UNIVERSITY of SAN CARLOS TECHNOLOGICAL CENTER

Nasipit, Talamban, Cebu City, 6000 Cebu, Philippines

A Final Project on
A Human Resource Development Plan for a
Food Supplement Manufacturing Corporation

Submitted to:
Engr. Andre Paolo Lim
Subject Instructor
IE 419 Human Resource Management
Department of Industrial Engineering

Submitted by:
Tirana, Jerlin
Tura, Fabrienne
Uy, Ryan
Vasnani, Neelesh
BSIE 4th Year Students

Submitted on:
October 6, 2015

TABLE OF CONTENTS
Page
I.

Introduction

II.

Organizational Structure

2-4

i.

Organizational Design and Planning

2-3

ii.

Organizational Chart

III.

Employee Roles and Job Descriptions

5-13

IV.

Company Policies and Rules

14-17

V.

Employee Performance Management

18-26

i.

Performance Appraisal

18-22

ii.

Disciplinary Matrix

23-26

I.

Introduction

This Human Resource Development Plan is designed by the H.R. department to ensure the
smooth management of all the personnel in the company. The said department must follow
and implement all the contents of this document strictly and entirely, until and unless revised.
The purpose and coverage of this plan is to facilitate the handling of literally all the people
in the company, in terms of their roles and responsibilities as well as the policies they are
subject to.
Speaking of the primary big picture, all the companys personnel planning, policies, work
techniques, and everything done in the company by its employees should be aligned with
the main vision, mission and organizational core values of the company. In light of this, every
move of the company shall be done in adherence to the statements listed below:

Vision statement
To lead the way in fostering a healthier community.

Mission statement
To provide a vast array of affordable and quality food supplements suitable for everyones
health needs in order to help people live a healthier life more easily.

Organizational core values beliefs that run the company

Quality: It is an obligation to embed superior quality into food supplements, and

continuous improvement is key.

Customer Satisfaction: Satisfying and delighting customers, and always surpassing

customer expectations.

Integrity: Acting with ethics and always adhering to standards and laws.

Interaction: Maintaining fun and worthwhile relationships with customers and

business partners, as well as a united workforce thats in it together.

Purpose-driven: Always keeping the big picture in mind (the health and wellbeing
of people) rather than the money - by working hard to achieve this purpose, profits
and growth will follow automatically.

Human Resource Development Plan

II.

Organizational Structure
i.

Organizational Design and Planning

In order to have an effective and efficient workforce, the personnel planning must be done
in accordance to the operational flow of the company. This can be done by first looking into
roots of the business, or the business flow and the functions needed by the corporation to
operate, and then determining what positions the company needs.
The business flow of the company is represented in the figure below.

COMPANY
OFFICE AND
MFG. PLANT
SUPPLIER OF RAW
MATERIALS

LOGISTICS
CARRIERS

Feedback

CONSUMER

SUPERMARKETS
AND PHRAMACIES

Describing the business flow, it can be seen that the company first orders raw materials
from suppliers, then uses those to manufacture food supplements, then ships the final
products through logistics carriers to supermarkets or pharmacies, from where consumers
can purchase the food supplements. Each of these major processes can be expounded to
further determine the operating departments and employees needed. It is noticeable that
the diagram above is color coded blue for external operations, and green for internal.
First of all, starting with the internal operations (green circle), everything happening in the
company has to be done under some authority, which has to be done under a CEO, or in
this companys case, also the owner of the company. It is up to the CEO to decide how
things will be done. Secondly, the company would manage all the employees (human
resources) through an H.R. department responsible for things like recruiting, hiring,
training, salaries, compensation, and developing/revising H.R. plans for the company, just
like this document itself. (Further expounded in job descriptions section later on)
Then to start the proceedings, the company buys raw materials from a supplier. This is the
first contact with an external partner. To facilitate this, there would have to be a purchasing
department that will be in charge of selecting the right suppliers, and making good
purchase deals for the company.

