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Opd Govt & Not For Profit Overview V12.2


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Opd Govt & Not For Profit Overview V12.2

  1. 1. Not for profit and community service introduction <ul><li>The OPD system of strategic human resource management (SHRM) for achieving sustainable superior performance </li></ul>Aligning staff behaviour with strategy and goals improve results
  2. 2. Why bother? <ul><li>SHRM is an undervalued strategic factor in the results </li></ul><ul><li>OPD-SHRM is a superior system </li></ul><ul><li>OPD-SHRM will improve results 20-20% </li></ul><ul><li>We recommend a step by step process in assessing OPD-SHRM </li></ul>
  3. 3. Reviewing current strategic HR processes <ul><li>If alignment staff behaviour with goals was improved 10%: </li></ul><ul><li>Would results improve? … and by how much? </li></ul><ul><li>Would leadership be easier? </li></ul><ul><li>Could the alignment be improved in this organisation? </li></ul><ul><li>Does the organisation take SHRM seriously? </li></ul><ul><li>Who is responsible for ensuring alignment? </li></ul><ul><li>Would a clear and definite system make it easier to drive the alignment and achieve improved results? </li></ul>
  4. 4. Why OPD? <ul><li>Why is OPD a superior SHRM system? </li></ul>
  5. 5. Current global state of strategic HR <ul><li>Global HR best practice consists of a range of unconnected activities with strategic HR having limited impact due poor definition and weak underlying processes </li></ul><ul><li>Research shows number of problems </li></ul><ul><ul><li>Team leaders find HR an admin chore that does not add value </li></ul></ul><ul><ul><li>HR activities are delivered in uncoordinated silos as “latest new initiative” and achieve limited long term, sustainable results </li></ul></ul><ul><ul><li>Once team leaders lift ‘foot off the pedal’ performance slips back and plateaus </li></ul></ul><ul><ul><li>Why…? </li></ul></ul><ul><li>Background fact </li></ul><ul><ul><li>Globally there is no clear scientific and causal link between strategy and staff behaviour (including a definition of SHRM) </li></ul></ul><ul><li>Proposition </li></ul><ul><ul><li>If we had such a link team leaders could be guided to use it to achieve superior sustainable staff performance </li></ul></ul>
  6. 6. Fundamentals SPORT Goal  Action (ideal actions enabling best chance of greatest success) BUSINESS The organisation is separate from people therefore KPIs  Ideal actions The goal  action principle is causal More of the ideal action more of the goal Ideal actions underlie every strategy independent of people
  7. 7. The OPD concept Strategy  Goal cascade  Ideal Actions Get people to do it Monitor that it is done
  8. 8. The OPD–SHRM solution Strategy Team structure, roles in teams, goals in each role (1) KPIs (2) Ideal actions to achieve goals/KPIs (3) <ul><li>Leadership actions to: </li></ul><ul><li>identify ideal actions </li></ul><ul><li>guide delivery of ideal actions </li></ul><ul><li>maintain ideal actions </li></ul>HR-KPIs (1-9) Measure team leader effectiveness with HR processes to build alignment in their team. Becomes the key driver of SHRM in the business. (No red SHRM policy) Psychological Targets <ul><li>Engagement: </li></ul><ul><li>Clarity of goals/KPIs (4) </li></ul><ul><li>Clarity of ideal actions (5) </li></ul><ul><li>Visualization of action (6) </li></ul><ul><li>Commitment: </li></ul><ul><li>Motivation as personal commitment to work success (7) </li></ul><ul><li>Self-discipline or professionalism (8) </li></ul><ul><li>Support to deliver ideal actions (9) </li></ul>
  9. 9. The OPD-SHRM model <ul><li>OPD-SHRM is a superior system because it is based on the only scientific and causal model of the link between staff behaviour and results </li></ul><ul><li>It is the OPD-SHRM model that drives superior sustainable performance </li></ul>
  10. 10. Defining SHRM <ul><li>Under the OPD model SHRM is defined as the alignment of staff behaviour with those actions that offer the greatest chance of goal success (align actual behaviour with the ideal actions). </li></ul>
  11. 11. SHRM is the fundamental driver of results <ul><li>SHRM is the translation of strategy into action </li></ul><ul><li>Managing the SHRM processes will increase human performance and improve results </li></ul>
