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SHRM CP 2020 > 3 - Organization: Structure of HR (From Study Group) > Flashcards

3 - Organization: Structure of HR (From Study Group) Flashcards

1
Q

HR’s Strategic Role in the Organization

A
  • Participate in creating organization’s strategy
  • Align HR strategy with organization’s strategy
  • Support other functions in their strategic roles
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2
Q

HR’s Administrative Roles

A
  • Use technology to capture and analyze data, reduce transactional time
  • Focus on core capabilities
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3
Q

HR’s Operational Roles

A
  • Knowledge management
  • Talent acquisition and development
  • Incentive systems
  • Employee engagement programs
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4
Q

Developing an HR Service Culture

A

All aspects of the HR function must be examined:

  • Strategy, how HR will create value for the organization
  • Shared values, how a commitment to service is communicated
  • Structure, how HR can be more efficient and innovative
  • Systems, what tools are needed
  • Staff, what performance will be rewarded
  • Skills, what capabilities are needed to deliver service
  • Style of leadership, how leaders model customer service values
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5
Q

Core Business Functions

A
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6
Q

Executive Management

A

The C-suite is ultimately responsible for all of the core business functions and their effect on the organization’s performance.

  • Develop and communicate strategy.
  • Monitor and control implementation of strategic and operational activities through control of financial resources.
  • Be the primary interface with the organization’s stakeholders.
  • Lead the organization through a shared vision and the values they model.
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7
Q

Finance

A
  • Supports operations and strategic initiatives through the creation and monitoring of operating and capital expenditure budgets.
  • Provides financial analysis used in strategic planning.
  • Manages the organization’s “treasury.”
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8
Q

Accounting

A

Focuses on tracking financial transactions and reporting financial information to finance and to external stakeholders.

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9
Q

Marketing Strategies

A
  • “Push” - getting products/services in front of customers.
  • “Pull” - attracting customers to the product.
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10
Q

Sales Strategies

A
  • Heavily influenced by an industry’s customary distribution practices and the company’s marketing strategy.
  • Affects HR needs, including talent acquisition and compensation.
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11
Q

Research and Development

(R&D)

A
  • Generates future revenue through new product design and development.
  • May be conducted in a centralized manner (for example, with a globalized strategy) or implemented in business units so that projects stay focused on customer needs.
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12
Q

Operations

A
  • Develops, produces, and distributes products/ services.
  • Concerned with efficient use of resources, quality, environmental impact, worker health and safety.
  • Requires complex logistics and sophisticated planning.
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13
Q

IT

A
  • Manages storage, access, exchange, and analysis of organizational data through hardware and software systems.
  • Supports integration of data across enterprise through ERPs.
  • Maintains security and reliability of data.
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14
Q

HR Team

A
  • Leaders
  • Managers
  • Specialist
  • Generalists
  • HR Business Partners
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15
Q

Centralized

A
  • All HR personnel are located within the HR department.
  • Headquarters makes all HR policy and strategy decisions and coordinates all HR activities and programs.
  • Helps ensures standardized HR policies and processes.
  • Creates efficiencies in delivery of services.
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16
Q

Decentralized

A
  • Each part of the organization controls its own HR issues.
  • Strategy and policy may still be made at headquarters, but HR staff within each function, business unit, or location carries out the required activities.
17
Q

Functional

A
  • Headquarters HR specialists craft policies.
  • HR generalists (e.g., located within divisions or other locales) implement these policies, adapt them as needed, and interact with employees.
18
Q

Dedicated

A
  • HR function at headquarters and separate HR functions located (or “embedded”) in separate business units.
  • Corporate HR articulates basic HR values, develops tools to be used by the organizational-level HR functions, and creates programs (e.g., global literacy and leadership skills).
  • Business unit HR staff develops local policies and practices
19
Q

Shared Services

A
  • Centers with specific areas of expertise develop HR policies in those areas and then offer the service to all units.
  • Frequently used in organizations with multiple business units.
  • Units select what they need from a menu of shared services (usually transactional).
20
Q

Third-Party Contractors

A

Successful outsourcing/cosourcing depends on:

  • Choosing the right activities to outsource/cosource.
  • Alignment of vendor’s performance objectives with strategic requirements.
  • Confirmation of vendor’s reliability, capacity, expertise, and ethical behavior.
21
Q

Outsourcing Process

A
  1. Analyze needs and define goals
  2. Define budget
  3. Create RFP
  4. Send RFPs to chosen contractors
  5. Evaluate proposals
  6. Choose contractor
  7. Negotiate contract
  8. Implement project and monitor schedule
  9. Evaluate project
22
Q

Demonstrating HR’s Value

A

Benefits of measuring and reporting results include:

  • Reinforcing HR’s role in strategic development by measuring the effectiveness of HR strategies and senior management’s implementation of those strategies.
  • Identifying opportunities for redirection and improvement through periodic measurement of progress on strategic objectives.
  • Strengthening HR’s relationship with internal business partners.
  • Supporting future investment in HR programs.
23
Q

Evaluating HR Performance

A

Balanced scorecards help support clear line of sight from strategic goals to strategic performance.

Effective balanced scorecards:

  • Contain accountability and measurable results.
  • Are valid (e.g., understandable measures, metrics, and targets that are aligned to an objective and supported by solid data).
  • Contain only measures that are most important to the objective and the organization’s strategic plan (e.g., measures must result in actionable items).
  • Focus on results.
  • Are carefully planned and executed.
24
Q

HR Metrics

A
  • Absence rate
  • Accruals
  • Applicant yield ratio
  • Cost per hire
  • Human capital return on investment
  • Human capital value added
  • Key talent retention
  • Promotion pattern
  • Success ratio
  • Training return on investment
  • Transfer
  • Turnover costs
  • Turnover ate
  • Vacancy costs
25
Q

HR Audits

A
  • Compliance
  • Best Practice
  • Strategic
  • Function-Specific
26
Q

HR Audit Process

A
  1. Determine scope and audit type
  2. Develop audit questionnaire
  3. Collect data
  4. Benchmark findings
  5. provide results feedback
  6. Develop action plans
  7. Foster continuous improvement

SHRM CP 2020 (19 decks)

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