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HR Driven Business Growth Model HR Conference oct 19-21 2015

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HR Driven Business Growth Model HR Conference oct 19-21 2015

  1. 1. How to be a Strategic Business Partner for HR, OD and Training Department Case Studies of a HR Driven Business Growth Model
  2. 2. Contents • Strategic Business Partner Roles and Dilemma • HR Driven Business Growth Models – Strategies, Execution, Culture, Structure – Talent, Leadership, Innovation, Merger and Innovation • Case Studies of OD and Training • Your Action Plan
  3. 3. HR Strategic Roles and Dilemmas
  4. 4. • Today HR roles have transformed from administration to strategic roles • More and more business require HR look into talent development, cultural business, and even innovation culture. • How do we face this new challenges? What can we do?
  5. 5. HR Roles HR Roles can be divided into two major roles: HR Operations C&B, Recruitment, IR and ER HR Development Learning and Training, Organization Development and Career Development
  6. 6. OD Space Business Process Improvement Corporate Strategies Facilitation Talent Management Succession Planning Cultural Building Collaboration Building Change Management Leadership Development and Pipelines Organization design and structure Employee Engagement
  7. 7. Challenging Questions • How do we use all division of HR to help business to drive sustainability and growth? • How can we be a strategic business partner to CEO and Business Leaders? • How can we partner with business leaders to drive business (P&L) and employee engagement (Turnover)?
  8. 8. Questions • I was asking this questions 10 years ago when I was working with FMGC, Semiconductor and Manufacturing? • Carsem – Local – Initiate change – COO & Business Leaders • How can we use Training, OD and HR in general to assist the business leaders who have to fire fight everyday? They have to answer to the board of their number of P&L. • How can we relate to them?
  9. 9. Business and People Needs 9
  10. 10. Engagement Culture 10
  11. 11. People Development 11
  12. 12. Four Organization Needs Organization Primary Needs Profit Productivity Engagement Culture Talent and Leadership Dev Business People
  13. 13. OD Driven 13 OD Driven Business Sustainable Growth Model Process Dévelopment Organisation Development Talent Development Productivity Profit Engagement Talent Strategy Management Team Development Effective Org Structure Engagement Culture OD Interventions Talent Management Leadership Development Bench Strength Training & Dev Productivity Innovation Simplification
  14. 14. Business Growth Model OD Focused
  15. 15. • I found one model in which I use for many years as the reference framework to drive business growth • Green Projects by Harvard Business School – Profession Nitrin. In his stidies of 10 years of the successful US companies, he discover something…..
  16. 16. The Evergreen Project • A careful examination of more than 200 well-established management practices within 160 companies over a 10-year period (1986-1996). • The authors point out that companies which consistently follow this formula of 4 + 2 have a 90% chance of sustaining superior business performance.
  17. 17. Major 4 Factors 1. Strategy: devise and maintain a clearly stated, focused strategy. 2. Execution: develop and maintain flawless operational execution. 3. Culture: develop and maintain a performance- oriented culture. 4. Structure: build and maintain a fast, flexible, flat organization.
  18. 18. Secondary 4 Factors Master two of the four secondary management practices: (5) Talent: hold on to talented employees and find more. (6) Innovation: make industry-transforming innovations. (7) Leadership: find leaders who are committed to the business and its people. (8) Mergers and acquisitions: seek growth through mergers and partnerships
  19. 19. Resu  Strategy  Execution  Culture  Structure  Talent  Leadership  Innovation  M&A Total Return to Shareholders 943% (Winners) vs 62% (losers) Sales 413% (Winners) vs 83% (losers) Operating Income 326% (Winners) vs 22% (losers) Return on Invested Capital (%) +5.45% (Winners) vs -8.52% (losers) Engagement Talent Productivity Profit
  20. 20. Background The Evergreen Project A careful examination of more than 200 well-established management practices within 160 companies over a 10-year period (1986-1996). Prof Nirtin Nohria from Harvard Business School has pointed out that companies which consistently follow this formula of 4 + 2 have a 90% chance of sustaining superior business performance. Engagement Talent Productivity Profit
  21. 21. Diagnosis Strengths Next Level Development HR/OD/Traini ng Solutions Results Strategies Execution Innovation Organization Structure Culture Leadership Talent M&A
  22. 22. Business Growth Analysis KRA KPI Tools Results Strategies Strategy Management Business Goals 110% Review Quarterly Structure Tree Communication Review Alignment Business Goals Execution Critical Process Department Process 20% process improvement Lean Enterprise Performance Con Process Mapping Productivity Innovation Continuous Improvement 2X Innovative Seminar 10% new ideas Innovation Tools Productivity Org Structure Effective Structure Buy off by Stakeholder 5 level Model Productivity Culture Engagement 75% as base 3% improve yealy WIFI Model Coaching, HR Engagement Leadership Leadership Pipeline Senior Leadership Bench Strength 60% Strategic Leadership Talent Management High Performance Leadership Talent High Performance HiPO Talent Talent
