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!easuring and I"pro#ing H$
!anage"ent%s $esultsChapter 14
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&he E#olution o' H$!
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)hat &his !eans in Practical &er"s
* H$! duties ha#e gone 'ro" supplying "ostly
transactional ser#ices to supplying "ore
strategic and peoplerelated consulting support
* &he i"plications are the 'ollo+ing
- E"ployers and H$ units need to 'ind ne+
+ays to pro#ide their traditional transaction
ser#ices to 'ree up H$ "anage"ent%s ti"e 'orstrategic, internal consulting acti#ities
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- H$ "anagers ha#e to i"pro#e their business
analysis, internal consulting sills
- H$ "anagers need to i"pro#e their
outsourcing sills
)hat &his !eans in Practical &er"s, cont.
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e+ )ays to upply &ransactional
er#ices
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H$ !anager as Internal Consultant
3e#eraging H$ entails three basic steps
* Ha#e an H$ strategy in place
* &ae steps to reduce the assets and e''ortsde#oted to deli#ering transactional ser#ices
* e#elop the sills re5uired to be an e''ecti#e
internal consultant
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e#eloping H$ Consulting ills
* !aster basic H$! 'unctional concepts and sills
in areas lie recruiting, inter#ie+ing and e5ual
e"ploy"ent co"pliance
* 7c5uire business no+ledge and strategic sills
needed to analy8e and ad#ise ho+ to best align
e"ployee co"petencies +ith e"ployer strategic
needs* uild credibility and rapport
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uilding Credibility and $apport
* Establishing credibility as an e;pert re5uiresha#ing, a"ong other things
- 7n e;cellent co""and o' and understanding
o' the industry, organi8ation and co"petition
- Persuasi#e, high5uality suggestions
- Pro#en ability to sol#e "a
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- 7bility to de#elop creati#e solutions to di''icult
proble"s
- 7 record and ability to co"plete pro
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- 7 reputation 'or "eeting co""it"ents
- 7 reputation 'or creating solutions that +or
* $apport re5uires the 'ollo+ing - =ou listen "ore than you tal
- 7cno+ledge that client%s situation is personal
and uni5ue - Pay attention to the e"otions surrounding the
client%s 'actual issues
uilding Credibility and $apport, cont.
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- $e'lect bac that you understand and care
- >ocus on doing +hat%s best 'or the client
- >ocus on the client as an indi#idual
- )or to constantly 'ind ne+ +ays to be o'
greater ser#ice
- ?ie+ "ethodologies, "odels, techni5ues andbusiness processes as a "eans to an end
uilding Credibility and $apport, cont.
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Conducting the H$! 7udit
- H$ audits #ary in scope and 'ocus. &en possibleareas o' 'ocus include
- $ecruit"ent and selection
- Co"pensation
- E"ployee relations
- !andated bene'its - @roup bene'its
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- Payroll
- $ecordeeping
- &raining and de#elop"ent
- E"ployee co""unications
- Internal co""unications
Conducting the H$! 7udit, cont.
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&ypes o' 7udits
* Co"pliance audits
* est practices
* trategic
* >unction speci'ic
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$easons 'or Conducting 7udits
* Ensuring legal co"pliance
* Aeeping H$ practices aligned +ith e"ployer
needsBstrategy
* Identi'ying opportunities 'or i"pro#e"ent
* I"pro#ing e''iciency and producti#ity
* Identi'y root proble" areas and cost reductionopportunities
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* I"pro#e e"ployee "orale
* I"ple"enting and staying current +ith +orld
class practices
* !easuring and i"pro#ing per'or"ance across
the organi8ation as +ell as results 'ro" ey H$
pro
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)hen to 7udit
* )hen a business reaches #arious "ilestones
* )hen the business gro+s to the point +here line
"anagers can no longer "ae their o+n hiring,
discipline, pro"otion and other decisions +ithout
H$ assistance
* &he e"ployer creates or "odi'ies an e"ployee
handboo
* 7 ne+ head o' H$! arri#es
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* E"ployee "orale,
turno#er, attendance or
e;cessi#e discipline
proble"s see" to signalneed 'or e#aluation
* &he co"pany beco"es
a go#ern"ent contractor
or subcontractor
)hen to 7udit, cont.
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&he H$ 7udit Process
* eter"ine scope o' the audit
* e#elop the audit 5uestionnaire
* Dse the 5uestionnaire to collect data
* ench"ar the 'indings
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ench"aring in 7ction
* H$! pro#ides a custo"i8ed bench"aring
ser#ice to enable e"ployers to co"pare their
H$related "etric results +ith other co"panies
* Co"parable 'igures can be broen do+n by
industry, e"ployee si8e, co"pany re#enue,
industry sectors and geographic region
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&he HighPer'or"ance )or yste"
* 7 highper'or"ance +or syste" HP)F is a
set o' e"ployee and H$!related practices that
translate into organi8ational e''ecti#eness
* &he G3 lists the 'ollo+ing characteristics o'HP)
- !ultisilled +or tea"s
- E"po+ered 'rontline +orers
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- E;tensi#e training
- 3abor "anage"ent cooperation
- Co""it"ent to 5uality - Custo"er satis'action
&he HighPer'or"ance )or yste", cont.
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trategyased !etrics
* !easure acti#ities and outco"es that contribute
to achie#ing a co"pany%s strategic ai"s
* Preparing a list o' these "etrics re5uires
- e'ining the business% strategic goals
- Create a strategy "ap to identi'y +hat the
strategybased "etrics "ight be - Dse the strategy "ap to identi'y i"portant
strategic "etrics
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&he H$ corecard Process
* &he H$ corecard re'ers to the assigning o'
'inancial and non'inancial goals to H$!related
acti#ities re5uired 'or achie#ing the co"pany%s
strategic ai"s and 'or continuous "onitoringresults
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H$ corecard e5uence
1. e'ine the business strategy
2. Gutline a strategy "ap
(. Identi'y the strategically re5uired outco"es4. Identi'y the re5uired +or'orce co"petencies
and beha#iors
/. Identi'y the re5uired H$ syste" policies andacti#ities
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. Create strategic "etrics
6. u""ari8e the scorecard "easures in a digital
dashboard
H$ corecard e5uence, cont.
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Gutsourcing H$! 7cti#ities
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Pros and Cons o' Gutsourcing
* Pro Can be cost e''ecti#e and 'ree H$!%s ti"e
'or other +or
* Con Can decrease H$
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&o )ho" o E"ployers Gutsource H$
>unctions
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Gutsourcing Checlist
* peci'y +hich ser#ices to outsource
* 7gree +ith #endor on e;actly +hat H$ acti#ities
+ill be outsourced and +hat +ill be retained
internally
* $e#ie+ "ultiple pro#iders and decide on one
partner
* Clari'y e;actly +hat ser#ices the #endor +ill
pro#ide
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* !ae sure to ha#e "etrics to "easure and hold
accountable the #endor
* 3oo 'or 'inancial stability in the prospecti#e
#endor
* Chec their ser#ice record +ith other clients
* Consider the costs
* 3oo at the prospecti#e #endor%s technology
leadership
Gutsourcing Checlist, cont.
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* Ensure they ha#e ade5uate disaster reco#ery
plans
* !ae sure they +ill pro#ide your inhouse
people +ith ade5uate training regardingprocedures, etc.
Gutsourcing Checlist, cont.
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tates o' 7"erica.