The channel system of public service department of malaysia

P U B L I C S E R V I C E D E P A R T M E N T | 1
SECTION ONE
INTRODUCTION
1.0 Introduction
The purpose of this paper is to identify the channel systems for the PSD (Public
Service Department) of Malaysia. We will find out how IT supports each of those
components and to suggest improvements in the existing channel system that can be
supported by Information Technology (IT) technologies and that are not in use by the
company today. Accordingly, Section One outlines a brief background of PSD. It also
will discuss the vision of missions, functions and objectives of PSD.
1.1 Background of Company
The establishment of the PSD (Public Service Department) began in Singapore in
1934, when it was known as the Malayan Establishment Office (MEO) and operated from
the City Hall. Year 1954 was the establishment of the Federal Establishment Office
through the merger of the Malaya Establishment Office, Service Branch of the Chief
Secretary's Office and the Establishment Division, Federal Treasury. When the
administration shifted to Malaya in 1954, the office was relocated to Kuala Lumpur at the
Federal House, Jalan Sultan Hishamuddin. The increase in functions and size required the
PSD to move to a new location at the UMBC Building, Jalan Sulaiman and then to
Sulaiman Building, Jalan Damansara and later on to Wisma Bernama, Jalan Tun Razak.
At the same time, several divisions providing counter services were placed at the Kuala
Lumpur city centre to enable easy access by the public such as the Consultancy and
Record Division at Wisma PKNS, Jalan Raja Laut; Pensions Division at KWSG
Building, Jalan Kampong Attap and the Training and Career Development Division at
PERKIM Building, Jalan Raja Laut.

In 1967, MEO changed of name to the Establishment Office of Malaysia. But in
1968, Establishment Office of Malaysia changed of name to the Department of Public
Service (Public Service Department). Only in 1993, were all of the divisions successfully
placed under one roof when the PSD moved to their own building at the PSD Complex,
Jalan Tun Ismail, Kuala Lumpur. To improve service delivery to customers in East
Malaysia, branches of the Pension Division were established in Kota Kinabalu, Sabah
and Kuching, Sarawak. In 2001, PSD moved to Complex C at the Federal Government
Administrative Centre in Putrajaya, following the Government's decision to centralize all
federal government offices in one location. The Competency Management Branch was
located at Sapura Building @ Mines, Seri Kembangan. Following the reorganization of
the PSD in 2009, three divisions were moved to the MKN-Embassy Techzone Building,
Cyberjaya. The divisions are the Information Management Division, the Psychological
Management Division and the Remuneration Division.
PSD pledge to provide professional services and advice on the formulation and
implementation of policies and regulations pertaining to human resource management
which includes:
1. To ensure that public agencies are equipped with suitable structures, establishment
and schemes of service in accordance with their current responsibilities so as to
function at an optimum level.
2. To ensure the best human capital management to enhance the efficiency and
effectiveness of public personnel through the development of systems and best
practices.
3. To increase the productivity and efficiency of public service human capital through
pre-service and in-service training with regards to the Public Service training policies.
4. To attract, develop and retain potential workforce towards excellent performance
through salary management, allowance and various benefits.

5. To ensure a harmonious employer-employee relations through the widespread
dissemination of information so as to improve understanding on issues of common
interest.
6. To enforce Public Service pension regulations and ensure that pension's benefits are
payable to qualified recipients.
7. To develop public personnel using the psychological and counseling approach and to
provide effective and efficient training in accordance with the principal, ethic and
standard practices of the Public Service.
8. To ensure responses to clients' enquiries and complaints are fast, accurate and
courteous and adhere to the stipulated period as follows:
 Affirmation of acceptance of complaint within three days.
 Initial response within 14 days.
 Status report on clients' complaint within two months.
1.2 Vision and Mission
1.2.1 Vision –
 The PSD envisions is to be a world-class organization in public service human
resource management.
1.2.2 Mission –
The PSD missions are:
 To be the main advisor to the Government in public service human resource
management.
 To enhance capability through restructuring and strengthening the
organization and development of human capital.

 To develop quality, highly competent and innovative personnel.
 To manage employer-employee relationship towards creating a harmonious
working environment.
 To improve systems and work processes by leveraging on ICT.
1.3 Functions
The Public Service Personnel Management includes planning, management and
development aspect as follows:
1.3.1 Planning –
 To determine the roles of the public sector.
 To determine the organizational size and structure of the public agencies.
 To determine the requirement and development of human resource.
 To determine pension and retirement benefits.
 To determine the implications of privatization/separation on the public sector
human resource.
 To develop strategic alliances and networking.
1.3.2 Development –
 To determine Organizational Development Policies.
 To determine Career Development Policy.
 To develop Career Path.
 To develop Succession Planning.
 To determine Training Policy.
1.3.3 Management –
 To manage policies evaluation.
 To formulate and clarify policies on the above mentioned matters to
implementer agencies.

 To manage policies monitoring.
 To manage the appointment, emplacement, remuneration, promotion,
retirement benefits, service conditions, employer-employee relations, training
and human resource database.
1.4 Objectives
1. To rationalize the size of the public service through a systematic and structured
human resource planning by conducting a comprehensive manpower projection.
2. To provide the public service with service schemes and organizational structure that
is relevant, flexible and able to respond to current needs.
3. To develop the best and competent human capital to meet the public service strategic
needs through dynamic training policies and sponsorship programmes.
4. To manage civil servants and develop human resource management policies through
strategic and effective service policies formulation and implementation.
5. To formulate policies and guidelines relating to psychology services according to
current needs to enhance human resource development in the public service.
6. To emphasize on the welfare of retirees and pension recipients through improvement
of post-service policies.
7. To introduce a competitive and comprehensive remuneration package to the civil
servants and develop a harmonious employer-employee relationship.
8. To enhance the quality of service delivery through application of technology in
human resource management.

