HR Value Pyramid
Human Resources (employees) impact every single part of a company's P&L, with small HR improvements offering
dramatically increased profits, and small HR mistakes capable of devastating the bottom line.
Identify your Business Objectives, and a (Strategic!) HR Professional will show you how HR will help you achieve them.
(Use the 'interactive' HR Value Pyramid screen in our Strategic HR Management Solutions software for custom impact illustrations in your areas of interest.)
Maximize Profits
Business
Strategies
Numbers in parentheses in each Strategy or Tactics box indicate how many of the listed 190 HR Tasks, Products, and Services MAY impact that area.
Increase
Revenue
Protect
Revenue
(125*)
(24)
Business
Expense
Management
Long Term
Business Cost
Containment
(180**)
(49)
Cost Avoidance Lawsuits
Cost Avoidance Fines
Business
Productivity
(70)
(42)
(125*)
HR
Strategies
* "Increasing Revenue" and "Business Productivity" can be impacted by any or all of 3 major HR areas of "Turnover", "Talent Attraction", and "Employee Productivity".
HR Expense
Management
Leveraging HR
Time
Business and Asset
Protection
Long Term HR Cost
Containment
Turnover
Reduction
Attract Best
Talent
Employee
Productivity
(180**)
(174**)
(101)
(49)
(99)
(81)
(83)
Recruiting
(33)
Hiring
(45)
Compensation
(25)
Employee
Benefits
(64)
Payroll / Tax
Administration
(44)
Performance
Management
(79)
Workplace
Liability
Management
(36)
Workplace
Safety /
Workers Comp
(44)
"Other***"
Employment
Compliance
(53)
Record Keeping
/ HRIS
Technology
(117)
Separation
(52)
190 HR Tasks, Products, and Services
HOW HR Will Make It Happen
Human Resource forecasting / planning assistance FLSA compliance and guidance (1+)
Payroll processing: internal software (plus checks, materials,
Pay-as-you-go
etc) WC coverage
Recruiting strategy assistance
EPA compliance and guidance (2+)
Payroll processing: payroll service and/or online processing
Annual wage & premium audit administration
Employment application updating / compliance
Incentive pay plans
Timeclock system
Experience Modifier verification / correction
Job Description writing (first time for whole company)Executive compensation plans
Time and attendance GL interface capabilities
Long term WC cost containment strategies
Job Description updating and for new hires
Total compensation statements
Direct deposit
WC claims administration / first report of injury
ADEA compliance / guidance (20+)
PTO (vacation / leave) policy development
Pay card (debit card) processing
Accident investigations
ADA compliance / guidance (15+)
PTO (vacation / leave) policy administration
Quarterly form 941 filings (1+)
Post accident drug testing
EEO compliance / guidance (50+ & Fed Cntrts, or 100+)FMLA compliance / guidance (50+)
State(s) quarterly withholding tax filings and deposits Return
(1+) to work programs
Job posting ad design
USERRA compliance / guidance (1+)
State(s) Unemployment Insurance (SUI) quarterly tax Lost
filings
time
(1+)frequency tracking
Job posting ad / job board placements
PPACA compliance / guidance (50+)
W-2 and W-3 preparation and distribution (1+)
Safety audits / inspections
Job posting ad / job board discounts
ERISA reporting / disclosure (Form 5500, SARs, etc) (1+)
Federal unemployment administration - 940 filing (1+)OSHA compliance (1+)
Staffing agency assistance
Retention strategies / benefit plan design
State(s) Unemployment Insurance account & rate (1+)OSHA 300 log maintenance (11+)
Recruiter / Headhunter firm assistance
Employee benefits communication / education
SUI experience rate(s) verification / negotiation
Safety manual development / updating
WOTC planning / administration
Annual shopping
/
comparing
benefit
options
Certified
Safety training
"Sell" HR's value to the C-Suite from
thepayroll
top of this picture down.
Applicant tracking system
Annual rate negotiation
IRS compliance / correspondence (employment related)
Certificates of insurance administration
Coordination of the interview process
benefit190
plan "things"
cost containment
strategies
CCPA compliance
/ guidancethat
(1+) fall under the whole
HR audit(s)
ThereLong
areterm
at least
(activities,
products,
and services)
Applicant resume reviews
Group Health / Prescription insurance coverage
Garnishment liability / paperwork processing (1+)
Employment rights posters cost / updating (1+)
umbrella
of HR.
