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“ H R s h o u ld n o t b e d e f in e d b y w h a t it
d o e s , b u t b y w h a t is d e liv e r s – r e s u lt s
t h a t e n r ic h t h e o r g a n iz a t io n ’ s v a lu e t o
c u s t o m e r s , in v e s t o r s , a n d e m p lo y e e s
”

                                                   Dave Ulrich
                                                     HR Guru
The Building Block Approach

                      HR in Start ups




December 2011                           Confidential . Not for Circulation
The Agenda


The Startup Context

The HR Game plan

  The Nitty Grittys
The Story…..
My Story

              Aurigene
              Employee
                No 3
                         Quintant
Indya.com
                         Employee
Employee
                           No 4
   no 2       The HR
              Practice
             Employee
               No 1
Business Results & People Processes



                                 Purpose/Mission / Goals
B u s in e s s




                                                                  O r g a n iz a t io
                                                                  E f f e c t iv e n e
E n v ir o n m e n t   Reward                      Organization
                       Systems                     Structure
                                   Company




                                                                           ss

                                                                            n
 In d u s t r y        Processes/ Leadership
                       Interactions               Work
 S tru c tu re
                       Mechanisms                 Culture
The HR Gameplan
                                      Long
                                      Term
       Strategic Partner                           Change Agent

              Management of            Management of
              Strategic Human          Change and
Processes     Resources                Transformation             People



              Management of the         Management
              Administration of the     of Employee
              Organization              Contributions


        Administrative                              Employee
                                      Short
        Expert                        Term          Champion
The HR Work Family
                                                                             the
                                  Compensation

                                                                         ers
               Compensation,      Benefits

                                                                      oth
                Benefits and      Payroll & Benefits Administration
                  Rewards         Rewards
                                                ,
                                              y1 d
                                  Budgeting & Expense Accounting
                                             a
                                          l D late
                                  Organizational Development
                                         a
                                      ion rticu
                                  Performacne Management

                                   rat e a
               Organizational &
                                  Training

                                ope to b
             People Development
                                  Career Development
                              y
                          full eds
                                  Succession Planning

                        e
                                  Data Records & Management

                     o b ht ne
                  d t ug
               Employee Data
                                  HRIT & HRIS


              nee tho
                                  Employee / Manager Self Service
                Management
                                  Workforce Analytics
           cts ing”               Management Reporting

       spe und                    Employer Branding

    e a “ fo Workforce Planning & Recruiting / Staffing

Som              Deployment       Immigration Services
                                  Resource Deployment
                                  HR Strategic Planning
                                  HR Plan and Program Design
               Human Capital
                                  Employee Relations
                  Services
                                  Employee Communications
                                  Policy and Statutory Compliances
Start up HR Priorities

Seed Values, Culture             Setup Essential
     Anchors                        systems


Get the “right” team on            Manage HR
        Board                      Operations



         Build with an eye on the future….
The Perfect World
Seed Values, Culture Anchors                 Setup Essential systems

     Articulate Beliefs,                      Employee Information
           Values                             Capture & Verification
                                                                           Philosophy
   Articulate the People                    Compensation Structure,        behind the
        Philosophy           Share the      Grade Ladder & Payroll          Systems
                             Vision and      processing, Bank A/c           should be
     Underline desired          create                                     evident; will
                                            Benefits Administration –
       behaviours          “followership”                                     be the
                                              Insurance, Sodexho
                                                                           foundation
      Create Folklore                           Attendance, Leave           for future
                                                                             action
     Teaming Charter                          Compliances Required
     Founding Team                          Employment Agreements,
        Charter                             IP & Confidentiality Policy,
                                            Non Solicit, Non Compete
The Perfect World
Get the “right” team on Board           Manage HR Operations

