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The primary role of HR is to make “itself” redundant…


Introduction/ Executive Summary


The primary function of HR is to make itself redundant in its classical roles, so that it can then
focus on ‘people strategy and organizational development—where the true value of the function
lies’. The only process ownership-to-people development HR needs to have is to ensure
ownership to processes by the line manager.


In this paper we have analyzed the changing roles of HR using People Capability Maturity
Model and Dave Ulrich’s roles for HR manager in his book, the HR Value Proposition. The
PCMM framework advocates in its various levels about the changing role of HR and its ultimate
goal is to have such strong processes that can replicate the work of HR and make it completely
redundant.


The highest level of development that a HR manager can at present aspire for is the level 5 of the
PCMM framework. As the organization progresses from one level to another, the roles of HR
manager undergo a change. The paper deals with understanding the various traditional roles of
HR as professed by Dave Ulrich and try to understand the validity of the same in a level 5
organization.
Further more, the paper discusses the concept of having a line manager working with HR roles
alongwith its traditional work. The paper discusses the various limitations and benefits of the
same keeping in mind the cost issues as well.




Sajjal Sachdeva & Mayur Gupta, IMI                                                                      Page 1 

 
PCMM Framework


We have used PCMM model to illustrate the changing role of HR as organization progresses,
and what happens once Level 5 of the model has been attained.
PCMM framework is a collection of the best practices from across the industries. It has 5 levels
of HR development. Level 1 is the initial stage where there are no formal policies and
procedures. Level 2 is the managed stage wherein the basic HR policies and functions have been
put into place. Level 3 is the competency based HR management where competency based
processes is used. Level 4 is the predictable stage where everything is measured and numbers are
put to everything. Level 5 which is the highest is the stage where continuous improvement comes
into being. The systems and processes are developed which help the organization to improve its
performance without any external intervention. This is the highest level and thus is the goal of
HR manager.


Let’s take the case of a job of a truck driver to illustrate the PCMM framework and the role of
HR manager in each case. His basic job is to transport material from and to the facility.


    1. Level 1: At level 1 there are no established procedures or policies.
           a. Recruitment: This would be done on a random basis, mostly on recommendation
               of any other worker.
           b. Training: the driver would be expected to have required knowledge or skills or
               develop them on the job.
           c. Performance Management: Subjective judgment of the supervisor. No set criteria
               or measures.
           d. Compensation: Prevailing market rates.
       The role of an HR manager in such a situation would be to put into place basic processes
       and create requisite tools and standards.



Sajjal Sachdeva & Mayur Gupta, IMI                                                                        Page 2 

 
2. Level 2: Essential policies put into place.
           a. Recruitment: On basis of driving test; some experience may also be required.
           b. Training: Driver may be given training if required, e.g. to handle heavy vehicles
               and safety measures.
           c. Performance Measurement: Target based, using an appraisal form.
           d. Compensation: it may have components like performance incentives, bonuses etc.


    3. Level 3:    Everything would be competency based. There would be a competency
       framework in place. Recruitment would be done on basis of the competencies, training
       and performance management would all be based on competencies.


    4. Level 4: Everything is measured. Numbers have been put to everything. The manager
       would know where the employee stands, how much training is required, what is the exact
       performance level.


    5. Level 5: The organization continually evaluates the latest developments in workforce
       practices and technologies to identify those developments with the potential to contribute
       to the organization's performance.
       Examples would be:
           a. If a new technology, say of loading-unloading comes into use, the driver will
               make efforts to train himself on the use of it, and the supervisor supports him.
           b. The existing driver will take initiative to train new apprentices.
           c. If any performance gap exists, the supervisor will get together with the driver and
               they can together draft a training plan.
Thus a level 5 organization is more or less a system capable of self improvement and evolution
without any external help. The systems and processes are mature and fully developed and they
can guide the organization.



