Track 1 joris xl

Track 1 joris xl

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  Event Management Training &Conferences Knowledge Development Center HR as Strategic Business Partner Joris de Fretes 9 December 2009 Linking HR efforts directly to the business strategy and to the environmental factors that frame the strategy. Strategic Business Partner “HR Transformation”, Dave Ulrich, 2009
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  Event Management Training &Conferences Knowledge Development Center PRINCIPLES FOR building HR FUTURE • HR Strategy must be anchored to the business strategy. • HR Management is NOT about programs; it’s about relationships. • The HR Department must be known as the part of the organization that  “anticipates change” and “understands what is necessary to respond to it.” • HR Executives should be an outspoken advocate of employees interests, yet it  must understand that business decisions have to balance a range of factors that  often conflict with one another. • The effectiveness of HR efforts depend on staying focused on issues rather than  personalities. • HR Executives must accept that constant learning and skill enhancement are  essential to their being an effective contributor to the business.  “Creating A Human Resources Strategy For Your Business”, Jan Spak, 2002 Some Questions • Are all HR professionals in your organization have a  strong understanding of the business, competitors,  and the external business environment ? • Has HR works already takes an outside‐in approach  based on external stakeholder (i.e. customer,  regulator, investor) ? • Has our organization clearly defined organizational  capabilities that ensure strategy execution ? • Are our HR leaders focus on business result ?
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  Event Management Training &Conferences Knowledge Development Center Why Do the Transformation BUSINESS CONTEXT BUSINESS STRATEGY HR REDESIGN TRADITIONAL HR HR TRANSFOR- MATION • Traditional HR begins by focusing on HR issues and redesigning HR governance or practices. • HR Transformation begins with an understanding of the context in which the business operates (both general conditions and specific stakeholders). The context of business setting captures “why” of HR transformation. Identify readiness level for HR transformation through HR Strategy Assessment HR’s role must be transformed in order to deliver value to customers, shareholders, managers and employees This transformation requires integrating the various HR practices and focusing them jointly on value- added agendas such as intangibles, customer connection, organization capabilities and individual abilities “HR Value Propositions”, Ulrich and Brockbank, 2005 Transformation Focus
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  Event Management Training &Conferences Knowledge Development Center 6 implications for HR transformation • HR works does not begin with HR ‐ it begins with the business, how HR  activities create value for the stakeholders • HR must have a direct line of sight to the market place – to customer who  buy the products and to shareholders who provide capital • HR must be framed as a source of competitive advantage – able to create  human abilities and organizationalk capabilities better than competitors • HR professionals must align practices with the requirements of internal  and external stakeholders • HR professionals must acquire the personal knowledge and skills  necessary to link HR activity to stakeholder value • HR professionals need to be able to spell out how to provide a unique  and powerful perspective of the linkages between employee  commitment, customer attitude and investor returns  Ulrich and Brockbank – HR Value Propositions HR Transformation Process Business Context Globalization Technology Employee inside Customer and Consumer outside Investors Competitors Organization Challenges To respond the business context the organization need to be good at Talent Learning Speed to change Leadership brand Shared mindset, culture Innovation Accountability or firm brand Strategic clarity Collaboration Efficiency HR respond Responding to these challenges affects all five dimensions of HR HR  Profession HR  Practices HR  Professionals HR  Function Management  of People and Organization HR  Dimensions
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  Event Management Training &Conferences Knowledge Development Center Organizational Challenges CHALLENGES – WE ARE GOOD at.. CAPABILITY OF HR ORGANIZATION COMPETENCIES OF HR PROFESSIONALS Talent Assuring competent & committed people Able to attract, motivate, retain, and engage competent employees • Do talent audit • Build employee value preposition Speed Making important changes happens fast Able to change and change quickly to align with customer needs • Build a discipline change process • Assimilate change into a new identity Shared Mind Set Turning customer reputation and identity into employee actions Able to build a culture that reflect customer expectation and turn them into employee actions • Perform a cultural audit •Make customer reputation real to the employee Accountability Implementing discipline that result in high performance Able to meet commitment • Build and implement PMS Collaborations Working across boundaries Able to make the whole more than the sum of parts • Build productivity improvement effort • Sharing ideas, people, products, services Learning Generating & generalizing ideas with impacts Able to generate new ideas & generalize them across boundaries • Generate new ideas • Generalize them across boundaries Leadership Brand Embedding leaders throughout organization who embody leadership brand Able to identify leadership brand that connect customer reputation and employee behavior • Ensure leaders demonstrate leadership basics/code Customer Connections Building trust with targeted customers Able to create practices that create customer connectivity • Convergence between employee and customer mindset Innovations Doing something new both content & processes Able to innovate and create new ways • Establish innovation protocols • Instill spirit of innovation among all employees Strategic Units Articulating & sharing a strategic point of view Able to create a unity of share understanding of the desire strategy • Create an intellectual, behavioral and process agenda Efficiency Managing cost of operations Able to manage cost efficiently • Reduce costs through process, people & projects ‘how-to” HCD transformation into Business Partner Knowing the external Business realities Ensuring HR professionalism Building HR resources Creating HR practices Serving external & internal stakeholders – Technology – Economics – Demography – Roles – Competency – Development – Strategy – Organization – People – Environment – Information – Employees – Customers – Investors HCD value proposition These elements frame the agenda for HCD going forward and set new measurement of HCD capabilities in delivering values to the company
