Have you ever found yourself in the position where you had to justify what you do? In the big picture, can you show how HR benefits the company? Can you point to specific figures and say "I helped the company save "x" amount of dollars?"
If you can't do so now, you may find that you need to at some point in the future. You will want to be ready. So, where do you start? By identifying what you do, measuring what you can, and assigning a dollar value to it.
For example, say you recently read that hiring people who fit into your company culture results in dramatically lower turnover rates and higher profitability for businesses. You want to test out this theory and find out if a change in your hiring procedures to take culture into account will have an impact on your retention rate.
Define the measure
To determine if making such a change would work, you modify your hiring process to include information about your company culture at the outset, and work some questions into candidate interviews designed to help you discover whether a candidate would be a good fit in your organization. After implementing this initiative, look at your retention rate (the flip side of turnover rate) at one year for the employees hired under this system, compared to the one-year retention rate for employees hired prior to this system, and see if there is improvement. If there is, assuming you can rule out other factors, it just might be because you hired the right people for your organizational culture.
Break it down
A higher retention rate gives you a number, but it doesn't break it down into dollars and cents. However, if you estimate that every position you fill costs 1.5 times the salary of the open position, you can multiply that number by the number of positions you didn't have to fill, to give you a quantifiable dollar amount. For example: You filled six fewer positions after the new initiative, each one at a replacement cost of $30,000. This adds up to $180,000 you saved the company in costs not incurred to replace personnel due to the new initiative. You have just justified what you do in bottom line terms.
Keep score
You can keep a "scorecard," which will show how you rate on a number of initiatives, and will identify if these initiatives are working as desired to save the company money. You can update the scorecard quarterly to keep track of your progress throughout the year. The scorecard is something you can present to your superiors that will give them a snapshot view of the value you bring to the organization. It is well worth the effort.
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Employees are ever alert for signs of competence, vision, and trustworthiness in their leaders.
When they see these positive signs, they work harder, contribute better ideas, and stay with the
company longer. When they pick up unsettling signals, their performance and loyalty deteriorate.
Because the scrutiny and interpretation are relentless, even trivial things that you say or do
have an impact. For a leader, there’s “no such thing as a casual conversation.”
You can’t totally manage the signals you send. Even if your intentions are pure and your performance flawless, the authors say, don’t be surprised when your most innocuous statements are assigned deep, sinister meaning – or are assigned very different meanings by different people.
But if you communicate consistently and clearly, especially in times of crisis, and don’t shy away from the tough issues, you’ll engender the trust and confidence that you need to succeed.
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Apa pasalnya APINDO versus Gubernur Propinsi DKI Jakarta...? Kalau ada yang masih ingat beberapa waktu lalu Gubernur Propinsi DKI Jakarta mengeluarkan Peraturan Gubernur DKI Jakarta No. 82 tahun 2006 tentang Petunjuk Pelaksanaan Program Jaminan Kerja yang diberlakukan per tanggal 7 September 2007. Ya.. Peraturan tersebut dianggap memberatkan pengusaha dan juga bertentangan dengan Undang-undang yang berlaku, sehingga pengusaha yang diwakili APINDO melakukan perlawanan hukum dengan mengajukan permohonan Hak Uji Materil atas peraturan tersebut.
Hal yang menjadi pokok masalah dalam perseteruan hukum antara APINDO dan Gubernur Propinsi SKI Jakarta adalah :
Pada permasalahan yang terdapat pada point 3 sangat jelas sekali bahwa penyelenggaraannya diatur oleh Undang-Undang bukan oleh Peraturan Gubernur.
Untuk detailnya tentang pokok permasalahan dan putusan Mahkamah Agung atas permohonan Hak Uji Materil APINDO terhapad Peraturan Gubernur DKI Jakarta No. 82 tahun 2006 tentang Petunjuk Pelaksanaan Program Jaminan Kerja bisa dilihat dalam file yang dapat di download disini.
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Next sharing day in tomorrow Tuesday is about Performance Management Development Online. What is that...? Performance Management Development online is the way we monitor performance every time through portal that can be accessed where we are, even when we are on duty (visiting branches).
This topic will be presented by HR Business System from Central Services and hoping all employees are able to attend this hot topic of the month, cause we are just planning a performance management development for Y2009, even though this is lately. :)
How about Human Resource Activities day in your company ..?
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Four new roles human resource practitioners should adopt:
- Human capital steward. HR has long understood "human capital" to be the collective knowledge, skills and abilities of an organization's workers. But the role of "steward" of these resources is a new one. Unlike raw materials or equipment, The human capital cannot be simply bought and used," the authors write. "Human capital must be contributed by the employee voluntarily," and the role of HR is to create an atmosphere in which employees can contribute their skills, ideas and energy. This is achieved by "facilitating employees without controlling them."
- Knowledge facilitator. In this role, HR helps the organization acquire and disseminate knowledge and use it to create a competitive advantage. Transforming tacit knowledge into explicit knowledge can help build employee skills, competencies and careers, the Lengnick-Halls write. This transformation comes about when knowledge sharing is valued. "Teaching must become part of everyone's job."
- Relationship builder. HR must facilitate cross-functional teamwork, the authors write. "HRM must build networks and shared people communities around the strategic objectives of the business to ensure competitiveness," the authors write.
- Rapid deployment specialist. The global economy moves quickly, requiring HR to anticipate and implement any staffing adjustments that evolving markets and business strategies will require. This will necessitate a versatile, flexible HR architecture.
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At a recent leadership development training program, I asked a question I regularly ask:
Knowing what you know now, how many of your current employees would you re-employ?
Answer - about 60%.
This answer is consistent with previous groups I have trained, as well as general employment survey research. It means that poor employee selection decisions are regularly made.
Suitable candidates are not being found. About 40% of employees are not performing well or as expected. In some way, they cause their management a problem. It may be poor attitude or interpersonal problems. It may be they cannot perform their duties properly.
In time management programs, I sometimes cite recruitment and selection as a good example of the 'Pareto principle' - 20% of the effort produces 80% of the results.
It is worth a little extra effort to make a good selection rather than an average one. Spending the time to make a good decision is a sound investment. It is time well spent.
Managing performance problems is a constant theme raised by training participants. Amongst other things, poor performance consumes management time. It diverts attention away from more productive matters.
Managing performance would not be a major issue if team leaders and managers exercised greater control in the recruitment and selection process.
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