PEOPLE MANAGEMENT AND TECHNOLOGY: Two sides of the same coin in the modern workplace? Marius Meyer 15 March 2013 [email protected] @SABPP1
Oct 30, 2014
PEOPLE MANAGEMENT AND TECHNOLOGY:
Two sides of the same coin in the modern
workplace?
Marius Meyer
15 March 2013
@SABPP1
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 factors
IBM CEO Study 2012
Technology revolution
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
HR Talent Management
“Quite possibly the biggest challenge that needs to occur in
HR has to do with talent management – not elsewhere in
organisations, but how talent management in HR is a case of
the shoemaker’s children lacking shoes. Our results suggest
that HR often doesn’t have the right talent; all too often it has
talent that is inferior to the talent in other parts of the
organization.”
Ed Lawler III & John Boudreau (2009)
Achieving Excellence in Human Resources Management, Stanford University Press
SOUTH AFRICAN HR COMPETENCY MODEL
STRATEGY
TALENT MANAGEMENT
HR GOVERNANCE, RISK, COMPLIANCE
ANALYTICS & MEASUREMENT
HR SERVICE DELIVERY
5 HR
CAPABILITIES
LEADERSHIP & PERSONAL CREDIBILITY
ORGANISATIONAL CAPABILITY
SOLUTION CREATION & IMPLEMENTATION
INTERPERSONAL & COMMUNICATION
CITIZENSHIP FOR FUTURE: INNOVATION, TECHNOLOGY, SUSTAINABILITY
5 C
OR
E
CO
MP
ET
EN
CIE
S
HR & BUSINESS KNOWLEDGE
DUTY TO SOCIETY
ET
HIC
S
PR
OF
ES
SIO
NA
LIS
M
4
PILLARS
Comfort zone challenged
Use of workforce
analytics remains limited
IBM: Working beyond Borders
0% 10% 20% 30% 40% 50% 60%
Developing future leaders
Developing strategy linked to business strategy
Allocating the workforce across the organisation
Developing workforce skills and capabilities
Sourcing, recruiting and onboarding individuals fromoutside the organisation
Retaining valued talent within the organisation
Evaluating workforce performance
Enhancing workforce productivity
Measuring collaboration and knowledge sharing acrossthe organisation
29%
28%
35%
30%
40%
38%
40%
39%
14%
26%
25%
23%
22%
20%
19%
15%
14%
5%
Can identifyhistoricaltrends andpatterns
Can developscenarios andpredict futureoutcomes
Use of HRIS
What is the business problem?
“A business running without accurate data is
running blind.”
Ash Mahmud, Head of CRM: Groupon
What is the HR problem?
An HR function running without accurate data
is running blind.
Effectiveness of talent management
system
HR facing social media
L&D Benchmarks (ASTD/SABPP)
BENCHMARK USA RSA CHANGE
Average % payroll 2,24% 3,94% + 0,83
Hours /employee 36 40 - 12
Spend/employee $1068 R 6898 +R 1700
Employees/trainer 253 157 +19
% companies e-learning
31% 43% + 10%
% outsourced 22% 62% +10%
To order the full report contact [email protected]
Management system standard: purpose and
benefits
A (business) management system standard should be a means to:
achieve business objectives
increase understanding of current operations and the likely impact of change
communicate knowledge
demonstrate compliance (with the requirements of King III the Combined code, Sarbanes-Oxley, sector-specific and international standards etc.)
Means to establish 'best (good) practice'
Means to ensure consistency
Establish and set priorities
Instigate organisational change
What is a management system?
One definition of management is 'the guidance and control of
action', and a system is defined as a 'set of components
interconnected for a purpose'.
A management system is: 'A set of components, interconnected
for the guidance and control of action'.
This suggests that the 'interconnection' has been planned for a
reason, and that the purpose would not be achieved without the
'interconnection'. In other words, the separate components
would not independently achieve the same results.
Integrated management system
IT skills for HR
Operational Management Consistency in the
Management of People
One of the toughest things to be is consistent
Value of technology
Revenue per full-time employee
1%
24%
16%
12%
2%
23%
4%
3%
15%
0% 5% 10% 15% 20% 25% 30%
R0
> R100 000
R100 000 to R1 million
R1 million to R 10 million
R10 million+
Don’t measure/Don’t know
It’s confidential
?