Human Resource Development Plan

Once the raw materials arrive, they have to be checked and carefully handled and stored
in the warehouse. There has to be a warehouse manager to lead workers to unload the raw
materials, and strategically store them in the warehouse. Inventory level checks will also
have to be done by this manager.
Meanwhile, there obviously has to be an engineering department where the food
supplements are actually designed in terms of the recipe, ingredients, packaging, and all
the science involved in the product. Superior quality, one core value of this company, has
to strictly start here at engineering, as well as the purpose-driven value of the company,
where our engineers and chemists have to keep in mind the main purpose, to make people
healthy.
The product models designed by engineering are then made real through production, for
this, there would have to be a production supervisor who would manage the entire factory.
This production supervisor will have to manage the production scheduling by supervising
each line supervisor, these line supervisors would handle different lines in the factory like
the grinding, blending, or packaging lines. (The details of this would be mentioned in the
employee job descriptions and roles later on). These line supervisors would also have
laborers under them. In all this manufacturing, the corporation has to exercise integrity,
the third core value of the organization, so the manufacturing should adhere to FDA
standards and ethics. Aside from this, as regulated by OSHA, a safety officer will be
employed to make sure all processes are safe for workers, and that there are no hazards.
Lastly, since quality is at the heart of this company, a quality control department will have
to inspect the final product effectively, before its shipped.
Now we can move on to the next blue squares, or the next external operations that have
to be taken care of. Now that the product is manufactured and packaged, it can now be
shipped to supermarkets or pharmacies. A logistics manager will be in charge of selecting
and appointing carriers, and tracking shipments for this purpose. Talking about
supermarkets and pharmacies, the company shall have a marketing and sales executive to
handle relations and contact with buyers. This department will have to spearhead the 4th
core value, interaction by maintaining excellent partner relations. Marketing staff would
be responsible for the last step in the business cycle, which is collecting consumer feedback
for improvement, as well as for promotion and advertising. Customer service staff would
also operate under the said executive to handle customer inquiries and concerns, in lieu
with the customer satisfaction core value.
Finally, it is clear that all corporations run on money and legal papers, so a bookkeeper
shall be appointed for keeping safe all the legal documents like FDA clearances, BIR
licenses, etc. Finance staff would be responsible for monetary things like budgets planning,
sales statistics, and profit calculations. Being spot on with costs is essential here, since part
of the mission of the company is to provide affordable food supplements. The Finance
department will initiate planning for this, and the engineering and manufacturing
departments will also have to operate keeping low-cost products in mind.

Human Resource Development Plan

ii.

Organizational Chart
All the strategic organizational planning and organization of positions can now be visually
represented into an organizational chart shown below. This chart shows the hierarchy of
people and functions, and must be abided by all the employees when reporting. It is
however important to realize that this chart is to be looked at in a functional manner, rather
than necessarily people-based; for example, one executive may act as both the sales and
marketing director as well as the human resources director, as long as both of those
departments are present and functioning in the company.

Legend:
Supreme authority; top of hierarchy
Top Management; Executives
Staff working under a leader
Individuals working under
a leader

Human Resource Development Plan

III. Employee Roles and Job Description

The more detailed specific roles, specifications, and job descriptions of the employees in the
organizational chart are enumerated in this section. The purpose of this section is to prepare
all the employees for their roles so that they can carry out their job effectively. The color and
indent of the positions show the hierarchy and reporting relationships, then a short job
summary is given per position, followed by the roles and responsibilities, to complete the job
description.

CEO
The owner as well as the majority shareholder responsible for building on the companys
years of success, realizing the organizations vision and mission, and achieving its goals for
continued financial stability and community engagement. Most importantly, leading by
example to everyone.
Roles and Responsibilities:
Showing interest in major decisions as well as having the final say on them.
Creating vision as well as executing the strategic plan and budget
Continue to raise the public profile of the company by serving as the spokesperson
Ensuring that the organization is effectively structured and staffed with competent
employees
Lead, motivate, manage and develop staff to invoke passion about the mission of the
company, and foster an environment committed to continuous improvement
Oversee the facilities(office and factory) and the operations of all executives
Being proactive at all times about whats happening in the company; zero blind trust.
SALES & MARKETING DIRECTOR
In charge of keeping excellent relations with buyers and advertisers, upholding the core
value of integrity. Maximizes sales by facilitating optimal selling of the food supplements
to buyers, and by promoting and advertising the food supplement products.
Roles and Responsibilities:
Continually finding new buyers and maintaining relationships with them
Developing long term sales and marketing plans and goals
Closing sales deals with buyers after assistance from CEO
Optimize the use of the allocated advertising and sales budget
Formulate marketing strategy and positioning goals
Form promotional activities, events and product exhibitions
Actively taking part in sponsorships for the company as a mode of advertising
Monitors overall sales performance of the company
Leads the sales team, marketing staff, and customer service by constantly urging them
to deliver results

Human Resource Development Plan

MARKETING STAFF
Consists of marketing majors or professionals who use their expertise in marketing to
analyze the public and the market, and then come up with effective promotional and
advertising strategies.
Roles and Responsibilities:
Coming up with advertising methods, and the resources needed for them
Analyze market by investigating price, demand and competition
Reporting customer feedback to top management for further improvement
Organizing and hosting events, presentations and promotional activities
Manage advertising on social media
Design graphics for brochures, flyers, and websites, and develop the content of
all advertisements and campaigns
SALES TEAM
Effectively sell the companys products personally to buyers, and carry out the
physical labor of sales advertising that was formulated by marketing staff. Basically
responsible for performing all the technical and blue collar duties of maintaining
sales relations with buyers.
Roles and Responsibilities:
Promote/sell/secure orders from existing and prospective customers through a
relationship-based approach
Making sales offers and promos
Receiving purchase orders whether physically or through email, handing out proforma invoices, and keeping track of buyer credits and payment information
Demonstrate products and services to existing/potential customers and assists
them in selecting those best suited to their needs
Make in-person visits and presentations to existing and prospective customers
Keeping a working knowledge of the entire product database of food
supplements and their features
Forecasting sales demand and reporting it to production
Compile orders and sales information for statistics
CUSTOMER SERVICE
Serves customers by providing product and service information and resolving product
problems as well as through providing after sale commitment.
Roles and Responsibilities:
Open customer accounts by recording account information
Maintain customer records by updating account information
Resolve product problems by clarifying the customer's complaint

