5
Transforming 66 | T+D | SEPTEMBER 2011 Photo by Veer A transformation is taking place in human resource development (HRD). It is moving from being managed as a cost center to being used as a source of competitive advantage. By Jack Berry HRD Into an Economic Value Add

Transforming - files.transtutors.com · answers focused on improving business performance. If you decide you want to become a strategic driver of economic value, there are two concepts

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Page 1: Transforming - files.transtutors.com · answers focused on improving business performance. If you decide you want to become a strategic driver of economic value, there are two concepts

Transforming

66 | T+D | September 2011 photo by Veer

A transformation is taking place in human resource development (HRD) It is moving from being managed as a cost center to being used as a source of competitive advantage

By Jack Berry

HRD Into an Economic Value Add

How much economic value does your HrD function generate for your organization If you do not know the answer herersquos help to determine whether you are a cost center or an economic value add (eVA) as well as what you can do to increase your strategic value to your organization Keep in mind that there are only two ways to add economic value reduce costs of what you provide or increase the impact HrD solutions have on your organizationrsquos revenues

Challenges for the HRD leader As HRD leaders you face three major challenges to becoming a strategic source of EVA These challenges derive from senior management the people using your services and within the HRD function Challenge 1 From senior manageshyment The first challenge will manifest itself in two ways First senior manshyagement sees itself as HRDrsquos customer Often what they ask for is not what they need Senior management is not the true customer however The people particishypating in programs are the customers To become an EVA we must transform senior management into ldquoinvestorsrdquo and participants into ldquocustomersrdquo

The second challenge from senior management is driven by the belief that HRD is not a source of revenue or profit growth And for good reasonmdash historically HRD hasnrsquot been But by linking HRD solutions to specific business results such as revenue-related metrics senior management will begin to see us as a source of competitive advantage

Consider the following scenario The president of International Company X asked me to conduct a Management by Objectives Workshop for its Brazil division This assignment made the president my customer and the Brazil division management team my targets for change

To transform the president into my investor and the Brazil division into my customer I spent the first week intershyviewing all managers to determine current functionality and problems The second week I set aside to design and conduct sessions tailored to eliminating problems managers were encountering when managing by objectives Challenge 2 From program particishypants In most cases participants view programs and services as the end game rather than a means to increased busishyness performance For example when participants are asked why they attend a workshop on Effective Presentations most typically answer ldquoto learn how to make more effective presentationsrdquo The answer we want them to give is ldquoto improve the performance of my department by making more effective presentationsrdquo

Consider again the example of International Company X In that case my real job was to help the Brazil divishysion determine where its functionality currently stood define the business performance it wanted to accomshyplish and help it identify and remove obstacles Challenge 3 From within HRD The third challenge will come from within your own HRD function HR has long looked upon itself as the group that delivers world-class HR services and views the organization as its client In

this scenario HR is only responsible for the quality and cost of what it does HR colleagues may not be happy with your use of measurements that focus on how your solutions improve the organizashytionrsquos performance

For example I was recently asked to facilitate a session on performance reviews with all of an organizationrsquos HR managers as well as discuss with them what needed to change for the appraisal process to add greater value I initiated the session by asking the HR managers two questions

1 How many of the managers in your division would use the performance review process if they didnrsquot have to The answer was none

2 Do managers in your division believe that the performance review process adds value The answer was no

Then I asked HR what value was creshyated by performance appraisals Their responses were typical ldquoso employshyees will know how well they are doing and where they need to developrdquo No answers focused on improving business performance

If you decide you want to become a strategic driver of economic value there are two concepts you need to keep in the forefront as you build your plan for change The first concept is how comshypanies create economic value and the second is the structure of organization in terms of roles of operations and roles of management and staff

listen to this feature at wwwastdorgtDtDpodcastshtm

September 2011 | T+D | 67

How companies create economic value There are a handful of ways organizashytions create economic value bull It can increase the price it charges

for its products and services bull It can decrease the cost in makshy

ing or delivering its products and services bull It can increase the amount of prodshy

ucts and services it sells If you are not making an impact on

one or more of these items with your products and services then you are a cost of doing business In traditional HRD organizations the only way HRD (and other staff functions for that matter) could add economic value is by decreasing the costs of for providing solutions

