Yangon University of Economics

Department of Management Studies

EMBA 19th Batch (Online)

MBA 134 – Human Resource Management

Individual Assignment

GE Electric Co.,Ltd HR Planning

Ma Eaindray Oo

OEMBA - 56

1
Exclusive Summary

This assignment provides Human resources operating plan for General Electric
Company (GE), based on this company’s vision and mission statements and other GE’s
public information. Including this assignment are GE’s HR SWOT analysis and HR gaps
analysis, as well as HR strategies and action steps. GE vision is to bring good things to
life and mission is to invent the next industrial age, to build, move, power and cure the
world. GE mission, vision, business objectives and strategies would drive and inform an
HR operating plan as it would facilitate the development of a strategic human resource
management (SHRM) at GE. , the profile of the company, how Strategic Human
Resources matter in a business, how the business aligns with Strategic Human Resources
in order to achieve its objectives, the Internal and External analysis of the business by
using SWOT and PESTLE analyses, the factors affecting in the planning of the human
resource plan, human resource plan for the selected organization, analysis of how the
developed human resource plan can contribute to the organization’s objectives have been
discussed. GE’s HR SWOT analysis shows that the company’s strengths include the
availability of training resources, and senior managers promote and support HR strategy
development. The weakness includes budget constraints and cuts, as well as low
employee morale. Opportunities include the use of new technology and beneficial
changes in employment laws. The main threats are competition from new businesses and
litigious workers. These would be overcome by involving all employees and the
company’s senior management in the implementation and addressing their concerns and
worries satisfactorily.

2
Content

Table of Contents

EXECUTIVE SUMMARY .................................................................................. 1

INTRODCTION............................................................................................... 4

VISION, MISSION AND STRATEGY …………………………………………………………………4

IMPORTANCE OF GE’S SHRM……………………………………………………………………….5

CURRENT HR STRATEGY AT GE ELECTRIC……………………………………………………..6

HR SWOT ANALYSIS OF GE ELECTRIC……………………………………………………………7

GE’S KEY FUNCTION OF HRM……………………………………………………………………….8

HRM MODEL……………………………………………………………………………………………….10

HUMAN RESOURCE PLANNING OF GE…………………………………………………………11

CONCLUSION………………………………………………………………………………………………12

REFERENCES………………………………………………………………………………………………13

3
 1. Introduction

General Electric Company (GE) was incorporated in 1876, in Schenectady, New York.
GE traces its beginning to Thomas Edison, who established Edison Electric Light
Company 1878. In 1892, GE was created by the merger of Edison General Electric and
Thomas-Houstan Electric Company. GE is a technology, media and financial services
company. It is a multinational conglomerate headquartered in Fairfield. Nowadays, GE
serves customers in more than 100 countries and has more than 323000 employees
around the world. GE participates in a wide variety of markets and provides products and
services ranging from generation, transmission and distribution of electricity, aircraft jet
automation, medical imaging equipment, railway locomotives and aviation. The
operating of businesses of the company including NBC Universal, Technology
Infrastructure, GE Capital, GE Energy Infrastructure, and consumer& industrial.

GE is a divisional company. In a divisional structure that are more decentralized, each

division has its own senior management teams. For example, the organisational chart of
GE shows that each of GE’s division has its own president and CEO, who in turn has the
vice president. GE can easily contain a product or service structure based on a divisional
structure.

2. Vision, Mission and Strategy

The vision of GE is to bring good things to life and its mission is to invent the next
industrial age, to build, move power and cure the world. GE company builds the world
by offering infrastructure, expertise, and capital for an international economy. GE capital
has offered billions of dollars in funding so that businesses could grow and build their
operations and customers could build their fiscal futures. GE is building lighting,
appliances, power systems plus many other products which assist millions of factories,
homes, retail facilities, and offices worldwide to work better. The multinational
corporation is moving airline companies on the world's most efficient and largest jet
engines.

4
GE’s corporate mission and vision as well as business objectives and strategies would
drive and inform HR operation plan in that GE’s HR strategy would need to be aligned
with the company’s organizational strategy. Aligning Human Resources with
organizational strategies and objectives is sensible and helps in ensuring that the business
organization achieves goals. HR alignment implies integrating decisions about
employees of the company with decisions about the results a company is trying to
achieve.

3. Importance of GE’s SHRM

Today, as businesses grow rapidly, management topics are becoming more and
more important, including the Strategic Human Resource Management subject. The
importance of strategic human resource management in a business organization must be
considered. Most organizations have recently introduced the role of strategic HRM to the
long-term growth and survival of an organization. Strategic human resource management
focuses on the company's human resources and its strategies; It is the connection between
goals and objectives. The objectives of strategic human resource management are:

• Advance flexibility, innovation, and competitive advantage.

• Objectives to develop an organizational culture.

• Improve business performance.

