0304 Boudreau Beyond HR

Beyond HR: A Business Approach to Building Human Capital
_________
Presentation Slides
KnowledgeAdvisors Symposium March 4, 2010 Washington, D.C.
Professor John Boudreau Marshall School of Business and Center for Effective Organizations (CEO) University of Southern California John.boudreau@usc.edu 213-740-9814 <john.boudreau@usc.edu>
Note: The materials contained here are original copyrighted works of John Boudreau and Peter Ramstad. This is intended as a discussion document. Comments are welcome and encouraged. However, it contains trade secret and other proprietary information of John W. Boudreau and Peter M. Ramstad. This copy has been provided on the basis of strict confidentiality and the express understanding that it may not be reproduced without express permission from the appropriate author, as indicated in the copyright notice at the bottom of the slide. Please do not copy or distribute this information without prior permission from the appropriate authors, and agreements for the use of licensed material. Version KDGADV030410 4 March 2010 Copyright 2010 Boudreau-Ramstad Partnership All Rights Reserved.
Beyond HR
KnowledgeAdvisors Symposium
John Boudreau March 4, 2010
Beyond HR:
A Business Approach to Building Human Capital
KnowledgeAdvisors Symposium Washington,D.C. March4,2010
ProfessorJohnW.Boudreau,Ph.D. CenterforEffectiveOrganizations MarshallSchoolofBusiness UniversityofSouthernCalifornia john.boudreau@usc.edu
2010JohnBoudreau
Managing the Right Asset?
Manufacturingortechnologycompany Highgrowthpotentialinthelongterm
Strongmarketdemand
Constrainedresource:
Projectengineerstocustomizetheproductsto theneedsoftheclients
2010JohnBoudreau
Copyright 2010. John W. Boudreau. Center for Effective Organizations. All rights reserved. Please do not copy or distribute without permission. john.boudreau@usc.edu 1
Beyond HR
KnowledgeAdvisors Symposium Traditional Budgeting Objectives
Goals:
Completecertainprojects Addsixnewprojectengineers
Actual:
Completed projects Only added three new engineers
2010JohnBoudreau 3
Typical Performance Appraisal
Completedallobjectives E Expensesunderbudget d b d t Mostsystemswouldrewardbudgetgoal
BUT, which is the more important risk: The Th expenses saved , or d The talent capacity to handle future projects
2010JohnBoudreau 4
Beyond HR
IPO Investors in the 1980s

Companies whose investor communications indicate people are important: At Time of IPO Five years later Priced lower Valued higher Survival is higher 70%survival 92%survival 34%survival
TheresaWelbourne&AliceAndrews(1996)
2010JohnBoudreau 5
AverageHRvalue HighHRvalue/rewards LowHRvalue/rewards
Risk in Talent Management?
Whereisriskbuiltintoyourcompanys talentstrategy? H d HowdoyourHRsystemsmanagetalent HR t t l t risk? Howdoyourstakeholdersmanage talentrisk?
2010JohnBoudreau
Beyond HR
KnowledgeAdvisors Symposium Extending the Paradigm
Decisions Services
Provideeffectiveservices Improveorganizational decisions
Control
Maintaincomplianceand control
Talentship Human Resources
Personnel
2010JohnBoudreau
Status of Talentship
To what extent are these statements true about your organization?
(1= little or no extent; 2=some extent; 3=moderate extent; 4=great extent; 5 very great extent) 4 great 5=very
(Achieving Excellence in HRM, Lawler & Boudreau, 2009)

Average
(Non-HR sample)
Strategic Role
(Non-HR sample)
Business leaders decisions that depend upon or affect human capital (e.g. layoffs, rewards, etc.) are as rigorous, logical and strategically relevant as their decisions about resources such as money, technology and customers
3.2
.51**
Non-HR Leaders rate their decision quality regarding human capital at the iddl f th th middle of the scale (Finance was rated 4 1) l (Fi t d 4.1). Yet, the rating on this question positively relates to a separate question in which they rated the strength of their HR functions role in strategy.
2010JohnBoudreau
Beyond HR
How Decision Sciences Evolve

Value Creation Strategy
Offerings
Professional Practice Decision Science
Talent
Human Resources
Money
Sales
Accounting
Marketing
TALENTSHIP
Finance
9
2010JohnBoudreau
Elements of A Decision Science
DecisionFramework ManagementSystemsIntegration SharedMentalModels Data,MeasurementandAnalysis FocusonOptimization Focus on Optimization
2010JohnBoudreau
10
Beyond HR
A Common Decision Framework

Impact
Do we achieve our effects where they matter most to our sustainable strategic success?
Effectiveness
How much effect do our policies and practices have on their target population?
Efficiency
How much resource is invested in the portfolio of our policies and practices?
11
2010JohnBoudreau
ReTooling HR
(Boudreau, Harvard Business Publishing, June 2010)
ApplyingProvenBusinessToolstoTalent UsingLogicalFrameworksthatStakeholders AlreadyTrustandUnderstand KnowingTheBusinessMODELS,NotJust KnowingtheBusiness StakeholdersMustAsktheToughQuestions g MakingStakeholdersAsAccountableand AdeptatTalent asOtherResources
2010JohnBoudreau
12
Beyond HR
Is R * I * S * K

A 4-Letter Word In Talent Management?

