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Applying the Ulrich Model of HR Developing a Value Driven HR Delivery Model

Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

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Page 1: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

Applying the Ulrich Model of HR

Developing a Value Driven HR Delivery Model

Page 2: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Agenda

• Why Develop a Value Driven HR Delivery Model?

• What are the Roles of a Value Driven HR Delivery Model?

• Strategic Partner

• Change Agent

• Administrative Expert

• Employee Champion

• How to Get There from Here?

• Measure your HR organization against the Ulrich model of HR

• Define a Transformation Roadmap

• Define the Objective of your Value Driven HR Delivery Model

Page 3: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Why Develop a Value Driven HR Delivery Model?

Current HR Service Profile

OrganizationEffectiveness (20%)

HR Operations(75%)

BusinessStrategy (5%)

Targeted Future HR Service Profile

Organization

Effectiveness (

HR Operations (40%)

BusinessStrategy (20%)

HR Transformation

(40%)

The challenge is to maximize the value HR provides to the business, without losing credibility or performance in the administration tasks

The challenge is to maximize the value HR provides to the business, without losing credibility or performance in the administration tasks

• Create a more strategic role for HR within the enterprise

• Achieve flawless administration of HR services

• Connect the organization

• Measure HR performance

Page 4: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

What are the Roles of a Value Driven HR Delivery Model?

Strategic Partner

Administrative Expert Employee Champion

INTEGRATION

Change Agent

Create cross-functional collaboration & organization readiness to accomplish

change initiatives & performance results

Effecting Transformation & Change

PEOPLE

PROCESSES

Active Role in setting strategic direction

Design and implement HR programs that align / fit with the business vision

Continue improvement of the HR processes to optimize operational

efficiencies & employee self-service

Process Optimization & Efficiency

TECHNOLOGY

Developing a Value Driven HR Delivery Model with Critical Performance FactorsDeveloping a Value Driven HR Delivery Model with Critical Performance Factors

Motivated & Competent Personnel

Develop employee competences with continuous skills & knowledge

management; foster achievement / performance recognition programs

(1) David Ulrich – Human Resource Champions: The Next Agenda for Adding Value and Delivering Results , Harvard Business School Press 1997

HR

“What HR can deliver is more important than what it does…the deliverables are capabilities the organization needs to accomplish its business goals – such as commitment from employees, more efficient systems, loyalty and the ability to create and implement strategy”

(1)

“What HR can deliver is more important than what it does…the deliverables are capabilities the organization needs to accomplish its business goals – such as commitment from employees, more efficient systems, loyalty and the ability to create and implement strategy”

(1)

Page 5: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Becoming a Strategic Partner

Assist the Organization in Turning Strategy into Action

Ensure every business plan has an organizational plan for implementation

Make sure promises to customers, employees, and investors are kept

Measure HR performance through the use of a balanced scorecard

Establish and Execute a Talent Management Strategy

What workforce segments create the most value?

How will the business be impacted by impending retirement and are we prepared?

Where is talent demand outpacing supply?

What skills will we need in next 5 years that we don’t have today?

How much is turnover costing in customers? In productivity? In innovation? In quality?

Do we have a workforce plan to communicate financial consequences of talent decisions on our business?

Strategic Partner

Administrative Expert Employee Champion

INTEGRATION

Change Agent

Create cross-functional collaboration & organization readiness to accomplish change

initiatives & performance results

Effecting Transformation & Change

PEOPLE

PROCESSES

Active Role in setting strategic direction

Design and implement HR programs that align / fit with the business vision

Continue improvement of the HR processes to optimize operational efficiencies &

employee self-service

Process Optimization & Efficiency

TECHNOLOGY

Motivated & Competent Personnel

Develop employee competences with continuous skills & knowledge management; foster achievement /

performance recognition programs

HR

Page 6: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Becoming a Change Agent

Develop Competencies to Support Transformation Initiatives

Organizational Change Management

Organizational Design & Development

Communication

Training

Establish and Execute a Change Management Strategy

Lead by example – transform the HR function

Spearhead cultural change within the organization

Define a model of change that can be used across the enterprise

Strategic Partner

Administrative Expert Employee Champion

INTEGRATION

Change Agent

Create cross-functional collaboration & organization readiness to accomplish change

initiatives & performance results

Effecting Transformation & Change

PEOPLE

PROCESSES

Active Role in setting strategic direction

Design and implement HR programs that align / fit with the business vision

Continue improvement of the HR processes to optimize operational efficiencies &

employee self-service

Process Optimization & Efficiency

TECHNOLOGY

Motivated & Competent Personnel

Develop employee competences with continuous skills & knowledge management; foster achievement /

performance recognition programs

HR

Page 7: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Becoming an Administrative Expert

Deliver Timely and Effective Administration at the Lowest Feasible Cost

Administration of the workforce & HR infrastructure

Drive Continuous Improvements of HR Processes

Reporting and Analysis for HR Decision Support

..

