The Unexpected Challenges to Change Management

Shared Services and Outsourcing Week May 2012

Helen Bingham Head of HR Shared Services

Home Retail Group

Home Retail Group

About us:

• We are the UK’s leading home and general merchandise retailer, bringing together some of the UK’s most recognisable retail brands

• Home Retail Group’s businesses bring unrivalled convenience and value to customers’ everyday lives, whether shopping at home or on the move

60,000 products 53,000 colleagues 1,092 stores £6bn sales

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Home Retail Group

The Vision

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To have high quality, efficient and service focussed provision of core HR Services, to enable more time and resource to focus on higher value support to the business

Home Retail Group

HR Alignment to the Business

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HR Business

Partnering

Centres of

Expertise

HR Shared

Services

Alignment with

business

Cost effective service delivery

Design, policy, best

practice

Home Retail Group

HR Service Delivery

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Integrated HR and Payroll System

HR Data

Training Processes

Resourcing

Employee Relations

Benefit Processes

Employee Processes

Payroll

Home Retail Group

Consolidating the Change

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Don’t loose sight the basics Agility Partnerships Peers Careers

Home Retail Group

High Performing Shared Services

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High Performing

Shared Services

People

Process

Technology

Home Retail Group

The People Challenge

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• High staff turnover

• Disengaged colleagues

• Skill gaps

=

Negative impact on customer service &

increased costs

• Focus on customer service

• Increased expertise

• Excellent process execution

=

Increased performance

Home Retail Group

The Process Challenge

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• Poorly designed processes

• Inconsistency • Duplication

=

Inefficiencies & increased costs

• Clear accountabilities

• Defined activities per tier

• Clear escalation boundaries

=

Increased service levels

Home Retail Group

The Technology Challenge

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• Non-integrated technology

• Data duplication

• Inaccurate data

=

Inaccurate information and low levels of confidence from

the business

• Fully integrated system

• Synchronised, real time data

• Data at pace

=

Quality information to assist business decision making

Home Retail Group

Transformation Continues…

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New business strategies

Adapting to business performance

Continuous improvement

Seek efficiencies

Build expertise

Legislation

Home Retail Group

Agility is Key

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In an agile model, HR lets the demand for its services dictate how they develop solutions and deploy resources

Home Retail Group

How to Achieve Better Partnerships

First • Improve understanding and partnering within

Shared Services

Then • Improve understanding and partnering across

the HR model e.g. C of E, Business Based HR

Next • Improve key functional relationships e.g.

Finance, I.S., Retail Operations

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Home Retail Group

Effective Shared Services Stakeholder Partnerships

•Obtain buy in from the business

•Adapt strategy as business changes

•Translate business strategy into HR strategy

•Understand business strategies

Work closely with the

business to understand

Translate into

operational and tactical

solutions

Collaborate with

stakeholders

Flex as the business changes -

agility

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Home Retail Group

The Value of Peer Engagement

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Manager

23% key driver of

engagement

Peers

36% key driver of engagement

Organisation

41% key driver of

engagement

Home Retail Group

Team Collaboration

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Clear group and team expectations Build knowledge Create opportunities

Home Retail Group

Career Paths in Shared Services

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Process Execution

Customer Service

HR Knowledge

Home Retail Group

Conclusion

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Clarity Planning Communication

Nothing is perfect therefore everything is ready for change