Denso Malaysia Promotion Model

Name: Muhammad Firdaus Bin Shaari
Id: 2015504039

In an organization, to cope up with constantly market change and constant developing and growing of competition, changes are inevitable. In order to keep the business going and staying alive, changes can be considered as compulsory. Otherwise, even the biggest corporations regardless how successful they are will definitely be impacted. The world have seen a lot of examples of mega corporations collapsed completely due to unable to cope with rapid changes especially those companies highly dependent on technology as their core business. Motorola was once the pioneer in communication and even became the first company to introduce mobile phone to the world. However, their inability to adapt with

Realizing the automotive industry constantly demand innovation, Denso as one of the biggest automotive suppliers in the world has moved forward from designing mechanical parts in automotive industry into providing solutions in electronics component of a vehicle primarily. However, in reality when companies tend to implement changes, not all of them are being accepted by internal stakeholders especially the workers. An example is the change of position of employee in term of promotions. Denso Malaysia promotion scheme is duly based on performance and regulation compliance. This company also implemented bell curve system in recognizing their top performer for the promotions apart from widely used performance indication also known as key performance indicator (KPI). Denso Malaysia has the courtesy to change their employee’s rank and positions through promotions. They identified potential employees to be promoted which comes in greater compensation and benefits. Ideally, the promotions will be accepted with open heart and it is what employees been looking forward to. However, in reality that Denso Malaysia has faced suggest

In Denso Malaysia, there are certain groups of employee showing their resistance to change and declining the promotion possibilities mainly due to wages and salary especially those who have been categorized at supervisor level who been nominated to be in executive level. The employees who resist in accepting promotions they entitled to is mainly because of the wages and salary and not due to job responsibility. Supervisors are entitled for overtime allowances and so do executives. However, the calculation of the overtime is totally different. Executives entitled of fixed rate overtime allowances whilst supervisors and below were based on multiplying their basic salary to a certain percentage which is far more benefiting to them. In some cases, the differences can reach up to 30% per month because they are most likely need to be work extra hours regardless of being supervisors or executives. The only benefit they will get by being an executive from supervisor level is additional annual leaves and dental health care coverage. This is why we can see that the supervisors resist to be promoted by purposely downgrading their performance and violating promotions criteria like taking medical leaves exceeded the maximum criteria so they were not being nominated of promotions. Denso have tried to educate and motivate them communicate and educate