Sajjal Sachdeva & Mayur Gupta, IMI                                                                        Page 3 

 
Overview of Dave Ulrich’s HR Value Proposition Model


Strategic Partner is about alignment of HR activities and initiatives with the global business
strategy and it is the task of the HR Management and HR Business Partners. Sometimes, it
sounds easy to implement Strategic Partnership, but it needs a lot of effort from Human
Resources.
Change Agent is a very important area of the Ulrich’s HR Model. Change agent is about
supporting the change and transition of the business in the area of the human capital in the
organization. The role of Human Resources is the support for change activities in the change
effort area and ensuring the capacity for the changes.




Administrative Expert changes over the period of time. In the beginning, it was just about
ensuring the maximum possible quality of delivered services, but nowadays the stress is put on
the possibility to provide quality service at the lowest possible costs to the organization.
Employee Champion is a very important role of Human Resources. The employee advocate
knows what employees need and HRM should know it. The employee advocate is able to take


Sajjal Sachdeva & Mayur Gupta, IMI                                                                          Page 4 

 
care about the interest of employees and to protect them during the process of the change in the
organization.


ROLES OF HR MANAGER IN A LEVEL 5 ORGANIZATION


It would be the goal of the HR manager to take his company to highest level of HR development.
But the question is that what would be his role after the company reaches the level 5. Taking
Dave Ulrich’s model of HR roles, we examine how they would be in a level 5 organization:


    1. Administrative Expert: This role would still be there. HR manager will play the role of
       an administrative expert and functional expert, coordinating the various processes and
       systems and ensuring that they are carried out properly and on time.
    2. Employee Advocate/Champion: At level 5, the organization would have proper
       communication channels, grievance handling mechanisms and conducive work
       environment. Hence the requirement of an HR manager as an employee advocate will
       largely subside.
    3. Change Agent/Champion: A level 5 organization has continuous capability
       improvement and continuous workforce innovation. The role of HR manager would be
       only to ensure that the process takes place and would be largely administrative.
    4. Strategic Partner: In level 5 there is a process area on organizational performance
       alignment. This will ensure that the strategy of organization is translated into individual
       goals. The HR manager may still play the role of the strategic partner as a consultant, but
       that won’t be a major role and can be easily outsourced.


Our Model can be illustrated using the following diagram:




Sajjal Sachdeva & Mayur Gupta, IMI                                                                       Page 5 

 
Before the implementation of PCMM, the HR manager (seen here as the lady in the middle),
operates in the center with a centrifugal actions of each employee of the organization. As,
PCMM gets implemented, the emphasis shifts to the process areas rather than the person
handling the process. In the end, each organization aspires to reach level 5 of the PCMM
whereby the centralized HR manager is shifted out of the purview with the efficient processes
taking its place and thus making an HR manager redundant. The mere job would probably be to
administrate or of maintenance nature.


Thus in a level 5 organization, the role of an HR manager would be reduced to:
    1. That of an administrative expert or a functional expert.
    2. And that of maintenance in case anything goes wrong. However this is rare and can be
       easily outsourced to consultants.


The result would be that the active participation of HR manager will cease and only a passive
role in the organization will remain. Further if line managers are trained in the HR functions; i.e.
they are the owners of the HR processes, then even this role can be done away with. Whether

Sajjal Sachdeva & Mayur Gupta, IMI                                                                        Page 6 

 
replacing HR managers with line cum HR manager is a good approach or not, we will discuss
now.


Line Managers as HR Managers


By line managers acting as HR managers we mean that they take over the functional aspect of
HR management. It does not imply the development of people orientation and management skills
in the line manager. Every manager is expected to have them.