Human Resource Development Plan

Recommend potential products to management by collecting customer

information and analyzing customer needs
Prepare product reports by collecting and analyzing customer information
constantly reply to queries about the products through email or social media

HUMAN RESOURCES DIRECTOR

Develops, implements, and administers strategies, policies and programs of the company,
and makes all decisions regarding how to handle the personnel in the company.
Roles and Responsibilities:
Protect interests of employees and the company in accordance with company/human
resource policies and governmental laws and regulations
Responsible for responding to all grievances and supporting managers in all
grievance
Establish, administer and conduct regular review of salary and benefits package to
maximize job satisfaction while keeping costs under control
Identify developmental and training resources to increase competencies of staff
Develop, implement and maintain companys compensation structure and policies,
including job descriptions, performance appraisal system, and state/merit increase
budgets
Provide supervision and direction to Human Resources Managers including regular
feedback, performance evaluations and job content revision
HUMAN RESOURCE MANAGERS
Maintains and enhances the organization's human resources by planning,
implementing, and evaluating employee relations and human resources policies,
programs, and practices, as well as handling hiring operations.
Roles and Responsibilities:
Recruit employees based on referrals
Select and interview employees for hiring
Post job advertisements and respond to job applications
Implement and spread out company policies and rules as well performance
appraisal documents
Ensure planning, monitoring, and appraisal of employee work results
Maintain employee benefits programs and informs employees of benefit
Ensure legal compliance
Orient all the workers with company practices and safety procedures
Conduct regular review of organizational planning and improve when needed
Conduct needed medical or psychological tests to ensure employee health
Hand out behavior and performance checklists to supervisors to monitor and
measure performance.

Human Resource Development Plan

ENGINEERING DIRECTOR
Leads the engineering department including product development and design, product
maintenance, engineering documentation management, and patent management
Roles and Responsibilities:
direct and oversee the day to day management of the engineering department
resolve problems using solutions that involve new techniques, technologies,
computational analysis or concepts where applicable
ensure that product development is focused on meeting and exceeding the customer
requirements
oversee the research and development of new products and procedures
hire, train, and mentor other engineers and supporting staff
RESEARCH AND DEVELOPMENT STAFF
Constantly research on new possible ingredients for food supplements and finding
better ways to promote consumer health
Roles and Responsibilities:
Make the formula for the food supplements, and decide on the ingredients to be
used
Conducting tests and samples of the herb combinations before making prototype
Research on regional health problems and address them through new product
formulation
Find out the availability of herbs and medical raw materials, as well as their cost
benefit analysis before choosing them
Responsible for registering and renewing all products to the Food and Drug
Administration of the Philippines
PRODUCT DESIGN STAFF
Responsible for making and engineering the final product design, and taking care of
all the technicalities involved in the process of achieving the envisioned product.
Roles and Responsibilities:
Design computer models of the product packaging
Making prototypes
Designing artwork for packages as well as the overall look and feel of the product
Decide on which materials to use, and in what quantities to use them
Develop product sizes and variations
Make and give raw material and herbs handling instruction to factory personnel
FINANCE DIRECTOR
Handles all the monetary aspects of the company and is aware of all the transactions of
the company, and where and how the money comes in or goes out.

Human Resource Development Plan

Roles and Responsibilities:

collate, prepare and interpret reports, budgets, accounts, commentaries and financial
statements
decides on departmental budgets
control income, cash flow and expenditure
manage budgets
ensure the company is always in substantial profit
FINANCE STAFF
Perform financial and accounting analysis to help come up with the budget decisions
of the company.
Roles and Responsibilities:
establish and maintain cash controls and supplier accounts
project long term profits and debts, as well as assessing the time value of money
using engineering economy analysis
establish, maintain and reconcile the general ledger
monitor cash reserves and investments
prepare income statement and balance sheets
processes supplier invoices
ensure transactions are properly recorded and entered into the computerized
accounting system
use data to come up with profit forecasts
BOOKKEEPER
Takes hold of all the important legal documents, and informs CEO when they are due
for renewal.
Roles and Responsibilities:

Provides sales invoices and necessary tax information to B.I.R

Reminds top management about renewing legal documents or paying taxes
Records cash receipts and make bank deposits
Holds FDA clearances, BIR Licenses to operate, and other top priority business
documents.
Serves as a representative of the company in processing legal government
applications, and keeping good relations with these government agencies.

OPERATIONS MANAGER
Oversees the business flow of the company and the supply chain by leading the production
supervisor, logistics manager, and the purchasing manager.

