Changing the “role” of HR in support of High Performance Organization

So what does this mean?

High Performance Organizations will face increasing competitiveness Changing Marketplace New entries Investment on: People Intensive * Competencies are key to entry * Global mindset * Growth Market * Seamless organizations Consequences for Business * Product Innovation * Manufacturing and Supply Chain Management * E-business initiatives Implications for HR * Innovation and CHANGE * Service mindset * Value Added results * New recruiting methods

New management skills require new competencies

Commitment and Competence Strategic Alignment Organizational Performance Management Competencies HR Leadership (Individual Leadership) Entrepreneurship Driving CHANGE Crafting Strategy Knowing the Business Valuing People Building Partnerships Leveraging Functional Expertise Planning (For Business Results) Seasoned Judgment Intuition and Believing Dialogue Self-Directed Learning Corporate Values Increasing Complexity (Scope, Context, Thinking) Competency Model Senior Leadership Creating redefining markets Designing adaptive strategy Business Outcomes Creating an adaptive culture Developing networks of talent and capabilities Working across organizational boundaries to build value Managing knowledge as an organizational asset Creating value through strategic use of functional expertise Building sustained business success

Make it happen ! How can HR add value to the Business Process? By creating culture, developing teams, cohesive HR action and . . .

Why HR Matters Create HR practice Drives employees & management commitment DELIVERS RESULTS

HR process and operational structure Business Management Strategies & Goals HR Management Objectives & Enabling Transition HR Operations Targets & Action Planning Organizational Planning & Effectiveness People/Skills Sourcing Competency Development & Realignment Performance Management & Review Remuneration & Reward Management Career/Succession Planning Employee & Industrial Relations    + +

Human Resource Transformation STEP ONE Performance Management Administrative Excellence PEOPLE GROWTH BUSINESS IMPACT HR EXCELLENCE

Human Resource Transformation STEP ONE Performance Management Administrative Excellence Succession Planning Workforce Planning Skills Development STEP TWO PEOPLE GROWTH BUSINESS IMPACT HR EXCELLENCE

Human Resource Transformation STEP ONE Performance Management Administrative Excellence Succession Planning Workforce Planning Skills Development STEP TWO Strategic Business Partner STEP THREE CHANGE Initiation/Management Strategic Labour Relations Business Process Facilitation Competency Development Work Process Improvement PEOPLE GROWTH BUSINESS IMPACT HR EXCELLENCE

HR’s BUSINESS INVOLVEMENT Strategic Planning Process Management Business strategy development HR Capital allocation Performance Management Objective/target setting Operational plans Business performance reviews HR Management Performance appraisals and compensation Succession planning Management development Functional Geographic Co-ordination Functional policies Sharing knowledge and best practice transfer Sharing business assets/activities Shared support services

HR Processes to Apply B B U U S S I I N N E E S S S S S S T T R R A A T T E E G G Y Y Performance Management Succession Planning Organizational Planning People Sourcing Employee Relations Remuneration Management H I G H P E R F O R M I N G P P E E O O P P L L E E Competency Development HR Strategy Organizational learning

. . . but we have to CHANGE!

ADMINISTRATION SUPPORT THE TRADITIONAL HR VALUE CHAIN Recruit & Select Train & Develop Manage & Promote Redeploy & Exit

BEST PRACTICES HR VALUE MANAGEMENT ADMINISTRATION SUPPORT VALUE ADDED ACTIVITIES NON VALUE ADDED ACTIVITIES STRATEGY ORGANISATION INDIVIDUAL

THE HR INVESTMENT PEOPLE & PROCESSES Value added 10% Non value added 30% Administration 60% Value added 70% Non value added 10% Administration 20% TODAY YEAR 2000 And Beyond

MEASURING HR VALUE MORE PEOPLE WILL UNDERSTAND WHAT WE ARE TALKING ABOUT IF YOU TELL IT TO THEM, CLEARLY & IN THEIR LANGUAGE, THE BUSINESS LANGUAGE - RESULTS DRIVEN

THE 3 HR MEASUREMENTS HUMAN Values such as moral, culture, growth and job satisfaction PRODUCTION Values such as efficiency, productivity and results FINANCIAL Revenue, profit and cost containment TO LEADERS

How to transform HR Management

5 WARNING SIGNALS TO RESISTANCE TO HR CHANGE

#5 In reality HR is only focused on spending

#4 To tell you the truth, I don’t know what HR does

#3 Everybody knows HR doesn’t know the business

#2 Fact is that HR cannot add value

#1 Research has shown that HR is incompetent

Create relentless discomfort with the status quo Making it happen!

