How Analytics Enables Strategic HR

Transcription

1 How Analytics Enables Strategic HR Ling Xiang Director, Product Management, Oracle Mukesh Nakra Associate Vice President Oracle Practice, Infosys Vishwajit Bendre Principal Consultant, Infosys Copyright 2014, Oracle and/or its affiliates. All rights reserved.

2 Safe Harbor Statement The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle s products remains at the sole discretion of Oracle. Oracle Confidential Restricted 2

3 Program Agenda 1 2 How Analytics Enables Strategic HR What Is New With HR Analytics? 3 Infosys Approach to Analytics 4 5 HR Analytics Implementation Q&A Oracle Confidential Restricted 3

4 Analytics Enables Strategic HR Impact Effectiveness Efficiency Understand where and why HCM makes the biggest difference in the business Measure the business impact of high versus low performance in jobs and the performance drivers Measure specific effects of HR programs (quality of hire, learning from training, motivation from rewards, etc.) Measure the effectiveness of organization design (e.g. span of control, career movement, etc.) Measure the cost and efficiency of recruiting, developing, organizing and managing the workforce (e.g. cost-per-hire, time-to-hire, training cost, overtime spend, etc.) Benchmark internally and outside the organization Reduce compliance risk One of the ways that HR can add significant value is to improve decision making about human capital. What makes HR A Strategic Partner? Edward E. Lawler III, John W. Boudreau, Center for Effective Organizations University of Southern California

5 HCM Application Landscape Time & Labor Professional Certification Social Learning Payroll Workforce Management Learning Course Catalog Learning Core HCM Talent Management Benefit Enrollment Employee Engagement Compensation Recruiting Diversity Compliance Market Compensation Job Boards Social Recruiting Onboarding Strategic HR needs a holistic and analytical view of the workforce HR application landscape is fragmented Time wasted in getting data not in data analysis

6 Actionable Insight for Every Role Chief HR Officer (CHRO) Develop talent strategy and systems to enable sustainable growth Manage global regulatory and compliance risk Develop global leadership pipeline Finance and Business Leader Manage headcount cost to budget Foresight into leading people indicators that affect business delivery Reduce lost productivity from turnover and unnecessary org changes Increase retention of top performers HR Analyst Deliver relevant and timely workforce information to HR and business leaders Reduce time/cost to produce compliance reporting Monitor key metrics in headcount demographics and movement Monitor cost and efficiency of HR programs Oracle Confidential Restricted 6

7 Strategic Human Resource Management Analytical Decision Flow Objective Are we losing key talent? Are we providing career development opportunities? Are we rewarding employees competitively? Chief HR Officer (CHRO) Develop talent strategy and systems to enable sustainable growth Manage global regulatory and compliance risk Develop global leadership pipeline Insight Action What is the turnover trend? Where are the retention hotspots? What is the skill loss from the turnover? What is the cost of turnover? Identify at-risk key talent for retention. What skills and job experiences produce high performance? Are there adequate crossteam, cross-functional experiences? Is top talent groomed for leadership positions? Identify development and training opportunities for employee development. How is our compensation compared to the market? Are we rewarding high performance? How did compensation affect employee retention historically? Offer competitive compensation packages for key retention roles Oracle Confidential Restricted 7

8 Strategic HCM Information Foundation Dashboards Scorecards What-if Planning Predictive Analytics Search Detect & Alert Embedded Mobile BI Technology enablement Organization Design Headcount trend Headcount Movement Span of control Staffing Headcount Plan Market demand Candidate Sourcing New Hire Skill Ramp-up New Hire Quality Recruiting Costs Analytical Information Foundation Talent Management Goal Alignment Retention Skill Gap Employee Learning and Engagement development Pay for Performance Financial Control Budget Control Workforce Cost Overtime Spend HR Programs Costs Compliance Diversity Risk Legal Compliance Risk Professional Certification Leadership Leadership Strength Leadership pipeline Leadership Risk Leadership Diversity Total Reward Total Compensation Market Benchmark Benefit Program Utilization Employee Wellness Information Foundation Data integrated and enriched for strategic analysis, breaking down the functional silos Combine HCM, Financial & Operational data Combine structured, unstructured & open data Cloud On-Premise Non-Oracle HCM Big Data

9 The Road of HR Analytics 6 Major Releases 900 Customers Universal Adaptors Product redesign New recruiting, learning and absence analytics PSFT & EBS Certification Certify Exadata Upgrade to OBIEE 11g Certify OBIEE 11g Certify Exalytics Integration with Fusion HCM New Payroll, Time & Labor ODI ETL Talent Profile Integration to Fusion HCM Cloud May 2009 Sept 2010 May 2012 Jan 2013 May 2013 May 2014 Oracle Confidential Restricted 9

