KEY CRITERIA TO EVALUATE CONTRACTOR PERFORMANCE FROM HUMAN RESOURCE MANAGEMENT STRATEGY
The mining industry significantly contributes to Indonesia's workforce. However, shifts in company operations, global demand and supply, and commodity price fluctuations have necessitated changes in workforce composition. This research investigates the key criteria for evaluating contractor...
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Format: | Theses |
Language: | Indonesia |
Subjects: | |
Online Access: | https://digilib.itb.ac.id/gdl/view/83112 |
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Institution: | Institut Teknologi Bandung |
Language: | Indonesia |
Summary: | The mining industry significantly contributes to Indonesia's workforce. However,
shifts in company operations, global demand and supply, and commodity price
fluctuations have necessitated changes in workforce composition. This research
investigates the key criteria for evaluating contractor performance from a human
resource management perspective at PT Freeport Indonesia (PTFI), a major player
in the mining sector.
The study begins by outlining the challenges faced by PTFI, including the shift
towards a higher composition of contractor employees, the regulatory landscape,
and trends in human resource management impacting labor practices. It highlights
the importance of managing contractor employees effectively to ensure operational
efficiency, compliance with safety and labor regulations, and sustainability of
operations.
To address these challenges, the research identifies critical human resource
criteria for evaluating contractor performance. Through a comprehensive
literature review and focus group discussions with PTFI's HR and safety experts,
the study establishes criteria such as safety performance, compliance with labor
regulations, employee competency, and fair remuneration practices. The research
employs the Analytical Hierarchy Process (AHP) to prioritize these criteria and
assign appropriate weights, ensuring a balanced and effective evaluation
framework. Additionally, Pareto analysis is used to identify the most impactful
criteria affecting contractor performance, focusing on key factors that contribute
to the majority of issues. The study result indicates that critical criteria, such as
safety compliance and competency development, are identified as the most
important factors in evaluating vendor performance from HR strategy. |
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