Organization Flashcards
HR Metrics: absence rate
number of days employees did not report to work divided by the number of employees
HR Metrics: applicant yield ratio
percentage of applicants who move from one stage of the recruiting process to the next
HR Metrics: human capital return on investment
comparison of employment expenses to revenue less nonemployment expenses
HR Metrics: human capital value added
revenue generated less nonemployment expenses divided by number of full-time equivalents (FTEs)
HR Metrics: promotion rate
percentage of internal promotions by protected class and as a whole
HR Metrics: success ratio
percentage of new employees that are deemed to be successful in their job role
HR Metrics: training return on investment
increased revenue as a direct result of training
HR Metrics: transfer rate
percentage of employees entering internal roles; may be an indicator of successful succession planning programs or employee relations concerns
HR Metrics: turnover costs
costs for replacing separated employees; may include recruiting, hiring, or training costs
HR Metrics: turnover rate
percentage of employees leaving the organization
5 HR department structures
- Centralized
- Decentralized
- Functional
- Dedicated
- Shared services
HR Structures: centralized
• HR staff is part of a centrally located department and provides services to the whole organization • In larger companies, there is a corporate HR department that creates policies and makes all strategic HR decisions that are then executed by the HR department • Benefits − Operational efficiencies − Standardization • Drawback − Inflexible communication − Slower response times
HR Structures: decentralized
• Each area has HR staff that executes corporate HR strategy and policies
• Benefits
− Improved responsiveness
− Efficient and timely communication
• Drawbacks
− Inconsistent policies or policy application
HR Structures: Functional
- Corporate HR staffed with specialists who craft policies related to their particular HR discipline
- HR generalists assigned to business units who implement corporate policies
HR Structures: Dedicated
• Corporate HR structure, complete with specialists and generalists
• Embedded HR and business units develop local HR policies and practices
• Benefits
− Ideal in organizations where business units have different strategies; allows the company to adapt corporate policies and apply HR expertise to the strategic needs of the specific business unit
HR Structures: Shared Services
• Center of excellence
• Business units utilize a central HR location staffed with specialists to execute certain routine transactional activities, such as payroll or benefits administration
• Benefits
− Reduction in time spent on routine administrative tasks − Reduced administrative costs
− Consistent and more accurate employee data tracking
HR Business Partners
- Internal HR consultants
- Represent HR services to assigned business functions and business functional leaders
- Possess a deep understanding of business operations and business strategy
- Key to demonstrating HR’s value throughout the company
HR Managers
- Plan, direct, and coordinate activities for an HR function: employee relations, talent acquisition, and organizational development
- Provide input to HR leaders on strategy
HR Specialists
- Functional experts (compensation and benefits design, talent management, workforce relations, etc.)
- Apply best practices to improve HR strategy in their areas
HR Generalists
- HR practitioners
- Familiar with and proficient in all HR areas
- Expertise in one or more HR areas
RACI
Responsible: Who is assigned to this task?
Accountable: Who has the authority to make decisions?
Consulted: Who will have more information about what’s required?
Informed: Whose work depends on this task? Who needs to be kept up to date?
