The Workforce Management Analytics Strategy Design

The Workforce Management Analytics Strategy Design & Execution Booklet

July 2019 Version

© 2019. Moore – HR Pty Ltd. This manual is copyright and the information contained herein confidentail. No part may stored, reproduced or transmitted in any form or by any means without prior consent.

“Establishing, Implementing &

Maintaining Meaningful Workforce

Reporting & Insights in Your Organisation”

Sneak Peek

Workforce Management Analytics Strategy Design & Execution Booklet - Sneak Peek

Page 2

Introduction

Analytical HR Management provides the panacea for Human Resources teams seeking to escape the drudgery of HR administration and compliance, enabling them to work “on” the business instead of “in” the business moving forward. To continuously seek-out and justify opportunities that improve workforce management, performance and contribution. To transform from business administrators into business entrepreneurs!

This booklet is filled within important tips, ideas, tools and templates to assist HR Departments in creating a robust strategy upon which they can thereafter build and implement effective workforce management analytics and reporting throughout their organisations. Comprising 55 pages of content, it contains our: - • Workforce management analytics reporting model & methodology; • Guidelines & recommendations regarding HR Department role & contribution; • Essential prerequisites that underpin the design and execution of a successful workforce

reporting program in any organisation; • Template scorecards for benchmarking workforce management & performance from one

year to the next; We trust that you will find this booklet to be a valuable and worthwhile addition to your Human Resources Department. “What gets measured gets managed”.

Stephen Moore Founder & Managing Director

Administering your

workforce

Improving your

workforce

Analyzing your

workforce

Transactional HR

Operational HR

Analytical HR

Entrepreneurial HR

Strategic HR

The Glass Ceiling

Executive Table


Page 3

On – Line Familiarization Session

In purchasing this booklet it is important to note that it includes a thirty – minute, on-line familiarization session that must be scheduled within a maximum 28 days from your date of payment. During your session we will highlight and discuss key content that will assist you in effectively navigating your way around the booklet/using it effectively into the future;

You can expect us to contact you shortly after your purchase date in order to book and confirm your session. Thereafter, on a need’s basis we provide E-Advisory and E-Learning services via our website, where you can schedule and pay for additional on-line coaching, mentoring or training sessions at your convenience. We also provide a wide range of manuals, booklets and other tools that you can purchase and down - load from on-line shopping cart facility, where nothing will cost you more than $995! For more information, please visit our website at moore-hr.com.au, email me at [email protected], or call me on 0419 337805.

mailto:[email protected]


Page 4

Workforce Management Analytics “Establishing, Implementing & Maintaining Meaningful Workforce Reporting &

Insights in Your Organization”

1.0 Introduction & Overview Page 2 Module Title

1.1 • Introduction

1.2 • On - Line Familiarisation Session

1.3 • Disclaimer

1.4 • Index

2.0 Examining the Ten Essential Prerequisites for Success Page 6

Module Title

2.1 Establishing HR Department Clarity, Vision & Purpose 7

2.2 Designing Your Key Performance Indicator Reporting Menu 15

2.3 Incorporating Your $ Expenditure Templates 19

2.4 Determining Your Reporting Frequency 21

2.5 Developing Your Formatting & Presentation Standards 22

2.6 Analysing & Interpreting Your Results 28

2.7 Establishing Structured Reporting Forums 30

2.8 Developing Your Workforce Performance Benchmarking Reports 31

2.9 Developing Your HR Department Effectiveness Analytics Reporting 37

2.10 Examining the Linkages with Workforce Planning Analytics & Forecasting 41

3.0 Ordering Your Booklet 55 3.1 How It Works 56

Examining the Ten Essential Prerequisites for Success





July 2019 Version

Sneak Peek


Page 6

Step One: Establishing HR Department Clarity, Vision & Purpose

Benefits to the Organisation Analytical HR Management Is a data – driven process that requires the HR Department to report, analyze, interpret and communicate ongoing workforce management, planning and sustainability in order to continuously improve output, contribution, efficiency and effectiveness. When properly executed, Analytical HR enables the CEO/Senior Executive team/HR Business Partners to make informed and considered decisions about current and future workforce management throughout their organisation. Workforce Management Analytics Comprises the first of two subsets of Analytical HR Management. Primarily focused upon the design and delivery of meaningful workforce reporting and insights that inform and enable executives, line managers and HR business partners to continuously improve workforce efficiency & effectiveness, staffing & resourcing, capability & engagement on a daily basis.

