Becoming an Administrative Expert
• As HR professionals reengineering their
delivery of service, they become
administrative experts creating efficient
infrastructures, both for HR processes and
for their businesses as a whole.
Case Study 1: Johnson & Johnson
•
•
•
•
•
J&J’s centers of expertise included the following.
Compensation / benefits;
Affirmative action / diversity;
“Live of life,” a combination of medical, safety,
wellness, and employee-assistance programs and
risk-screening service;
Employee relations;
Organizational effectiveness.
Table 4-1 Johnson & Johnson’s Estimated Allocation of HR Time
Field HR/
Dedicated
Service
Service
Center
Center of
Expertise
Contracted
Service
Total Time
Past: In a
centralized
HR
organization
20
70
10
100
Past: In a
decentralized
HR
organization
80
10
10
100
Present:
Where we
are today
40
30
10
20
100
Future:
Where we
are headed
20
40
10
30
100
Case Study 2: Lotus Company
The HR department created a new vision:
• We view ourselves as a business dedicated
to helping all our customers achieve
maximum value from our products and
services.
The key practices and lessons from
the Lotus HR reengineering effort:
• Place all possible HR information on-line.
• Empower “responder” accountability among the
Direct Connect staff to ensure quality service
delivery.
• Track all calls.
• Work hard to deliver Direct Connect service.
• Distribute data about Call Center use to line
managers.
• Do aggressive marketing.
Actions Necessary to Becoming
an Administrative Expert
•
•
•
•
•
•
Two Phases of Reengineering:
Phase 1: Improving Processes
Define the target processes.
Develop “as is” models.
Challenge underlying assumptions.
Develop “should be” models.
Implement, roll out, market.
Measure business impact.
Phase 2: Rethinking HR Value Creation
• Framework 1: Avoid the
centralization/decentralization quandary
• Framework 2: Define a value-creation
framework and delivery options
• Framework 3: Define a value-creation
process
Broker of Services:
(IBM’s Workforce Solutions)
•
•
•
•
•
•
•
•
•
•
HR research and consulting
Leadership development
Compensation and benefits administration
Occupational health service
Work force diversity programs
Equal opportunity compliance and records
Recruiting and employment
Resource programs and operations
Information technology
Executive programs
Service Center:
Transaction-based activities
•
•
•
•
•
•
Benefit-related activities
Compensation/pay activities
Development and learning activities
Corporate citizenship activities
Records activities
Staffing activities
Centers of Expertise:
Transformation-based activities
•
•
•
•
•
•
•
•
•
Staffing
Development
Compensation
Organizational effectiveness
Communication
Organization design
Employee relations
Union relations
Security
Integrated Solutions:
• The integrated solution engages and enlists experts
from multiple staff groups into teams that confront
business problems within business units, unlike
the center of expertise, though which HR experts
independently contract with a business unit.
• A second difference is that the integrated solution,
either across the multiple functions of HR or
across multiple staff groups, provides in-house
consulting expertise on common business problem.
Framework 3:
Define a value-creation process
• Step 1: Customer Requirements
• Step 2: Customer Interface
• Step 3: Process
· HR professionals dedicated to the business
· HR professionals in shared service roles
· Line managers
· Information technology
· Outsourcing
• Step 4: Shared Services
Key Success Factors in a Shared
Service Organization
step1:Customer Requirements
• Involve the customer in defining
deliverables
• Help the customer see the importance of
strategic HRM and the role of HR strategy
Step2: Customer Interface
• Select the right HR business professional
• Be skilled at organizational diagnosis
Step3: Process
• Define and use multiple channels of
delivery
• Share information between customer and
shared service and shared service and
customer
Step4: Shared Services
• Remove boundaries within the HR function
• Clarify multiple roles within the shared service
organization
• Co-locate members of the shared service
organization
• Encourage and teach teamwork
• Get consolidations over as quickly as possible
• Define measures of shared –service success
Potential Pitfalls and Things to
Watch out for
•
•
•
•
•
Power Shifts
Depersonalization
Accountability
Shared Mindset
Shadow Staff
Questions
• 1.「IBM had found that some of the outsourced HR
services were elements of IBM’s distinctive
competence and that buying and selling these
services as commodities lessened IBM’s
uniqueness.」What is your opinion on this finding?
• 2.What is boundaryless behavior? What will be the
results of boundaryless behavior?
• 3.What is the difference between Administrative
Expert and Strategic Partner?