hr_intro

8/9/2019 HR_Intro

1/35

Introducing HR Measurement andIntroducing HR Measurement andReportingReporting

Ensuring Executive Alignment and Understanding

8/9/2019 HR_Intro

2/35

C ritical QuestionC ritical Question

Why would we want to measure human

resourceswhat value does it add?

8/9/2019 HR_Intro

3/35

ReRe--aligning the HR Contributionaligning the HR Contribution

Enhance CEO/senior executive team understanding

Demonstrate the opportunity available

Re-align our thinking and contribution

Key performance indicators and detailed reporting

8/9/2019 HR_Intro

4/35

Administrativespecialists

Employee advocates

How CEOs and senior executives often view HRHow CEOs and senior executives often view HR

David Ulrich HR Champions: The Next Agenda for Adding Value & Delivering Results, 1996

Business partners Change agents

8/9/2019 HR_Intro

5/35

Business partners Change agents


Employee advocates

How HR wants to be viewedHow HR wants to be viewed


8/9/2019 HR_Intro

6/35

Business partnersBusiness partners Change agentsChange agents


Employee advocates

How HR wants to be viewedHow HR wants to be viewed


= Missedopportunity!

8/9/2019 HR_Intro

7/35

S tages in Human Resources functionalS tages in Human Resources functional developmentdevelopment

COMPETITIVEADVANTAG E

(Consolidation)

Total line manager accountabilityInternal consultantsAdd valueIntegral to company successLong term vision and strategyBUS INESS

PARTNERS (Integrated)

Integral contribution to business planS trong influence on other departmentsMember of top teamQuality systems and processesS ervice managementIntellectual capital/knowledge managementWorkforce empowerment and teamsReturn on investmentCost/benefit analysisComprehensive database

PRO ACTIVE(Rapid growth) Customer/needs focused

Pro-active/improvementManagement developmentLeadership trainingS uccession planningWorkforce planningPerformance managementWorkforce productivity

INTERNALPOLI CE

(Emerging)Policies and manualsControls headcount, hiring,

restructuring, travel, relocationReporting systems & budgetsBasic measures turnover,

absenteeismTechnical and skills trainingIR disputes, grievancesOH&S procedures

KIND HEARTS (Lending S upport) CafeteriaCar parkS ecurityGymnasiumS ocial clubChristmas party

BAS IC NEEDS RecruitmentInduction

PayrollAdmin/RecordsLeave

8/9/2019 HR_Intro

8/35

Human Resources transformationHuman Resources transformation

To

knowledge-based enterprise

From

industrial enterprise

individual employees

regulatory authorities

workplace policies

workplace stabilityworkforce administrator

stockholders

CEO

business performance tools

core competenciesfinance officer for human capital

S ervice to

C reation of

S ervice to

Guardian of Chief

8/9/2019 HR_Intro

9/35

TheThe globalglobal marketplacemarketplace

Pricesensitivity

Sq ueeze onmargins

Emphasis on productinnovation

S horter lead times

Tighter cost

control

Enhanced

customer service

Wo rkf o rce c o ntributi o n?

8/9/2019 HR_Intro

10/35

Organisational critical success factorsOrganisational critical success factors

Product q uality

Competitive price

Cost of labour

S taff capability

Product innovation

Excellence in customer service

Wo rkf o rce c o ntributi o n?

8/9/2019 HR_Intro

11/35

CEO/senior executive team recognition...CEO/senior executive team recognition...

To capitalise on workforce potentialTo capitalise on workforce potential

8/9/2019 HR_Intro

12/35

The Human Resources contribution...The Human Resources contribution...

To optimise workforce performanceTo optimise workforce performance

8/9/2019 HR_Intro

13/35

S earch for the Holy G rail of HR managementS earch for the Holy G rail of HR management

Kaizen

TQM

7 Habits

Change Management

MBWA

Intrapreneuring

Hierarchy of Needs

Matrix Empowerment

Delayering

Quality C ircles

One Minute Managing

Theory X & Y

Plan-Organize-Direct- Control

Rightsizing

Emotional Intelligence

Customer S erviceS elf-Directed TeamsWork S implification

Human RelationsDownsizing

Reengineering

Excellence

Portfolio Management

Managerial Grid

Management by Objectives

Balanced S corecard

EVA

Continuous Improvement

Corporate Culture

Organization Renewal

Value Chain

Management S cience

Work-life Balance

Benchmarking

Relationship Marketing

Diversification

Hygiene and Motivators

Decision Tree

?

