Wanda J. Freeland, SPHR S.M.A.R.T. Performance Solutions

www.smartperfsolutions.com

� Evolution of HR � Review Roles of HR � Define Strategic HR � Business Acumen and Strategic HR � Checklist and Action Plan � Review HR Competencies (SHRM)

Small Business (1950’s)

Bigger Business

Corporations (1980’s)

Business Climate Changed •  Restructure •  Reorganize •  Mergers •  Takeovers

Training & Development

Corporations (1990’s - Current)

Strategic?

Employee Records

Industrial Relations

Transactional

Payroll

Staffing

Evolution of HR

Tactical

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Business Climate Changed •  Employment Law •  Technology •  Organizational Development

Transactional (Past & Present)

Focus: Administrative/Service/Compliance (Individual) - Record Keeping (Payroll, benefits) - Employee Files - Earning Summaries - Safety Compliance/Inspections - Employee Handbook/P&P

HO1

What % of your time is spent on Transactional Functions? ___________%

What % of your time is spent on Tactical Functions? ___________% HO1

Tactical (Past & Present)

Focus: Internal

- Day-to-day HR programs (w/o regard to Strategic Impact)

- Focus on Cost (Measures cost of programs; not impact on revenue/profits)

- Incremental Change (Subtle refinements to existing programs)

- Reactive actions (React to prevent/minimize negative impact of an event)

Strategic (Present & Future)

Focus: Big Picture Focus

- Recruiting (Using metrics to ID applicants/improve OJT of new hires)

- Compensation (Educating mgrs/providing tools to retain top talent)

- Performance Focus (Programs that directly improve employee productivity)*

- Business Acumen (Knowledge of company business and industry)* Def. Strategic. A course of action to achieve long-range goals, generally up to five years; reflects company’s direction and purpose; influence development of Tactical Plans.

HO1

Strategic (Present & Future)

Focus: Big Picture Focus

- Recruiting (Using metrics to ID applicants/improve OJT of new hires)

- Compensation (Educating mgrs/providing tools to retain top talent)

- Performance Focus (Programs that directly improve employee productivity)*

- Business Acumen (Knowledge of company business and industry)*

HO1

What % of your time is spent on Strategic/Other Functions? ___________%

Strategic Planning Process*

(*SHRM Learning Systems®: Module 1: Section 1-2)

OUR GOAL

Phase May be Should be

1. Formulation

Vision Mission Values

q  q  q 

2. Development

SWOT External SWOT Internal LT Org. Objectives Strategies to Achieve

q  q 

q  q  q  q 

3. Implementation

Corporate (Key Perf Indicators) Unit Functional

q  q  q 

q  q  q 

4. Evaluation

Review Strategies Measure Performance Take corrective Actions

q  q  q 

q  q  q 

Leadership Roundtable

What’s Next for HR? (Nov. 2010)

Observation

Not much has changed

in 20 yrs

www.shrm.org/about/foundation/Pages/default.aspx

¡  Failure of HR to move beyond transactional* ¡  Ineffective, incompetent, costly; value sapping*

SHRM Survey (2004) •  Only 7% saw HR as SBP was key trend •  Almost 60% organizations outsourcing

some transactional functions - Payroll - Employee assistance/counseling - Staffing - Benefits administration

*Adapted from Strategic Business Partner: Aligning People Strategies with Business Goals by Robinson & Robinson.

So…what’s left of

Traditional HR?

Corporations (1990’s - Current)

Administration

Internal Consultants

What must change?

Service Role

21st Century Companies/Corporations

Development of Strategic Business

PARTNERSHIPS

Business Partners

Strategic Business Partners?

Business Partners

Internal Consultants

HR

Administration

Sales, Marketing &

Public Relations

Production & Manufacturing

Information Technology

Executive Level

Legal

Finance & Accounting

Research & Development

STRATEGIC Business

PARTNERSHIPS

What changed?

Business PARTNERS

What’s the SAME? •  Company •  Departments •  People •  Product •  Functions •  Strategy

What’s the DIFFERENCE? •  Strategic Focus/Goal •  What we do •  What we say

Strategy A Plan of Action

Strategic Focus

Majority of HR time/resources focused on optimizing workplace

performance in order to maximize results of organization.

-Robinson & Robinson

“Become  a  master  of  your  profession  and  a  student  of  

your  business.”          –  Tom  Kroeger

Work Environment Need/Solution

(WN/S)

Capability Needs (CN)

Performance Needs (PN)

Business Needs (BN)

©Partners in Change, Inc & SMART Performance Solutions

LEARN

LISTEN

HO1

…a  student  of  your  business.

