Effective HR establishments are taking on an entirely new identity by means of using automation and streamlining activities in order for them to be able to focus on design, values, culture, leadership and productivity. This is not only HR specific, but it also gives companies insight into running their business functions more effectively and ensures that the focus is placed on the business as a whole. The latest research has shown that only 12 % of HR organisations currently use predictive analytics for talent decision making, and 49 % of organisations plan to do so in the near future.
High Impact HR Operating Model
In order for any business to succeed and grow, it needs to adapt to changes in technology, customers, markets, workforce and society in general. The role of a High Impact HR Operating Model is to take the role of HR to the next level of maturity and to optimise the entire HR function. The HR team will be turned into expert consultants as well as advisers who are close to the business. In addition, this type of model will increase the levels of expertise and innovation. Products and tools are used that deliver intelligence-based outputs, support faster data retrieval and emphasise the entire business. The operating model links the vision of the business to the design of the organisation and thus ultimately contributes to the company’s success. Businesses are likely to see immediate ROI.
It is to be noted that the role of technology may transform the HR operating model, as well as employee data management tools that currently dominate 50% of the technology market. Companies should place emphasis on adopting structured data management tools in combination with automated transaction layers with a robust self-learning engine, and in return, use these strategic insights that have been formulated. HR will evolve faster than any business function when all three layers (technology, automation and intelligence) have been covered.
6 STEPS of a High Impact HR Operating Model
1. Create opportunities for sustainable business performance – HR is the only function with the ability to turn disruptions into opportunities to ensure sustainable business performance. Delivering the business strategy, driving workforce performance and engagement and enhancing the experience for the employees.
2. Start with the HR customer – The HR customer is placed at the centre of the model. Applying a design thinking approach. Develop an operating model, enabling processes and technologies that will meet the needs of the business and the customers. Understand the workforce characteristics.
3. Evolve HR capabilities – Customer-centricity, digital readiness, adaptability, agility, strategic consulting, and analytical acumen are at the top of the list. High-Impact HR : HR organisation is rooted within the business, recommending and innovating alongside its business leaders.
4. Digitise the workplace – The workforce demands ease of experience at work. Digital access to information and actions should be embedded as part of the integrated engagement experience. The digital workplace will enable productivity, collaboration and automation almost anywhere. This type of workplace will offer a personalised experience.
5. Own the data – HR can be better prepared with significant workforce data. The shift is from reporting to owning the data by delivering concrete workforce insights and guidance to the business.
6. Get beyond structure – High-Impact HR is about new methods of working. Organisational design is an output of a well-designed and fit-for-purpose operating model. The organisational structure should become clear.
Summary
The High-Impact HR Operating model is the foundation for the HR function to build on innovation and adaptability. It will ensure that HR will move from a function of merely service delivery to a principal driver of strategic workforce and business outcomes. The model is customised, adaptable and offers key shifts that HR organisations can make their own. It is important to note that HR customers will remain the centre of the model; the digital workplace will connect and empower the workforce; workforce insight derived through strengthened HR capabilities will inform the business strategy, and fluid interaction among HR components will be key to the Model’s strengths.