8/9/2019 HR_Intro

14/35

Dilberts version of HRM!Dilberts version of HRM!

8/9/2019 HR_Intro

15/35

HR perspective: organisational contributionHR perspective: organisational contribution

Productivity

Wellbeing S atisfaction

Capability

WorkforceWorkforce

8/9/2019 HR_Intro

16/35


Labour costsLabour mix and utilisationS taff rostering and utilisationNew technology applicationC ross-functional project teamsEmployee participation/teams

Workforce forecasting

Productivity

WorkforceWorkforce

8/9/2019 HR_Intro

17/35


Performance feedbackInduction programsTechnical and skills trainingLearning centresTertiary assistance/MB AsRecruitment programRole clarity

Capability

WorkforceWorkforce

8/9/2019 HR_Intro

18/35


WellbeingLeadership trainingNon-discriminatoryworkplaceFair treatment processS afe work practicesEq uipment and physicalfactorsWorklife balance programs

WorkforceWorkforce

8/9/2019 HR_Intro

19/35


S atisfaction

Career path optionsInternal communication plan

Remuneration and incentivesRecognition and reward programsEffective payrollHuman resources policy manual

WorkforceWorkforce

8/9/2019 HR_Intro

20/35

CEO/senior executive perspective: ownership of workforce issuesCEO/senior executive perspective: ownership of workforce issues

Employees

HR departmentS enior executive team

8/9/2019 HR_Intro

21/35

HR perspective: senior executive team accountabilitiesHR perspective: senior executive team accountabilities

S enior executive team

Budget centres Hiring and firing

Organisational charts

Pay and promotions

8/9/2019 HR_Intro

22/35

HR perspective: ownership of workforce issuesHR perspective: ownership of workforce issues

S enior executive team

Employees

HR department

8/9/2019 HR_Intro

23/35

Human ResourcesHuman Resources

Key Performance IndicatorsKey Performance Indicators

8/9/2019 HR_Intro

24/35

To highlight to the senior executive team:

areas where the organisation is performing wellareas where intervention is re q uired

HR Key performance indicatorsHR Key performance indicators

Objectives and purpose

8/9/2019 HR_Intro

25/35

One page, once per month

Measuring o rganisati o nal performance, not

that of the HR DepartmentMust be big ticket items (business-linked)

Must be user friendly and easy to understand

S upported by detailed tables and/or graphs

HR key performance indicatorsHR key performance indicators

Key principles

8/9/2019 HR_Intro

26/35

Contain credible/reliable information (start off slowly...be willing to amend/change)

Progressively introduce agreed targets (internal,then external)

Must become institutionalised within the senior management team

HR team must be fully conversant

HR key performance indicatorsHR key performance indicators

Key principles ( c o ntinued)

8/9/2019 HR_Intro

27/35

Example KPI reportExample KPI report

Ke Per ormance Ind cator eport

For Per

od ended

Cr

ter

a easure escr

pt

on Assoc

ated report Last per

od h

sper

odChange

a g

Nu be o

F

E Wo k

o e

ead oun

epo

o

a

hou u

ed Wo k

o e

a

on

epo

% o

o

a

w o k

o e

e

na

ng

o

a

$ o

o

u no e

%

o

a

hou

o

o ab en

ee

o

a

$ o

Nu be o

o

e

nju

e (L

I)

Nu

be

o

o

e day

!

e age du a

on a

e o

L

I

F equen y a

e o

L

I

$ o

o

w o ke o pen a

onWo ke

"

o pen a

on"

o

ng

epo

Nu be o

d

na

on o p

a

n

e d

Nu be o

e # ua

ha a en

o p

a

n

e d

Nu be o

phy

a

ha a en

o p

a

n

e d

Nu be o

w o en

n anage en

po

on

- en

o anage en

-

dd

e anage en

a

o o

e a

e appo

n

en

a

e

% o

w o en e

u n

ng

o w o k a

e a

ea e

!

b en

ee

pe

o an e and o

pa

upon

he o gan

a

on

$ eadcount

%

ork & orce turno er unplanned

"

hange

n w o k

o e nu be andhou u

edbye p

oyee a

ego y

u no e pe

o an e and o

pa

upon

he o gan

a

on%

ork & orceabsentee

sm unplanned

Wo k

o e

u no e

epo

Wo k

o e!

b en

ee

epo

%

orkerscompensat

on

O upa

ona

hea

h and a

e

ype

o an e

h oughou

heo gan

a

on

O

upa

ona

ea

h'

