icbe annual conference 2014icbe.ie/wp-content/uploads/2014/11/icbe-conf-oct-2014-ppt-cipd.pdf ·...
TRANSCRIPT
“Applying HR for Competitive
Advantage”
ICBE Annual Conference 2014
Michael McDonnell
Managing Director, CIPD Ireland
Chartered FCIPD, MSc., BBS, M.Inst.D
15 October 2014
…EIEIO
CIPD Ireland Membership Growth
Holding our own in challenging times
790
1,844
3,426
5,193
6,501
5,086
50
550
1050
1550
2050
2550
3050
3550
4050
4550
5050
5550
6050
6550
1937 1984 1995 2000 2005 2010 2014
Irish Office established 75 years in Ireland
CIPD Centenary
Presentation of the CIPD Ireland Charles E. Jacob Gold Medal to
President of Ireland, Michael D. Higgins
Have you explored the Map?
http://www.cipd.co.uk/hr-profession-map/explore-the-map.htm
Ingredients of Organisational
Insight
Business Savvy Contextual Savvy Organisational Savvy
- HR as an applied
business discipline
- Macro economic and
societal factors
- Understanding interplay of
‘hard’ and ‘soft factors
- Understanding core
value drivers
- Now and in the future
- Impact of people / culture
/ leadership
- What makes the
Business successful
- Understanding of change
dynamics
Business
Savvy
Organisational
Savvy
Contextual
Savvy
Adapted from Next Generation HR CIPD 2010
What’s butter got to do with it?
REDEFINING THE
PSYCHOLOGICAL CONTRACT
Yesterday’s “New Culture”
- vanished with the snow
DIMENSION FROM: TO:
For Organisations: Security Employability
For Leadership: Loyality Commitment
For Individuals: Performing Job Tasks
Adding Value
M T B S
<
M T M D Source: Roseabeth Moss Canter
M T B S (Mean Time Between Surprises)
<
M T M D (Mean Time Make Decision)
Source: Roseabeth Moss Canter
Agility in action
Don’t call us … Blackberry
The uncertain future …
“The best swordsman in the world doesn’t need to fear
the second best swordsman in the world; no, the
person for him to be afraid of is some ignorant
antagonist who has never had a sword in his hand
before; he doesn’t do the thing he ought to do, and so
the expert isn’t prepared for him; he does the thing he
ought not to do and often it catches the expert out and
ends him on the sport” Mark Twain
The Traditional Psychological
Contract Old Deal
“A fair day’s
work for a fair
day’s pay”
If You:
* Are loyal
* Work hard
* Do as you’re told
We’ll Provide
And You’ll be Part of:
* A dull, safe organisation
* A secure job
* Steady pay increases
* Financial security
Remember when …
The current deal
Old Deal
“A fair day’s
work for a fair
day’s pay”
New Deal
“A flexible,
mutually
beneficial
partnership”
If You:
* Are loyal
* Work hard
* Do as you’re told
We’ll Provide
And You’ll be Part of:
* A dull, safe organisation
* A secure job
* Steady pay increases
* Financial security
:
And You’ll be Part of:
If You:
If You:
* Develop the competencies we need
* Apply them in ways that help the
organisation succeed
* Behave consistently with new values
* A challenging work environment
* Support for your development
* Employability
* Reward for your individual contribution
* A revitalised organisation
The state of the Psychologist
Contract Post Sept 2008
Old Deal
“A fair day’s
work for a fair
day’s pay”
Perceived Deal
Today
“More work &
more risks for
the same pay”
New Deal
“A flexible,
mutually
beneficial
partnership”
If You: If You:
* Are loyal
* Work hard
* Do as you’re told
We’ll Provide We’ll Provide
And You’ll be Part of: And You’ll be Part of:
* A dull, safe organisation
* A secure job
* Steady pay increases
* Financial security
* A job if we can
* Gestures that we care
* The same pay
And You’ll be Part of:
If You:
If You:
* An organisation with problems
* Stay
* Do your job plus someone else’s
* “Volunteer” for task forces
* Develop the competencies we need
* Apply them in ways that help the
organisation succeed
* Behave consistently with new values
* A challenging work environment
* Support for your development
* Employability
* Reward for your individual contribution
* A revitalised organisation
“New” Psychological Contract
… but we still hang on to the old model!
