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by employees.
They attract more jobseekers and have lower turnover rates compared to other businesses.
The positive initiatives offered by the Tasmanian Government's Employer of Choice finalists
include:
recognition
If, as is sometimes the case, organisation strategies and plans have been
developed without any human resource input, the justification for the HR
strategy may be more about teasing out the implicit people factors which are
inherent in the plans, rather than simply summarising their explicit "people"
content.
An HR strategy will add value to the organisation if it:
articulates more clearly some of the common themes which lie behind the
achievement of other plans and strategies, which have not been fully
identified before; and
succession planning
a grading and remuneration system which is seen as fair and giving proper
reward for contributions made
The HR strategy will need to show that careful planning of the people issues will
make it substantially easier for the organisation to achieve its wider strategic
and operational goals.
In addition, the HR strategy can add value is by ensuring that, in all its other
plans, the organisation takes account of and plans for changes in the wider
environment, which are likely to have a major impact on the organisation, such
as:
a major new internal initiative could present the right opportunity to push
for an accompanying HR strategy, such as a restructuring exercise, a
corporate acquisition, joint venture or merger exercise.
In some instances, even negative news may provide the "right moment",
for example, recent industrial action or employee dissatisfaction
expressed through a climate survey.
cultivate and develop allies and supporters of the strategy through the
consultation process;
focus on the benefits which are being derived from the strategy through
talking to and persuading others, and by marketing the benefits of the
strategy with concrete examples of how it has helped;
check that there is real commitment to the strategy at all levels of the
organisation;
where possible, build into the strategy quantifiable outcomes which can be
easily monitored and evaluated, so that it is possible to show the effect;
make the strategy part of the induction process - especially for senior
managers.
Source: A Strategic Human Resource Management System for the 21st Century.
Naval Personnel Task Force, September 2000
The six broad interconnected components of this system consist of three
planning steps and three execution steps.
The top three components represent the need for planning. Organizations must
determine their strategic direction and the outcomes they seek. This is usually
accomplished with some form of strategic planning. Classic strategic planning is
a formal, top-down, staff-driven process. When done well, it is workable at a time
when external change occurs at a more measured pace.
However as the pace and magnitude of change increases, the approach to
strategic planning changes substantially:
First, the planning process is more agile; changes in plans are much more
frequent and are often driven by events rather than made on a
predetermined time schedule.
Lastly, the strategic planning process less reactive and more driven by line
leadership.
Recommended actions:
This stage focuses on the selection, design and alignment of HRM plans, policies
and practices. Various options may be open to the organisation such as drawing
on industry best practices.
Emerging HRM policies and practices range from outsourcing certain non-core
functions, adopting flexible work practices (telework, work from home) and the
increased use of information technology. Not every industry trend may be
appropriate for a specific organisation. In addition, it is essential that a costbenefit analysis of implementing new HRM policies and practices be undertaken.
For example, the costs (monetary and in allocation of resources) of implementing
a new job grading system may outweigh the benefit of such an undertaking.
There may be more cost-effective alternatives available to the organisation at
this point in time.
Career pathing
Performance appraisals
Separation
Finally, few organizations effectively measure how well their different inputs
affect performance. In particular, no measures may be in place for quantifying
the contribution people make to organizational outcomes or, more important, for
estimating how changes in policies and practices, systems, or processes will
affect that contribution. Implementing clear quantifiable measures, identifying
milestones in the achievement of specific organisational goals, and using
concepts such as a "balanced scorecard" will articulate the results of the HR
Strategic Plan in measurable terms. Regular evaluation of the plan will also assist
in fine-tuning the HR strategic plan itself.
Recommended actions:
5. Conclusion
While HR strategies must be developed to support the achievement of the
organisation's objectives, it is a two-way process. HR strategies can themselves
be critical inputs in determining the strategic initiatives for the organisation. A
fatal error, however, is to develop and implement HR strategies without having
regard for the goals and objectives which the organisation has explicitly or
implicitly identified. A common mistake is the development of workplace skills
plans which are not linked to any strategic goals or objectives or which have no
affirmative action components.
Similarly, the isolated identification of affirmative action numerical targets
without first conducting a workforce and succession planning exercise is in most
instances, simply meaningless.
References:
The approach adopted in this article is substantially based on the SHRM Model
developed by the Naval Personnel Task Force, US Department of Navy. The
material presented here is in the public domain.
A Strategic Human Resource Management System for the 21st Century. Naval
Personnel Task Force, US Department of Navy, September 2000
Developing a Human Resources Strategy A good practice guide. South East
Employers, June 1999
The Human Resources Standards Generating Body has developed a specific Unit
Standard addressing the development of a Strategic Human Resource Plan,
entitled "Contribute input into the human resources management strategic plan".
Examine opportunities
showing what
Start honest discussions, and give dynamic and convincing reasons to get
people talking and thinking.
Note:
Kotter suggests that for change to be successful, 75 percent of a company's
management needs to "buy into" the change. In other words, you have to work
really hard on Step 1, and spend significant time and energy building urgency,
before moving onto the next steps. Don't panic and jump in too fast because you
don't want to risk further short-term losses if you act without proper
preparation, you could be in for a very bumpy ride.
Step 2: Form a Powerful Coalition
Convince people that change is necessary. This often takes strong leadership and
visible support from key people within your organization. Managing change isn't
enough you have to lead it.
You can find effective change leaders throughout your organization they don't
necessarily follow the traditional company hierarchy. To lead change, you need to
bring together a coalition, or team, of influential people whose power comes
from a variety of sources, including job title, status, expertise, and political
importance.
Once formed, your "change coalition" needs to work as a team, continuing to
build urgency and momentum around the need for change.
What you can do:
Check your team for weak areas, and ensure that you have a good mix of
people from different departments and different levels within your
company.
Develop a short summary (one or two sentences) that captures what you
"see" as the future of your organization.
Create a strategy
Ensure that your change coalition can describe the vision in five minutes
or less.
Tip:
For more on creating visions, see our article on Mission Statements and
Vision Statements .
Step 4: Communicate the Vision
What you do with your vision after you create it will determine your success. Your
message will probably have strong competition from other day-to-day
communications within the company, so you need to communicate it frequently
and powerfully, and embed it within everything that you do.
Don't just call special meetings to communicate your vision. Instead, talk about it
every chance you get. Use the vision daily to make decisions and solve
problems. When you keep it fresh on everyone's minds, they'll remember it and
respond to it.
It's also important to "walk the talk." What you do is far more important and
believable than what you say. Demonstrate the kind of behavior that you want
from others.
What you can do:
Lead by example
Identify, or hire, change leaders whose main roles are to deliver the
change.
Identify people who are resisting the change, and help them see what's
needed.
Look for sure-fire projects that you can implement without help from any
strong critics of the change.
Don't choose early targets that are expensive. You want to be able to
justify the investment in each project.
Thoroughly analyze the potential pros and cons of your targets. If you
don't succeed with an early goal, it can hurt your entire change initiative.
Reward
After every win, analyze what went right, and what needs improving.
Set goals
Keep ideas fresh by bringing in new change agents and leaders for your
change coalition.
Talk about progress every chance you get. Tell success stories about the
change process, and repeat other stories that you hear.
Include the change ideals and values when hiring and training new staff.
Create plans to replace key leaders of change as they move on. This will
help ensure that their legacy is not lost or forgotten.
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