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Improving Human Resource Management Capability in an Institution through Implementation of a Computerized HRMS.- Lessons from the Conference Adel Abouhana CASE - X

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Improving Human Resource Management Capability in an

Institution through Implementation of a Computerized

HRMS.- Lessons from the Conference

Adel Abouhana

CASE - X

Background

Efficient and effective Human Resource Management in Higher institution is critical to ensuring sustained Quality and Competitiveness of any institution.

Effective Implementation of an appropriate Computerized Human Resource Management System is critical to enhancing the organization's Human Resource management capability and service delivery

Background

Effective implementation of such a major “Enterprise Administrative

System” is a very complex undertaking environment has some added

complexities.

The tradition has been for the focus to be on technical

implementation issues.

Background

The functional user, usually administrative or Management personnel,

now plays a key role in implementing contemporary systems.

There are many lessons to be learnt from the perspective of

functional Human Resources Personnel in the implementation process

The Human Resource Management System

The Acquisition and Implementation of a Computerized HRMS

was not like buying Microsoft Office at the Computer Store

and installing it.-

It started with a vision.

Vision of Human Resource Function -1

HR focus shift from Administrative to Strategic, Facilitative,

Consultative and Developmental

Improved HR Operational efficiency and effectiveness in HR, in

support of Al Waseeta Mission and Objectives.

Vision of Human Resource Function - 2

HR as a central source of timely and accurate data to support

processes, such as

Workforce Planning and Analysis,

Position Management,

Recruitment,

Staff Training and Development,

Compensation Management,

Skills/Competencies

Career Management,

Industrial Relations,

Vision of Human Resource Function - 3

HR Processes which

put information at the line management level

make data accessible to individual customers for the specified purpose of inquiry or change

are automated

allow for re-engineering areas of functionality

Our HR Direction. -1

A highly efficient HR Service Al waseeta and subsidiaries by

developing a and implementing improved and efficient processes

and procedures based on functions and customer needs and not on

hierarchy

facilitating informed and timely decision-making

Our HR Direction. -2

Auditing processes and practices for continuous

improvement

Developing plans and programs HR development

using sound data analysis techniques

Our HR Direction. -3

Regarding process improvement as ongoing, taking account of

changing needs and new technology, as it emerges

Using appropriate technology - electronic mail, intranet, internet,

document management - in order to improve communication and data

access across the orgnization.

Our Focus - Process Improvement

Structured approach

Positive impact on quality of services

Meet or exceed customer’s expectations

Add value -- Staff, Al Waseeta , Subsidiaries, Public

Our Challenges - External

Financial constraints

Rapidly changing technology

Increasing competition

Customers (subsidiaries and QP) being more demanding and requiring higher

levels of accountability and performance.

Challenges- Internal

Customer dissatisfaction with unavailable, incorrect and inconsistent

information

Redundancy of activities-lengthy processes

Structure and decision-making on organizational hierarchy rather than

on process and function

Decision-making authority either too centralized or

too bureaucratic

Challenges- Internal

“Common & consistent practices” are not part

of the culture

Highly autonomous organizational units

Old systems should accommodate all differences

No incentives for consolidation of systems &

practices

STANDARDS

Challenges- Internal

Strong Culture of Tradition and Custom and

practice.

Hierarchy of Approvals

Redundancy of information

Organizational units reluctant to change

Challenges Identified -1

No Executive Commitment to Radical Change

Inadequacy of Resources

The process to change Ordinances, Regulations and Collective

Agreements

Laws, Custom and Practice.

Challenges -2

Multiple locations and cultures

Multiple health plans

Multiple vacation plans

Wide variety of job groups & pay practices

To be checked

Challenges -3

High comfort level

Success

History

Value

Concern

Scorn

Inertia Laziness

Lack of

objectivity

Genuine concern

Political reasons

Resistance to Change

How Did We Get There?

