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The story of NEW HR Wed. 21/12/2016
Presented by: Salman Alsuhail
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the little girl and the butterfly
The story of the little girl and the butterfly
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Vision .. Goals.. Objectives .. Aims .. Targets ..
If you do not know where you are going… Then it does not really matter which road you take… Vision .. Goals.. Objectives .. Aims .. Targets ..
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Take your HR to the HOSPITAL for an annual medical check.
HR medical check !!! Take your HR to the HOSPITAL for an annual medical check.
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Annual Medical Check !!! Organizations are like Vehicles , they need an annual check and a continuous monitoring as the time passes. Such check would help the owner (shareholders) and stakeholder to do the necessary maintenance / treatment both as a quick fix and as a long term treatment. With that you guarantee the continuous efficiency of the organization One method to do the “medical Check” is to answer few questions to the best of your knowledge and be “honest about it”. Such answers would lead you to the best solutions. It has been said : “understanding the issue is 50% of the solutions”.
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The “medical” Test . Answer the following:-
Do you know what your HR department's reputation is among the employees? When HR is mentioned, do managers picture understanding strategists, backward bureaucrats, or pleasant, people-pleasers? Do employees understand and appreciate the importance of HR department in achieving the organization's mission and objectives? Does HR management make an effort to market its services to the internal / external customers? Does HR add “Value ($)” to the Business?
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“HR” to the ICU ready for operation .
It is time for Human Resources Management / Professionals to rethink their role and that of the HR organization, not only for the purposes of contributing / adding value to the business ( both internal and external customers), but also for their own survival. HR needs to function with one main driver in every step /action it does, i.e. : “adding value to the business bottom line” .
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Move away from the old stereo type…
Employees / Shareholders/ Stakeholders / Internal & External costumers , for the most part, still see HR as "those people who handle benefits , do interviewing, transaction work and a lot of policing work. To position the HR function for the next decades, every HR manager needs to undertake a public relations/ marketing role ,starting with your own employees. Think of HR as a product and do some smart marketing.
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Finding these answers vs. dialogue
Start with the HR staff to determine HR Current Reputation and Brand. If you ask HR staff today, "What does the HR do?" would they just make an answer and say something meaningless to you and make a run for it? If that is the case, Human Resources Organization needs to rethink its role and do some in-house re-engineering, marketing, communications and public relations.
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Thoughts around the HR new role…
HR should continue to balance the demands of the main roles: (1)Business Partner, (2)Internal Consultant, (3)Operational & Administrative Expert and (4) both Employee and Employer Advocate. The ongoing challenge is to establish new deliverables and to sustain strong partnerships with both internal and external customers. The ability to see the big picture-and to deploy the resources to address it. Never forget the ground rule, HR must add value to the Business.
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The question of HR Marketing…
The marketing of the HR department requires you to demonstrate your problem-solving skills, so others will know that you do much more than simply processing papers. The best form of advertising is the actions you take. By your actions, processes and programs, you can promote the HR department as a flexible, adaptable, solutions-oriented partner, a resource to whom the organization can turn to when it needs to solve issues. Your HR department can be something that helps your business when it needs help.
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HR Winning KPI Having the right talent at the right time in the needed quantity. ( Attracting- Recruiting – Hiring ) Retaining the current talents and reducing the attrition % below normal standard %, especially in critical jobs. ( Retaining)
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Grand Rules … Steve Sanger, CEO, General Mills
“Our employees are our most valuable resource. It is through our employees that all of our other goals and ambitions as a company are met.” Steve Sanger, CEO, General Mills “I believe that you can have the best assets – brand, fixed assets, product – but without the right people who are managing, executing, and doing what needs to be done to use the assets to create value, you might as well forget about it.” President, industrial/manufacturing company
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What do we need from the employee?
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In short, best workers/employees are in control,
Talent Realties The notion of a life long job is no longer valid. The market place is becoming more free and global. Workers/employees with good knowledge and good services have intangible assets. In short, best workers/employees are in control, Employers are not.
