Think Global Act Local?

1. How would you ensure alignment of the EMEA HR
function into a PPD Global HR function while meeting the
specific business needs of the EMEA region? What
factors would you take into consideration to ensure
success and what prior experiences & lessons learned
would your draw upon?
David Holroyd
7th June 2010
A leading global CRO

2. Caveat
• In pure mathematics and science examinations where there
is not necessarily a consensus, the methodology and
thinking behind the answer is far more important than the
answer itself.
• I am using the 15 – 20 minutes allotted to the task to
demonstrate my ability and experience – not to make actual
recommendations – again it’s the thinking behind the
problem and not the result that is important.
A leading global CRO

3. Think Global Act Local?
• Great idea but really a contradiction in terms - it is
impossible to produce a top down HR organisation that
takes every local issue into account.
• It is critical that organisations balance global consistency
with business unit and regional customisation to get the
proper blend of process, uniformity and customisation.
• We must use both formal or informal collaborative networks
and teams across business units and regions to build a
global HR service.
A leading global CRO

4. In An Ideal World….
Regional representatives
maintain responsibility for
local deployment. This
process allows for those with
local expertise to handle any
customisation that may prove
Specialists in the corporate necessary.
functions maintain
responsibility for philosophy
definitions, policy design, and
high-level program framework
(e.g., program intent, metrics
and underlying components).
A leading global CRO

5. What Factors Would I Take Into Account
• Variations in social, political, economic and historical
circumstances.
• Different locations/offices have their own way of doing
things and are resistant to change.
• The perceived value of the HR function varies across
locations/offices.
• Different perceived HR Priorities to HQ.
• Universal Performance Management.
A leading global CRO

6. Criteria Road Map
• Here is an example decision framework to determine the
appropriate balance of global, regional and local HR roles.
• The following three slides suggest a criteria ‘road map’ for
making decisions:
A leading global CRO

7. Roles and Responsibilities - Global
Across Enterprise
Enterprise strategy where consistency and/or consolidation
creates significant value.
Primary Considerations Examples
or Drivers
• Driving global principles, • Defining corporate culture.
culture and mindset. • Comp & benefit philosophy.
• Managing enterprise-wide • Leadership.
assets.
• Organisational design.
• Global technology
solutions. • Ethics and corporate social
responsibility.
A leading global CRO

8. Roles and Responsibilities - Regional
Across Multiple Countries
Need for greater coordination and efficiency with flexibility to
accommodate regional differences.
Primary Considerations Examples
or Drivers
• Regional commonalities • EU works councils.
(culture, language, law, • Region specific strategy /
geography etc. design (learning and
• Strong regional business development,
orientation. compensation).
• Regional service delivery
(expatriate, compensation,
HR reporting, recruiting.
A leading global CRO

9. Roles and Responsibilities - Local
By Country
Differentiation at local country is critical or mandatory based
on regulatory requirements.
Primary Considerations Examples
or Drivers
• Legal and regulatory • Payroll, labour relations.
requirements. • Benefits administration
• Dominant Business Unite (retirement, health and
or country focussed welfare).
business structure. • Local outsourcing
relationships.
A leading global CRO

10. Theory to Practice
• We have to develop criteria for determining whether a
business unit or regional adaptation is necessary.
• That might dictate that a business unit adaptation typically
requires a critical impact on business functionality, and a
country or region-specific adaptation must be legally
mandated or culturally significant.
• The matrix might look something like this:
A leading global CRO

11. Standard and Locally Tailored Processes
1
Responsibility Corporate Regionally / Locally Tailored
Benefits Core philosophy Implemented based on local laws,
customs and regulations
Compensation Pay philosophy and Local pay rates within philosophy
market positioning
Corporate Culture 
Data Collection 
and HRIS
Employee and Core philosophy Implemented based on local laws,
Labour Relations culture and custom
Leadership 
Development
A leading global CRO

12. Standard and Locally Tailored Processes
2
Responsibility Corporate Regionally / Locally Tailored
Mobility 
Organizational 
Design
Performance  Implementation based on local
Management laws and customs
Recruitment and Core philosophy around Implemented based on local laws
Selection employment skills for and labour market variables
management roles
Rewards Strategy  Implemented based on local laws
Talent 
Development
Training  Local programs to develop unique
needs local workforce
A leading global CRO

13. Conclusions
• The concept of top down HR management by a
central global organisation is not possible.
• The organisation must strive to build a hybrid model
which brings global consistency but which
encompasses the views and experiences of global
regional and local professionals.
A leading global CRO