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  Event Management Training &Conferences Knowledge Development Center Transformation Criteria HR Value Proposition Element • Knowing the external business  realities • Serving external and internal  stakeholders HR Transformation Criteria • Criterion 1 : HR professionals recognize  external business realities and adapt HR  practices and allocate HR resources  accordingly  • Criterion 2 : HR function creates market  value for investors by increasing intagibles • Criterion 3 : HR increases customer share  by connecting with target customers • Criterion 4 : HR function helps their  managers deliver strategy by building  organization capabilities • Criterion 5 :  HR function clarifies and  establishes an employee value proposition  and enhances individual abilities  Transformation Criteria HR Value Proposition Element • Creating HR practices • Building HR resources HR Transformation Criteria • Criterion 6: HR function manages people  processes and practices in ways that add  value • Criterion 7 : HR function manages  performance management processes and  practices in ways that add value • Criterion 8 : HR function manages  information processes and practices in  ways that add value • Criterion 9 : HR function manages work  flow design and processes in ways that add  value • Criterion 10 :  HR function aligns its  organization to the strategy of the  business • Criterion 11 : HR function has a clear  strategic planning process for aligning HR  investments with business goals 
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  Event Management Training &Conferences Knowledge Development Center Transformation Criteria HR Value Proposition Element • Ensuring HR practices HR Transformation Criteria • Criterion 12 : HR function has HR  professionals who play clear and  appropriate roles • Criterion 13 : HR function builds HR  professionals who demonstrates HR  competencies • Criterion 14 : HR function invests in  training and development of HR  professionals Ulrich and Brockbank – HR Value Propositions What drives performance in the new HR Model Shared service  center HR Business  Partner Center of Excellence My credibility rest in ......... Therefore I need ......... • Strong transactional solutions • Integration across processes • Integration of customer management and HR management activity • Performance measurement tools • Financial measurement tools • Customer experience • Delivery of KPI • Cost Performance • Visible continous   improvement • Bring close to the business • Flexing HR delivery to adopt business changes • Having skills to deliver • Deep skills and credibility • Specialized tool set • Accurate predictive capability To predict business demand and model the outcomes – for example how to translate : seasonal to resourcing peaks strategy develoment to organization new market design sales force to integrated performance performance reward system • Specialist not generic tools • External benchmark • Scorecard metrics • Predictive capability
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  Event Management Training &Conferences Knowledge Development Center Future HR Competencies Strategic contribution:  Manage culture, facilitate "fast change“,  involved  in strategic decision‐making, and create market‐driven connectivity.  Personal credibility: Credible to both their HR counterparts and the  line  managers whom they serve. They also have effective writing and verbal  skills.  HR delivery: Focus HR activities in four key areas: staffing, training &  development, performance management, managing/ measuring the impact  of overall HR practices. Business knowledge:  Keen understanding of how the firm creates wealth,  how the firm is horizontally integrated (e.g., how sales and marketing relate  to manufacturing), and what the industry challenges are.  Knowledge of HR technology: Able to leverage technology for HR practices  and use e‐HR/Web‐based channels to deliver value to customers.  University of Michigan, Ann Arbor, HR competencies Study, 2005 Domains of Competencies for HR Professionals • Knowledge of the business  • Delivery of HR practices  • Ability to manage change • Culture management • Personal credibility • Financial management  • External competitive and customer demands • Strategic HR performance management • Critical causal thinking,  • Understanding principles of good management,  • Estimating causal relationships, and  • “Executive” communication (to communicate HR strategic  performance results to senior line managers.)  David Ulrich, “HR Scorecard”, 2001
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  Event Management Training &Conferences Knowledge Development Center HR Transformation Milestone Checklist 1 Business Context (WHY) 2 Outcomes (WHAT) 4 HR Account- ability (WHO) 3 HR Design (HOW) • Business Demands • Globalization • Technology • Investors • Competitors • Stakeholder capabilities • HR capabilities • HR Organization • HR Process • HR people management • HR Skills & Competencies • HR Culture and mindset • HR Leadership Team • Line Managers • External Customers & Investors • Consultant & Advisors XL Experience