Roles of operations roles of management and staff Organizations have two basic composhynents 1) operations and 2) management and staff Operations is comprised of all employees (not managers) who are directly involved in the manufacture distribution delivery and sale of an organizationrsquos products or services

Management and staff (that includes HRD) are comprised of people who support operations in carrying out responsibilities This group cannot directly create economic value except by reducing their own costs Management and staff play one or more of four roles in supporting operations

1 P rotect the organization from significant economic loss An example of this would be the training HRD provides on affirmashytive action employment law or safety

2 S upport current operations needed to maintain performance at its existing level such as skills training for new hires

3 P rovide services that will improve the organizationrsquos performance now For example help design

a high performance manufacturing plant

4 E nhance future performance For instance provide a high-potential identification and development process for key executive positions

The first second and fourth roles ll under ldquocosts of doing businessrdquo

he third role improve the organishyationrsquos current performance adds conomic value

faTze

What can you do to add greater value HRD managers must take action if they are to add greater value to the funcshytion and more importantly become a source of competitive advantage for the organizations they support Examine your mission statement and make necessary changes This is a strategic process in which you are deciding the role your function needs to play to add the greatest value possible to your organization Determine what role HRD plays and decide if you need to be a strategic partner or a cost center As a strashytegic partner HRD must be able to identify the human resource challenges affecting the organizationrsquos business strategies and develop and execute plans that will address them

As a cost center HRD is an important and required part of the organization that does create value just not economic value Its challenge is to deliver the HRD services that are necessary to support and protect existshying operations and provide services that will enhance future performance at the lowest possible cost Identify what performance measures you will use The metrics you choose must include the degree behavior must change and how the change in behavshyior was a result of improved business performance

For example HRD determines that an organization experiencing serishyous labor problems is the result of

Mission Statements

Here are two examples of mission statements The first is from an HRD organization that was seen as a cost center The second example was an HRD organization that is used as a source of EVA Which one is closest to the mission statement you have

As a Cost Center ldquoOur mission is to ensure that the organizationrsquos managers and execushytives have the knowledge and skills needed to be effectiverdquo

As an Economic Value Added ldquoThe mission of our HR function is to work in partnership with the organishyzation to achieve its business goals We accomplish this in two ways 1) by providing effective HRD solutions to the execution of the organizationrsquos business strategies and 2) by providshying management with practical tools and processes to attract use and retain talent needed for successrdquo

managers failing to listen to employshyees To address the issue HRD provides training on listening skills but what are the measures How well the supervisors learned to listen or the degree to which the labor climate improved Conduct an HRD survey to determine to what degree you are a source of EVA Where are there important gaps What barriers are preventing you from initiating change (See Figure 1)

Develop a plan for transforming your HRD organization into a greater source of economic value Here are steps to folshylow to develop your own plan

1 Assess y our HRD organizashytion with input from senior management

2 D etermine what you want your transformed function to look like in the future including its mission

68 | T+D | September 2011

Figure 1 | Survey This survey will help you determine what specifically you need to do to improve the value your HRD organization provides Place an ldquoXrdquo on each scale to reflect where you are now and put an ldquoOrdquo on each scale to indicate where you want to be

Cost Center source of eVa Defines its purpose in terms of services it provides

Defines its purpose in terms of how it affects the performance of the organization

Develops strategies and programs that are driven by budgeting process

Develops strategies and programs that are driven by the organizationrsquos and business unitsrsquo strategies

Structures itself around its own areas of functional expertise

Structures itself around its organizational strategies

Benchmarks other companies to ensure it is providing leading-edge services

Ensures services are providing maximum value to internal customers

Presents its strategies and programs to senior management for approval before taking them to clients

Presents its strategies to internal customshyers for input and support before seeking senior management approval

Views itself working for senior management

Views itself working for the units that use its services to meet and improve performance needs