A line manager can function with HR capacities if training imparted to them. But is this
technique feasible and profitable? A Line Manager can replace the HR in handling the day to day
functioning and the micro issues of the HR functions such as dispute handling, grievance
redressal, functional recruiting etc. But there are broader and macro level work that an HR
manager is expected to do such as organizational development, people strategy etc. Moreover the
overall business objectives of the organization can only be realized if the HR realizes its
objective. Once its objective is clear, a line manager cannot be asked to do an HR job because
that would in itself be time consuming and problematic in the view that the line managers have
their own roles and objectives to perform.
There are two basic reasons why a line manager should not be doing the work of a HR manager.
These are:
    1. Cost: Examining the various cost issues related to a line manager functioning as an HR
       manager, it gets revealed that it adds to cost rather than any optimization. Training each
       line manager on the HR roles and then providing them with the necessary resources
       which earlier were localized/centralized to the HR department per say, would any day be
       less profitable.
    2. Efficiency: Further, HR generally contributes by helping the line manager to do the work
       to its full capacity, by providing the required manpower and processes. But by having
       line manager’s function as HR managers, we are doing away with the advantages gained
       from division of work and resulting specialization. Further it will add to the workload of
       line managers.

Sajjal Sachdeva & Mayur Gupta, IMI                                                                     Page 7 

 
It is not to be denied that line managers can take over the roles of HR managers, and to some
extent they must become more people oriented but it certainly will be better to have HR
managers do the functional and administrative work of HR management.




Sajjal Sachdeva & Mayur Gupta, IMI                                                                  Page 8 

 
Conclusion


To conclude, when an organization achieves level 5 of PCMM framework, we can say that there
is nothing more for an HR manager to do. He must then dissociate himself from the organization
and be content to play a passive role. His role mainly would be to stand by and monitor for any
failures of the system.
Just like the ultimate aim of a doctor is to ensure the health of his patient, in achievement of
which he makes himself redundant, similarly for a healthy organization with mature, developed
HR processes there is no use of an HR manager. Of course it is an ideal situation; no society is
completely healthy and very few organizations have been able to achieve the level 5
certifications. Still that is the aim of every HR manager and once it is attained, there will be
nothing more to do.
However the administrative role would still remain. This role will not call for any new thought
process, but like all administrative roles, it would be routine and repetitive. Still it would be
better if an HR manager would look after the function rather than a line manager, though a line
manager can be trained to do the job too.




Sajjal Sachdeva & Mayur Gupta, IMI                                                                          Page 9 

 

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The Primary Role Of HR Is To Make Itself Redundant

