How HR Can Contribute to a Circular Economy | Asia Pulp & Paper

The global economy has changed dramatically, and seismic worldwide catastrophes have forced companies to reevaluate human resource management.

Questions about labour and human capital as resources have resurfaced, making them more relevant than ever. As Asia Pulp and Paper (APP) Sinar Mas experts debate the significance of a circular economy, our findings have concluded that it is human resource (HR) professionals that ought to lead the charge when marrying talent to responsibility in the current market environment. In this article, experts from Asia Pulp and Paper will discuss the growing importance of dynamic hiring habits that focus on employee retention and growth. 

Approaches to a circular Human Resource Management (HRM) model

Asia Pulp and Paper practises effective Human Resource Management (HRM) through the following model:

  • Intake refers to the HRM pre-recruitment and recruitment stages at Asia Pulp and Paper. HR professionals at Asia Pulp and Paper are working to incorporate the company’s hopes and dreams by prioritising this during the onboarding process. This is seen in-practice when an Asia Pulp and Paper HR professional establishes standards of work for the new hire and holds him or her accountable to the organisation’s ethos.
  • Development takes place in day-to-day operations at Asia Pulp and Paper. HR professionals, and indeed all professionals at the company, strive to build a cohesive and inclusive company environment for interns, new joinees, or entry-level employees. These changes are an integral part of the circular economy model, which is built on utilising existing capital for as long as possible.
  • It is critical that a portion of HRM be dedicated to the retention of the skill sets and knowledge of older employees. Experienced Asia Pulp and Paper employees can provide a mentoring system for their younger colleagues by pairing or connecting them with their more experienced colleagues and sharing valuable insights from their wealth of industry and job scope related knowledge. This collaboration, along with proper documentation and archiving, ensures a network that can quickly transfer info between people without dying in translation.

HR professionals’ role in the transition

The HR department is a vital component of Asia Pulp and Paper’s corporate structure. Frequently regarded as trend-setters and thought leaders, good HR candidates can influence the establishment and maintenance of company goals. If sustainability is the end goal for businesses around the globe, then HR can be the change they wish to see in their company’s operating procedures.

There are numerous ways for HR teams to promote lasting circular values. Perhaps the best case is seen in how the perception of jobs as the end-all-be-all in life is rapidly changing, which in turn has led to organisations ramping up efforts to limit the turnover rate of employees who work for them. Asia Pulp and Paper believes that HR teams should scrap the age-old framework, whereby positions are only filled temporarily, or on a limited-term contract, and instead embrace the sustainability principles of Reduce and Repurpose. Employers should empower employees to learn new skills on-the-fly and in tandem with any movement to new roles within the firm, as this is critical in promoting long-term HR values.

Lastly, an HR department’s clear conveyance of information can create more sustainable economies for the business and longer-lasting employee satisfaction. As the needs of the economy and business change, HR departments can and should keep employees informed of any company movements. By trusting their recruitment and hiring decisions and through a concerted effort to keep employee morale high, HR professionals can shape skill sets in their employees which are not only relevant, but dynamic as well and can set them up for success wherever they go.

A closer look at Asia Pulp and Paper HR efforts at employee sustainability

Asia Pulp and Paper has focused its efforts on employee sustainability through community empowerment programs that promote the company’s values to the public, with the end goal of building sustainable livelihoods for all. At a micro level, Asia Pulp and Paper’s responses to on-the-ground needs are guided by the development of a targeted five-year CSR plan, which, if achieved, will be a step forward in the development and maintenance of a circular economy model. The priorities of the CSR program are divided into four categories: charity, infrastructure, capacity building, and community empowerment. These are in line with the development priorities of the Indonesian government, such as social forestry, in which the government allocates forest areas for management by community groups in an effort to relieve pressure on natural forests.

Build your future with Asia Pulp and Paper wherever you may be

To ensure the long-term viability of its operations, Asia Pulp and Paper is committed to carefully and responsibly managing resources, employing the precautionary principle in its approach to identifying and managing negative environmental impacts. The company directly supports its customers’ sustainability goals by employing innovative design and ensuring the highest manufacturing efficiency in its mills.

Furthermore, Asia Pulp and Paper recognises its obligations not only to its employees but also to the local communities it serves. That is why we are investing in human capital management as part of our Sustainability Roadmap to ensure business continuity and to empower and include local communities in its efforts. Asia Pulp and Paper strives to position itself as a dynamic company with strong employment benefits that go beyond salary. These consist of initiatives such as health insurance, pensions, the opportunity to earn an additional bonus through various recognition schemes, and annual career development reviews for permanent employees. These policies have been beneficial and management staff turnover is low due to a loyal and long-serving workforce. Asia Pulp and Paper has also increased its efforts to ensure that young talent is recognised and that these employees can see a bright future at the company. With offices in Singapore, the United States, and Hong Kong among others, Asia Pulp and Paper’s dynamic HR engagement hopes to be a global blueprint for how companies should practise recruitment and retention efforts in the years to come.