Views the operating units as clients who need HRDrsquos technical expertise for their success

Views the operating units as customers that it is dependent on for its own success

Measures its performance in terms of how many programs it provides each year

Measures its performance in terms of how much impact it has on the organizationrsquos performance

Evaluates the quality of what it provides clients to determine its effectiveness

Seeks clients input to determine its effectiveness

Judges its value in terms of the functionrsquos own growth in budget and headcount

Judges its value in terms of how well it met the needs of its internal customers

structure strategies metrics and Bottom line working relationships with key In the Harvard Business Review article constituents ldquoA New Mandate for Human Resourcesrdquo

3 Obtain input and suppor t for Step Dave Ulrich wrote ldquoShould HR be done 2 from within your own HR orgashy away with This debate arises out of nization as well as among senior serious and widespread doubts about management HRrsquos contribution to organizational

4 I nform those affected by changes performancerdquo Ulrich went on to say what you will be doing differently ldquoBut the truth is HR has never been and why Get their input as well more necessary Achieving organizashy

5 D etermine metrics you will use to tional excellence must be the work measure success of HRrdquo It is now 2011 Where is your

6 Implement your plan HRD organization

Jack Berry is senior consultant at EASI-Consult and president of Jack Berry Consulting jackberryroadrunnercom

interesteD in orDerinG e-Prints Would a digital version of this article be a great fit for your next course presentation or event Are you interested in e-prints of several T+D articles on a specific topic Visit astdorgtDeprints for more information

photo by iStockphotocom September 2011 | T+D | 69

Copyright of T+D is the property of American Society for Training amp Development and its content may not be

copied or emailed to multiple sites or posted to a listserv without the copyright holders express written

permission However users may print download or email articles for individual use

Page 2: Transforming - files.transtutors.com · answers focused on improving business performance. If you decide you want to become a strategic driver of economic value, there are two concepts

How much economic value does your HrD function generate for your organization If you do not know the answer herersquos help to determine whether you are a cost center or an economic value add (eVA) as well as what you can do to increase your strategic value to your organization Keep in mind that there are only two ways to add economic value reduce costs of what you provide or increase the impact HrD solutions have on your organizationrsquos revenues

Challenges for the HRD leader As HRD leaders you face three major challenges to becoming a strategic source of EVA These challenges derive from senior management the people using your services and within the HRD function Challenge 1 From senior manageshyment The first challenge will manifest itself in two ways First senior manshyagement sees itself as HRDrsquos customer Often what they ask for is not what they need Senior management is not the true customer however The people particishypating in programs are the customers To become an EVA we must transform senior management into ldquoinvestorsrdquo and participants into ldquocustomersrdquo

The second challenge from senior management is driven by the belief that HRD is not a source of revenue or profit growth And for good reasonmdash historically HRD hasnrsquot been But by linking HRD solutions to specific business results such as revenue-related metrics senior management will begin to see us as a source of competitive advantage

Consider the following scenario The president of International Company X asked me to conduct a Management by Objectives Workshop for its Brazil division This assignment made the president my customer and the Brazil division management team my targets for change

To transform the president into my investor and the Brazil division into my customer I spent the first week intershyviewing all managers to determine current functionality and problems The second week I set aside to design and conduct sessions tailored to eliminating problems managers were encountering when managing by objectives Challenge 2 From program particishypants In most cases participants view programs and services as the end game rather than a means to increased busishyness performance For example when participants are asked why they attend a workshop on Effective Presentations most typically answer ldquoto learn how to make more effective presentationsrdquo The answer we want them to give is ldquoto improve the performance of my department by making more effective presentationsrdquo

Consider again the example of International Company X In that case my real job was to help the Brazil divishysion determine where its functionality currently stood define the business performance it wanted to accomshyplish and help it identify and remove obstacles Challenge 3 From within HRD The third challenge will come from within your own HRD function HR has long looked upon itself as the group that delivers world-class HR services and views the organization as its client In

this scenario HR is only responsible for the quality and cost of what it does HR colleagues may not be happy with your use of measurements that focus on how your solutions improve the organizashytionrsquos performance