Supervisor Training - Interviewing
Group Dental coverage
Lost checks - stop payments / re-issue
GINA compliance assistance (15+)
Employment phone interviews
Group Vision coverage
Responding to employment and wage verification request
Wage and hour claims response
CEOs
do
NOT
have
the
patience
to
hear
WHY
they
are
all
important.
That's
like
a
pharmacist
Employment personal interviews
Group Life coverage
Job analysis
DOL communication assistance
trying Group
to explain
to you
thecoverage
value of every oneSkills
of the
hundreds of pills, syrups, and remedies
Employment verifications
Short Term
Disability
training
EEO-1 Filing (50+ & Fed Cntrts, or 100+)
Motor vehicle record checks
Group Longthey
Term have
Disability
coverage
path knowing
planning your ailments.
Affirmative action plans (Fed cntrtr's)
behind
their counter, Career
without
Criminal background checks
Research / answer employee questions on benefits Succession planning
Title VII compliance / guidance (15+)
Alternatively,
a CEO
tell you/ payment
which Business
Strategies
onsystem
top are
mostand
important
Offer letters
Benefit planshave
premium
reconciliation
Performance
appraisal
assistance
trainingBLS to
response
Employment agreement design / writing
Open-enrollment
/ administration
Supervisor
- Team
Building
Union
address
right now.meetings
Then show
them HOW you
will fixtraining
or drive
those
Business Strategies
by/ labor relations administration
Confidentiality agreements
Employee eligibility / change tracking and processing Goal setting strategies
Human Resources compliant forms resource
knowing
WHICH of the appropriate HR Strategies, HR Tactics, and HR tasks and initiatives
Non-compete agreements
Health / wellness programs
Supervisor training - Employee Counseling
Employee files management - HIPAA compliance (1+)
of interest
or concern.
Non-solicitation agreements
Voluntary benefitsspecifically
plans shoppingimpact their area(s)
Drug testing
(reasonable
cause, random, periodic) Employee files management - retention tracking
Arbitration agreements
Voluntary benefits enrollments / administration
Disciplinary/probation policies / procedure development
Employee files management - timely destruction
Post-offer drug testing
Voluntary Dental
Disciplinary/probation
action - documentation / implementation
Employee anniversary
assistance date tracking
That is solution-focused
HR Value selling!
Cost-per-hire analysis / control
Voluntary Vision
Grievance / complaint procedure policy development Tracking of skills, licenses, and certifications
Pre-employment testing
Voluntary Life
Supervisor Training - Grievance Procedures
HRIS (Human Resource Information System) - system mgmt & fee
Pre-employment test benchmarking
Voluntary Disability
Employee handbook development / printing
HRIS - manager access & training
Orientation of new employees
Retirement Plans - Standard 401k, Safe Harbor, Roth Employee handbook changes / compliance updating HRIS - employee self service access & training
DFWA compliance / guidance (Fed Cntrtr's)
Retirement plan fiduciary risk management
Company newsletter
Job costing
PRWORA compliance / administration (1+)
Retirement Plan - Form 5500 filing
Suggestion system development
HR management reports via HRIS (web or on-site)
IRCA - I-9 compliance / administration (1+)
Retirement Plan - annual discrimination testing
Workforce attitude surveys
Tracking of company issued property
E-Verify
Pre-retirement counseling / retirement planning
Reduction-in-force analysis
Supervisor Training - Termination Procedures
W-4 administration (1+)
College Savings Plan (529) administration
Absenteeism frequency tracking
State(s) unemployment claims administration (1+)
State withholding forms administration (1+)
Tuition reimbursement plan
EPLI - Employment Practices Liability Insurance
Participation in unemployment hearings
Insurance coverage acceptance / waivers
Premium Only Plan (125) administration
Employee litigation response
WARN compliance (100+)
Retirement plan enrollment / waiver
FSA (125) administration
Employee / Supervisor Training - Sexual Harassment COBRA administration and liability (20+)
Handbook review / receipt documentation
Dependent Care (125) administration
Supervisor Training - Violence in the Workplace
HIPAA administration and liability (1+)
Employee onboarding process
HSA / HRA plans
Employee / Supervisor Training - Substance Abuse Severance package design
Turnover cost analysis
Profit Sharing plan
Supervisor Training - Discrimination
Outplacement assistance/services
Turnover frequency tracking
Profit Sharing program administration
PDA compliance and guidance (15+)
Exit Interviews
Compensation plan and strategy assistance
Employee Assistance Plan (EAP)
Workers Compensation (WC) coverage (1+)
Wage / salary administration & research
Credit Union
WC - upfront deposit management/negotiation
Strategic Impact of Human Resources
WHY HR Is Important
HR
Tactics
** ALL HR Tasks, Products, and/or Services take Money and/or Time to implement. How much Money and Time are being spent on HR depends on what is currently being done.