Human resources (HR) should play an important role as a strategic partner in the
formulation and implementation of company policies to effectively implement strategic
human resource management. Hiring staff; Strategic HR can be demonstrated in a variety
of activities, such as training and rewards. HR needs to adopt a strategic approach to
develop and retain employees to meet the needs of the company's long-term plans. Make
effective decisions that slow down the work and business of employees.

With strategies HRM, strategies planning of the company would be melded with
HR planning. In essence, with strategies HRM, HR activities and planning at GE would
be integrated into the strategies plan of the organization so that HRM is clearly aligned
or linked, with the attainment of the goals and mission of the company. GE’s HR manager

5
would want to effectively align, or link, HR planning with GE’s overall organization
strategy so that they fit together seamlessly. Otherwise, human resources planning might
not be effective in helping to accomplish the company’s goals. Generally, strategies
HRM entails linking HR planning to the strategies planning of the company to ensure
that HR activities are advancing and supporting the strategy of the company. Moreover,
GE’s corporate mission and vision as well as its business objectives and strategies would
drive and inform HR operating plan in that GE’s organizational strategy and HR planning
would be linked in 2 important areas at the time when GR’s organizational strategy is
formulated, and at the time when the strategy is executed.

4. Current HR strategy at GE Electric

General Electric’s HR leadership philosophy inspires its members of

staff to be the best in their respective specialities. This firm believes that
with proper mentoring, every employee at General Electric could be a
leader. Staff members at GE build relationships, collaborate, and share
knowledge. Human Resources has played a vital role in the company’s
success, how they identify leadership talent and what it takes for the human
resource for making it to the top.

For so many years, GE has been providing people with world-class

and quality products and services. They never stop making people feel that
they are dedicated to giving the best support and high-quality service. The
human capital strategy really worked for General Electric over the years.
Operating for more than hundreds of countries with an employee of over
315,000 worldwide. There is no doubt that this company has a solid human
capital strategy since they made it to the top. Out of all the strong
competitors in the market, they never surrendered to their rival and the HR
did their best to achieve their goal all throughout these years.

Susan Peters, the company’s Senior Vice-President for HR stated that

at General Electric, Leader’s link employees with the processes which keep
6
each of them rising together because they let the people know what exactly
is expected of them, assist them in getting there, and hold then answerable
and ensure that improving performance drives each one of them. She also
noted that objectives and goals are set for every employee at the company
and reviewed often and the performance of employees is measured against
them. Moreover, General Electric’s goals and objective system ensured that
organizational and individual goals are aligned and enabled feedback. The
growth values in this company showed staff members how to perform and
this is anchored on external focus, courage and imagination, clear thinking,
expertise and inclusiveness which are embedded at all levels of the firm and
are supported by a unifying belief to constantly act with steadfast integrity.

5. HR SWOT Analysis of GE Electric

Strength Weakness

• Budget constraints and cut

• Availability of training • Low employee morale
resources • There are no ideas on how to
• Senior Managers who promote meet the lack of young,
and support HR strategies talented and qualified
development personnel
• HR Staff have expertise and • A benefit offering that does
knowledge and are highly not attract and retain workers
skilled sufficiently
• Low turnover/effective • Lack of innovation culture in
turnover management the human resources
• Good Reputation in the management team.
employment market
• Developed techniques of
human resources management
• Modern IT infrastructure
• High safety standards
• Competitive compensation
philosophy

7
 • A successful employment
branding strategy

Opportunities Thread

• Competitors gaining an edge

• Workforce growth in market share, which may
• Management team wanting to make GE’s employees move to
improve business through the competitor
cultural development and • Other companies that offer to
organizational development their workers better benefits,
programmes pay or working conditions and
• Beneficial changes in , hire the best-qualified
employment laws employees
• Unfulfilled needs of workers, • Deficit of well-qualified
who are the company’s individuals in the labour
internal customers market
• New technology • Budget cut for vocational
training as well as further
training
• Contribution of human
resources management not
acknowledged by senior
management
• Increased health care
premiums
• Competition from new
business
• Litigious workers
• Increasingly stricter
employment laws
• Stereotypical negative views
of the human resources
function

The human resources department of General Electric should consider the

interaction of SWOT analysis factors and determine the tactics and strategies for
maximizing outcomes. Appropriate steps should be executed in order to lessen the effect
that the weaknesses of the HR department might have on the threats faced by the
department. The HR department should utilize its strengths in overcoming the threats to
lead the company to mission accomplishment.