10 Comprehensive HR Analytical Content Dashboards 12 Dashboard Pages 62 Reports 360 Attributes 940 Metrics 900 Workforce Effectiveness Corporate Contribution Effectiveness Trends Workforce Deployment Staffing Demographics Trends Frozen Snapshots Workforce Development Employee Performance by Supervisor Employee Performance Supervisor Performance Internal Mobility Top Performers Under Performers Retention Retention Hotspots Top Performers Trends Absence and Accrual Accrual Absence Trends Absence Details Absence Calendar Compensation Salary Compression Pay for Performance Compensation Budget Allocation (*) Payroll Payroll Trend Payroll Cost Overtime Spend Payroll Labor Hours Learning Manage Enrollments Training Results Delivered Training Recruitment Requisitions Vacancy Analysis Recruitment Pipeline Offer Analysis New Hires Applicant Pool Quality of Hire Recruiter Effectiveness Requisition Recruitment Activities Recruitment Event Details Candidate Sourcing Time and Labor Timecard Monitoring Processed Time Time Coverage Time Trend Estimated Labor Cost Talent Profile Management Employee Competency Competency Gap Job Profile Employee Talent Profile Performance Potential 9-Box Succession Management (*) Succession Slate Succession Risk Performance & Goal Management (*) Performance Management Process Goal Alignment Questionnaire analysis Employee Engagement (*) * Planned for future releases Oracle Confidential Restricted 10

11 Bring HR Analytics to The Cloud Best-Practice Analytical Content for the cloud & in the Cloud User Experience Data Visualization Advanced Analytics Big data Oracle Confidential Restricted 11

12 Strategic Insight for Every Role OOW demo pod: MosconeWest WLL 019 Focus on Personas Enable Executive, divisional and crossdivisional analytics Strategic historical, predictive, and comparative views for analysis and planning Focus onkey metricsand key indicators Designed for immediate insight and intuitive exploration Use insights to formand argue opinions for tactical or strategic changes Integrated tools to report, present and distributekey findings Oracle Confidential Restricted 12

13 Bring HR Analytics to the Cloud Supports Cloud or On-premise Sources Flexible Deployment Options ( In the Cloud or On-Premise) Fusion HCM OTBI Enterprise Taleo BI App Data Warehouse On-Premise BI Applications On-Premise Non-Oracle HCM Apps Oracle Confidential Restricted 13

14 HR Analytics Roadmap Take Analytics to the Cloud OBIA ETL with ODI & Golden Gate option ETL adaptor to Fusion HCM Time and Labor Analytics Payroll Analytics Absence Accruals Headcount Gain & Loss Workforce Frozen Snapshots New Adaptor: PSFT Global Payroll May 2013 OBIA Talent Profile Analytics New Adaptor: Fusion Absence Management New Adaptor to Fusion HCM Cloud Services New HR Executive Dashboard Cost of Ownership Improvements: Data Lineage Endeca Extensions May 2014 Plan for next 12-Months HR Analytics Cloud Service New Adaptor : Taleo Enterprise Recruiting Compensation Analytics Succession Management Analytics Fusion Time & Labor New Role-based Dashboards (HR Manager, Business Executive) 2015 Plan for beyond 12-months Big data : employee survey, Open Data (labor statistics and job market data) Predictive analytics : workforce diversity, Leadership pipeline What-if planning Uptake OBIEE 12C 1

15 Infosys Approach to HR Analytics

16 Infosys Strategic BI and Analytics Practice Overview 16 Infosys DW/BI services cover the entire DW/BI spectrum strategy development, user experience design, vendor and product evaluation, system integration, product configuration and customization, application development, validation and management. Key offerings BI strategy development, DW/BI governance consulting, DW/BI architecture development, migration strategy and planning, DW/BI Support and Maintenance architecting BI system, test strategy, deployment framework& solution backbone Dedicated BI Consultants Successfully Executed Projects 400+ Active Client Relationships 13+ Industry Domain Expertise 10+ Collaborative BI Vendor Alliances AB INITIO 980+ COGNOS 800+ DATASTAGE DB HYPERION 400+ INFORMATICA MICROSTRATEGY 770+ NETEZZA 310+ ORACLE BI 900+ ORACLE WAREHOUSE BUILDER 350+ TABLEAU/SPOTFIRE 60+ MS BI TERADATA SAP BO/BI SAP NETWEAVER/DW 600+ SAS 300+ CONSULTING ARCHITECTURE AND DESIGN ETL & REPORT DEVELOPMENT TESTING & DEPLOYMENT SUPPORT & MAINTENANCE PLATFORM ENGINEERING GOVERNANCE & DELIVERY BANKING & INSURANCE RETAIL & CPG TELECOM AUTOMOTIVE ENERGY & UTILITIES CONSUMER ELECTRONICS AGRI-BUSINESS LOGISTICS HI-TECH AEROSPACE HEALTHCARE LIFE SCIENCES EDUCATIONAL INSTITUIONS

