Becoming Strategic:  How HR can Earn (Even) More Respect by Tom Cox Cox Business Consulting, Inc. presented 07-Oct-2011  to the NHRMA 2011 Conference
How You Can Become (Even) More Strategic What does “Strategic” Mean for YOU? What does it mean for your boss? Your firm? What Stands In Your Way? Hint: It's  Not  Your Boss
Should we be trying this? The discipline I believe so strongly in is H.R. , and it’s the last discipline that gets funded. Marketing, manufacturing — all these things are important.  But more often than not, the head of H.R. does not have a seat at the table. Big mistake. –  Howard Schultz, chairman, president and C.E.O. of Starbucks
"Being more Strategic"  - the  Concept Mintzberg's Five "P"s of Strategy Plan, Ploy, Pattern, Position, Perspective "Be Strategic" today means "Drive Business Outcomes"  Strategic HR is beyond Admin and Compliance
"Being More Strategic" - the  Purpose Cut Costs Grow Revenue Increase Margins / Profits Connect everything to that frame of reference.
$500m Car Dealer's HR Director Sits on Strategy Council – and just did a name change on a benefits card Being "strategic" doesn't mean you give up grunt work
$500m Car Dealer's HR Director Sits on Strategy Council – and just did a name change on a benefits card Being "strategic" doesn't mean you give up grunt work Didn't come up through HR You have to know the whole business & how it makes money
$500m Car Dealer's HR Director Sits on Strategy Council – and just did a name change on a benefits card Being "strategic" doesn't mean you give up grunt work Didn't come up through HR You have to know the whole business & how it makes money Routinely Innovates – “Safeway Strategy” Became Self-Insured: Saved $1m/yr Improved Hiring: Reduced turnover by 68%
$100m Publisher's HR Director "Being Strategic" means "contributing at a higher level" Get there by learning the WHOLE business Ask questions, show interest, learn When you are NOT selected for the key project team, ask “why” in a self empowering way
“ Become More Strategic”  in 5 Easy Pieces Find Firm's Top 4 Strategic Issues List all major HR programs (payroll, HRIS, hiring, training, etc.) Chart the Strategic Issues vs. the HR Programs Create an Impact Grid of HR programs Assess, Measure and Build Trust
“ Usage Chart” of Strategic Issues  vs. HR Programs Examine how  each  program supports  each  major strategic issue.  Identify “As-is” and “To-be” and the gap.
Strategic Impact Grid of HR Initiatives
HR: Compliant, Helpful, or Strategic Compliance : Layoff Paperwork is Right Information : Monitor how employees are taking the news Strategic Impact : Take responsibility for morale; Coach senior staff on how to deliver the news and how to respond to the employee reaction
HR: Compliant, Helpful, or Strategic Compliance : Training on Compliance Information : Tracking Compliance before and after training Strategic Impact : Take responsibility for increasing Compliance over time; report dollar impact of Compliance change vs. spending
HR: Compliant, Helpful, or Strategic Compliance : Train on Supervisory Skills Information : Tracking Supervisory Effectiveness Strategic Impact : Take Responsibility for Coaching Managers to Grow Supervisors' Skills; Track Morale vs. Target; Scorecard to CEO of Supervisor Effectiveness by Division
“ They Won't Listen” - Role of  Trust Nobody will take you seriously ... until they  trust  you Dog Walker vs. Strategic Partner Assess Mis trust Measure  Trust Build  Trust
How to Assess Mis trust  -  10 Behaviors of Destructive Conflict Active  Destructive: winning at all costs displaying anger demeaning others retaliating intention invention Passive  Destructive: avoiding yielding hiding emotions self-criticizing working around people "Becoming a Conflict Competent Leader" by Tim Flanagan and Craig Runde
How to Measure  Trust  - 4 Elements of the  ' ROCC of  Trust ' Reliability : “I do what I said I would do” Openness : “You know my agenda” Competence : “I will tell you honestly what I can and cannot do well” Compassion : “I will put your agenda ahead of mine -- some of the time” "Trust is Everything" by Aneil and Karen Mishra
How to Build  Trust  -  8 Behaviors of Constructive Conflict Passive  Constructive: assuming positive intention delaying response reflective thinking adapting to multiple win conditions Active  Constructive: reaching out taking other person's perspective expressing emotions responsibly creating solutions "Becoming a Conflict Competent Leader" by Tim Flanagan and Craig Runde
Use the Impact Grid for Higher  Trust Where is HR under-performing? Where is HR not contributing strategically? How can we use outside experts better? Hiring: assessments, recruiters HRIS: SaaS/Cloud Do my C-Suite Partners Agree with my Grid?