SECTION TWO
HUMAN RESOURCE MANAGEMENT INFORMATION SYSTEM
2.0 Introduction
Second section commences with a comprehensive overview of the Human
Resource Management Information System (HRMIS) of Public Service Department
(PSD). As the central agency responsible for public service human resource management
policies, the PSD was selected as the lead agency to spearhead the implementation of the
HRMIS. Officers from process owner divisions comprising the Remuneration Division,
Pension Division (now known as the Post-Service Division), Services Division,
Organization Development Division, Training Division (now known as the Human
Capital Development Division), Management Services Division, Planning, Research and
Corporate Division, and Psychological Services Division were directly involved in
verifying the human resource processes, which were developed for the HRMIS. They
were also involved in the testing stage of the application to ensure compliance with
prevailing policies. During the implementation stage, they verified the improvements on
human resource policies according to changes that occurred from time to time. The
Information Management Division was given the responsibility to manage the
implementation of HRMIS, and provide information on public service human resource.
2.1 Vision of Human Resource Management
The Human Resource Management Information System (HRMIS) was developed
in line with the human resource management vision, ‘To be the leader in the
Development and Management of Human Resource in Order to Achieve the
Government’s Vision.’ This vision was decided upon during the seminar, HR Function
Visioning Workshop for Senior Management, which was held on 21-22 June 1999. This
aim is in line with the Government’s vision to become a developed nation by 2020.

2.2 HRMIS Mission
As one of the government’s flagship applications, HRMIS has a clear mission so
that all public sector agencies implement it in line with the vision of public service
human resource and e-Government aims. Therefore, HRMIS must remain relevant in
public sector human resource management through its continuous application
improvement.
2.3 HRMIS Objectives
The objectives of HRMIS are designed to ensure that the developed application
will be able to improve the performance of public sector delivery system. These
objectives are designed to:
1. Enable planning of the workforce and determine the effective size of public service
through human resource management information.
2. Automate the operation processes of human resource management.
3. Develop integrated and updated human resource information for the purpose of
effective human resource planning.
4. Facilitate horizontal communication and integration, coordination of human resource
processes and access through a single window.
5. Contribute to the creation of a paperless environment.
6. Make available a human resource information system that is open, flexible and
updated to meet the management needs of the various levels of agencies.

SECTION THREE
COMPANY CHANNEL SYSTEMS
3.0 Introduction
This section discusses the PSD channel system, the HRMIS (Human Resource
Management Information System). The HRMIS project is a government initiative to
ensure that human resource management in the public service produces skilled, trained
and motivated workers. The HRMIS that has been developed is now being implemented
throughout the Malaysian public service. The HRMIS is not merely a human resource
application system, but more importantly, it represents a new approach for more
comprehensive and integrated human resource management in overcoming the many
challenges of public sector management.
3.1 Human Resource System
The development of HRMIS is based on ten key functions of competency-based
human resource management, as illustrated in Figure 1.
Figure 1. Public Sector Human Resource Management Model

Among the main features of the HRMIS are that it is process-driven, it provides
for self-service facilities and it is web-based. The application allows all members of the
public sector to update their personal records and to apply for the various available
service benefits such as leave, travel claims and training courses. In addition, the data of
HRMIS public sector human resource processes stored in a centralized database will
facilitate analysis and strategic planning of human resource, either at the department,
ministry, state or national levels.
The changes that are brought about by HRMIS are based on public service trends
and practices around the world covering all human resource matters, as shown in Figure
2.
Figure 2. Human Resource Process Mapping into HRMIS Components
The components and sub-components developed under HRMIS were regarded as
innovative outputs, which saw a change in philosophy from a conventional 27-function
human resource management system to a 10-function competency-based HR To-Be
Management.

3.2 Ten Key Functions of Competency-Based Human Resource Management
The Public Sector Human Resource Management To-Be model has been
formulated for use by all agencies. It has ten main functions of public sector human
resource management. The developed human resource processes in HRMIS components
are based on a fixed philosophy. This is to ensure that human resource management is
efficient, effective, constantly relevant and responsive to current challenges.
1. Competency Assessment – This model puts competency assessment as the basis for
all human resource processes, which is also the key to mobilizing human resource
management functions. This function promotes self-development and continuous
improvement through a user-friendly approach. Competency assessment will also
encourage individuals and line managers to assess competency levels using valid
assessment methodologies.
2. Development – The second function of this model is the development activities
relating to the ongoing process of formal and informal training. The purpose of this
function is to enhance a person’s abilities to ensure continued contribution to the
organization. At the same time, development opportunities are provided to promote
self-learning and just-in time learning. This is clearly demonstrated when
opportunities are given to employees and managers to plan, select and evaluate
development programmes for employees to acquire new competencies or for career
advancement.
3. Performance Management – The performance management function is able to align
individual goals with organizational goals, as well as monitor and evaluate individual
performance based on the KPIs, the team and organization. This function also
promotes personal monitoring to strive for continuous improvement and becomes part
of the daily routine of the management. Performance management also links
performance to career development, development requirements and rewards.

