, (2) Engaging Leadership, and (3) Talent Focus. The foundation engagement drivers include (4) the basics and (5) the work, which can be created into engagement outcomes and business outcomes. Engagement outcomes include the following: “Say” (the employees say positively about the organization to their colleagues, prospective employees and client), “Stay” (the employees engage to be in organize for driving growth), “Strive” (the employees’ willingness to dedicate themselves and work beyond IRPC’s expectations for successful business). The business outcomes include the following; “Talent”, which captures retention, absentees, and wellness, “Operational”, consisting of productivity and safety, “Customer”, which captures satisfaction and retention, and “Financial” including the revenue/sales growth, income/margin, and total shareholder return.
Trend of Employee Engagement Score
In 2020, 82 % of the employees participated in the assessment and the engagement score was 79%.
Please visit [LINK] for performance data on IRPC’s people in 2020 SD Report.