Benefits to the Organisation

01 02

Purpose & Contribution

03

Model & Process

04

Governance & Facilitation

What is

Analytical HR Management? How does do it contribute to

improved business results?

What is the HR Departments true role and purpose

in fostering Workforce

Management Analytics across the organisation?

What is the most suitable model to design, establish

& implement throughout your organisation?

What are the right processes to establish that

ensure consistent understanding & application on an ongoing basis?


Page 7


Benefits to the Organisation Workforce Planning Analytics Comprises the second subset of Analytical HR Management, being primarily focussed upon the design and delivery of workforce forecasting reports that enable the organisation to effectively align future workforce structures, staffing, resourcing and sustainability with prevailing business plans, objectives and aspirations (Both short and long – term) People Analytics Comprises an integrated suite of targeted performance measures that are utilised to populate each workforce report/forecast that the HR Department generates. Note: Whilst one chapter of this booklet is devoted to an overview of our workforce planning model and process, the vast majority of the content is focussed upon the design, implementation and sustainability of workforce management analytics and reporting in your organisation. A separate booklet provides similar insights into the design, implementation and sustainability of workforce planning analytics and forecasting. Evaluating Business Impact

Workforce Key Performance Indicators

Measuring & Evaluating Workforce Governance

Measuring & Evaluating Workforce Efficiency

Measuring & Evaluating Workforce Capability

Measuring & Evaluating Workforce Availability

Measuring & Evaluating Workforce Engagement

Measuring HR Department Effectiveness

Workforce Inputs

Making sure your work environment is fair, ethical, safe & inviting

Making sure your workforce is utilised & managed in a cost effective manner

Making sure your workforce is sufficiently capable and enabled to deliver optimum job performance

Making sure your future staffing configuration & resorcing aligns with

business plans & objectives

Making sure your workforce is satisfied & retained

Making sure the HR Team can achieve its true potential

Business Outputs

Enhancing workforce longevity & retention. Reducing labour

replacement costs

Achieving base-line labour expenditure. Optimising margins,

pricing & market share

Enhanced quality control results/reducing defects. Optimising

customer satisfaction & retention

Delivering forcast wworkforce resources on time. Minimising disruption to service standards

Enhancing workforce contribution & alignment. Minimising third party

influence & disruption

Impacting admin & paper-work. Optimising strategic capability &

contribution

Workforce Management Analytics Strategy Design & Execution Booklet – Sneak Peek

Page 8


Benefits to the Organisation Evaluating Workforce Impact The design and introduction of meaningful workforce management analytics will inevitably lead to an improvement in the prevailing working environment provided to all employees. The advent of regular management reporting will place greater emphasis upon: -

• Role clarity & purpose; • Finding more efficient and productive ways to get work done; • Identifying and developing skills and capabilities that improve staff contribution; • Building career paths that meet future resourcing needs; • Ensuring satisfaction and retention of the new and improved workforce; Evaluating Impact Upon the HR Department When effectively practiced and applied, workforce management analytics and reporting enable Human Resources Departments to transform from an operational support role to that of value-added business partner. To successfully move from working in the business to working on the business instead. To escape the drudgery of administration and compliance by becoming business entrepreneurs, armed with meaningful data and reporting that identifies ongoing opportunities to improve workforce management and performance for their key stake - holders. (Please refer to the illustration on page two of this booklet). Along the journey however, to be truly effective HR professionals must also learn new skills in data capture, presentation, analysis and story – telling that will engage their constituency and demonstrate the ongoing HR business contribution.

