Strategic thinking 12_jun_2014

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Text of Strategic thinking 12_jun_2014

1. MOVING FROM OPERATIONAL TO STRATEGIC THINKER Marius Meyer, CEO: SABPP 12 June 2014 marius@sabpp.co.za @MariusSABPP & @SABPP1 2. Do you see the bigger picture? 3. Agenda Part A: HR trends and best practices Part B: State of HR profession Part C: HR Competency Model & National HR Standards 4. The role of HR 5. Identifying talent issues before they impact the business Adjusting HR strategies to respond to changing business needs Understanding how HR business partners can support the business The results of our research indicated that our top three priority CCRs include the following: SABPP Strategic Vision To Professionalise the HR Profession SABPP - ETQA SABPP Registration Committee HRD Committee Business Leaders Expectations OR Critical Customer Requirements (CCRs) Key HR Business Partner Outputs Competencies CareerPaths LearningSolutions SABPP Strategic Vision To Professionalise the HR Profession SABPP - ETQA SABPP Registration Committee HRD Committee Business Leaders Expectations OR Critical Customer Requirements (CCRs) Key HR Business Partner Outputs Competencies CareerPaths LearningSolutions 1Communicating organisational culture/values to Employees 1Keep abreast of new legislation that may impact on business 1Preparing for different situations 2Responding to organisational changes 2Managing conflict between managers 2Assessing Employee attitudes 3Enforcing standard HR policies and procedures 3Resolving political problems in the execution of business plans 4Respond to manager needs 4Retention of talent within the business 5Capacity building/Skills development 6Quickly responding to employee needs 6Communication around HR in general 11Tracking trends in employee behaviours and attitudes. 11Keep the line updated on HR initiatives 13Prioritizing across HR Needs 25Utilising new business strategies 30Developing the next generation of leaders 32Identifying talent issues before they can impact on the business 35Identifying HR Metrics 42Adjusting HR strategies to respond to changing business needs 43Understanding how HRBs can support the business 48Redesigning Organisational Structure around strategic objectives 54Understanding the Talent needs of the business TOTALCCR 1Communicating organisational culture/values to Employees 1Keep abreast of new legislation that may impact on business 1Preparing for different situations 2Responding to organisational changes 2Managing conflict between managers 2Assessing Employee attitudes 3Enforcing standard HR policies and procedures 3Resolving political problems in the execution of business plans 4Respond to manager needs 4Retention of talent within the business 5Capacity building/Skills development 6Quickly responding to employee needs 6Communication around HR in general 11Tracking trends in employee behaviours and attitudes. 11Keep the line updated on HR initiatives 13Prioritizing across HR Needs 25Utilising new business strategies 30Developing the next generation of leaders 32Identifying talent issues before they can impact on the business 35Identifying HR Metrics 42Adjusting HR strategies to respond to changing business needs 43Understanding how HRBs can support the business 48Redesigning Organisational Structure around strategic objectives 54Understanding the Talent needs of the business TOTALCCR 6. Part A: HR Trends & Best Practices Where is HR going globally and in South Africa? What are the major HR trends and best practices? 7. PARADIGM SHIFT OPERATIONAL MINDSET Day-to-day tasks Transactional HR Getting things done Crisis reactive management Doing things now Training for tasks Managing people Internal focus Short-term measures STRATEGIC THINKING Long term priorities Transformational HR Creating value Proactive management Planning things for future Organisational capability Leading people External focus Strategic measures - metrics 8. IBM CEO Study 2012: Factors impacting organisations 1 Technology factors (71%) 2 People skills (69%) 3 Market factors (68%) 4 Macro-economic factors 5 Regulatory concerns 6 Globalisation 7 Socio-economic factors 8 Environmental issues 9 Geopolitical factorsIBM CEO Study 2012 9. HR Trends HR as Strategic Partner and Talent Management HR Governance HR Risk Management New role to impact ethics in organisations HR contribution to CSR and socio-economic situation - sustainability HR Technology and Social Media HR standards and metrics integrated reporting HR Competency models - professionalism 10. HR managers response to metrics? 11. Biggest Opportunities for HR IBM: Working beyond Borders Cultivating creative leaders Mobilising for greater speed and flexibility Capitalising on collective intelligence i.e. collaboration 12. Most important organisational capabilities over the next five years IBM: Working beyond Borders 31% 33% 34% 37% 28% 30% 32% 34% 36% 38% Innovation Client connectivity Execution speed Leadership 13. Most important leadership qualities over the next five years IBM: Working beyond Borders 35% 52% 60% 0% 10% 20% 30% 40% 50% 60% 70% Ability to balance work and life demands Integrity Creativity 14. Part B: State of HR Profession in SA What is the current state of HR in SA? 15. Top facts about HR Human Capital is the biggest concern for CEOs (PwC). Only 18% of CEOs feel confident that they have the right people in place to execute strategy (CEB). Human Capital is the biggest risk in business (HCI Africa). Skills crisis is the top obstacle to economic growth. Strikes cost SA R197 million per day. 16. More facts about HR SA losing R12 billion a year due to absenteeism. Only 5% of employees understand business strategy. World-wide only 13% of employees actively engaged. Companies with engaged employees outperform others by 202% (Dale Carnegie). Companies with good HR Practices outperform others by treating HR as critical business function, these companies are 105% more profitable. Average ROI on wellness programmes: 300%. 17. SABPP Professional Values RESPONSIBILITY I RESPECT INTEGRITY COMPETENCE 18. SABPP BENEFITS RECOGNITION = PROFESSIONAL STATUS RESOURCES = PRODUCTS/SERVICES RESEARCH = INFORMATION Professional registration NLRD Upload (SAQA) RPL Awards Advocacy HR Assessors/Moderators registration Accreditation of providers University accreditation HR Competency Model Social media discussions Knowledge Centre Booklets/DVDs Guides/toolkits Charts/posters Fact sheets One-stop info Updates (laws) Ethics help-line Newsletters Website HR Internships/jobs HR policies Mentoring Workshops/seminars Access to alliances CPD Students Research papers Position papers Books Articles Cases Benchmarking Magazines Labour market information 19. Professional registration levels M/D degree + 6 years top level experience LoW = executive level MHRP (Master) CHRP (Chartered) Degree/ND + 3 years experience LoW = middle management HRP (Professional) HRA (Associate) Certificate + 1 year experience LoW = entry HRT (Technician) Hons degree + 4 years sr experience LoW = senior management 2 year dip + 2 years experience LoW = junior level 20. BUSINESS STRATEGY HR BUSINESS ALIGNMENT Strategic HRM Talent Management HR Risk Management HR ARCHITECTURE HR VALUE & DELIVERY PLATFORM Work- force planning Learning Perfor- mance Reward Well- ness ERM OD HR Service Delivery HR Technology (HRIS) Prepare Imple- ment Review Improve HR MEASUREMENT HR Audit: Standards & Metrics HRCOMPETENCIES SABPP HRM SYSTEM STANDARDS MODEL 21. STRATEGIC HR MANAGEMENT STANDARD DEFINITION Strategic HR Management is a systematic approach to developing and implementing long-term HRM strategies, policies and plans that enable the organisation to achieve its objectives. SABPP (2013) 22. STRATEGIC HRM STANDARD ELEMENT: IMPLEMENTATION Framework of HR policies & programmes Environmental scan (PESTL) HR structure, service model and capability development People strategy HR strategic agenda Organisations strategic intent HR strategic agenda HR business plan People strategy Allocate roles & responsibilities (line/HR/support functions) MONITOR & EVALUATE 23.