  23. 23. Results • Carsem Build the next generation of managers Improve productivity through lean manufacturing – 20% output and cost saving Develop critical competencies for Marketing, R%D, Manufacturing to compete Turn around during VSS and losses Improve engagement survey ratings
  24. 24. The Major 4 Factors Strategies, Execution, Culture and Structure
  25. 25. Strategy Whatever your strategy, whether it is low prices or innovative products, it will work if it is sharply defined, clearly communicated, and well understood by employees, customers, partners, and investors. • Build a strategy around a clear value proposition for the customer. • Develop strategy from the outside in, based on what your customers, partners, and investors have to say—and how they behave—not on gut feel or instinct. • Continually fine-tune your strategy based on changes in the marketplace—for example, a new technology, a social trend, a government regulation, or a competitor's breakaway product. • Clearly communicate your strategy within the organization and to customers and other external stakeholders. • Keep focused. Grow your core business, and beware the unfamiliar.
  26. 26. Culture Corporate culture advocates sometimes argue that if you can make the work fun, all else will follow. Our results suggest that holding high expectations about performance matters a lot more. • Inspire all managers and employees to do their best. • Empower employees and managers to make independent decisions and to find ways to improve operations—including their own. • Reward achievement with pay based on performance, but keep raising the performance bar. • Pay psychological rewards in addition to financial ones. • Create a challenging, satisfying work environment. • Establish and abide by clear company values.
  27. 27. Encouragement Index Kozes and Posner ___ I make certain we set a standard that motivates us to do better in the future than we are doing now. ___ I express high expectations about what people are capable of accomplishing. ___ I pay more attention to the positive things people do than to the negative. ___ I personally acknowledge people for their contributions. ___ I tell stories about the special achievements of the members of the team. ___ I make sure that our group celebrates accomplishments together. ___ I get personally involved when we recognize the achievements of others. ___ I clearly communicate my personal values and professional standards to everyone on the team. ___ I let people know I have confidence in their abilities ___ I personally congratulate people for a job well done. 27
  28. 28. Execution Develop and maintain flawless operational execution. You might not always delight your customers, but make sure never to disappoint them. • Deliver products and services that consistently meet customers' expectations. • Put decision-making authority close to the front lines so employees can react quickly to changing market conditions. • Constantly strive to eliminate all forms of excess and waste; improve productivity at a rate that is roughly twice the industry average.
  29. 29. Structure Managers spend hours agonizing over how to structure their organizations (by product, geography, customer, and so on). Winners show that what really counts is whether structure reduces bureaucracy and simplifies work. • Simplify. Make your organization easy to work in and work with. • Promote cooperation and the exchange of information across the whole company. • Put your best people closest to the action. • Establish systems for the seamless sharing of knowledge.
  30. 30. The Minority 4 Talent, Leadership, Innovation and Merger
  31. 31. Innovation An agile company turns out innovative products and services and anticipates disruptive events in an industry rather than reacting when it may already be too late. • Relentlessly pursue disruptive technologies to develop innovative new products and services. • Don't hesitate to cannibalize existing products. • Apply new technologies to enhance all operating processes, not just those dedicated to designing new products and services.
  32. 32. Talent Winners hold on to talented employees and develop more. Fill mid- and high-level jobs with outstanding internal talent whenever possible. Create and maintain top-of-the-line training and development programs. Design jobs that will intrigue and challenge your best performers. Keep senior management actively involved in the selection and development of people.
  33. 33. Leadership Choosing great chief executives can raise performance significantly. Closely link the leadership team's pay to its performance. Encourage management to strengthen its connections with people at all levels of the company. Inspire management to hone its capacity to spot opportunities and problems early. Appoint a board of directors whose members have a substantial stake in the company's success.
