HR Strategies

Developing HR Strategies

Steps to build up HR Strategy

Step 1: Get the ‘big picture’

Understand your business strategy.

• Highlight the key driving forces of your business. What are they? e.g. technology, distribution, competition, the markets.
• What are the implications of the driving forces for the people side of your business?
• What is the fundamental people contribution to bottom line business performance?

Step 2: Develop a Mission Statement or Statement of Intent

That relates to the people side of the business.

Do not be put off by negative reactions to the words or references to idealistic statements – it is the actual process of thinking through the issues in a formal and explicit manner that is important.

• What do your people contribute?

Step 3: Conduct a SWOT analysis of the organization

Focus on the internal strengths and weaknesses of the people side of the business.

• Consider the current skill and capability issues.

Vigorously research the external business and market environment. High light the opportunities and threats relating to the people side of the business.

• What impact will/ might they have on business performance?
• Consider skill shortages?
• The impact of new technology on staffing levels?

From this analysis you then need to review the capability of your personnel department. Complete a SWOT analysis of the department – consider in detail the department’s current areas of operation, the service levels and competences of your personnel staff.

Step 4: Conduct a detailed human resources analysis

Concentrate on the organization’s COPS (culture, organization, people, HR systems)

• Consider: Where you are now? Where do you want to be?
• What gaps exists between the reality of where you are now and where you want to be?

Exhaust your analysis of the four dimensions.

Step 5: Determine critical people issues

Go back to the business strategy and examine it against your SWOT and COPS Analysis

• Identify the critical people issues namely those people issues that you must address. Those which have a key impact on the delivery of your business strategy.
• Prioritize the critical people issues. What will happen if you fail to address them?

Remember you are trying to identify where you should be focusing your efforts and resources.

Step 6: Develop consequences and solutions

For each critical issue highlight the options for managerial action generate, elaborate and create – don’t go for the obvious. This is an important step as frequently people jump for the known rather than challenge existing assumptions about the way things have been done in the past. Think about the consequences of taking various courses of action.

Consider the mix of HR systems needed to address the issues. Do you need to improve communications, training or pay?

What are the implications for the business and the personnel function?

Once you have worked through the process it should then be possible to translate the action plan into broad objectives. These will need to be broken down into the specialist HR Systems areas of:

• Employee training and development
• Management development
• Organization development
• Performance appraisal
• Employee reward
• Employee selection and recruitment
• Manpower planning
• Communication

Develop your action plan around the critical issues. Set targets and dates for the accomplishment of the key objectives.

Step 7: Implementation and evaluation of the action plans

The ultimate purpose of developing a human resource strategy is to ensure that the objectives set are mutually supportive so that the reward and payment systems are integrated with employee training and career development plans.

Staffing

Staffing Action For New recruit

Before You Recruit

• Review the organization’s recruitment and selection policy and/or practices
• Review the strategic and operational plans to determine if the position should be filled
• Confirm that funding exists to recruit for and staff the position
• Obtain the necessary approvals to staff the position
• Develop a job description if the position is new
• Review and update the job description for an existing position
• Decide on the type of employment (full-time; part-time; permanent; contract; short-term; etc)
• Identify constraints that will have an impact on the staffing process (need someone soon; specialized skills; supply/demand, etc)

Establish the recruitment and selection criteria 

• Develop recruitment and selection criteria based on the job description
• Establish the minimum qualification for the position
• Review all recruitment and selection criteria to ensure they are job-related and measurable
• Ensure that all recruitment and selection criteria comply with Human Rights Legislation

 Recruitment process 

• Determine the best method for recruiting for the position
• Draft the job announcement using the job description, minimum  qualifications and selection criteria
• Include the following in the job announcement:
  • Application deadline
  • Request for references
  • Start date
  • Salary range
  • Contact information
  • Format for submission
• Ensure that the job announcement complies with Human Rights Legislation 

Selection process 

Before the Interview:

• Plan the interview process:
• Number of rounds of interviews
• Number of interviewers
• Length of the interview
• Location of the interview
• Date of the interviews
• Any materials the candidate should bring to the interview
  • Ask colleagues to sit on the interview panel
  • Give the interview panel the logistical information about the interviews
  • Develop the interview questions
  • Prepare an interview rating guide
  • Develop a reference check guide
  • Prepare a reference release form
  • Ensure that the interview questions, reference questions and other selection criteria comply with Human Rights Legislation
  • Prescreen applications using the selection criteria
  • Set up the interviews with the selected candidates
  • Forward the applications of those candidates being interviewed to the interview panel
  • Forward the interview questions and interview rating guide to the interview panel
  • Meet with the interview panel to brief them on the interview process

Conduct the Interview

• Review the candidate’s application before each interview
• Welcome the candidate to the interview
• Introduce the interview panel
• Explain the interview process
• Rate the candidate’s responses to the questions
• Give the candidate an opportunity to ask questions
• Close the interview by explaining the next step and thanking the candidate for coming to the interview
• Ensure that the discussion and the note taking during the interview complies with Human Rights Legislation

After the Interview

• Finalize your interview notes

Select the right candidate 

• Use other selection methods as appropriate
• Telephone the references
• Use the reference checking guide to document the conversation

 Conclude the staffing process 

• Make your decision and review it
• Make a verbal offer of the position to the selected candidate
• Follow-up the verbal offer in writing
• Prepare the job contract and have it signed before the new staff member starts work
• Send out rejection letters to the other candidates that were interviewed
• Set up a competition file
• Complete the paperwork necessary for the new staff member to start work

HR Functions

Functions of HR Professionals

The process of HRD consists of 4 basic functions:

Acquisition of human resources

• Process of identifying and employing people possessing required level of skills

• Job Analysis

• HRP

• Recruitment

• Selection

Development of human resources

• Process of improving, moulding and changing the skills, knowledge and ability of an employee

• Employee Training

• Management Development

• Career Development

Motivation of human resources

• Process of integrating people into a work situation in a way that it encourages them to perform / deliver to the best of their ability

• Understanding needs

• Designing motivators

• Monitoring

 Maintenance of human resources

• Process of providing employees the working conditions that help maintain their motivation and commitment to the organisation

• Satisfaction Levels

• Retention

Field of HR

Field of HRD – Concepts, Goals, Challenges

1. Byers & Rue: “HRM is the function facilitating the most effective use of people to achieve both organisational and individual goals”

2. Michael Jucious: “HRM is that field of management which deals with planning, organising & controlling the functions of procuring, developing, maintaining and utilising a labour force such that organisational & individual goals are fulfilled”

HRM is process of acquiring, training, appraising and compensating employees such that they are motivated to achieve both the organisational and individual goals

Importance of Human Resources can be discussed at four levels:

–      Corporate

• HRM can help an enterprise in the following ways:

• Attracting talent through effective HRP

• Developing necessary skills & attitude with training

• Securing cooperation through motivation

• Retaining talent through the right policies

–        Professional

• HRM helps improve quality of work life and contributes to growth in the following ways:

• Opportunities for personal development

• Motivating work environment

• Proper allocation of work

• Healthy relationships between individuals & groups

–        Social

• Society benefits from good HRM in many ways:

• Good employment opportunities

• Development of human capital

• Generation of income & consumption

• Better lifestyles

–        National

• Drivers of development of a country

• Deliver economic growth