![MEASURING HR STRATEGIC ALIGNMENT THROUGH THE HR SCORECARD Juan I. Sanchez, Ph.D. Florida International University ,[object Object],[object Object],But do people understand how the HR function influences firm performance? Do HR people feel like they play an important role in implementing the organization’s strategy? Does HR really matter?](https://image.slidesharecdn.com/measuring-hr-strategic-alignment-through-the-hr-scorecard-1232671113902404-3/85/Measuring-Hr-Strategic-Alignment-Through-The-Hr-Scorecard-1-320.jpg)
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- 2. What’s the perception of the HR function? List the events that most often trigger the words “let’s ask human resources”: Perceived HR Role Event “ The aparatchik” Bureaucratic obstacles “ The entertainer” Company’s party “ The counselor” Personal problems “ The police” Discipline problems
- 3. HR as an administrative function vs. HR as a strategic partner capable of enhancing the organization’s performance WHAT DOES HR STRATEGIC ALIGNMENT MEAN?
- 14. VALUE CREATION EXAMPLE Nordstrom CUSTOMER RETENTION ROI SUPERIOR CUSTOMER SERVICE UNIQUE INVENTORY KNOWLEDGEABLE AND CUSTOMER-ORIENTED EMPLOYEES Financial Customer Internal/business process Learning and growth
- 15. VALUE CREATION EXAMPLE Wal-Mart CUSTOMER SATISFACTION ROI SUPPLY-CHAIN MGMT. RELIABLE EMPLOYEES Financial Customer Internal/business process Learning and growth PRICING TRUSTWORTHY SUPPLIERS CONVENIENCE
- 19. MAPPING THE HR VALUE CREATION STORY Strategy implementation HR Deliverables HR enablers HR performance drivers HR Doables Impact
- 20. DISTINGUSHING AMONG HR PERFORMANCE DRIVERS (PD), DELIVERABLES (DE), DOABLES (DO), ENABLERS (EN) SURVEY SAYS… High evaluations on teamwork Number of customer complaints Risk-taking culture Sexual harassment awareness training Number of sexual harassment complaints PD Knowledge of sexual harassment legislation Ability to think out-of-the-box Troubleshooting skills Time spent on new employee orientation Cost per hire Cost per trainee hour Average time for dispute resolution EN DO DE Measure
- 21. An example of HR Value Creation Story… Inventory shrinkage Employee theft Random drug testing Honest workforce Pricing Honesty testing Cost per hire (efficiency) What percent of your coworkers are honest? Cost per quarter (efficiency) Cost of missing items What percent of the items missing in the inventory are stolen by employees?