Taking Action Now - 1 “ The Church is Near, but the Road is Icy. The Tavern is Far, but I will Walk Carefully.”   – Hungarian Proverb A 'roadblock' means: It's not that important to you You don't know what to do next You don't know how to do it
Taking Action Now - 2 “ I Could Be Strategic If Only They Would Listen” Wrong .  They will listen when you SHOW you can be strategic: Commit to Make Strategic Impact Build a Plan, Set Goals and Timelines Recruit Advisors Let Nothing Stop You
Resources and References 1. NY Times 10-Oct-2010 article interviewing Howard Schultz, chairman, president and C.E.O. of Starbucks 2. Mintzberg, Henry: "The Strategy Concept I: Five Ps For Strategy" in California Management Review, Fall 1987 3. "Trust is Everything" by Aneil and Karen Mishra 4. "Becoming a Conflict Competent Leader" by Tim Flanagan and Craig Runde 5. "Lean IT - Enabling and Sustaining Your Lean Transformation" (Mike and Steve, SteadyImprovement.com)

Making HR more strategic NHRMA 2011

  • 1.
    Becoming Strategic: How HR can Earn (Even) More Respect by Tom Cox Cox Business Consulting, Inc. presented 07-Oct-2011 to the NHRMA 2011 Conference
  • 2.
    How You CanBecome (Even) More Strategic What does “Strategic” Mean for YOU? What does it mean for your boss? Your firm? What Stands In Your Way? Hint: It's Not Your Boss
  • 3.
    Should we betrying this? The discipline I believe so strongly in is H.R. , and it’s the last discipline that gets funded. Marketing, manufacturing — all these things are important. But more often than not, the head of H.R. does not have a seat at the table. Big mistake. – Howard Schultz, chairman, president and C.E.O. of Starbucks
  • 4.
    "Being more Strategic" - the Concept Mintzberg's Five "P"s of Strategy Plan, Ploy, Pattern, Position, Perspective "Be Strategic" today means "Drive Business Outcomes" Strategic HR is beyond Admin and Compliance
  • 5.
    "Being More Strategic"- the Purpose Cut Costs Grow Revenue Increase Margins / Profits Connect everything to that frame of reference.
  • 6.
    $500m Car Dealer'sHR Director Sits on Strategy Council – and just did a name change on a benefits card Being "strategic" doesn't mean you give up grunt work
  • 7.
    $500m Car Dealer'sHR Director Sits on Strategy Council – and just did a name change on a benefits card Being "strategic" doesn't mean you give up grunt work Didn't come up through HR You have to know the whole business & how it makes money
  • 8.
    $500m Car Dealer'sHR Director Sits on Strategy Council – and just did a name change on a benefits card Being "strategic" doesn't mean you give up grunt work Didn't come up through HR You have to know the whole business & how it makes money Routinely Innovates – “Safeway Strategy” Became Self-Insured: Saved $1m/yr Improved Hiring: Reduced turnover by 68%
  • 9.
    $100m Publisher's HRDirector "Being Strategic" means "contributing at a higher level" Get there by learning the WHOLE business Ask questions, show interest, learn When you are NOT selected for the key project team, ask “why” in a self empowering way
  • 10.
    “ Become MoreStrategic” in 5 Easy Pieces Find Firm's Top 4 Strategic Issues List all major HR programs (payroll, HRIS, hiring, training, etc.) Chart the Strategic Issues vs. the HR Programs Create an Impact Grid of HR programs Assess, Measure and Build Trust
  • 11.
