10 things HR transformation

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10 Things | HR TransformationThe why, what and how of making HR valuable to organisationsRob ScottPractice Leader: Human Capital Services

10 Things | HR Transformation

10 Things | HR Transformation is about unravelling the mysteries of HR Transformation ~ giving insight to the myriad of components included in HR strategy and transformation discussions. Organisations have different expectations of Human Resources, but HR itself is finding it difficult to adapt and provide direction. There is good reason for this, given that HR has remained largely inwardly focussed and showing marginal increases in its own performance.

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10 Things | HR TransformationHR Transformation initially focused on making HR operationsmore efficient and effective through process standardisation andtransactional technology usage. The next generation of HR Transformation is more tightly linked to corporate strategy and creating business value through HR services that address a companys most pressing strategic challenges.

10 Things | HR Transformation1: Whats driving change in Human ResourcesThe HR wake up call is being driven by a number of key factors all of which are directed towards building or strengthening the strategic partnership role.

Overall business is transforming HR is an important cogPressure to gain the People Competitiveness advantageQuestionable HR service deliveryHRs return on investmentLeadership changes in HRLack of perceived HR value to the organisationRegulatory changesGlobal demands

10 Things | HR Transformation2: Current state of Human Resources

Current research indicates that HR has three key focus areas, however the level of success in these areas varies considerably.

HR ServicesProviding the traditional Hire-to-retire HR services to line management and employees. The level of HR maturity influences the effectiveness of these services

Transactional executionHR will always be transactional in nature. Record keeping is generally good, but reporting and analysis is generally poor

PartneringLine partnering and strategic partnering has been on the cards for a number of years. HR tends to rate poorly in this area.

10 Things | HR Transformation3: Where does the HR Focus need to beBuilding the strategic Human Capital function requires a broader focus of attention.

HR strategyTalent managementLeadership developmentChange managementStrategic Workforce planningMerger & acquisitionNew market penetrationRegulatory & governanceGlobal mobility & securityProgramme management

10 Things | HR Transformation4: Critical HR Strengths

An analysis of the strengths of HR departments shows alignment with the current focus areas.

People skillsHR is still regarded as the custodian of people matters in organisations, and are regarded as competent in dealing with employee relationship matters

Interviewing and assessmentHR is skilled in assessing applicants and conducting applicable assessments the typical psychology profile of HR is still very prevalent

Functional servicesHR provides reasonable services in the Hire-to-retire group of activities

Record keepingGenerally good manual recording systems

10 Things | HR Transformation5: HR Development AreasIn order for HR to fulfil its new mandate, there are a number of areas that need focus and development.

Business strategyData analysis and reportingOrganisational assessmentOrganisational designCost analysisMeasurementCross functional skillsFinancial acumenVendor managementTechnology awarenessSocial network impacts

10 Things | HR Transformation6: Major Obstacles to Transforming HR

If HR is going to transform, then it needs to address the critical hurdles it faces.

Capability of line managementSkills within HR departmentsBusiness perception of HRs valueAttitude of lineHR structures and reporting linesBusiness leadershipBusiness desire for HR strategic activityEffective use of technologyUnderstanding difference between HR Best Practice and HR Maturity

10 Things | HR Transformation7: The Four Pillars of StrengthThe new transformed HR model has 4 pillars that support the organisation.

CustomersCustomer services is core to HR, but the target is changing to include line customers and vendors

ProcessResearch indicates that