Human Resource Development Plan

Roles and Responsibilities:

Overseeing the supply chain activities of the company and increasing efficiency of the
flow of goods
Aligning the production and logistics activities with the strategic goals of the company
Conducts various operations research analyses to make major production decisions
Collects reports from production, purchasing and logistics departments
Serves as a mentor and executive assistant to the owner
PRODUCTION SUPERVISOR
In charge of leading and supervising the entire factory
Roles and Responsibilities:
plan and organize production schedules
sets production output goals
maintains the factory by constantly conducting periodic inspections
Utilizes factory square area, without compromising safety
assess project and resources requirements
estimate, negotiate and agree production budgets and timescales with clients and
managers
oversee production processes
re-negotiate timescales or schedules as necessary
organize the repair and routine maintenance of production equipment
supervise the work of junior staff(line supervisors)
LINE SUPERVISORS
Supervise the various assembly lines such as the washing, grinding, filtering,
mixing, or packaging lines
Roles and Responsibilities:
plan and establish work schedules, assignments, and production sequences to
meet production goals
minimize line costs and increase productivity and efficiency
conduct regular time studies
motivate workers and inspect their attitude as directed by H.R.
inspect materials, products, or equipment to detect defects or malfunctions
WORKERS
Responsible for doing manual labor such as handling machines or packaging
the products. Posess technical knowedge as well as superior physical
capabities required to handle manufacturing processes. These workers have
closest physical access to making or breaking the final product.

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SAFETY ENGINEER
Plans, implements, and coordinates safety programs, requiring application of
engineering principles and technology, to prevent or correct unsafe environmental
working conditions
Roles and Responsibilities:
maintain and apply knowledge of current policies, regulations, and industrial
processes
recommend process and product safety features that will reduce employees
exposure to chemical, physical, and biological work hazards
inspect facilities, machinery, and safety equipment to identify and correct
potential hazards, and to ensure safety regulation compliance
install safety devices on machinery, or direct device installation
investigate industrial accidents, injuries, or occupational diseases to determine
causes and preventive measures
conducts OSH trainings
interview employers and employees to obtain information about work
environments and workplace incidents
conduct or direct testing of air quality, noise, temperature, or radiation levels
to verify compliance with health and safety regulations
conduct or coordinate worker training in areas such as safety laws and regulations, hazardous condition monitoring, and use of safety equipment
write and revise safety regulations and codes
WAREHOUSE MANAGER
Organize the safe and efficient receiving, inspection, storage and dispatch of
warehoused goods
Roles and Responsibilities:
check on inventory levels
inform purchasing when stocks are running out
optimize storage room
facilitate loading, unloading of goods
issues materials for production
follow FDA standards in terms of storing food products safely
takes not of expiring materials, follows (FIFO) first in first out method
WORKERS
Responsible for manual labor as directed by the warehouse manager
Roles and Responsibilities:
Load and unload goods
Move goods and raw materials inside the factory
Clean and sanitize the warehouse regularly

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QUALITY CONTROL HEAD

Determines and establishes procedures and quality standards and to monitor these
against agreed targets
Roles and Responsibilities:

determine, negotiate and agree in-house quality procedures, standards

and/or specifications
assess customer requirements and ensuring that these are met
set customer service standards
specify quality requirements of raw materials with suppliers
investigate and setting standards for quality/health and safety
ensure that manufacturing processes comply with standards
act as a catalyst for change and improvement in performance/quality
direct objectives to maximize profitability
record, analyze and distribute statistical information
monitor performance
supervise technical or food supplement laboratory staff
QUALITY ASSURANCE INSPECTORS
Maintain quality standards by approving incoming materials, in-process
production, finished products, and recording quality results
Roles and Responsibilities:
approve incoming materials by confirming specifications, conducting
visual and measurement tests, and rejecting or returning unacceptable
materials
approve in-process production by confirming specifications, conducting
visual and measurement tests, and communicating required adjustments
to production supervisor
approve finished products by confirming specifications, conducting visual
and measurement tests, and returning products for re-work and
confirming re-work
document inspection results by completing reports and logs,
summarizing re-work and waste, and inputting data into quality database

PURCHASING MANAGER
Oversees procurement, and buys the best quality equipment, goods and services
for the company at the most competitive prices.
Roles and Responsibilities:
conduct research to ascertain the best suppliers in terms of best delivery
schedules and quality;

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12

liaise between suppliers, manufacturers, relevant internal departments and

customers
identify potential suppliers, visiting existing suppliers, and building and
maintaining good relationships with them;
negotiate and agree contracts and monitoring their progress, checking the
quality of service provided
keep contract files and using them as reference for the future
find suppliers with affordable yet high quality products
forecast price trends and their impact on future activities
works hand in hand in with production to determine the reorder points and
schedules
PURCHASING STAFF
Takes purchase requests from various departments within a company and get
price quotes from suppliers and contact suppliers to schedule deliveries or to
discuss shortages or missed deliveries
Roles and Responsibilities:

prepares purchase orders on behalf of the company

reviews prices and product specifications from various suppliers
creates and maintain purchasing files and price lists, as well as determining
if the companies have enough inventory on hand
tracks deliveries and make sure the companies receive exactly what was
ordered from suppliers
physically check shipments to ensure the appropriate items were delivered
answers supplier and customer inquiries about order changes or
cancellations and check requisition orders for accuracy