Consultant: An expert in business solutions linked to ROI of client’s goals.

q  THINK LT Goals; ST Strategies q  LINK To Business Goals q  ACT Develop Partnerships q  MEASURE Use Business Metrics (ROI) q  LEARN Business Acumen

LINK

Performance Needs (PN)

Business Needs (BN)

THINK

LINK

ACT MEASURE

Strategic Business Needs (SBN)

Work Environment Needs/Solutions (WN/

S)

Capability Needs (CN)

LEARN

LISTEN

©Partners in Change, Inc & SMART Performance

Solutions

G = Go for the SHOULD A = Analyze the IS P = Pin down the CAUSES S = Select the right SOLUTIONS

Opportunity to LISTEN, LEARN, & promote understanding & THINK, LINK, ACT, MEASURE

HO1

Through Partnerships/Business Acumen � HR Strategic Business Partner (Formal Responsibility)

¡  Access to other managers ¡  Access to more information at organizational level ¡  More opportunities to network throughout organization

� Department Strategic Business Partner (Informal Responsibility) ¡  Access to individual employees ¡  More time to build personal

relationships/trust ¡  More people focused

Become  a  master  of  your  profession…

HR DIRECTOR SBP

Dept Mgr SBP

Dept Mgr SBP

Dept Mgr SBP

Dept SBP Dept SBP Dept SBP

EXECUTIVE SBP’s

DIRECTOR SBP

DIRECTOR SBP

DIRECTOR SBP

DIRECTOR SBP

TRAINING SBP

Employee Relations

SBP

§  Strategic Objective: Increase annual revenue by 10%

Strategy (Plan) §  Increase revenue by 3% §  Decrease operational expenses by 2% §  Improve customer service by 5%

§  Improve efficiency/processes §  Improve employee training §  Improve recruiting and

retention processes

Client Need/Strategy

We are in the process of reducing operational expenses in our service centers.

Can you help us put together a communication program to help people understand why we are doing this?

*Adapted from Strategic Business Partner: Aligning People Strategies with Business Goals by Robinson & Robinson.

§  Decrease annual operational expenses by 2%

ID of Needs

We are in the process of reducing operational expenses in our service centers (SBN).

Can you help us put together a communication program to help people understand why we are doing this? (CN/S)

*Adapted from Strategic Business Partner: Aligning People Strategies with Business Goals by Robinson & Robinson.

We plan to increase revenue in the next year.

We must ensure our talent recruitment & retention processes are ready as we need everyone performing in an optimal manner to reach our goals.

*Adapted from Strategic Business Partner: Aligning People Strategies with Business Goals by Robinson & Robinson.

Client Need/Strategy - Increase revenue by 3% - Improve efficiency/processes -Improve employee training -Improve recruiting and retention processes

ID of Needs We plan to increase revenue in the next year.

(SBN)

We must ensure our talent recruitment & retention processes are ready… (WN/S)

…as we need everyone performing in an optimal manner to reach our goals. (PN)

*Adapted from Strategic Business Partner: Aligning People Strategies with Business Goals by Robinson & Robinson.

Strategic Planning Process*

(*SHRM Learning Systems®: Module 1: Section 1-2)

OUR GOAL

Phase May be Should be

1. Formulation

Vision Mission Values

q  q  q 

2. Development

SWOT External SWOT Internal LT Org. Objectives Strategies to Achieve

q 

q  q  q  q 

3. Implementation

Corporate (Key Perf Indicators) Unit Functional

q  q  q 

q  q  q 

4. Evaluation

Review Strategies Measure Performance Take corrective Actions

q  q  q 

q  q  q 

To move from HR Business Partner to HR STRATEGIC Business Partner requires adding value

at the operational level to earn status at the executive level.

To get where we have never been, we have to do what we have never done

� What is definition for Strategic HR?

“The majority of HR’s time/resources are

focused on optimizing workplace performance in order to maximize results

of the organization.” - Robinson & Robinson

� What is the formula for “Ask the right questions right”?

G = Go for the SHOULD A = Ask for the IS P = Pin down CAUSES S = Select the right SOLUTIONS

� Give at least three actions that can be used to become a Strategic Business Partner

�  External category �  Internal category �  Leadership category

� Name at least two Leadership Competencies

�  Attitude/Motivation �  Coaching �  Culture �  Leadership �  Teambuilding �  Values

THANK YOU FOR YOUR PARTICIPATION

Wanda