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SECTION ONE INTRODUCTION

1.0

Introduction

The purpose of this paper is to identify the channel systems for the PSD (Public Service Department) of Malaysia. We will find out how IT supports each of those components and to suggest improvements in the existing channel system that can be supported by Information Technology (IT) technologies and that are not in use by the company today. Accordingly, Section One outlines a brief background of PSD. It also will discuss the vision of missions, functions and objectives of PSD.

1.1

Background of Company

The establishment of the PSD (Public Service Department) began in Singapore in 1934, when it was known as the Malayan Establishment Office (MEO) and operated from the City Hall. Year 1954 was the establishment of the Federal Establishment Office through the merger of the Malaya Establishment Office, Service Branch of the Chief Secretary's Office and the Establishment Division, Federal Treasury. When the administration shifted to Malaya in 1954, the office was relocated to Kuala Lumpur at the Federal House, Jalan Sultan Hishamuddin. The increase in functions and size required the PSD to move to a new location at the UMBC Building, Jalan Sulaiman and then to Sulaiman Building, Jalan Damansara and later on to Wisma Bernama, Jalan Tun Razak. At the same time, several divisions providing counter services were placed at the Kuala Lumpur city centre to enable easy access by the public such as the Consultancy and Record Division at Wisma PKNS, Jalan Raja Laut; Pensions Division at KWSG Building, Jalan Kampong Attap and the Training and Career Development Division at PERKIM Building, Jalan Raja Laut.

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In 1967, MEO changed of name to the Establishment Office of Malaysia. But in 1968, Establishment Office of Malaysia changed of name to the Department of Public Service (Public Service Department). Only in 1993, were all of the divisions successfully placed under one roof when the PSD moved to their own building at the PSD Complex, Jalan Tun Ismail, Kuala Lumpur. To improve service delivery to customers in East Malaysia, branches of the Pension Division were established in Kota Kinabalu, Sabah and Kuching, Sarawak. In 2001, PSD moved to Complex C at the Federal Government Administrative Centre in Putrajaya, following the Government's decision to centralize all federal government offices in one location. The Competency Management Branch was located at Sapura Building @ Mines, Seri Kembangan. Following the reorganization of the PSD in 2009, three divisions were moved to the MKN-Embassy Techzone Building, Cyberjaya. The divisions are the Information Management Division, the Psychological Management Division and the Remuneration Division. PSD pledge to provide professional services and advice on the formulation and implementation of policies and regulations pertaining to human resource management which includes:

1. To ensure that public agencies are equipped with suitable structures, establishment and schemes of service in accordance with their current responsibilities so as to function at an optimum level.

2. To ensure the best human capital management to enhance the efficiency and effectiveness of public personnel through the development of systems and best practices. 3. To increase the productivity and efficiency of public service human capital through pre-service and in-service training with regards to the Public Service training policies.

4. To attract, develop and retain potential workforce towards excellent performance through salary management, allowance and various benefits.

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5. To ensure a harmonious employer-employee relations through the widespread dissemination of information so as to improve understanding on issues of common interest.

6. To enforce Public Service pension regulations and ensure that pension's benefits are payable to qualified recipients.

7. To develop public personnel using the psychological and counseling approach and to provide effective and efficient training in accordance with the principal, ethic and standard practices of the Public Service.

8. To ensure responses to clients' enquiries and complaints are fast, accurate and courteous and adhere to the stipulated period as follows: Affirmation of acceptance of complaint within three days. Initial response within 14 days. Status report on clients' complaint within two months.

1.2

Vision and Mission 1.2.1 Vision The PSD envisions is to be a world-class organization in public service human resource management. 1.2.2 Mission The PSD missions are: To be the main advisor to the Government in public service human resource management. To enhance capability through restructuring and strengthening the organization and development of human capital.

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To develop quality, highly competent and innovative personnel. To manage employer-employee relationship towards creating a harmonious working environment. To improve systems and work processes by leveraging on ICT.

1.3

Functions

The Public Service Personnel Management includes planning, management and development aspect as follows: 1.3.1 Planning

To determine the roles of the public sector. To determine the organizational size and structure of the public agencies. To determine the requirement and development of human resource. To determine pension and retirement benefits. To determine the implications of privatization/separation on the public sector human resource.

To develop strategic alliances and networking.

1.3.2 Development

To determine Organizational Development Policies. To determine Career Development Policy. To develop Career Path. To develop Succession Planning. To determine Training Policy.

1.3.3

Management

To manage policies evaluation. To formulate and clarify policies on the above mentioned matters to implementer agencies.

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To manage policies monitoring. To manage the appointment, emplacement, remuneration, promotion, retirement benefits, service conditions, employer-employee relations, training and human resource database.

1.4

Objectives

1. To rationalize the size of the public service through a systematic and structured human resource planning by conducting a comprehensive manpower projection.

2. To provide the public service with service schemes and organizational structure that is relevant, flexible and able to respond to current needs. 3. To develop the best and competent human capital to meet the public service strategic needs through dynamic training policies and sponsorship programmes. 4. To manage civil servants and develop human resource management policies through strategic and effective service policies formulation and implementation. 5. To formulate policies and guidelines relating to psychology services according to current needs to enhance human resource development in the public service. 6. To emphasize on the welfare of retirees and pension recipients through improvement of post-service policies. 7. To introduce a competitive and comprehensive remuneration package to the civil servants and develop a harmonious employer-employee relationship. 8. To enhance the quality of service delivery through application of technology in human resource management.

