shaping the role of hr
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Transitions and TransformationsTransitions and Transformations
SHAPING THE ROLE OF HR: Tactics for Strategic Change
Dan ScottiTraining and Learning Development
SESSION OBJECTIVESSESSION OBJECTIVES
• Broaden perspectives• Challenge the conventional wisdom regarding
HRM• Peek into the future
Survey Says…..Survey Says…..
• A recent survey by the Towers Perrin Group revealed that:– 50% of HR professionals see themselves as
strategic business partners within their organizations
– But only 17% of HR professionals say they are invited to participate in the initial stages of major enterprise initiatives
Closing the Gap Requires Closing the Gap Requires
• A change in mindset• HR• The Enterprise
• Continuing to performing the basic functions well
• Organizational Literacy• Courageous Leadership
A New Mindset:A New Mindset:HR as an Investment, Rather than an HR as an Investment, Rather than an ExpenseExpense
• Historically: HR and people were not considered tangible assets. The ‘means of production’ was a machine bolted to the factory floor. People merely operated it.
• Today: The intangible of human capital (what people know + their level of commitment to the organization) is the prime driver of organizational results.
A New ParadigmA New Paradigm
• HR is shifting from focusing on the organization of the business to focusing on the business of the organization
The GoalThe Goal
• The intent of the new HR paradigm is to achieve alignment among the
» Strategy» Structure» Culture
• of the enterprise.
Strategic HRStrategic HR
• Focus• Alignment• Process integration• Information management• Innovation• Measurable results
Strategic HRStrategic HR
• Partner
• Change agent
• Passionate about people as the source of organizational success
The FoundationThe Foundation
• Traditional HR Functions • Employment• Compensation• Benefits• Training/Development
Just a ThoughtJust a Thought
If you keep on doing what you’ve always done, you’ll keep on getting what you always got………
Emerging FunctionsEmerging Functions
Additional value added:• Multi level performance analysis – people,
teams, the organization • Aligning HR process to drive organizational
results• HR as a component in the enterprise value
proposition, in vision & mission achievement
High Gain HR QuestionsHigh Gain HR Questions
• How do people create value for the organization?
• How does HR contribute to and measure the value creation process?
HR Evolution:Personnel”HR Evolution:Personnel”Functions Transactions
Compliance
Record keeping
Financial Focus Cost minimized
Key Strategies Rule knowledge
Process efficiency
Products/Services Payroll & benefit administration
Job descriptions/standards
Training
Compliance
Metaphor The enforcer
Paradigm Technical correctness
HR Evolution: “Human Resources”HR Evolution: “Human Resources”Functions Advisory services
Problem solving
Operational issues
Financial focus Cost control
Key strategies HR practices
Business context
Products/services Recruiting, Performance evaluation, Payroll, Position management, Employee relations, Training & Development, Risk management
Metaphor Business Partner
Paradigm Process Improvement
HR Evolution: “Human Capital”HR Evolution: “Human Capital”
Functions Capacity building
Opportunity identification
Strategic issues
Financial focus Investment analysis (ROI)
Key strategies Systems thinking
Strategic consulting
Products/services Human capital planning, Talent management, Leadership development & succession planning, Performance culture, Competency systems, Metrics
Metaphor Strategic Partner
Paradigm Transformation
HR Strategic ArchitectureHR Strategic Architecture
HR Function
HR professionals with strategic competencies to deliver products/services that drive organizational success
HR SystemPerformance driven, strategically aligned
policies & practices
Human Performance
Strategically focused competencies, motivation, skills,
capabilities
The Strategic HR ModelThe Strategic HR Model
StrategicHR
Leadership
The HR Value Proposition:
Linkage to Results
Business Literacy: HR knows the business
Doing the ‘basics’ well
Know the HRBOK
Personal credibility of the HR practitioner
An Emerging HR MindsetAn Emerging HR Mindset
• Focused on adding value for the customer• Proactive• Willing to assume risk• Results driven
HR Best PracticesHR Best Practices
HR Practice Measures
Bottom 10% Top 10%
Qualified applicants per hire 8 37
Annual training hours:
Per new employee
Per experienced employee
35
13
117
72
% employees receiving performance appraisal
360 feedback41%
4%
95%
52%
% hired based on a validated selection test
4% 30%
Tactic: A Consultative ApproachTactic: A Consultative Approach
• A phased, modular, repeatable and iterative process for HR professionals so that customer relationships are enhanced.– Strengthen the HR value proposition– Create enterprise HR bench strength– Manage HR professionals as an enterprise asset
A Best Practice: HR Consulting A Best Practice: HR Consulting
• Setting the Stage• Entering, Scoping, Contracting• Diagnosis• Determining Action, Planning, Implementation• Assessing, Closing
SkillsSkills
• For each Phase:– Structure– Challenges– A set of consultative skills
• An Action Learning Activity to transcend the learning
HR CHALLENGESHR CHALLENGES
• Focus strategically- act tactically• Assessment
– Develop/apply new measures
– Audit measures
– Analyze & report
• Change planning and implementation• Continuous improvement
A Couple of Closing ThoughtsA Couple of Closing Thoughts
• Be careful of yesterday’s success, because success tastes so good it dulls the appetite for risk…..
• The significant problems in life cannot be solved from the same mode of thinking that created them………