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“ To improve the health of the people in our region.”

HR Leadership and Breaking the Mold: Where is Your ROI While You Recruit, Retain and Reward Employees? Mark Lopshire, MA, M.Ed. Director, MSTI @ SLMVMC 208.814.1685. “ To improve the health of the people in our region.”. Purpose. We will: Challenge yourself Challenge the norm

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“ To improve the health of the people in our region.”

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  1. HR Leadership and Breaking the Mold: Where is Your ROI While You Recruit, Retain and Reward Employees? Mark Lopshire, MA, M.Ed.Director, MSTI @ SLMVMC208.814.1685 “To improve the health of the people in our region.”

  2. Purpose We will: Challenge yourself Challenge the norm Destroy the old paradigm and perceptions of HR Seek HR velocity HR leadership! Review Solutions

  3. Agenda • Customer Perception: HR is just overhead! • What is your ROI? • Recruiting • Reward • Retain • HR Leadership- Changing the paradigm • Challenges • Summary

  4. Customer PerspectiveHR is just overhead • HR always adds more processes • HR adds more paperwork • HR takes to much time to find candidates • HR gets us crummy employees • HR tells me that I cannot fire a poor performer • HR increases the cost of our health benefits • HR reduced our vacation time • HR is just worried about regulatory requirements • HR sits at their desk and makes stuff up • HR does not understand what I do

  5. Customer PerceptionNot limited to the private sector • “….What did we get? Slow service; sometimes NO service if someone goes on leave, because the work sits there, no matter what. Customer service took a big hit. I do not blame them; you cannot get blood out of a turnip.” • “The HR managers in my agency…would recognize that my organization is on the road to mission failure.” • “The ineptitude of federal HR functions is well-documented, well-known and widely accepted. Throwing more money, more training and more FTEs at HR will not resolve these performance deficiencies.” • “Not surprising. HR gets cut before anyone else. ..We're the step children of the step children…”

  6. Customer Perception • Is it a wonder that the perception is HR is just overhead? • We need to change the view! • Exercise: • What have you done for your customer today?

  7. HR cannot be overhead! • ROI is the return on the investment. How much did you invest and how much did you make? It applies to HR! • Examples: • Old school: Hire 10 new employees on manufacturing line – Newspaper ad $500, total annual salaries + costs $260k per year • First six months 50% quit or are fired • Search, rehire, train, loss of manufacturing time cut by 10%-30% weekly • HR cost the company over $150k in this year – wrong hires, lines down, time to hire/rehire, affect on team – what is the ROI? • Change the paradigm: Hire new CIO – Search firm 30%, Salary $100k, $10K bonus plus benefits/costs $30k (Year 1 cost $170k) • In first year cut IT expenditures $50k, implemented new inventory tool and reduced inventory by $100k – Was this a good ROI?

  8. What is your ROI? “Good is the enemy of great”…Jim Collins From Good to Great • Exercise • Describe your three greatest HR accomplishments that have contributed to in some manner to the success of your company? • Put a dollar value to that accomplishment in terms of time saved, dollars saved, improved recruiting, retention, etc. • Write your 30 second elevator pitch why I should hire you? • Save and adjust throughout the next 30 minutes

  9. Recruiting Hiring the best • Find the right hire • Newspaper? Internet? Local? National? Associations? • Integrate leaders into the process early on and update weekly • Great opportunity for transparency and holding ourselves accountable • Use a score sheet/matrix • Reduce error • Save interview documentation • Avoid legal issues • Recruiting Velocity! • Anticipate, proactive – eliminate the reactive

  10. Recruiting Hire the best! • Aptitude – 25% • What have they done? • Do we lie on our resumes! • Attitude – 50% • Can they identify their ROI? Can they learn? What are their strengths? • Potential – 25% • What can they be doing in 36 months? Can they contribute to the team ROI? How can they improve processes?

