Hris at Nissan: A New Era in Human Resource Management

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FIRST SEMESTER SESSION 2018/2019 (A181)

HUMAN RESOURCE INFORMATION SYSTEM (BSMH3093)

GROUP C

GROUP ASSIGNMENT: CASE STUDY

PREPARED BY:

PREPARED FOR: DR. HADZIROH BINTI IBRAHIM

SUBMISSION DATE: 11TH OCTOBER 2018

CASE 1: HRIS AT NISSAN: A NEW ERA IN HUMAN RESOURCE MANAGEMENT

PROBLEM 1: HAVE NO PROPER PERFORMANCE EVALUATION SYSTEM.

Nissan Company was facing the human resource management problem that affects the company’s performance as well as the profit. This company has problem due to its corporate culture in where they had implemented the heavy bureaucracy as the company culture. Based on this concept, this company assume that seniority is more important than level of performance of the employee. This means that employees are not evaluated based on their performance but based on the seniority. The most senior person in the organization will get the highest paid and the senior position are held by the senior people. This problem are affecting the employees job satisfaction, employees performance and this shows that Nissan are poor in managing the human resource that had affected the company’s performance from year to year. As we can see, the number of sales is declining and the amount of debt is increasing and this is the most negative impact that happened to Nissan Company. The shortcomings in employee management system in this company has led the upper level cannot concentrate and focus on the company goals as well as mission and vision.

SOLUTION 1: IMPLEMENTING THE KEY PERFORMANCE INDICATOR (KPI) SYSTEM IN NISSAN COMPANY.

Nissan Company should consider of having a proper system in order to be fair with each level of employees in the company. Here we can see that Human Resource Information System (HRIS) can be an important aspect in helping to manage the affairs of the employees more efficiently. The KPI can provide an unbiased aspect to the performance review. The KPI will be provided by the manager and the employees need to follow the entire requirement in the performance evaluation although they may not agree with. Human Resource (HR) analytic software can be used in order to improve the employee performance. These analytics can be somewhat more sophisticated. For example, some companies may leverage data collected in their human resources information system (HRIS), which often includes completed trainings and performance reviews for individual employees. This data can help HR professionals identify common skills and attributes among the company’s strongest performers in order to look for similar candidates when hiring. This kind of system can help the HR manager to manage the employees efficiently and they can decrease the time consuming in the performance evaluation process. Besides that, employees also will do their task more efficient in order to achieve the KPI and to comply with prescribed standards.

SOLUTION 2: IMPLEMENTING THE AUTOMATED PERFORMANCE MANAGEMENT SOFTWARE.

Nissan Company is a big and well known company and it has more than 130,000 employees. Managing human resource in the company is not an easy task especially for the Human Resource Manager. Implementing the HRIS is a solution that helps the company a lot which include minimizing the administrative task which can save costs and also giving more accurate results involving the employee management. All administrative and transactional tasks were removed from HR personnel and the dynamic employee portal was made accessible to all employees on a 24/7 basis. They could access this information through intranet by simply logging in with their id and password to access their information. This led to fast transactions handling for HR and it created transparency in the system. In terms of performance evaluation, the company can use the automated performance management software because it can ease the management to set clear goals, measure the progress, delivering helpful feedback and target improvement. This system has several advantages that could help the HR management in Nissan Company become more efficient. First, the system can link the performance of the employee with the pay. The automated measurement system is used for performance-pay links. Besides that, it can improve the employee involvement with the management at the upper level.  This is because employees can track their own performance, participating in the goal setting (indirectly), gather feedback and review of themselves online in collaboration with managers and team members. This process helps the employees to become more invested in and responsible for their own performance, development and growth. By implementing this solution, the company can control the employees as well as ensuring the company’s performance always on track.

PROBLEM 2: RECRUITMENT PROCESS THAT DOES NOT FULLY UTILIZE.

Nissan Company is adopting the heavy bureaucracy culture for example giving respect to elders, role of the master and also imparting knowledge and experience. This concept had led to senior positions is held by the senior people in the organization and it depends on how long is the period that employee works in the organization which means the longer the duration of a person works the higher his or her position or seniority in the organization. This culture had limited the opportunity of new recruits to get a higher position in the organization even though their qualification is fulfilling the job requirement. They are only eligible to fill the entry level in the organization. Nissan Company does not recruit the future employee with the complete procedure. They need to enhance the recruitment process in order to get the most qualified candidate for each position. Although they are recruiting the candidate from the best college in the country, they still need to conduct a proper and complete procedure of recruitment to see whether the skill and knowledge really match with the organization. For example, before start working the candidate must achieve certain points by giving those tests. Besides that, they also could recruit the candidates from outside that might have criteria that can match the requirement in order to help in the productivity.

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