Workforce Management Analytics Strategy Design & Execution Booklet – Sneak Peek

Page 9


Model & Process

How does HR design a workforce management analytics reporting model and methodology that will deliver the best possible (and sustainable) results throughout the organisation? What are the key elements that should be considered? Who should be consulted along the way?

In a working environment where all too often the Human Resources Department is over-worked and under-resourced, it is essential that in the first instance key team members gain a common appreciation of what Analytical HR Management comprises, how it works, and most importantly how it benefits all key stake-holders within the organisation, including the HR function itself. Once this common vision and understanding have been established, it is then time for HR to create models and methodologies that will produce effective and sustainable results into the future. To this end, based upon 25 years’ experience and research, on the following page we have illustrated our integrated, four - step Workforce Management Analytics reporting model & methodology. Unfortunately, experience tells us that in far too many instances HR Departments will start and finish their reporting programs at step two of our four step model. To make matters worse, IT Departments are increasingly assuming responsibility for step two of our model as it relates to reporting design, formatting and presentation. To be truly effective and achieve the best possible results in your organisation, we encourage you to embrace all four steps in our model as presented. We also encourage you to ensure that your workforce management analytics reporting and insights are facilitated by HR and supported by IT, and not the other way around!

As an added note, prior to burning up any - more precious time or resources, after your model and process have been established, we encourage the HR Department to engage with the CEO/Senior Management team in order to ensure that: -

1) There exists a clear understanding as to the purpose and value Workforce Management

Analytics and Reporting will bring to the organisation; 2) There is real appetite and a genuine interest in receiving the first tranche of reports to be

developed; 3) There is a general consensus that the Workforce Management Reports to be produced by

HR reflect overall workforce performance within the organisation, as opposed to specifically measuring the performance of the Human Resources Department. (I.e. The reporting reflects upon the performance of “everyone with a seat at the table” and not just the Human Resources Manager/function in isolation).

Workforce Management Analytics Strategy Design & Execution Booklet

Page 10


The Workforce Management Analytics Reporting Model & Methodology

Analysing your reporting results in order to determine

& action adverse performance trends

Developing & implementing reporting evaluation & analysis protocols in order to detect adverse workforce performance trends; Developing & executing a detailed diagnostic process in order to “drill-down” & determine key causal factors; Identifying and quantifying recommended intervention strategies & solutions;

Step Three - Analysis, Diagnosis & Intervention

Step Four - Communication, Engagement & Business

Case

Communicating & interpreting reporting

results with key internal stake - holders

Establishing regular communication forums with designated senior executive teams where performance results are discussed & evaluated; Presenting the business case for recommended interventions/solutions to detected/adverse workforce performance results; Establishing & executing regular performance reporting that tracks results achieved versus objectives and/or budgets;

Capturing, managing and presenting your reporting

data to maximise user engagement, interpretation

& insights

Identifying KPI/ performance measures data sourcing; Determining KPI/ performance measures data extraction & population; Determining reporting break-down/frequency; Determining reporting definitions & formulas; Determining template reporting costing models; Determining reporting presentation, formats & insights;

Step Two – Governance, Data Population &

Presentation

Determining the right-blend of KPI’s and drill - down

people analytics to meet the specific needs of your

organisation

Workforce governance & well-being KPI’s & people analytics; Workforce utilization & efficiency KPI’s & people analytics; Workforce capability & effectiveness KPI’s & people analytics; Workforce availability & resourcing KPI’s & people analytics; Workforce engagement & performance KPI’s & people analytics; HR Department capability & effectiveness KPI’s & people analytics;

Step One – Key Performance Indicator

Reporting Menu


Page 11

Step Two: Designing Your Key Performance Indicator Reporting Menu (Overview)

In executing the first step in our Workforce Management Analytics reporting model, our preferred reporting menu comprises six primary reporting modules that all combine to provide executives, line managers and HR business partners with meaningful insights in relation to current workforce management, and thereby opportunities to drive continuous improvement that benefits the organisation into the future.