LOGISTICS MANAGER
Facilitates the transportation and delivery of goods
Roles and Responsibilities:

organize shipments to buyers

coordinate drivers, vehicles, loads and journeys
track shipments
plan for and negotiate technical difficulties
maintain good relations with main logistics carriers
in charge of effectively informing the buyers on the arrival of goods on their end,
to reduce chances paying storage fees and demurrages at the congested ports
of the Philippines
inform warehouse manager to prepare for loading of goods to be shipped

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IV. Company Policies and Rules

No matter how big or small a business is, policies are a must. The following policies are made
to ensure discipline and order in the company. The coverage applies to entirely all personnel in
the company unless stated otherwise. These policies shall be administered by the CEO and the
executives with help from the H.R. department. Any deviation from these policies will see strict
disciplinary action.
1. Attendance
All employees must be present at work during their designated work times.
Employees should report to work for at least 8 hours a day for 6 working days, Sunday
being a holiday. Undertime workload shall mean deduction in salaries, while overtime
is not only discouraged, but not allowed.
Employees do not need to report to work on all national holidays.
Employees are required to time-in and time-out, or else their attendance is deemed
null.
Employees must avoid tardiness, absence, and departure from work early without the
permission of their supervisors. Employees must observe time limitations on rest and
meal periods.
8 sick leaves and 7 vacation leaves (a total of 15 leaves as permitted by the labor code
of the Philippines) are permitted to all employees. Vacation leaves cannot exceed a
duration of 15 days.
Vacation leaves must be applied to the H.R department at least a week earlier, and
anticipated absences shall be notified as well.
2. Dress Code
All office personnel are allowed to wear decent casual attire to work. This can be
described as:
For males: closed shoes, untorn pants, and t shirts or shirts with sleeves.
For females: sandals or shoes(no slippers allowed), pants or at least knee-level
skirts, and upper wear that is long enough to cover the entire upper body by
covering the cleavage line and belly. See-through and spaghetti tops are not
allowed.
For employees and workers outside the office, or those that are working in the
manufacturing or production area, the attire includes closed rubber shoes, non-skinny
jeans or pants, and t shirts. The physical labor workers and machine operators are also
required to wear PPE as required by the safety officer.
Employees should wear their company I.D. tags at all times

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3. General Discipline and Conduct

Smoking, drinking of alcohol, or bringing of related drugs and intoxicants are allowed
absolutely prohibited inside the companys campus.
Violence, fighting, horseplay, and other inappropriate conduct is prohibited.
Discrimination such as harassment for reasons related to sex, color, race, religion,
national origin, age or handicap is strictly prohibited.
Gambling of any kind on Company premises will not be tolerated.
Sleeping or loafing on the job is prohibited.
All unsafe acts and conditions, including near miss incidents or incidents that resulted
in damage or injury are to be reported to supervisors promptly
Every worker shall keep his/her work area neat, clean and orderly
Personnel shall not conceal any sickness or report to work with a contagious virus;
employees must utilize sick leaves for this.
No employee shall be in possession of firearms (licensed or unlicensed) or other
weapons while on Company premises. The rule applies to all knives not required for the
performance of job duties.
Neglect of duty and insubordination will not be tolerated. Employees may argue or
present alternatives to their respective supervisors, but the final decision of the
supervisor must be complied with, whether or not liked by the employee.
Employees shall comply with safety regulations and procedures.
Theft and Vandalism are strictly prohibited.
Employees shall not bring children to work.
For the factory workers and machine operators, cell phones must be deposited at the
office in the morning during time-in, and collected at time-out. Cell phone use is
permitted to office staff for professional matters, but managers need to alert in
monitoring for excessive and productivity-hindering use of cell phones.
For employees in contact with outsiders (like sales, customer service etc.), proper
conduct must be followed at all times. Moreover, borrowing money from suppliers,
customers, or their representatives is not allowed.
Lending money to fellow employees for personal gain is prohibited at work.
Aside from simply adhering to dos and donts, employees are required to exercise the
organizational core values at all times.

4. Job related guidelines

All employees must follow their overseer based on the organizational chart.
Employees have to complete their required output and meet the deadlines set by the
supervisor.
In the event that work is completed before a deadline, employees shall not stay idle but
instead report to their supervisors with honesty for new work assignment.

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Employees must carry out their tasks with intent, excellence, and superior accuracy to
maintain the organizational core value of quality.
Employees are expected to get better with time; all personnel should see their jobs not
as a burden, but as a frontier to improve themselves as well as the company.
Employees are to carry out their own jobs, and are not allowed to let other employees
do work for them, or ask others to do work for them.