Piece-meal and Hierarchical /Departmental approach to

development of processes and procedures. This resulted in:

Separate Personnel Administration Systems evolving

based on QP policy and internal situations

Utilizing individual talent to administer current

situation

Various sub-systems were developed to support

specific functions, based on group/ organizational

differentiation within the Organization

How Did We Get There

Original assumptions that are no longer valid

Options Considered

Radical Re-engineering of work processes based on

functionality and current available technology

phased process change

Opportunities for Change

Company Governance and Strategic Plans and Operating plans have

all identified current process weaknesses and the need for change.

Availability of successful HRMS technology which is process-

oriented

Re-Engineering - Definition

“...the fundamental rethinking and radical redesign of business

processes to achieve dramatic improvements in critical,

contemporary measures of performance, such as cost,

quality, service, and speed.”

Hammer & Champy

PeopleSoft at X INC

HRMS at X

Not Sure if:

Before system was purchased a review and analysis was done

to determine the Human Resource information and process

requirements.

HRMS was acquired by Al waseeta at inseption ? and

implementation has been on-going in phases since.

PeopleSoft HRMS at X

A RFP was prepared and responses from vendors were judged by a

multi-disciplinary team on the following

The general fit of the system -un-customised to fill the defined needs

Security of Data

User-friendliness-query and report writing

Cost and Maintenance

Customer Support and Training

HRMS at X

Highlights of the System

Not Comprehensive functionality

Not Process-oriented

Not User driven

Client-Server moving towards n-tier architecture

Security at several levels

Windows at client end

Easy interface with Microsoft Office

User-friendly Query and Reporting Capability - ?”?

HRMS at X

Implementation Team both Technical and Functional.

Users play a major role in implementation process

Increasing capabilities of new Versions - Resource issues

Functionality

Position

Management

Succession

PlanningBase Benefits

Administration

Salary

Administration

Health and

Safety

Training

Administration

Career Planning

Reporting

Query

Payroll

Position/

Fund Acctg

Industrial

Relations

HR Audit

Administer

Personnel

Competency

ManagementRecruitment

Process Objectives

Release of personnel from routine-non value added tasks to

Developmental areas such as planning, training and staff

development, on-going process review

Better monitoring of performance through review of reports

Framework in place for the future

Process Objectives

Decision-making-:

De-centralised : At the Department level

Limit required approvals

Electronic signatures and Authority

Quicker decision-making

Timely, consistent, accurate and “just-enough” information.

Improved efficiency:- Elimination of manual processes

Removal of redundant processes and process steps,

Process Difficulties

Multiple forms with redundant data

Dual data entry, inconsistent information

Poor communications

Much activity and no value-added

Expensive

Error Prone

HRMS at X

Before system was purchased … ? a comprehensive review

and analysis was done to determine the Human Resource

information and process needs.

HRMS at X

A RFP was prepared and responses from vendors were judged by a

multi-disciplinary team on the following

The general fit of the system uncustomised to fill the defined needs

User-friendliness-query and report writing

Security of Data

Cost and Maintenance

Customer Support and Training

Needed HRMS at X

Main Highlights of the System

Comprehensive covering most strategic and

operational requirements current and future

User Friendly

Windows at client end

Easy interface with Microsoft office

Simple Query and Reporting Capability

Security

Needed HRMS at X

Implementation Team both Technical and Functional.

Users play a major role in implementation process

Increasing capabilities of new Versions - Resource issues

Process Review and

Implementation Strategies -1

Increase emphasis on process -- clearly identify X - reengineer, standardize

where possible.

Design processes that can perform well across organizational boundaries.

Replace obsolete systems .

Re-engineer systems that will not be replaced.

Process Review and Implementation

Strategies -2

Single point of entry for employee data.

Ad hoc query, report and analysis capabilities.

Employee data immediately available to supervisors.

Promote uniformity.

Reduce paperwork.

Process improvement as ongoing, taking account of

changing needs and advantages of new technology, as it

emerges.

Process Review and

Implementation Strategies -3

Minimum Customization

Common standards within each campus and across campuses for data,

reports, policies and processes.