  11. RecruitingHiring pipeline • Velocity! • Keep certain jobs always posted • Accept unsolicited resumes – send them to managers as “hip pocket” solutions – no calls…why not! • Determine FTE solution: • 80 FT/20 PT/10 Temp or PRN • 80/10/10 • 70/20/10 "Far and away the best prize that life offers is the chance to work hard at work worth doing”…Theodore Roosevelt

  12. RecruitingBehavioral Interviews • “Describe”… “Describe”… “Describe”… • Identify employee outcomes and success prior to posting • Integrate in job description • Posting – clearly state “Please ensure that your resume reflects the skill sets, behaviors and how your positive attitude will help our company!” • Make list of behavioral interview questions - makes candidate selection more defensible - allows for comparisons – • Review applications with the behavioral traits and characteristics in mind. • Phone screen candidates with managers then schedule the most qualified candidates for a behavioral interview. • Ask your list of behavioral and traditional questions of each candidate during the behavioral interview • Team interviews not only identify “great fit” they also train future leaders • References lie – ask behavioral questions • Consider summary matrix – use a grade! • Select your candidate

  13. Recruiting Keep the Pipeline Filled • Be ready to hire now • Focus on HR velocity! • Proactively work with and anticipate turn over with leaders • Internet and web posting for hard to hire and high turn over positions • Strategic planning through 2014 – 36-month forecast – Growth, new products, retirements, turn over and internal promotion – this is a best guess tool! • Partner with customers to develop!

  14. RetentionWhy do great employees leave? • High performers ask for training, responsibility and opportunities! …. • QuintStuder, Results That Last

  15. RetentionWhy do great employees leave? • Because they can! • They know their ROI and we have not taken care of them! • The job or workplace was not as expected….speak the truth. • Mismatch between job and the person...competency and personality. • Too little feedback or coaching…we all need daily feedback with the details • No growth, training and promotion opportunities….title, training, challenges…it is not the pay! • Feeling devalued and unrecognized….recognize and seek high performance employee input. • Stress from overwork and work-life imbalance…family or job? • Loss of trust and confidence in senior leaders…clear vision, ethical, role model.

  16. Rewards “Great managers break every rule perceived as “conventional wisdom,” when dealing with the selection, motivation, and development of staff”… Marcus Buckingham and Curt Coffman, First, Break All The Rules: What the World’s Greatest Managers Do Differently "Money was never a big motivation for me, except as a way to keep score. The real excitement is playing the game”…Donald Trump

  17. Rewards • Speak the truth • Spend 90% praising the best! Manage up! • Title, training, challenges…it is not the pay! • Seek high performance employee input…committees and projects – be careful of burn-out • Involve in setting the vision • Use as role model

  18. HR Leadership "Leadership is not magnetic personality…It is not Making friends and influencing people ..Leadership is lifting a person's vision to high sights, the raising of a person's performance to a higher standard”… Peter F. Drucker

  19. HR LeadershipVoted by HR Managers • Human Resource Managers plan, direct, and coordinate human resource management activities of an organization to maximize the strategic use of human resources and maintain functions such as employee compensation, recruitment, personnel policies, and regulatory compliance.Tasks* Serve as a link between management and employees by handling questions, interpreting and administering contracts and helping resolve work-related problems.* Analyze and modify compensation and benefits policies to establish competitive programs and ensure compliance with legal requirements.* Advise managers on organizational policy matters such as equal employment opportunity and sexual harassment, and recommend needed changes.* Perform difficult staffing duties, including dealing with understaffing, refereeing disputes, firing employees, and administering disciplinary procedures.* Plan, organize, direct, control or coordinate the personnel, training, or labor relations activities of an organization.* Represent organization at personnel-related hearings and investigations.* Administer compensation, benefits and performance management systems, and safety and recreation programs. • This is a bureaucratic answer to a real world problem!!

