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Round table HR in times of economic crisis April 14th, 2009

Round table HR in times of economic crisis April 14th, 2009. LTP Netherlands Gert Jan van Arnhem Pieter-Jil Pluimert. Consequences of crisis in Europe. How do organizations react on crises? How does this effect HR strategy? How to prepare the organization for coming revival?

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Round table HR in times of economic crisis April 14th, 2009

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  1. Round table HR in times of economic crisis April 14th, 2009 LTP Netherlands Gert Jan van Arnhem Pieter-Jil Pluimert

  2. Consequences of crisis in Europe How do organizations react on crises? How does this effect HR strategy? How to prepare the organization for coming revival? What does it mean for use of HR instruments?

  3. Economic Crisis: Europe What happens? Pavlov reaction • Shareholder value diminishes • Management needs to show powerful response • Cost control action • Reducing flex force • Hiring freeze • Remuneration cut • Work force reduction • Innovation stand still Inside focus?

  4. Economic Crisis: Europe What is the aim? • Shareholder value increase in the long term • Strong market position • Healthy profits action • Pro-active innovation • Client oriented This means tension on HR; a paradigm How to cope?

  5. Coping Human capital is key • Different circumstances need different capabilities/competencies • Outward focused • Initiative • Drive • Ability to cope with disappointments • Circumstances create room for initiative • Tolerance for mistakes • Incentives on results • Sharing experiences • Active support • Sharing resposibility

  6. Instruments Identification – Appraisal – Development of talent • Identifying talent – who is a talent in the given situation • Appraise employees – who is able to perform now • Develop key personnel – who will be able to perform within short High trust vs. low trust • Management attitude is leading

  7. Conclusion / discussion Consistent HR strategy is necessary for survival Basic cost control will be counter effective on the long term

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