H Rs Contribution To Business


Published on

for more such files , kindly visit Amazing Files at http://spicyflavours.net

Please join our slide share group

Published in: Entertainment & Humor

H Rs Contribution To Business

  1. 1. HR’s contribution to business strategy
  2. 2. Understanding strategic formulation <ul><li>Not always as per textbook: </li></ul><ul><ul><li>intended strategies </li></ul></ul><ul><ul><li>emergent strategies </li></ul></ul><ul><ul><li>political strategies </li></ul></ul><ul><li>How does HR contribute: </li></ul><ul><ul><li>operationalises business strategy </li></ul></ul><ul><ul><li>provides separate people thrust: </li></ul></ul><ul><ul><ul><li>connected with organisational aims </li></ul></ul></ul><ul><ul><ul><li>disconnected: HR best practice model </li></ul></ul></ul><ul><ul><li>is an integral part of business strategy </li></ul></ul>
  3. 3. Types of linkage between business & HR strategy two way linkage: mutual influence passing ships: independent HR and business strategies integrative business strategy informs HR actions
  4. 4. Linking business & HR strategy <ul><li>Factors that affect this linkage: </li></ul><ul><li>Planning process </li></ul><ul><ul><li>formal or informal </li></ul></ul><ul><ul><li>deliberative or emergent </li></ul></ul><ul><li>Degree and timing of HR involvement </li></ul><ul><li>Extent of challenge permitted </li></ul><ul><li>Legitimate areas for HR input </li></ul><ul><li>Extent of HR’s alignment with business - broad objectives and current imperatives </li></ul>
  5. 5. Understanding the decision making process <ul><li>If decided by formal processes </li></ul><ul><li>If matters are settled beforehand </li></ul><ul><li>If real action happens at operational level </li></ul><ul><li>Get a seat at the decision making table </li></ul><ul><li>Build coalitions, work to influence outside meetings </li></ul><ul><li>Ensure you have business partners effective at BU level </li></ul>
  6. 6. Stakeholder management <ul><li>board </li></ul><ul><li>executive committee </li></ul><ul><li>senior managers </li></ul><ul><li>line managers </li></ul><ul><li>team leaders/supervisors </li></ul><ul><li>employees </li></ul><ul><li>employee representatives </li></ul><ul><li>external suppliers </li></ul><ul><li>government bodies </li></ul><ul><li>other agencies </li></ul><ul><li>what is their stake? </li></ul><ul><li>what are their goals? </li></ul><ul><li>what are their expectations? </li></ul><ul><li>how will change affect them? </li></ul><ul><li>what do they know already? </li></ul><ul><li>what influence do they have? </li></ul><ul><li>what power do they have? </li></ul>
  7. 7. Characteristics of strategic HR <ul><li>A philosophy underpinning people management </li></ul><ul><li>Seeing people as a competitive resource </li></ul>
  8. 8. Making the case: what Human Capital HR can deliver <ul><li>Improved utilisation of talent </li></ul><ul><li>Higher productivity </li></ul><ul><li>Reduced costs </li></ul><ul><li>Better service delivery </li></ul><ul><li>Organisational integration </li></ul><ul><li>Aligned culture & organisational values </li></ul><ul><li>Greater employee engagement </li></ul><ul><li>Stronger employee proposition etc </li></ul>
  9. 9. Service-Profit-Chain Model Line Management Company Culture Employee Commitment Customer satisfaction with service Customer spending intention Change in sales Employee Absence
  10. 10. Characteristics of strategic HR <ul><li>A philosophy underpinning people management </li></ul><ul><li>Seeing people as a competitive resource </li></ul><ul><li>A planning approach to resources </li></ul><ul><ul><li>numbers </li></ul></ul><ul><ul><li>skills </li></ul></ul><ul><ul><li>potential </li></ul></ul><ul><li>Adds long-term rather than short term value </li></ul>in line with business need
  11. 11. Characteristics of strategic HR <ul><li>Integrated – brings together multifaceted activities </li></ul>