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SECTION TWO HUMAN RESOURCE MANAGEMENT INFORMATION SYSTEM

2.0

Introduction

Second section commences with a comprehensive overview of the Human Resource Management Information System (HRMIS) of Public Service Department (PSD). As the central agency responsible for public service human resource management policies, the PSD was selected as the lead agency to spearhead the implementation of the HRMIS. Officers from process owner divisions comprising the Remuneration Division, Pension Division (now known as the Post-Service Division), Services Division, Organization Development Division, Training Division (now known as the Human Capital Development Division), Management Services Division, Planning, Research and Corporate Division, and Psychological Services Division were directly involved in verifying the human resource processes, which were developed for the HRMIS. They were also involved in the testing stage of the application to ensure compliance with prevailing policies. During the implementation stage, they verified the improvements on human resource policies according to changes that occurred from time to time. The Information Management Division was given the responsibility to manage the implementation of HRMIS, and provide information on public service human resource.

2.1

Vision of Human Resource Management

The Human Resource Management Information System (HRMIS) was developed in line with the human resource management vision, To be the leader in the Development and Management of Human Resource in Order to Achieve the Governments Vision. This vision was decided upon during the seminar, HR Function Visioning Workshop for Senior Management, which was held on 21-22 June 1999. This aim is in line with the Governments vision to become a developed nation by 2020 .

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2.2

HRMIS Mission As one of the governments flagship applications, HRMIS has a clear mission so that all public sector agencies implement it in line with the vision of public service human resource and e-Government aims. Therefore, HRMIS must remain relevant in public sector human resource management through its continuous application improvement.

2.3

HRMIS Objectives

The objectives of HRMIS are designed to ensure that the developed application will be able to improve the performance of public sector delivery system. These objectives are designed to:

1. Enable planning of the workforce and determine the effective size of public service through human resource management information.

2. Automate the operation processes of human resource management. 3. Develop integrated and updated human resource information for the purpose of effective human resource planning. 4. Facilitate horizontal communication and integration, coordination of human resource processes and access through a single window. 5. Contribute to the creation of a paperless environment. 6. Make available a human resource information system that is open, flexible and updated to meet the management needs of the various levels of agencies.

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SECTION THREE COMPANY CHANNEL SYSTEMS

3.0

Introduction

This section discusses the PSD channel system, the HRMIS (Human Resource Management Information System). The HRMIS project is a government initiative to ensure that human resource management in the public service produces skilled, trained and motivated workers. The HRMIS that has been developed is now being implemented throughout the Malaysian public service. The HRMIS is not merely a human resource application system, but more importantly, it represents a new approach for more comprehensive and integrated human resource management in overcoming the many challenges of public sector management.

3.1

Human Resource System

The development of HRMIS is based on ten key functions of competency-based human resource management, as illustrated in Figure 1.

Figure 1. Public Sector Human Resource Management Model

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Among the main features of the HRMIS are that it is process-driven, it provides for self-service facilities and it is web-based. The application allows all members of the public sector to update their personal records and to apply for the various available service benefits such as leave, travel claims and training courses. In addition, the data of HRMIS public sector human resource processes stored in a centralized database will facilitate analysis and strategic planning of human resource, either at the department, ministry, state or national levels. The changes that are brought about by HRMIS are based on public service trends and practices around the world covering all human resource matters, as shown in Figure 2.

Figure 2. Human Resource Process Mapping into HRMIS Components

The components and sub-components developed under HRMIS were regarded as innovative outputs, which saw a change in philosophy from a conventional 27-function human resource management system to a 10-function competency-based HR To-Be Management.

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3.2

Ten Key Functions of Competency-Based Human Resource Management

The Public Sector Human Resource Management To-Be model has been formulated for use by all agencies. It has ten main functions of public sector human resource management. The developed human resource processes in HRMIS components are based on a fixed philosophy. This is to ensure that human resource management is efficient, effective, constantly relevant and responsive to current challenges. 1. Competency Assessment This model puts competency assessment as the basis for all human resource processes, which is also the key to mobilizing human resource management functions. This function promotes self-development and continuous improvement through a user-friendly approach. Competency assessment will also encourage individuals and line managers to assess competency levels using valid assessment methodologies. 2. Development The second function of this model is the development activities relating to the ongoing process of formal and informal training. The purpose of this function is to enhance a persons abilities to ensure continued contribution to the organization. At the same time, development opportunities are provided to promote self-learning and just-in time learning. This is clearly demonstrated when opportunities are given to employees and managers to plan, select and evaluate development programmes for employees to acquire new competencies or for career advancement. 3. Performance Management The performance management function is able to align individual goals with organizational goals, as well as monitor and evaluate individual performance based on the KPIs, the team and organization. This function also promotes personal monitoring to strive for continuous improvement and becomes part of the daily routine of the management. Performance management also links performance to career development, development requirements and rewards.