Not applicable
Cost of labour as a % of revenue
9%
7%
12%
7%
9%
14%
11%
25%
4%
2%
0% 5% 10% 15% 20% 25% 30%
> 10%
11 - 20%
21 - 30%
31 - 40%
41 - 50%
51 - 60%
61 - 70%
Don’t know/Not applicable
Not done
Too confidential
LTO rate
35%
21%
44%
0% 10% 20% 30% 40% 50%
Don't know
Don't measure
Indicate LTO rate:
Absenteeism rate
34%
31%
35%
29% 30% 31% 32% 33% 34% 35% 36%
Don't know
Don't measure
Indicate absenteeism rate
HR manager’s response to
technology?
1. Spending on human capital a. Total amount spent on employees (salaries, benefits, taxes) b. Total amount spent in support of employees c. Total amount spent in lieu of employees (contractors, etcetera) d. Total amount invested in training and development e. Total headcount and total FTE (full-time equivalents) at the end of the period 2. Ability to retain talent a. Voluntary and total turnover b. Broken down by subset of EEO-1 job types c. Industry standard formula of (# of terminations during the period) / (average active headcount during the period) 3. Leadership depth a. Percentage of defined positions that have an identified successor b. Percentage of open defined positions filled internally during the period
The basic metrics they propose as
essential for investors to know are:
SHRM (April 2012)
4. Leadership quality a. Index of relevant questions from employee survey b. Information on the response rate and methodology/tool 5. Employee engagement a. Index of relevant questions from employee survey 287 b. Information on the response rate and methodology/tool 6. Human capital discussion & analysis (HD&A) a. Narrative to provide context and discussion of the reported metrics b. Disclosure of any material risks or any other material information related to human capital Note: Organisations may wish to include breakdowns of these metrics by unit or region; it simply depends on what makes sense to the organisation and its investors.
The basic metrics they propose as
essential for investors to know are:
SHRM (April 2012)
We are changing with technology
10 V’s of HR Technology Management
1. Vision
2. Value
3. Variables
4. Variance
5. Variety
6. Validity
7. Verification
8. Velocity
9. Vendors
10. Vulnerability - risks
Risk + readiness
SABPP HR System Standards Model
BUSINESS STRATEGY – HR BUSINESS ALIGNMENT
Strategic HRM
Talent Management
HR Risk Management
FUNCTIONAL & CROSS FUNCTIONAL HR VALUE CHAIN
HR VALUE & DELIVERY PLATFORM
Work- force
planning Learning
Perfor- mance
Reward Well- ness
ERM OD
HR Service Delivery
HR Technology (HRIS)
Pre- pare
Im- ple-
ment
Review Improve MEASURING HR SUCCESS HR Audit: Standards & Metrics
H R
C O
M P
E T E N C
I E S
SABPP HR Standards & Metrics
Roadmap
PHASE 1:
Manage- ment
System Standard
PHASE 2:
HR Functional standards
PHASE 3:
HR Metrics
PHASE 4:
Integrated Reporting
PHASE 5:
CPD & Support Tools
PHASE 6:
HR integrated in
King IV
2012 2013 2017
HR Standards Roll-out
Development (21-22 May)
Consultation (June-July)
Release (20-22 Aug)
Standards-writing
(100 top HR professionals)
Standards inputs
(100 top HR specialists +
1000 professionals)
Standards finalisation
(100 HR Directors
sign-off) HR Standards
conference
The need for consistency and quality
COMPANY AND
EMPLOYEE DATA
INFORMATION
TECHNOLOGY SYSTEMS
WHAT do we have?
KNOWLEDGE
STANDARDS BENCHMARKING
INTELLIGENCE Business; Market; HR;
Industry; Country; Region; World
ANALTYICS AND METRICS
WHY do we have it? WHAT else is needed?
DECISION-MAKING • Strategy
• Interventions
WHAT can we do with it?
I MPLEMENTATION
HOW, WHO, WHEN, WHERE?
EVALUATION
Conclusion
HR standards are needed to improve the
consistency and quality of people
management. HR managers should leverage
technology for improved HR practice and
business decision-making.
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Let us build our competence in HR
Technology!
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Website : www.sabpp.co.za
New office: 8 Sherborne Str, Parktown
Tel: 011 482-8595 Fax: 011 482-4830
Cel: 082 859 3593 (Marius Meyer)
New office