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7/25/2019 Csr Hr Committee Hr Bp Presentation Jan Uriga
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DSE HRT Bootcamp
HR business Partner
June 2012
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Agenda
HR Business Partnerthe current state2
Lessons learned implementing the HR Business Partner role4
The role of the HR Business Partner1
Organisational design3
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1. What is HRT?
Objectives of HRT projects
About 80% of all HRT projects are
implemented primarily for cost
savings
Filling the gap between HR capabilities and business needs
HR is often out of the loop on
strategic issues.
Companies that rarely or never
consult their senior HR team on key
business issues:
Mergers and acquisitions (63%)
Compliance and regulation (26%)
Talent (25%)
People and HR are often
treated separately:
People issues are
considered strategic
HR issues are
perceived as
administrative
Senior business executives
want HR to be moreeffective
Only 4% describe HR as highlyeffective in addressing the needsof the business
60% describe HR as moderatelyeffective
2 out of 3 HRT projects areimplemented with an eye
towards standardising
processes
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The role of the HRbusiness partner
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HR Business Partners are a key element of the transformed HR
function
Outsourcer
The strategic outsourcing of non-
core competency functions and/or
those that are more efficiently
delivered by the third party allowsthe HR function to improve HR
service delivery, while reallocating
resources to more value-added
activities.
Vendor Manager
Vendor Manager is responsible for
ensuring that the vendor partner
provides contracted activities,
measures performance against the
SLA and coordinates vendor
activity to meet current
operational, future capacity and
project needs. In addition, the
position assists both development
and operational teams in
implementing application and
process related changes and
enhancements. Vendor Managerscan reside within the COEs,
Shared Services or as its own HR
Role.
Shared Services
Shared Services respond toemployee inquiries and processes
HR transactions in order to
significantly reduce HR Business
Partner and COE involvement in
routine administrative tasks and
inquiries (e.g., benefits, payroll,
data maintenance). A Service
Center is a type of Shared
Service. Vendor Managers canreside within Shared Services.
Business Partner
HR Business Partners are
dedicated to providing business
unit specific strategic and
consultative services to executives
and line managers related to the
people-related issues impacting
their business unit. Business
Partners broker technical talent
(e.g., benefits design,
compensation design, organization
development) from the COEs to
deliver HR solutions.
Centers of Expertise (COE)
COEs are comprised of teams oftechnical HR experts (e.g.,
benefits design, compensation
design, organization development)
who are shared by the business
units. COEs provide strategic,
design and consultative services
to HR Business Partners and
assist the HR Service Center in
resolving complex issues. VendorManagers can be within the COEs.
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How many HR Business Partners do we need?
Where do I find quality HR Business Partners?
Is it possible to develop my people into HR Business Partners?
How do I measure the impact of my HR Business Partners?
What does the title HR Business Partner? really mean?
Our clients are consistently asking us for our opinion on HR
Business Partners
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What is an HR Business Partner?
Confusion around the role
Ask ten people what it means to be an HR Business Partner and you will probably get
ten different answers. There are tons of roles, all with the title of HR Business Partner, underpinned by
different job profiles and commanding a range of salaries.
There is clear variation both in terms of role accountability and expectations.
0 Deloitte Touche Tohmatsu. All rights reserved.
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The business partner role complements a strong operational excellence role
Operational and Strategic role
One enables the other
People
Operational focus
Processes
Strategic focus
StrategyPartner
ChangeAgent
AdministrativeExpert
EmployeeChampion
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What is business partnership?
HR Business Partners are dedicated to providing service line specific strategic and
business consultative services to Partners and Directors, aiming at delivering peoplesolutions to business problems.
Business Partners broker technical expertise (e.g., compensation & benefits design,
organization development, learning management) from the HR Centers Of Excellence
to deliver HR solutions
To be successful, HR Business Partners must be actively involved in the development
and execution of business strategy, moving beyond the play of policy police, regulatory
watchdog and provider of administrative HR services.
To be successful, HR Business Partners must not only master the basics of HRM,
they must also have a deep understanding of business strategies, operations,and requirements.
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The impact on the business of the different categories of HR
Business Partner variesthe Strategic Partner has the greatest
impact
Strategic
Partner 33%
Impact
Operations
Manager 11%
Impact
Emergency
Responder 8%
Impact
Employee
Mediator 8%
Impact
Source: Corporate Leadership Council
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So what should the Strategic HR Business Partner do?
Strategic HR Business Partner will:
Operate as an internal business consultant Have significant access to senior executives
and help to shape business strategy
Build strong credibility at senior levels
Understand industry trends and anticipate
the impact on the workforce
Drive manpower plans based on business
strategy 2+ years ahead
Have a strong dependency on other HR
roles within the Service Delivery Model
Be relatively few in number and aligned to
profit and loss accountability within the
organisation design
Examples of Strategic HR Business Partner
Projects: Customer Service transformation (supporting
movement from product-led to service-led
organisation)
Analysis of link between employee
engagement / absence management and
associated costs
Talent Management strategy (Exiting Baby-Boom Generation and supporting Generation
X&Y)
M&A integration
Supporting Outsourcing and Offshoring
strategies
Managing large-scale cost reduction
programmes
Organisation Design
There are currently few successful examples of true Strategic HR Business
Partners within industry. Where this function does operate, it is often carried out
by the Corporate Strategy team rather than HR.
