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Hapi
- 2. Improvement Model Analysis Ownership Sustainability Implementa;on • Conduct a fact based, d a t a d r i v e n a s s e s s m e n t o f a n organiza;on’s current state • D e fi n e t h e g a p s between its current & desired state, i.e. client expecta;ons or “best in class” • D e s c r i b e t h e underlying root causes i m p a c ; n g t h e organiza;on’s ability to close these gaps • D e v e l o p a n understanding of the values & the culture of the organiza;on • Develop a willingness to “Learn to See” ‐ take the ;me to look at opera;ons, processes a n d w o r k a c ; v i t y , objec;vely and without bias • Develop a Con;nuous Improvement mindset – appreciate that there is no perfect system or process • C o n vi c ; o n : Accep t opera;ng principles on f a i t h u n ; l ; m e & results prove them • Belief: Understand that all people want to succeed • Understand how to link people, strategy, and opera;ons, the three core processes of any organiza;on. • Once the people & strategy are in place, l i n k b o t h t o a n opera;ng process that r e s u l t s i n t h e i m p l e m e n t a ; o n o f specific programs and ac;ons and that assigns accountability. • S u c c e s s u l ; m a t e l y results from how deeply employees are engaged in the process, and the stake they have in i m p l e m e n t a ; o n outcomes. • M a k e e d u c a ; o n a n d communica;on a priority • Align compensa;on and recogni;on with Business Unit objec;ves. • M a k e c o n ; n u o u s improvement part of everyone’s performance and training. • Modify job descrip;ons to beRer reflect the Business U n i t ’ s f o c u s a n d requirements. • Cul;vate an organiza;on of learning, improvement, and innova;on. • Provide employees with the tools they need • Focus on the success of the organiza;on and its people as your most cri;cal success factor to sustainability 2
- 5. Human Asset Produc;vity Improvement (HAPI): The Challenges In our experience, clients face numerous challenges when they aRempt to improve the produc;vity of their business units. Here are a cri;cal few: • Understanding the concept of “Value Add vs. Non Value Add ac;vity. It’s surprising how many people lack a clear understanding of whether the work they perform truly adds value to the business • Knowing what to measure, then developing the data to accurately portray what their current produc;vity performance is. i.e. What’s the baseline against which improvement will be measured? • Management understanding of what they should expect of their employees & what their employees should be held accountable for. Job descrip;ons, Roles & Responsibili;es documents and Job Performance Reviews (JPRs) rarely reflect what employees actually should be paid for. • Analy;c rigor. Asking “WHY” enough ;mes to get at the root cause of an issue, rather than the symptom. It’s tough to dig deep. • Underes;ma;ng the size of the produc;vity improvement opportunity. It’s usually a lot bigger than most people think. 5
- 6. HAPI: The Challenges • Engaging people (who actually do the work) in the analy;c process. When people “see” the opportuni;es for improvement by par;cipa;ng in the process, they’re more likely to engage in the development of the solu;on. Too ohen, management relies solely on the consultant to conduct the assessment. • The discipline of execu;on. Implemen;ng produc;vity improvement is tough, even when employees are engaged. Management has to stay the course in the face of the inevitable resistance they will encounter. • Frontline management & supervision (FLS) capabili;es. Ask yourself: 1) How well are your Management Training & Development efforts suppor;ng the execu;on of your company s strategy? 2) Are your investments in Management Training & Development paying off – are they delivering your expected business outcomes? • Sustainability. Improvements and results erode over ;me. The design & implementa;on of a Performance Management System and the suppor;ng management processes are cri;cal. And, the system must be developed in conjunc;on with the people who are going to be most directly impacted by it – the people who perform the work. 6
- 7. Ownership – The Roots of Engagement 1. Do employees understand the big picture workings of the business and the overall purpose that it serves? 2. Do managers, front‐line supervisors and workers see where they belong in execu;ng the strategy of the business? 3. Are employees asking themselves “How can I improve the performance of our business?” 4. Do employees know or believe that their contribu;ons can make a significant impact or difference? How many employees would answer “Yes” to the above? Is Management working on this? 7
- 8. Implementa;on: HAPI • Redefine “the work” (train client resources on how to do this) – Re‐engineer the work – increase the ra;o of value added to non‐value added ac;vity – Reorganize the human capital & redeploy (match the “new” work to the “right” human capital) – Train where necessary – Remove the excess human capital from the subject area • Facilitate the crea;on of a proper Performance Management System for the subject area and each level star;ng from the hourly operators and trades persons, to the FLS, middle management, top local management and support func;on layers. – KCB unique Performance Management System – Help/coach/lead local management on how to create the Performance Management System – Emphasize “ownership” – Train everyone in how to use their part of the PMS and how it fits in building block fashion together to roll up into the overall business objec;ves 8
- 9. Implementa;on: HAPI • Have the Job Descrip;ons wriRen/re‐wriRen to succinctly conform to results oriented, value added output of all posi;ons in the subject area. – Re‐orient HR on how to make this happen • Coach & mentor FLS how to use and depend on the PMS on how to deal with/construc;vely supervise and manage their direct reports on an hourly, daily, weekly, monthly and quarterly basis • Client decides to link new Job Descrip;ons, Performance Management System and Pay For Performance to one another, including the individual annual Performance Review Process. – Help HR create the linkage as a seamless business support process – Formulate a path forward on roll out • Develop a training package with HR for Supervision & Management on “how to use” this construc;vely 9
- 10. Sustainability: HAPI • Make educa;on and communica;on a priority • Align compensa;on and recogni;on with Business Unit objec;ves. • Make con;nuous improvement part of everyone’s performance and training. • Modify job descrip;ons to beRer reflect the Business Unit’s focus and requirements. • Cul;vate an organiza;on of learning, improvement, and innova;on. • Provide employees with the tools they need • Ins;tu;onalize the use of the Performance Management System Focus on the success of the organiza;on and its people as your most cri;cal success factor to sustainability 10