Galenium’s HR Transformation: Integrated System for Attendance, Payroll, and Vacancy Fulfillment

The customer Company: Over the last 30 years, Galenium Pharmasia has grown from a home business to a large-scale manufacturer and distributor of pharmaceutical  and skin care products, with Caladine being their most well-known product. Today, its operation spans a 20,000 sqm  state-of-the-art  factory located in Bogor, West Java, marketing offices all over Indonesia, the sales of its product in SEA, the Middle East, Europe and America. Key Achievements Fully integrated, complete set of functions that unifies current and old data from all HR areas in one central system Process Standardization across all functions of HR and for all employees and locations Employee related data and files are easy to find, they are consistent and accurate Connecting attendance records and resignations with Payroll to avoid over payments Mapping hierarchies, positions and people of their organizational structures and having a complete picture of  vacant position Ability to do targeted recruitment based on vacant positions and do proper manpower planning Industry: Pharmaceuticals, Personal Skin Care, Distribution & Logistics, Manufacturing, Health Services Employees: 850 Established: in 1960 Locations:  Jakarta, Bogor, and marketing offices in all big cities in Indonesia Project Goal: Across-the-board HR process standardization for Core HR functions as well as Talent Management and Recruitment and to have one central platform for all HR activities and data Galenium Pharmasia Laboratories: Nurturing Health, Empowering Quality PT Galenium Pharmasia Laboratories is a manufacturer and distributor of a wide range of high-quality health, skin care and cosmetic products. Starting out as a home business in 1960 by Dr. Joesoef Bagindo Sutan and his son Eddy, the company has grown into a large national scale operation over the last 30 years that boosts a 20,000 sqm factory and logistics facility in Bogor and 850 employees to support the production of its high-quality products and their sales in Southeast Asia, the Middle East, Europe and America. While family favorite baby skin care brand, Calendine, is their flagship, the company also markets other well-known brands such as Clarite Laxacod, Laxadilac, Galpain, Selefit, Imunex and many more. Committed to high quality standards in their production and operation Galenium Pharmasia Laboratories obtained several certifications over the year including the “Sertifikasi Sistem Jaminan Halal (SJH) from MUI, the Quality Management System ISO 9001:2018 and Occupational Health and Safety Management System: ISO 45001:2018. After years of frustration with their manual HR processes, the Galenium HR team decided in 2020 that it was time to hold their internal HR operation to the same high standards that are applied to their products. Galenium’s pain points with their manual HR procedures Despite spanning a nationwide operation, with a head office in Jakarta, a factory in Bogor and many marketing offices in all big cities across the archipelago, Galenium’s HR team relied on manual processes for their human resource (HR) management. Trying to manage 850 people in so many different locations is not an easy task. Often the company’s HR team was trapped in a time-consuming cycle of trying to find employee records, work history or performance files, trying to find out the correct attendance data of employees to ensure correct salary payment, or attempting to reconcile different sets of data.  Out-of-date organizational structures and employee profile and movement records One of the issues that bothered the HR team was their inability to get a clear, up-to-date picture of their organizational structures and employee records. The manual process made it difficult to get a real-life snapshot of their internal department and position hierarchies and the employees that filled these positions. Paper-based tracking of employee movements between locations, job rotations, promotions, resignations and finding those records later added to headache. Without a centralized system, consistently updating and finding very basic information proved to be an arduous task. Irregular attendance monitoring and payroll issues The real impact of the manual HR management was felt in the correlation of attendance and payroll. In Galenium’s case attendance is linked to the salary payment. So tracking clock in and out time is crucial for the company. Unfortunately, due to the absence of an automated system, the team frequently faced irregular attendance records. The issues ranged from inconsistent or half available data to no data at all, which made it difficult for the HR team to decide how to proceed with the salary payments. The impact on the payroll was additionally felt with resigning staff. Paper files and no visibility into attendance records and slow communication from the locations side, made it hard for HR to know employees real resignation dates and whether they should receive a full or partial month’s salary. Delays and miscalculations were the results because of it. Impossible to get historical data for performance reviews Despite spending a significant amount of time on basic HR administration and operation, Galenium’s HR team was still committed to their annual performance reviews. But every year again, they struggled to find various files that go into it. “When we need historical data as a basis for our Talent Management discussions and reviews, we have to go look for the physical files first. It takes time. Sometimes we would find out they have been stored in warehouses and sometimes we would find out that they have been destroyed.” Recruitment mismatched with needs Another source of frustration for the team related back to the unavailability of up-to-date organizational structure because that also meant not having a complete picture of overall vacancies in the company. Hence, doing accurate manpower planning and then conducting targeted hiring for only positions in need at the locations in need was near impossible. The HR team was rarely aware of managers’ requests for manpower, and when they did recruit the process of searching, filtering and hiring the right talent took a long time. Galenium’s HR Transformation Journey  That thought became the HR team’s mindset and to resolve their issues and unlock the full potential of their HR department, Galenium decided to embrace a fully integrated HR system. After convincing their management of the lack of efficiency in their current structure,

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