*** ALL parts of the Employee Lifecycle have compliance aspects, so this box would include "Other" compliance issues that have not fallen under a different part of the ELC. Or taken all together and by itself,
there are about 51 compliance issues.
4-Profit-HR
www.4profithr.com
Copyright © 4-Profit-HR
Rob Blunt, President
866-868-5885
rob@4profithr.com
( see additional Strategic Human Resource Management Solutions software information at www.4profithr.com/shrms )
HR Business Impact Factor Report Card
Prepared by a (Strategic!) HR Professional for Sample Client Company
The following dashboard indicates how the HR initiatives included in a (Strategic!) HR Professional's offering that
Sample Client Company is currently doing (91 of 190 things) impact the 5 essential HR Strategic objective areas that, if
not done properly or to their fullest extent, can drain, restrain or threaten cash flow, profits, and/or the ultimate
success of your company.
Different employment, employee, and HR tasks and initiatives have different "business impact weight" against the
shown objectives. This dashboard illustrates the "weighted impact value" of what your comany is currently doing
(assuming that each task and initiative is being done at its optimum level), compared to the maximum HR Business
Impact Factor possible (listed to the right of the score bars). It is a preliminary visual gauge to assist you in examining
key business objectives that can aid in your success and help you protect your company.
Your company-specific, detailed HR Solution documents, available from a (Strategic!) HR Professional, will more
specifically highlight a plan to improve upon your desired objectives.
Your Current "Weighted Impact" Initiatives, out of All Available
5 Key P&L Impact Areas:
AVG SCORE: 41%
0
Business Protection
1
2
3
4
5
6
7
8
Score of 773 now (49%)
9
10
HR Business Impact Factor
1,567 maximum
P&L Impact: Protect Revenue, Avoid Lawsuits, Avoid Fines
Long Term Cost Containment
Score of 230 now (32%)
712 maximum
P&L Impact: Long Term Cost Containment (SUI, Benefits Costs Increases, WC)
Turnover Reduction
Score of 663 now (40%)
1,645 maximum
P&L Impact: Increase Revenue, Protect Revenue, Expense Management, Long Term Cost Containment, Avoid Lawsuits, Business Productivity
Talent Attraction
Score of 517 now (38%)
1,350 maximum
P&L Impact: Increase Revenue, Business Productivity
Employee Productivity
Score of 593 now (42%)
1,420 maximum
P&L Impact: Increase Revenue, Business Productivity
a (Strategic!) HR Professional Employee Lifecycle Services:
AVG SCORE: 45%
Recruiting
Score of 253 now (46%)
556 maximum
Hiring
Score of 352 now (46%)
768 maximum
Compensation
Employee Benefits
Payroll / Tax Administration
Score of 153 now (31%)
Score of 370 now (43%)
Score of 283 now (57%)
486 maximum
856 maximum
496 maximum
Performance Management
Score of 593 now (44%)
1,354 maximum
Workplace Liability Management
Score of 288 now (44%)
653 maximum
Workplace Safety / Workers Comp
Score of 301 now (42%)
709 maximum
"Other" Employment Compliance
Record Keeping / HRIS Technology
Separation
Score of 323 now (55%)
Score of 828 now (53%)
Score of 307 now (35%)
582 maximum
1,575 maximum
866 maximum
Strategic Human Resource Management Solutions software Copyright © 4-Profit-HR. Used with permission by a (Strategic!) HR Professional