   Reach out to “aligned”                   Induct new hires
  talent- hire for tomrrow
                            Assess     Joining Administration and       Regular
Share the Company Vision    Fitment     activation into all internal   operation
The Compelling proposition    into     systems Business cards to        al tasks
                           Company               Benefits              for initial
    Share Ownership,
                           , Vision,                                     6 to 9
     Management &                         Employee Relations
                            Team,                                      months of
  Organization Structure
                           Compete      Internal Communication         operation
Share Result Expectation     ncies,           and teaming                   s
                             Skills,
Share Title, Compensation, Attitude           HR Reporting
          Benefits
                                       Rules of Engagement and
 Share Onboarding details                  Issue Resolution
The “Dirty” List
Get the “right” team on Board
                                   Offer Letter,          Organization
  Go Viral on requirements      Appointment Letter,    Structure, Key Role
                                IP & Confidentiality   Briefs, Deployment
 Share the Company Vision           agreements                 Plans
     – the Compelling
        proposition              Base HR Policies –
                                                           Key Growth
      Share Equity &              Working hours,
                                                        Milestones, Short
                                 Holidays & Leave,
    Organization Design                                    term Goals,
                                   Grade Ladder,
        Thoughts                                            Priorities
                                 Reimbursements,
   Set Direction, Role will
           evolve               Compensation Plan        Online Presence
                                 – Fixed, Variable,    Website Content to
Share Title, Compensation,         Equity, Fixed       attract talent, Social
          Benefits              Structure, Benefits        Media Pages
 Share Onboarding details
The “Dirty” List
Manage HR Operations                                      Activations – Computer
                                  Induction Plan,
                                                           allocation, Payroll, PF,
                                 Collateral, Team
     Induct new hires                                       Insurance, Sodexho,
                                   anointment /           HRIS, Email ID, Seating,
Joining Administration and          introduction          Bank Account, ID Card,
 activation into all internal                            Business Car, Attendance
systems Business cards to             Employee
          Benefits                Information form,       Rules of Engagement,
                                      Clearance         Internal communications,
   Employee Relations            documents earlier        and teaming activities
                                company, Education
 Internal Communication              documents,
       and teaming               Verification, Health   Statutory – Shops & Est,
                                 Declaration, Exit &      Contract labour, PF,
       HR Reporting                   Relieving             Health & Safety,
     Issue Resolution                documents,              Performance
                                     Employment             Management and
                                    certification              Training
The “Dirty” List
         Values, Culture Anchors…..


      …… are established through decisions,
communications, behaviours – choice is to let it happen
         or guide the process from day 1
The HR Mission


T o d e v e lo p a n d m a n a g e
                  t a le n t ;
     t o a p p ly t h a t t a le n t ,
  t h r o u g h o u t t h e w o r ld ,
        f o r t h e b e n e f it o f
                 c lie n t s ;
t o d o s o i n p a r t n e r s h i p ;P eters
                                       T om

     t o d o s o w it h p r o f it .
About Us




   E x p e r t i s eE x p e r i e n c e E m p a t h y E n t h u s i a s m
T h e H R P r a c t ic e p a r t n e r s c lie n t s in e n h a n c in g e m p lo y e e
     e n g a g e m e n t le v e ls b y im p le m e n t in g , p r o a c t iv e a n d
     r e s p o n s iv e p e o p le p r a c t ic e s in t h e ir o r g a n iz a t io n s
Thank You
“At the end of the day, we bet on people – not strategies


                               Larry Bossidy, CEO , Allied Signals




                  www.thehrpractice.in
The Operating Context
Phase 1         Phase 2        Phase 3        Phase 4          Phase 5
Large


                                                       Crisis of
                                                                        Growth
                                                       Red Tape
                                                                        through
                                                                        collaboration
                                          Crisis of
                                          Control        Growth
                                                         through
                                                         coordination
                         Crisis of
                         Autonomy         Growth
                                          through
        Crisis of                         delegation
        Leadership          Growth
                            through
                            direction
Small




            Growth
            through
                                                          Looking ahead….
            creativity

        Young                                                      Mature
The Start up Context
  How to build a Sales proposition that wows                Manage the funding
  customers
                                                  How Can I Maximise earnings

 How Can I Get My Company Into Profit
 Quickly                                    What is my internet strategy ?
                   What is the revenue pipeline
  Setting up Operations /              How Should I manage spends / burn rate
  Production

              What Is The Right Price For My
              Product/Service                               Develop business strategy

How do I reach out to potential customers ?
                                                                Manage operations
    Inspire people to join
                             Do I get an Advisory Board ?