  34. 34. OD/HR • Facilitate and manage corporate strategies • Improve business processes • Recommend organization structure • Manage employee engagement survey and improvement • Manage talent of high potential and managers • Recruit, develop and engage leadership team • Create innovation culture • Manage culture after merger
  35. 35. Case Studies of OD Business Partnering
  36. 36. Case Studies • A. Facilitate, Communicate and Monitor Corporate Strategies • B. Combine Key Business Process improvement with Talent and Leadership Development
  37. 37. Laurence Yap M.A. Sr Manager of Learning and OD Facilitation of Corporate Strategies Planning
  38. 38. 38 Strategy Planning Facilitation Goals  Develop Stretch Goals and Strategies  Communicate to employees for engagement  Quarterly review Activities  Facilitate Review and Stretch Goals with Senior Leadership Team  Facilitate Strategy Planning Session  HR Communicate to Employees  Facilitate Alignment of Department Goals  Facilitate SLT reviews of HOD Strategies  Quarterly Review
  39. 39. PURPOSE Enhance Value To Our Stakeholders MISSION To Support The Vision CRITICAL SUCCESS FACTORS Big Few Things DEFINE STRETCH GOALS Key Metrics Process SET STRATEGIES Strategies to meet Critical Success Factor /Goals One Day STRATEGIES REVIEW / PRIORITIZATION Senior Manager’s to review/buy off 2nd meeting outcome ½ Day DEFINE DEPT ACTIVITIES & TACTICS Departmental Level - Key Actions To Be Executed FINAL REVIEW Dept Structure Tree Review 1-2 Days VISION To Support Our Purpose Pre Strategy Meeting ~ Set Direction Strategy Comm forum Full Structure Tree
  40. 40. Purpose Vision Mission Critical Success Factor Stretch Goals Champions Enhance Stakeholder Value 2 Build Strong Reputation 2.1 Top Quartile of top Ten Customer (Balance Scorecard) 2.2 50% reduction in DTD CT on 40% of product sales by Q4 FY11 & 75% of product sales by Q2 FY12 2.3 Meet 15% target for new product revenue by June 2011 ( Carsem Group) 2.1 Rick Flowers 2.2 Iain Meikle 2.3 LW Yong Theme Speed of Execution Main Thing Carsem will strive to ensure by with delivering operational, service and technology excellence. 3 Employee Engagement 3.1 Effective Communication 3.2 Employee Satisfaction Survey Index of 80% 3.1 Omar Hakim 3.2 Omar Hakim 1 Improve profitability 1.1 Achieve sustainable PBT of 12% by Q2 FY2010/11 1.1 Eric & GMs To be a World Class Company Offering Assembly & Test to semiconductor Companies Throughout the World Profitable Growth Impressing Customers Committed & Engaged Employees
  41. 41. Goal Alignment Structure Tree for Year 2010/2011 (1) Improve Profitability (2) Build Strong Reputation Critical Success Factors Champion Achieve sustainable PBT of 12% by Q2 FY2010/11 1) Top Quartile of top Ten Customer (Balance Scorecard) 2) Business Process Speed Improvement consistent with 7 days door to door cycle time . 3) Meet 15% target for new product revenue by June 2011 ( Carsem Group) (3) Employee Engagement 1) Effective Communication 2) Employee Satisfaction Survey Index of 80% Eric & GMs 1) Rick 2) Iain 3) LW Stretch Goals Omar ChampionStrategies Tactics & Targets sample Outcome from 18th May Strategy Meeting
  42. 42. Strategy Planning
  43. 43. APAC Strategy Planning
  44. 44. 47 Talent and Productivity Dev Goals  Reduce eight wastes, Reduce Operating Expense, Reduce Excess Inventory Increase output  Develop Leaders through talent selection, review, development and review  Sustain leadership and lean culture through Lean Council, Senior Leadership Team and Reward System Activities Consultant led Approach – 30% productivity improvement  Diagnosis organization in lean context  Conduct projects with employees  Train employees on the jobs  Report results
  45. 45. 48 Lean Productivity for Suppliers Activities Change Management  Diagnosis organization in lean context  Conduct projects with employees  Train employees on the jobs  Report results Talent Management  Talent selection and review  Talent Development through lean and leadership training  Talent Evaluation Change Management  Promotion and reward system  Manufacturing lean structure  Lean Council and Senior Leadership Team
  46. 46. McKinsey 7S Framework
  47. 47. John Kotter’s Change Management
  48. 48. McKinsey 7S Framework to implement Lean Manufacturing 2:00 – 5:00 min Video Strategy A set of actions that you start with & must maintain Structure How people & tasks / work are organized Systems All the processes and information flows that link the organization together Style How people behave Staff How you develop people Superordinate Goals Longer-term vision & goals that shapes the destiny of the organization Skills Dominant attributes or capabilities that exist in the organization
  49. 49. Action Learning Design Stage One: Education and Projects Stage Three: Integration, Sharing and Proliferation  Project introduction & selection  Work planning tools & techniques  Team building  Project specific / Just In Time (JIT) education  Innovation Mid-point progress review  Assimilate & synthesize work  Create, test & improve presentations • What’s learnt? • Findings & recommendations • Implementation plan  Presentations to sponsors  Debriefing & planning next steps 3 - 6 Month Timeline ½ - 1 Day Teams do projects Stage Two: Review
