Reinvent Hr

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    Much has been said

    Some progress made

    Where to from here?

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    Strategic HRenabling strategic goals

    ! Sustainable competitive advantage

    ! Increasing market share

    ! Increasing revenues

    ! Improved profit

    ! Better productivity

    ! Better quality

    ! Decreasing time to market

    ! Cost leadership

    ! Shareholder value

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    Perspectives

    Strategic! Organisational and

    external focus

    ! Enabling strategies

    ! About Business issues! Time = Future

    Management/Operational! Internal focus and departmental

    support

    ! Implementing programmes

    ! About HR issues! Time = Now and past

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    Progresstop current HR issues are more strategic

    SHRM survey

    ! Talent management, baby boomer retirement

    ! Culture transformation " performance

    ! Managing change

    ! Leadership development, ethics! HR technology

    ! Work-life programs

    ! Diversity

    ! Health care management

    ! Globalization

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    Extent of Strategic HR involvementsurvey data

    low high

    ! Strategy formulation 42 94

    ! Long-range planning 39 82! Revising HR systems 28 78

    ! Developing HR systems 44 91

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    Perceived Role of HR Departments

    0

    10

    20

    30

    40

    50

    60

    7080

    Strategic Operational Combination

    Primary role

    %HR

    Other

    SHRM survey 2006

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    Perceptionssurvey 2006 - 1000 managers

    Roffey Park consultants

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    What is Value?

    Operational Management

    ! Better delivery of basic HR services.

    Employee Perspective

    !Communication! Information on new initiatives, organisational

    performance, grievance procedures and bullying.

    ! Staffing levels: work-life balance

    ! Fair reward and recognition

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    Recommended HR Competencies

    ! HR delivery basic practices for staffing, information,performance, rewards

    ! Utilisation of HR technology

    ! Business knowledge

    ! Personal credibility

    ! Strategic contribution

    ! Strategic HR performance measurementBrockbank, Ulrich, and James (1997)

    Becker et al 2001

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    The Key Question

    Do HR practices positivelyimpact organisational

    performance?

    Contingency Approach

    or

    Universal Best Practices

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    The Research

    Mostly

    In manufacturing businesses

    Executive and HR perceptions

    Surveys of presence of HR practices

    Correlations with firm performance data.

    No control for quality of actual implementation

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    Link Between HRM & Performance

    HR practices

    Firm performance

    Black box

    Jumble of theoriespulled from many

    disciplines

    Compare, Correlate

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    ! Training and Development

    ! Contingent pay and reward schemes,

    ! Performance management (including appraisal)

    ! Careful recruitment and selection

    Boselie et al.s (date)

    Top 4 HR PracticesChosen By Researchers

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    Inconclusive Findings

    large, significantpositive relationships(up to r =.45explaining 18-19%of variance inproductivity & profit)

    no or small,insignificantrelationships

    Correlation is not cause and effectStudy data very high level, not comparable

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    Weak Correlationsemployee engagement

    Paul Barrett 2005

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    Associated with BusinessPerformance

    combined studies

    +ve correlation! Proven recruitment

    practices

    ! Job training! Pay for performance! Collegial workplace! Effective

    Communications! HR technology

    -ve correlation! 360 feedback! Career training &

    development! Use of HR technology to

    change culture! H & S programmes

    (costly)

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    Strategic HRthe missing link

    Poor or missing alignmentof organisationalperformance measureswith individual staff

    performance management.

    Risk: measuring the wrongfactors and rewarding thewrong behaviors

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    Evidence Based Practice

    Coherent theoretical base

    ! Defined and linkedconcepts

    ! Basis for testable

    hypotheses

    Research-informed HRD is the conscientious and explicit use of research

    findings and the research process to inform, shape, measure and evaluateprofessional practice Robert Hamlin 2007

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    Business modelsuccess depends on individual outcome achievement

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    Learnings from I/O Psychology

    ! Personal pre-requisites for job performance

    ! Environmental requirements for performance

    ! The law that governs behaviour

    ! Measurement of human factors! Research quality

    ! How to demonstrate cause and effect

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    Link of HRM and Performance

    Black box

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    Strategic HR Competencies

    ! Communication

    ! precision in use ofterminology, concepts,descriptors

    ! Systems perspective

    ! Business knowledge

    ! Job analysis

    ! Measurement

    ! Research evaluation

    ! Leadership

    ! Demonstrating ROI

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    Systems Perspective

    ProcessInput Output

    Feedback or control system

    Environment

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    Business Knowledgethe portable MBA

    Firm structure & division of work

    Operations, Sales & Marketing, Service

    Support functions Finance, IT, HR

    Value chain and competitive analysis

    Strategy formulation and implementation

    Organisational behaviour

    Programme based analysis

    Measuring ROI

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    Job Analysiswhat is involved? what capabilities needed? job sizing

    ! Inputs! Sources of information, perceptual needs

    ! Processes and complexity! Information handling

    ! Communication & interpersonal

    ! Planning

    ! Judgments and decisions

    ! Use of equipment

    ! Outputs and importance

    ! Environmental factors

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    Opinions,Capability & Performance Measurement

    accuracy, relevance

    ! Defining outcome basedexpectations

    ! Frequency and means of

    observation! Rating scale options

    ! Designing stakeholdersurveys

    ! Understanding and

    minimising sources of bias

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    Research Evaluation

    ! Read relevant journals! Review sample sizes, types of

    organisation, industry.

    ! What was measured, how?

    ! How was it defined?

    ! What was the finding?

    ! How big an effect?

    ! Cause and effect relationship orundefined association?

    !

    Has the study been repeatedwith same result?

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    0

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    78

    jan feb mar apr may jun jul aug sep oct nov dec

    Group1

    Group2

    Group3

    Group4

    Demonstrate ROI

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    Reinventing the Image of HR

    becoming a strategic partner

    Leanne Markus M.A. Hons, M.B.ARegistered Psychologist, Managing Director

    Centranum Singapore Pte. Ltd

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