onulting rating valu through HR HR Stratgy
HR Stratgy On of th ky ucc factor of high prforming organiation i putting thir popl firt. oday HR xcutiv ar challngd to dvlop fficint and ffctiv, impl yt powrful olution to th popl id of buin. Howvr it rmain difficult to dtrmin th xact contribution of th HR function to achiv th objctiv. Bad on th HR Stratgy Framwork, Dloitt i uniquly poitiond to ait your organiation to trngthn it tratgic rol and contribution of your HR function to nur th xcution of buin tratgy. Our 10-tp approach hlp organiation to dfin and xcut an ffctiv HR tratgy a wll a dvlop and dlivr and capabiliti that today' organiation nd to urviv and grow. Dloitt HR Stratgy Framwork Dfin valu Dfin valu 1. Undrtand th buin tratgy 2. Dfin HR tratgy 3. Sgmnt HR cutomr 4. Prioriti HR invtmnt 5. Dign HR 6. Enur right HR rvic dlivry modl 7. Etablih right HR capabiliti 8. Improv HR oprational xcllnc continuouly 9. Build HR brand 10. Maur impact of HR hart 3 (Lin) 3000 2 2500 2000
Dfin valu Dfin valu h firt tp toward an ffctiv HR tratgy i to dfin valu and to undrtand how buin valu i cratd. hi rquir a dp inight into th ovrall buin nvironmnt a wll a a clar undrtanding of th organiation ovrall buin tratgy. Stp 1: Undrtand th buin tratgy Undrtand markt forc, trnd and th buin tratgy and idntify thir impact on th HR tratgy and prioriti rquird to xcut th buin tratgy. Stp 2: Dfin HR tratgy Provid a roadmap for crating a uniqu comptitiv advantag by outlining how th organiation will lvrag th organiation to addr buin challng and achiv buin objctiv. ranlat your organiation tratgy into an ffctiv and actionabl HR tratgy, prioriti and buin plan ranlat your HR tratgy into ky popl initiativ and program Idntify th bt way to attract, motivat, and rtain nw and xiting workforc gmnt An ffctiv HR tratgy provid a roadmap to crat valu through th organiation workforc. It alo includ guidlin for th organiation to follow whn compting for nw talnt or rtaining xiting talnt. h guidlin can covr a broad rang of iu, uch a which kill and comptnci ar mot critical for achiving futur goal and objctiv, how to ourc talnt (grow or buy), and how to crat and maintain a high-prformanc cultur. Dloitt hlp organiation to focu on popl and HR, to idntify th mot practical way to gt thing don and to nur that your Human apital initiativ dlivr thir intndd buin valu. h Dloitt ntrpri valu map for Human apital mak thi proc air by acclrating th idntification of potntial improvmnt initiativ and dpicting how thy can contribut to gratr harholdr valu. Dloitt ntrpri valu map Sharholdr valu Rvnu growth Volum Pric raliation Oprating margin Splling gnral & adminitration ot of good old At fficincy Incom tax Proprty, plant & quipmnt Invntory Expctation Rcivabl & payabl ompany trngth Extrnal factor HR Stratgy onulting 3
Dfin valu Stp 3: Sgmnt HR cutomr Idntify th critical workforc gmnt and tailor pcific program and. Dfin and dtrmin which workforc gmnt ar mot critical to achiv th dird rult A th nd of ach workforc gmnt and draw up program and tailord to thir nd Stp 4: Prioriti HR invtmnt Idntify all HR projct and undrtand thir xpctd cot, bnfit, and primary focu to proprly allocat carc rourc. Idntify and dvlop prioritiation critria that ar alignd with th organiation tratgy and prioriti Analy th cot, bnfit and rik of dlivring ach offring acro th workforc lif cycl Allocat funding for part of th popl portfolio h HR function hould focu on valu-adding activiti to upport th xcution of th buin tratgy and objctiv. HR ladr ar akd mor frquntly to maur and improv th fficincy and th ffctivn of thir HR function. Howvr, undrtanding and managing ourc of cot and valu cration can b a challnging tak. Svral factor nd to b takn into conidration, including th ky dlivrabl that ar to b ud in a lctd organiation and th invtmnt in HR practic and program that driv th outcom. Furthrmor th critria for prioritiing HR invtmnt nd to b dfind to nur th gratt rturn on invtmnt for th organiation. Finally, HR and activiti that hould b rinforcd or cratd nd to b idntifid a wll a tho that hould b cald back or liminatd compltly. 