4. Remuneration, Benefit and Reward – The remuneration, benefit and reward
management function allows fast, accurate and timely automatic processing of
remuneration and benefits. It also provides a mechanism to administer remuneration,
benefits and rewards in the development and maintenance of public sector human
resource. A system that is fair and in line with the ambition of the organization to
develop intellectual capacity will also promote employee retention and enhance
performance.
5. Career Management – The philosophy behind the fifth function of career
management aims to provide a systematic approach in promoting human resource
development in line with career pathways and organizational needs. It also promotes
sharing and ownership between individuals and line managers in identifying career
pathways and strategies to achieve goals as well as continuous monitoring of their
progress. In addition, this function provides a sustainable, equitable, flexible and
customer-oriented framework for individuals to plan and identify strategies for career
advancement. At the same time, it provides opportunities to the individuals who
constantly strive to improve their competency and performance to progress in the
organization.
6. Strategy Formulation and Review – Human resource model need to change in line
with the rapid change of the environment. This is to ensure that human resource
strategies and policies remain relevant to the needs of the organization. This
philosophy is carried forth in the sixth function, which is formulation and evaluation
of human resource strategy, to ensure that the mechanism for aligning human
resource management strategies with the goals and objectives of the organization can
happen quickly and effectively. Its main activities include the description of values
created by the human resource function through its vision, thinking style, etc. This
feature can also develop the human resource function through the determination of
deliverable outcomes.

7. Resourcing – The philosophy of the human resource recruitment function is to
provide a mechanism to integrate in a comprehensive manner the various human
resource management functions such as manpower planning, recruitment, transfer,
development and training to ensure that the manpower requirements of the
organization are met. This feature also serves to identify the short-term needs of
human resource based on the activities of the organization. This process begins by
identifying the roles, positions and competencies to carry out an activity and ends
with the acquisition of resources.
8. Separation – The function of separation has the underlying philosophy of facilitating
the exit of civil servants from government service. It will also facilitate attrition
trends as well as provide a retention strategy to maintain skilled public sector
manpower. Through this function, all logistical issues such as assets and security
passwords can be resolved, and relevant human resource function operations such as
human resource recruitment, retirement, benefit and reward management, and
development will be triggered.
9. Personal Record Management – The personal record management function is
focused on a mechanism to put in order all public sector human resource personnel
records. This feature puts the responsibility of updating personal records on each
individual. This process involves activities such as updating personal details,
information on family, health, education, language skills, declaration of assets and
awards.
10. Employee Communication and Behavioral – The final function is the employee
communication and discipline management. Its philosophy is to create a conducive-
working environment between the management and employees. At the same time,
this function can improve cooperation as well as promote harmonious employer-
employee relations through the provision of reporting, monitoring and resolution of
human resource issues.

SECTION FOUR
IT SUPPORTS EACH OF THOSE COMPONENTS
4.0 Introduction
The Human Resource Management Information System (HRMIS) has been
developed through extensive research on the best practices of human resource
management by world renowned organizations as well as human resource management
trends of the 21st
century. This section will emphasize on the IT supports to each of those
components or functions in HRMIS.
Figure 3. HRMIS Main Menu Interface
4.1 IT Support
Some activities supported by IT are the following:

4.1.1 Personal Record Management
1. Personal Record
2. Asset Declaration
3. Service Profile
This component stores basic information of officers such as personal
particulars, family particulars, language proficiency, academic qualifications,
driving license, bank account number, work experience prior to joining the public
service and awards received. In addition, this component stores information on
service profile and asset declaration.
4.1.2 Competency Assessment
1. Competency Assessment
2. Service Examination
3. Efficiency Level Assessment
This component records and analyses the competency levels of individuals
or teams. Officers or the management will be able to identify the competency gap
between requirements of the position and the competency of the officer. Action
can then be taken to address the gap through the Development Component.
Information on competency can also be used in the Human Resourcing
Component for purposes of recruitment, placement and promotion. This
component also allows officers to carry out activities related to examination such
as processing of applications, scheduling of examinations, recording of
assessment results and updating of examination results.

4.1.3 Career Management
1. Career Path
2. Career Path Assessment
3. Succession Plan
4. Career Plan
This component facilitates the management’s succession planning for
strategic positions. In addition, officers can plan their career development either
on their own or with the advice of career consultants at the agency level.
4.1.4 Performance Management
1. Performance Management
2. Confirmation in Service
This component enables officers to set their annual work targets in line
with organizational goals, as well as to generate annual performance evaluation
reports. Through this process, supervisors or the management will be able to link
performance with career development, development requirements and selection of
award recipients for excellent service within the organization.
4.1.5 Resources
1. Develop Resourcing Action Plan
2. Acquisition of Competency Owner
3. Reassignment of Competency Owner
4. Preparation of Competency Owner for Assignment
5. Secondment
6. Promotion

This component identifies short-term human resource requirements,
applications for positions and filling of vacancies through the process of
recruitment, transfer and secondment. It also aims to ensure that every officer
placed in a certain location is ready to perform the prescribed duties.
4.1.6 Strategy Formulation and Review
1. Develop Tactical Activity
2. Formulate HR Strategy
3. Formulate Policies and Procedures
4. Evaluation of Strategy Effectiveness
5. Long Term Manpower Planning
6. Assess Utilization of Manpower
7. Job Evaluation
8. Organizational Development
9. Develop Position Norms
This component helps human resource managers in formulating and
evaluating the effectiveness of the organization’s human resource policies,
procedures and strategies for continuous improvement. It is also useful for long-
term manpower planning, organizational development, tactical planning, and
storage of information on employment norms, task assessment processes and
assessment of manpower use.
4.1.7 Development
1. Study
2. Competency Development Program