5. Recruitment and Hiring

The H.R. department is responsible for recruiting employees based on both referrals
and job applications. The rule of thumb should be to focus more on referrals to increase
chances of employee loyalty and honesty.
The H.R department should gather data from the different departments and come up
with job specifications and standards to aid in hiring. Job specifications and
qualifications are specifically needed for hiring line supervisors and machine operators.
H.R. managers are expected to review candidates carefully and conduct an interview
before hiring.
New employees are to undergo various tests facilitated by H.R.; these include drug tests
and medical health tests. Highly technical positions might also have skill tests as
formulated by the respective managers of the different technical departments.
6. Salary and Compensation

Employees should be given their salary figures during the hiring process, and have to
sign a document signifying their approval of the salary.
The salaries are to be paid either monthly or bimonthly depending on employees
discretion.
Supervisors are permitted and encouraged to give performance based incentives to the
workers based on production output, aside from the regular pay.
Cash advances or loans can be taken by workers with no interest, however there is a
cash limit per loan set by the Finance department that must not be exceeded, as well
as a credit limit per employee that must not be exceeded.
The H.R. department is responsible for the salary distribution of the employees; it must
thereby ensure that the company is abiding the labor code in this aspect, and at the
same time ensure that the H.R. managers are following the private salary policies of the
company (like wages, bonuses, incentives, etc).

7. Training

New factory workers should undergo training and apprenticeship for a certain amount
of time set by the line supervisors, before becoming regular.
New managers and executives shall also go through apprenticeship to the retiring or
resigning ones, to minimize adjustment costs.

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There should be annual OSH trainings set by the Safety Officer which shall include
emergency fire and earthquake drills, and safety and health seminars/campaigns.

8. Confidentiality and Legal

No employee shall be in unauthorized possession of any property of the Company,

its customers or employees, and no employee should attempt to remove such
property from Company premises.

Employees shall not use company equipment, materials or facilities for personal
purposes.

No employee shall knowingly submit inaccurate or untruthful information for, or on,

any Company record, report or document.

No employee shall engage in outside employment that is detrimental to the

Company's interest or where such work is competitive or in conflict with the
Company's interest. Employment outside the Company must be reported to the
employee's supervisor.

The companys food supplement processing formulas are to be kept top secret.

Selling of any kind merchandise or engaging in any form of personal business within
Company during work hours is not allowed.

Falsification of the employee records is strictly prohibited.

9. Policy Implementation

All the company polices and labor code policies should be oriented to new
employees as well as to the existing employees periodically (every 6 months).

When deviations and mistakes are occurred, supervisors should follow the
disciplinary matrix to warn and correct the employees. The way to handle employee
mistakes should be focused on recognizing that employees are not perfect and are
capable of making mistakes.

The consequences and punishments for deviations should strictly be implemented

by the supervisors or whoever is in charge, to impose order in the company.

The Labor Code of the Philippines must be abided by all employees, and is to be
seen as a bible of work conduct aside from the private company policies. To avoid
redundancy, most of the labor code policies are not stated in the private company
policies, therefore they must be oriented to the employees together with the
companys own policies.

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V.

Employee Performance Management

I.

Performance Appraisal
In order to maintain and constantly improve performance, a system of performance

appraisal must be established. The supervisors and managers are to periodically record worker
behavior and performance through the checklists provided in the next pages.
The employee performance rating document is made to assess and rate the employees
of the company to see whether they are performing adequately. It can be used for all employees
in the company, and each employee will be rated by his/her supervisor or any personnel higher
than him/her in the organizational structure. For the performance rating sheet, an employee must
receive a performance target score of Average. Any score below this will need direct supervision
to the employee to help him/her improve performance. However, aside from the total rating being
at least average, the employee must not have an individual factor rating of 1 or poor, or else the
employee would then also receive direct supervisory consultancy. An equivalent score of
Excellent entitle and enable employees to receive performance based incentives and
promotions, but this is left to the department directors to decide. The performers of this
performance appraisal must also list recent mistakes as well as the good deeds and performances
done by the employees in this document. This is to make sure employees are not remembered
by their last mistake only, but also their excellent performances, so that the appraisal is actually
effective.
Another document that shall be utilized aside from the Performance Rating Sheet is the
Employee Behavior Checklist (shown in the next pages). The purpose of this is to check for the
psychological state of mind of the employees by assessing their behavior pattern which is
obtained through this document. After the supervisors fill in this document, it is sent to the H.R.
for analysis and assessment. After which, the H.R. gives instructions to the supervisors on how to
handle the troubled employees. The thing with troubled employees is that it is the biggest cause
of decrease in productivity of workers, and productivity is of utmost importance in any
manufacturing firm, hence, it is vital to conduct a general employee behavior appraisal, aside from
just a normal performance rating appraisal. It is important to note that the behavior checklist is
not designed to correct or take disciplinary action against wrong behavior, but just to analyze the
worker behavior pattern.
These two documents shall then be filed in each employees records. The H.R. is then
responsible for comparing the most recent appraisal to the previous ones, and then analyzing
areas that the employees have improved on, or still need to improve on. H.R. is responsible for
distributing to each employee his/her performance appraisal so that all the employees are also
aware of their perceived performance.

