7/23/2019 Verizon Implementing HR balance scorecard

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29111311 Haidir Afesina

29111328 Hendra Winata29111329 Mita Listyatri

29111338 Andek Prabowo

29111344 Aprian Eka Rahadi

29111384 Chairunnisa Mirhelina

29111387 Franciscus Xaverius Kresna Paska

29111393 Agung Indri Pramantyo

Implementing

Human Resources

Balance Scorecard

MM5002 People in Organization

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Facts

Verizon Communications Inc. was formedin 2000

with the merger of Bell Atlantic Corp and GTE Corp

Verizon, headquartered in New York,

is a leader in delivering broadband

and othercommunication innovations

to wireline and wireless customers

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HRAnalysis

People

Factor

BusinessStrategy

HRPractices

Recommendation

Challenge

Outline

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Challenge

TURNOVER (Customer & Employee) and CUSTOMER SERVICE quality

were the major problem of telecommunications companies in USA

Communicating GTE new strategyand linking HR actions with business results

HR Balance Scorecard

Developing people Monitored

financial result

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Lesson Learn #1

Verizon HR has effectively

designed and implemented

a strategic management system

with HR Scorecard model

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People Factor

Garrett Walker

Project Director of

PMA (Performance

Measurement

Analysis)

Lead the HR

measurements core

team

At the beginning,having difficulties to

get some data

Charles R Lee

CEO and

Chairman of GTE

..$75 million a yearto train our

employees. Whatdo we get for that?

J R MacdonaldHead of

Human Resources

Need quantitative

model for

measurement

The Balanced

Scorecard by

Kaplan & Norton as

a guidance

HR People has issue

with measurement

culture

Specialized in

Human Resources

issues

Saratoga

measurements arebeing used at GTE

scorecard systems

Estimate the profit

and loss at GTE

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Strategy Alignment

Competitive

Capability

Strategy

Map/linkageMetrics

Defined

Goals

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Business Strategy

LEADERSHIP 2000To become worldwide player in telecommunication

5 Strategic Thrusts

People

Imperatives

New behaviors, actions, and

capabilities to drive the businessresults

Grow talent to increase the value

delivered by the workforce

Talent HR CapabilityOrganizational

integrationLeadership

Customer

service

and support

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Lesson Learn #2

HR Balance Scorecard is

a method offinancial and noon financial measurement

including leading and lagging indicators,

by focuses on the drivers of success

and is linked to the company`s strategy

.

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HR Practices

StrategicPerspective

OperationalPerspective

CustomerPerspective

FinancialPerspective

HRBALANCEDSCORECARD

Measures GTE success

in achieving the fivestrategic thrusts

StaffingTechnology

HR processes and

transactionsService perception

Employee engagement

Competitive capability

Links to productivity

ROI in training

technology, staffing,

risk management

cost of service delivery

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HR Practices

Financial Payoffs

REVIEW Compensation

Managers Resistance

as they scared to lose control

Start

Absence rateSeparation rate

Base pay

25% to 40% Executive

10% HR

The first 6 month

Things didn`t change

Measurement

will be useless

when the businessstrategy change

HR dept. tend

to eliminate certain measures

if performance poor

Exit interview Benefits

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HR Scorecard helps the company

to monitor workforce indicators,

to analyze workforce statistics ,

to diagnose workforce issues,

to calculate the negative financial impact,

toprescribe solutions and track improvements

Lesson Learn #3

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Strategy Maps

Strategic Operations Customer Financial

Salescompetencies

Understand

employeeskill gaps

Establish

ongoing

assessment of

targeted

employees

Provide

target trainingand services

Service

Partnership

Revenue

from

currentcustomer

Increase

shareholder

value

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Lesson Learn #4

To implement to HR balanced scorecard, Verizon HR

successfully change by having the guidelines of

Leading change, Creating shared need

Shaping a vision, Mobilizing commitment,

Building enabling system,

Monitoring and demonstrating progress

And Making it last for sustainable

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Recommendation

Full Support from Top Management asSponsor

Need to adapt to business strategy whichalways changed

Every people should understand the

purpose of scorecard