This component prepares competency development programmes for
officers in line with organizational goals, and enables officers and supervisors to
apply to attend the relevant competency development programmes. Additionally,
officers will be able to apply for short- and long-term in-service training
(diploma, master’s, PhD), either with or without scholarships.
4.1.8 Employee Communications and Behavioral Management
1. Disciplinary
2. Counseling
3. Management Employee Relations
This component enhances cooperation and harmonious relations between
the management and employees through the process of reporting, monitoring and
resolution of issues. Moreover, this component makes it possible to manage
counseling and employee disciplinary activities.
4.1.9 Remuneration, Benefit and Rewards
1. Bonus
2. Claim
3. Leave
4. Loan
5. Medical
6. Payroll
7. Remuneration
This component helps administer remuneration records of officers for
preparing salaries following placements, leave (half pay, no pay), promotion,
competency level evaluation and change of service scheme. In addition, it

administers the records of benefits enjoyed by the officers such as loans, medical
benefit, claims and personal advances, scholarships and annual allowances.
4.1.10 Separation
1. Security
2. Workflow
This component provides a comprehensive process to manage the exit of
officers from government service through compulsory retirement, early
retirement, resignation, death, dismissal, and so on. It also enables officers to
prepare task handover notes and exit interviews before leaving the service.
4.2 HRMIS Application Features
The HRMIS application features can be described as follows:
4.2.1 Process-driven
Public sector human resource management is driven by the built-in
applications of HRMIS. This means that the updating of data in the HRMIS
database is done directly through ongoing transaction processes.
4.2.2 Inter-Relationship of Three Data Components
The use of data in HRMIS is based on three components comprising
personal data, establishment data and transaction data. Each of the human
resource management processes utilizes both the establishment data and personal
data as the basis for carrying out a transaction. The updating of the database is
based on these transactions.

4.2.3 Self-Service Facilities
Through the self-service facilities available, officers will be able to do the
following:
1. Update personal records
2. Apply for and check annual leave
3. Submit claims
4. Monitor work performance
5. Apply for appropriate courses
6. Conduct competency assessment
7. Apply for transfer
8. Apply for counseling
4.2.4 Web-Based
The HRMIS is a web-based application and can be accessed via the
internet. However, government security policy requires all applications under the
Electronic Government Project to use the EG*Net network.
4.2.5 Integration of Human Resource Functions
The human resource management functions have been integrated to take
advantage of the concept of ‘single entry, multiple users’ so that data and
information from a component can be used by other components.
4.2.6 Knowledge-Sharing
The human resource management policies enforced through circulars and
regulations are stored in the Web Publishing and Knowledge Base sub-

components and can be shared by users to increase their knowledge and skills
regarding the policies as well as to keep abreast of current developments.
4.2.7 In-Built Human Resource Business Policies and Regulations
The human resource management business policies and regulations are
incorporated in the HRMIS application. Its advantages are as follows:
1. Verification process is performed at point of entry
2. Automatic checking of qualification of officers
3. Reduced recurring reviews by human resource managers and administrators
4.2.8 Security and Workflow
The HRMIS application design and technical architecture assure the
integrity of information and security access, where upon any additions,
amendments or repeals of data cannot be done without the permission of the
authorizing party. In addition, human resource management processes are
simplified by the setting up of workflow according to the roles and
responsibilities of the officers.

SECTION FIVE
IMPROVEMENTS IN THE EXISTING CHANNEL SYSTEM
5.0 Introduction
The products developed in HRMIS application are based on the Public Sector
Human Resource Management To-Be Model formulated for use by all agencies. There
are ten key functions of public sector human resource management. Each function is
implemented based on the set philosophy which will ensure that human resource
management is more efficient, relevant and responsive to current challenges. This section
provides recommendations to improve the situation of HR systems in the PSD.
5.1 Recommendations
5.1.1 HR Organizational Strategy and Planning
In order to improve the area of HR Organizational Strategy and Planning, it is
recommended that:
1. The HR Managers should conduct a follow-up assessment to establish how
organizational design practices in departments have improved since the
introduction of the HRMIS.
2. Executive Authority must ensure that their departments implement the
Directive’s on HR Planning issued by the Malaysia Administrative
Modernization and Management Planning Unit (MAMPU) and submit the
necessary six-monthly reports in this regard.
3. Departments should update PERSAL (Personal and Salary System)
information to ensure proper information systems and proper record

management. Head of Departments and HR Managers should sign a formal
declaration once a year certifying that their department’s information is valid
and reliable.
4. Meeting disability and gender targets must be cascaded down to each
component in departments and must receive special focus during the
evaluation processes of all Senior Management Service members on an annual
basis.
5.1.2 HR Practices
In order to improve the area of HR Practices, it is recommended that:
1. Departments should develop detailed and clear recruitment and selection
policies and ensure that those policies are approved in order to avoid
haphazard recruitment practices. To this end departments should utilize the
PSD’s Recruitment and Selection Toolkit which provides clear guidelines on
how to develop such policies.
2. Departments should have clearly spelt out delegations to approve the
advertising of posts as well as the appointment of persons to posts; these
should be made available to all managers. Human resource components
should monitor adherence to these delegations at all times.
3. Departments should priorities and properly manage record keeping of all
recruitment and selection processes. These should include job evaluation
results, job descriptions, proof of HR delegations, copies of submissions
approving appointments and copies of the appointment letters.
4. Job hopping should be restricted by utilizing regulatory measures where
employees have to work a certain number of years in one level, before they