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HR ForStartups Check List

  • 1. “ H R s h o u ld n o t b e d e f in e d b y w h a t it d o e s , b u t b y w h a t is d e liv e r s – r e s u lt s t h a t e n r ic h t h e o r g a n iz a t io n ’ s v a lu e t o c u s t o m e r s , in v e s t o r s , a n d e m p lo y e e s ” Dave Ulrich HR Guru
  • 2. The Building Block Approach HR in Start ups December 2011 Confidential . Not for Circulation
  • 3. The Agenda The Startup Context The HR Game plan The Nitty Grittys
  • 5. My Story Aurigene Employee No 3 Quintant Indya.com Employee Employee No 4 no 2 The HR Practice Employee No 1
  • 6. Business Results & People Processes Purpose/Mission / Goals B u s in e s s O r g a n iz a t io E f f e c t iv e n e E n v ir o n m e n t Reward Organization Systems Structure Company ss n In d u s t r y Processes/ Leadership Interactions Work S tru c tu re Mechanisms Culture
  • 7. The HR Gameplan Long Term Strategic Partner Change Agent Management of Management of Strategic Human Change and Processes Resources Transformation People Management of the Management Administration of the of Employee Organization Contributions Administrative Employee Short Expert Term Champion
  • 8. The HR Work Family the Compensation ers Compensation, Benefits oth Benefits and Payroll & Benefits Administration Rewards Rewards , y1 d Budgeting & Expense Accounting a l D late Organizational Development a ion rticu Performacne Management rat e a Organizational & Training ope to b People Development Career Development y full eds Succession Planning e Data Records & Management o b ht ne d t ug Employee Data HRIT & HRIS nee tho Employee / Manager Self Service Management Workforce Analytics cts ing” Management Reporting spe und Employer Branding e a “ fo Workforce Planning & Recruiting / Staffing Som Deployment Immigration Services Resource Deployment HR Strategic Planning HR Plan and Program Design Human Capital Employee Relations Services Employee Communications Policy and Statutory Compliances
  • 9. Start up HR Priorities Seed Values, Culture Setup Essential Anchors systems Get the “right” team on Manage HR Board Operations Build with an eye on the future….
  • 10. The Perfect World Seed Values, Culture Anchors Setup Essential systems Articulate Beliefs, Employee Information Values Capture & Verification Philosophy Articulate the People Compensation Structure, behind the Philosophy Share the Grade Ladder & Payroll Systems Vision and processing, Bank A/c should be Underline desired create evident; will Benefits Administration – behaviours “followership” be the Insurance, Sodexho foundation Create Folklore Attendance, Leave for future action Teaming Charter Compliances Required Founding Team Employment Agreements, Charter IP & Confidentiality Policy, Non Solicit, Non Compete
  • 11. The Perfect World Get the “right” team on Board Manage HR Operations Reach out to “aligned” Induct new hires talent- hire for tomrrow Assess Joining Administration and Regular Share the Company Vision Fitment activation into all internal operation The Compelling proposition into systems Business cards to al tasks Company Benefits for initial Share Ownership, , Vision, 6 to 9 Management & Employee Relations Team, months of Organization Structure Compete Internal Communication operation Share Result Expectation ncies, and teaming s Skills, Share Title, Compensation, Attitude HR Reporting Benefits Rules of Engagement and Share Onboarding details Issue Resolution
  • 12. The “Dirty” List Get the “right” team on Board Offer Letter, Organization Go Viral on requirements Appointment Letter, Structure, Key Role IP & Confidentiality Briefs, Deployment Share the Company Vision agreements Plans – the Compelling proposition Base HR Policies – Key Growth Share Equity & Working hours, Milestones, Short Holidays & Leave, Organization Design term Goals, Grade Ladder, Thoughts Priorities Reimbursements, Set Direction, Role will evolve Compensation Plan Online Presence – Fixed, Variable, Website Content to Share Title, Compensation, Equity, Fixed attract talent, Social Benefits Structure, Benefits Media Pages Share Onboarding details