6. GE’s key function of HRM

8
The functions of HRM are critical to the growth and development of organizations.
Eventually, as employees develop their skills, the organization will automatically
experience growth and expansion. According to (Agarwal, n.d.) HRM needs to take
certain steps to achieve its goals. In general, in order to achieve the goals of the
organization, retailers need to build a proper relationship between the objectives and the
operations. Often an action helps to understand a specific purpose. GE’s the key functions
of HRM are:

1. Recruitment and selection

o Recruit new workers who possess the abilities and skills that GE would
need in future.
o Consider every available option for strategically promoting job openings
and encouraging qualified candidates to apply.
o Internal recruitment
o Recruit efficiently: recruitment through referrals, internships, use of
recruitment agencies
o Exclude certain groups as forbidden under the human rights legislation
o Retain talented workers

2. Employees’ training and development

o Offer existing staff members development opportunities so as to prepare
them for future jobs in the company
o Provide workers with training to undertake new roles
o Coaching and mentoring
o Effective performance appraisals
o Classroom training: workshops, seminars, courses
o Conference and forum
o Field trips to other sites of the company
o Job rotation and job shadowing
3. Compensation and benefits
o Non-monetary compensation is any benefit that an employee receives
from the company. It includes employment and social security awards;
Job security; Flexible watch Growth; Praise and recognition;

9
 o Direct compensation is an employee's annual salary, or hourly wage, and
performance-based bonus, which is an employee's benefit-sharing bonus.
o Indirect compensation is more diverse. It includes legitimate public
protection programs such as health insurance; Health insurance;
4. Labor relations
o To improve Employee engagement, Employee satisfaction, Employee
satisfaction, Employee retention, and Employee Advocacy

SHRM activities are systematic actions to achieve the success of the business. By
systematically carrying out HR activities, the closer the relationship between HR and an
organization's business strategy, the better. The more we anticipate and respond to the
needs of our customers, the more we can maintain our competitive advantage. Promote
the successful execution of staffing, culture, quality business strategy.

7. HRM Model

According to (Price, 2011) David Guest's (1989, 1997) HRM model has six analyzes.

1. HRM Strategy
2. HRM practices
3. HRM results
4. Behavioral outcomes
5. Performance results
6. Financial results

HRM HRM practices HRM results Behavioral Performance Financial

Strategy outcomes results results or
non-financial
results

Focus on • Staffing •employee’s • Mutual High • Increase

employee’s • Cross productivity respect sales
productivity functional •Flexibility • Team Spirit • Employee volume
training •Standardize • Motivation satisfaction • customer
• Compensation •Employee • Consumers • productivity satisfaction
and benefits advocacy Oriented growth rate rate
• Job analysis Low
• Imagination
and job design • Turnover
• Engagement rate
• HR Cost

10
 • performance • Time
appraisal

According to David Guest's HRM Model, GE's HRM Strategy is focused on

employee productivity. GE's HR practices include Staffing, Cross-functional training,
Compensation and benefits, job analysis and job design, Employee Engagement, and
performance appraisal. Therefore, the HR results obtained are employee productivity,
Flexibility, Standardize, and Employee advocacy. Behavioural outcomes include Mutual
respect, Team spirit, Motivation, Consumers Oriented, and Imagination. Other
performance results include higher employee satisfaction and productivity growth rates,
lower turnover rates, HR costs, and time. The final result is the financial results or non-
financial results. The results are Increase sales volume, customer satisfaction rate.

8. Human Resource Planning (HRP) of GE

According to (KENTON, 2020)Human Resource Management (HRP) is a

systematic process that goes ahead to make the best use of an organization's most
valuable employees. Human resource planning ensures that staff and employment
opportunities are avoided by manpower or oversupply.

HR Objectives

• 90% of the training and development plan must be completed

• Employee satisfaction rate must be above 80%.
• Increase productivity growth rate by 25%.
• Turnover rate must be reduced by 50%.

Job analysis is the process of identifying in detail the importance of these

responsibilities for a job defined by job responsibilities and requirements. It helps an
organization determine which employees are best for a specific job.

For Example, according to GE’s company requirement, a Business Development

Manager is hired internally to gain a competitive advantage in the market. In such
appointments, and job postings, Inform the relevant departments. Performed appraisals

11
are then performed. Training based on results; conducting interviews; Skills Tasting
(Soft and Hard) inspection and appointed.

Recruitment
Position Selection
Sources Methods

Internal Job postings in the office • Performed

appraisal

Business • Provide on-job

Development Informing the relevant training as needed
Manager departments based on
performed
appraisal results

• Interview
• Skills Tasting
(Soft and Hard)
Duration September 2020 October 2020

Top Management
Responsible Chief executive officer
BOD

9. Conclusion

The human capital strategy takes all of the risks and the solutions possible in
order for the company to work well and find the best solution that they can do for the
company. It is all about teamwork and support from the company, the people and the
whole department of human resources. Having a strong focus on the leadership
succession planning process with GE was developed and it is refined to an extent that
is probably unmatched by other organizations.

General Electric is now on its way to success and in the years to come it will be
one of the most promising companies today because of their way of human strategy that
attracts more positive results to the company.

12
 The General Electric HR team is all about being a real talent, and business
partner, focused on building the culture, and capability, supporting global growth and
be an effective employee advocate at the same time. If you can find the right team of
HR in your company then you can be sure that your company is on its way to
success.The human capital strategy of GE is to make every individual the core of their
strength and success to keep them on the track and stay on top of success.

10. References
• https://mybestwriter.com/hr-strategic-planning-for-general-
electric-company-ge/
• https://embapro.com/frontpage/swotcoanalysis/28233-general-
electric

13