Sa

e

y epo

Eq ual emplo ( mentopportun

t (

Equa

e p

oy en

oppo

un

y anda

a

e a

onpe

o an e

h oughou

he o gan

a

onE

S

a

u

epo

8/9/2019 HR_Intro

28/35

Example KPI reportExample KPI report ( c o ntinued)( c o ntinued)

$ ) abou 0 cos1

as 2 o3

sa ) es

4 e 5 enuegene 0 a1

edpe 0 F6

7 s

8 n 9 1

p 0 oduc1

9 onpe 0 F6

7 s

Labou 0 u1

9 ) 9 sa1

9 on 0 a1

e

Qua ) 9 1

@

0 eA

ec1

0 a1

e B e C p ) o@ ee e 0 0 o 0 D

E u C be 0 o3

c 0 ed 9 1

0 e1

u 0 ns B ) 9 n F ed G 9 1

h e C p ) o@ eee 0 0 o 0 D

E u C be 0 o3

cus1

o C e 0 co C p ) a 9 n1

s B e C p ) o@ ee0 e ) a

1

ed D

RecruH

I

me nI

P

5 e 0 ageda @ s 5 acanc @ du 0 a1

9 on Q C anage C en1

P

5 e 0 ageda @ s 5 acanc @ du 0 a1

9 on Q s1

a3 3

P

5 e 0 agecos1

0 ec 0 u 9 1

C en1

Q

C anage C en1

P

5 e 0 agecos1

0 ec 0 u 9 1

C en1

Q s1

a3 3

2 neG

h 9 0 esach 9 e5

9 ng 6 C on1

hsse 0 5

9 ce

2 ne G h 9 0 esach 9 e 5 9 ng12 C on1

hsse 0 5 9 ce

2 ne G h 9 0 esach 9 e 5 9 ngsa1

. app 0 a 9 sa ) a1

3

9 0 s1

assess C en1

P

5 e 0 age $ cos1

pe 0 5 acanc @ 3

9 ) ) edP

5 e 0 agecos1

o3

5 acanc 9 es3

9 ) ) ed

R o C pan @ 1

0 a 9 n 9 ng e S pend 9 1

u 0 e B 2 o3

sa ) a 0 9 es T G ages D

$ co C C 9 1

C en1 1

o s1

a3 3

1

0 a 9 n 9 ngandde 5 e ) op C en

1

6

0 a 9 n 9 ng T U e 5 e ) op C en1

7

S pend 9 1

u 0 e 4 epo 0 1

P

5 e 0 age1

0 a 9 n 9 nghou 0 s pe 0 e C p ) o@ ee6

9 C e co C C 9 1

C en1 1

o s1

a3 3

1

0 a 9 n 9 ngandde 5 e ) op C en

1

6

0 a 9 n 9 ng V ou 0 sP

) ) oca1

9 on 4 epo 0 1

2

1

0 a 9 n 9 ngcou 0 sepa 0 1

9 c 9 pan1

sa1

9 s3

ac1

9 onPa 0

1

9 c 9 pan1

sa1

9 s3

ac1

9 on G 9 1

h1

0 a 9 n 9 ngcou 0 ses p 0 o5 9 ded

2

1

0 a 9 n 9 ngcou 0 se a1 1

endancePa 0

1

9 c 9 pan1

a1 1

endance a1 1

0 a 9 n 9 ngcou 0 ses p 0 o5 9 ded

E u C be 0 o3

e C p ) o@

ees co C p ) e1

9 ng sponso 0 ed1

e 0 1

9 a 0 @ s1

ud 9 esE u C be 0 o

3

e C p ) o@ ees co C p ) e1

9 ng sponso 0 ed MBP

p 0 og 0 a C s

Lea 0 n 9 ngcen1

0 es

Q nu C be 0 o3

cou 0 ses o3 3

e 0 ed

Q

2 cou 0 sepa 0 1

9 c 9 pa1

9 on

Q

W n1

e 0 ne1

hou 0 s u1

9 ) 9 sed

Q e Q ) ea 0 n 9 ngcou 0 ses u1

9 ) 9 sed

Q

2 e Q ) ea 0 n 9 ngpass 0 a1

e

6

0 a 9 n 9 ng Pe 0 3

o 0 C ance 4 epo 0 1

X

roducI

H

Y

H I

y andu

I H ` H

saI

H

on

a

o 0 F 3

o 0 ce p 0 oduc1

9

5

9

1

@

/e C p ) o@

ee0 e ) a

1

9 onspe 0 3

o 0 C ance

7 C p ) o@ eesa1

9 s3

ac1

9 on) e 5 e ) s/o 0 gan 9 sa

1

9 ona ) cu ) 1

u 0 e

b

raH

nH

ngandde Y e

`

opmenI

4 ec 0 u 9 1

C en1

pe 0 3

o 0 C ance1

h 0 oughou1

1

he o 0 gan 9 sa1

9 on

c

1

a3 3

0 e1

en1

9 onpe 0 3

o 0 C ance1

h 0 oughou1 1

he o 0 gan 9 sa1

9 on

4

ec0

u9

1

C

en

1

c

1

a

1

us4

epo0

1

R o C C 9 1

C en1 1

o p 0 o3

ess 9 ona ) de 5 e ) op C en

1

o3

s1

a3 3

1

h 0 oughou1 1

heo 0 gan 9 sa

1

9 on

Lea 0 n 9 ngcen1

0 e e3 3

ec1

9

5 eness1

h 0 oughou1 1

he o 0 gan 9 sa1

9 on

d R K ey P er e

ormance Ind f cag

or Repor g

h

or Per H

od ended

i

r H

I

er H

ap

easureq

escr H

pI

H

onr

