1 The Changing Nature of Ruman % 1

Resources: A Model f

!/ I for Multiple Roles -

-

E NEXT AGENDA for creating value is to come from Human Re-

s, the new roles for H R professionals will have to be defined. In the few years, roles for H R professionals were often viewed in terms of

erational to strategic

alitative to quantitative

ort-term to long-term

inistrative to consultative

onally oriented to business oriented

ternally and customer-focused

24 HUMAN RESOURCE CHAMPIONS

More recently, thesefiom . . . to . . . transitions have been seen as to

simplistic: The roles undertaken by HR professionals are, in reality, muItip

not single. HR professionals must fulfill both operational and strategic roles. @&+ ,vr term. Activzttes rang

A MULTIPLE-ROLE MODEL FOR HUMAN RESOURCES MANAGEMENT

To create value and deliver results, HR professionals must begin not by focusing on the activities or work of HR but by defining the deliverables of that work. Deliverables guarantee outcomes of HR work. With deliverables defined, the roles and activities of business partners may be stipulated.

The framework in Figure 2-1 describes-in terms of deliverables-four key roles that HR professionals must fdfill to make their business partner- ship a reality. I devised this framework over the course of my work with dozens of companies and hundreds of HR professionals; many companies have since used it as a way to describe the deliverables of their HR work.2 The two axes represent the HR professional's focus and activities. Focus

Fipre 2-1 HR Roles in Building a Competitive Organization FUTUREISTRATEGIC

FOCUS

Management of Management of Strategic Human Transformation Resources and Change

PROCESSES PEOPLE

Management of Management of Firm Infrastructure Employee

Contribution

DAY-TO-DAYIOPERATIONAL FOCUS

Tabk 2-1 Definition o

Deli

RolelCell 0 1

Management of Executi Strategic Human Resources

Management of Buildir 4 Firm Infrastructure efkier I infrasu ? 5

Manapnenr of I n c m Employee emplo Contribuuon

Transformation and Change

leen seen as too .e&ty, multiple, d strategic roles; esponsibiliry for long term. For

,$ex businesses, yen paradoxical

I The Changing Nature ofHuman Resources 25

ranges from long-termistrategic to short-termi~~erational. H R professionals must learn to be both strategic and operational, focusing on the long and short term. Activities range from managing processes (HR tools and systems) to managing people.' These two axes delineate four principal HR roles: (1) management of strategic human resources; (2) management of firm infrastructure; (3) management of the employee contribution; and (4) management of transformation and change. To understand each of these roles more fully, we must consider these three issues: the deliverables that

the outcome of the role, the characteristic metaphor or visual image that accompanies the role, and the activities the H R professional must perform to hlfill the role. Table 2-1 summarizes these issues for each

of the roles identified in Figure 2-1.

begin not by ' deliverables of

, With deliverabla Management of Strategic Human Resources

e strategic HR role focuses on aligning H R strategies and practices with ness strategy. In playing this role, the H R professional works to be a

h 2-1 Definition of HR Roles S; many companlc

Deliverable1 Outcome

Executing strategy

Building an efficient infrastructure

Increasing employee commitment and capability

Creating a renewed organization

Metaphor

Strategic Partner

- -

Administrative Expert

Employee Champion

Change Agent

Activity

Aligning H R and business strategy: "Organizational diagnosis"

Reengineering Organizauon Processes: "Shared services"

Listening and

Employees: "Providing resources to employees"

Managing transformation and change: "Ensuring capacity for change"

26 HUMAN RESOURCE CHAMPIONS

strategic partner, helping to ensure the success of business stiategi

a business in three ways. First, the business can adapt to change bee the time from the conception to the execution of a strategy is second, the business can better meet customer demands because its custom

Third, the business can achieve financial performance through its rnor effective execution of strategy.

a ,

H R practices, seeking ways to distinguish them in the marketplace. In this case, the customer was the pool of highly talented potential employees who might at the time be working for a competitor and who must be enticed into working for Marriott. ilfrer considering many options, the company offered potential employees at the Hong Kong Marriott a five-day workweek rather than the six-day workweek traditionally required by competing hotels. While this may seem a simple policy it was very important to che potential employees. The five-day workweek became a cornerstone of Marriott's strategy for achieving high-quality service, enabling the company to adver- tise, solicit, and secure the talented employees who would provide that service in the Hong Kong market.