Item Primary Reporting Modules How Many Questions Can Your HR Department Effectively Answer?

1. Workforce Governance Measuring & evaluating workplace environment & well-being

Is your workplace welcoming, tolerant & accommodating? Is it safe and free from abuse, bullying, harassment or discrimination? Does it provide flexible & adaptable working arrangements? Is your working environment inviting, well-equipped & maintained?

2. Workforce Efficiency Measuring & evaluating workforce productivity & utilization

Are you utilizing the right blend of fixed and discretionary working hours? To what extent are casual & overtime hours embedded within your business? How about third-party contractors? To what extent are your employee rosters synchronized with consumer demand?

3. Workforce Capability Measuring & evaluating workforce development, progression & bench-strength

To what extent do you invest in developing employee competency & capability? How about investment that enables future development & progression? How effective are your prevailing talent management & succession planning programs? How do you transfer vital knowledge from one generation to the next?

4. Workforce Availability Measuring & evaluating workforce recruitment & resourcing

How long does it take you on average to fill a vacant position? How much does it cost? To what extent are you hiring from interstate or overseas? What does this cost? How many new hires make it through probation? How many make 12 months service? How many are glad they joined your organisation post -hire?

5. Workforce Engagement Measuring & evaluating workforce satisfaction & retention

To what extent are your employees satisfied with their employment? To what extent do you communicate with them to find out? How competitive is your employee value proposition? What is happening to your annual retention rates? What is happening to average employee length of service?

6. HR Department Capability Measuring & evaluating HR Department effectiveness & contribution

To what extent does your HR Department contribute to business plan delivery? To what extent does it focus upon optimising workforce performance? How satisfied is your workforce with the prevailing working environment? How satisfied are your senior executives and line managers with HR Department programs and services?


Page 12

Step Two: Designing Your Key Performance Indicator Reporting Menu (Detail)

This illustration expands upon the model outlined on the previous page, by providing more specific examples of the many Key Performance Indicators and complimentary People Analytics that can be selected and utilised in your organisation: - Key Reporting Module Sample KPI’s & People Analytics Measures Key Reporting Module Sample KPI’s & People Analytics Measures

Step Two: - Designing Your Key Performance Indicator

Nbr of Harassment, Discrimination or Bullying Claims Upheld; Nbr of Unfair Dismissal Claims Upheld; Nbr of Employee Workplace Incidents; Nbr Whistle-Blower Claims Upheld; Annual Leave Liability Accruals; Annual Payroll Errors/Manual Adjustments;

1.Workforce Governance

Measuring & evaluating workplace environment

& well-being

% Annual Training & Development Expenditure; Avge Traing Hours Per FTE; Vacant Positions Filled Internally; % Talent Program Appointments; % Succession Planning Pool Coverage;

3.Workforce Capability

Measuring & evaluating workforce development, progression & bench-

strength

Voluntary Turnover Rates; Unplanned Absenteeism Rates; Workforce Disputation Rates; Workforce Diversity & Integration Rates; Workforce Equality & Parity; % Workforce Generational Change; % First Time Offers Accepted; Average Length of Service;

5.Workforce Engagement

Measuring & evaluating workforce satisfaction &

retention

FTE Workforce Headcount Variations; Casual/Overtime/Contractor Costs as % of Total Labour Expenditure; Average Part-Time/Casual Labour Hours scheduling; Leave Management /Replacement Practices; Wages Growth vs Inflation/Pricing Variations;

Expenditurerating expenditure:

2.Workforce Efficiency

Measuring & evaluating workforce

productivity & utilisation

Average Vacancy Duration Rate; Average $ Cost Per Position Filled; % Post- Hire Satisfaction Rate; % Probation Pass Rate; % Completion 12 Months Service; Contingent Job Candidate/Contractor Pools; % Vacant Positions Filled On-Shore & Off - Shore