4 Human apital ot Managmnt i a Dloitt rvic offring which aim to idntify, maur and manag th ourc of cot and valu cration. hi mthod ntail a prci valuation of th allocation of rourc (.g. mony, FE, tim) within th HR function, allowing th clint to maur and track th actual and xpctd cot and bnfit of xiting HR activiti and projct. onquntly, th HR activiti and projct can b prioritid in accordanc with th cot-bnfit analyi. HR Prioritiation Matrix - Illutration High R-xamin Invtmnt Idal Poition Prformanc Onc a tratgic dirction ha bn dfind, th organiation mut rviw it HR polici, program and practic to nur thy ar alignd with th dfind HR tratgy. Low Stay th our Low Incra Prformanc Mdium Stratgic Valu HR apability urrnt tat alnt tratgi Larning & dvlopmnt hang managmnt and tranformation Organiational tratgi HR tratgy and High argt Stp 5: Dign HR Dign and implmnt HR olution that ar critical to nur th xcution of th HR tratgy for vry pha of th workforc lif cycl. Prform an HR proc analyi and idntify all HR proc that hould b tramlind or rnginrd Analy th currnt popl portfolio, (r) dign and implmnt HR and olution
Dfin valu pr nd V m or roc p Bu In t Rt ir anagr & complianc dur urcr tiv cu Ex Applicant to Ou, nc oy Po lici, oc Buin & HR tratgi m l agr nt & mt -lv ric ic v r M a g & analytic ortin Rp oy Emp d Shar rv i Go v rn a h Dloitt HR rvic dlivry framwork includ th ky lmnt that hould b conidrd to (r)dign an ffctiv and fficint HR rvic dlivry modl. h tarting point of th framwork conit of th buin and HR tratgi and th idntification of th uniqu nd and rquirmnt aociatd with ach cutomr gmnt, uch a mploy, managr, xcutiv or nw hir. Nxt, th framwork mphai HR variou rol by focuing on how rvic i dlivrd through rtaind and outourcd HR rol. Finally, th rquird tchnology and buin nablr ar idntifid and conidrd a ky variabl in th (r)dign of th HR rvic dlivry modl. nt r r o a rt n f p xp m o ut r i n rti Mor than vr it i critical for vry organiation to qution - and if ncary - rvi th way th HR function i organid. hi impli th amnt of th organiation currnt and futur ability to upport th buin and to xcut th dfind corporat tratgy. o do o, organiation can rly on a wid rang of choic to dlivr thir HR and olution. at gr HR po gi rtal nolo & ch lf rol R t H d Non-m pl Analy th currnt HR rvic dlivry modl and a it ability to ffctivly mt th organiation nd and objctiv Dfin pcific rol, govrnanc mchanim, and dlivry option Idntify ky dlivry nablr uch a ytm, proc and infratructur Enablr r g na Stp 6: Enur right HR rvic dlivry modl hink through popl-rlatd buin challng to dign th right HR rvic dlivry modl. HR rvic dlivry framwork c onvrting HR tratgi and initiativ into tangibl buin valu rquir th appropriat dlivry approach, a olid foundation of HR capabiliti and infratructur and th dfinition of buin-drivn prformanc maur to track whthr th xpctd rult ar bing dlivrd. Bad on th HR Stratgy Framwork, Dloitt i uniquly poitiond to ait your organiation to trngthn it tratgic rol and contribution of your HR function to nur th xcution of buin tratgy. HR Stratgy onulting 5
Dfin valu Stp 7: Etablih right HR capabiliti Idntify and build th advancd kill, comptnci and capabiliti rquird for HR to fulfill it tratgic rol. Idntify th kill and comptnci rquird to dlivr th HR Stratgy onduct a kill analyi, dvlop training and rcruiting plan to fill any critical gap h HR function play a cntral rol in dlivring popl olution to th organiation. hrfor th capabiliti of th HR function and it taff ar critical to achiv th objctiv. Givn currnt trnd of cntraliing or outourcing adminitrativ or non valu-adding activiti, HR ladr ar bing ncouragd to focu on th tratgic apct and addd valu of HR. o do o, HR ladr mut b abl to idntify and prioriti th ky tratgic HR objctiv that will hlp thir organiation to xcut th buin tratgy. Stp 8: Improv HR oprational xcllnc continuouly Dign upporting tool, proc, and infratructur to hlp th HR taff uccd. A th fficincy of HR-rlatd and activiti through qualitativ and quantitativ analy (HR ot and Activity Analy) A th cot tructur of th HR function and