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4. Remuneration, Benefit and Reward The remuneration, benefit and reward management function allows fast, accurate and timely automatic processing of remuneration and benefits. It also provides a mechanism to administer remuneration, benefits and rewards in the development and maintenance of public sector human resource. A system that is fair and in line with the ambition of the organization to develop intellectual capacity will also promote employee retention and enhance performance. 5. Career Management The philosophy behind the fifth function of career management aims to provide a systematic approach in promoting human resource development in line with career pathways and organizational needs. It also promotes sharing and ownership between individuals and line managers in identifying career pathways and strategies to achieve goals as well as continuous monitoring of their progress. In addition, this function provides a sustainable, equitable, flexible and customer-oriented framework for individuals to plan and identify strategies for career advancement. At the same time, it provides opportunities to the individuals who constantly strive to improve their competency and performance to progress in the organization. 6. Strategy Formulation and Review Human resource model need to change in line with the rapid change of the environment. This is to ensure that human resource strategies and policies remain relevant to the needs of the organization. This philosophy is carried forth in the sixth function, which is formulation and evaluation of human resource strategy, to ensure that the mechanism for aligning human resource management strategies with the goals and objectives of the organization can happen quickly and effectively. Its main activities include the description of values created by the human resource function through its vision, thinking style, etc. This feature can also develop the human resource function through the determination of deliverable outcomes.

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7. Resourcing The philosophy of the human resource recruitment function is to provide a mechanism to integrate in a comprehensive manner the various human resource management functions such as manpower planning, recruitment, transfer, development and training to ensure that the manpower requirements of the organization are met. This feature also serves to identify the short-term needs of human resource based on the activities of the organization. This process begins by identifying the roles, positions and competencies to carry out an activity and ends with the acquisition of resources. 8. Separation The function of separation has the underlying philosophy of facilitating the exit of civil servants from government service. It will also facilitate attrition trends as well as provide a retention strategy to maintain skilled public sector manpower. Through this function, all logistical issues such as assets and security passwords can be resolved, and relevant human resource function operations such as human resource recruitment, retirement, benefit and reward management, and development will be triggered. 9. Personal Record Management The personal record management function is focused on a mechanism to put in order all public sector human resource personnel records. This feature puts the responsibility of updating personal records on each individual. This process involves activities such as updating personal details, information on family, health, education, language skills, declaration of assets and awards. 10. Employee Communication and Behavioral The final function is the employee communication and discipline management. Its philosophy is to create a conduciveworking environment between the management and employees. At the same time, this function can improve cooperation as well as promote harmonious employeremployee relations through the provision of reporting, monitoring and resolution of human resource issues.

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SECTION FOUR IT SUPPORTS EACH OF THOSE COMPONENTS

4.0

Introduction

The Human Resource Management Information System (HRMIS) has been developed through extensive research on the best practices of human resource management by world renowned organizations as well as human resource management trends of the 21st century. This section will emphasize on the IT supports to each of those components or functions in HRMIS.

Figure 3. HRMIS Main Menu Interface

4.1

IT Support

Some activities supported by IT are the following:

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4.1.1 Personal Record Management

1. Personal Record 2. Asset Declaration 3. Service Profile

This component stores basic information of officers such as personal particulars, family particulars, language proficiency, academic qualifications, driving license, bank account number, work experience prior to joining the public service and awards received. In addition, this component stores information on service profile and asset declaration.

4.1.2 Competency Assessment

1. Competency Assessment 2. Service Examination 3. Efficiency Level Assessment

This component records and analyses the competency levels of individuals or teams. Officers or the management will be able to identify the competency gap between requirements of the position and the competency of the officer. Action can then be taken to address the gap through the Development Component. Information on competency can also be used in the Human Resourcing Component for purposes of recruitment, placement and promotion. This component also allows officers to carry out activities related to examination such as processing of applications, scheduling of examinations, recording of assessment results and updating of examination results.

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4.1.3 Career Management

1. Career Path 2. Career Path Assessment 3. Succession Plan 4. Career Plan This component facilitates the managements succession planning for strategic positions. In addition, officers can plan their career development either on their own or with the advice of career consultants at the agency level.

4.1.4 Performance Management

1. Performance Management 2. Confirmation in Service

This component enables officers to set their annual work targets in line with organizational goals, as well as to generate annual performance evaluation reports. Through this process, supervisors or the management will be able to link performance with career development, development requirements and selection of award recipients for excellent service within the organization.

4.1.5 Resources

1. Develop Resourcing Action Plan 2. Acquisition of Competency Owner 3. Reassignment of Competency Owner 4. Preparation of Competency Owner for Assignment 5. Secondment 6. Promotion

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This component identifies short-term human resource requirements, applications for positions and filling of vacancies through the process of recruitment, transfer and secondment. It also aims to ensure that every officer placed in a certain location is ready to perform the prescribed duties.

4.1.6 Strategy Formulation and Review

1. Develop Tactical Activity 2. Formulate HR Strategy 3. Formulate Policies and Procedures 4. Evaluation of Strategy Effectiveness 5. Long Term Manpower Planning 6. Assess Utilization of Manpower 7. Job Evaluation 8. Organizational Development 9. Develop Position Norms

This component helps human resource managers in formulating and evaluating the effectiveness of the organizations human resource policies, procedures and strategies for continuous improvement. It is also useful for longterm manpower planning, organizational development, tactical planning, and storage of information on employment norms, task assessment processes and assessment of manpower use.

4.1.7 Development

1. Study 2. Competency Development Program

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This component prepares competency development programmes for officers in line with organizational goals, and enables officers and supervisors to apply to attend the relevant competency development programmes. Additionally, officers will be able to apply for short- and long-term in-service training (diploma, masters, PhD), either with or without scholarships.