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What are the 4 things employees need from you ? ( in addition to $)
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Transformational Paradigm…
Within this new paradigm, there are four non-negotiable human needs that the transformational leader recognizes must be satisfied for the business to succeed : Love ,Growth , Contribution and Meaning
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What does the Employee need? + $
Here are the four things your people need to succeed: Love. This may sound touchy-feely, but love simply means focused concern that is exclusively for that person's good. Show your employees you care about them and their futures. Growth. No one wants to be exactly where they are forever. Create a culture that allows your people to grow and expand. Contribution. To feel fulfilled, employees must know that they are contributing to the whole. Emphasize the ways that their work matters to the Business ( internal / external). Meaning. We are meaning-seeking creatures. Share a vision that demonstrates that all of your employees are engaged in a larger purpose.
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More to : Attract & Retain Talent
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HR vs. Employment life time
HR corporate new approach in dealing with an employee consists of three main focus areas:- Before joining the organization, this stage consists mainly of attracting, recruiting and hiring. During employment, this stage starts from first day of joining the organization till the last working day. It consists of many main areas, e.g., orientation, IDP, job duties, compensation, benefits, tasks etc. End of service, this stage starts from the first day after end of service with the organization; it includes all the benefits, contacts with the employee which can be in a form of contract employment, advisory body, membership with the recreation center, attending some events etc.
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GS, ES, HR , Mgt., etc. vs. Employee
Stage I Stage II Stage III Attracting Recruiting Hiring Orientation Training/Dev. IDP Pay, Benefits Homing Medical The Job Retirement Resignation End Services . ES:- B.HR:- C. Hiring Dept. 2. Training 3. Development 4. Payroll / Compensation Manpower & Dev. 2. Leadership 3. Learning Centre 4. Performance & Rewards 5. Org. Effectiveness 6. Corporate Communication D. Management:- 1 .Sr. Management 2. HR E. General Services F. Government Relation Security
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HR Traditional Role Human Resources function was perceived by many to be a “Personnel and Payroll Administration” function undertaking activities such as: Personnel Administration. Compensation & Benefits Administration. Government Relations. Employee Relations. Control & Compliance for HR policies and procedures – (Policing).
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Relevance to the business & link to value generation
The Evolution of HR Business Partner Strategic Business Partner Expert Enforcer Specialized Expertise Administrator Control and Compliance Basic Personnel Services Differentiate & Segment Talent Provide strategic business support and assist in developing and implementing strategies. Use HR practices to derive and respond to external business conditions The connection of these practices to business success through linking HR Activities to business Outcomes Recruiting, L&D, Org Design, Total Rewards Relevance to the business & link to value generation Control and Compliance for HR policies and procedures Bureaucratic and administrative aspects of dealing with employees e.g. payroll & Timekeeping Back-Office Function Personnel HR Management Business Partner 1960 1970 1980 1990 2000 2010 Level of sophistication & increase in the competency of HR professionals *PWC 2011
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HR outside in: Evolution of HR (Dave Ulrich)
HR Evolution HR Strategy HR Functional Expertise HR Administration Utility Time
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HR outside in : HR practices
HR domain Examples of outside in Staffing Are we the employer of choice of employees our customer would choose? Training & Dev. Do we involve customer in designing , attending and delivering training and development programs? Performance Management Do our standards of effective performance match our customer expectations? Rewards Do we involve our customers ( suppliers and investors) in allocating rewards? Communication Do our communication tools link employees and customers? Learning Have we created a leadership brand where leaders actions are tied to customers expectations? Culture Does our culture have the right events , patterns and identity?
