www.mubeena.net HR’s New Role Becoming a Strategic Business Partner For the fastest changing city in the history of mankind - Dubai Dubai HR Forum (November 2005) Steel Authority of India (December 2005) Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net About this Presentation Presentation adapted with permission from Dr. William Passmore, Mercer Delta Consulting These slides are the foundational structure of a book in process to be published by Wiley/Jossey Bass. Roland Sullivan is the OD Consulting editor. To be further developed with Dr. Udai Parekh, who brought OD, HRD, and the application of the applied behavioral sciences to personal and organizational change in India. Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net Core Beliefs “More change will occur during the remainder of our lives than since the beginning of civilization. Lead the change before the change leads you.” - Roland Sullivan (1977) Integrating economic and human realities in the transformation of corporations by utilizing philosophy and behavioral science Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net Overview Definition of OD for the Middle East Introductory Activities HR Transformation and the Evolution of the HR Business Partner Concept What It Takes to Be An Effective HR Business Partner Using Diagnosis to Transform Relationships and Opportunities Staying Focused on Issues that Matter to the Business Delivering Changes That Make a Real Difference Next Steps Your Questions Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net A Definition of Organization Development for the Middle East “Organization Development is a transformative leap to the desired vision where strategies and systems align in the light of local culture with an innovative and authentic leadership style with the support of high-tech tools.” (1st OD Conference of the Middle East in Dubai, May 2005) Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net Group Activity Purpose: To get a sense of your impact as Human Resource professionals on core business results Activity: 1. Divide into groups of 2s or 3s 2. Discuss then write two points on the following question: “As an HR Manager/Executive, what do you do to enhance your company’s capacity for higher performance?” 3. Hand the post-its over to Mubeena who will summarize the common answers Mercer Delta Consulting / Mohd & Sullivan HR Transformation and the Evolution of the HR Business Partner Concept www.mubeena.net The Promise of HR Transformation Substantial cost savings through the automation and outsourcing of routine transactional work and the creation of shared services More complete, accurate, and useful information management through the creation of comprehensive, all-encompassing databases and HRIS systems Enhanced accessibility and self-service through 24/7 online and call center support for routine operations Uniform policy application across locations due to centralization of decision-making in shared systems Enhanced capabilities through centers of excellence for non-routine work Freed from the routine work, a new role for HR generalists as strategic business partners Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net From Personnel to Business Partner Approximate Dates 1920s-1930s 1940s-1970s 1970s-1990s 2000 Key Business Issues HR Role Organic Growth New Technologies Diversification Productivity Competition Negotiations International Competition Downsizing Leadership Change Programs Performance Management/Rewards Hiring, Training, and Caring for Employees Survival Shift to Service Globalization Talent Development Innovation Strategic Capabilities Reinvention Mercer Delta Consulting / Mohd & Sullivan Title for Role Personnel Employee Relations/Labor Relations Human Resources HR Business Partner/CCO www.mubeena.net Evolution of Organization Development Approximate Dates Key Business Issues OD Role Coordination Surveys Productivity STS/Work Design Motivation Team-Building 1970s International Competition 1980s-1990s Cost-Cutting 1940s-1960s 2000 Title for Role OD Quality Quality Work-Out Survival Reengineering Change Management Efficiency Enterprise IT Systems Reengineering Balanced Scorecard Create New Capabilities Organization Architecture Globalization Innovation Reinvention Mercer Delta Consulting / Mohd & Sullivan OC/OE www.mubeena.net Ulrich’s Human Resource Champions (1997) Four Roles for HR – Administrative Expert – Employee Champion – Change Agent – Strategic Partner “When HR professionals work as strategic partners, they work with line managers to institute and manage a process that creates an organization to meet business requirements.” Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net Examples of Critical Capabilities From Ulrich’s Human Resource Champions Align performance measures to strategic priorities Have dominant distribution channels Have committed employees Identify and develop the next generation of leaders Attract and retain high-caliber people Be the technology leader in the field Create a shared mindset Ensure trust between leaders and workers Improve speed, cash flow, profitability, and productivity every year Innovate and learn more quickly than competitors Maintain good investor relations Manage financial management systems Take risks Work in a boundary-less way Create capacity for change Demonstrate cultural flexibility Form alliances with a variety of organizations Have a culturally diverse workforce Think and act globally Mercer Delta Consulting / Mohd & Sullivan What It Takes to Be an Effective HR Business Partner www.mubeena.net Becoming a Strategic Business Partner Knowledge requirements Using assessment to transform relationships and opportunities Staying focused on issues that matter to the business Delivering capabilities that make a real difference Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net