  12. 12. OPD-SHRM defines the performance stack Strategy Implement SHRM processes aligning staff behaviour with strategy SHRMIS monitoring the SHRM processes are implemented HRIS analytics Finance/MIS analytics Results OPD-SHRM is global unique provider of SHRM processes assuring alignment of staff behaviour with strategy. OPD-SHRMIS monitors each team leader is implementing SHRM processes to give team greatest chance of greatest success. SHRM is the crucial leadership tool enabling improved application of MIS & HRIS analytics
  13. 13. Key principles <ul><li>The OPD model : </li></ul><ul><li>Links strategy with staff behaviour via ideal actions. </li></ul><ul><li>Is fully scientific and causal in improving results. </li></ul><ul><li>Leads to the definition of SHRM as the alignment of staff behaviour with goals via ideals. </li></ul><ul><li>Leads to the performance stack making SHRM the primary driver of business results. </li></ul><ul><li>Is the goal-action link whereby all other metrics (financial/MIS and HRIS) can be used to improve the results. </li></ul><ul><li>Improving SHRM in your business will improve results. </li></ul>
  14. 14. What OPD-SHRM offers <ul><li>SHRM producing superior results : Superior HR processes based on an improved understanding of SHRM such that the processes are causally linked to strategy leading to superior performance and outcomes. </li></ul><ul><li>SHRMIS enabling superior results to be maintained : Monitoring via the SHRMIS system that team leaders are implementing the processes enables sustainable superior performance. </li></ul>
  15. 15. OPD operations <ul><li>How is OPD-SHRM implemented? </li></ul>
  16. 16. The OPD-SHRM process <ul><li>Build architecture </li></ul><ul><li>Guide people to act out the ideal actions </li></ul><ul><li>Monitor it is being done to standard to maintain superior performance </li></ul>Strategy/goals/KPIs OPD-SHRM success is driven by the model not the web site which is the administration for ensuring the steps of the model are performed to standard Revenues Direct Costs Gross margin Overheads EBIT Ideal actions
  17. 17. The client -OPD strategic partnership <ul><li>The client provides detailed insight, understanding and best judgment of what is needed to achieve best result </li></ul><ul><li>OPD provides a system of strategic HR processes that captures client insight and so enables ongoing improved management of human performance as a strategic factor in results </li></ul>
  18. 18. OPD-SHRM administration and support <ul><li>Consulting support </li></ul><ul><li>Comprehensive team leader coaching </li></ul><ul><li>Ongoing consulting to support effective delivery of the system </li></ul><ul><li>Development of internal HR staff </li></ul><ul><li>Email and telephone help desk </li></ul><ul><li>Ongoing tactical and strategic reviews </li></ul><ul><li>Ongoing back up for internal staff </li></ul><ul><li>Ongoing audits to support sustainability </li></ul><ul><li>Web system components </li></ul><ul><li>Architecture – teams, roles in teams, goals/KPIs, ideal actions </li></ul><ul><li>Cultural audits </li></ul><ul><li>Customer audits </li></ul><ul><li>Internal customer audits </li></ul><ul><li>Leader monitoring (HR-KPIs) </li></ul><ul><li>Training needs identification </li></ul><ul><li>Training and coaching materials </li></ul><ul><li>Learning firm </li></ul><ul><li>Performance assessment </li></ul><ul><li>Performance management </li></ul><ul><li>Strategic leadership planning </li></ul>
  19. 19. Strengthened strategic role of HR as driver of results The role of HR is to identify shortfalls in delivery of SHRM by any team leader, check skills and if needed report to the management team Results/targets/KPIs Revenues Direct Costs Gross margin Overheads EBIT Ideal actions
  20. 20. The OPD –SHRM building superior sustainable results Strategy (Business targets) Ideal actions (Leadership targets) Get people to do it Cultural management Populate the architecture and apply psychological processes to build engagement. Monitor leadership application Use OPD-SHRMIS to monitor all leaders are implementing OPD- SHRM in their teams. Organisational development Build architecture. Team leaders applying OPD-SHRM
  21. 21. Ethnic & cultural considerations Strategy (Business targets)  Goal cascade (enable identify ideals)  Ideal Actions (leadership targets) Get people to do it Communication must consider staff social, cultural, and ethnic background
