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Human Resource: General Electrics and Samsung sample essay

1. The comparison between Samsung and GE in terms of staffing process

The Recruitment and Selection Process is one of the basic HR Processes. Recruitment and Selection are very sensitive as many managers have a need to hire a new employee and these processes are always under a strict monitoring from their side. The Recruitment and Selection Process must be simple and robust enough to operate excellently in the moment of the insufficient number of candidates on the job market. Also, the process must be also able to process a large number of candidates within given time.

The clearly defined Recruitment and Selection Process is a key to the success of any Human Resources Department. To assess companies and to make a comparison regarding HRM practices in different countries, we selected GE in the U.S and Samsung in Korea. The main reason is that there are several differences in terms of hiring and training process. When it comes to hiring new employees, the recruitment and selection add values to HR Processes. The recruitment is about the ability of the organization to source new employees, and to keep the organization operating and improving the quality of the human capital employed in the company. The quality of the recruitment process is the main driver for the satisfaction of managers with the services provided by Human Resources.

The main goal of the recruitment and selection is about finding the best recruitment sources, hiring the best talents from the job market and keeping the organization competitive on the job market. The recruitment and selection processes are about managing and choosing the right candidates from the high volumes of job resumes. The described process that companies have their unique value and culture helps to set and achieve the right limits. The performance of the recruitment process has to be measured, analyzed, and new so that innovative recruitment solutions can be implemented. First of all, we found out that Samsung has a different value of selection in which mainly focuses on hiring new entry level of employees throughout their recruitment process.

They basically provide standard test called SSAT to assess candidates’ ability based on creativity, sense of judgments, and flexibility of thinking. After that, they have individual interview process with selected candidates by SSAT. It is clear that they focus on hiring employees who have potentials that will fit into organization. They also encourage prospective employees to have the ability of global talent, specialization for the job that will be assigned and strong sense of challenge.

On the other hand, we noticed that GE has different value of selection of candidates in terms of HRM. Most of all, GE’s selection period can be described as mainly focusing on skilled and experienced level of employees who have at least 5 year’s experiences related to the job position. Since Jeff Immelt took a place as CEO, they have built a solid concept of recruitment based on the ability of imagination, problem solving, building creativity and leading skills of employees. According to their strategy, it is clear that they require employees to have the highest quality of talent based on the level of experiences and education regarding job requirement.

Although there are somewhat similarities between two companies to select the level of new employees based on pursuing the importance of genius and perfection, it is clear that they have the different values emphasized on employees that have a great deal of impact on building the organization. Those factors are mainly contributed to the different culture in different country that has built throughout the history of cultural tradition. Samsung mainly focuses on emphasizing the culture of unity based on collectivism, and when it comes to GE, the strong sense of initiative and passion play an important role in building organization culture disregarding the fact that which level of position employees are in based on individualism. From the different value of staffing in terms of HRM practice from two companies, it will be hard to select which one is more productive and attractive, but it is sure that the companies have their unique ego to make employees fit into the organization’s value and culture.

2. The comparison between Samsung and GE in terms of compensation.

The second different practice between two companies is the value of compensation to which plays an important role in motivating employees and achieving companies’ goal. The most effective reward and compensation systems align with objectives, outcome-based evaluations of employee performance. Each employee’s performance measurement should reflect the organization’s business strategy and financial goals. Compensation should also reflect the employee’s performance level and his/her contributions to the organization’s success.

Sometimes compensations from the wrong practices occurred by nepotism and stereotypes, prevent organizations from achieving strategic goals. Hence, organizations need to align their compensation and reward systems with performance and fair-based criteria to increase productivity and to achieve sustainable growth while motivating employees. Samsung’s compensation scheme is mainly based on compensation without discrimination and compensation for performance to ensure internal impartiality and external competitiveness. Those on the same position are given the same amount of base salary disregarding gender, nationality, religion, social status, or age.

On top of it, differentiated compensation is only made by individual performance in terms of productivity. In other words, individual performance for productivity-based outcome is the only indicator to determine individuals’ rewards throughout the year. Therefore, we found out that Samsung’s core value for employee’s compensation highly focuses on individual performance and productivity when motivating employees. On the other hand, GE practices not only individual productivity-based compensation but also adds some more values based on the behavioral performance such as the sense of leadership and the planning for self-development.

We noticed that GE’s compensation system has two main values: to motivate employees and to find the high level of potential employees throughout the compensation and reward planning. To achieve GE’s compensation system’s objectives, they evaluate the employees with variable perspectives of assessment. For example, EMS, 9 Matrix, 9 Block, Planning for self-development, Session C, are the programs they evaluate employees for successful compensation planning in the organization. It is clear that the compensation and benefits processes belong to the most important HR Processes. They are critical for organizations no matter which type of structure and value the companies have. We think that organizations need to point out that the need for the transparency in the compensation practices in the organization and keeping the internal fairness.

We also believe that the compensation and benefits have to supervise the development of new compensation systems, keeping the general rules for the design of the compensation component. Summing up, throughout variable practices of HRM, we learned how organizations achieve their goals and build competitive advantages based on their unique value and culture. Although Samsung and GE have somewhat different strategies and systems to operate their organizations, we think we need to understand the core value of HRM process to evaluate the culture and environment in each organization.

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