HR Strategy Myth or Reality Mike Haffenden January 2010

My Background Worked for 6 companies and consulted for many Strategic Dimensions CRF PARC Devonshire House

So what is “Strategy”? “Strategy” has many definitions. Mintzberg’s ideas are better than most: A plan, some consistently intended course of action A pattern which emerges over time A position which provides for competitive advantage A perspective or abstraction which exists in the minds of people Strategy is 2 stages – Planning & Doing Some obvious questions: How is HR strategy linked to business strategy? Shouldn’t you just have a people strategy? Are HR people confused between “strategy” and work which is not “strategic”, but complex and technical?

How do companies form Strategy? Top down or bottom up? HR’s Role -Not involved -Provides papers -Facilitates discussion -Provides people input -Full contributor Go do! How should we? We should! - Provide input/intelligence - Deduce it - Communicate it - Energise it - Prepare for it - Implement it HR’s Actions So what stance does an HR Director take?

Roles of HR Talent Performance Create the environment Operations Much to be done Business Strategy Good Performance but needs to raise game Much to be done First class results

What does HR need to do? 1. Work on the issues with high added value Coaching Performance Appraisal Great Selection Induction Great Training Senior Mgt. Visibility Treating people right Process Improvement Career mgt Easy Hard Ease of implementation HR’s Priorities! LowHigh Added Value 2. Work on the organisation as well as the people 3. Have a defined process

Work on the organisation as well as the people Average people encouraged to do well by great ‘can do’ environment Low calibre people in restricting environment Capable people, performance restricted by context Developing Great People Creating a Great Environment What factors Influence this? High calibre people, high performance culture

STRATEGY Mission Purpose Vision Values PLANNING OUTPUTS People Competence Breakthrough Fundamentals Projects Process Budget REVIEW People Process Progress against outputs Functions Learning ENABLERS Learning Involvement Process Improvement Organisation Design Communications Consultancy Pay HR LEVERS Talent Performance Change Operations INPUTS Business Competition Customers Environment Opportunities Resources available Capability Work in progress Team planning Team discussion HR Practices HR Actions Review against plan Data Collection Of facts And numbers Planning Implementation Have a defined process

Conclusions & Recommendations Analysis before action! Important before urgent! How does your action link to the business? Who knows what you’re doing? Who are your customers? Importance of communication Process for review? (and who reviews)