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PERFORMANCE RATING SHEET

Name of Employee:
.
Date of Rating:

Position: __________________________
.

Reason for Evaluation:

( ) End of Contractual Probationary Period

( ) Quarterly Review
( ) Annual Review
INSTRUCTIONS

1.
2.
3.
4.

Go over the factors very carefully

Write the corresponding rate to the Performance of the employee provided in the box.
Rate honesty and objectively in evaluating individuals performance.
Do not discriminate. Base the rating on facts and not on more impressions.
PERFORMANCE FACTORS
1 POOR
2 UNSATISFACTORY
3 SATISFACTORY

4 GOOD
5 EXCELLENT

KEY PERFORMANCE FACTORS

JOB KNOWLEDGE
QUANTITY OF WORK
QUALITY OF WORK
FLEXIBILITY
CREATIVITY AND INITIATIVENESS

RATING

WEIGHT
10
10
10
8
8

TEAMWORK

ATTENDANCE AND PUNCTUALITY

TIMELINESS OF JOB ASSIGNMENT

COURTESY
INTERPERSONAL SKILLS
DEDICATION TO WORK
LEADERSHIP (For Supervisors Only)
STRESS TOLERANCE AND HANDLING
PLANNING AND ORGANIZING

8
5
5
5
5
5
5

Factor/s with 1 or poor rating:

TOTAL

Total Rating:

Equivalent:

EQUIVALENT EMPLOYEE PERFORMANCE RATING

Superior
Above Average
Average

450 500
380 449
300 379

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Below Average
Poor

200 299
100 199

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Comments on the Individual Strengths and Weaknesses:

Strengths:
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________
Weaknesses:
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________

RECOMMENDATIONS AND SUGGESTIONS

________________________________________________________________________________________________________________
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________
________________________________________________________________________________________________________________

PERFORMED BY:

_______________________
Signature over name

EVALUATED/APPROVED BY:

Signature of Department Director

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EMPLOYEE BEHAVIOR CHECKLIST

Name of Employee:
.
Date of Rating:
Reason for Evaluation:

Position: __________________________
.
( ) Urgent recommendation
( ) Quarterly Review
( ) Annual Review

Use this checklist to identify observations of "troubled employees." Look for patterns of
behavior, not just isolated events (unless a single event is significant).
1. SPECIFIC BEHAVIOR PATTERNS:
Employee Appearance:
___Sloppy ___Inappropriate Clothing ___Odors ___Shiny or glassy eyes
Mood:
___Withdrawn ___Sad ___Mood Swings (High & Low) ___Suspiciousness ___Extreme Sensitivity
___Nervousness ___Frequent Irritability with Others ___Preoccupation with Health-Death
Actions:
___Physically Intimidating, Threatening, or Assaultive.
___Unduly Talkative or Argumentative.
___Exaggerated Expression of Self-Importance.
___Rigidity-Inability to Change Plans with Reasonable Ease.
___Incoherent or Irrelevant Statements on the Job.
___Over Compliance with any Routine.
___Excessive Amount of Personal Phone Time.
___Outbursts of Emotion (Crying, Laughing Inappropriately).
___Sexual Acting Out, Lack of Boundaries, Inappropriate Comments.
2. WORK PATTERNS AND PRODUCTION:
___Current Work Assignment Requires More Effort Than Usual.
___Work Takes More Time Than Usual.
___Difficulty in Recalling Instructions, Understanding Procedures, etc.
___Display of Disinterest in Work.
___Increased Difficulty in Handling Complex Assignments.
___Difficulty in Recalling Previous Mistakes.
___General Forgetfulness.
___Alternate Periods of High and Low Work Productivity.
___Coming to Work with Alcohol on Breath, Unsteady Gait, etc.
___Missed Deadlines.
___Mistakes Due To Poor Judgment.

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___Outside Complaints About the Employee's Work or Attitude.

___Improbable Excuses for Poor Work, Performance or Behavior Patterns.
___Carelessness with Self, Others, Equipment.
3. EMPLOYEE RELATIONSHIPS ON THE JOB:
___Over-Reaction to Real or Imagined Criticism.
___Wide Swings in Job Morale, Satisfaction.
___Borrowing Money from Co-Workers.
___Unreasonable Resentments of Co-Workers.
___Repeated and Compulsive Criticism of the Company.
___Persistent Requests for a Job Transfer.
___Abrasive with Others.
4. ABSENTEEISM:
___Multiple Instances of Improper Reporting Time Off.
___Excessive Sick Leave.
___Repeated Patterns of Absences.
___Excessive Lateness at Start of Shift, After Breaks.
___Strange and Improbable Excuses for Absences.
___High Absenteeism for Unspecified Illness.
___Frequent Unscheduled Short-Term Absences.
___Frequent Use of Unscheduled Vacation Time.
5. "ON THE JOB" ABSENTEEISM:
___Continued Absence From Job Location More Than Necessary.
___Frequent Trips to Rest Room.
___Long Coffee Breaks.
6. ACCIDENTS/ENDANGERMENT:
___Putting Others in Harm
___Physical Complaints on the Job.
___Accidents on the Job.
___Accidents off the Job.