For example I was recently asked to facilitate a session on performance reviews with all of an organizationrsquos HR managers as well as discuss with them what needed to change for the appraisal process to add greater value I initiated the session by asking the HR managers two questions

1 How many of the managers in your division would use the performance review process if they didnrsquot have to The answer was none

2 Do managers in your division believe that the performance review process adds value The answer was no

Then I asked HR what value was creshyated by performance appraisals Their responses were typical ldquoso employshyees will know how well they are doing and where they need to developrdquo No answers focused on improving business performance

If you decide you want to become a strategic driver of economic value there are two concepts you need to keep in the forefront as you build your plan for change The first concept is how comshypanies create economic value and the second is the structure of organization in terms of roles of operations and roles of management and staff

listen to this feature at wwwastdorgtDtDpodcastshtm

September 2011 | T+D | 67

How companies create economic value There are a handful of ways organizashytions create economic value bull It can increase the price it charges

for its products and services bull It can decrease the cost in makshy

ing or delivering its products and services bull It can increase the amount of prodshy

ucts and services it sells If you are not making an impact on

one or more of these items with your products and services then you are a cost of doing business In traditional HRD organizations the only way HRD (and other staff functions for that matter) could add economic value is by decreasing the costs of for providing solutions

Roles of operations roles of management and staff Organizations have two basic composhynents 1) operations and 2) management and staff Operations is comprised of all employees (not managers) who are directly involved in the manufacture distribution delivery and sale of an organizationrsquos products or services

Management and staff (that includes HRD) are comprised of people who support operations in carrying out responsibilities This group cannot directly create economic value except by reducing their own costs Management and staff play one or more of four roles in supporting operations

1 P rotect the organization from significant economic loss An example of this would be the training HRD provides on affirmashytive action employment law or safety

2 S upport current operations needed to maintain performance at its existing level such as skills training for new hires

3 P rovide services that will improve the organizationrsquos performance now For example help design

a high performance manufacturing plant

4 E nhance future performance For instance provide a high-potential identification and development process for key executive positions

The first second and fourth roles ll under ldquocosts of doing businessrdquo

he third role improve the organishyationrsquos current performance adds conomic value

faTze

What can you do to add greater value HRD managers must take action if they are to add greater value to the funcshytion and more importantly become a source of competitive advantage for the organizations they support Examine your mission statement and make necessary changes This is a strategic process in which you are deciding the role your function needs to play to add the greatest value possible to your organization Determine what role HRD plays and decide if you need to be a strategic partner or a cost center As a strashytegic partner HRD must be able to identify the human resource challenges affecting the organizationrsquos business strategies and develop and execute plans that will address them

As a cost center HRD is an important and required part of the organization that does create value just not economic value Its challenge is to deliver the HRD services that are necessary to support and protect existshying operations and provide services that will enhance future performance at the lowest possible cost Identify what performance measures you will use The metrics you choose must include the degree behavior must change and how the change in behavshyior was a result of improved business performance

For example HRD determines that an organization experiencing serishyous labor problems is the result of

Mission Statements

Here are two examples of mission statements The first is from an HRD organization that was seen as a cost center The second example was an HRD organization that is used as a source of EVA Which one is closest to the mission statement you have

As a Cost Center ldquoOur mission is to ensure that the organizationrsquos managers and execushytives have the knowledge and skills needed to be effectiverdquo

As an Economic Value Added ldquoThe mission of our HR function is to work in partnership with the organishyzation to achieve its business goals We accomplish this in two ways 1) by providing effective HRD solutions to the execution of the organizationrsquos business strategies and 2) by providshying management with practical tools and processes to attract use and retain talent needed for successrdquo

managers failing to listen to employshyees To address the issue HRD provides training on listening skills but what are the measures How well the supervisors learned to listen or the degree to which the labor climate improved Conduct an HRD survey to determine to what degree you are a source of EVA Where are there important gaps What barriers are preventing you from initiating change (See Figure 1)