can apply for promotion to a different position within or in a different
department.
5.1.3 HR Utilization and Development
In order to improve the area of HR Utilization and Development, it is
recommended that:
1. Training courses provided to employees should address training needs of
employees and these should be relevant to the skills requirements of the
departments.
2. Departments should give special focus to People Management and
Empowerment. There should be clear objectives and measures in the
performance contracts of all managers with employees reporting to them. This
should be stringently monitored during the mid-term and annual reviews.
5.3 Summary
The HRMIS project is a government initiative to ensure that human resource
management in the public sector is able to produce skilled, trained and motivated
workers. HRMIS is not only a human resource application system, but also a new,
comprehensive and integrated approach in the management of public sector human
resource. It has been successfully developed and is currently implemented throughout the
Malaysian public service. The development of HRMIS project is in line with the efforts
and goals of human resource management, which is to become a leader in the
management of human resource to achieve the government’s vision.
The expansion of HRMIS implementation faces several constraints including
network, human resources, skills, user attitude and equipment. The strategy that has been
put in place has, to a certain extent, alleviated some of these constraints. Further efforts

have also been made to address and resolve these constraints. The implementation of
other components will be continued in stages depending on the state of readiness and
planning of the agencies concerned. The aspect of internal expertise at the agency level is
given priority to ensure the success of HRMIS implementation. In any event, the
cooperation and commitment of all parties are crucial to ensure the success of the project.
As such, all heads of departments need to put greater emphasis on the aspects of
information and the change of the users’ mindset.

SECTION SIX
HRMIS ARCHITECTURE
6.0 The Establishment of HRMIS
The Multimedia Super Corridor (MSC) is an initiative by the government to shift
the nation into a knowledge- and information-based economy to ensure that the nation
remains competitive and resilient. In this context, the development of Electronic
government for national development was initiated in the 7th
Malaysia Plan (7MP) and
continued in the subsequent Malaysia Plans. This decision is seen as a wise move as in
1996, the world underwent an economic crisis, the effects of which were also felt by our
country.
To realize the implementation of the MSC, the government established the
International Advisory Panel consisting of 25 personalities among business leaders,
policy-makers and academics in the ICT world. The main function of this panel is to
provide ideas and recommendations to the government on the development and
implementation of the MSC.
Accordingly, the government launched the Concept Request for Proposal (CRFP)
for 15 pilot projects in the MSC flagship applications on 26 July 1997. Among the pilot
projects identified was the Human Resource Management Information System (HRMIS).
This is an integrated system, facilitated by technology that combines the best practices
of global human resource management.
MRCB Multimedia Consortium Sdn. Bhd. (MMCSB) was selected by the
government to develop and implement the HRMIS project. On 1 April 1999, a signing
ceremony was held between the government and MMCSB with the Chief Secretary to the
Government, Tan Sri Abdul Halim bin Ali, representing the Malaysian Government and
Dato’ Khalid bin Haji Ahmad representing MMCSB. The ceremony was witnessed by
the Minister of Energy, Communications and Multimedia, Datuk Leo Moggie. At the
ceremony, Tan Sri Abdul Halim said that for the first time ever, the HRMIS would link
all government agencies electronically, so that human resource information at the

grassroots could be easily channeled to the higher levels such as the agency
headquarters, Ministries, State Secretary Offices and the PSD.
MMCSB, as the project implementer, is a consortium of 18 local companies led
by Malaysian Resources Corporation Berhad. The other companies are as follows:
1. Accurate Network and Systems Integration Berhad
2. BSN Information Technology and Services Sdn. Bhd.
3. CS Technologies Sdn. Bhd.
4. Digiera Sdn. Bhd.
5. Edaran Computer Sdn. Bhd.
6. Hijau Inovasi Teknologi Sdn. Bhd.
7. Irshad Consulting Sdn. Bhd.
8. Leapfrog Technologies Sdn. Bhd.
9. Mark System Sdn. Bhd.
10. Mobile Computing System Sdn. Bhd.
11. New Technology Innovation Sdn. Bhd.
12. Orienasli Holding Sdn. Bhd.
13. Origin Technology Sdn. Bhd.
14. Quantum Parallel (M) Sdn. Bhd.
15. Sepakat Computer Consultant Sdn. Bhd.
16. Berita Information Systems Sdn. Bhd.
17. Sistem Televisyen Malaysia Berhad
The responsibilities of the companies in the development of HRMIS include
project management, process improvement, change management, system development,
installation management, training and education, as well as operations and support
services. According to the original HRMIS agreement, the first phase of the project began
on 12 April 1999 and was scheduled to complete in the 24th
month or 11 April 2001. The
second phase was scheduled to start immediately after that and completed on the 42nd
month or 11 October 2002. However, the period was extended owing to three changes.

The first change was caused by the necessity of extending the period for the
business improvement process (BIP), which resulted in the first phase being extended till
the 38th
month or 11 June 2002, and the date of completion for the second phase extended
to the 59th
month or 11 March 2004. The second change involved the milestone
deliverables from management and operation into 4 packages. The third change entailed
the closure of the first phase in 2004.
As stipulated in the contract between the government and the consultant,
RM99.89 million was allocated for the development of HRMIS. Of this amount, 58.4 per
cent was allocated for hardware and software, and the rest for services and the
development of applications. On 17 September 1999, the Government announced to
public sector agencies the implementation of HRMIS application. All agencies were
advised not to continue with any effort to develop other Human Resource Management
System to avoid redundancy and duplication of systems.
6.1 Why HRMIS is Needed
Before the government arrived at the decision to develop the HRMIS, many
studies had been conducted to identify the best practices and use of ICT as an enabler to
improve public sector human resource management. As such, the implementation of the
HRMIS takes into account the following factors:
6.1.1 Optimal Use of Technology
Through the development of HRMIS, the government can optimize
existing ICT infrastructure by automating human resource management in a
standardized and comprehensive manner, without being confined to any particular
function. The HRMIS has incorporated the entire process of human resource
management from strategic planning, recruitment, placement, promotion and
separation.

