If you don’t own this book….you need to buy it. (Amazon: $19.25 Kindle, $37.50 Hardcover)
Step Model for Implementing HR’s Strategic Role Transforming the HR Architecture into a Strategic Asset CLEARLY DEFINE THE BUSINESS STRATEGY BUILD A BUSINESS CASE FOR HR AS A STRATEGIC ASSET CREATE A STRATEGY MAP IDENTIFY HR DELIVERABLES WITHIN THE STRATEGY MAPRegularly test measures against DESIGN THE STRATEGIC MEASUREMENT SYSTEMstrategy map ALIGN THE HR ARCHITECTURE WITH HR DELIVERABLES IMPLEMENT MANAGEMENT BY MEASUREMENT
Step 1: Clearly Define the Business Strategy Focus on how to implement the strategy rather than solely on what the strategy consists of 1) Facilitate a discussion about how to communicate the firm’s goals throughout the organization 2) Clarify organization strategy into precise terms so that employees understand their role and the organization knows how to measure its success in achieving these strategies
Build a Case for HR as a Strategic AssetStep 2: Build a clear business case for why and how HR can support business strategies 1) Demonstrate that better HR management matters…and it matters outside HR 2) Strategic implementation, rather than strategic content, differentiates successful from unsuccessful
Step 5: Align the HR Architecture with HR Deliverables Create a value‐creation story by aligning the HR system with the larger strategy‐implementation system To do this, you need to think about how the components within your HR system fit together (internal alignment) as well as how the HR system aligns with (supports) the other elements in the firm’s value chain (external alignment)
Step 7: Implement Management by Measurement The HR scorecard is a powerful management tool, and is much more than for just “keeping score” 1) If aligned with the imperatives of the firm’s strategy, HR professionals will have new insight into what it takes to actually manage HR as a strategic asset 2) The process is not a one‐time event, HR managers should regularly review the HR deliverables to determine if they are remaining strategically significant, or need to be replaced
Now let’s talk to the executives… (3 partial case studies)
John Lacy• Compare yourself • Internal and external • Benchmarking sharing consortiums (typically within healthcare)• Look at bell curves, “How many employees are in bell curve for performance?”• Understand data • Look for struggle points • Examine outliers • “DIVE DEEP”
Lucy Dominguez• Plus Previous Year Planning • Shared business strategies • Align initiatives and goals • Define measures of success • Planning process for all business functions to ensure success• Set Measurable Goals • Identify metrics • Set the bar • Raise the bar• Get the right people, develop them, and keep them
Margo Parker‐Hudson• Get HR and organization into a “strategic rhythm”• Define the measurement culture in the organization • Internal and external • Tie to strategy based on customer needs• Asks yourself, “what are the strategies for the organization (short & long term)”, and the design measures to report on those• What is important to “my customer”
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