This presentation summarizes some of Bersin by Deloitte's latest High-Impact HR research, focused on helping organizations restructure and redesign their HR organization (and the team) in a new way. Our research shows that a new model is needed - one led by specialization, business-oriented HR leaders embedded in the business, and what we call "networks of expertise" to replace the "centers of expertise" typically considered. All this, combined with self-service technology and easy to use service delivery focuses on empowering HR to be "management focused," leverage data, and support the business in new ways.
New skills and capabilities of HR are briefly included.
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High-Impact HR: Building a Business-Driven HR Organization
1. High Impact HR 2015
Delivering on the Promise
of Talent-Driven Business Value
Josh Bersin
Principal and Founder
Bersin by Deloitte
November, 2014
2. Who We Are
Global provider of leading practices, trends, and benchmarking research in talent
management, learning, and strategic HR.
6 Research Areas
• Human Resources
• Leadership Development
• Learning & Development
• Talent Acquisition
• Talent Management
• Tools & Technology
Integrated Membership Offering
• WhatWorks® Membership: Research, Tools, Education, Consulting
• IMPACT: The industry’s premiere conference on the Business of Talent
• Advisory Services & Consulting
Human
Resources
Leadership
Development
Learning &
Development
Talent
Acquisition
Talent
Management
Tools &
Technology
3. Create competitive
advantage through
strategic
investments in
technology
• HR Operations
Technology
• Learning
Technology
• Talent
Acquisition
Technology
• Talent
Management
Technology
• Technology
Strategy &
Execution
Bersin Practices and Subject Areas
Bersin by Deloitte’s Research Library
Create highly
effective HR
organizations
• Engagement
• HR & Talent
Analytics
• HR Organization
& Governance
• HR Strategy &
Benchmarking
• HR Tools &
Technology
• Rewards &
Recognition
• Services &
Programs
Build the right
skills for a
successful
organization
• Content
Development
• Informal Learning
• Learning Culture
• Learning
Measurement
• Learning
Programs
• Learning
Technology
• Organization &
Governance
• Performance
Consulting
Drive leadership
programs with
bottom line
impact
• Executive
Development
• HiPo
Development
• Leadership
Competencies
• Leadership
Development
Evaluation
• Leadership
Development
Solutions
• Leadership
Organization &
Governance
• Leadership
Strategy
Deliver bottom
line benefits of
integrated talent
• Career
Management
• Competency
Management
• Performance
Management
• Succession
Management
• Talent
Management
Systems
• Talent Strategy
• Workforce
Planning
Source, recruit,
and onboard
the very best
• Employment
Branding
• Hiring &
Onboarding
• Screening &
Interviewing
• Sourcing &
Recruiting
• Talent
Acquisition
Strategy
• Talent
Acquisition
Technology
Human
Resources
Learning &
Development
Leadership
Development
Talent
Management
Talent
Acquisition
Tools &
Technology
Content and Service Providers
5. Quick access to research and tools
• An integrated set of data-driven research and tools for problem solving,
benchmarking, vendor selection, and professional development.
• “Product” = content, technology and service
Industry Studies
High-impact best
practices and solution
provider research
Factbooks®
Benchmarking
metrics and data
for comparison to
industry norms
Case Studies
In-depth look at an
organization’s approach
to specific challenges
Frameworks
Structure illustrating
interrelation of key processes
Research Bulletins
Updates on vendors,
market trends, and new
best practices
Maturity Models
Framework for assessing an
organization’s level of
sophistication in given areas
Webcasts & Tools
Webinars on the latest talent,
learning, and HR issues.