4.Workforce AvailabilityMeasuring &

evaluating workorce recruitment &

resourcing

HR Strategic Capability; HR Development & Progression; HR Workforce Management & Contribution; HR Efficiency & Effectiveness; HR Resource Utilization; HR Staff Satisfaction; HR Key Stake-Holder Satisfaction & Engagement;

6.HR DepartmentMeasuring &

evaluating HR strategic capability &

effectiveness


Page 13

Step Two: Designing Your Key Performance Indicator Reporting Menu (Ancillary)

In considering what constitutes the right blend of key performance indicators and associated performance measures for your organisation, wherever practical it is important to create clear linkages between workforce management & performance and those critical success factors that underpin your organisations ongoing sustainability. What really makes your business tick? What is most important to your ongoing viability? How does this translate into the KPI’s and reporting you select for your workforce? What are the connections? How will they be incorporated?

Professional Services Firms

Knowledge & Capability(Knowledge Management & Retention)

IT Companies

Innovation & Creativity(Research & Development

Bias)

Fast Food Chains

Consistency & Convenience(Procurement &

Preparation Focus)

Airlines

Safety & Reliability

(Maintenance & Scheduling)

Department Stores

Range & Brands

(Buying & Pricing)

Hotels & Resorts

Comfort & Style

(Facilities & Presentation)

Core Purpose Why Do We Exist?

Core Value Proposition What Do We Want to Be Known For?/What Is Our

Desired Legacy?

Critical Success Factors What Underpins & Contributes To Our Long -Term

Success & Sustainability?

Strategic Business Objectives What Contribution Are We Seeking From Our

Senior Executives/Functions?

Day-To-Day Accountabilities What Contribution Do We Desire From Our People?

Analytical HR Management What Do We Measure, Evaluate & Improve?

Strategic Planning Model Example Critical Success Factors by Industry Sectors

Ordering Your Workforce Management Analytics Strategy Design

& Execution Booklet





July 2019 Version

Sneak Peek


Page 15

Ordering Your Workforce Management Analytics Strategy Design & Execution Booklet

If you would like to purchase one (or several ) copies of our Workforce Management Analytics Strategy Design and Execution Booklet, we offer the following range of options, starting from just AU$195.00: -

Option Description Price

Basic Package

Purchase one copy of our booklet incorporating a complimentary thirty - minute on-line familiarization session scheduled within 28 days of payment

AU$195.00

Intermediate Package

Receive our Basic Package, plus a copy of our Workforce Management Analytics Key Performance Indicator Manual incorporating two thirty - minute on-line familiarization sessions scheduled within 28 & 90 days of payment respectively

AU$695

Total Package

Receive our Intermediate Package, plus a guaranteed update to our Workforce Management Analytics Key Performance Indicator Manual forwarded to you on annual basis for a two - year period;

AU$995

Placing Your Order

You can visit the Shopping Cart facility on our website to make payment and receive your order by automatic download

If you would prefer to make payment via invoice, or you are interested in ordering additional copies, you can click on the Contact Us page on our website and send us your specific requirements

Product Copyright

Please note that our products are copyright. They cannot be replicated, reproduced or transmitted to any person other than the purchaser without additional payment being made

E - Advisory Services

If would like additional coaching or mentoring in relation to any key aspect of workforce management analytics & reporting, or workforce planning analytics and forecasting we offer an on-line advisory service that you can book at any time

AU$100 per 30 minutes or

AU$200 per 60 minutes

E - Learning Services

If you would prefer a more in-depth approach, we offer structured E Learning classes comprising two sixty-minute sessions incorporating a pre-session questionnaire and comprehensive soft-copy participants work-book

AU$995 per class (Group participation

available)

Moore HR Pty Ltd T: +61 3 9994 5193

M: +61 (0) 419 337805 E: [email protected]