Develop a plan for transforming your HRD organization into a greater source of economic value Here are steps to folshylow to develop your own plan

1 Assess y our HRD organizashytion with input from senior management

2 D etermine what you want your transformed function to look like in the future including its mission

68 | T+D | September 2011

Figure 1 | Survey This survey will help you determine what specifically you need to do to improve the value your HRD organization provides Place an ldquoXrdquo on each scale to reflect where you are now and put an ldquoOrdquo on each scale to indicate where you want to be

Cost Center source of eVa Defines its purpose in terms of services it provides

Defines its purpose in terms of how it affects the performance of the organization

Develops strategies and programs that are driven by budgeting process

Develops strategies and programs that are driven by the organizationrsquos and business unitsrsquo strategies

Structures itself around its own areas of functional expertise

Structures itself around its organizational strategies

Benchmarks other companies to ensure it is providing leading-edge services

Ensures services are providing maximum value to internal customers

Presents its strategies and programs to senior management for approval before taking them to clients

Presents its strategies to internal customshyers for input and support before seeking senior management approval

Views itself working for senior management

Views itself working for the units that use its services to meet and improve performance needs

Views the operating units as clients who need HRDrsquos technical expertise for their success

Views the operating units as customers that it is dependent on for its own success

Measures its performance in terms of how many programs it provides each year

Measures its performance in terms of how much impact it has on the organizationrsquos performance

Evaluates the quality of what it provides clients to determine its effectiveness

Seeks clients input to determine its effectiveness

Judges its value in terms of the functionrsquos own growth in budget and headcount

Judges its value in terms of how well it met the needs of its internal customers

structure strategies metrics and Bottom line working relationships with key In the Harvard Business Review article constituents ldquoA New Mandate for Human Resourcesrdquo

3 Obtain input and suppor t for Step Dave Ulrich wrote ldquoShould HR be done 2 from within your own HR orgashy away with This debate arises out of nization as well as among senior serious and widespread doubts about management HRrsquos contribution to organizational

4 I nform those affected by changes performancerdquo Ulrich went on to say what you will be doing differently ldquoBut the truth is HR has never been and why Get their input as well more necessary Achieving organizashy

5 D etermine metrics you will use to tional excellence must be the work measure success of HRrdquo It is now 2011 Where is your

6 Implement your plan HRD organization

Jack Berry is senior consultant at EASI-Consult and president of Jack Berry Consulting jackberryroadrunnercom

interesteD in orDerinG e-Prints Would a digital version of this article be a great fit for your next course presentation or event Are you interested in e-prints of several T+D articles on a specific topic Visit astdorgtDeprints for more information

photo by iStockphotocom September 2011 | T+D | 69

Copyright of T+D is the property of American Society for Training amp Development and its content may not be

copied or emailed to multiple sites or posted to a listserv without the copyright holders express written

permission However users may print download or email articles for individual use

Page 3: Transforming - files.transtutors.com · answers focused on improving business performance. If you decide you want to become a strategic driver of economic value, there are two concepts

How companies create economic value There are a handful of ways organizashytions create economic value bull It can increase the price it charges

for its products and services bull It can decrease the cost in makshy

ing or delivering its products and services bull It can increase the amount of prodshy

ucts and services it sells If you are not making an impact on

one or more of these items with your products and services then you are a cost of doing business In traditional HRD organizations the only way HRD (and other staff functions for that matter) could add economic value is by decreasing the costs of for providing solutions

Roles of operations roles of management and staff Organizations have two basic composhynents 1) operations and 2) management and staff Operations is comprised of all employees (not managers) who are directly involved in the manufacture distribution delivery and sale of an organizationrsquos products or services

Management and staff (that includes HRD) are comprised of people who support operations in carrying out responsibilities This group cannot directly create economic value except by reducing their own costs Management and staff play one or more of four roles in supporting operations

1 P rotect the organization from significant economic loss An example of this would be the training HRD provides on affirmashytive action employment law or safety

