Presentation on theme: "The 3rd International Plantation Industry Conference & Exhibition"— Presentation transcript:
1 The 3rd International Plantation Industry Conference & Exhibition 5th – 7th November 2012Le Meridien Hotel, Kota Kinabalu, SabahAddressing Issues and Challenges of Talent Mismatch in the Planting Industry – Planters Perspective.Ramesh Veloo & Hj Borhan Abd AzizGroup Plantation Advisor DepartmentTradewinds Plantation Berhad
2 A Professional Planter Well rounded multi talented/ skills.Physically FitCan take pressure and serve under remote working conditionsObey instructions and observe a strong chain of commandAbsolute integritySurveyorEngineerArchitectAccountantAnd is usually so busy that he has to do his serious studying at meal timesDoctor
3 Presentation Scope1.Some background/challenges faced by the industry- requiring young blood/talents to relook at these issues.2.The need for talents and talent management in the planting industry.3.Issue of talent mismatch and mitigation(Entry point, Managerial and Higher level management).4.Conclusion.
4 Oil Palm Land Area. Point of saturation -5.5mill ha. Industry is posed by various issues and challenges –new blood/new talents required to relook at these issues.Source: MPOB (2010)
5 The Yield Challenge. FFB Yield(t/ha) against Average(Years). Comparison of Rates of Yield Growth ofSoya bean,Rapeseed and Oil Palm Since 1970’s(2012)
9 The Challenge to Innovate & Change Traditional Practices. The only big breakthrough as far as labour saving technology is concerned in the industry is the introduction of the pollinating weevils and the industry is hungry for the “quantum leap” innovation.
10 Global Agriculture & Food Supply Droughts drives food prices higher threatening the poorJapan & Rep of Korea pledge additional $60 mill to boost food securityMore than 17 million people starvingin West Africa’s Sahel regionFood price volatility a growing concernThe need to enhance talent management cannot be viewed lightly in the light of issues faced by global agriculture and food production.
11 Where Money Grows on Palms! Palm oil will remain to be a major contributing factor to the national economy.
12 Worrying Phenomenon: Declining Share in Agricultural Employment – Lack of interest Source: Statistical Yearbook for Asia and the Pacific (2011)
13 Professionals Planters and Supervisory Staffs Global demand (million tonnes) & land area required (million hectares)Executives & staff ratios industrial plantationOil PalmRubberOil PalmRubberDon’t forget rubber.Global demand for oil palmGlobal demand for rubber (NR share 1.4 mt/ha)Land area required for oil palmLand area required for rubberExecutives ratio of 5:2000 industrial plantation (oil palm)Staff ratio of 1:500 50% industrial plantation (oil palm)Executive ratio of 5:2000 industrial plantation (rubber)Staff ratio of 1:500 50% industrial plantation (rubber)
14 Estimated Labour Shortage in Oil Palm Plantation according to Job Categories and Region (2010) P. MalaysiaSabahSarawakMalaysiaHarvesting Mandores363179127672General Mandores291156196643Harvesters and Collectors10,8286,7425,14522,721Field Workers5,9173,4402,88912,240Other General Workers2,3411,2151,3964,957Sub Total Field Workers19,73911,7329,75341,234Executives152153452Staff3993133091,010Sub Total Executive5554644621,462TOTAL20,29410,21542,696Source: Mohd. Arif, Azman & Roslan (2011)
15 The Emergence of Talent Management in the Current Business Landscape The World Economic Forum and the Boston Consulting Group provides compelling evidence that the talent crisis will affect every region of the world in the coming years.The economic pressures of the last few years have forced organizations to do more with reduced resources by putting the the right people in place.The right talent is emerging as key competitive differentiation component.Talent is accepted as The No.1 business risk in the world.(Manpower Group, 2011).PLANTATION INDUSTRYIS NO EXCEPTIONPLANTATION INDUSTRY IS NO EXCEPTION
16 Talent Mismatch:The Global HR Talent Tsunami Edward Gordon the author of Winning the Global Talent Showdown: How Businesses and Communities Can Partner to Rebuild the Jobs Pipeline (Berrett-Koehler Publishers, 2009). describes talent mismatch as the imbalance between talent supply and job requirements resulting with global "HR talent tsunami," which will strike globally and create intense competition for people with science, technology, engineering and math skills and for other educated professionals in most industries.
17 Talent Mismatch: A Global Phenomenon. ORGANIZATIONAL FACTORSCANDIDATE-SPECIFIC FACTORSENVIRONMENTAL/ MARKET FACTORSSource: Manpower Group (2011)*Based on survey results of 40,000 employers across 39 countries; 10 throughout Americas, 8 Asia Pacific and 21 across Europe, Middle East and Africa.
19 Career Path as a Planter and Mismatch Issues. Senior Management 2Senior Management 1Managerial LevelCEOGM/PAEntry PointSenior ManagerManagerSenior Asst.Asst.ManagerCadetHow Long Does It Take To Move This Ladder?.