  22. 22. The web based admin system <ul><li>Guides implementation of OPD model </li></ul><ul><li>User friendly </li></ul><ul><li>Simple </li></ul><ul><li>Requires little admin time </li></ul><ul><li>Focus is on building ‘images and positive emotions’ in mind </li></ul><ul><li>Effective strategic HR-KPI monitoring to support sustainability </li></ul>
  23. 23. Sample web system menus
  24. 24. SHRMIS report (no red SHRM policy)
  25. 25. The effect of OPD <ul><li>What is the result of OPD? </li></ul>
  26. 26. Improved psychology, culture and HR processes <ul><li>Improvements in : </li></ul><ul><li>Commitment and motivation </li></ul><ul><li>Ownership </li></ul><ul><li>Clarity of goals and ideal actions </li></ul><ul><li>Engagement </li></ul><ul><li>Satisfaction </li></ul><ul><li>Team leadership </li></ul><ul><li>Coaching effectiveness </li></ul><ul><li>Performance management </li></ul><ul><li>Team relationships </li></ul><ul><li>Training effectiveness </li></ul><ul><li>Culture </li></ul>Results/targets/KPIs Revenues Direct Costs Gross margin Overheads EBIT Ideal actions
  27. 27. Improvements resulting from improved SHRM Goals/results (qualitative & quantitative) Ideal actions Actual behaviour Human performance increase (causal increase in results) Link to results (OPDPPL) Financial results <ul><li>Qualitative results </li></ul><ul><li>Comprehensive rollout of strategy </li></ul><ul><li>Improved delivery of services </li></ul><ul><li>Increased customer satisfaction </li></ul><ul><li>More responsive teams </li></ul><ul><li>Reduced stress </li></ul><ul><li>Leadership easier </li></ul>Assuming a 10% improvement in human performance with 1% gain in human performance producing 0.3 cost decrease. Surplus increased by 27%. Surplus may not be taken in cash, rather in better results for same costs. 12.7% $127,000 10% $100,000 Surplus 87.3% $873,000 -3% 90.0% $900,000 Costs 100.0% $1,000,000 NA 100.0% $1,000,000 Revenues % After PIF % Before
  28. 28. Factors in the spreadsheet <ul><li>The spread sheet factors: </li></ul><ul><li>Increased human performance is an increase in delivery of the ideal actions. </li></ul><ul><li>Minimum improved delivery of ideal actions is 8%-16%. </li></ul><ul><li>Improving ideal actions links directly to results: </li></ul><ul><ul><li>Revenues increase by 0-0.2% </li></ul></ul><ul><ul><ul><li>Frequently no link between staff behavior and revenues. </li></ul></ul></ul><ul><ul><li>Costs decrease by 0.2-0.4%. </li></ul></ul><ul><li>Multiplying the human performance gain (2) by the profit link (3) gives the performance improvement factor (OPDPIF). </li></ul><ul><li>People learn how to do it better and better, therefore results improve over several years. </li></ul>
  29. 29. Not for profit cost reductions
  30. 30. Frequently asked questions <ul><li>How do we know it will work? </li></ul><ul><li>Why will managers do it and what will keep them doing it? </li></ul><ul><li>How much time does it take? </li></ul><ul><li>How much administration time is involved? </li></ul><ul><li>How long does it take to fully install? </li></ul><ul><li>Can we have a trial? </li></ul><ul><li>Are there any direct savings? </li></ul><ul><li>What are the hidden costs? </li></ul><ul><li>How does it fit with what we do now? </li></ul><ul><li>Much of this we do, so why can’t we do this for ourselves? </li></ul>
  31. 31. Summary <ul><ul><li>Human performance is a strategic factor in results. </li></ul></ul><ul><ul><li>SHRM needs to be taken more seriously and when it is it can provide major gains in results. </li></ul></ul><ul><ul><li>Improved alignment of staff behaviour with goals/KPIs will improve goal achievement. </li></ul></ul><ul><ul><li>A SHRM system with causal link between goals and staff behaviour is essential to ensure the superior sustainable results. </li></ul></ul><ul><ul><li>The OPD-SHRM is the only causal system that can enable full human potential. </li></ul></ul><ul><ul><li>It is more effective and more economic to lease a system . </li></ul></ul>
  32. 32. The next step… <ul><li>SHRM will pay back, there is value for money with strong returns. </li></ul><ul><li>OPD-SHRM can provide the framework for improved strategic alignment and improved results. </li></ul><ul><li>There are many considerations and the decision needs taken step by step. </li></ul><ul><li>What is suggested as the next step...? </li></ul>