  50. 50. HRD Department Structure LAURENC E Training Administration ( Ros ) 5 persons ~ Support training arrangements & Financing Human Capital ( Malar) 3 persons ~ Leadership Dev & Soft Skills Frontline Employees ( Salbiah/Din) 60 persons ~ Instructors support new procedures Lean ( KS Chew ) 3 persons ~ Coordination, Facilitating Technical Skills Development ( Ramond ) 3 persons ~ Support Quality Training, Event Management & Publicity OD ( KW Cheah ) 3 persons ~ Planning & Coordination
  51. 51. Lean Consultants • The AMC founders & principal consultants are: – Ramesh Victor Rajathavavaram Lean Master (USA) – Soundarajan Pitchay Lean Master (USA)
  52. 52. Wave 1 •Lean overview •Value Stream Mapping •Set-up Reduction •5S •Change Management Wave 2 • Visual Management • Standardized Work • Error Proofing • Handling Resistance LEAN IMPLEMENTATION IN CARSEM • Factory will be more Visual & Organize • Reduced set-up time • Factory will have less error • Work will be more standardize/repeatable Wave 3 • Material Control (Kanban) • Total Production Mgt (TPM) • Overall Engineering Efficiency (OEE) • Performance Measurement • Introduce pull mechanism through Kanban • Working with lower level of inventory • Improve equipment OEE Wave 4 • Theory of constraints • Lay-out optimization • IT Tools • Lean Diagnostics • Further strengthen the whole Value Stream Map after the 3 waves project. • Lean Masters have advanced diagnostic ability for continuous improvement on their own VSM (Value Stream Mapping) • Lean lay-out
  53. 53. LEAN TRAINING -- MANAGEMENT GROUP
  54. 54. Leadership Training • VP of Manufacturing and I join together to train and facilitate leadership training • 5 Modules to 200 section heads and managers • Basic Leadership, Best Practice, Motivation, Alignment and Building Competencies
  55. 55. Consulting
  56. 56. Secretariat IC Power QA Material Various LEAN Project Teams CSIC/AP/MLP/MF Steering Comm. Level Council Level Working Comm. Level Teams 2nd 3rd 4th 1st Department Working Committees (Include Value Stream Champion meeting) Structure To Support Lean M-site council Leader: TL SOO S-site Council Leader: CS Lim Steering Comm. Leader: SW WOO Test council Leader: WT CHIM Once a month
  57. 57. STEERING COMMITTEE Senior Managers including those from Support Group (IT, Finance, Material, PC, HRD)
  58. 58. Proliferation Methodology Sharing of projects by LM to all Area (Attendees - Product Manager, Identified Project Doer) Council to review & ensure proliferation is done at their own area. Complete every wave at Pilot line Select Projects that is recommended to be proliferated by Council & Consultant Training - JIT Tool for Proliferation (Conducted by LM / HRD) Proliferation of recommended projects and identify new opportunities at own Area Wk 1 Wk 1 Wk 1 Wk 2-6 Wk 6 Time line Product Manager to identify suitable members for proliferation and exploration of new opportunities
  59. 59. Rewards
  60. 60. Training Approaches
  61. 61. Training Department • Change the TNA Questions to Performance and Business Goals needs ! • Work with Business leaders to close the gap • Develop competency models • Learn faster than our competitors – Strengthen Critical Competencies • Use effective training delivery – facilitation and action and whole brain based • Apply learning models – action learning and 6D model (can see results)
  62. 62. Case Studies of Training Business Partnering
  63. 63. Training Needs Analysis • Change the way you conduct TNA Strategic Learning focused on Business Performance Goals Business Challenges
  64. 64. Strategic learning and OD Level Business Needs HR, OD and Training Out comes Corporate Strategic Needs Business Challenges Competitive Edge Engagement Culture Leadership Pipeline Strategic Management Action Learning Development Model Action Learning & Coaching Leadership Dev Strategic Thinking and Planning Business Goals World Class Expertise Motivated workplace Employee Retention & Leadership continuity Alignment and Productivity Department Tactical Needs Department Goals Critical Knowledge Team Member Retention High Performance Team Action Learning TWI Leadership Hiring and Coaching Performance Management. Coaching and Facilitation Department Goals Quality Consistency Productivity Committed Employees Employees Competency Skillful People Innovation and Employee Competencies Innovation and Continuous Capable Employees Innovative workforce
  65. 65. Strategic learning and OD Level Business Needs HR, OD and Training Solutions Out comes Corporate Strategic Needs Department Tactical Needs Employees Competency Needs
  66. 66. Strategic Learning CEO Team • What are your top three priorities of the year? • What are the top three competencies you want to improve (lack) and strengthen (strong points) ? • What are your top 2 current business challenges and future business challenges? What services you would like HR to provide to the company?