The &1ivernb(rfjom the management of sn~tegic human resources is strategy execution. HR practices help accomplish business objectives. There are many examples. As Sears worked to reduce costs, HR managers implemented compensation, job rotation, and downsizing practices that reduced labor cost per store. As Whirlpool sought to gain more global market share in appliances, HR strategies modified hiring practices and career paths to ensure multinational competence. When Colgate-Palmolive wanted to in- crease its global revenue, the compensation system was changed to reward sales growth. When Motorola wanted to gain access co Russian markets, it offered training and development opportunities to Soviet customers. Each

to become "more stratc

i+ 4 . Management of Firm

Creating an organization

It requires that HR profe for staffing, training, app: aging the flow of employ corporate infrastructure, processes are designed a

down-played and even successhI accomplishmt

HR professiond~

improving the HR prc improve its staffing, dev

The Changing Nature of Human Resources 27

of these H R practices helped execute business strategy. The H R executives who designed these new practices were strategic partners: They mastered the slull of organizational diagnosis and aligned H R practices with business

The metaphor for this role is the "strategic partner." H R professionals become strategic partners when they participate in the process of defining business strategy, when they ask questions that move strategy to action, and when they design HR practices that align with business strategy.

The primary actions of the strategic human resource manager translate business strategies into HRprioTities. In any business setting, whether corpo- rate, functional, business unit, or product line, a strategy exists either explicitly, in a formal process or document, or implicitly, through a shared agenda on priorities. As strategic partners, H R professionals should be able to identify the HR practices that make the strategy happen. The process of identifying these H R priorities is called organiqtionaf diagnosis, a process through which an organization is audited to determine its strengths and

In the past decade, increasing attention has been paid to the importance of moving H R professionals into the strategic role. But in answering the call to become "more strategic" and "more involved in the business," many HR professionals have inappropriately identified this as the only H R role.4 The implications of this are discussed below under "Paradoxes Inherent in Multiple HR Roles."

agement of Firm Infrastructure

quires that HR professionals design and deliver efficient HR processes

ing the flow of employees through the organization. As a caretaker of the

-played and even disclaimed with the shift to a strategic focus, its

ving the HR processes. Marriott, for example, works diligently to ve its staffing, development, and assessment processes. When opening

tion within a site to foster development of new HR practices and to fid economies of scale for some HR activities (for example, by creating '

employee benefit service center), while decentralizing and increasing si ownership of other activities (for example, creating high performing wo teams at a facility).

The deliverabk from the infistructure role is administrative eficiency

professionals accomplish administrative efficiency in two ways. First, th$ I 2, , ; [ i , ' ! , . l ;

l t i&i i~~I~~l,~ ensure efficiency in HR processes. For example, through reengineering /!l?'l$iI,: ,,& ;,:, ,& ,,; processes, one firm recently found twenty-four separate registration syst ,~ ; IP~ ; : ,~~ ,~ ;~ for uaining; new efficiency and cost savings were achieved by streamlining ,ir commitment to

l~i,;;$ i i,il!,! 11, ' and automating them into a single system. Another firm, finding that it,: l;:~i~;;lh, ~ ~ ~ f , $ l ~ l ~ ~ ~ : required an average of six months to staff key positions, improved - - A

process and cut the time needed to one month. A second way in whi ntion to employee "' HR executives can improve overall business efficiency is by hiring, training, and rewarding managers who increase productivity and reduce waste.

By delivering administrative efficiency, HR managers highlight their role as administrative experts, mastering and leading reengineering effmts that foster HR and business processes. At a simplistic level, most functions today (like most other business functions) are being asked t

more with less-and accomplishing this feat should be the outcome of ithin the work team! undertaking this role. onitor employee conc

The metaphor for work on a $mi infiartructure is the "administrative expert. '"As implied above, HR professionals acting as administrative experts ferret out unnecessary costs, improve efficiency, and constantly find new

ways to do things better. These champions PerS To be @ectivcas administrative experts, HRprofessionaL- need to undertake encourage managers in

activities ledding to continual reengineering ofthe workprocesses they administet: who under:

In many firms, this reengineering of HR processes has led to a new HR needs are met, overdl ' organizational form called shared services, through which HR administrative tion is essential to ar

services are shared across company divisions while maintaining service desirability of commir'

quality for their users (line managers, employees, and executives). (See abiliv to change, meet Chapter 4 for a review of shared services.) mance. When employ

ThP Changing Natwe of H~man Resowces 29

Management of Employee Contribution

The employee contribution5 role for HR professionals encompasses their involvement in the day-to-day problems, concerns, and needs of employees. In companies in which intellectual capital becomes a critical source of the firms value, HR professionals should be active and aggressive in developing this capital. HR professionals thus become the employees' champions by linking employee contributions to the organization's success. With active employee champions who understand employees' needs and ensure that those needs are met, overall employee contribution goes up.