  • 1. The primary role of HR is to make “itself” redundant… Introduction/ Executive Summary The primary function of HR is to make itself redundant in its classical roles, so that it can then focus on ‘people strategy and organizational development—where the true value of the function lies’. The only process ownership-to-people development HR needs to have is to ensure ownership to processes by the line manager. In this paper we have analyzed the changing roles of HR using People Capability Maturity Model and Dave Ulrich’s roles for HR manager in his book, the HR Value Proposition. The PCMM framework advocates in its various levels about the changing role of HR and its ultimate goal is to have such strong processes that can replicate the work of HR and make it completely redundant. The highest level of development that a HR manager can at present aspire for is the level 5 of the PCMM framework. As the organization progresses from one level to another, the roles of HR manager undergo a change. The paper deals with understanding the various traditional roles of HR as professed by Dave Ulrich and try to understand the validity of the same in a level 5 organization. Further more, the paper discusses the concept of having a line manager working with HR roles alongwith its traditional work. The paper discusses the various limitations and benefits of the same keeping in mind the cost issues as well. Sajjal Sachdeva & Mayur Gupta, IMI                             Page 1   
  • 2. PCMM Framework We have used PCMM model to illustrate the changing role of HR as organization progresses, and what happens once Level 5 of the model has been attained. PCMM framework is a collection of the best practices from across the industries. It has 5 levels of HR development. Level 1 is the initial stage where there are no formal policies and procedures. Level 2 is the managed stage wherein the basic HR policies and functions have been put into place. Level 3 is the competency based HR management where competency based processes is used. Level 4 is the predictable stage where everything is measured and numbers are put to everything. Level 5 which is the highest is the stage where continuous improvement comes into being. The systems and processes are developed which help the organization to improve its performance without any external intervention. This is the highest level and thus is the goal of HR manager. Let’s take the case of a job of a truck driver to illustrate the PCMM framework and the role of HR manager in each case. His basic job is to transport material from and to the facility. 1. Level 1: At level 1 there are no established procedures or policies. a. Recruitment: This would be done on a random basis, mostly on recommendation of any other worker. b. Training: the driver would be expected to have required knowledge or skills or develop them on the job. c. Performance Management: Subjective judgment of the supervisor. No set criteria or measures. d. Compensation: Prevailing market rates. The role of an HR manager in such a situation would be to put into place basic processes and create requisite tools and standards. Sajjal Sachdeva & Mayur Gupta, IMI                             Page 2   
  • 3. 2. Level 2: Essential policies put into place. a. Recruitment: On basis of driving test; some experience may also be required. b. Training: Driver may be given training if required, e.g. to handle heavy vehicles and safety measures. c. Performance Measurement: Target based, using an appraisal form. d. Compensation: it may have components like performance incentives, bonuses etc. 3. Level 3: Everything would be competency based. There would be a competency framework in place. Recruitment would be done on basis of the competencies, training and performance management would all be based on competencies. 4. Level 4: Everything is measured. Numbers have been put to everything. The manager would know where the employee stands, how much training is required, what is the exact performance level. 5. Level 5: The organization continually evaluates the latest developments in workforce practices and technologies to identify those developments with the potential to contribute to the organization's performance. Examples would be: a. If a new technology, say of loading-unloading comes into use, the driver will make efforts to train himself on the use of it, and the supervisor supports him. b. The existing driver will take initiative to train new apprentices. c. If any performance gap exists, the supervisor will get together with the driver and they can together draft a training plan. Thus a level 5 organization is more or less a system capable of self improvement and evolution without any external help. The systems and processes are mature and fully developed and they can guide the organization. Sajjal Sachdeva & Mayur Gupta, IMI                             Page 3   
  • 4. Overview of Dave Ulrich’s HR Value Proposition Model Strategic Partner is about alignment of HR activities and initiatives with the global business strategy and it is the task of the HR Management and HR Business Partners. Sometimes, it sounds easy to implement Strategic Partnership, but it needs a lot of effort from Human Resources. Change Agent is a very important area of the Ulrich’s HR Model. Change agent is about supporting the change and transition of the business in the area of the human capital in the organization. The role of Human Resources is the support for change activities in the change effort area and ensuring the capacity for the changes. Administrative Expert changes over the period of time. In the beginning, it was just about ensuring the maximum possible quality of delivered services, but nowadays the stress is put on the possibility to provide quality service at the lowest possible costs to the organization. Employee Champion is a very important role of Human Resources. The employee advocate knows what employees need and HRM should know it. The employee advocate is able to take Sajjal Sachdeva & Mayur Gupta, IMI                             Page 4   
