Best Practice HR

1. Best Practice HR Suzanne Diprose Performance Advantage 0408 897 079 My perspective after 15 years experience as HR consultant in various industries and as Community House Chairperson...

2. HR role - timeline • Changing over time... Personnel/admin/finance background to management of people to meet organisations needs so that the organisation can achieve goals • Now- HR lead in developing systems and processes to address strategic needs of the organisation Alignment STRATEGIC DIRECTIONS and CULTURE & EMPLOYEES = CONGRUENCE

3. Organisational needs • Dynamic environments – changing • But all organisations need to have: • Adaptability • Resilient • Nimble • Customer centered • Talented and engaged staff • Line managers with people management skills No matter if commercial/community based/service

4. HR management: • Strategic partner • Advocate – both ways • Change mentor ...Wide involvement in all aspects of the organisation >>Organisational development

5. HR responsibilities • Recruiting • Hiring • Training • Organization Development • Communication • Performance Management • Coaching • Policy Recommendation • Salary and Benefits • Team Building • Employee Relations • Leadership

6. HR and Planning & Achieving Only 10% of orgs execute their strategy successfully • Barriers are numerous: • Vision – few in workforce understand the strategy (<5%) • People barrier – managers and employees’ incentives not linked to strategy (<25%) • Management barrier – limited time spent on strategy discussion – focus on activity (=/ performance) . (85% executives spend less than 1 hr per month) • Lack of resources – insufficient linking of budgets to strategy, measures to performance, & people to strategy

7. Balanced Scorecard – easy system Literally, a "dashboard" of 4 performance measures Quantifiable measures used to evaluate and communicate performance against expected results Provides all employees with direction in how they can help contribute to the organisation's overall goals

8. Perspective THE FOUR PERSPECTIVES The grouping of performance measures in general categories (perspectives) is seen to aid in the gathering and selection of the appropriate performance measures for the business. • Financial • Customer • Business process • Learning and growth

9. Measures ….. Financial measure • Traditional financial measures.. Past events • These financial measures are inadequate, for guiding and evaluating the journey that organisations must make to create future value through investment in customers, suppliers, employees, processes, technology, and innovation." • Always frustrating to HR – future

10. Increasing productivity • Lots of mgt guru info regarding productivity – do’s and don’ts • Socio-technical design is the most important factor....job, organisation etc. • It is not about not having measures…its about measures than mean something to all

11. Learning and Growth perspective • These measures focus on intangible assets and organisational capabilities required to create value creating internal processes in the business. • It measures human capital (people, jobs, skills), information capital and organisational capital (organisational climate) – all required for the achievement of the above three perspectives.

12. Learning and Growth perspective • It has a long term focus. – building etc. •  Common measures: • Is there the correct level of expertise for the job? • Employee turnover • Job satisfaction • Training/Learning opportunities

13. Learning and Growth • Leads the other perspectives…(v’s caboose!) • Low learning and growth leads to poor skills in operations > poor customer satisfaction & reflection in financial measures • Review: • HR practices • Training and learning opportunities • Succession • Career development pathways

14. BSC: Motivation & Performance • Translation of mission into desired outcome through: • Mission – why we exist • Core values – what we believe in • Vision – what we want to be • Strategy – game plan • BSC – implementation and focus • Strategic initiatives – what we need to do • Personal objectives Strategic objectives: Satisfied citizens Delighted customers Effectives processes Motivated prepared workforce

15. Measures in total • Which measures – tailored to your own circumstances • So how many measures? • Learning & Growth 5??

16. Motivational Theory & Management Approach Motivation; difference in performance – critical for elective contributions

17. Management context • Moving dynamics – i.e. employee stability • Technology changes • Financial conditions • Political environment • Environment issues • Up-skilling • Social networking – changes • Increasing accountability – i.e. OH&S • Multi-disciplinary roles and expectations • Huge list of management functions daily

18. Tasks – management – 46 plus… • Determine manpower requirements for your department • Write a job description • Screen applications and resumes • Interview job applicants in compliance with the law • Select the most qualified candidate for a position • Orient a new employee to benefits, pay, policies, the company • Provide a new, entry-level employee with on-the-job training • Communicate your work performance expectations to new employees • Develop a plan for your department • Develop goals and objectives for your department • Determine material and supply requirements for your department • Develop a budget for your department •  Develop individual goals with employees • Monitor your department’s goals and objectives – report status to your boss/peers •  Monitor your department’s budget – report status to your boss/peers •  Monitor the individual goals of your employees – report status to your boss • Take corrective action when your department is behind in meeting a goal or running over budget or your employees is behind in meeting individual goals • Provide an employee with constructive criticism of her/his work