ssocH

aI

ed repor I

s

asI

per H

odb t H

s per

H

odi t

angeu b q

(a Y g

v

8/9/2019 HR_Intro

29/35


% of internal appointments above level __

Avg length of service of staff apptd above level ___

w

umber of unfair dismissal c laims

Workforce lost time (hours)w

umber of formal union grievances

% workf orce on individual contracts

Internal communications

- number of bulletins issued

- number of emails issued

- number of staff briefing sessions conducted

Work/life balance

- number of active f lexible work agreements

- number of active w orking from homeagreements

- number of active job sharing agreements

Workforce teams

- number of active teams

- number of team meetings

% compa ratio

$ pay for performance gaps

$ pay equity gaps

% employee shar e scheme take-up rate

Level of outstanding annual leave liabilityOrganisation performance in managingannual leave

Accrued Annual Leave Report

w

umber o f manual payroll adjus tment s Payrol l per formancew

umber of employees aged under 25w

umber of employees aged 2535w



umber of employees aged over 55

Avg length of service (current employees)

Avg length of service (terminating employees)

% ratio of salaried staff to waged staff

% ratio of surplus staff to required staff

Organisational success in providing aneff ective work/life balance programfor all employees

Employee r elations perf ormancethroughout the organisation

Organisational effectiveness increating and sus taining a team-basedstructure/culture

Organisational c ompetitiveness andequity in remunerationpackaging/policy

Administration

Organisation profile

Demographic prof ile of employees byage across the organisation

Average length of service of employees across the organisationand terminating

Adequacy of workf orce planning

Succession Planning StatusReportSuccession planning

Succession planning effectiveness

ER Status Report

Staff alignment and commitment to theorganisation

Employee relations

Remuneration

HR Key Performance Indicator Report

For Period ended

Criteria Measure Description Associated report Last period Thisperiod

Change YTD(avg)

8/9/2019 HR_Intro

30/35


Nu x be y o

F

s n

o y

o y ce eadcoun

epo y

F

s as o

o

a o y

o y ce F

s

abou y cos

as o

sa es/ y e enue

$ cos

as o

o

a o y

o y ce F

s

Le e o

sa

s

ac

on

h ages/sa a y /bene

s

Le e o

sa

s

ac

on

h cond

ons/ph s ca o y en y on x en

Le e o

sa

s

ac

on

h

ob

Le e o

sa

s

ac

on

h pe y sona y e a

ons

Le e o

sa

s

ac

on

h pa y

c pa

onandy ecogn

on

Le e o

sa

s

ac

on

h oppo y

un

es

o y de e op x en

Nu x be y o

e x p o ees ho ou d y eco x x endco x pan

Nu x be y o

e x p o ees ho ou d see y e

e x p o x en

h co x pan

o

app y a sa s co x p e

edon

x e

Nu x be y o

o y x a s

a

g y e ances y a sed

o

nd dua

y a n ng p ans co x p e

ed

o

e x p o eesabo e co x pe

en

o

e x p o eesbe o co x pe

en

e y age sa

s

ac

on s no y x

e y age sa

s

ac

on s p y e ous su y e

E x

in

er vie s

a

sa

s

ac

on e e s

h

heo y gan sa

onand y easons

o y ea ng.