4.1.8 Employee Communications and Behavioral Management

1. Disciplinary 2. Counseling 3. Management Employee Relations

This component enhances cooperation and harmonious relations between the management and employees through the process of reporting, monitoring and resolution of issues. Moreover, this component makes it possible to manage counseling and employee disciplinary activities.

4.1.9 Remuneration, Benefit and Rewards

1. Bonus 2. Claim 3. Leave 4. Loan 5. Medical 6. Payroll 7. Remuneration

This component helps administer remuneration records of officers for preparing salaries following placements, leave (half pay, no pay), promotion, competency level evaluation and change of service scheme. In addition, it

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administers the records of benefits enjoyed by the officers such as loans, medical benefit, claims and personal advances, scholarships and annual allowances.

4.1.10 Separation

1. Security 2. Workflow

This component provides a comprehensive process to manage the exit of officers from government service through compulsory retirement, early retirement, resignation, death, dismissal, and so on. It also enables officers to prepare task handover notes and exit interviews before leaving the service.

4.2

HRMIS Application Features

The HRMIS application features can be described as follows:

4.2.1 Process-driven

Public sector human resource management is driven by the built-in applications of HRMIS. This means that the updating of data in the HRMIS database is done directly through ongoing transaction processes.

4.2.2 Inter-Relationship of Three Data Components

The use of data in HRMIS is based on three components comprising personal data, establishment data and transaction data. Each of the human resource management processes utilizes both the establishment data and personal data as the basis for carrying out a transaction. The updating of the database is based on these transactions.

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4.2.3 Self-Service Facilities

Through the self-service facilities available, officers will be able to do the following:

1. Update personal records 2. Apply for and check annual leave 3. Submit claims 4. Monitor work performance 5. Apply for appropriate courses 6. Conduct competency assessment 7. Apply for transfer 8. Apply for counseling

4.2.4 Web-Based

The HRMIS is a web-based application and can be accessed via the internet. However, government security policy requires all applications under the Electronic Government Project to use the EG*Net network.

4.2.5 Integration of Human Resource Functions

The human resource management functions have been integrated to take advantage of the concept of single entry, multiple users so that data and information from a component can be used by other components.

4.2.6 Knowledge-Sharing

The human resource management policies enforced through circulars and regulations are stored in the Web Publishing and Knowledge Base sub-

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components and can be shared by users to increase their knowledge and skills regarding the policies as well as to keep abreast of current developments.

4.2.7 In-Built Human Resource Business Policies and Regulations

The human resource management business policies and regulations are incorporated in the HRMIS application. Its advantages are as follows:

1. Verification process is performed at point of entry 2. Automatic checking of qualification of officers 3. Reduced recurring reviews by human resource managers and administrators

4.2.8 Security and Workflow

The HRMIS application design and technical architecture assure the integrity of information and security access, where upon any additions, amendments or repeals of data cannot be done without the permission of the authorizing party. In addition, human resource management processes are simplified by the setting up of workflow according to the roles and responsibilities of the officers.

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SECTION FIVE IMPROVEMENTS IN THE EXISTING CHANNEL SYSTEM

5.0

Introduction

The products developed in HRMIS application are based on the Public Sector Human Resource Management To-Be Model formulated for use by all agencies. There are ten key functions of public sector human resource management. Each function is implemented based on the set philosophy which will ensure that human resource management is more efficient, relevant and responsive to current challenges. This section provides recommendations to improve the situation of HR systems in the PSD.

5.1

Recommendations

5.1.1 HR Organizational Strategy and Planning

In order to improve the area of HR Organizational Strategy and Planning, it is recommended that:

1. The HR Managers should conduct a follow-up assessment to establish how organizational design practices in departments have improved since the introduction of the HRMIS.

2. Executive Authority must ensure that their departments implement the Directives on HR Planning issued by the Malaysia Administrative Modernization and Management Planning Unit (MAMPU) and submit the necessary six-monthly reports in this regard. 3. Departments should update PERSAL (Personal and Salary System) information to ensure proper information systems and proper record

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management. Head of Departments and HR Managers should sign a formal declaration once a year certifying that their departments information is valid and reliable. 4. Meeting disability and gender targets must be cascaded down to each component in departments and must receive special focus during the evaluation processes of all Senior Management Service members on an annual basis.

5.1.2 HR Practices

In order to improve the area of HR Practices, it is recommended that:

1. Departments should develop detailed and clear recruitment and selection policies and ensure that those policies are approved in order to avoid haphazard recruitment practices. To this end departments should utilize the PSDs Recruitment and Selection Toolkit which provides clear guidelines on how to develop such policies.

2. Departments should have clearly spelt out delegations to approve the advertising of posts as well as the appointment of persons to posts; these should be made available to all managers. Human resource components should monitor adherence to these delegations at all times. 3. Departments should priorities and properly manage record keeping of all recruitment and selection processes. These should include job evaluation results, job descriptions, proof of HR delegations, copies of submissions approving appointments and copies of the appointment letters. 4. Job hopping should be restricted by utilizing regulatory measures where employees have to work a certain number of years in one level, before they

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can apply for promotion to a different position within or in a different department.

5.1.3 HR Utilization and Development

In order to improve the area of HR Utilization and Development, it is recommended that:

1. Training courses provided to employees should address training needs of employees and these should be relevant to the skills requirements of the departments.