    “ Usage Chart”of Strategic Issues vs. HR Programs Examine how each program supports each major strategic issue. Identify “As-is” and “To-be” and the gap.
  • 12.
    Strategic Impact Gridof HR Initiatives
  • 13.
    HR: Compliant, Helpful,or Strategic Compliance : Layoff Paperwork is Right Information : Monitor how employees are taking the news Strategic Impact : Take responsibility for morale; Coach senior staff on how to deliver the news and how to respond to the employee reaction
  • 14.
    HR: Compliant, Helpful,or Strategic Compliance : Training on Compliance Information : Tracking Compliance before and after training Strategic Impact : Take responsibility for increasing Compliance over time; report dollar impact of Compliance change vs. spending
  • 15.
    HR: Compliant, Helpful,or Strategic Compliance : Train on Supervisory Skills Information : Tracking Supervisory Effectiveness Strategic Impact : Take Responsibility for Coaching Managers to Grow Supervisors' Skills; Track Morale vs. Target; Scorecard to CEO of Supervisor Effectiveness by Division
  • 16.
    “ They Won'tListen” - Role of Trust Nobody will take you seriously ... until they trust you Dog Walker vs. Strategic Partner Assess Mis trust Measure Trust Build Trust
  • 17.
    How to AssessMis trust - 10 Behaviors of Destructive Conflict Active Destructive: winning at all costs displaying anger demeaning others retaliating intention invention Passive Destructive: avoiding yielding hiding emotions self-criticizing working around people "Becoming a Conflict Competent Leader" by Tim Flanagan and Craig Runde
  • 18.
    How to Measure Trust - 4 Elements of the ' ROCC of Trust ' Reliability : “I do what I said I would do” Openness : “You know my agenda” Competence : “I will tell you honestly what I can and cannot do well” Compassion : “I will put your agenda ahead of mine -- some of the time” "Trust is Everything" by Aneil and Karen Mishra
  • 19.
    How to Build Trust - 8 Behaviors of Constructive Conflict Passive Constructive: assuming positive intention delaying response reflective thinking adapting to multiple win conditions Active Constructive: reaching out taking other person's perspective expressing emotions responsibly creating solutions "Becoming a Conflict Competent Leader" by Tim Flanagan and Craig Runde
  • 20.
    Use the ImpactGrid for Higher Trust Where is HR under-performing? Where is HR not contributing strategically? How can we use outside experts better? Hiring: assessments, recruiters HRIS: SaaS/Cloud Do my C-Suite Partners Agree with my Grid?
  • 21.
    Taking Action Now- 1 “ The Church is Near, but the Road is Icy. The Tavern is Far, but I will Walk Carefully.” – Hungarian Proverb A 'roadblock' means: It's not that important to you You don't know what to do next You don't know how to do it
  • 22.
    Taking Action Now- 2 “ I Could Be Strategic If Only They Would Listen” Wrong . They will listen when you SHOW you can be strategic: Commit to Make Strategic Impact Build a Plan, Set Goals and Timelines Recruit Advisors Let Nothing Stop You
  • 23.
    Resources and References1. NY Times 10-Oct-2010 article interviewing Howard Schultz, chairman, president and C.E.O. of Starbucks 2. Mintzberg, Henry: "The Strategy Concept I: Five Ps For Strategy" in California Management Review, Fall 1987 3. "Trust is Everything" by Aneil and Karen Mishra 4. "Becoming a Conflict Competent Leader" by Tim Flanagan and Craig Runde 5. "Lean IT - Enabling and Sustaining Your Lean Transformation" (Mike and Steve, SteadyImprovement.com)

Editor's Notes

  • #5 Strategy as plan - a direction, guide, course of action - intention rather than actual Strategy as ploy - a maneuver intended to outwit a competitor Strategy as pattern - a consistent pattern of past behaviour - realized rather than intended Strategy as position - locating of brands, products, or companies within the conceptual framework of consumers or other stakeholders - strategy determined primarily by factors outside the firm Strategy as perspective - strategy determined primarily by a master strategist