  • 5. care about the interest of employees and to protect them during the process of the change in the organization. ROLES OF HR MANAGER IN A LEVEL 5 ORGANIZATION It would be the goal of the HR manager to take his company to highest level of HR development. But the question is that what would be his role after the company reaches the level 5. Taking Dave Ulrich’s model of HR roles, we examine how they would be in a level 5 organization: 1. Administrative Expert: This role would still be there. HR manager will play the role of an administrative expert and functional expert, coordinating the various processes and systems and ensuring that they are carried out properly and on time. 2. Employee Advocate/Champion: At level 5, the organization would have proper communication channels, grievance handling mechanisms and conducive work environment. Hence the requirement of an HR manager as an employee advocate will largely subside. 3. Change Agent/Champion: A level 5 organization has continuous capability improvement and continuous workforce innovation. The role of HR manager would be only to ensure that the process takes place and would be largely administrative. 4. Strategic Partner: In level 5 there is a process area on organizational performance alignment. This will ensure that the strategy of organization is translated into individual goals. The HR manager may still play the role of the strategic partner as a consultant, but that won’t be a major role and can be easily outsourced. Our Model can be illustrated using the following diagram: Sajjal Sachdeva & Mayur Gupta, IMI                             Page 5   
  • 6. Before the implementation of PCMM, the HR manager (seen here as the lady in the middle), operates in the center with a centrifugal actions of each employee of the organization. As, PCMM gets implemented, the emphasis shifts to the process areas rather than the person handling the process. In the end, each organization aspires to reach level 5 of the PCMM whereby the centralized HR manager is shifted out of the purview with the efficient processes taking its place and thus making an HR manager redundant. The mere job would probably be to administrate or of maintenance nature. Thus in a level 5 organization, the role of an HR manager would be reduced to: 1. That of an administrative expert or a functional expert. 2. And that of maintenance in case anything goes wrong. However this is rare and can be easily outsourced to consultants. The result would be that the active participation of HR manager will cease and only a passive role in the organization will remain. Further if line managers are trained in the HR functions; i.e. they are the owners of the HR processes, then even this role can be done away with. Whether Sajjal Sachdeva & Mayur Gupta, IMI                             Page 6   
  • 7. replacing HR managers with line cum HR manager is a good approach or not, we will discuss now. Line Managers as HR Managers By line managers acting as HR managers we mean that they take over the functional aspect of HR management. It does not imply the development of people orientation and management skills in the line manager. Every manager is expected to have them. A line manager can function with HR capacities if training imparted to them. But is this technique feasible and profitable? A Line Manager can replace the HR in handling the day to day functioning and the micro issues of the HR functions such as dispute handling, grievance redressal, functional recruiting etc. But there are broader and macro level work that an HR manager is expected to do such as organizational development, people strategy etc. Moreover the overall business objectives of the organization can only be realized if the HR realizes its objective. Once its objective is clear, a line manager cannot be asked to do an HR job because that would in itself be time consuming and problematic in the view that the line managers have their own roles and objectives to perform. There are two basic reasons why a line manager should not be doing the work of a HR manager. These are: 1. Cost: Examining the various cost issues related to a line manager functioning as an HR manager, it gets revealed that it adds to cost rather than any optimization. Training each line manager on the HR roles and then providing them with the necessary resources which earlier were localized/centralized to the HR department per say, would any day be less profitable. 2. Efficiency: Further, HR generally contributes by helping the line manager to do the work to its full capacity, by providing the required manpower and processes. But by having line manager’s function as HR managers, we are doing away with the advantages gained from division of work and resulting specialization. Further it will add to the workload of line managers. Sajjal Sachdeva & Mayur Gupta, IMI                             Page 7   
  • 8. It is not to be denied that line managers can take over the roles of HR managers, and to some extent they must become more people oriented but it certainly will be better to have HR managers do the functional and administrative work of HR management. Sajjal Sachdeva & Mayur Gupta, IMI                             Page 8   
  • 9. Conclusion To conclude, when an organization achieves level 5 of PCMM framework, we can say that there is nothing more for an HR manager to do. He must then dissociate himself from the organization and be content to play a passive role. His role mainly would be to stand by and monitor for any failures of the system. Just like the ultimate aim of a doctor is to ensure the health of his patient, in achievement of which he makes himself redundant, similarly for a healthy organization with mature, developed HR processes there is no use of an HR manager. Of course it is an ideal situation; no society is completely healthy and very few organizations have been able to achieve the level 5 certifications. Still that is the aim of every HR manager and once it is attained, there will be nothing more to do. However the administrative role would still remain. This role will not call for any new thought process, but like all administrative roles, it would be routine and repetitive. Still it would be better if an HR manager would look after the function rather than a line manager, though a line manager can be trained to do the job too. Sajjal Sachdeva & Mayur Gupta, IMI                             Page 9