• Manage the Workforce

• Recruiting Management

• Learning Management

• Performance Management

• Development Management

• Compensation Management

• Hire & On-Boarding

• Legal Compliance

• Payroll

• Travel & Entertainment

• Time & Attendance

• Termination

Strategic Partner

Administrative Expert Employee Champion

INTEGRATION

Change Agent

Create cross-functional collaboration & organization readiness to accomplish change

initiatives & performance results

Effecting Transformation & Change

PEOPLE

PROCESSES

Active Role in setting strategic direction

Design and implement HR programs that align / fit with the business vision

Continue improvement of the HR processes to optimize operational efficiencies &

employee self-service

Process Optimization & Efficiency

TECHNOLOGY

Motivated & Competent Personnel

Develop employee competences with continuous skills & knowledge management; foster achievement /

performance recognition programs

HR

Page 8: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Becoming an Employee Champion

HR Facilitates, Measures, and Improves the Quality of Management and Teamwork

Facilitate effective HR process delivery

Promote employee relations and enterprise workforce relationship management

Promote quality of working life balance

Management coaching & career development programs

Open, honest, and candid communication with employees

Strategic Partner

Administrative Expert Employee Champion

INTEGRATION

Change Agent

Create cross-functional collaboration & organization readiness to accomplish change

initiatives & performance results

Effecting Transformation & Change

PEOPLE

PROCESSES

Active Role in setting strategic direction

Design and implement HR programs that align / fit with the business vision

Continue improvement of the HR processes to optimize operational efficiencies &

employee self-service

Process Optimization & Efficiency

TECHNOLOGY

Motivated & Competent Personnel

Develop employee competences with continuous skills & knowledge management; foster achievement /

performance recognition programs

HR

Page 9: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Business Partner

HR is a major contributor to business strategy• Design HR strategies to align with business

objectives and forces • HR Consultant in development of enterprise

values, mission, business planning, etc.• Member of management team contributing to

business decisions• Delivers Strategic HR advice and guidance• Manages Strategic HR Processes

Change Agent

HR partners with line managers to lead and facilitate change

• Change management facilitation• organization design and development• Competencies, Processes and Systems

Analysis, Design and Improvement• Long-range team/management development • Continuous organization Effectiveness

Improvement

Administration Expert

HR delivers timely, effective and customer-centric administration at lowest feasible cost

• Administration of workforce records, payroll, administration, training & HR infrastructure

• Drives continuous improvements, e.g. payroll, database maintenance, transaction processing and requisition tracking

• Data reporting and analysis for HR Decision Support

Employee Champion

HR facilitates, measures and improves the quality of management and teamwork

• Facilitate effective HRM process delivery• Promote employee relations and enterprise/

workforce relationship management • Promote quality of working life balance• Management coaching• Communication with employees

Adapted from ‘Human Resource Champions’ role model (David Ulrich, 1997)

HR Leadership and Senior Business Partners

HR Leadership and Senior Business Partners

OutsourcedServices

OutsourcedServices

Shared Admin Services / Call

center

Shared Admin Services / Call

center OutsourcedServices

OutsourcedServices

OutsourcedServices

OutsourcedServices

Specialist support:

centers or Network

of Expertise

Specialist support:

centers or Network

of Expertise

HR Busines

s Partners

HR Busines

s Partners

HR Business PartnersHR Business Partners

Portal & Self

Service

Portal & Self

Service

HR Roles Should be Balanced Across the Enterprise

• Determine the right balance and fit of contributors• Involvement and communication to all concerned• Make sure all the players are equipped for their role

Page 10: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

BusinessPartnersBusinessPartners

Physical or Virtual Shared Services

Self-Service / Call / Face

HR SpecialistsHR Specialists AdministratorsAdministrators

Process transactions efficientlyProvide centers of excellencefor value added policies and processes

LineManagers

LineManagers

HR Leadership

HR Leadership

These building blocks are assembled into a variant of this general organizational model (especially in centralized companies)

EmployeesEmployees

Business Partnership

OutsourcedServices

OutsourcedServices

OutsourcedServices

OutsourcedServices

Page 11: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Identify the gaps between how HR and business unit customers view HR’s strengths and weaknesses, and identify improvement opportunities to close those gaps.