User focus

Team approach (Functional/Technical)

Provide information for Data based decision making at all levels.

Process Review and

Implementation Strategies -4

Responsibility for an action should reside closest to the place

most affected.

emphasis on effective post-action audits

build controls into the System where possible.

Integrate the use of E-mail into processes, both for messages

and to convey documents.

Process Review and

Implementation Strategies -6

Focus on common standards within each campus and across

campuses for data, reports, policies and processes.

Shorten the cycle time for processing transactions by at least 60%.

Achieve this by reducing: the number of steps, manual effort, the

number of handoffs, the number of authorizations and by

eliminating wasteful and non-value-adding activities.

Issues - reasons for implementation delays

Lack of senior management commitment

Lack of adequate implementation budget

Lack of dedicated full-time project team

project management

technical team

functional user involvement

Lack of adequate technical infrastructure

Executive Sponsor

University Registrar’s relentless efforts, direct involvement

Implementation Budget

Dedicated project management

Presented realistic implementation budget

Establishment of University team (across the campuses)

Functional Analysts

Systems Analysts

Project Coordinators

Database Administrators

Adequate technical environment

Proper database servers on each campus

Replace/acquire client machines

Address network infrastructure issues

Mona implementation

focus for initial implementation

addressed technical, human resources issues

standardize processes across HR departments - business process review

public relations drive

newsletters

presentations (deans, department heads, unions)

Cave Hill

lack of HR functional user involvement/ ownership

leveraged from lessons learnt at Mona

results of BPR exercise

user procedures

St Augustine

total lack of interest until payroll and Y2K became an issue

Lessons - Opportunities

Project management and Planning

Training and Development

Business Process Review and Re-engineering

Involved functional users at ALL stages - one reason for

success

Obtained functional user buy-in early

Ensured that dedicated functional users were part of

core team

identify and obtain best talent

full-time dedicated users to the project is very important

but almost never attainable.

Payroll

Decision to use HRS- workshop at Alwaseeta involving Payroll & Benefits representatives from all departments .

prior to PS, each campus operated independently

Pro - Integrated HR/Payroll system

Con - Required customization - Taxes, payment methods

On-site Functional Training

Introduction to HR

Introduction to Benefits

Payroll I and II

Urgent customizations

National Id Number

Net pay distribution methods

Calculation of taxes

Tax reporting

General Ledger Interface

Annual Step Increase

Implementation

Vanilla testing

Standardize across campuses

Salary plan, earning codes – Initial “M” for Mona , “C” for Cave Hill and “S” for St. Augustine

Attempt to standardize pay cheques & payslips

What to standardize and what not to?

Decision not to standardize Paygroups, Earnings Programs & Benefit Programs.

Testing of customizations

End user training

Parallel run

Lessons Learnt Underestimated and Undercommited Resources

Human

Physical

Financial

Unrealistic Expectations

Unclear decision making framework

Suspicion and skepticism

University approach

Communication

Don’t Compromise

If we had to do it over again?

First phase should include core HR and Payroll

What is Required?

Pro-active and process driven approach to

Implementation

Well defined strategy and plan for change

and change management

Synergistic team with accountability

ownership, and LEADERSHIP!

What else is Required

Networking, benchmarking and external advice

Careful attention to security control

Early focus on Data conversion

Phased approach

Address integration issues early e.g with Finance and Student

Administration Systems

Plan for retaining highly trained project staff

What else is Required?

Ongoing Communication to all players

Management and User Commitment and support

at all levels

Dedicated resources to the Process -Human,

Financial, Physical and Organizational

Follow Through

The Reality

It is an uphill effort

It is an art form to balance:

National and organization cultures

Logistics due organization size and geographic

spread

Customer Expectation

The Reality

It requires a thorough business process review, and Fit/Gap Analysis.

The project never gets finished

YOU NEVER HAVE ALL THAT’S REQUIRED,BUT NEED TO GET THE JOB

DONE!

WELCOME TO THE REAL WORLD!!!