2. Departments should give special focus to People Management and Empowerment. There should be clear objectives and measures in the performance contracts of all managers with employees reporting to them. This should be stringently monitored during the mid-term and annual reviews.

5.3

Summary

The HRMIS project is a government initiative to ensure that human resource management in the public sector is able to produce skilled, trained and motivated workers. HRMIS is not only a human resource application system, but also a new, comprehensive and integrated approach in the management of public sector human resource. It has been successfully developed and is currently implemented throughout the Malaysian public service. The development of HRMIS project is in line with the efforts and goals of human resource management, which is to become a leader in the management of human resource to achieve the governments vision. The expansion of HRMIS implementation faces several constraints including network, human resources, skills, user attitude and equipment. The strategy that has been put in place has, to a certain extent, alleviated some of these constraints. Further efforts

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have also been made to address and resolve these constraints. The implementation of other components will be continued in stages depending on the state of readiness and planning of the agencies concerned. The aspect of internal expertise at the agency level is given priority to ensure the success of HRMIS implementation. In any event, the cooperation and commitment of all parties are crucial to ensure the success of the project. As such, all heads of departments need to put greater emphasis on the aspects of information and the change of the users mindset.

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SECTION SIX HRMIS ARCHITECTURE

6.0

The Establishment of HRMIS

The Multimedia Super Corridor (MSC) is an initiative by the government to shift the nation into a knowledge- and information-based economy to ensure that the nation remains competitive and resilient. In this context, the development of Electronic government for national development was initiated in the 7th Malaysia Plan (7MP) and continued in the subsequent Malaysia Plans. This decision is seen as a wise move as in 1996, the world underwent an economic crisis, the effects of which were also felt by our country. To realize the implementation of the MSC, the government established the International Advisory Panel consisting of 25 personalities among business leaders, policy-makers and academics in the ICT world. The main function of this panel is to provide ideas and recommendations to the government on the development and implementation of the MSC. Accordingly, the government launched the Concept Request for Proposal (CRFP) for 15 pilot projects in the MSC flagship applications on 26 July 1997. Among the pilot projects identified was the Human Resource Management Information System (HRMIS). This is an integrated system, facilitated by technology that combines the best practices of global human resource management. MRCB Multimedia Consortium Sdn. Bhd. (MMCSB) was selected by the government to develop and implement the HRMIS project. On 1 April 1999, a signing ceremony was held between the government and MMCSB with the Chief Secretary to the Government, Tan Sri Abdul Halim bin Ali, representing the Malaysian Government and Dato Khalid bin Haji Ahmad representing MMCSB. The ceremony was witnessed by the Minister of Energy, Communications and Multimedia, Datuk Leo Moggie. At the ceremony, Tan Sri Abdul Halim said that for the first time ever, the HRMIS would link all government agencies electronically, so that human resource information at the

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grassroots could be easily channeled to the higher levels such as the agency headquarters, Ministries, State Secretary Offices and the PSD . MMCSB, as the project implementer, is a consortium of 18 local companies led by Malaysian Resources Corporation Berhad. The other companies are as follows:

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17.

Accurate Network and Systems Integration Berhad BSN Information Technology and Services Sdn. Bhd. CS Technologies Sdn. Bhd. Digiera Sdn. Bhd. Edaran Computer Sdn. Bhd. Hijau Inovasi Teknologi Sdn. Bhd. Irshad Consulting Sdn. Bhd. Leapfrog Technologies Sdn. Bhd. Mark System Sdn. Bhd. Mobile Computing System Sdn. Bhd. New Technology Innovation Sdn. Bhd. Orienasli Holding Sdn. Bhd. Origin Technology Sdn. Bhd. Quantum Parallel (M) Sdn. Bhd. Sepakat Computer Consultant Sdn. Bhd. Berita Information Systems Sdn. Bhd. Sistem Televisyen Malaysia Berhad

The responsibilities of the companies in the development of HRMIS include project management, process improvement, change management, system development, installation management, training and education, as well as operations and support services. According to the original HRMIS agreement, the first phase of the project began on 12 April 1999 and was scheduled to complete in the 24 th month or 11 April 2001. The second phase was scheduled to start immediately after that and completed on the 42nd month or 11 October 2002. However, the period was extended owing to three changes.

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The first change was caused by the necessity of extending the period for the business improvement process (BIP), which resulted in the first phase being extended till the 38th month or 11 June 2002, and the date of completion for the second phase extended to the 59th month or 11 March 2004. The second change involved the milestone deliverables from management and operation into 4 packages. The third change entailed the closure of the first phase in 2004. As stipulated in the contract between the government and the consultant, RM99.89 million was allocated for the development of HRMIS. Of this amount, 58.4 per cent was allocated for hardware and software, and the rest for services and the development of applications. On 17 September 1999, the Government announced to public sector agencies the implementation of HRMIS application. All agencies were advised not to continue with any effort to develop other Human Resource Management System to avoid redundancy and duplication of systems.

6.1

Why HRMIS is Needed

Before the government arrived at the decision to develop the HRMIS, many studies had been conducted to identify the best practices and use of ICT as an enabler to improve public sector human resource management. As such, the implementation of the HRMIS takes into account the following factors:

6.1.1 Optimal Use of Technology

Through the development of HRMIS, the government can optimize existing ICT infrastructure by automating human resource management in a standardized and comprehensive manner, without being confined to any particular function. The HRMIS has incorporated the entire process of human resource management from strategic planning, recruitment, placement, promotion and separation.