6.1.2 Continuous Monitoring of Human Resource Management Policies
The use of a standard system in all public sector agencies will facilitate the
monitoring of human resource management policy implementation on a
continuous basis. Current and policy-making processes. Consequently, the
improvement process of human resource policies can be carried out effectively
and continuously.
6.1.3 Intra- and Inter-Agency Information Sharing
The Malaysian public sector human resource management has various
levels in its organizational structure, with a large number of agencies and varying
jurisdictions among the agencies. In this context, the human resource process
usually involves a chain of authority at the various levels and agencies. An
example is the exchange of officers between agencies, which entails both
placement and management of salaries. Information sharing via the system will
help avoid repeating the process of recording and this makes for a more efficient
and effective management of human resources. The HRMIS allows online sharing
of human resource management information among federal agencies and other
agencies. Its use also facilitates the process of analyzing information and ensuring
that work distribution among civil servants in terms of planning, strategy and
operations is consistent.
6.1.4 Performance of Civil Servants
With HRMIS, the performance of civil servants can be measured against
the goals and targets set by the key performance indicators (KPIs) agreed upon by
the head of department or agency, and individual performance can be monitored
and assessed in line with the agency’s objectives and goals.

6.2 Benefits of HRMIS Application
The benefits of the HRMIS application can be viewed from the perspective of the
organization, human resource management and employees. The benefits to the
organization are summarized as follows:
1. Human resource activities will be carried out more easily and simply with a real time
and online human resource information system.
2. Uniform human resource policies and procedures as well as the consolidation of
human resource information in the centralized data bank will facilitate the use of this
system by all agencies.
3. Productivity will be enhanced through faster processing, better work environment,
reduction of errors and work overlap, simple operating system and automation of
certain activities.
4. An integrated human resource information system allows the sharing of information
in a quick and accurate manner, and better communication among the agencies
involved.
5. Less productive human resource activities can be reduced and more attention can be
given to more productive work such as analyzing and planning work which will
subsequently improve decision-making, implementation and monitoring.
The benefits to human resource management include:
1. Integration of the overall human resource functions provides for integrated, accurate,
fast and reliable human resource information.
2. Human resource management is simplified through the use of technology.
3. Increased productivity through greater automation of certain human resource
processes.
4. Utilization of uniform human resource policies and procedures.

5. The human resource management functions of the HRMIS application take into
account process improvement elements and workflow to enable human resource
managers to play a more strategic role.
6. Processing time, particularly of operational functions, becomes faster and more
efficient through the use of the latest ICT.
7. Basic information on human resource management such as service schemes, policies,
circulars and guidelines that are consistent will ensure uniform human resource
management implementation.
8. Centralized collection of information will facilitate analysis and generation of
statistical reports relating to human resource management.
The benefits to the employees include:
1. Facilitation of communication between employers and employees.
2. Entry of basic information and service profiles of personnel need not be repeated.
3. Reduced manual and overlapping activities.
4. Users will be able to check the status of each transaction made through the HRMIS
application.
5. Increased satisfaction, motivation and productivity.
6. User-friendly and flexible system.
6.3 Project Organization
The HRMIS project was launched on 12 April 1999. The PSD, as the lead agency,
set up a HRMIS Project Management Office, which not only formed a team responsible
for the seven major components of the project, but also acted as a mirror organization to
the team of consultants. Its main objective was to ensure the effective transfer of
technology from the suppliers to the Government. The main components of the project
were Process Improvement, Change Management, Training and Education Management,
System Development, Installation Management and Project Management Office. The

organizational structure of the consultants is shown in Figure 4, while the Government
team is shown in Figure 5.
Figure 4. HRMIS Project Organizational Structure, 1999
Figure 5. Government HRMIS Project Team Organizational Structure,
2001-2007

6.4 HRMIS Project Work Scope
The development of HRMIS application determines the direction and design of
the application system that to be developed. The HRMIS framework is described in
Figure 6.
Figure 6. HRMIS Framework
Technical architecture is the technical guidelines for the development and
installation of the HRMIS. It includes the application system and data centre
development to support the implementation of HRMIS. The HRMIS Technical
Architecture Concept includes:
1. Microsoft Distributed Internet Architecture
2. N-tier Architecture
3. Online Transaction Processing Information Flow
4. Online Analytical Processing Information Flow Enterprise Database Architecture
5. Infrastructure Architecture

The government approved the concept on 27 October 2000. Following the
approval of the Systems Development - Architecture Report on 19 July 2001, the fully
completed technical architecture report was adopted. The main features of the technical
architecture design are shown in Figure 7.
Figure 7. HRMIS Technical Architecture
The main features of the proposed technical design underwent a series of
discussions with the Government HRMIS Project Team before they were accepted. This
is to ensure that the technical infrastructure of HRMIS would be able to support a world-
class system as described in the HR To-Be Detailed Design Report. The rationale to this
is that HRMIS would be the only public sector human resource management system to be
used throughout the country with users numbering over one million in 720 agencies. This
gives an idea of the high access volume at any one time when human resource processes
are fully operated online.

