CASE STUDY Organisational Design – the foundation of everything else

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Presentation transcript:

CASE STUDY Organisational Design – the foundation of everything else ABOUT THE CLIENT A healthcare company, offering healthcare benefits to public service employees. Industry Healthcare BUSINESS CHALLENGE The client required a partner to provide support in aligning internal processes which included standardisation of job titles and job grades within the entire organisation, to enhance the probability of implementing sound and fair talent management processes and remuneration practices. EOH SOLUTION Alignment, standardisation and integration across the various departments. Application of relevant legislation, governance, and best practices. Stakeholder collaboration and buy-in. Communication- and implementation strategy. BUSINESS IMPACT Improvement in selection and recruitment processes due to aligned job profiles. Internal parity for remuneration practices. Standardisation of job titles Improved staff morale and culture due to collaboration with stakeholders. Decrease in biased practices. The business Challenge Alignment and standardisation of organisational design (OD) practices and processes form the basis of everything else. Changes in legislation, focussing attention on equal pay for work of equal value raises eyebrows and cause many HR Executives to take out their magnifying glasses to investigate deeper. How will an organisation prove they are paying fairly if jobs are not defined? How can employees be fairly remunerated without an indication of the job’s worth compared to other jobs? How do you guide career progression and development without a clear indication of the path available through the structure of the organisation? The needs exist to align and standardise OD practices, and even more so the implementation and interpretation thereof. OD forms the foundation of so many other HR processes which include recruitment and selection, remuneration, salary benchmarking, performance management, development just to name a few. Unfortunately so many organisations have allowed biased practices skew the objectivity and fairness required of OD, resulting in unfair remuneration practices, perceived unfairness in application of other HR processes which ultimately impacts the morale and organisational culture.

Human Capital Solutions The Solution Applying sound and fair OD principles to create frameworks aimed to align and standardise job requirements (qualification and experience), job titles, job grades and competencies while ensuring stakeholder buy-in. The project had various phases which included research and review of legislation, frameworks development, collaboration with stakeholders , Executive validation and approval, impact analysis and development of a sound implementation strategy. Parallel to these phases we initiated and supported the development and implementation of a communication strategy and change management. The achieved Benefits Implementing sound and fair organisational design practices, to which all stakeholders agree and comprehend enough to feel empowered, valued and fairly recognised. Benefits can be summarised as follows, even though there are many more to be added. Improvement in various HR processes due to aligned job profiles, clearly stating experience, qualifications and competencies. Internal parity for remuneration practices due to accurate job grading and job worth hierarchy. Standardisation of job titles across the respective Paterson bands. Decrease in biased practices due to aligned and standardised frameworks. Organisational design is a powerful tool if applied fairly and consistently. Reinforcement of organisational strategies, structures and processes aim to improve organisational performance and effectiveness, integrating the desires of individuals for growth and development through organisational goals. However employee behaviour should be aligned to eventually enhance work performance and thus increasing productivity, overall organisational performance and competitiveness. About Human Capital Solutions Our Human Capital business unit is one of the largest Human Resources, consulting, remuneration and psychology consultancies in South Africa. The unique consultancy mix available in EOH affords us a wealth of remuneration, tax, payroll, general Human Resources and industrial psychology expertise in one service provider. Right from the word go EOH Human Capital Solution (HCS) set out to research and understand the true nature of high performing organisations and we have developed our services to help our clients to become just that.