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  Event Management Training &Conferences Knowledge Development Center Nature of telecommunication industry that drives HR strategy : •Capability in technology change rapidly •Capability in financial capital intensive •Capability in regulation new industry, not “mature” •Capability to understand customer needs trends, segmented customers Business Context Need alignment to company direction Need to clarify role, accountability, & capabilities Need to revamp organization to create strong platform To realize business strategic partner role to function 1 2 3 4 The Background To anticipate industry dynamics and internal business requirements, we are looking at several aspects to address:
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  Event Management Training &Conferences Knowledge Development Center Organization Human Capital Development Director HC Business  Partnership Learning and DevelopmentHC  Operation HC  Strategy and Planning • Employee Relations • Reward Management • Resourse Management • HC Information System • Employee Branding • Corporate Culture • Managerial Competency Dev. • Knowledge Management • Technical Competency Dev. • Leadership Lounge • Performance Management • Talent Management • Organization Development • Organization Productivity Source: Reengineering Human Resources, Lyle M. Spencer, Jr., Ph.D. TODAY Value to the business 30% 10% 60% StrategicStrategicStrategic DeliveryDeliveryDelivery ministratministratministrat ionionionAdAdAd TOMORROW Processes are standardized and streamlined, while maintaining high flexibility for improvements Organization improvement is to contribute more values to the business StrategicStrategicStrategic DeliveryDeliveryDelivery AdministrationAdministrationAdministration ResourcesResources 10%10% 30%30% 60%60% Resource
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  Event Management Training &Conferences Knowledge Development Center HCD operational roles1HCD operational roles1 • As a strategic business partner- alignment of HR activities and initiatives with the company strategy • As an organizational change agent- supporting the change and transition of the business in the area of the human capital in the organization • As a champion of operational excellence - to provide quality service at the lowest possible costs to the organization • Building relationship with internal & external business partner- the employee advocate is able to take care about the interest of employees 1adopted from D Ulrich “HR Roles Model” 2adopted from G Haines “Center for Strategic management” HCD Key Deliverables2HCD Key Deliverables2 Key deliverables are identified as spearhead in realizing unit objectives Strategic People  Management Acquiring Talented Workforce Creating learning organization Collaborating with stakeholders Engaging Workforce Building high performance team Creating Organization culture Be strategic business partner Alignment with company Strategic plan Leadership Personal XLence XLence Plan - performance setting process which ensures individual objectives and development plans are directly linked to achieving business plan goals. XLence Check Point - critical to the whole Personal XLence process. In this review, the superiors are required to lead and support the employees on pursuing the target achievement. This session is also to discuss the progress of objective/achievement compare with the target planned. XLence Evaluation - the completion of Personal XLence process is the annual Performance Evaluation. This written review should summarize the ongoing feedback, both formal and informal, given throughout the year.
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  Event Management Training &Conferences Knowledge Development Center Talents Pool E5 E4 E3 E2 E1T1 T3 T2 T4 T5 Staff, Officer, Engineer, Analyst Supervisors Managers Vice President General Managers DIRECTORS Employee Population Talents Pool POTENTIAL CURRENT PERFORMANCE Outstanding Future Potential Strong Future Potential Stable Future Potential Has Issues/ Insufficient data WATCH LIST WATCH LIST UNKNOWN/ WATCH LIST Demonstrates Performance Emerging Performers (3 – 5 years) Accelerated Development Pool (1 – 3 years) Solid Performers Stands Out Accelerated Development Pool (1 – 3 years) Accelerated Development Pool (Immediate) Solid Performers Development Plan PERFORMANCE DEVELOPMENT COMPETENCY DEVELOPMENT
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  Event Management Training &Conferences Knowledge Development Center Management Development Program for GMs Session 1 MANAGING BUSINESS PERFORMANCE By Practicing Sound People Leadership The 1st session modules help participants strengthen the basics for achieving business results and for setting up sound practices in people leadership WHY? Session 2 The 2nd session modules support participants in further developing capabilities to ensure business success through stronger collaboration both internally and externally. WHY? Five-days program • Competencies addressed: • Commercial Orientation; • Visionary Leadership; • Strategic Decision Making; • Change Leadership; • Aligning Performance for Success; • Delegating Responsibilities PARTNERSHIP FOR EXCELLENCE By Developing Creative Synergy Three-days program • Competencies addressed: • Building Business Partnership; • Building Trust; • Communication; • Customer Focus To revamp internal HCD roles, accountability, and capability To have strong organization platform to company strategic initiatives To be a strategic business partner to function To deliver service excellence to internal and external customers To rejuvenate team’s passion and energy in achieving company objectives 1 2 3 4 The main theme is to solidify role as “strategic business partner” How can we get there? 5
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  Event Management Training &Conferences Knowledge Development Center Further looking into the horizon, change agent’s role is the end goal Business Partner BusinessBusiness PartnerPartner Change Agent ChangeChange AgentAgent Solutions Development and Delivery SolutionsSolutions Development andDevelopment and DeliveryDelivery Administration and Compliance Administration andAdministration and ComplianceCompliance High HighLow Influence with the business Value to the business Administrator Professional Change Agent Business Partner Quick wins Med-term End goal Currently HCD roles End-goal we want to be Intermediate goal we can achieve