  12. 12. People management integration business strategy horizontal integration vertical integration reward employee relations training & devt work orgn culture leadership style
  13. 13. Characteristics of strategic HR <ul><li>Integrated – brings together multifaceted activities </li></ul><ul><li>Comprehensive – covers the entire operation (at BU or corporate level) </li></ul><ul><li>High value added – focuses on business critical issues </li></ul><ul><li>Builds social capital – helps sharing, networking and relationships </li></ul>
  14. 14. Characteristics of strategic HR <ul><li>Integrated – brings together multifaceted activities </li></ul><ul><li>Comprehensive –covers the entire operation (at BU or corporate level) </li></ul><ul><li>High value-added –focuses business critical issues </li></ul><ul><li>Builds social capital – helps knowledge sharing, networking and relationships </li></ul><ul><li>Anticipates change – through horizon scanning and internal sensing </li></ul>
  15. 15. Connecting business & HR strategies Business strategy HR strategy Business plans Imple- mentation Monitor Internal drivers External drivers
  16. 16. How is people & business alignment achieved <ul><li>What is the organisation’s big idea? </li></ul><ul><li>What are the business priorities? </li></ul><ul><li>What are the people priorities? </li></ul><ul><li>How do they link? </li></ul>Big idea Business priorities People priorities
  17. 17. Establishing people priorities What causes people to come to work, be motivated and perform? What stops them from being effective?
  18. 18. A model of capability ability: skills, training education motivation: engagement involvement application: OD product market strategy access: resourcing recruitment succession Deployment Development Individual capability Organisational action
  19. 19. What are external influences? <ul><li>Conduct environmental scanning: </li></ul><ul><li>what is the legal context </li></ul><ul><li>how tight/loose is the labour market </li></ul><ul><li>are the right skills available </li></ul><ul><li>at what price </li></ul><ul><li>what is the output from schools, universities, etc </li></ul><ul><li>what are the political priorities </li></ul>
  20. 20. What is the state of the current workforce? <ul><li>What proportion is skilled for their current and for future jobs? </li></ul><ul><li>What is its demographic shape? </li></ul><ul><li>How committed are employees? </li></ul><ul><ul><li>attendance </li></ul></ul><ul><ul><li>productivity </li></ul></ul><ul><ul><li>staying or leaving </li></ul></ul><ul><li>What are collective relationships like? </li></ul><ul><li>To what extent is employee potential being harnessed? </li></ul>
  21. 21. What stops HR succeeding? <ul><li>Human capital not recognised as a source of advantage </li></ul><ul><li>Weak organisational leadership </li></ul><ul><li>Poor teamworking across organisation </li></ul><ul><li>Business strategy poorly defined </li></ul><ul><li>There is little forward planning </li></ul><ul><li>People resources assumed to be unlimited, free or fully trained </li></ul><ul><li>Resources are hoarded & not shared </li></ul>
  22. 22. HR’s own problem areas <ul><li>Obstacles to success: </li></ul><ul><ul><li>time </li></ul></ul><ul><ul><li>capacity </li></ul></ul><ul><ul><li>focus </li></ul></ul><ul><ul><li>capability </li></ul></ul><ul><ul><li>positioning </li></ul></ul><ul><ul><li>organisation </li></ul></ul>
  23. 23. The ‘default’ operating model BU business partner BU business partner BU business partner BU business partner BU business partner consultancy pool centres of expertise shared services Corporate HR
  24. 24. HR’s own problem areas <ul><li>Obstacles to success: </li></ul><ul><ul><li>time </li></ul></ul><ul><ul><li>capacity </li></ul></ul><ul><ul><li>focus </li></ul></ul><ul><ul><li>capability </li></ul></ul><ul><ul><li>positioning </li></ul></ul><ul><ul><li>organisation </li></ul></ul><ul><li>Relationships with management not working. The villains: </li></ul><ul><ul><li>HR – not letting go </li></ul></ul><ul><ul><li>the line – not taking it up </li></ul></ul><ul><ul><li>senior mgt – sending wrong signals </li></ul></ul>