  20. HR LeadershipFrom a customer perspective! Human Resource Managers communicate and support leaders at all levels with education, training, and finding qualified employees while ensuring that recruiting, retention and rewards are focused on at all levelsTASKS • Get out of your desk and meet leaders in their area to help solve work-related problems. • Identify staff vacancies in advance and recruit, interview and select applicants. • Communicate and improve compensation and benefits – communicate the value • Talk with and train leaders about equal employment opportunity and sexual harassment, and recommend changes • Communicate weekly with leaders how HR is working on understaffing, refereeing disputes, firing employees, and administering disciplinary procedures • Hire the best • Communicate with leaders about their top three most pressing issues and look for processes that will improve their support • Develop business and customer partnerships

  21. HR LeadershipWhat about all of those legal issues? • Hire the best, train them and you will reduce employment and employee issues • Then train the employees and leaders • Then proactively round with leaders • And you will reduce employment and employee issues • Challenge the norm! • Destroy complacency in the workforce!

  22. HR LeadershipMetrics • Traditionally HR Managers do not like metrics • Time from need identification to submission • Did not say time from termination to submission • Time to approval • Time to hire • Case studies • 2001 – TTH for Oracle Developers less than 3 days • 2011 – TTH qualified medical physicists two weeks • What is your TTH? What candidate have you lost this year? • Can you keep your pipeline filled proactively? • Do you have recruiting velocity?

  23. HR LeadershipMetrics • Monthly turnover by position and skill level • Annual turn over does not identify issues and trends in a timely manner • Overtime and premium pay management • Reduce $100k in monthly OT by 10% • Employee complaints - Internal grievances • Run graph by type • Employment issues - External • Run graph by type • Transparency. Brief monthly. • What are your metrics?

  24. HR LeadershipLEAN Processes – Immediate ROI • The relentless pursuit to eliminate wasted time! • Eliminate non-value add activities or processes to customers • Over-production: Submit in three copies with four signatures • Waiting: HR form not on hand and must wait for tri-fold – keep on the intranet • Transportation: Hand carry forms – email the forms • Inventory: Keep six months of forms on hand • Motion: Walking forms instead of email • Over processing: To many meetings to make simple decisions • Correction: Resubmit paperwork • People: Under utilization of human resources…be strength based organization • Lean is not just manufacturing! • Reduce time to hire…Eliminate paper - Web based processes • Reduce time to legally terminate poor performers…Leader training • Reduce leader paperwork…Forms online • Reduce time and overhead for background checks …outsource

  25. HR LeadershipPartnerships • Teach leadership "Good leaders make people feel that they're at the very heart of things, not at the periphery. Everyone feels that he or she makes a difference to the success of the organization”…Warren G. Bennis • Work closely with leaders • Present HR metrics • Show them HR ROI! "The key to successful leadership today is influence, not authority.” …Ken Blanchard

  26. HR LeadershipCommunicate, Communicate, Communicate – Rounding with a purpose! • Round with a purpose with leaders • Have you seen every leader at least once a week in their team environment? • Do you know every leader by their first name? • Can you discuss the top three corporate challenges and top three issues for every department? • But email is so much more efficient – your customer may not have time for email!

  27. Challenges and Opportunities2011 – 2014 • What is your corporate culture? • Barriers? • Is it to late to prove your ROI? • How can you measure and share your metrics? • Can you adapt? • How can you go from good to great? “..If people believe in themselves, it's amazing what they can accomplish." …Sam Walton

  28. What is your ROI? • Exercise • Share your three greatest HR accomplishments that have contributed to in some manner to the success of your company? • Share the dollar value to that accomplishment in terms of time saved, dollars saved, improved recruiting, retention, etc. • Share your 30 second elevator pitch why I should hire you?

  29. Summary It is never to late to change! You cannot be overhead! You can lead! Meet your customer where your customer is! Questions? Thanks you! Mark Lopshire, MA, M.Ed.Director, MSTI @ SLMVMC208.814.1685

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