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6.1.2 Continuous Monitoring of Human Resource Management Policies

The use of a standard system in all public sector agencies will facilitate the monitoring of human resource management policy implementation on a continuous basis. Current and policy-making processes. Consequently, the improvement process of human resource policies can be carried out effectively and continuously.

6.1.3 Intra- and Inter-Agency Information Sharing

The Malaysian public sector human resource management has various levels in its organizational structure, with a large number of agencies and varying jurisdictions among the agencies. In this context, the human resource process usually involves a chain of authority at the various levels and agencies. An example is the exchange of officers between agencies, which entails both placement and management of salaries. Information sharing via the system will help avoid repeating the process of recording and this makes for a more efficient and effective management of human resources. The HRMIS allows online sharing of human resource management information among federal agencies and other agencies. Its use also facilitates the process of analyzing information and ensuring that work distribution among civil servants in terms of planning, strategy and operations is consistent.

6.1.4 Performance of Civil Servants

With HRMIS, the performance of civil servants can be measured against the goals and targets set by the key performance indicators (KPIs) agreed upon by the head of department or agency, and individual performance can be monitored and assessed in line with the agencys objectives and goals.

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6.2

Benefits of HRMIS Application

The benefits of the HRMIS application can be viewed from the perspective of the organization, human resource management and employees. The benefits to the organization are summarized as follows:

1. Human resource activities will be carried out more easily and simply with a real time and online human resource information system. 2. Uniform human resource policies and procedures as well as the consolidation of human resource information in the centralized data bank will facilitate the use of this system by all agencies. 3. Productivity will be enhanced through faster processing, better work environment, reduction of errors and work overlap, simple operating system and automation of certain activities. 4. An integrated human resource information system allows the sharing of information in a quick and accurate manner, and better communication among the agencies involved. 5. Less productive human resource activities can be reduced and more attention can be given to more productive work such as analyzing and planning work which will subsequently improve decision-making, implementation and monitoring.

The benefits to human resource management include:

1. Integration of the overall human resource functions provides for integrated, accurate, fast and reliable human resource information. 2. Human resource management is simplified through the use of technology. 3. Increased productivity through greater automation of certain human resource processes. 4. Utilization of uniform human resource policies and procedures.

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5. The human resource management functions of the HRMIS application take into account process improvement elements and workflow to enable human resource managers to play a more strategic role. 6. Processing time, particularly of operational functions, becomes faster and more efficient through the use of the latest ICT. 7. Basic information on human resource management such as service schemes, policies, circulars and guidelines that are consistent will ensure uniform human resource management implementation. 8. Centralized collection of information will facilitate analysis and generation of statistical reports relating to human resource management.

The benefits to the employees include:

1. Facilitation of communication between employers and employees. 2. Entry of basic information and service profiles of personnel need not be repeated. 3. Reduced manual and overlapping activities. 4. Users will be able to check the status of each transaction made through the HRMIS application. 5. Increased satisfaction, motivation and productivity. 6. User-friendly and flexible system.

6.3

Project Organization

The HRMIS project was launched on 12 April 1999. The PSD, as the lead agency, set up a HRMIS Project Management Office, which not only formed a team responsible for the seven major components of the project, but also acted as a mirror organization to the team of consultants. Its main objective was to ensure the effective transfer of technology from the suppliers to the Government. The main components of the project were Process Improvement, Change Management, Training and Education Management, System Development, Installation Management and Project Management Office. The

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organizational structure of the consultants is shown in Figure 4, while the Government team is shown in Figure 5.

Figure 4. HRMIS Project Organizational Structure, 1999

Figure 5. Government HRMIS Project Team Organizational Structure, 2001-2007

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6.4

HRMIS Project Work Scope

The development of HRMIS application determines the direction and design of the application system that to be developed. The HRMIS framework is described in Figure 6.

Figure 6. HRMIS Framework

Technical architecture is the technical guidelines for the development and installation of the HRMIS. It includes the application system and data centre development to support the implementation of HRMIS. The HRMIS Technical Architecture Concept includes:

1. Microsoft Distributed Internet Architecture 2. N-tier Architecture 3. Online Transaction Processing Information Flow 4. Online Analytical Processing Information Flow Enterprise Database Architecture 5. Infrastructure Architecture

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The government approved the concept on 27 October 2000. Following the approval of the Systems Development - Architecture Report on 19 July 2001, the fully completed technical architecture report was adopted. The main features of the technical architecture design are shown in Figure 7.

Figure 7. HRMIS Technical Architecture

The main features of the proposed technical design underwent a series of discussions with the Government HRMIS Project Team before they were accepted. This is to ensure that the technical infrastructure of HRMIS would be able to support a worldclass system as described in the HR To-Be Detailed Design Report. The rationale to this is that HRMIS would be the only public sector human resource management system to be used throughout the country with users numbering over one million in 720 agencies. This gives an idea of the high access volume at any one time when human resource processes are fully operated online.

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6.5

Database Development

Enterprise Database Architecture, which consists of three main components, was adopted to support information gathering and the public sector human resource business transaction. 1. Online Transaction Processing (OLTP) Consists of a data enterprise collection centre supports the human resource business operations. 2. Online Analytical Processing (OLAP) Consists of data marts and data warehouses, supports business intelligence. 3. Operational Data Store (ODS) Consists of infinite universal data repository that supports data management, data quality assurance and data production, either transmitted to other systems or received from other sources.