  25. 25. Results <ul><li>Inadequate HR service performance </li></ul><ul><li>Concentrating on low value tasks </li></ul><ul><li>HR policies are disjoined & inconsistent </li></ul><ul><li>They serve functional not organisational needs </li></ul><ul><li>Weak functional leadership </li></ul><ul><li>Poor internal reputation </li></ul><ul><li>Human capital not exploited, developed </li></ul>
  26. 26. What should HR do? <ul><li>Review your retention model </li></ul><ul><ul><li>right level of wastage? </li></ul></ul><ul><ul><li>numbers, types, quality </li></ul></ul>Why do they leave? Why do they join? <ul><li>Construct a workforce plan </li></ul><ul><li>Establish the supply/demand balance </li></ul><ul><li>Are the right people, in right jobs? </li></ul><ul><li>Review your recruitment model </li></ul><ul><ul><li>able to attract - all types? </li></ul></ul><ul><ul><li>brand </li></ul></ul><ul><ul><li>proposition </li></ul></ul>
  27. 27. A strategic review of recruitment and retention Market availability Organisational impact H L H L Outsource Commoditise Attract & retain
  28. 28. Different propositions for different groups Hire Exploit Fire Attract Retain Nurture
  29. 29. What should HR do? (2) <ul><li>How well are employees aware of </li></ul><ul><ul><li>the bigger picture? </li></ul></ul><ul><ul><li>their job? </li></ul></ul><ul><ul><li>what success looks like? </li></ul></ul>How do you know? <ul><li>Are you able to motivate staff? </li></ul><ul><ul><li>degree of engagement </li></ul></ul><ul><ul><li>what motivates them? </li></ul></ul><ul><ul><li>what demotivates them? </li></ul></ul><ul><ul><li>what impact does pay and performance management have? </li></ul></ul>
  30. 30. What should HR do? (3) <ul><li>How skilled are line managers in </li></ul><ul><ul><li>Appraising performance? </li></ul></ul><ul><ul><li>Giving feedback? </li></ul></ul><ul><ul><li>Developing skills? </li></ul></ul><ul><li>How effectively are </li></ul><ul><ul><li>Employees allocated to jobs? </li></ul></ul><ul><ul><li>How well are jobs/the organisation structured? </li></ul></ul><ul><ul><li>Employees moved to meet business needs? </li></ul></ul>
  31. 31. What should HR do? (4) <ul><li>What is the organisation’s </li></ul><ul><ul><li>Ability to change/innovate </li></ul></ul><ul><li>How good is the organisation’s governance structure? </li></ul><ul><li>How strong (and respected) are the organisational values, eg </li></ul><ul><ul><li>On diversity? </li></ul></ul><ul><ul><li>Whistleblowing? </li></ul></ul><ul><ul><li>Meritocratic progression? </li></ul></ul>
  32. 32. Measure people and HR functional performance <ul><li>Through for example </li></ul><ul><li>Critical success factors/areas </li></ul><ul><li>Key performance indicators </li></ul><ul><li>Service level reviews </li></ul><ul><li>Customer surveys </li></ul><ul><li>Employee attitude surveys </li></ul><ul><li>Process mapping/activity analysis </li></ul><ul><li>Audits/reviews (incl... quality) </li></ul><ul><li>Scorecards </li></ul><ul><li>Benchmarking </li></ul>
  33. 33. Improve measurement HR efficiency People Management effectiveness People management efficiency HR effectiveness
  34. 34. Examples of measures in multi dimensional measurement Customer views Process metrics Ratios Human Capital Cost/Income against headcount Strategic alignment Functional positioning
  35. 35. Human capital measuring & doing internal external business performance managing people business goals HR policies & practices HCM measuring reporting acting
  36. 36. … thank you
  37. 37. For more such files… visit Amazing Files at www.MyPassion.in or www. SpicyFlavours .Net This collection is sure to energize your nerves, brighten up your face with a smile, lighten up your confused mind and let u ponder and think upon the subtleties and intricacies of the enigma called life.