control ignificant long-trm and hort-trm HR-rlatd cot Stp 9: Build HR brand Undrtand and communicat th valu of HR to buin ladr and ky takholdr. Dign, dvlop and implmnt an intgratd communication proc in ordr to markt th HR function within th organiation Obtain fdback on how HR i and hould b prforming HR Scorcard - Illutration HR Ky Prformanc Indicator Dahboard ritria Maur Dcription Rult argt Varianc to targt Hadcount Numbr of FE hang in workforc numbr and hour utilid by mploy catgory 440,0 450,0 10,0 % nw hir achiving 6 month rvic Staff rtntion prformanc throughout th organiation 75,0% 80,0% 5,0% Avrag tim to fill a vacancy (day) Rcruitmnt prformanc throughout th organiation 20,0 25,0 5,0 Avrag training hour pr mploy im commitmnt to taff training and dvlopmnt 30,0 40,0 10,0 % training cour partici- Participant atifaction with training cour pant atifaction providd 82,0% 80,0% 2,0% % of intrnal appointmnt abov lvl Succion planning ffctivn 10,0% 10,0% 0,0% % of appraial compltd on tim Prformanc managmnt ffctivn throughout th organiation. 90,0% 100,0% 10,0% 100,0% 100,0% 0,0% Rcruitmnt raining and dvlopmnt Succion planning Prformanc managmnt 6 % of individual training plan compltd
Stp 10: Maur impact of HR Idntify ky prformanc maur to track th rturn on invtmnt of HR. h 10 tp of Dloitt HR Stratgy Framwork ar combind in an HR Roadmap which outlin th dfind HR prioriti and action. rtainly many challng li ahad for HR xcutiv wanting to tranform thir HR function and optimi th addd valu of HR. In ordr to achiv thi nd, an HR Roadmap can b dvlopd which provid a practical guid for th tranformation of th HR function. Link th corporat tratgy, tratgic HR prioriti and ky prformanc maur for HR and for th workforc Idntify th right ky prformanc maur and nur th right balanc btwn valu- and cotrlatd maur Dign and implmnt an HR Scorcard to track HR impact, valu and cot An HR Scorcard i a tool for mauring th contribution of HR to th ovrall prformanc of an organiation. It includ ky prformanc indicator on HR invtmnt, cot, practic and comptnci. A HR rpond to th challng of making a gratr tratgic contribution to th organiation, HR function ar uing corcard in ordr to manag HR a a tratgic at. In th nd an HR function that tay focud to thi roadmap by aligning it and capabiliti with th organiation buin tratgy will bgin to ditinguih itlf a a tratgic partnr; th only viabl altrnativ in today comptitiv nvironmnt. HR Roadmap - Illutration Q3 Q4 Q1 HR tranformation program managmnt HR viion & tratgy HR organiation & HR govrnanc Q3 Q4 Q1 Q2 Q3 Program managmnt Dign ommunicat Dfin HR dpartmnt HR popl HR popl viion viion viion Dfin HR tranition plan & HR govrnanc Proc dign HR cor proc Q2 Evaluat and rviw HR viion/tratgy Evaluat and rviw HR viion/tratgy Excut tranition plan Oprationali HR organiation Implmnt HR govrnanc Evaluat & rviw HR govrnanc Proc implmntation (incl. mploy ngagmnt urvy,...) Knowldg tranfr and coaching Packag harmoniation implmntation Employ packag managmnt hang and cultur program HR upport proc & tchnology Dign, implmntation & tting Rporting & HR corcard Dfin HR mtric and KPI / HR corcard HR budgt (HRB) Budgt approval Idntification/amnt of HR tool & dvlop HR I long trm tratgy HR maurmnt framwork Evaluat & rviw HR mtric/corcard Budgt follow-up Budgt follow-up HR Stratgy onulting 7
ontact For mor information, pla contact Jofin Hldborn Managr 0768-47 22 57 jofin.hldborn@dloitt. Dloitt i on of Swdn lading profional firm, mploying 1 100 popl in 30 offic throughout Swdn. W dlivr worldcla auranc and adviory, tax, and conulting. Our clint rang from global indutry ladr to th many mall and mdium izd compani that charactriz th Swdih buin community. Intrnationally, w ar a mmbr firm of Dloitt ouch ohmatu with 165,000 mploy in ovr 140 countri. For mor information, pla viit www.dloitt.. Dloitt rfr to Dloitt AB and it rlatd ntiti. Dloitt i th Swdih national practic of Dloitt ouch ohmatu. Dloitt ouch ohmatu i a Swi Vrin, and ach of it national practic i a parat and indpndnt lgal ntity. A mmbr firm of Dloitt ouch ohmatu. 2009 Dloitt AB.