The relationship between the three components is shown in Figure 8.

Figure 8. Enterprise Database Architecture

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Since the HRMIS implementation, its database engine has undergone changes in line with technological changes from SQL Server 7.0 to Microsoft SQL Server 2000, then followed by Microsoft SQL 2003, as in line with changes in the operating software from Windows NT to Windows 2000, then Windows 2003. The technology change is shown in Figure 9, with a comparison of operating software shown in Figure 10.

Figure 9. Operating Systems and Database Engines Technological Changes

Figure 10. Technology Changes of Operating Software

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6.6

Data Conversion

Data Conversion Tools (DC tools) is part of the HRMIS system development activities. It was developed to facilitate and expedite the updating of data in the HRMIS database through the conversion of existing digital data in any legacy system into the HRMIS application. DC tools contain a collection of computer programmes for digital data reading from a specified format or legacy database system of an agency, which converts data automatically from the database of a legacy system into the HRMIS database. Data conversion activities using DC tools were implemented in 2001 through the preparation activity of HRMIS base data on ten pilot agencies. The development of DC tools started in 2000, with the latest version being DC Tools V3.3. Improvement of the DC tools is consistent with Data Conversion strategies. The Data Conversion strategy is illustrated in Figure 11.

Figure 11. Data Conversion Strategy

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The principal activities of Data Conversion using DC tools are:

1. HRMIS base data entry (BU-BA-AP), which consists of organizational activity (BA), organizational unit (BU), actual position (AP) and competency owners. This activity allows an officer to login into HRMIS using the identity card number as identification. 2. Conversion of Department Personnel Management System (SISPEN) and Personnel Information System (SISMAP) into the HRMIS database. 3. Conversion of remuneration information from the Accountant Generals Department (AG), which contains payroll information of competency owners such as salary grade, salary points, salary number, basic salary, allowances and salary deductions for the implementation of Salary and Remuneration Management Module in the HRMIS database. 4. Conversion of Annual Performance Evaluation Report scores. 5. Conversion of personal information, service profile and service history from the common system in the PSD. 6. Entry of 13 items of basic information of officers from the National Registration Department (NRD) into the HRMIS database.

The HRMIS Data Conversion procedure encompasses the following:

1. Developing a conversion programme in the DC Tools based on the legacy system to be converted. 2. Copying data from legacy systems such as SISMAP, Personnel System (SISJAW), SISPEN, etc. 3. Performing data cleaning on the legacy system, if required. 4. Implementing the conversion of data into a staging database using DC Tools. 5. Performing reviews and verification of data in the staging database using DC Tools to ensure the integrity of the converted data.

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6. Executing and processing data in the staging database into the HRMIS database using DC Tools. 7. Generating reports before and after conversion to ensure that data has been successfully converted. 8. Checking the validity of data that has been converted into the HRMIS database.

6.7

HRMIS Integration With Legacy System

The development of integration tools is one of the scopes identified in the development of the HRMIS project. Activities that need to be carried out include:

1. Conducting a study on the legacy system 2. Identifying the flow of information 3. Identifying the requirements of information integration 4. Recommending the method of integration 5. Preparing Data Conversion scripts for integration purpose 6. Conducting integration tests 7. Carrying out parallel execution 8. Implementing a full integration

According to the HRMIS Agreement Contract, the systems identified for integration with the HRMIS application include the following:

1. Payroll System & Planning and Budget Control System (eSPKB) 2. Training System (SILA) 3. Pension System (POWER) 4. Personnel System (SISPEN) 5. Employment System (SISJAW) 6. Attendance System (WBB ) 7. Recognition System (SISRAF)

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8. Housing Loan System 9. National Registration System 10. Royal Malaysian Police (PDRM) Personnel System 11. Malaysian Arm Force (ATM) Personnel System 12. Labor Market Information System (LMIS) 13. Legacy system relating to the Malaysian Public Service Commission 14. Legacy system relating to the Employees Provident Fund (KWSP) 15. Legacy system relating to Social Security Organization (PERKESO) 16. Legacy system relating to the Inland Revenue Board (LHDN) 17. Legacy system relating to INTAN 18. Legacy system relating to public institutes of higher learning (IPTA)

The project was extended to include the development of integrated applications in the agencies identified. Of the 38 legacy systems identified, 17 were dropped, and five other legacy systems were included to make a total of 26 interface integrated applications to be developed to establish an information sharing mechanism between HRMIS and legacy systems. This allows the human resource processes and transactions involving both applications to be continued and completed. The list of legacy systems that require integration with HRMIS is shown in Figure 12.

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Figure 12. HRMIS Integration with Legacy System Infrastructure

The HRMIS Integration Development with legacy systems is based on the Cross Flagship Integration (CFI) framework developed by the Multimedia Development Corporation (MDC). It fulfils the standards and specifications for data integration such as the guidelines set forth in the Malaysian Government Interoperability Framework (MyGIF) documents issued by MAMPU. The HRMIS integration infrastructure with legacy systems that was developed is shown in Figure 13.