Business Partner Knowledge Requirements Examples Strategic Talent planning Talent development Performance management Executive succession Executive compensation HRIS Shared services Outsourcing/offshoring International law Acquisition assessment Managing diversity Whole-Systems Transformation Executive Team transformation Strategic alignment Organization architecture Globalization Enterprise integration Organizational learning Cultural integration Change leadership Capability creation Board relations HR Business Compensation/benefits Recruiting Hiring/firing Data reporting Performance assessment Succession planning Relocation Orientation and training Labor law Merger integration Policy/fair treatment Quality Productivity/lean manufacturing Cost-reduction Process reengineering Supply chain management Work redesign Customer success Product development Change management Metrics/balanced scorecard Team effectiveness Operational Mercer Delta Consulting / Mohd & Sullivan Using Assessment to Transform Relationships and Opportunities www.mubeena.net Assessment Provides a powerful way of working with business leaders Involves a process and a set of principles Repeats whenever new opportunities emerge Helps transform relationships Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net The Assessment Process Domain Examples Organizational Domains Entry and PreLaunch Scan Plan Act Re-Act Relationship Building Mercer Delta Consulting / Mohd & Sullivan Organization Architecture Culture Change Executive Team Performance Leadership Development www.mubeena.net Data Collection and Analysis Dialogues - centerpiece of datacollection strategy Input from business leaders on organizational issues and concerns Confidential, one-on-one discussions Structured process for interviewing, recording, analyzing, and reporting interviews with business leaders Results must feature powerful findings captured in the organization’s own words Other Methods Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net Collaborative Organizational Assessment Business Leader HR Business Partner Action Mercer Delta Consulting / Mohd & Sullivan What do we do? Knowledge What does it mean? Information What does it say? Data What do we see? www.mubeena.net Six Dimensions of Relationships That Enable Change Building Trust Advocacy Personal Investment Collaboration Courage Interpersonal Agility Mercer Delta Consulting / Mohd & Sullivan Source: Carucci and Pasmore. Relationships that Enable Enterprise Change, Jossey Bass (edited by Sullivan et al) Staying Focused on Issues That Matter to the Business www.mubeena.net Staying Focused on Business Issues What are the issues that matter? – What’s keeping business leaders up at night? – What’s the “moose on the table” regarding the future? – What drives the bottom line? Changing how you spend your time and attention Not getting pulled or pushed back into the old HR box Mercer Delta Consulting / Mohd & Sullivan Delivering Changes That Make a Real Difference www.mubeena.net Congruence Model Informal Organization Input Environment Resources Output System Strategy Formal Organization Work Individual History People Mercer Delta Consulting / Mohd & Sullivan Unit www.mubeena.net Two Key Challenges 1. Creating a new strategy that seizes market opportunities and makes full use of the organization’s competitive advantages 2. Designing an organization that supports the full and effective execution of the new strategy Informal Organization Input Environment Resources System Strategy Formal Organization Work History Unit Individual People Informal Organization Input Environment Resources Output System Strategy Formal Organization Work History Unit Individual People Mercer Delta Consulting / Mohd & Sullivan Output www.mubeena.net Business Partner Career Paths HR Executive Strategic Talent planning Talent development Performance management Executive succession Executive compensation HRIS Shared services Outsourcing/offshoring International law Acquisition assessment Managing diversity Whole-Systems Transformation Executive Team transformation Strategic alignment Organization architecture Globalization Enterprise integration Organizational learning Cultural integration Change leadership Capability creation Board relations HR HR Generalist Strategic Business Partner Business HR Specialist OC/OE Executive Compensation/benefits Recruiting Hiring/firing Data reporting Performance assessment Succession planning Relocation Orientation and training Labor law Merger integration Policy/fair treatment Quality Productivity/lean manufacturing Cost reduction Process reengineering Supply chain management Work redesign Customer management Product development Change management Metrics/balanced scorecard Team effectiveness Operational Mercer Delta Consulting / Mohd & Sullivan Business Partner OC/OE Professional Next Steps Next Steps: What You Can Do Personalize, individualize, grow with the process Begin with conversations and assessment Build stronger relationships Stay focused Measure impact of changes on business results Commit to learning Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net www.mubeena.net We Could All Stand to Learn More About… Developing extremely effective leaders Creating more flexible but still high-performing organizations Working globally, virtually, horizontally, and spontaneously Inventing and implementing new business models in old companies Changing cultures: making customers, values, and integrity real Organic growth Leveraging diversity for business results Strategic design China and India Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net Creating Knowledge Mercer Delta Consulting / Mohd & Sullivan www.mubeena.net About Us Roland Sullivan r@mohd-sullivan.com Mubeena Mohd m@mohd-sullivan.com Mercer Delta Consulting / Mohd & Sullivan