WhatLevelofWorkPerformanceWillWeSee? WillTalentCapacityFitFutureConditions? HowManyEmployeesWillLeave? WillWeHaveEmploymentShortagesorSurpluses?
2010JohnBoudreau
13
What Level of Job Performance Will Employees Achieve?
Using Engineering Concepts to D fi t Define and M d Measure Return on Improved Performance (ROIP)
2010JohnBoudreau 14
Beyond HR
KnowledgeAdvisors Symposium The Logic of Critical Talent
WhatdoHRstakeholdersdefineascriticaltalent? Ifyouasked15stakeholderswherewouldimproving gg talent10%makethebiggestdifferencetoour strategyWhatwouldtheysay? Whatdostakeholdersdefineascriticalsupplychain ormanufacturingprocesses? Ifyouasked15stakeholders wherewouldimproving If you asked 15 stakeholders where would improving supplychaincapacitymakethebiggestdifferenceto businessoutcomes?Whatwouldtheysay?
2010JohnBoudreau
15
Kano Analysis in Product Engineering
Source:http://upload.wikimedia.org/wikipedia/commons/1/14/Kano_Model.gif
2010JohnBoudreau 16
Beyond HR
Kano Analysis Example: Desktop Search

Web Search
Search Speed
Search Completeness
2010JohnBoudreau
17
Return on Improved Performance

BestMickeyMouse
Strat tegicValue
Worst MickeyMouse
Best Sweeper
Thereismorevaluein There is more value in improvingSweepersthan MickeyMouse.
Worst Sweeper
Performance
2010JohnBoudreau 18
Beyond HR
How Fit Will Talent Capability Be For Future Conditions? Conditions? Scenarios, Portfolios and Diversification
2010JohnBoudreau
19
The Logic of Strategic Workforce Plans

Howdoyourstrategyscenariosconnecttoyour strategicworkforceplanning? p p , y Facedwithmultiplepossiblefutures,howdoyou prepareyourtalentportfolio? Howdostrategyscenariosconnecttoplanningfor manufacturingfacilities,R&D,productdevelopment, etc.? Facedwithmultiplepossiblefutures,howdoyou prepareyourfinancialportfolio?
2010JohnBoudreau
20
Beyond HR
Scenario Analysis and Talent Strategy

Financial Portfolio Holdings Global Organization Leadership
Uncertain Future Scenarios
Economic Conditions
Chinese Markets Grow Quickly, Moderately, or Slowly
Choices
What mix of What mix of assets should I China-ready hold? future leaders?
2010JohnBoudreau
21
(21)
Asset Management in Talent Planning

Investment Strategy
Strategic Scenarios (3-year Market in Developing Countries) 60B 30B 20B
Stay the Course
High Return
Returns from 100% DevelopingEconomy Talent Strategy 130 points 70 points -20 points 70 points
Low-Risk Generic
Returns from 100% Generic Talent Strategy 40 points 40 points 40 points 40 points
Low-Risk Diversified
Return from 65% Developed and 35% Developing Combination 59 points 57 points 58 points 58 points
Returns from 100% Probability P b bilit Developedof Strategic Economy Scenario Talent Strategy 30% 50% 20% 20 points 50 points 100 points
Expected Return 51 points
2010JohnBoudreau
22
Beyond HR
How Many Employees Will Leave And How Fast Must We Replace Them?
Are Turnover Rates Too Dangerous to Share with Non-HR Leaders?
2010JohnBoudreau
23
Typical Turnover Analysis Logic

Spendmonthsdefiningtherightturnoverrate Benchmarkagainstindustrycompetitors Reportturnoverandbenchmarktostakeholders Report turnover and benchmark to stakeholders Calculatethecostsofseparatingandreplacing employeestoshowthemillionsofdollarssaved Whatistherightthingtodoaboutemployee turnoverof15%?
Whatifproducehadaspoilagerateof15%?
2010JohnBoudreau
24
Beyond HR
Spoilage Retools Employee Turnover

EffectofAcquisitions QuantityofEmployeesadded X QualityofEmployeesadded Quality of Employees added StartingWorkforceValue QuantityofEmployees X QualityofEmployees EndingWorkforceValue QuantityofEmployees X QualityofEmployees
ChangeinWorkforce
EffectofSeparations QuantityofEmployeesremoved Quantity of Employees removed X QualityofEmployeesremoved MinustheTransactionCostofProcessingtheSeparationsandAcquisitions
2010JohnBoudreau
25
Inventory Retools Employee Shortages