  • 13. The “Dirty” List Manage HR Operations Activations – Computer Induction Plan, allocation, Payroll, PF, Collateral, Team Induct new hires Insurance, Sodexho, anointment / HRIS, Email ID, Seating, Joining Administration and introduction Bank Account, ID Card, activation into all internal Business Car, Attendance systems Business cards to Employee Benefits Information form, Rules of Engagement, Clearance Internal communications, Employee Relations documents earlier and teaming activities company, Education Internal Communication documents, and teaming Verification, Health Statutory – Shops & Est, Declaration, Exit & Contract labour, PF, HR Reporting Relieving Health & Safety, Issue Resolution documents, Performance Employment Management and certification Training
  • 14. The “Dirty” List Values, Culture Anchors….. …… are established through decisions, communications, behaviours – choice is to let it happen or guide the process from day 1
  • 15. The HR Mission T o d e v e lo p a n d m a n a g e t a le n t ; t o a p p ly t h a t t a le n t , t h r o u g h o u t t h e w o r ld , f o r t h e b e n e f it o f c lie n t s ; t o d o s o i n p a r t n e r s h i p ;P eters T om t o d o s o w it h p r o f it .
  • 16. About Us E x p e r t i s eE x p e r i e n c e E m p a t h y E n t h u s i a s m T h e H R P r a c t ic e p a r t n e r s c lie n t s in e n h a n c in g e m p lo y e e e n g a g e m e n t le v e ls b y im p le m e n t in g , p r o a c t iv e a n d r e s p o n s iv e p e o p le p r a c t ic e s in t h e ir o r g a n iz a t io n s
  • 17. Thank You “At the end of the day, we bet on people – not strategies Larry Bossidy, CEO , Allied Signals www.thehrpractice.in
  • 19. Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 Large Crisis of Growth Red Tape through collaboration Crisis of Control Growth through coordination Crisis of Autonomy Growth through Crisis of delegation Leadership Growth through direction Small Growth through Looking ahead…. creativity Young Mature
  • 20. The Start up Context How to build a Sales proposition that wows Manage the funding customers How Can I Maximise earnings How Can I Get My Company Into Profit Quickly What is my internet strategy ? What is the revenue pipeline Setting up Operations / How Should I manage spends / burn rate Production What Is The Right Price For My Product/Service Develop business strategy How do I reach out to potential customers ? Manage operations Inspire people to join Do I get an Advisory Board ?

Editor's Notes

  1. Phase 1—Growth through creativity eventually leads to a crisis of leadership. More sophisticated and more formalized management practices must be adopted. If the founders can't or won't take on this responsibility, they must hire someone who can, and give this person significant authority. Phase 2—Growth through direction eventually leads to a crisis of autonomy. Lower level managers must be given more authority if the organization is to continue to grow. The crisis involves top-level managers' reluctance to delegate authority. Phase 3—Growth through delegation eventually leads to a crisis of control. This occurs when autonomous employees who prefer to operate without interference from the rest of the organization clash with business owners and managers who perceive that they are losing control of a diversified company. Phase 4—Growth through coordination eventually leads to a crisis of red tape. Coordination techniques like product groups, formal planning processes, and corporate staff become, over time, a bureaucratic system that causes delays in decision making and a reduction in innovation. Phase 5—Growth through collaboration, is characterized by the use of teams, a reduction in corporate staff, matrix-type structures, the simplification of formal systems, an increase in conferences and educational programs, and more sophisticated information systems. While Greiner did not formally delineate a crisis for this phase, he guessed that it might revolve around "the psychological saturation of employees who grow emotionally and physically exhausted by the intensity of team work and the heavy pressure for innovative solutions."