A pre-survey checklist is completed with the sponsoring executive. The checklist indicates priorities in sponsoring the survey, as well as allows for selection of some areas of sub-analysis.

A statistically valid sample of HR professionals and business unit customers at the ‘director’ level and above are surveyed.

Typically, a minimum of 40-60 persons (10-30 HR and 30 business) should be surveyed.

Typically, seven business days will be allowed, with follow-ups for non-respondents.

Approximately 100 questions reflecting HR leading practices as documented in literature and in Capgemini’s own experience in over 300HR Transformation Projects.

Questionnaire Design Survey Methodology

Management Feedback Report

• Findings are developed and presented in graphical format, with observations analysis in a 10-15 page report.

• The survey findings are the main input for a workshop with key client business and HR executives to review results and identify a portfolio of improvement initiatives.

Design Workshop

• Collaborative workshop which includes key decision makers and stakeholders from both HR and the Business.

• Review output and findings from the survey.

• Define a portfolio of improvement initiatives.

• Build a Transformation Roadmap for HR.

How to Get There from Here?

Capgemini’s Approach: Survey + Analysis + Feedback Report = HR ScanSM

Page 12: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

HR

7

9

8

Business Units

HR

10

Strategic Partner

Administrative Expert

Relations Manager

Change Manager

HR ScanSM Insights

Business Challenges

• Right roles?• Right tools?• Right image?• Right focus?• Right support?

Example analysis: Alignment of HR and business unit perceptions about the quality of HR in the organization

Page 13: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

Sample HR Transformation Roadmap

Compensation& Benefits

Learning & Development

OrganizationalDesign

Review Errors in Payroll

AdministrationDefine Promotion Eligibility and Performance

Evaluation Criteria

20082007 2009

Performance Management

Employee Retention Analysis

Integrate HR Systems with other

key Business Systems

Establish and track success

indicators

Complete Competenc

yModelling

Implement HR Data Quality

Initiative

Define Goals in Alignment with

the Organization

- Strategic Partner - Administrative Expert - Change Manager - Relations Manager

Employee Satisfaction

Survey

Line Management

Support Initiative

Review Communicatio

n Channels

Implement Strategic

Measures and Benchmarks

Establish HR Technology

Measures and Metrics

HR

T

ec

hn

olo

gy

Em

plo

ye

e

Re

lati

on

sH

R S

tra

teg

y &

P

lan

nin

gR

ec

ruit

me

nt

&

Sta

ffin

g

TransformationManagement

ManageProgram

Launch and Communicate Transformatio

n

LaunchSteering

Committee

Review HR Roles and

Organizational Design

Create Job Profiles

Communicate Organizational Right-Sizing

Complete Organizational Right-Sizing

Define Succession

Planning Process

Improve Web-Enable

Candidate application

Process

Implement Electronic Job

Requisition Process

People, Vision & goals

Implement Self-Service

Improvements

Define Goals in Alignment with the organization

Aligning HR and Business

Goals

Link Strategy, Planning,

Performance, and Goals

Review Strategic

Measures and Benchmarks

Review Strategic Measures and Benchmarks

Define Goals in Alignment with the organization

Define Goals in Alignment with the organization

Communicate Competencies

Improve Training Registration &

Content by making it web-accessible

Communicate Promotion Eligibility

and Performance Evaluation Criteria

Review Bonus

Programs

Review Self-Service

(ESS/MSS) for Improvements

Review Management

Reports (New/Obsolete

)

Page 14: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

In Summary…

• Create a More Strategic Role for HR

• Define a Talent Management Strategy – the Employment Brand

• Implement global HR policies and processes for key managers and talent

• Develop ‘Business Partner’ role to help operational managers with HR management issues

• Active contribution to managing major organizational changes

• Achieve Flawless Administration

• Streamline and harmonize HR processes to best practice standards

• Use information technology to automate administrative tasks distribute consistent HR information

• Implement new operating models – shared services, outsourcing, service providers

• Connect the Organization

• Provision tools and support to enable managers to take greater responsibility in HR Management

• Introduce Employee and Manager Self Service, employee portals, and enabling direct transactions

• Measure HR Performance

• Use an HR Balanced Scorecard and benchmarking to measure and drive HR’s contribution and efficiency

• Adapt and develop HR staff competencies; development of a customer service orientation within HR

• Develop internal and external networks of HR expertise

Developing a Value Driven HR Delivery Model enables the following:

Page 15: Knill_Developing a Value Driven HR Delivery Model - Capgemini NCOAUG Presentation

© 2007 Capgemini - All rights reserved Confidential and Proprietary

www.capgemini.com

Thank you very much for your attention!