WhatdoHRstakeholdersconsidertherightlevelof employeesurplusesandshortages? g WhatdoHRstakeholdersconsidertherightamount oftimetofillopenrequisitionsfortalent? Whatdostakeholdersconsidertherightlevelof surplusesandshortagesforrawmaterialsor unfinishedgoods? g WhatdoHRstakeholdersconsidertherightamount oftimetofillopenordersforproductsormaterials?
2010JohnBoudreau
26
Beyond HR
Optimum Employee Inventory
Shortages and Surpluses as Tools not Risks Optimum (inflection point) Total Cost
Amount of Employee Inventory

2010JohnBoudreau 27
Supply Chain Retools Talent Acquisition

WhatdoHRstakeholdersconsidertherightamount oftimetofillopenrequisitionsfortalent?
WhatdoHRstakeholdersconsidertherightamountof timetofillopenordersforproductsormaterials?
2010JohnBoudreau
28
Beyond HR
Optimum Time to Fill Depends on the Supply Chain

Talent Flows
Create
Potential Labor Pool Labor Pool
Attract
Applicant Pool
Choose
Candidates for Further Evaluation Offer Candidates New Hires
Building & Planning g
Recruiting
Screening
Selecting
Offering & Closing g
Staffing Processes Metrics: Cost, Time, Price, Expected Quality/Quantity, Variation in Quality/Quantity
2010JohnBoudreau
29
Retooling HR Getting Started

Learnthebusinesslogic FindalliesinfunctionsoutsideofHR Seekouttheinconsistencies S k t th i it i Focusonthepivotpointsandinflections Logicfirst,numberslater Rapidprototype Innovatethroughplay I h h l
2010JohnBoudreau
30
Beyond HR
KnowledgeAdvisors Symposium Contact John Boudreau CenterforEffectiveOrganizations UniversityofSouthernCalifornia
Office:2137409814 john.boudreau@usc.edu http://ceo.usc.edu
2010JohnBoudreau
31

0304 Boudreau Beyond HR

Încărcat de

Informații document

Descriere originală:

Drepturi de autor

Formate disponibile

Partajați acest document

Partajați sau inserați document

Opțiuni de partajare

Vi se pare util acest document?

Este necorespunzător acest conținut?

Drepturi de autor:

Formate disponibile

0304 Boudreau Beyond HR

Încărcat de

Drepturi de autor:

Formate disponibile

Beyond HR: A Business Approach to Building Human Capital

John Boudreau March 4, 2010

Managing the Right Asset?

John Boudreau March 4, 2010

Typical Performance Appraisal

Completedallobjectives E Expensesunderbudget d b d t Mostsystemswouldrewardbudgetgoal

John Boudreau March 4, 2010

IPO Investors in the 1980s

AverageHRvalue HighHRvalue/rewards LowHRvalue/rewards

Risk in Talent Management?

Whereisriskbuiltintoyourcompanys talentstrategy? H d HowdoyourHRsystemsmanagetalent HR t t l t risk? Howdoyourstakeholdersmanage talentrisk?

John Boudreau March 4, 2010

Talentship Human Resources

(Achieving Excellence in HRM, Lawler & Boudreau, 2009)

John Boudreau March 4, 2010

How Decision Sciences Evolve

Elements of A Decision Science

DecisionFramework ManagementSystemsIntegration SharedMentalModels Data,MeasurementandAnalysis FocusonOptimization Focus on Optimization

John Boudreau March 4, 2010

A Common Decision Framework

(Boudreau, Harvard Business Publishing, June 2010)

ApplyingProvenBusinessToolstoTalent UsingLogicalFrameworksthatStakeholders AlreadyTrustandUnderstand KnowingTheBusinessMODELS,NotJust KnowingtheBusiness StakeholdersMustAsktheToughQuestions g MakingStakeholdersAsAccountableand AdeptatTalent asOtherResources

John Boudreau March 4, 2010

A 4-Letter Word In Talent Management?

What Level of Job Performance Will Employees Achieve?

John Boudreau March 4, 2010

Kano Analysis in Product Engineering

John Boudreau March 4, 2010

Kano Analysis Example: Desktop Search

Return on Improved Performance

John Boudreau March 4, 2010

The Logic of Strategic Workforce Plans

John Boudreau March 4, 2010

Scenario Analysis and Talent Strategy

Uncertain Future Scenarios

Chinese Markets Grow Quickly, Moderately, or Slowly

Asset Management in Talent Planning

Stay the Course

Expected Return 51 points

John Boudreau March 4, 2010

Typical Turnover Analysis Logic

John Boudreau March 4, 2010

Spoilage Retools Employee Turnover

EffectofSeparations QuantityofEmployeesremoved Quantity of Employees removed X QualityofEmployeesremoved MinustheTransactionCostofProcessingtheSeparationsandAcquisitions

Inventory Retools Employee Shortages

John Boudreau March 4, 2010

Amount of Employee Inventory

Supply Chain Retools Talent Acquisition

John Boudreau March 4, 2010

Optimum Time to Fill Depends on the Supply Chain

Building & Planning g

Offering & Closing g

Retooling HR Getting Started

John Boudreau March 4, 2010

Office:2137409814 john.boudreau@usc.edu http://ceo.usc.edu

S-ar putea să vă placă și