2 S upport current operations needed to maintain performance at its existing level such as skills training for new hires

3 P rovide services that will improve the organizationrsquos performance now For example help design

a high performance manufacturing plant

4 E nhance future performance For instance provide a high-potential identification and development process for key executive positions

The first second and fourth roles ll under ldquocosts of doing businessrdquo

he third role improve the organishyationrsquos current performance adds conomic value

faTze

What can you do to add greater value HRD managers must take action if they are to add greater value to the funcshytion and more importantly become a source of competitive advantage for the organizations they support Examine your mission statement and make necessary changes This is a strategic process in which you are deciding the role your function needs to play to add the greatest value possible to your organization Determine what role HRD plays and decide if you need to be a strategic partner or a cost center As a strashytegic partner HRD must be able to identify the human resource challenges affecting the organizationrsquos business strategies and develop and execute plans that will address them

As a cost center HRD is an important and required part of the organization that does create value just not economic value Its challenge is to deliver the HRD services that are necessary to support and protect existshying operations and provide services that will enhance future performance at the lowest possible cost Identify what performance measures you will use The metrics you choose must include the degree behavior must change and how the change in behavshyior was a result of improved business performance

For example HRD determines that an organization experiencing serishyous labor problems is the result of

Mission Statements

Here are two examples of mission statements The first is from an HRD organization that was seen as a cost center The second example was an HRD organization that is used as a source of EVA Which one is closest to the mission statement you have

As a Cost Center ldquoOur mission is to ensure that the organizationrsquos managers and execushytives have the knowledge and skills needed to be effectiverdquo

As an Economic Value Added ldquoThe mission of our HR function is to work in partnership with the organishyzation to achieve its business goals We accomplish this in two ways 1) by providing effective HRD solutions to the execution of the organizationrsquos business strategies and 2) by providshying management with practical tools and processes to attract use and retain talent needed for successrdquo

managers failing to listen to employshyees To address the issue HRD provides training on listening skills but what are the measures How well the supervisors learned to listen or the degree to which the labor climate improved Conduct an HRD survey to determine to what degree you are a source of EVA Where are there important gaps What barriers are preventing you from initiating change (See Figure 1)

Develop a plan for transforming your HRD organization into a greater source of economic value Here are steps to folshylow to develop your own plan

1 Assess y our HRD organizashytion with input from senior management

2 D etermine what you want your transformed function to look like in the future including its mission

68 | T+D | September 2011

Figure 1 | Survey This survey will help you determine what specifically you need to do to improve the value your HRD organization provides Place an ldquoXrdquo on each scale to reflect where you are now and put an ldquoOrdquo on each scale to indicate where you want to be

Cost Center source of eVa Defines its purpose in terms of services it provides

Defines its purpose in terms of how it affects the performance of the organization

Develops strategies and programs that are driven by budgeting process

Develops strategies and programs that are driven by the organizationrsquos and business unitsrsquo strategies

Structures itself around its own areas of functional expertise

Structures itself around its organizational strategies

Benchmarks other companies to ensure it is providing leading-edge services

Ensures services are providing maximum value to internal customers

Presents its strategies and programs to senior management for approval before taking them to clients

Presents its strategies to internal customshyers for input and support before seeking senior management approval

Views itself working for senior management

Views itself working for the units that use its services to meet and improve performance needs

Views the operating units as clients who need HRDrsquos technical expertise for their success

Views the operating units as customers that it is dependent on for its own success

Measures its performance in terms of how many programs it provides each year

Measures its performance in terms of how much impact it has on the organizationrsquos performance

Evaluates the quality of what it provides clients to determine its effectiveness

Seeks clients input to determine its effectiveness

Judges its value in terms of the functionrsquos own growth in budget and headcount

Judges its value in terms of how well it met the needs of its internal customers

structure strategies metrics and Bottom line working relationships with key In the Harvard Business Review article constituents ldquoA New Mandate for Human Resourcesrdquo

3 Obtain input and suppor t for Step Dave Ulrich wrote ldquoShould HR be done 2 from within your own HR orgashy away with This debate arises out of nization as well as among senior serious and widespread doubts about management HRrsquos contribution to organizational