h s sec

on x a no

be y epo y

e d on ay egu a y x on

h bas s dependen

upon

he o u x e o

e

n

e y e s y ece edand

he need

o c y ea

e x ean ng

u da

aandp y o

ec

e x p o eecon

d

n

e y e epo y

HR h eadcoun

u x an y esou y ces e

c enc /cos

e

ec

eness

a

sa

s

ac

on e e s

h n

heo y gan sa

on.

h s sec

on s e

obe p y oducedon anannua bas s.

j

orkk

orce a

itude sur veys

P er k

ormance appra isa

l

s

Pe y

o y x ance x anage x en

e

ec

eness

h y oughou

heo y gan sa

on.

h s sec

on s e

obe p y oducedon anannua bas s.

HR K ey P er m

ormance Ind ica tor Repor t

For Per iod ended

n

r iter iao

easure

escr ip tion

ssoc ia ted repor t L as t per iod

hi s per iod

n

h an e

(av

8/9/2019 HR_Intro

31/35

Example headcount reportExample headcount report

E E N E

er

od end

n

z { { | a } | on~

{ z { { | a } | on~

{ z { { | a } | on~

{ z { { | a } | on~

{ z { { | a } | on

M'gment

Staff

{ otal

M'gment

Staff

{ otal

M'gment

Staff

{ otal

M'gment

Staff

{ otal

M'gment

Staff

{ otal

M'gment

Staff

{ otal

ar

at

on on ud et

+ or ud eted he adcount

eadcount at end o

la } tpe r

od

eadcount at end o

th

} pe r

od ar

at

on on la } t per

od

+ or

epartment

8/9/2019 HR_Intro

32/35

Example workforce utilisation reportExample workforce utilisation report

E S E

erio en in

as

on

as

on

as

on

as

on

as

on

M' m t

t ff

otal

M' m t

t

ff

otal

M' m t

t ff

otal

M' m t

t ff

otalM' m t

t ff

otal

otal compan

epartment

ours utilise lastperio

ours utilise t

isperio

ariation on lastperio

or

u et e

ours

ariation on u et

or

8/9/2019 HR_Intro

33/35

Example workforce turnover reportExample workforce turnover reportE E E

e r o

e n

n

ummar re ult

urren t e r o

e ar to

ate

Total management cost $ $Total staff c ost $ $

Total company cos t $ $

- epar tment$

o t o f

urnover

v e a

countfor per o

e rm na t on for per o

urnover %for per o

otal co t for pe r o

$

v e a

count

-

otalte rm na t on

-

urnover %

-

otal co t

-

$

'gment

Staff

otal

'gment

Staff

otal

'gment

Staff

otal

'gment

Staff

otal

'gment

Staff

otal

otal com pan

e ar to

ate

pe r o

8/9/2019 HR_Intro

34/35

Example workforce absenteeism reportExample workforce absenteeism report

WORKFOR CE ABS ENTEEIS M REPORT (Unplanned Absenteeism)

Period ending:

Input values S ummary results Current Period Year to Date

Management standard hours per da $ $

taff standard hours per da $ $

$ $

Hrs

Hrs

Hrs

Hrs Cost

Hrs

Hrs

Hrs

Hrs Cost

M'gment

taff

Total

M'gment

taff

Total

M'gment

taff

Total

M'gment

taff

Total

Total company

Total hoursavailablefor period

Department

Total compan cost

Total staff cost

Total unplannedabsenteeism

S ick leave Paid leave(other)

Unpaid leave Cost per

day

Current period

Paid leave(other)

Total unplannedabsenteeism

Year-to-date

Unpaidleave

S ick leaveTotal hoursavailable for

YTD

Total management cost

8/9/2019 HR_Intro

35/35

InstructionsInstructions

P lease note, this slide does not form part of the presentation t is included for user guidance onl

This P o erpoint presentation contains instructional notes that support each slide The presentation should openat the Notes page vie that is, ou should be able to see P o erpoint slides and notes belo the slides f oucannot see the Notes, select View Notes Pages from the Toolbar

n the Notes P age vie , ou can move through the P o erpoint presentation b using the page up and pagedo n e s on our e board or b clic ing on the double arro s at the bottom right of our screen

To hide the Notes pages and vie onl the P o erpoint slides, select View S lide show from the Toolbar ither clic on the double arro s or use the page do n e to advance to each ne slide

hr_intro

Documents