Understanding the business Ability to deliver business results Ability to manage CHANGE and Culture Value adding Human Resource practices HR’S NEW BEHAVIOUR Personal credibility & behaviour

Activity Deliverable Outcome Role Strategic HR Mgt. Structure Coaching & Mentoring Culture Change Management HR ROLES DELIVERABLES AND ACTIVITIES Aligning HR and Business strategy Executing HR strategy Being an effective business partner Organisational diagnosis Building an efficient organisation - shared services Being an outstanding function resource Listening and responding to needs, providing resources Increase commitment and competencies Being an enabler and champion Managing transformation, ensuring capacity to CHANGE Creating a dynamic and ongoing organisation - Process Enabler Being an influential CHANGE agent

Success factors for implementing new HR role

DELIVER STRATEGIES HR LEADERSHIP PEOPLE MANAGEMENT DELIVER RESULTS HR LEADERSHIP PEOPLE MANAGEMENT DELIVER PROGRAM HR LEADERSHIP PEOPLE MANAGEMENT TOP: MIDDLE: ENTRY: This mix of Success Factors change . . .?

HR PROCESSES must support . . . Leadership Negotiation Perf. Mgt Commercial Skills Team Skills Personal Effectiveness Drive for results Customer Focus Timely Decision Making Innovative Management Managing Vision/Purpose Strategic Capabilities Dealing with ambiguity Business Acumen Functional Excellence Takes Ownership People Development Interpersonal Effectiveness Building Effective Teams Integrity and Values Sets High Personal Standards Withstands Pressure • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • SUCCESS FACTORS

The overall objective in a Results Driven Organization Competencies Goals Remuneration MAKING MONEY Development COACHING FEEDBACK STEERING

Training and Development Career Planning Rewards and Recognition Company objective setting Process/Unit objective setting Individual objective setting Performance Review On-Going Feedback Corrective actions Re-setting objectives High Performance Organizations

Processes in a High Performance Organization Retention Performance Assessment Training & Development Growth Planning Opportunity Planning Potential Assessment HR Competencies Mission Strategies, Core Competencies, Values Business Environment

High Performance Organizations Functional Business People Technical/Professional HR Processes The group of competencies related to understanding and being able to achieve the business objectives in the context of the market, the competition and the political and social environment. The group of competencies needed to work effectively with others. Conceptual/ Strategic The group of competencies needed to deliver the products or services required.

Progress and results achieved against current business development objectives and future thrust & direction ASSESSMENT OF: KEY TO THE ONGOING SUCCESS OF THE BUSINESS

KEY ORGANISATION AND MANAGEMENT ISSUES Summary of HR objectives and plans for business development OBJECTIVES AND PLANS FOR COMING YEARS Address only organizational issues that matter Identification of significant organisation and management issues that present risk and/or opportunity for the business Identification of people in the organization who deliver business results

HR MUST ENSURE: Continuity Skill Base Management Excellence & Best Practices BASIC HR PLANNING Right People Right Place Right People

Growing need for High Quality Management HR ALIGNMENT TO THE BUSINESS WHY? Aggressive Sales Plans & Market Competition Growing Complexity of Jobs

People respond best to challenging objectives, recognition, freedom to act and contribute and opportunities to participate and grow in High Performance Organisation We have a new generation of managers, they are team players, who are motivated and committed to excellence Executives, managers and supervisors recognise the company’s expectations to keep learning and developing Managers should have a plan and communicate the process for the development of their people HR MUST BELIEVE THAT . . .

What kind of HR leadership is needed to manage

SIMPLICITY IS THE KEY!!! COMPLEX SIMPLE COMPLEX SIMPLE HR World HR SYSTEMS

GROW PEOPLE GROW BUSINESS