Philippine Long Distance
Telephone Company
San Miguel Corporation
Key Objectives :

To provide an environment which is
conducive to the development of the
individual and which encourage the
employees to realize their full capabilities

To adopt a flexible and objective attitude
towards change and purse an active
policy of innovation
Employer- Employee Relation
“KAUNLARAN” MAGAZINE
Sports Activities
NON-MONETARY BENEFITS
MONETARY BENEFITS
“Total Commitment to People”
A adequately compensated manpower that provides
these essential services to its subscriber
A dynamic and innovative management team
To assure the company of highly qualified personnel,
recruitment is done strictly according to a set of standards
and policies.
The minimum requirement is a COLLEGE DEGREE even for
messenger.
According to Dr. Magno “ we want people to grow with the
company, therefore, they must already possess the basic
requirement of a college degree.”
A unique feature of the recruitment policy of PLDT is the
practice of allowing relatives to work in the company
provided they are not in the same craft or department.
This practice stems from management’s philosophy that
the more member of a given family are employed, loyalty
generated for the company is increased as well.
The training program as
handled by the Human
Resource Development
Division sends personnel
for training here and
abroad. After
completion of their
training, participants are
asked to gauge the
applicability of the
program they have
undergone to the needs
of the company, then
another batch is sent for
training in the program.
“ISANG KUMPANYA, ISANG PANANAW”
Kinds of Expense
A. Cost of Products sold
Components
 Goods and materials
 Utilities
1. Factory Inventory Costs
(FIC)
 Depreciation
 People related ones
Contribution of HR to cost
reduction, insuring that.
 Manpower is not
misused or misdirected.
 Everyone does a day’s
work.
 Work is not interrupted.
 Accidents are reduced.
 Turnover is minimized .
 Materials and time are
not wasted.
Kinds of Expense
2. Plant Burden
Components
 Plant Utility
 Overhead Expense
3. Factory Cost Adjustment
(FCA)
 Scrap
 Cost
 Variance
 Loss of materials
 Off-Spec products
 Engineering /Purchasing
expense
 Trial production
Contribution of HR to cost
reduction, insuring that.
The right people are
recruited.
The sales force and
managers are properly
trained.
A working climate that
keeps morale high is
maintained.
The manufacturing people
produce goods in the
needed number and quality.
 Productivity/Efficiency.
 Dedication to quality work
is promoted.
 Waste and scrap are
eliminated.
 Output is increase.
 Attitudes leading to
mistakes are eliminated.
Kinds of Expense
B. Operating Costs
Components
 Distribution
 Advertising and
Promotion
 Selling
 Product Services
 Administrative and
General Services
Contribution of HR to cost
reduction, insuring that.
 Warehouse people
are properly managed.
 Morale is increased
through good
compensation and
employee policies.
 Less service and repair
cost are anticipated by
assuring product quality.
 Good R & D people
are hired and retained .
 The right jobs are
assigned to right people.
 Work is not interrupted if HRM provides incentives for the workers so
that continuous work could be done to avoid depreciation. This
would encourage them to do their best and so would produce the
output required with least depreciation costs.
Problem related to people can be avoided if there is proper
scheduling of work; e.g., Just-in-Time, (JIT) Interruption in their jobs is
minimized and a more systematic flow of production can be
followed.
 Accidents are reduced if proper maintenance of machines is
practiced. Breakdown of machines could be avoided if the workers
are motivated to take care of them. Proper instruction on how to
handle these machines should be given to the workers so that they
would have the proper Know-how of operating them and thus avoid
accident.
 When employees are satisfied with their jobs, personnel
turnover is minimized. Materials and time are not wasted when
turn-over is minimal because there are few employees to
train. In case where there is a high turn-over, there is a
possibility that new employees waste materials due to lack of
orientation on tasks given to new hirees. Time may be wasted
when the newly employed person is not yet used to his tasks.
PLANT BURDEN
PROPER TRAINING OF THE SALES FORCE AND
MANAGERS
 Scrap – if people know what they re doing with proper management, they
are bound to make less mistakes and thus minimizing scrap page.
 Cost Variance – HRM can make use of standards to motivate people in order
to avoid unfavorable cost variances.
 Loss of Materials – Highly motivated people will always take into consideration
the availability of materials and their proper utilization.
 Off-spec Products – Close monitoring of orders will result in minimizing off-spec
products.
 Engineering and Purchase Expense – Highly motivated people will try to save
for the company by canvassing first before making the purchase order.