7. Incidental Training
High-Impact Learning Organization
® Maturity Model
Source of Ad-hoc Job Support • Mentoring & Apprenticeship •
Emerging Need for Professional Training • SME-Focused
Level 1
Training & Development Excellence
Source of Designed Instruction • Evolving Governance & Operations •
Improving L&D Core Processes • Program-Focused
Level 2
Talent & Performance Improvement
Source of Talent Development & Performance Consulting • Integrated with HR/TM •
Improving Alignment • Process & Tech Focus
Level 3
Organizational Capability Development
Source of Business Performance Capability & Learning Agility •
Business Executive–Driven • Cultural & Systemic Focus
Level 4
B e r s i n b y D e l o i t t e
9. Top Global Talent Priorities
% Rated “Urgent” or “Important” in Asia
78%
78%
75%
75%
71%
70%
69%
67%
62%
60%
74%
89%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Leadership Gaps
Retention & Engagement
Reskilling HR
Talent Acquisition & Access
Workforce Capabilities
Talent & HR Analytics
Globalized HR & Talent Management
Integrated HR Technology
Reinvent L&D
Fix Performance Management
The Overwhelmed Employee
Diversity & Inclusion
Deloitte Global Human Capital Trends Research, n=2500, 2/2014
Areas of Biggest
Capability Gap
32% Urgent
24% Urgent
22% Urgent
18% Urgent
21% Urgent
22% Urgent
10. The Original Idea of Integrated Talent
Management
• Slow Response to Changing Business Needs
− Inability to identify current and future talent gaps
− Hiring strategy and development planning not in sync
− No clear picture of future “talent profile”
− Leadership pipelines in jeopardy
• Disconnected Decision Making
− Data and processes not integrated
− Talent not shared across business units
− Learning plans not linked to assessments and skills gaps in current talent pool
− Lack of visibility into talent gaps
• Not responsive to Employee Demands
− Employees want career development
− Defined career paths and competencies not clear and consistent
− Talent mobility difficult during change
− Managers still the weakest link in organizational performance
• Administratively Intensive
− Data entry is repetitive
− High volume of manual work to complete HR review processes
− Difficult to obtain executive-level talent information
− Hard to plan for the future
Traditional Silos of HR
Learning & Development
Sourcing & Recruiting
Performance Management
Leadership Development
Succession Planning
Workforce Planning
Compensation - Benefits
11. Attracting &
Job
Acquiring Talent
Networks Brand
Managing &
College Recruiting Alumni Programs
Developing Talent
Partners
Extending
Talent
Employment Brand Social Sourcing
Talent Networks Mobile Job Sites Candidate
Diversity &
Inclusion
Engagement
Retention Mgt
HIPO Assessment Professional
Management
Development Career
Segmentation
Understanding &
Planning Talent
Marketing
External Brand Work Environment
Mission and Values
Work-Life Balance
Rewards
Recognition
Performance
Management
Goal Setting
Career
Management
Leadership
Development
Career Mgt
Technical Career
Mgt
Contract Labor
Talent Networks
Supply Chain of
Analytics Skills Workforce
Planning
L&D
Coaching
Certification
LinkedIn
Glassdoor
Reputation
Suppliers
Assessments
MOOCs, Content Data Providers
Providers
Lattice
Academia
Partners
How Talent Issues Work Today:
Everything is Connected
Hourly Work
Policies
12. Talent Imperatives for 2015
Driving
Performance &
Development
Assessing &
Improving
Corporate
Culture
Accelerating
Time to
Competency
Improving
Management &
Leadership
Delivering and
Managing
Employment Brand
Planning &
Analyzing
Talent
Improving
Career & Talent
Mobility
Improving Speed
and Quality of Hire
Driving
Engagement
and Retention
Diversity & Inclusion, Work Environment, Purpose, Values, and Mission
14. 97%
Of HR professionals report their HR
organization stays within budget… yet…
Source: Bersin by Deloitte High Impact HR Research 2014
15. Yet, HR Professionals Don’t Believe Their
Functions are Driving Impact
28%
30% FEEL HIGHLY
STRONGLY
BELIEVE THEY
HAVE A
REPUTATION FOR
SOUND BUSINESS
DECISIONS
CONFIDENT THAT
THEY ARE
EFFICIENT
22%
FEEL CONFIDENT
THAT THEY ARE
ADAPTING TO
EMPLOYEE NEEDS
WELL
20%
FEEL THAT THEY ARE
ADEQUATELY
PLANNING HR FOR
THE COMPANY’S
FUTURE NEEDS
Source: Bersin by Deloitte High Impact HR Research 2014
16. Challenges for Modern HR
• Need to develop leaders at all levels, globally and locally
• Younger workforce than ever before, with new and
Responsiveness & Coordination
different demands
• Broader spans of control and global teams
• Low levels of engagement, high competition for top talent
• Technology still not integrated, analytics not mature
• Innovation and success demands collaboration and
engagement
• Performance management weak, succession weak
• CEOs and CXOs demand HR to “solve talent problems”
17. Management Skills are Lacking
Fewer than 10% of organizations are “excellent” in every area
6%
Aligning and setting expectations and goals