PERFORMED BY:

_______________________
Signature over name

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II.

Disciplinary Matrix

This section shall demonstrate what disciplinary actions the employees will
undergo upon doing undesirable practices. This will help the managers convert
these undesirable work practices into the ideal employee practices as established
by the company.
Upon breech of the company policies and rules, the following disciplinary
actions can be administered.

Verbal Warning

Written Warning

Suspension

Permanent Dismissal

These are four levels of sequential disciplinary action. For the breech of most
of the company rules that are minor in nature, these actions should be followed in
order, from V to W to S to P, corresponding to 1 st, 2nd, 3rd, and 4th
offenses/occurrences of the type of breech. However, if an incident is major or
severely unacceptable, managers can opt to go directly to Suspension or even
Permanent dismissal. The question now is how to determine what level and
hierarchy of disciplinary action each type of breech receives; for this, managers can
refer to the disciplinary matrix shown in the next page.
This matrix is to serve as a guideline for managers, but obviously, there can be
times were practicality would say something other than what is stated in the matrix.
These guidelines are not intended to be mandatory or binding, but offer reasonable
progressive steps in dealing with employee behaviors on the job. The final outcome
has to be determined based upon specifics of the case and review of the case with
the specific department where the case occurred and the Human Resources
Department.

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PROGRESSIVE DISCIPLINARY MATRIX

Table of Disciplinary Action for Violation of Company Policies and Rules

RULE VIOLATION

Frequency of Offense *Monthly

1st

2nd

3rd

4th

*Working less than 8 hours per day without consent

*Absence without official leave and without official cause

*Failure to log-in and log-out I.D during entry, exit, and breaks

*Prolonging break periods

Exceeding the duration of 15 days on vacation leaves

Taking Vacation Leave without applying or informing H.R.

Exceeding the allotted number of leaves per year

*Forgetting to bring I.D. tag to work

Not wearing I.D. tag during work

ATTENDANCE VIOLATIONS

DRESS CODE VIOLATIONS

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Altering the I.D. tag or modifying it in any way

*Violation of the decent-casual dress code stated in the policies

Failure to wear appropriate PPE as mandated by supervisor

GENERAL DISCIPLINE AND CONDUCT

Smoking, drinking alcohol, or bringing of any related drugs

Horseplay, argument, or unruly conduct

Fighting, inflicting injury, or harassing colleagues with violence

Sleeping or Loafing on the job

Stealing from other employees or company material

Sexual Harassment

Gambling or any unethical and illegal games or practices

Discriminating for race, sex, color, religion, age, handicap, etc

Vandalism or altering notices on bulletin

Bringing of unauthorized guests or children without appointment

Borrowing/Lending money within company premises; doing

business for personal gain within premises.

Failure to deposit cell phones for factory workers

Insubordination or disobedience of supervisors and regulations

S or P

Concealing and hiding contagious sickness

Failure to report accidents, injuries or damages

Exchanging job assignments, letting colleagues to ones tasks

Disturbing others in work

Unauthorized use of company material, vehicle or equipment

Committing acts against sanitation like littering, improper

disposal, spitting, etc.

Being in possession of firearms, knives, or other weapons

CONFIDENTIALITY AND LEGAL

Disclosing Confidential documents or information to outsiders

Falsification of employee records

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Engaging in employment outside the company while working for

this company, causing conflict of schedules
Talking or spreading untruthful facts during company
investigation or inspection

Using machines, computers, or equipment for personal use

Defaming the corporation inside or outside premises

The disciplinary matrix is meant for the managers to impose the consequences in attempt
to correct the employees, rather than brutally punish them, as everyone is capable of making
mistakes. As the managers issue these violation reports, they are to include methods for the
employees on how to correct themselves, rather than just passively handing out notices.
Each employees violations record is to be stored in the Human Resource Management
System(HRMS) of the company, and whenever there is a new violation report, H.R. should directly
encode it in the respective employees file. This is to ensure easy and accurate tracking of offenses.

With the end of the disciplinary matrix, this Human Resource Development Plan also ends.
This H.R. plan is expected and encouraged to be revised for continuous improvement in the future.

HUMAN RESOURCE DEVELOPMENT PLAN VERSION 1.0

REVISION LOG:

APPROVED BY:

__________________
H.R. Director

Its about having the right people, with the right abilities, in the right place, at the right time
~ Nothing Follows ~

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