Structure of the HR Function Flashcards
What is HR’s strategic role?
- participation in creating the org’s strategy
- aligning the HR strategy with the org strategy
- supporting other functions in their strategic roles
What the most effective strategies are produced by
Cross-functional collaboration
The main responsibility of Executive management
managing the core business functions and their effort on the org’s performance
How HR can support Executive team
advising on the human capital implications of strategic decisions
How HR can support Accounting and Finance
support audits, risk prevention programs, monitor budgets
How HR can support Marketing
ensure its activities are aligned with the org’s brand
How HR can support Sales
designing compensation systems that motivate sales behavior, and provide training
How HR can support R&D
sourcing good candidates with cutting edge expertise, attractive compensation packages
How HR can support Operations
workforce planning needs, predict and manage gaps in resources, compliance
How HR can support IT
develop and communicate tech policies, develop a pipeline of qualified candidates, partner to implement HRIS
Role of HR Leaders
Strategic role, on senior leadership team
Role of HR Managers
responsible for units within the HR function, provide input to leaders
Role of HR Specialists
expertise in a specific area, apply best practices to their discipline
Role of HR Generalists
proficient enough in each area to provide advice and direction to employees and managers
Role of HR Business Partners
experienced generalists; represent HR services to specific business functions or units
HR org that ensures standardized HR policies and processes throughout the org consistently
Centralized HR
HR org that allows for more direct contact between HR and other functions, facilitates communication and responsiveness
Decentralized HR
HR structure where headquarters HR crafts policies, and generalists implement within business areas, adapt, and interact with employees
Functional HR
HR structure where corporate HR articulates values and develops tools, and business unit HR develops local policies and practices
Dedicated HR
HR structure where centers with specific areas of expertise develop HR policies in that area, and delivers to all business units - selecting from a menu of services
Shared Services HR
Aims at leveraging strategic expertise in the org to foster growth and continuous improvement
Center of Excellence
HR structure embedded in different areas of the business to better support each area, increases visibility of HR throughout org
Business Partners
HR structure where business partners report up through HR senior leadership
Matrix Structure
When outsourcing or cosourcing should be used
for HR activities that are not strategic but resource-intensive or require specialized expertise
3rd party vendor provides selected activities
Outsourcing
3rd party provides dedicated services to HR, locating contractors within the HR function
Cosourcing
Steps of the outsourcing process
- Analyze needs and define goals
- Define the budget
- Create a request for proposal
- Send RFP’s to chosen contractors
- Evaluate proposals
- Choose a contractor
- Negotiate a contract
- Implement project and monitor schedule
- Evaluate the project
Components of an RFP
deliverables, company info, project resources, outlined development process, references, executive summary, costs
Steps to create a balanced HR scorecard
- define KPI’s
- align department objectives to org’s strategic goals
- demonstrate HR’s strategic value by measuring in clearly understood terms
Evaluates an org’s HR policies, practices, procedures, and strategies
HR Audit
Primary reason to conduct an HR Audit
to enhance or eliminate HR programs
HR metric that shows productivity of retained employees
Human Capital Value Add
Vacancy Costs
The costs of substitute labor (temps, contractors) minus wages and benefits not paid because of vacancy
Help an org maintain or improve a competitive advantage by comparing the org’s practices to those of employers identified as having exceptional practices
Best Practices Audits
Metric used to demonstrate the value of HR programs
Human Capital Return on Investment
Metric used to indicate effectiveness of recruiting, selection, and orientation methods
Success ratio
Metric used to demonstrate effectiveness of employee development and reward strategies
Key Talent Retention