Supporting employee engagement
Attracting top talent
Responsiveness & Coordination
12%
32%
32%
33%
32%
13%
21%
19%
5%
5%
5%
4%
3%
5%
9%
0 5 10 15 20 25 30 35
Identifying and developing leaders
Managing performance problems
Coaching and developing people
Onboarding new staff
Assessing and selecting the right
candidates
Excellent Poor or Below Avg
19. Time to Transform HR
72%
8% RATED THE NEED TO RESKILL,
REORGANIZE, AND TRANSFORM
FEEL THEY HAVE ROBUST
PROGRAMS TO HELP IN
TRANSFORMING THE
HR FUNCTION
HR AS A HIGH PRIORITY
Source: Bersin by Deloitte High Impact HR Research 2014
24. Key Findings of High-Impact HR:
A more “distributed” and “intelligent” approach to HR drives greater impact
1. Specialization & Skills Devt
− Generalists are specialists
− Training and continuous development culture
− Networks of expertise, not centers
2. Empowered Business Partners
− Senior business experience, consultative
− Embedded in business
− Specialized in role
3. Talent COEs Extend into Business
− Collecting information and creating frameworks
− Coordinated decision making, sharing expertise
− Federated in structure (ie. Learning, staffing)
4. Standard Infrastructure & Vendors
− Standard systems and data governance
− Easy to use employee facing systems
− Mobile, design-centric systems
5. External Intelligence, Research,
and Sharing Best Practices
− Team or person focused on external world
− Practices, data, vendors, benchmarks
− Looking forward not backward
6. Data, Planning, & Talent
Analytics
− Cleaned-up HR data management
− Level 3, 4 talent analytics capability
− Performance consulting, not just reporting
7. Innovative HR Solutions
− New unique approaches
− Use uniqueness of culture
8. A Bold CHRO
− Push for change and innovation
− Reward innovative solutions
− Examine business for world class solutions
26. Evolution of HR Structure
From Centralized to Rationalized to Optimized
Service delivery optimized
efficiency, service delivery,
Small to Mid Sized
Organization
Business Reach and Impact
“Anarchy”
Uncoordinated
HR staffs, tools,
vendors, consultants
Large Global
Organization
“Rationalized”
Efficient
Standard platforms
Roles defined
Focus: Platforms,
role clarity
Rationalized
HR Service
Delivery
Optimized
Business-
Integrated
HR
“Business Optimized”
Federated: Coordinated
Intelligent at the end nodes
Highly trained and
empowered HR partners
External intelligence and
networks of expertise
Focus: Talent, Leadership,
Management, Global
Localization
Centralized
HR
33. Value of HR Innovation(Innovation)
Operates efficiently and keeps
costs lower than competitors
Wins over the competition in the
market
Creates new products/services
more NQuickly than competitors
Adapts to market changes faster
than competitors
Improves processes to maximize
efficiency
Responds to customer needs
Meets or exceeds customers
“Innovative HR”
expectations
companies reported
30% higher profit than
average
Attracting top talent
1.20
1.00
0.80
0.60
0.40
0.20
0.00
-0.20
-0.40
Assessing and selecting the right
candidates
Onboarding new staff
Aligning and setting expectations
and goals
Coaching and developing people
Managing performance problems
Identifying and developing
leaders
Supporting employee
engagement
Making smart decisions about the
direction of our company
Clearly communicating the
company strategy
Overall leadership capability
quickly
Relentlessly Innovates
Innovates heavily Does not innovate heavily
35. Moving “Local” HR to Greater Impact
LOW HIGH
Problem-Solving Abilities
/ Analytical Background
Line-of-Business
Acumen
LOW HIGH
Generalist
Low Analytical
Low LoB or Business Acumen
HRBP
Business Oriented “VP” of HR
High Analytical
High LoB or Business Acumen
Leverages specialists and COEs
39. The Five Personalities of the HRBP
39
Business Player
(Co-responsible for
business success)
Professional
Partner
(using expertise to
shape direction)
Enabler of HR
Governance
(Holding the line on functional
policy & principles)
Functional Broker
(Manage interface
between business and
functional resources)
Independent
Leader
(Challenging the
business and the
function)
40. Typical HRBP Development Programy
A Business Partner Development Program
40
Competency Framework for future
HRBP role Pre-assessment
Pre-work
Core training
programme
Self
Further
Learning
assessment
Participant self assessment
against the competency
framework, to inform PDP and
further learning modules
Competency framework
shared with participants,
opportunity to reflect on
individual learning needs
prior to training session
Participants keep an
active log of development
needs against core
competencies
Further learning identified in
line with core competency
areas for development
HRLT have opportunity to
reflect on learning needs
of participants based on
agreed competency
framework
41. Competency Frameworks Analysis
Analysis of the existing competency frameworks – focusing on the competencies required of an HR Business partner.