Old Contract New Contract for a
Brave New World
Perceived New
Contract
• “Sound bites that we
care”
• More work, less pay
• A job if we can
Employability
in return for
high performance
Permanent job in
return for loyalty
Pensionable (but bored)
(life is hard and then you die)
Energised Portfolio
Manager (but insecure)
Stressed-out
disillusioned
Taking Employee
Engagement to the next level
From Employee Engagement To Organisational
Authenticity
• Trust needs to be deepened to unprecedented
levels – leading to a much deeper level of emotional
loyalty
• Treat staff like customers
- honesty
- respect
- service Adapted from Next Generation HR CIPD
Taking Employee
Engagement to the next level
Build Future – Fit Leaders
• Successful organisations can describe clearly the
different abilities and mindsets that leaders of
tomorrow will need
• And how that contrasts with leaders of today
Adapted from Next Generation HR CIPD
Taking Employee
Engagement to the next level
From Healthy Culture to Agile Culture
• A living strategy that responds quickly to macro
trends and opportunities
Adapted from Next Generation HR CIPD
Discretionary Behaviour
“A voluntary commitment to go far
beyond the traditional requirements of
the job description”.
But it can be withdrawn!
Front line
Management
- Implementing
- Enacting
- Leadership
- Controlling
Ability
And Skill
- - - - - - - - - - - - - -
Motivation And
Incentive
- - - - - - - - - - - - -
Opportunity to
Participate
Organisation
Commitment
- - - - - - - - - - - -
Motivation
- - - - - - - - - - - -
Job Satisfaction
Discretionary
Behaviour
Performance
Outcomes
Making employee engagement
work for you
Performance
Appraisal
Involvement
Communications
Adapted from the
“People and Performance
Model” CIPD
AMO: 11 HRM Practice Areas
• Careful / sophisticated recruitment and selection
• Training & learning / development
• An emphasis on providing career opportunities
• Information-sharing and extensive two-way communication
• Involvement in decision-making
• Teamworking
• Appraising each individual’s performance and development
• Pay satisfaction
• Job security
• Job challenge / job autonomy
• Work-life balance
Critical Role of Frontline
Management
A CLEAR CASE FOR COACHING - BUT HOW DO YOU GET STARTED?
Front line
Management
- Implementing
- Enacting
- Leadership
- Controlling
Ability
And Skill
- - - - - - - - - - - - - -
Motivation And
Incentive
- - - - - - - - - - - - -
Opportunity to
Participate
Organisation
Commitment
- - - - - - - - - - - -
Motivation
- - - - - - - - - - - -
Job Satisfaction
Discretionary
Behaviour
Performance
Outcomes
Making the “new contract work”
Performance
Appraisal
Involvement
Communications
Adapted from the
“People and Performance
Model” CIPD (2003)
Deloitte UK screen 4:3 (19.05 cm x 25.40 cm)
People management is at the heart
• Authentic, purpose and values led
• Consistency between words and
deeds
• Situational leadership
• Command and control to
engagement and empowerment
• Ability to understand and manage
diversity
Must build leadership capabilities at
all levels
A Critical New Role for
Frontline Managers
• Policies Applied Through Line Managers
• Organisational culture / values experienced through your line manager
• By how they:
o Behave
o Show respect
o Exhibit trust
o Give direction
o Respond to suggestions
HR Response Practices &
Programmes
Balance between COST REDUCTION and MAINTAINING MOTIVATION
& COMMITMENT
‘hard’ HR Practices ‘soft’ HR practices
• curbs on pay & bonuses
• headcount reductions
• cuts in working time
• curbs on recruitment & promotion
• productivity measures
• communications
• engagement & involvement
• training, talent management & staff
redeployment
• larger pay cuts for higher-paid
• in-sourcing work
HR Practices
Direct cost reduction Maintain motivation & Commitment
Source: Roche & Teague
Most Effective HR Practices
• When asked to identify the most effective HR practices in managing the recession, most frequent identified were:
- communication & information disclosure
- efficiencies and cost control
- engagement & consultation
• These practices also among those strongly associated in focus groups and case studies with ‘good human resource management’ in the recession
Source: Roche & Teague
Now more than ever …
“The deepest human need is the
need to be appreciated”
William James
“Send them home sweating”
… Albert Reynolds
MMcD Blogs
• From wardrobe malfunction to high
performance working: How I found inspiration
on Oxford Street
• Why we need to re- think our views on
motivation and engagement
• Dave Ulrich is worried! Here’s why …
http://www.cipd.co.uk/blogs/cipdbloggers/b/michael_mcdonnell/archive/2014/08/19/d
ave-ulrich-is-worried-here-s-why.aspx