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HR Overall Functions – flow chart
Talent Workforce Planning HR Strategy & Policy Org Effectiveness & Development Compensation & Benefits Recruiting & Staffing Learning/ Development HR 1.1 Design Global HR Strategy HR 1.2 Develop Global HR Policies & Guidelines HR 1.3 Establish HR Governance & Compliance 1 2 3 4 5 6 HR 1.4 Facilitate HR Governance & Compliance 7 Change Capability 8 Employee & Labor Relations 9 HRIS & Reporting 10 HR 2.1 Design Workforce Planning Strategy HR 2.2 Develop Workforce Planning Process HR 2.3 Execute Workforce Planning Process HR 3.1 Design Performance Mgmt Strategy HR 3.2 Develop Performance Mgmt Processes HR 3.3 Develop Career & Succession Planning Process HR 3.4 Identify Talent & Facilitate Talent Exchange HR 3.5 Monitor Career & Succession Plan Processes HR 3.6 Administer Talent Management HR 4.1 Design Recruiting & Staffing Process HR 4.2 Develop Recruiting & Staffing Process HR 4.3 Design Employee Brand/ Value Proposition HR 4.4 Manage Employee Brand & Value Prop. HR 4.5 Monitor Transfer & Promotion Processes HR 4.6 Administer Employee Mobility HR 5.1 Design L&D Strategy HR 5.2 Develop L&D Processes HR 5.3 Design Learning Curricula HR 5.4 Administer Training HR 5.5 Assess Learning Needs & Impact HR 6.1 Design C&B Strategy & Plan HR 6.2 Design Global Mobility Strategy HR 6.3 Develop C&B Processes HR 6.4 Develop Global Mobility Process HR 6.5 Monitor C&B Compliance HR 6.6 Administer C&B HR 7.1 Design OD Strategy HR 7.2 Design Job Profiles HR 7.3 Develop OE Assessment Process HR 7.4 Conduct Benchmarking HR 7.5 Facilitate Employee Engagement HR 8.1 Design CM Approach & Process HR 8.2 Develop CM Tools & Methods HR 8.3 Monitor CM Effectiveness HR 8.4 Provide CM Advisory Services HR 8.5 Deploy CM Tools & Methods HR 9.1 Design E&L Relations Strategy HR 9.2 Develop E&L Relations Policies HR 9.3 Oversee Compliance with Labor/WC Laws HR 9.4 Negotiate Labor Agreements HR 10.1 Define HRIS Strategy & Policy HR 10.2 Develop Master Data Process HR 10.3 Determine HR Reporting Requirements HR 7.7 Develop Competency Models HR 4.7 Administer Recruiting & Staffing HR 4.8 Facilitate Selection Process HR 3.7 Facilitate Performance Mgmt HR 3.8 Facilitate Career & Succession Plan Processes HR 6.7 Facilitate Compensation Planning HR 7.6 Facilitate Organization Design HR 10.4 Provide HRIS Admin & HR Reporting HR 1.5 Oversee HR Compliance HR 1.6 Design Region/ SBU specific HR strategies HR9.5 Manage Internal Communications HR Services COE HR Core (Management) Business Partner
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New reality … 1- Success in the previous years may not be
effective to deal with changing business conditions. 2- Increased expectation by the business on HR to help the business compete 3- HR professional need to acquire new competencies to ensure continues success in adding value to business
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New areas of focus… What are the needed competencies that would add great value to the business ? What is the best way to acquire such competencies ? What is the best way to align HR function with business performance ?