Serving the Client
Retaining the Client
Managing the Practice
Implementing
Following Through
Understanding the Market
Creating a Vision
Building the Market Developing Commitment
Making Decisions
Reward Talent Management
People Relations
Achieving Results
Team Playing
Change Management
HRIM
Business skills
(Functional Broker)
Commercial
Effectiveness
(Business player)
Personal and
interpersonal skills
(Professional Partner)
Governance skills
(Enabler of HR
Governance)
Leadership and People
Management Skills
Team work and collaboration Managing risk
Commercial acumen Managing people
Business and client
understanding
Stakeholder management
Results orientation
Project and programme
management
Talent
Management
Relationship management
Analytics
Change management
Communication
Negotiation /Influencing and
Coaching skills
Policy , process and HR
legislation
Key :
Deloitte HRBP
Leading practice
examples
Global Leader
Framework
ICS Competency
Framework
HR Client Service
competency
framework
Inspirational Leadership
Performance Drive
Competitive Edge / Innovation
Collegiality
Candor
Strategic Direction Talent Development
Influence
Quality, Ethics and
Integrity
Motivational Potential
People Potential
Intellectual Potential
Change Potential
Mobility
42. Value of Bringing HRBP Close to the Business
Impact of HR Being Close to the Business
Attracting top talent
1.40
1.20
1.00
0.80
0.60
0.40
0.20
0.00
-0.20
-0.40
Assessing and selecting the right
candidates
Onboarding new staff
Aligning and setting expectations
and goals
Coaching and developing people
Managing performance problems
Identifying and developing leaders
Supporting employee engagement
Making smart decisions about the
direction of our company
Operates efficiently and keeps costs
Clearly communicating the company
strategy
lower than competitors
Wins over the competition in the
Creates new products/services more
NQuickly than competitors
Adapts to market changes faster
than competitors
Improves processes to maximize
Responds to customer needs quickly
Meets or exceeds customers
expectations
Overall leadership capability
efficiency
market
Close to business Not close to business
“HR Close to
Business” companies
reported 21% higher
profit than average
44. Benefits &
Compensation
Hiring
Recruiting
E-Learning
Performance
Talent
Integrated TM
Solutions
Systems of
Engagement
Evolution of HR Systems
M A R K E T G R O W T H - A D O P T I O N
Back Office
on-premise ERP
Benefits
Administration
Compensation
HRIS
Applicant
Tracking
Recruiting
Sourcing
SaaS and
Cloud
Learning
Management
Integrated
Talent Mgmt
Performance
Management
Succession
Management
Competency
Management
“Systems of
Integrated
Engagement”
Recruiting
Social
Recognition
Talent
Analytics
End to End
Suite
ERP and
HRMS
Integrated
Mobile and
Tablet, HTML5
Analytics
Segmentation
Prediction
Consumer
User Interfaces
Integrated into
Work
2 0 0 0 P R O G R E S S I O N O V E R T I M E 2 0 1 2
45. Delivers Full Suite of Talent Offerings
Has Full Suite of Talent Offerings
Attracting top talent
1.20
1.00
0.80
0.60
0.40
0.20
0.00
-0.20
-0.40
-0.60
Assessing and selecting the
right candidates
Onboarding new staff
Aligning and setting
expectations and goals
Coaching and developing
people
Managing performance
problems
Identifying and developing
leaders
Supporting employee
engagement
Improves processes to
maximize efficiency
Responds to customer needs
quickly
Meets or exceeds customers
Overall leadership capability
Clearly communicating the
company strategy
Making smart decisions about
the direction of our company
expectations
Adapts to market changes
faster than competitors
“Full Suite of Talent” Has full suite Does not have full suite
companies reported
25% higher profit than
average