4 I nform those affected by changes performancerdquo Ulrich went on to say what you will be doing differently ldquoBut the truth is HR has never been and why Get their input as well more necessary Achieving organizashy

5 D etermine metrics you will use to tional excellence must be the work measure success of HRrdquo It is now 2011 Where is your

6 Implement your plan HRD organization

Jack Berry is senior consultant at EASI-Consult and president of Jack Berry Consulting jackberryroadrunnercom

interesteD in orDerinG e-Prints Would a digital version of this article be a great fit for your next course presentation or event Are you interested in e-prints of several T+D articles on a specific topic Visit astdorgtDeprints for more information

photo by iStockphotocom September 2011 | T+D | 69

Copyright of T+D is the property of American Society for Training amp Development and its content may not be

copied or emailed to multiple sites or posted to a listserv without the copyright holders express written

permission However users may print download or email articles for individual use

Page 4: Transforming - files.transtutors.com · answers focused on improving business performance. If you decide you want to become a strategic driver of economic value, there are two concepts

Figure 1 | Survey This survey will help you determine what specifically you need to do to improve the value your HRD organization provides Place an ldquoXrdquo on each scale to reflect where you are now and put an ldquoOrdquo on each scale to indicate where you want to be

Cost Center source of eVa Defines its purpose in terms of services it provides

Defines its purpose in terms of how it affects the performance of the organization

Develops strategies and programs that are driven by budgeting process

Develops strategies and programs that are driven by the organizationrsquos and business unitsrsquo strategies

Structures itself around its own areas of functional expertise

Structures itself around its organizational strategies

Benchmarks other companies to ensure it is providing leading-edge services

Ensures services are providing maximum value to internal customers

Presents its strategies and programs to senior management for approval before taking them to clients

Presents its strategies to internal customshyers for input and support before seeking senior management approval

Views itself working for senior management

Views itself working for the units that use its services to meet and improve performance needs

Views the operating units as clients who need HRDrsquos technical expertise for their success

Views the operating units as customers that it is dependent on for its own success

Measures its performance in terms of how many programs it provides each year

Measures its performance in terms of how much impact it has on the organizationrsquos performance

Evaluates the quality of what it provides clients to determine its effectiveness

Seeks clients input to determine its effectiveness

Judges its value in terms of the functionrsquos own growth in budget and headcount

Judges its value in terms of how well it met the needs of its internal customers

structure strategies metrics and Bottom line working relationships with key In the Harvard Business Review article constituents ldquoA New Mandate for Human Resourcesrdquo

3 Obtain input and suppor t for Step Dave Ulrich wrote ldquoShould HR be done 2 from within your own HR orgashy away with This debate arises out of nization as well as among senior serious and widespread doubts about management HRrsquos contribution to organizational

4 I nform those affected by changes performancerdquo Ulrich went on to say what you will be doing differently ldquoBut the truth is HR has never been and why Get their input as well more necessary Achieving organizashy

5 D etermine metrics you will use to tional excellence must be the work measure success of HRrdquo It is now 2011 Where is your

6 Implement your plan HRD organization

Jack Berry is senior consultant at EASI-Consult and president of Jack Berry Consulting jackberryroadrunnercom

interesteD in orDerinG e-Prints Would a digital version of this article be a great fit for your next course presentation or event Are you interested in e-prints of several T+D articles on a specific topic Visit astdorgtDeprints for more information

photo by iStockphotocom September 2011 | T+D | 69

Copyright of T+D is the property of American Society for Training amp Development and its content may not be

copied or emailed to multiple sites or posted to a listserv without the copyright holders express written

permission However users may print download or email articles for individual use

Page 5: Transforming - files.transtutors.com · answers focused on improving business performance. If you decide you want to become a strategic driver of economic value, there are two concepts

Copyright of T+D is the property of American Society for Training amp Development and its content may not be

copied or emailed to multiple sites or posted to a listserv without the copyright holders express written

permission However users may print download or email articles for individual use