6.5 Database Development
Enterprise Database Architecture, which consists of three main components, was
adopted to support information gathering and the public sector human resource business
transaction.
1. Online Transaction Processing (OLTP) – Consists of a data enterprise collection
centre supports the human resource business operations.
2. Online Analytical Processing (OLAP) – Consists of data marts and data
warehouses, supports business intelligence.
3. Operational Data Store (ODS) – Consists of infinite universal data repository that
supports data management, data quality assurance and data production, either
transmitted to other systems or received from other sources.
The relationship between the three components is shown in Figure 8.
Figure 8. Enterprise Database Architecture

Since the HRMIS implementation, its database engine has undergone changes in
line with technological changes from SQL Server 7.0 to Microsoft SQL Server 2000,
then followed by Microsoft SQL 2003, as in line with changes in the operating software
from Windows NT to Windows 2000, then Windows 2003. The technology change is
shown in Figure 9, with a comparison of operating software shown in Figure 10.
Figure 9. Operating Systems and Database Engines Technological Changes
Figure 10. Technology Changes of Operating Software

6.6 Data Conversion
Data Conversion Tools (DC tools) is part of the HRMIS system development
activities. It was developed to facilitate and expedite the updating of data in the HRMIS
database through the conversion of existing digital data in any legacy system into the
HRMIS application. DC tools contain a collection of computer programmes for digital
data reading from a specified format or legacy database system of an agency, which
converts data automatically from the database of a legacy system into the HRMIS
database. Data conversion activities using DC tools were implemented in 2001 through
the preparation activity of HRMIS base data on ten pilot agencies. The development of
DC tools started in 2000, with the latest version being DC Tools V3.3. Improvement of
the DC tools is consistent with Data Conversion strategies. The Data Conversion strategy
is illustrated in Figure 11.
Figure 11. Data Conversion Strategy

The principal activities of Data Conversion using DC tools are:
1. HRMIS base data entry (BU-BA-AP), which consists of organizational activity (BA),
organizational unit (BU), actual position (AP) and competency owners. This activity
allows an officer to login into HRMIS using the identity card number as
identification.
2. Conversion of Department Personnel Management System (SISPEN) and Personnel
Information System (SISMAP) into the HRMIS database.
3. Conversion of remuneration information from the Accountant General’s Department
(AG), which contains payroll information of competency owners such as salary
grade, salary points, salary number, basic salary, allowances and salary deductions for
the implementation of Salary and Remuneration Management Module in the HRMIS
database.
4. Conversion of Annual Performance Evaluation Report scores.
5. Conversion of personal information, service profile and service history from the
common system in the PSD.
6. Entry of 13 items of basic information of officers from the National Registration
Department (NRD) into the HRMIS database.
The HRMIS Data Conversion procedure encompasses the following:
1. Developing a conversion programme in the DC Tools based on the legacy system to
be converted.
2. Copying data from legacy systems such as SISMAP, Personnel System (SISJAW),
SISPEN, etc.
3. Performing data cleaning on the legacy system, if required.
4. Implementing the conversion of data into a staging database using DC Tools.
5. Performing reviews and verification of data in the staging database using DC Tools to
ensure the integrity of the converted data.

6. Executing and processing data in the staging database into the HRMIS database using
DC Tools.
7. Generating reports before and after conversion to ensure that data has been
successfully converted.
8. Checking the validity of data that has been converted into the HRMIS database.
6.7 HRMIS Integration With Legacy System
The development of integration tools is one of the scopes identified in the
development of the HRMIS project. Activities that need to be carried out include:
1. Conducting a study on the legacy system
2. Identifying the flow of information
3. Identifying the requirements of information integration
4. Recommending the method of integration
5. Preparing Data Conversion scripts for integration purpose
6. Conducting integration tests
7. Carrying out parallel execution
8. Implementing a full integration
According to the HRMIS Agreement Contract, the systems identified for
integration with the HRMIS application include the following:
1. Payroll System & Planning and Budget Control System (eSPKB)
2. Training System (SILA)
3. Pension System (POWER)
4. Personnel System (SISPEN)
5. Employment System (SISJAW)
6. Attendance System (WBB )
7. Recognition System (SISRAF)

8. Housing Loan System
9. National Registration System
10. Royal Malaysian Police (PDRM) Personnel System
11. Malaysian Arm Force (ATM) Personnel System
12. Labor Market Information System (LMIS)
13. Legacy system relating to the Malaysian Public Service Commission
14. Legacy system relating to the Employees Provident Fund (KWSP)
15. Legacy system relating to Social Security Organization (PERKESO)
16. Legacy system relating to the Inland Revenue Board (LHDN)
17. Legacy system relating to INTAN
18. Legacy system relating to public institutes of higher learning (IPTA)
The project was extended to include the development of integrated applications in
the agencies identified. Of the 38 legacy systems identified, 17 were dropped, and five
other legacy systems were included to make a total of 26 interface integrated applications
to be developed to establish an information sharing mechanism between HRMIS and
legacy systems. This allows the human resource processes and transactions involving
both applications to be continued and completed. The list of legacy systems that require
integration with HRMIS is shown in Figure 12.