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HR Behavioral Competencies
© SHRM
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HR Structure Principles
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HR Trends and Best Practices in Six Major Dimensions…
Re-Focus on Strategic Issues Redefining HR role at the corporate and business unit level from one of primarily administrator to business partners, with key role in developing people and building capabilities for the organization Introduction of Centers of Excellence Development of an organizational model for supplying centralized and specialized human resources on operational tasks and projects Implementation of Shared Services Model Implementation or planning for the adoption of a shared services model that would provide more efficient and standard transactional type of services Outsourcing of Applicable Activities Handing-over the responsibility of conducting select activities to external parties who typically possess advantages in some value levers, such as experience and speed of execution, scale, access to financing, and access to proprietary systems and tools Migration Into e-HR Using technology to provide HR services with a goal to increase ‘Employee Self-Service’ and enabling users to interact directly with their human resource data Culture Change Catalyst and Leadership Playing a leading role in developing, institutionalizing, and conducting cultural change programs that support the strategic objectives of the organization 1 2 3 4 5 6
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HR is being pressured by the business to move from an administrator & policing role
Organizations are now looking at the Human Resources function to go beyond the delivery of cost-effective administrative services and provide expertise on how to leverage human capital to create true marketplace differentiation. The increasing scarcity of talented employees and effective leadership. Rapidly changing workforce dynamics. HR is expected to develop organizational capabilities (key intangible assets- non-finance related factors ) of shared mindset, talent, speed, collaboration, leadership, accountability, learning, and the like throughout the organization. Pressure to grow the business through global expansion, mergers & acquisitions
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To address these pressures, companies are adopting the HR Business Partner model
HR Business Partner model ( by Dave Ulrich )which has been widely adopted, and is regarded as best practice. The transaction/transformation distinction led to the HR structure that includes: HR Services for transactional tasks driven by technology; Center of expertise (COEs) driven by functional expertise and specialization; and Business partners embedded within business unit driven by account management The ultimate aim is to align people strategy much more closely with what the business needs It is designed to increase the effectiveness of HR and reduce its costs
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New HR structure often looks like a “ 3 legged stool ”
HR Functions HR Processes HR Processes HR Generalist “ HRBP” Shared Service Center “ HR Services (via technology)” Center of Expertise
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HR Evolution towards D. Ulrich Model Including HRBP
HR Business Partnerships HR professionals who are embedded within the business, sometimes as part of a wider process of restructuring of the HR function Business partnering makes HR accountable to the business, and expects HR to add real value. This is a shift away from traditional HR functions where purpose, priorities and successes were defined within HR HR professionals work closely with business leaders and line managers to achieve shared organisational objectives in particular implementing HR systems & processes that support business aims HR Service Centers Centers of Expertise HR Business Partners Focus: Alignment between HR and Business Partner Focus: Reinforcement of one culture; consistency and standardization; Focus: Cost-effective service delivery of HR administrative work (including shared services – via technology) Focus: Expert HR design services; business and local fit; global best practices Leadership Team
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Three New Distinct HR Roles HR Services via technology
Center of Expertise HR Services via technology Business Partners Create HR framework Deliver HR services Establish relationships with customers - line/ business units Develop and introduce strategic HR initiatives Manage routine processes effectively and efficiently Contribute to business unit plans Specialized areas such as compensation and benefits, learning and development, talent management, OD, staffing, diversity, and workforce planning Often using a single HRIS, intranets to provide basic information and call centers for specific queries Develop organizational capabilities Often depend on the business partners to roll out programs to the business. May be outsourced Implement HR practices Back Office Log needs and coordinate HR services Front Office
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HR Structure – High Level
CEO HR Management Center of Expertise Develop and introduce strategic HR initiatives HR Business Partner Aligning HR and business strategy Deliver HR Plan HR Services HR Administrative/ transaction work Via technology
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High Level HR Structure that constitute:
Center of Expertise, HR Services and HRBP CEO Human Resources HR Center of Expertise Human Resource Services Center via technology HR Business Partnerships Develop on-going human resource strategies for the organization Develop and maintain human resource policies and procedures Perform manpower planning function Plan and benchmark company compensation and benefits Conduct employee performance reviews Succession planning Management development Perform the payroll function and manage all related systems Facilitate and manage employee training and development Conduct general human resource day to day administration tasks as well as managing employee records Manage human resources systems and all related data Define HR service menu and automate all transactional processes Participating in developing the line business strategy for an assigned business/ sector unit and share responsibility for its overall performance Acts as a line business advisor on issues pertaining to Human Resources to line managers Contributes to the line business success by providing sound and reliable advice on all issues related to integrating the HR function into the business line process Works closely with leaders and line managers for an assigned business unit to steer the sector strategy Select and implement the HR practices that are most appropriate to the delivery of the business strategy.
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As for the Organization Chart ( box logy ) it is your call
Design the one that fits your business just remember the structure principles.
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Thank you for listening شكرا لكم على استماعكم – رعاكم الله
The End Thank you for listening شكرا لكم على استماعكم – رعاكم الله Salman Alsuhail
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