Bridging Strategy and Daily Operations: HR’s Modern Challenge

We’ve seen that you’ve worked across manufacturing and oil and gas industries. How do you balance strategic HR initiatives with day-to-day operations?

Strategic HR initiatives often fall into the category of important but not urgent tasks. These include creating policies and driving HR transformation projects. We typically plan these initiatives for the second quarter because, although not urgent, they are crucial for the organisation’s success. Our focus is on developing policies that align with the company’s core values and organising employee engagement activities to boost productivity, enhance the work culture, and reinforce those values.

Do you believe that employee engagement programs truly help reduce attrition rates?

Absolutely. We recently conducted an employee opinion survey and discovered recognition issues at the junior and mid-levels. To address this, we implemented a mandatory recognition program with a set budget that includes certificates and public acknowledgment. We launched award nights where every department head must recognise one employee from their team each month, resulting in 200-300 employees being acknowledged across the company monthly.

We promote these recognitions through our internal network and a closed social media group with around 1,200 employees. We also send mass emails announcing the best employee of the month, the quarter, and the top managers. Displaying their names on notice boards further inspires others. Recognised employees are given additional consideration for promotions, which motivates and helps retain talent.

Retaining young talent, especially through campus hiring, is a challenge for many organisations. New hires often explore their work environment and then move on within a year or two. How do you address this?

The key is having a structured training program and a career development plan ready from day one. For instance, we train graduate trainees in operations and maintenance for about three months. If a shift in-charge role becomes available, we promote them, which is usually two to three levels above their initial grade. This allows them to manage one shift within a division, with an appropriate increase in pay.

The real challenge comes when there is no clear path for upward mobility. Without promotions, employees often look for opportunities elsewhere. Industry competition is another factor; while there’s significant growth in the steel sector, our average tenure is around 10 years, with approximately 85% of employees having been with us for at least a decade. However, graduate trainees are more prone to leave, seeking better opportunities in the market.

In an industry known for its demanding environment, such as MSP Steel, how do you prioritise employee well-being and work-life balance?

Work-life balance has become a key focus, especially since COVID-19. The pandemic made companies rethink their approaches, even in industries like steel, which operate 24/7. During COVID, we allowed many employees to work from home, except for critical shift workers, and we found that productivity remained steady. We encourage employees to take regular leaves to recharge and spend quality time with their families, which boosts their overall performance.

We also offer flexibility in working hours—employees can adjust their arrival and departure as long as targets are met and their supervisors are satisfied. The work in our industry can be monotonous and shift-based, so fostering a positive, engaging culture is essential. We have a significant budget for employee engagement programs that help keep the staff motivated and make retention easier.

Job rotations in the manufacturing sector can be difficult, as it takes time for employees to adapt to new roles and output can be affected. How do you manage this?

You’re right, job rotations are challenging because specific roles require specialised skills. However, for leadership development, job rotation is essential. For instance, if we want to groom someone for an operations head role, they need experience in mechanical processes, quality control, and other key areas. Working across different departments provides comprehensive knowledge, which is vital for succession planning and leadership development.

Can we then consider job rotation as a tool for developing future leaders, beyond just training sessions?

Definitely. Job rotation is essentially on-the-job training. It allows individuals to work in various roles over a month or even a year, gaining in-depth knowledge while still contributing to the company. Unlike short-term training sessions, job rotation embeds learning through practical, hands-on experience.