Figure 13. HRMIS Integration with Legacy System Infrastructure

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6.8

HRMIS Reporting Facility

The HRMIS provides four types of reporting facilities to help the user manage human resource information such as operational reports, statistical reports, SQL reporting and Executive Information System (EIS) and Decision Support System (DSS). Operational report is available in each module to monitor the status of the transaction process of human resource management. Statistical report consists of 52 types of reports which are commonly used by human resource managers and senior management for decision-making activities on human resource management policies. The format for both types of reports is fixed during the user requirement study. The EIS and DSS are the most powerful modules or business intelligence which provides facilities for the extraction of human resource information stored in the HRMIS database. The EIS allows the dynamic extraction of information according to the perspective of the user, fast and at any time. Information can be released from the macro level statistical report, and then further refined to micro level statistics, right to the specific record specifically through the drill down facilities provided. The HRMIS DSS, on the other hand, provides facilities to make what if analysis to assist the decisionmaking process. It also allows the user to monitor the status of human resource management perspective, whether it is in the green (control), yellow (standby) or red (requires immediate action) through the dashboard display provided. To meet the information needs on public sector human resource, a total of 1412 measurements with 302 dimensions or information perspectives have been developed involving 71 cubes, technically referred as the multi-dimensional database. With this facility, the management of agencies will no longer faces problems in obtaining human resource information whenever it is required. It does not only help human resource managers in effective decision-making, but also enables action to be taken immediately. To expand the use of the EIS/DSS sub-module at the agency level, the HRMIS warehousing data model as shown in Figure 14 was adopted.

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Figure 14. HRMIS Data Warehousing Model

6.9

Roles and Responsibilities Public Service Department (PSD) In expanding HRMIS, the PSD as the public sector human resource manager is responsible at the federal level for the following matters:

1. Formulation of policies on the HRMIS implementation. 2. Planning, monitoring and coordinating the HRMIS implementation/ 3. Coordination of the minimum requirements of hardware, software and connectivity to begin HRMIS implementation at the Ministry and State Secretary Administrations based on the report on requirements identified by the agency. 4. Ensuring smooth operation of the HRMIS application. 5. Providing technical advisory services such as preparation of base data, data conversion and integration with legacy systems (if necessary). 6. Providing Level 1 HRMIS Helpdesk services to address HRMIS application issues. 7. Organizing training in the use of HRMIS application. 8. Ensuring technology transfer activities in the HRMIS implementation were carried out effectively to enable the Ministry and State Secretary Administrations to continue with HRMIS implementation at their respective agencies. 9. Coordinating human resource management new requirement that involves process improvement and HRMIS applications.

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6.10

Conclusion

To enhance human resource management, the PSD has utilized the potential of information technology in ensuring the successful development of an Electronic Government flagship application. Accordingly, in line with its slogan, Public Service Leader, the PSD was entrusted as the lead agency to spearhead the implementation of the HRMIS. The HRMIS, which encompasses the whole of the human resource management process from appointment to retirement, has enhanced the quality of the public sector. The system is not merely a human resource application; more importantly, it is a new approach in human resource management that is more comprehensive and integrated to overcome the many challenges of public sector management. In line with current trends and the demands of the new millennium, the HRMIS has become a platform for sharing information faster and improving communication among agencies. At the same time, this automated process allows more attention to be given to more productive tasks, such as analyzing and planning work, which ultimately helps to improve decision-making, implementation and monitoring processes. In addition to automating human resource processes and creating a paperless environment, this application has also linked all Government agencies electronically so that personnel information from the lower ranks can easily be retrieved by higher level agencies, such as the Ministries, State Secretary Administrations and the PSD. Through the facilitation of communication and horizontal integration, the project has made available the Public Sector Human Resource Management National Database. The HRMIS is not merely an application, but also HR To-Be. It is therefore important to ensure that any new ideas to be brought forward should be in line with the framework of HR To-Be to avoid conflict of approaches that would cause confusion to the agencies and adversely affect the fundamental goals of human resource management. The aspect of internal expertise at the agency level was also given priority for the successful implementation of the HRMIS. It is an important fact that the cooperation and commitment of all parties are crucial in ensuring the success of HRMIS implementation. Without the strategic alliance between the government and consultants, or the change of

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mindset and way of working among the civil servants, the implementation of this application would not have made any headway. Despite the many challenges and constraints, the HRMIS application has successfully been expanded to all the government agencies. The planned strategy has been successful in addressing issues that arose from time to time and continuing efforts are still underway to ensure that all issues are addressed and resolved as soon as possible. After ten years of its development, the HRMIS has triggered a change in mindset and transformation of the public sector human resource management. This transformation is essential in realizing the goal of human resource management to become the leader in realizing the governments vision, and ultimately achieve the target of the national mission in creating comprehensive, efficient and effective human resource information management. Thus, the HRMIS is the catalyst for more structured mobilization of the administrative machinery of the Government as well as the starting point in the modernization of public sector human resource management of the 21st century.

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REFERENCES

http://en.wikipedia.org/wiki/Human_resource_management_system http://www.jpa.gov.my/ Maier, C., Laumer, S., Eckhardt, A. & Weitzel, T. (2013). Analyzing the impact of HRIS implementations on HR personnels job satisfaction and turnover intention . The Journal of Strategic Information Systems, 22 (3), 193207. Turban, E. & Volonino, L. (2010). Information Technology for Management. 8th Edition. International Student version: Wiley. Online at www.wiley.com/go/global/turban