W: www.moore-hr.com.au

http://www.optimumperformance.com.au/


Page 16

Stephen Moore spent the first half of his professional career occupying senior Employee Relations roles with leading organisations including Qantas, Ford Motor Company & Coles-Myer. It was here that his interest in workforce productivity & efficiency improvement was first ignited. In 1995 Stephen formed Optimum Performance HR Consultants, where he spent the next two decades designing & delivering People Metrics, Analytics & Planning solutions to a diverse client base located throughout Australia, New Zealand, Asia & South Africa After a short stint in the HR software development industry, Stephen recently established a new consulting practice dedicated to Analytical HR Management, a natural progression upon the work he has previously undertaken In his current role Stephen assists HR professionals, executives & line managers in utilizing data-driven methodologies & processes that enable them to effectively forecast & plan: -

- Workforce efficiency & base - line labour strength; - Workforce staffing demand & resourcing priorities; - Workforce supply-chain & continuity; - Workforce viability & sustainability;

Complementing his Workforce Planning services, Stephen also assists HR teams in creating & implementing integrated People Analytics Reporting that informs & enables continuous improvement in workforce efficiency & effectiveness, as well as HR Department capability & contribution Along the journey Stephen has collaborated with the Australian Human Resources Institute (6 years), the Human Resources Institute of New Zealand (7 years) & the Hong Kong Institute of Human Resources Management (6 Years) in designing & delivering a diverse range of people analytics training workshops to more than 3,000 HR professionals Stephen has previously designed & facilitated his own USA HR Best Practice Study Tour, where he facilitated in-house bench-marking visits with pre-eminent US organisations including FedEx, Harley-Davidson, NASA, Hewlett- Packard, Cisco Systems & Marriott Hotels

“What Gets Measured Gets Managed”

Moore HR Pty Ltd PO Box 30 Doncaster Victoria AUSTRALIA 3108 T: +61 3 9994 5193 M: +61 (0) 419 337805 E: [email protected] W: www.moore-hr.com.au Facilitating Analytical HR Management

Stephen Moore Founder & Managing Director

http://www.optimumperformance.com.au/


Page 17

"Stephen is an entertaining, straight to the point and experienced professional with great public speaking skills and the ability to apply theory into practical examples in many different structures and organizations. We are happy we were able to join the course and will definitely stay in touch with Stephen for more learning moments and insights" Vice President Strategic Analysis Venetian Macau Limited "Stephen is a guru who coached the SEEK team to make significant improvements in our approach to HR metrics. Stephen is a pleasure to work with and a great trainer. He can adapt to any level of experience and gives amazing insights no matter where the conversation goes" Group HR Director, SEEK Limited "Stephen’s in-depth knowledge and experience with HR metrics is integral to any organisation trying to establish an HR Metrics Dashboard within their business. Stephen is a strategic thinker who can influence HR personnel to deliver the right metrics for their operations which has assisted Caltex to transform the way HR metrics are reported throughout our organisation" HRSC Manager, Caltex Australia Petroleum "The Workforce Planning model developed and presented by Stephen has been very useful in allowing us to plan for changes in our workforce and the wider recruitment market and develop strategies to adapt to any global or local changes. Highly recommended process and facilitator" Manager Organisation Development, City of Whitehorse "Stephen presents an excellent model for human resource management metrics. This model is practical, easy to implement and he explains how to use the metrics exceptionally well. Very engaging facilitator and consultant" General Manager Learning & Development AHRI "The success of our HR Metrics training program was beyond expectations, exciting all who attended, with agreement reached on key areas that will enable us to move forward and establish consistent, value-adding HR Metrics that will support decision making for our managers in managing their business" Group Human Resources Manager, Hills Holdings "Stephen helped to develop our understanding of strategic workforce planning, providing a relevant framework, advice and practical forecasting tools. It enabled us to develop a strategic workforce plan that led to our Board approving what became an award - winning workforce development program for a critical workforce segment of our business" Manager People Strategy and Change, City West Water "Stephen is an astute, strategic, business thinker with a wealth of knowledge around HR and Metrics. He is able to deal with diverse clients, builds excellent relationships and is one of the few people who gets the importance of people strategies & metrics to the business" People and Culture Partner, Deloitte Australia

What Some of Our Clients Say About Us

Documents

The Workforce Management Analytics Strategy Design