Using HR Metrics to Support Strategic
Planning/Employee Development
John Supra & Nathan Strong
October 2012
A Strategic Asset for
Transformation
Beyond Transactions
• Connection of Strategy with Talent
• Source for Recruitment
• Home for Workforce Investment
– Training programs
– Retention and reward programs
• Leads Organizational Structure
• Supports the Culture
Organizational Structure
• Alignment with Strategy
• Away from Hierarchy Driven
– Projects and teams
• Valuing Management AND Expertise
• Responsibility beyond Number of Reports
• Public Sector Challenges
Balancing How We Value
People
Knowledge
Expertise
Assets
Projects
Individual Leader Growth
Finance
Program Areas
(Business/Ops)
Technology
6
SC DHHS Workforce
Number of Employees vs. Years of Service (Avg 8.1 years)
180
160
140
120
100
80
60
40
20
0
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 33
Number at 10 years of service
is related to agency transfer.
Balanced Scorecard
Adapted from Kaplan & Norton, “Using the Balanced Scorecard as a
Strategic Management System,” HBR (Jan-Feb 1996).
Connecting to Business Goals
• Balanced Scorecard in Public Sector
• Tying Performance to Balanced Scorecard
– Key initiatives in each area
– Developing strategy and planning that
connects with Balanced Scorecard
– Connecting each employee’s metrics with
the Balanced Scorecard
SC DHHS Initiatives
•
•
•
•
•
•
•
Performance & Accountability Driven
Reduce Silos – Management Levels
Align with Goals not Funding
Workforce Skills & Expertise Elevation
Lean Six Sigma – Process Improvements
Bonus Incentive Linked to Performance
Flexibility in Compensation Structure
Metric Driven Planning &
Performance Management
SC DHHS Draft Metrics
Attract, Train, and Retain High Performers
• Strengthen Recruitment & Hiring
• Average length of service
• Voluntary separation rate
• Turnover by area/class
• Performance Ratings (# high vs. average)
• Average Training Investment per Employee
• Average Training Investment per Supervisor
• New Employee Training (# and investment)
• Percent of Staff Training (CPM, Six Sigma, etc…)
Provide Consulting Services for Risk Avoidance
Improve Employee Accountability and
Engagement and Ensure Appropriate Rewards
• 100% Meaningful Performance Reviews
• Balanced Bonus Program (performance/project)
• # and Investment of Bonus Awards
• Investment in Employee Events
• Wellness Events
Enhance Human Resources Operations
• Number of Complaints Addressed
• Customer Service – Manager Surveys
• Number of Grievances/Settlements/EEOC
• Index of Worker’s Compensation Costs
• Number of Disciplinary Actions
• EAP Utilization
• Process Efficiency and Effectiveness – Transaction
Cycle Times
• Maintain Appropriate Level of Labor Costs
• HR Help Desk Turn-Around Times
• Benefits Services (# and timeliness)
USC Strategic Plan
Focus Carolina is the University of South
Carolina’s Strategic Plan guides us in our
decision making for USC’s future.
We commit to seven focus areas:
•
•
•
•
•
•
•
Educational Quality
Leadership
Innovation
Diversity
Access
Global Competitiveness
Community Engagement
Academic Dashboard
 Unveiled in January 2012
 Selection of metrics
– Relatively small number
– Broad impact
– Students and faculty
 Selection of comparison groups
– Peer and peer‐aspirant
– Similar mission and size
– Competitors
USC’s Success Critical Areas
•
•
•
•
Cost Effectiveness of Business Practices
Sustainable and Productive Workforce
Improving the Work Environment
Enhancing Operational Effectiveness
Cost Effectiveness
Result Area
Cost Effective Business Practices that Enhance
Competitiveness in Higher Ed Marketplace
Success Drivers Competitive Pay
for Faculty and
Staff
Mitigation of
Employment
Related Risk and
Exposure
Maintain
Appropriate
Level of Labor
Costs
Competitiveness
of faculty
salaries vs.
identified job
markets
Index of WC
costs;
settlement
costs; employee
claim costs;
impact of EAP
Avg. Comp. and
Benefits per
FTE; % of total
budget devoted
to employee
comp and
benefits
Key Metrics
Workforce
Result Area
Creating a Sustainable and Productive
Workforce
Success Drivers
Successful
Hiring Practices
Investment in
Employee
Development
% of new hires
who become
high performers
in 2 yrs.; Total
separations
from USC w/in 1
yr./Total hires
for same year
% of staff
participating in
professional
development;
improvement in
Needs
Assessment
results index
Key Metrics
Retention of
Talent
Work Environment
Result Area
Improving the Work Environment for USC
Employees
Success Drivers
Employee
Engagement
Key Metrics
Employee
Engagement
survey results
by work unit
Effective Supervision and
Recognition of Employees
Number of Employees receiving
recognition/all employees
% of supervisors trained in core
programs
HR Operational Effectiveness
Result Area Enhancing the Operational Effectiveness of the
HR Function
Success
Drivers
Key Metrics
Customer Service
Process Efficiency and
Effectiveness
Customer Service survey
results by program area
Index of performance
measures by Program Area
Partner feedback on
process changes
# of processes reviewed
and documented
The Value of HR Metrics
• Reveals progress toward critical
organizational goals
• Keeps HR focused on matters important
to the University
• Ensures that issues that affect the
workforce are considered in planning
efforts
Questions & Discussion