The deliverables fiom management of employee contribution are increased employee commitment and competence. HR practices should help employees to contribute through both their competence to do good work and their commitment to work diligently. In an era when downsizing has eroded the employer-employee psychological contract, HR executives can be business partners by continuing to be employee champions who pay attention to employee needs. Again, there are many examples of appro- priate, successful response in this area. Microsoft holds all-employee meetings during which employee views are voiced and heard. Apple has created an employee services center, which employees can call using an 800 number, staffed by people who can answer questions about company

policy and administration. Marriott has organized employees into high ante work teams that provide emotional support to employ&

e work teams. Regular employee surveys at Hewlett-Packard mployee concerns and stimulate appropriate responses. In each professionals working as employee champions strive to under- fulfill employees' needs. tapbor for this HR rob, as implied above, is ~mp~oYee champion.

pions personally spend time with employees and train and

managers in other departments to do the same. With employee ho understand the needs of employees and ensure that those 3 overall employee contribution goes up. Employee contribu- ial to any business, not only for its own sake (the social

commitred employees), but also because it affects a business's g e ~ meet customer expectations, and increase financial perfor-

are competent and committed, employee intellec-

30 HUMAN RESOURCE CHAMPIONS

firm's financial results.

meet their changtng demands. As higher and higher demands are placed

psychological contract berween the employee and the firm; and they give employees new tools with which to meet ever higher expectations.

listening to them. They help employees to feel part of a team dedicated customer service. These managers are responsible for encouraging employee

eterson, become a c

from reengineering a

suggestions both from individuals and at forums; for ensuring fair hearings for employees who have difficulties with management; and for maintaining overall employee contribution.

Management of Transformation and Change

A fourrh key role through which HR professionals can add value to a firm is to manage transformation and change. Transformation entails fundamental cultural change within the firm; HR professionals managing transformation become both cultural guardians and cultural catalysts. Change refers to the ability of an organization to improve the design and implementation of initiatives and to reduce cycle time in all organizational activities; HR professionals help to identify and implement processes for change.

The deliverable ftom managemem of transformation and change is capacity for change. As firms undergo transformation, HR executives serve as business partners by helping employees let go of old and adapt to a new culture. As change agents, HR executives help organizations identify a process for managing change.

Ar implied, the metaphor for work in this role is 'khange agent.'" change agents, HR professionals face the paradox inherent in any organizational

-4 In 1990, Peterson F f the environment" by 4 i quality services for

3 effectively. Team me who helped their or

1 this vision into actio

four specific gods. First, the HP hl

improve the quai? to contribute to b ~ ! and facilitate chanl

The Changing Nature of Human Resources 31

change. Often, change must be grounded in the p a x 6 For the HR profes- sional serving as change agent, honoring the past means appreciating and respecting the tradition and history of a business while acting for the future. HR professionals may need to force or facilitate a dialope about values as

they identify new behaviors that will help to keep a firm competitive over time. Being change agents is clearly part of the value-added role of HR professionals as business partners.

The actions of change agents include identzfiing and jaming problems,

building relationships of trust, so lvingpro b fern, and creating-andf;lf;ffing- action plans. In research on the competencies of HR professionals, my colleagues and I have found that the domain of competencies related to managing change was the most important for success as an HR professional.7 HR professionals who are change agents help make change happen; they understand critical processes for change, build commitment to those pro- cesses, and ensure that change occurs as intended.

Case Study: Application of the Multiple-Role Model at Hewlett-Pakd Hewlett-Packard (HP) has a legacy of commitment to human resource issues, although not until 1990 did a professional HR executive, Pete Peterson, become a corporate vice president. In his years as a vice

, president of human resources, Peterson made dramatic changes. The

Financial impact: HP's human resources department saves HP $3 million per year through a reduced HR-to-employee ratio.

Global outlook: HP's "Practices Hotline" links company HR profe sionals worldwide.

Innovation: A women's conference on technology helps to advance careers of HP's women scientists and engineers. a ,>- :.d "

Managing change: HP is committed to improving diversiry among its work force.

Quality of life: HP consistently rates as one of the best U.S. companies to work for because of its commitment to its work force.

Service: HR has created sweral technical systems that continue to improve HR processes.

