Wednesday, March 31, 2010

Delivering successful HR transformation

The initial task is to define the current state of HR delivery within the organization, and determine the existing business strategy and priorities. It’s then important to gain an insight into what the customers of the HR function, the line managers and employees, think of the services they receive and examine the state of HR processes, assessing whether they are efficient and standard across the organization or if they vary by business unit or country. By applying various tools it’s possible to look at the existing technology, the current organizational structure and the company culture, and identify areas of improvement for HR. The next step is to design a new operating model – which may include outsourcing, service centers and new technology – which is configured to provide the best delivery model for the organization. Getting it right is worth the effort. Successful HR thought leaders, describe effective HR execution as “the difference between plans that become reality and those that go nowhere.” These HR leaders regularly connect HR strategy and execution as they firmly believe that, “value add of any HR initiative is the end-result of the quality of that effort, the acceptance of stakeholders and its execution.”

Business executives first, HR specialists second
In organizations globally, the most respected HR leaders are business executives first and HR specialists second. They partner with and are confidants of their CEOs and leadership teams and often find themselves at the epicentre of corporate change, being given credit for bringing about the toughest of business transformations. These HR leaders are also being recruited by progressive domestic and global boards. Responding to the intense focus on complying with new corporate governance legislation and increasing investor scrutiny, boards are retooling to ensure they have the right mix of highly qualified specialists, including HR experts. The price of failing to make the connection between overall business strategy and HR strategy is high. There will always be an option for the organization to hand over the HR services to an outsourcing organization who can effectively transform the function and make it work at considerably less cost. But HR functions which grab the nettle – those that convince the business of the value of transformation, can recognize that skills and capabilities in HR can change if needed and can harness technology – will become effective strategic partners and make a positive contribution to the continuing success of the organization.

Cheers anshumali.saxena@soilindia.net

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