Figure 12. HRMIS Integration with Legacy System Infrastructure
The HRMIS Integration Development with legacy systems is based on the Cross
Flagship Integration (CFI) framework developed by the Multimedia Development
Corporation (MDC). It fulfils the standards and specifications for data integration such as
the guidelines set forth in the Malaysian Government Interoperability Framework
(MyGIF) documents issued by MAMPU. The HRMIS integration infrastructure with
legacy systems that was developed is shown in Figure 13.
Figure 13. HRMIS Integration with Legacy System Infrastructure

6.8 HRMIS Reporting Facility
The HRMIS provides four types of reporting facilities to help the user manage
human resource information such as operational reports, statistical reports, SQL reporting
and Executive Information System (EIS) and Decision Support System (DSS).
Operational report is available in each module to monitor the status of the transaction
process of human resource management. Statistical report consists of 52 types of reports
which are commonly used by human resource managers and senior management for
decision-making activities on human resource management policies. The format for both
types of reports is fixed during the user requirement study.
The EIS and DSS are the most powerful modules or business intelligence which
provides facilities for the extraction of human resource information stored in the HRMIS
database. The EIS allows the dynamic extraction of information according to the
perspective of the user, fast and at any time. Information can be released from the macro
level statistical report, and then further refined to micro level statistics, right to the
specific record specifically through the drill down facilities provided. The HRMIS DSS,
on the other hand, provides facilities to make ‘what if analysis’ to assist the decision-
making process. It also allows the user to monitor the status of human resource
management perspective, whether it is in the green (control), yellow (standby) or red
(requires immediate action) through the ‘dashboard’ display provided.
To meet the information needs on public sector human resource, a total of 1412
measurements with 302 dimensions or information perspectives have been developed
involving 71 cubes, technically referred as the multi-dimensional database. With this
facility, the management of agencies will no longer faces problems in obtaining human
resource information whenever it is required. It does not only help human resource
managers in effective decision-making, but also enables action to be taken immediately.
To expand the use of the EIS/DSS sub-module at the agency level, the HRMIS
warehousing data model as shown in Figure 14 was adopted.

Figure 14. HRMIS Data Warehousing Model
6.9 Roles and Responsibilities
Public Service Department (PSD) –
In expanding HRMIS, the PSD as the public sector human resource manager is
responsible at the federal level for the following matters:
1. Formulation of policies on the HRMIS implementation.
2. Planning, monitoring and coordinating the HRMIS implementation/
3. Coordination of the minimum requirements of hardware, software and connectivity to
begin HRMIS implementation at the Ministry and State Secretary Administrations
based on the report on requirements identified by the agency.
4. Ensuring smooth operation of the HRMIS application.
5. Providing technical advisory services such as preparation of base data, data
conversion and integration with legacy systems (if necessary).
6. Providing Level 1 HRMIS Helpdesk services to address HRMIS application issues.
7. Organizing training in the use of HRMIS application.
8. Ensuring technology transfer activities in the HRMIS implementation were carried
out effectively to enable the Ministry and State Secretary Administrations to continue
with HRMIS implementation at their respective agencies.
9. Coordinating human resource management new requirement that involves process
improvement and HRMIS applications.

6.10 Conclusion
To enhance human resource management, the PSD has utilized the potential of
information technology in ensuring the successful development of an Electronic
Government flagship application. Accordingly, in line with its slogan, ‘Public Service
Leader’, the PSD was entrusted as the lead agency to spearhead the implementation of
the HRMIS. The HRMIS, which encompasses the whole of the human resource
management process from appointment to retirement, has enhanced the quality of the
public sector. The system is not merely a human resource application; more importantly,
it is a new approach in human resource management that is more comprehensive and
integrated to overcome the many challenges of public sector management.
In line with current trends and the demands of the new millennium, the HRMIS
has become a platform for sharing information faster and improving communication
among agencies. At the same time, this automated process allows more attention to be
given to more productive tasks, such as analyzing and planning work, which ultimately
helps to improve decision-making, implementation and monitoring processes. In addition
to automating human resource processes and creating a paperless environment, this
application has also linked all Government agencies electronically so that personnel
information from the lower ranks can easily be retrieved by higher level agencies, such as
the Ministries, State Secretary Administrations and the PSD.
Through the facilitation of communication and horizontal integration, the project
has made available the Public Sector Human Resource Management National Database.
The HRMIS is not merely an application, but also HR To-Be. It is therefore important to
ensure that any new ideas to be brought forward should be in line with the framework of
HR To-Be to avoid conflict of approaches that would cause confusion to the agencies and
adversely affect the fundamental goals of human resource management.
The aspect of internal expertise at the agency level was also given priority for the
successful implementation of the HRMIS. It is an important fact that the cooperation and
commitment of all parties are crucial in ensuring the success of HRMIS implementation.
Without the strategic alliance between the government and consultants, or the change of

mindset and way of working among the civil servants, the implementation of this
application would not have made any headway. Despite the many challenges and
constraints, the HRMIS application has successfully been expanded to all the government
agencies. The planned strategy has been successful in addressing issues that arose from
time to time and continuing efforts are still underway to ensure that all issues are
addressed and resolved as soon as possible.
After ten years of its development, the HRMIS has triggered a change in mindset
and transformation of the public sector human resource management. This transformation
is essential in realizing the goal of human resource management to become the leader in
realizing the government’s vision, and ultimately achieve the target of the national
mission in creating comprehensive, efficient and effective human resource information
management. Thus, the HRMIS is the catalyst for more structured mobilization of the
administrative machinery of the Government as well as the starting point in the
modernization of public sector human resource management of the 21st
century.

REFERENCES
http://en.wikipedia.org/wiki/Human_resource_management_system
http://www.jpa.gov.my/
Maier, C., Laumer, S., Eckhardt, A. & Weitzel, T. (2013). Analyzing the impact of HRIS
implementations on HR personnel’s job satisfaction and turnover intention. The Journal
of Strategic Information Systems, 22 (3), 193–207.
Turban, E. & Volonino, L. (2010). Information Technology for Management. 8th
Edition.
International Student version: Wiley. Online at www.wiley.com/go/global/turban

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