The H P human resources team continued to move the hnction forward by establishing a development course d l e d Personnel as a Competitive Advantage. Discussions during this course concerned the continually changing roles of HP's human resources department. The

team applied the framework from Figure 2-1 to Hewlett-Packard's and/or its managers

situation as a way of defining its changing H R roles. While the HP 2, indicates who ha:

example uses somewhat different terms than does Figure 2-1, it does for fulfilling

demonstrate application of the figure's basic concepts to the H R function ~ewlet t -~ackard gi at Hewlett-Packard. These applications are described in Figure 2-2, HRM (top left cell

which defines personnel goals in terms of apportionment of responsibil- 1 ity, and in Figure 2-3, which defines the characteristic activities of each \ formation and char

role. ownership of firm At Hewlett-Packard, the H R role begins with customer need. Cus- HR and the ComP'

tornomay be variously defined as the entire organization, its employees, fied. Figure 2-2 la

:arning across HI'. i i -

esses, that is, hnc-

successll in fulfill- ;t-Packard won the

:llence. The journal its seven categ~ries.~

Iyee survey provides

usiness

trnent saves HP $35 wee ratio.

The Changing Nature o f H u m n Resources 33

Figure 2-2 Hewlett-Packard's Application of HR Professional Roles STRATEGIC LONG-TERM

' I --

company HR profes- PROCESS

y helps to advance

k g diversity amon

he best U.S. companie

irork force.

xems that continue to

Customer Need: effemive business and HR strategies

Ownership: 85% line; 15% HR

HR Function: alignment

PM Role: strategic HR management

PM Comperencics: business knowledge HR strategy formulation influencing skills

Customer Need: administrative procwes efficiency

Ownership: 5% line; 95% HR

HR Function: serviccs delivery

PM Role: funcuon manager

PM Competencies: content knowledge process improvement informarion technology customer relations service needs assessment

Customer Need: organizadond effecnvenw

Ownership: 5 1% line; 49% HR

HR Funcuon: change management

PM Role: change agent

PM Competencies: change management skills consulting/faciliration/coaching systems andysis skills

PEOPLE

Customer Need: employee wmmiunent

Ownership: 98% line; 2% HR

HR Function: management support

PM Role: employee champion

PM Competencies: work environment assessment management/employee development performance management

OPERATIONMIDAY-TO-DAY

<7..*<,-u ,--, . - . ,$$#&;, a .az:i. : :2, indicates who has ownenhip, or primary responsibility and account- [I, ..~,%i;: ,,,,, .fi.:,c ,".: ability for fulfilling the duties corresponding to each role in the model.

ett-Packard gives line managers primary ownership of strategic (top left cell) and of the management of employee contribution

right cell). It accords joint ownership to management of trans- tion and change (top right cell); and it allows the HR team primary hip of firm infrastructure (bottom lefi cell). The primary role of

the competencies required to fulfill that role are further identi- g u e 2-2 lays out a vision of the Hewlett-Packard HR function

Fipre 2-3 Sample Activities Related to HR Roles at Hewlett-Packard

STRATEGIC

Suategic HR Management

HR is a major conm'butor t o bvsincss smrtC@

Design H R strategies to align with

business objectives Consultation in the development of

the organization's values, mission, business planning Member of management team conuibuung to business decisions Participation in hoshin proms; leads

efforts on CEO people hoshin Participares in business task fo rm

(e.g., I S 0 9000) Program managemenr of workforce

planning, skills assessment, succession planning, divcrsicp, reuainng Foster systems thinkinglquality focus

:/LONG-TERM

Change Management

I ii%panncr~ with linr managm to lead and faci imr change.

Change management facilitation - Consulting for increased organization effectiveness (assessrnentldiagnosis, contracting, action planning, evaluation, follow-up) Organization design System/process redesign Reconstructing / re-engineering Competency analysis Long-range team and management development

J '1 PEOPLE ,

P PROCESS

H R Services Deliver- Employce Comrnitmenr

HR fm2iratrs. mmasurcs, and improvrs the quality of management and reurnwork.

Champion HP Way Facilitate employec surveys Promote inclusive environment Promote world@ balance

* Management -ching Communication with employees Investigation of open door issues Performance evaluation review Corrective acrions with cmploym and managers

HRprovi&s more smicc , bmcr quali9 andgreater accc~sibihy resulting in lower cost and inmenred wtomcr sa Jartion. Clorox senior line e

strategy into their b for Clorox's corpor; and people strateg) and employees, res directly to HR iss Brady worked to i sionals to help acc illus~rated in F i g HR professionals

HR professi~~

fulfill the followi

' Wage review Requisition tracking Applicant sourcinglincerview Benefits programldelivery Redassification/promotions Data base maintenance and uansacrion processing New program inuoductions Dam reporting and analysis

* Classroom training delivery Interviewing logistics

OPERATIONAUDAY-TO-DAY

Source: Hewlen-Packard. Reprinted with permission.

ign :ngiieering

i management

d PEOPLE

The Changing Nature o f Human Resources 35

focused on meeting customer needs, assuring deliverables to the business, assigning accountability, and defining the H R competencies needed to enact the vision. For each role, leaders of the H R function have identified activities to be fulfilled by the personnel professionals occupying these roles; the activities are identified and described in Figure 2-3. These represent the set of day-to-day activities required to fulfill the vision of a multi-role H R contribution.