  67. 67. Strategic Learning Department Head/Business Leaders • What are your top three priorities of the year? • What are the top three competencies you want to improve (lack) and strengthen (strong points) ? • What are your top 2 current business challenges and future business challenges? What services you would like HR to provide to the department?
  68. 68. Strategic Learning Employee Competencies and Performance Goals • What are your top three KPI or performance goals of the year? • What are the top three competencies you need to improve (lack) and strengthen (strong points) to achieve the goals of the year? • What are your top 3 current and future work challenges? What services you would like HR to provide to you?
  69. 69. Current Business Challenge Item Current Business Challenge 1 Current Business Challenge 2 Current Business Challenge 3 Challenges Competencies Talent Corporate Actions HR Solutions
  70. 70. Future Business Challenge Item Future Business Challenge 1 Future Business Challenge 2 Future Business Challenge 3 Challenges Competencies Talent Corporate Actions HR Solutions
  71. 71. What is Action Learning? • Drive strategic change • Transform the organization • Accelerate development • Achieve business breakthroughs • Develop leadership capabilities, etc. Develop participants Address significant business challenges Results Learning Action
  72. 72. HR Solutions Concerns Project Training and Coaching Implementation with timelines Results Incompetent leadership capability to lead teams in Finance Department Leadership competency building 4 stages of leadership training 6 coaching sessions Application of leadership tools Jan-August Employee survey on leadership capabilities from 3 to 7 Low Customer satisfaction rating in Sales and Marketing Improve customer engagement 8 phases of training with 8 assignments Jan - September Improve of customer satisfaction rating from 4 to 8
  73. 73. Training Delivery • Broadening the Learning Channels Benchmarking – Visit other industries Whole Brain Learning – Action based, VAKD (vision, auditory, kinesthetic and digital) Interesting, adult learning and Fast paced E-Learning and Gaminization, Virtual Reality
  74. 74. 78 Do Things Differently!
  75. 75. What can you do?
  76. 76. Take Home • Business Growth Model • Performance, Goals and Business Challenges Analysis • Expand the roles of OD and Training – Training – transfer and development of skills – OD – change of organization.
  77. 77. Diagnosis Strengths Next Level Development HR/OD/Traini ng Solutions Results Strategies Execution Innovation Organization Structure Culture Leadership Talent M&A
  78. 78. Strategic learning and OD Level Business Needs HR, OD and Training Solutions Out comes Corporate Strategic Needs Department Tactical Needs Employees Competency Needs
  79. 79. Current Business Challenge Item Current Business Challenge 1 Current Business Challenge 2 Current Business Challenge 3 Challenges Competencies Talent Corporate Actions HR Solutions
  80. 80. Engagement (gallup)
  81. 81. Portfolio • Laurence Yap Organization Development Talent Management Training and Development 18 Years of Training & OD Experience with 7 Years of Senior Manager (Pfizer, Komag, Carsem, PayPal, First Solar) Local and Fortune 500 MNC
  82. 82. Contact Online Portfolio http://www.laurenceyap.com Mobile +60162080096 Email laurence.yap@gmail.com Linkedin https://www.linkedin.com/in/laurenceyap Blog http://journeyofhrd.blogspot.com
  83. 83. Thank You 87

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