Unleash HR Capabilities Ensure HR development doesn’t drop off the radar; help your HR team take flight with a simplified process. McLean & Company is a research and advisory firm providing practical solutions to human resources challenges via executable research, tools and advice that have a clear and measurable impact on your business. © 1997-2017 McLean & Company. McLean & Company is a division of Info-Tech Research Group. SAMPLE Learn about becoming a member

EXECUTIVE SUMMARY Key Insight SAMPLE Situation Effective HR departments drive organizational success: organizations that had highly effective HR departments were more likely to achieve their organizational goals (McLean & Company, Trends Survey 2017, N=720). However, many HR departments have not yet reached this level of effectiveness. In fact, only 8.9% of stakeholders are fully satisfied with HR’s understanding and execution of their needs (McLean & Company, HR Stakeholder Management Survey 2017, N=2,540). Resolution Use McLean & Company’s three-step process to identify capabilities that are key to delivering on departmental priorities, assess the HR team against these capabilities, and develop a plan to address gaps. Be transparent. Involve the HR team as early as possible through clear, frequent communication. Weigh time and budget when determining how to address capability gaps: develop the current HR team, hire new talent, reduce less valuable responsibilities, or if appropriate, move current team members. Complication Today, the requirements of HR are in a state of flux: responsibilities that were traditionally HR’s are being dispersed among managers, the rate of automation is increasing, and the HR:FTE ratio continues to decrease (McLean & Company, Trends Survey 2017, N=444). The role of HR is constantly evolving. However, HR rarely has the time to focus on its own development. Today, only 6% of organizations are implementing programs to develop HR in non- traditional areas (McLean & Company, Trends Survey 2017, N=444). Keep it simple. All too often, HR’s own development falls to the wayside because of competing priorities and capacity constraints. Use a simple, straightforward process to assess and address gaps and increase the likelihood of adoption. SAMPLE

GUIDED IMPLEMENTATION MCLEAN & COMPANY OFFERS VARIOUS LEVELS OF SUPPORT TO BEST SUIT YOUR NEEDS CONSULTING “Our team does not have the time or the knowledge to take this project on. We need assistance through the entirety of this project.” GUIDED IMPLEMENTATION “Our team knows that we need to fix a process, but we need assistance to determine where to focus. Some check-ins along the way would help keep us on track.” DIY TOOLKIT “Our team has already made this critical project a priority, and we have the time and capability, but some guidance along the way would be helpful.” WORKSHOP “We need to hit the ground running and get this project kicked off immediately. Our team has the ability to take this over once we get a framework and strategy in place.” Diagnostics and consistent frameworks used throughout all four options SAMPLE

Unleash HR capabilities with McLean & Company’s three-step process McLean & Company insight To unleash HR capabilities, keep it simple. Don’t over-engineer the process, the design, or the development opportunities. Simplification will increase the likelihood of adoption. SAMPLE

SAMPLE SLIDES SAMPLE

Highly effective HR departments positively impact organizational success An effective HR department is important not just for HR, but for the entire organization: High-performing HR departments drive organizational impact by: Delivering exceptional customer value (94%). Reacting proactively to disruptive change (83%). Driving innovation (89%). Attracting the talent the organization needs (91%). (Mercer (a), 2017) Strategic HR was 3.8x more likely to be rated as highly effective compared to tactical HR. Upskilling HR in non-traditional areas had the largest association with higher overall HR effectiveness (McLean & Company, Trends Survey 2017, N=444). “ When HR does it right – when those organisational, social or cultural capabilities are aligned to the technical core competencies which drive the strategy to deliver a pattern of consistent earnings – this raises investor confidence in the future. Organizations that had highly effective HR departments were more likely to achieve their organizational goals (McLean & Company, Trends Survey 2017, N=720). ” – Norm Smallwood (quoted in Bolza) SAMPLE

However, many HR departments have not yet reached this level of effectiveness In the eyes of HR leaders: In the eyes of the organization: 33% of HR departments are a partner in planning and executing strategy (McLean & Company, Trends Survey 2017, N=790). HR spends about 70% of its time dealing with the exact same requests (Stroud, 2016). 61% of respondents said a lack of time is the biggest barrier to delivering on objectives (Morneau Shepell, 2017). 36% reported that being distracted by less important activities is a barrier to strategic execution (Ibid). 8.9% of stakeholders are fully satisfied with HR’s understanding of, and execution on, their needs (McLean & Company, HR Stakeholder Management Survey 2017, N=2,540). 11% of stakeholders are fully satisfied with how HR communicates with their group (Ibid). 9% of stakeholders are fully satisfied with HR’s ability to support their needs (Ibid). 54% of employees believe their HR processes are modern (Mercer (b), 2017). 22% of HR respondents believe they are reactors. 43% of senior executives believe HR are reactors. 60% of HR respondents believe they are partners. 37% of senior executives believe HR are partners. 18% of HR respondents believe they are anticipators. 20% of senior executives believe HR are anticipators. (E&Y, 2017) SAMPLE

To make matters worse, HR does not focus on its own development Lack of attention Despite the positive impact on HR and organizational effectiveness, only 6% of organizations have already implemented programs to develop HR in non-traditional areas. Today, another 25% are currently working on it (McLean & Company, Trends Survey 2017, N=444). Lack of formalized approach Only 13% of surveyed employers have a systematic curriculum for developing HR professionals and 36% of respondents planned to invest in HR training and development in 2016 (Mercer, 2016). An interesting geographic division exists: Companies in Asia were most likely to invest in HR upskilling in 2016, with 44% in the region and 53% in China having plans in place (Kalra, 2016).  McLean & Company insight When faced with capacity and competency constraints, development is often the first thing to fall off. Dedicating the time, effort, and resources is key to making the shift toward HR efficiency. SAMPLE

LEARN ABOUT BECOMING A MEMBER MCLEAN & COMPANY HELPS HR PROFESSIONALS TO: Now, more than ever, HR leaders need to help their organizations maximize the value of their people. McLean & Company offers the tools, diagnostics, and programs to drive measurable results. – Jennifer Rozon, Vice President, McLean & Company “ Empower management to apply HR best practices Develop effective talent acquisition & retention strategies Build a high performance culture Maintain a progressive set of HR policies & procedures Demonstrate the business impact of HR Stay abreast of HR trends & technologies  Sign up to have access to our extensive selection of practical solutions for your HR challenges LEARN ABOUT BECOMING A MEMBER Toll Free: 1-877-281-0480 hr.mcleanco.com SAMPLE