The firm's definitions of H R roles (as outlined in Figure 2-2) and of the activities related to those roles (as outlined in Figure 2-3) give HP's human resources professionals a clear sense of purpose and a clear definition of what and how they add value to the firm. By focusing on d l four roles, H P practice legitimizes all H R professionals, not just those working on the upper-cell strategic activities. The accountabilities assigned for each role focus attention on the responsibility of line manag- ers to become actively engaged in people-related work.

The framework and concepts illustrated in Figures 2-2 and 2-3 help P human resources employees to know their expected outcomes, their

responsibilities, their duties, and the images they should project within e organization. The sum of these efforts constitutes a professional role

miunent

rres, and impmves .-nt and

:e surveys environment Clorox's corporate success--customer interface, work simplification,

e bdance people strategy-serve different consituents-customers, investors,

d employees, respectively-and have critical success factors that relate ,pen door issues luarion review ns with employees

s to help accomplish business goals. Using the multiple-role model

ct as an integral part of the business team.

peak for Clorox's needs when part of any team revising existing r developing new HR programs.

36 HUMAN RESOURCE CHAMPIONS

result in establishing dear priorities.

Provide HR resources to rhe business.

Possess a complete up-to-date understanding of Cloro~ '~ bus

conditions.

Clorox HR professionals succeed as adminismtive experts by ful the following criteria.

managing human resources.

Act as consultants in a field of expertise, supporting other professionals as well as HR clients.

Take responsibiliry for continuous improvements in programs an operations in a field of expertise.

Keep up to date on issues and concerns in a discipline, thus main- taining status as a recognized expert in that area.

Clorox HR professionals who are employee champiom succced by fulfilling the following criteria.

e

0

Speak for employee needs and management's concerns about em- ployee relations.

h o w employees and anticipate their concerns, needs, and issues.

Be available to and approachable by employees.

Become and remain experts In h e tools and techniques for assisting however, the term employees with work-related concerns.

---- a And, h d l y Clorox HR professionals acting as change agents succeed as if the terms were

by Wiling the following criteria. such as Pet

Manage the "pilot's checMist" to help ensure successfid change efforts. .

The Changing Nature of Human Resources 37

Take continuously the organization's pulse regarding both internal nizationd audits that 1

and external matters and perspectives. 7

Remain up to date about the tools, techniques, and practices of change in order to effectively and efficiently manage change and

of ~ l ~ ~ ~ ~ ~ s business respond to the organization's requirements. ,, prevailing business Educate the organization about HR trends that affect the business.

By turning the four HR roles into specific behaviors and actions, Brady created a world-class H R organization. She set high expectations for what the function will deliver and defined the behaviors necessary for the company's H R professionals to accomplish those deliverables.

Hewlett-Packard and Clorox are examples of companies that have applied the multiple-role model illustrated in Figure 2-1 to their particu- lar sertings. While using language and terms tailored to their own businesses, they have defined H R roles in terms of deliverables, identified

,emen= in programs and multiple rather than single H R roles, specified the HR practices and professional attributes necessary to fulfill the four roles, and used the

, a discipline, thus main-' ideas to discuss how H R creates value in their respective enterprises.

hat area.

USINESS PARTNERS PLAY MULTIPLE ROLES

nentls concerns about em xperiences of Hewlett-Packard, Clorox, and other companies suggest t i t is time for the human resources function in general to become more fessional. A number of companies' experiences also provide some insights

multiple roles that HR professionals must play. ay's HR professionals are often labeled business partners. Too ohen,

er, the term businesspartner is narrowly defined as an H R professional g with general managers to implement strategy, that is, working as

c partner. Even in the original conception of the multiple-role rk (illustrated in Figure 2-I), the role governing management of

processes was construed as that of a business, not stratepc, partner, e terms were indistinguishable.' Based on discussions with H R

such as Pete Peterson of Hewlett-Packard, the original "business ncept has changed.10 Today, a more dynamic, encompassing places the simple concept of bwkess parmet: