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LNN GROUP
MAN POWER SUPPLY
COMPANY PROFILE
CONTENTS
1. Company Policy and Objective
2. Company profile
3. LNN Group of Companies
4. Profile of Key Personnel
5. What is the Competitive Edge in Human Capital Operation
6. Benefits of Outsource Employees
7. Rules and regulations
8. Time Frame
POLICY & OBJECTIVE
To be a LEADER in Outsource Management
To create a NEW CONCEPT of using the core business as a bridge to move towards manufacturing business
Objective:
Target:
Policy: LINKING NEW NETWORK
Return to Contents
COMPANY’S PROFILE
Established: October 2000
Located 3C, Tingkat 3, Plaza MPK, Jalan Pos Baru, 41300 Klang, Selangor Darul Ehsan
No. of Employees 800 workers
Paid up capital RM550,000 ordinary share of RM1.00 each
Core business Outsourcing Agent (Local and Foreign)
Managing Director Mr. Ng Cheng Ho
Company Secretary Miss Lim Puay Chuan
Micro Management Services Sdn Bhd
Return to Contents
LNN Group of Companies
LOCALCONTENT
AGENSI PEKERJAAN LNN
LNN TRADE WIND
LNN SYSTEM
RESOURCES RESOURCESRESOURCES
LNN GROUP
SPECIALIZATION
• Recruitment and
documentation
• Electronics
• Home appliances
• Services
• Automotive
NADA PERSADA
RESOURCES
LOCALCONTENT
LOCALCONTENT
FOREIGNCONTENT
• Factory worker
•Service industry
LNN Group of Companies
Total number of employee:
0
200
400
600
800
1000
1200
2002 2003 2004 2005 2006 2007 2008
Workers
Return to Contents
Profile of Key Personnel
Ng Cheng Ho• Managing Director of LNN Group of Company • Co-founder of LNN Group• 12 years experience in labour supply line
Ng Lay Leng
• Marketing Division Director
• Founder of LNN Group
• 17 years experience in labour supply line
Profile of Key Personnel (Con’t)
Lee Shian Li
• Business Development and Planning of LNN Group
• 5 years experience in Corporate Finance with one of the listed
company in Malaysia
• 3 years experience in outsourcing Company and build up the
automotive industry network for LNN System Sdn Bhd
Profile of Key Personnel (Con’t)
Darren Chong Shook Fui
• Business Adviser of LNN Group
• more then 5 years experience in retail and manufacturing local
and overseas business.
• Human Resource Training and development
Profile of Key Personnel (Con’t)
Raja Ahzian
• HR Coordinator of LNN Group
• 31 years HR experience with Multinational Company
• Currently in charge of Company’s administrative procedure and
interview candidates
Profile of Key Personnel (Con’t)
Ong Soo Yeak
• Head Supervisor of the Group
• more then 10 years experience with Multinational Company as
production planner
• Expert in planning and set up the factory procedure for factory
workers
Return to Contents
Group Financial Highlight
02000400060008000
100001200014000160001800020000
2003 2004 2005 2006 2007*
Revenue RM ('000)
• The decrease of the revenue from 2007 compare with 2006 is due to decrease the order/requisition
from the existing Company which affect by economy slow down. Return to Contents
Company History
LNN Trade Wind (9/1999)
LNN Trade Wind Sdn Bhd (10/2000)
Agensi Pekerjaan LNN Sdn Bhd (9/2003)
LNN System Sdn Bhd (4/2005)
Nada Persada Sdn Bhd (7/2006)
LNN Group of Companies
Corporate Clients from 2000 till up to date Panasonic HA Air-Conditioning (M) Sdn Bhd
Panasonic AVC Networks Kuala Lumpur Sdn Bhd
Matsushita Compressor and Motor Sdn Bhd
Matsushita Electronic Motor (M) Sdn Bhd (SP-Kedah)
Matsushita Display Device Malaysia Sdn Bhd
Matsushita Industrial Corpn Sdn Bhd
Sony Technology (M) Sdn Bhd
PHN Industry Sdn Bhd (Automotive Industry)
Maxell Electronic (M) Sdn Bhd
Flextronic Technology (Shah Alam) Sdn Bhd
Magnificient Diagraph Sdn Bhd (Carrefour Malaysia)
Sanden Air Conditioning Sdn Bhd
Autem Sdn Bhd
What is the Competitive Edge in Human Capital Operation
Attendance
Benefits
Retaining
Customers’ needs
What is the Competitive Edge in Human Capital Operation
Attendance Review LNN
Transport Control Transport / focus Provide transport to workers
Location Location constraints Provide accommodation within the factory areas
Commitment Frequent staying away due to family commitment
Our workers are from different states, e.g. Sabah, Sarawak, etc
What is the Competitive Edge in Human Capital Operation
Retaining Review LNN
Administration flaws
Due to administrative flaws
e.g. Salary not in time, lack of communication, accommodation not conducive
Salary according to the agreement with our staff
Management Office near to factory
Salary inequality
Salary inequality
-No standard salary
-Based on discretion
Salary according to agreement
No favoritism on gender discrimination
Return to Contents
Benefit of Outsource Employee
Company LNN
Human Capital No able to adhere to human capital requirement
e.g. EPF, Socso, etc
LNN pays to all employees after 6 months duration
Allowance Not all competitors pay the attendance allowance
Attendance allowances incentive to workers
Return to Contents
Customers Needs
Problem LNN Service
Attendance HR are busy due to inability e.g. Attendance, discipline and etc
Provide supervisors without cost incur to the Company
Discipline Customers’ needs are not capture pm regular basic
Our supervisors also act as coordinator between the company and the staff
Coordination Attendance flaws create downtime
Buffer system
Immediate replacement, terms required
Benefits of Men and Women
in our Employment
Medical treatment
EPF and SOCSO
Free transport
Uniforms andsafety shoes
Accommodation
Basic salary (attendance+
allowance)
Benefit of Outsource Workers
Comparison of permanent and contract workers
(Local worker)
No. Particulars
Permanent workers
Casual
worker
1. Salary RM 550/month RM ??/ per day
2. Overtime work (%) 1.5 1.5
3. Bonus (assumption) 2 months - Nil -
4. EPF 12% - Nil -
5. SOCSO 1.5% - Nil -
6. Personal insurance - Nil - - Nil -
7. Medical checking - Nil - - Nil -
8. Medical benefit Yes - Nil -
9. Accommodation (estimate) RM 80/month - Nil -
10. Transportation (estimate) RM 125/month - Nil -
11. Worker replacement period 2 weeks - Nil -
12. Production cost planning - No - Efficiency
Advantages of the Casual Workers
1. More cost effective – can be adjusted according to production plan
2. Supporting the production with a much effective and efficient ways of recruitment
3. Company management is free from tedious works i.e. payroll, management of the workers, long term workers benefit plan and etc.
Rules and Regulations
Company Procedures
and
System Implement in the Factory
Return to Contents
Supervisor responsibility
Overseeing the operation of contract workers
Monitor the daily attendance and report to HR Department
Monitor workers’ discipline in the factory
Attend meeting with production/ HR Department as and when needed
Liaise with line leader on workers’ situation in line
Weekly report to the company manager
Return to Contents
Recruitment System
• Recruitment
1. Fill in application form and brief interview in LNN office
2. Successful candidates will be given a short briefing on rules and
regulations of the company and salary
3. Application form will be sent to factory for comments and short listing.
4. Short listed candidates will be sent to factory for interview
5. Successful candidates will be sent for urine test and one day training
Operation System (Factory)
• Arrangement
Supervisor – LNN(full time in factory)
Manager (Office)
Leader LNN
Line A
Leader LNN
Line B
Leader LNN
Line C
Buffer System
Stand by buffer to replace worker absent/ MC
number of buffer depend on the average attendance
percentage (estimate 3-4%)
Immediate replacement of worker into line
Monthly report will be sent to HR Department for
verification
Return to Contents
Training System
Successful candidates will be sent for urine test
Workers will be given uniform and safety equipments
General training on the safety rules and regulations
will be conducted by the supervisor
Workers are required to undergo the training for 2
days before reporting for duty
Return to Contents
Time Frame for Local workers
Day 1 Day 2 Day 5 & 6Day 3 Day 4
Order from HR
Interview in Factory
Recruitment Time Frame
On going interview in office
Urine test & Training
Time Frame for Foreign workers
1 week 1 week 2 weeks1 week 2 weeks
Confirm from Co.
Interview and selection
Applying and buying of calling visa
Foreign agent to prepare passport
and medical report
Recruitment Time Frame
Touch down of foreign workers
Receiving the calling visa and VDR
2 weeks
Return to Contents