17 17 Challenges faced by HR Organizations New Markets Global business Drive Efficiencies Manage Talent Innovation Technological Advances HR as a business partner Emphasis on Compliance

18 Key Questions? What are the most value-added HR processes that the organization should focus on? How can HR improve the firm s top and bottom lines? What HR services should an organization provide? 18 How should HR services be delivered to the organization? How will change associated with the new HR services and HR delivery mechanisms be successfully embedded in the organization? How can HR be more costeffective?

19 What are Metrics?

20 What are Metrics? 20 Articulate why this metric really matters to the business? Usable and Actionable Know what a good number/score should be? Can be gotten from Benchmarks Articulate the business value of increasing/decreasing this metric? To be done jointly with business leaders Improve HR Process Performance and Service Delivery -Employee Engagement Improve HR Legal Compliance /Control Procedures Organizational Effectiveness

21 An Approach for KPIs and Benchmarking Opportunity Total cost of HR as % of revenue Labour cost of HR Transactional / Controllership Cost by Process Area Hire to Retire Value Levers Business Levers / Metrics Process Impact Hire to Retire 21 Improve shareholder value Reduce Cost Reduce TCO Reduce Transactional Costs Improve HR Legal Compliance Reduce Payroll Errors Decrease Onboarding Costs Increase Training Effectiveness Improve WF Plan & Forecasting Reduce System Costs Optimize System Consolidation Reduce HR Transaction costs Reduce Employee Servicing costs Reduce cost/employee Cost of PTO Communication Costs Reduce Costs Increase revenue Increase Hire Effectiveness Inorganic growth Staffing Yield

22 HR Analytics Implementation

23 3 Things that matter with HR Analytics

24 Unlock value of our organization s workforce

25 Identify, develop and reward top performers

26 Use HR Analytics for combined business metrics in Sales, Operations, Finance, SCM

27 Cross Functional HR Needs Monitor Absence data for field technicians Geographic population & comparison of technician performance HR As a Business Partner Turnover with performance Sales Manager Performance Salary preview 27 Compare performance of multiple operations centers Budgeted Vs Actual head count Compensation as a % of revenue Overtime HR as a Business Partner

28 28 Unified HR Analytics Solution Sample Use Case Cross-functional-Sales Focused Sales data Quota, Commissions HR Data Employee Hierarchy Performance Sales Performance + Sales Turnover Sales Managers and leadership usecases Payroll + Sales Commissions Spend

29 Challenges

30 30 Multiple Source Systems of Data Manual Processes Cross Functional Data Transfer User s want information on demand Legal Compliance of HCM data Data Governance Data vs Analytics and Trends

31 Implementation Approach

32 Implementation Phases What works best Quick Implementation Cross functional Focus 32 Cost Benefit Fit/Gap Define Use cases Build Or Buy Decision ROI Development Seeded HR Analytics Implementati on Custom /Cross Functional Reporting Proof of concept

33 A persona specific approach HR Manager 33 My information My Metrics Plan - HR costs per new Hire - HR ROI - Separations by Reason - HR cost incurredto hire / total number of new hires - Total Revenue / Total Headcount - Number of separations by defined reasons to take corrective action CATHY Job Role: HR Manager Manage - Retro Payroll Run - Monthly Statutory Reporting - Number of retro payroll runs per month - Statutoryreporting like EEO / VETS100 / AAP Execute - HR Team Productivity - Base Pay / Overtimeand Bonus Payouts - Number of FTE s supported per HR personnel - Trend of compensation quarteron quarter

34 HR Analytics Seeded Functional Areas 34 HR Performance Workforce Profile & Development Faster Implementation Compensation Absence & Leave Accrual Recruitment Learning US Statutory Compliance

35 HR Analytics Key IT Aspects 35 Technical Architecture Requirements/FIT-Gap Analysis Data Quality ETL Design RECIPES FOR SUCCESS Custom Components/Cross Functional User Training

36 Typical HR Analytics Architecture HR Analytics 36 Travel & Expense Time & Attendance Learning Management system Recruitment HRMS Payroll & Benefits Compensation Employee Master Staging Warehouse layer (HR & Custom Dimensions OBIEE Server External Applications Universal Adaptor 36

37 Questions Share your feedback on this session via Twitter #InfosysAtOOW Visit Infosys at booth # 1411, Moscone South

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