20 Supply for Entry Points: Numbers/Quantity is No Big Issue. TOTAL UNEMPLOYED GRADUATES: 65,500(917 of total)Source: Department of Statistics Malaysia (2010)
21 Talent Mismatch: Entry Point Level What Market Can Offer:What Is Required:A basic degree/ diploma.No hands on training.Poor command of English.“Bright light exposure”.IT savvy candidates.Clean/ cool working conditions.Not inclined to strong chain of commandPassion & love for the job.Agricultural degree/ diploma.Hands on working culture.Good command of English.Remote working environment.Field loving candidates.Dirty, dangerous and difficult (3D).Inclined to strong chain of command.
22 Commitment & Hands OnHave passion for the jobBasic Degree/DiplomaLove outdoor /challengesof remote working environmentGood command of EnglishChain of command
23 Mitigate Talent Mismatch at Entry Point Level. Revive interest in agriculture/plantation management. Agriculture took a back seat with industrialisation and it is impossible to industrialise the whole plantation area. Prominence of agriculture especially in the Sabah/ Sarawak should not be forgotten.Introducing agriculture education as part of school curriculum/living skills.Agricultural education should not be merely a curriculum of vocational/technical schools.Attract top students/best brains to take up agricultural scholarships/ study grant at school level.Time to revive agricultural/oil palm university and produce more pure agricultural graduates.Emphasis on classroom, practical and hands on training and leadership values.
25 Indonesian Universities With Agricultural Faculties & Programs. SUMATERAANDALASBENGKULUDEHASENEKASAKTIISLAMIC UNIVERSITY OF INDRAGIRIISLAMIC UNIVERSITY OF SUMATERA UTARAJAMBISUMATERA UTARARIAUSRIWIJAYASERAMBI MEKAHJAVAAL-GHIFARISATYA WACANABOGOR AGRICULTURAL UNIVERSITYSEBELAS MARETBANDUNG RAYASLAMET RIYADIBRAWIJAYATRUNOJOYO MADURAGADJAH MADAWIDYAGAMA MALANGJANADABRAWIDYAKARYAJEMBERWIJAYA KUSUMA SURABAYAMUHAMMADIYAH MALANGYUDHARTA PASURUANPADJADJARANKALIMANTANLAMBUNG MANGKURATMULAMARWANTANJUNGPURASULAWESICOKROAMINOTO PALOPODE LA SALLEHASANUDDINSAM RATULANGIGORONTALOTADULAKOMOLLUCASKHAIRUNPAPUAMUSAMUS MARAUKESTATE UNIVERSITY OF PAPUABALI-NUSA TENGGARAARTHA WACANA CHRISTIANMATARAMUDAYANA
26 Malaysian Universities With Agricultural Faculties &Programs. Universiti Malaysia KelantanUMKUniversiti Malaysia SabahUMSUniversiti Malaysia SarawakUNIMASUniversiti Putra MalaysiaUPMUniversiti Malaysia TerengganuUMTUniversiti Sultan Zainal AbidinUNISZAUniversiti Teknologi MARAUiTMKL Infrastructure University CollegeKLiUCUniversiti Tunku Abdul RahmanUTARTWINTECH International Technology CollegeTWINTECHKolej RISDA
30 The Role of Technology. Plantations as a centre of technology. Avoid 3D or “slave drivers” image of theindustry.A good tool to entice younger generation.Potential to minimise the mismatch.
31 Talent Mismatch: Managerial Level We are experiencing issues in promoting second liners to managerial positions.Ability to manage an estate independently.Poor organizational ability.Lack of technical competency.Ability to initiate and motivate team members.Leadership.Decision making.Integrity/ transparency.Communication skills.The Need to Empty The Barrel.
32 The “Baby Foot Syndrome”- Whose Fault??? HOW SHOULD A PLANTERALLOCATE HIS TIME?5% PassionTHE PLANTER’S FOOT IS THE BEST FERTILIZERDifficult to get planters to set foot in the field and organizations should review their management approach.
33 Managerial Level: Bridging The Gap. Identify good talents.Take stock of strength and weaknesses.Prioritise area/scope of training.Groom and Develop.Narrow knowledge and experience gap.In house Training:External Training Providers:
34 Don’t Forget!This is a” VSOP” rich industry.Leadership Training
35 Talent Mismatch: Higher Level Management Problems related to upgrading to higher level management.Provide leadership at a higher level.Analytical skills.Able to see the big picture.Strategic thinking.Strong business acumen.High level decision making(million/billion dollar decisions)Highest level of Integrity and transparency.Networking/ communication.
36 Executive Development Program & Higher Level Training. Professional development servicesSaïd Business SchoolContinuing Professional DevelopmentAdvanced Management Program Transforming Proven Leaders into Global Executives
37 Rewards Package : Brain Drain & Talent Mismatch. Sr. ManagerGM/PAManagerYearsSalaryIn a 30 years career life as a planter, ¾ of a planters lifeis spent earning 43% of his lifetime earnings.
39 Conclusion.The issue of talent management and mismatch in the industry should beviewed seriously with the growing challenges in the industry.Talent mismatch occurs at various levels i.e. at entry point level,managerial level and high level management .The issue related to talent mismatch should be addressed by the stakeholdersof the industry which includes the planter himself, employers orplantation companies as well as the government.