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Mainstreaming Social

Performance in PeopleManagement

Presented by: Jeffrey OrdoezBeyond Micro-Credit Conference

Davao CityJuly 30, 2010

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Models in Managing HR

Model View of HR Services

Personnel Mgt

Human Resource Mgt

Human Capital Mgt

Pair of hands / part of machine

Least cost / Efficiency

Managers order, workers follow

Recruitment Salaries & benefits

administration Labor relations

Resource / problem-solver Effectiveness Worker thinks, mgr decides

MBO Training Team building Labor-mgt relations

Talent as capital Value-provider Mgr as facilitator / coach

Strategic planning Organization Development. Culture building Outsourcing

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Ulrichs Functions for Managing HR

Strategic

Operational

Systems People

Strategic Partner Change Agent

Administrative Expert Employee Champion

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Four Functions ofHR Practitioners

Administrative Expert: administrative policies, processes &

procedures that enhance organization efficiencyEmployee Champion: motivating people & increasing theirproductivity in the organization

Strategic Partner: linking human resource management strategywith organization vision, mission & strategies

Change Agent: organization transformation towardscongruence with the organization vision, mission & strategies

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Do we have the right people for thejob?

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Know where you are going

VISION

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Know why you are going there

PURPOSEOr

MISSION

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Know what you want to accomplish

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Determine your milestones

PERFORMANCEMEASURES

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BUSINESS STRATEGY

Determine how will you get there

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BEGIN WITH THE END IN MIND

VISION

MISSION

GOALSBUSINESS

STRATEGIES

SOCIAL

FINANCIAL

KEYPERFORMANCE

MEASURES

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Recruitment

PerformanceManagement

Training and Development

Career Planning

Competency Model

Job Design

Culture ofPerformance

Organization Design

Strategic People Management

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Your business strategy will determine your structure,systems, services, shared values, and

your STAFF

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changes in the environment = change of strategy

change of strategy = change in competencies

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ALIGNMENT

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STRATEGY

ORGANIZATIONAL DESIGNJOB DESIGN

COMPETENCIES

PERFECT

FIT

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JOB DESIGN

How jobs should be designedin order to facilitate

the achievement of deliverables

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Job Design Process

Who are the clients and what are their needs? What are the deliverables of the position?

What are the tasks to be done?

Why do they need to be done? (rationale)

How will the tasks be done? (process) What impact will there be on other positions in the

organization?

Who will the position report to? Will any positions

report to this position? (reporting structure) Where will the work be done? (physical location)

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Competency Model

The desired characteristics of a personwho will most probably succeed in this

position

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What is a Competency?

Characteristics / qualities of a person thatis related to superior performance in a Job

Enables superior performers to

demonstrate critical behaviorsmore often

in more situations

with better results

Source: Mila Perez, Regional HR Manager, Sanofi-Aventis.

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Develop your competency model

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About Competencies

Easier to see,measure, andchange

Harder to see,

measure andchange but canmake the most

difference

Skills

Knowledge

Values

Self-ImageTraits

Motives

A competency is whatever superiorperformers think or do more often,in more situations, and with betterresults than average performers

Hire

Train

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Strategic Recruitment

How the organization decides onwho to recruit, where, and how

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On Recruitment Strategy

What is it about your organization that makes

it attractive to talents?

Whereare the desired talents sourcedfrom? What methodsare used in selectingfrom

prospective candidates?

What challengesdoes your organization haveto deal with in the process

of recruiting desired talents?

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Considerations for Designing a Sourcing Strategy

Time Costs Availability Risks

GROW talent from within

Recruit fresh graduates and groom

for next level

Slow Low Easy to find Low

BUY talent from outside

Hire for replacements and new

openings; Launch talent initiatives

and opportunistic hires

Fast High Very difficultto find subjectto marketavailability,salary, timing

High

BORROW talent from other locations

Internal relocation for skills transfers

and/or to facilitate redeployment

Fast High Limited,subject tocircumstances

Ave.

TRANSFORM talent from within

Train and develop new skills andattitudes

Ave. Ave.-

High

Difficult,

subject to thequality ofexistingtalents, etc.

High

Source: Manuel N. Anselmo, Vice President, Bo Le Associates, Ltd. AIM-SHROD Class

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Selection Tools

Application form

Work samples

Tests (functional, mental, psychological)

Observation of role play / simulation

Questionnaire

Focused interview

Assessment centers

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Manage your talents performance

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Social Performance Indicators

Financial Performance Indicators

GOALS

Individual Performance Indicators

Team Performance Indicators

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How We Manage Performance

What are indicators of performance in our MFI?(Planning)

What interventions do we use to improve

performance? (Developing) What methods do we use to gather and analyze

data to understand performance? (Reviewing)

How do we reward good performance?(Rewarding)

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What is causing the Performance Gap

Staff

Skills/capability

Information

Technology

Reward

system

Measurement

systemInfrastructure

Organizational

structure

Work flow

and decisions

Culture

People Management

Styles

Source: Jose Ma. De Guzman, M.A., President, HRMD-Knowledge Institute.

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Train them to become the best thatthey can be

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Defining Training Objectives

Needs

Assessme

nt

Training &

Development

Objectives

Evaluation Criteria

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Reinforce desired behaviors with

the right environment and incentives

ORGANIZATIONAL CULTURE

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Organization Culture

How things are repeatedly done on a dailybasis

The unique way an organization does its work

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RecognizingOrganization Culture

How things are done here?

What is measured & controlled regularly?

Behaviors that are rewarded/ punished?

Where are most of the resources allocated?

The types of people who are recruited, selected,promoted, expelled

What customers, suppliers say about theorganization...

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Organizational Culture:Primary Embedding Mechanisms

What leaders pay attention to, measure & control on a regular basis

How leaders react to critical incidents and organizational crises

Observed criteria by which leaders allocate scarce resources

Deliberate role modeling, teaching and coaching

Observed criteria by which leaders allocate rewards and status

Observed criteria by which leaders recruit, select, promote, retireand excommunicate members

Source: Edgar Schein, Organization Culture and Leadership

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Organizational Culture:Secondary Reinforcement

Mechanisms

Formal statements of organizational philosophy, values andcreed

Organizational design and structure

Organizational systems and procedures

Design of physical space, facades & buildings

Stories, legends and myths about people

and events

Source: Edgar Schein, Organization Culture and Leadership

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How Organization CultureDevelops

Organizational

strategies of

founders

Experience

of success/

failure

Basic

beliefs/values

Critical

mass of

repetitive

behaviors

CULTURE

Organization

Effectiveness

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CULTURE BUILDING

Lessons learned from the

Catholic Church

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The Church has a Bible

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The Church has a Pope

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The Church has its Bishops andPriests

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The Church has its Icons

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The Church has its Rituals

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The Church

has its saints

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There

ishell

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There is heaven

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VisionMissionObjectives

Strategies

People

Structure

Products andServices

SystemsShared Values

Developing Organizational

Capacity: Basic Elements

SOCIAL PERFORMANCE

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SOCIAL PERFORMANCEMANAGEMENT PATHWAY