HR Business Partner need to have a deep understanding of the business
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Sample: HRBP Process Related Responsibilities
Below is a sample HRBP Role profile outlining the process-related activities that a HRBP
can be responsible for. Notice that administrative tasks are not within the scope of HRBProle.
Strategic Staffing
Identify and build key talent segments andprovide input to workforce plan/staffing model
Work with managers to execute workforceplan and strategy
Interview candidates as necessary (criticaltalent and senior level positions)
Provide coaching to managers
Resource allocation
New Hire/Termination
Manage business justification
Work with outplacement counselors
Provide coaching to managers
Review and analyze turnover data
Learning
Identify business needs for learning
Provide input on solution development
Employee Data Administration
N/A
Benefits
Market benefits programs to employees
Time & Attendance
N/A
Payroll
N/A
Employee Relations
Receive grievances and disciplinary issues(critical talent and senior level positions)
Employee Retention
Conduct business unit feedback sessions
Develop process to cascade findings to theorganization
Coach managers on communicatingfeedback
Retention plan based on analysis
Develop game plan to address issues
Process-Related Activities
Performance Management
Facilitate sessions with leadership to developand communicate business goals andobjectives
Drive continuous performance improvement
Coach managers on developing appraisalsand delivering feedback
Resolve performance rating disagreements
Provide coaching and guidance to managerson promotions, demotions, and transfers
Leadership Development
Succession Planning
Future state/forecasting talent needs
Rewards
Meet with leadership to discuss salaryguidelines
Finalize salary plan/budget
Provide consultative guidance and coachingto managers on pay for performancephilosophy and implementation
Work with managers to resolvedisagreements
Analysis/differentiation
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HR Business Partner
thecurrent state
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A Mercer study revealed that 65% of human resource departments perceive themselves as a
strategic partner to their business. However, in reality only 15% of activities carried out by
human resource departments across Europe, the Middle East and Africa are related to pure
strategic interventions, according to 500 human resource directors surveyed by Mercer. All
the directors surveyed believed that HR is a strategic partner because it is an active
participant when discussing important business-wide issues.
(Benefits & Compensation International, March 1, 2011)
HR still to become astrategic businesspartner: EMEA
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So why cant HR Business Partners be more strategic?
The top reasons why HR BPs are not more strategic can be categorized according
to Infrastructure, Capabilities and BP Service Delivery
CapabilitiesInfrastructure
Poor data availability to make data driven decisions
Poor technology infrastructure and compromised
administrative efficiency
Limitations of the CoE Limitations of the SSC
Challenges of operating internationally
Not enough HR people with the credibility, corecompetencies (i.e. business acumen) and
consulting skills to perform the role
Line Manager capability or reluctance to performthe people management role
Limited talent pool for the new BP
BP Service Delivery
HR operating as a Customer Relationship Manager and a broker of specialist HR services
Mismatch of HR BP to the business leading to poor line-HR partnerships
There is a lack of understanding of the importance of measuring the value of HR interventions / Human Capital anda lack of capability in applying metrics to HR solutions
Capabilities
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Typical HR Business Partner Challenges
Top Reasons HR Business Partners Have Not Fully Delivered on the Strategic Promise of HR
The role is insufficiently defined leaving business partners without comprehensive role clarityrequires a clear definition
of HR business partner roles in conjunction with other parts of HR
The role does not sufficiently account for true customer requirements (managers may be more likely to want more
operational than strategic support)HR needs to educate the business on HR value
There are not enough HR professionals with the skills and credibility to perform the role the skill set must be bought or
built
Line managers are reluctant to perform people management responsibilities and continue to push back their responsibilities
to BPsmanager scorecards must clearly articulate/measure people management responsibilities
Poor technology infrastructure and compromised administrative efficiency continues to require BPs to perform administrative
activitiesremaining admin roles must be removed from BP scope to another party
The absence of a clear business strategy with which HR can workin the absence of corporate strategy, business
partners must understand the value drivers of the business unit
The troubled history of relations between HR and the line (e.g. HR still seen by some as the regulatorsof employment rules)
requires real culture change which HR must lead
Line managers do not believe HR has the capability to work with or understand business strategymust deliver and
manage HR value proposition and brand
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Organisational design
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HR Business Partner Benchmarking
Organisation No of FTES No of HR BPs FTE ratio
Thomson Reuters 50,000 251 1:199
RBS 85,000 333 1:255
Rolls Royce 21,000 65 1:323
ABN Amro 93,000 279 1:333
Prudential
6,500
17
1:391
Orange 11,000 21 1:523
Merrill Lynch 45,000 63 1:714
Lloyds TSB 80,000 92 1:866
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Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK
private company limited by guarantee, and its network of member firms, each
of which is a legally separate and independent entity. Please see
www.deloitte.com/sk/about for a detailed description of the legal structure of
Deloitte Touche Tohmatsu Limited and its member firms.
2012 Deloitte Slovakia