19. Tasks – management (no tech tasks) • Deal with an employee who is upset with you • Respond to an employee who comes to you with personal problems (family; health; financial) • Respond to a situation in which the quality of an employee’s work goes into a rapid decline • Deal with an employee who is suspected of substance abuse • Deal with an employee who is chronically late • Deal with an employee who spends too much time on non-work activities (gossiping, talking on phone to relatives) • Deal with an employee who continually “stirs the pot” in your department • Praise/express appreciation/reward an employee for good work • Conduct a formal employee performance appraisal • Order materials and supplies for your department • Assess your own work performance • Manage your time – handle multiple priorities • Handle job stress • Terminate an employee • Conduct a departmental meeting • Deal with feuding employees • Motivate your employees • Develop your employees • Manage by walking around and listening • Tell your boss bad news • Accept and use constructive criticism from your boss • Communicate with your peers • Communicate with organization’s customers • Accept and use constructive criticism from your peers • Make a presentation to the entire organization • Write a report to be distributed to the entire organization

20. What motivates people in the workplace? Motivation: The willingness to exert high levels of effort towards organisational goals, conditioned by the effort's ability to satisfy some individual need (Robbins) Activity: Describe the characteristics of the ideal job for you? • What patterns about work design emerge?

21. Business without bosses (Manz & Sims): HPWT: • Increase productivity • Improve quality • Enhance employee quality of work life • Reduce turnover and absenteeism • Reduce conflict • Increase innovation • Become more flexible • Realise cost savings from 30% to 70%

22. Managers • Do all those tasks and more…. However: • Style and approach impacts upon those around you… • Needs a skilled approach • Performance management – yourself, others, equipment, production numbers, quality etc.

23. IORFS/ IORCC Human Resources

24. People and performance (oh boy!) • Need to identify and retain the best staff • Recruitment costs – 25% salary per annum • Models for assessing staff in line with organisational requirements… • GE model • People and potential • Jim Collins

25. Benefits of the models.... • Simple but blunt instrument - broad sweeping, not sophisticated/detailed • Quick view or perspective of a group profile • Can assist in decision making re: investment (time/$) • Illustrates different treatments is appropriate for different categories of people within the group • Comparisons between ideal and actual mix • Help managers to see people are different

26. GE model - staff management 10 Train in technical skills Retain and Develop Compliance to company values Educate regarding values and one more chance Terminate 10 0 Achievement of performance targets

27. GE – Neutron Jack • Goal – first or second in market > approach to people • Three levels of employees: scaled – A, B, C • Model criticisms: • Past focussed and very fast/elementary • Hard line – no room for movement/harsh • Low application to some sectors: i.e. community work • People not valued – inconsistency with modern imperatives/values

28. People Performance/Potential Model Superstars backbone stars High >>>>> >>>>> Performance icebergs Problem children Low Exit/outplacement? High Low Potential >>

29. Actions to consider/improve people • Backbone (high performance/low potential) Give recognition for good work, use to coach others, review if they really do have low potential • Icebergs (low performance/low potential) Could contain potential backbones & stars. Counsel, establish trust, agree aims, & take action to help, including outplacement/exit if best • Stars (high performance/high potential) Agree to challenging work to stretch them, coach and mentor, agree to projects and career development • Problem children (low performance/high potential) Counsel (boredom, low challenge?) inspire, motivate, encourage to improve performance and reach potential

30. Love this...use it often

31. Poor performers – Jim Collins • Poor performers are the most de-motivating factor to good performers! • Rigorous actions – review and implement • Confront the brutal truth • Bus – who is on board??? Rigorous – guts to look at reality and use a valid assessment tool Self Assessment: Performance Mgt Review (360)/ HR audit

32. HR Audit – effectiveness?? The HR Audit details the following practices of Human Resources: • Management • Hiring • New employee • Wages and hours • Benefits • Performance management • Training and development • Employee relations • Discrimination and employee rights • Safety and Workers Compensation • Employee separation • Recordkeeping and other documentation • Contractors

33. Change / performance actually begins with the managers Managers = coach team members in their new roles New additional supports needed

34. Traditional V’s HPWT Org’s Structural differences & approaches: • Support for innovation and risk taking • Emphasis on learning • Job design • Role of management • Organisational structure • Customer relations • Flexibility • Teamwork • Dedication • Rewards • Access to information • Socio-technical balance

35. Nutshell key activities: • Work reorganisation • Upgrading worker skills • Involving front line workers in decision making >>>improved productivity, efficiency & ability to get products to market quickly...achieve customer satisfaction

36. Everything You Know About Productivity is Wrong Happiness is the ultimate productivity enhancer. … The single most efficient way to increase your productivity is to be happy at work. No system, tool or methodology in the world can beat the productivity boost you get from really, really enjoying your work. Alexander Kjerulf (author/consultant)