Transcript Human Resources Administrative Review

University of Maine System
May 2013
Meeting the Human Resource Needs of UMS
Now and in the Future
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Agenda
• The Need
• The Recommended Solution
 Paradigm shift
 SHR
 Employee engagement
 Process Improvement
• Early Pilots and Results
 University of Maine
 Others (if desired)
• Discussion
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The Need – Current External “Pressures”
• Static or declining financial resources
• Dwindling demographics
• Cost drivers increasing
• New and diverse delivery methods
• Keeping higher education affordable
• Need to attract and retain talent
• Need to do more with less
• Competitive pressures
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So how do we maintain or gain market share?
One potential is to follow the lead of these
companies:
 LL Bean (HR => SBU in 1996)
 Marriott
 Fed Ex
 Google
 Rayonier
 Whole Foods
 AFLAC
 Publix
 Nordstrom
 Cadillac
 Green Mountain Coffee
Roasters
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Create a perception of a differentiated
experience through our employees, while
becoming more efficient
• In mature service industries, the equation looks like:
Interaction of the human to human experience +
the quality of the delivered product
__________________________________________
Price
• This type of differentiated experience can
only be delivered by our faculty and staff
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If you accept the assumptions
Then the key question becomes:
How do we best engage our most valuable
asset (our faculty and staff) in creating
this type of differentiated experience for
our students and our citizens, while
simultaneously becoming more efficient?
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Current State of HR at UMS and the
Proposed Solution
Tracy Bigney
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HR Services – Current State UMS
 Human Resources work can be seen in these
categories:
 Transactional –repeated, standardized
 Tactical/customer service –high touch
 Strategic
 Almost all current HR/EO services are mission critical
or legally mandated
 Many “should do” HR services are strategic and
performed only to a limited extent
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Critical Future Competencies
 HR’s success as true strategic partner is dependent on
five specific competencies:
 Strategic contribution: co-development of strategy
 Industry/campus knowledge - understanding nuts &
bolts of organization
 Personal credibility - measurable value demonstrated in
programs & policies (help you deliver the core mission)
 HR delivery - serving internal customers through
effective & efficient programs
 HR technology - using technology to improve
organization’s management of people
Jeffrey Mello, Copyright © 2005 SouthWestern. All rights reserved.
Solution – Paradigm Shift and
Tangible Plans to Support It
 Transition to Strategic HR
 Employee Engagement
 Optimize the model of “service delivery”
 Differentiated modalities of delivery
 Lean (Process Improvement)
 Technology
 360-degree feedback
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Strategic Human Resources
Tamara Mitchell
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Strategy 1: Strategic HR (def.)
 “Strategic Human Resource Management involves the
productive use of people in achieving the
organization’s business objectives, and fulfillment of
individual employee needs.”
Sahoo, Das & Sundaray, 2011
Operationally then, the focus shifts from:
How do we get our employees to do “x”?
to:
How do we best engage and inspire our employees
to achieve our vision and mission?
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In other words, SHR is. . .
Leadership recognition of human capital as being the
principal source of an organization’s innovation and
competitive advantage.
Partnering with employees as investments rather than
managing them as a cost.
Proactively designing and implementing systems that:
 strengthen recruitment, career-long development,
positioning, and retention
 improve the quality of the work experience
 optimize the mutual benefit of employment for both
the employee and the employer
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Traditional HR Versus Strategic HR
Jeffrey Mello, Copyright © 2005 SouthWestern. All rights reserved.
SHR – Key components
 Talent management
 Competency-based hiring and positioning
 Training, development and mentoring
 Succession planning and career management
 Contribution management
 Employee and Labor relations
 Off-boarding
 Leadership, manager and supervisor training and best
practice (evidence-based leadership)
 Strategic workforce management
 Resourcing change (Lean, OD, facilitation, etc..)
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SHR – benefits to the organization
 Greater employee satisfaction leading directly to
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higher customer or client satisfaction
Attraction, development and retention of a highquality workforce
Increased individual and organizational performance
and efficiency
Cost-effective utilization of labor, particularly in
service industries where labor is generally the greatest
cost
Greater flexibility and responsiveness to external
forces
Enhanced delivery of competitive advantage
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Example in Higher Education
 05/15/2013
 Over the past several months we have been engaged in identifying the best
approach to deliver HR services to our constituents in the most effective
and efficient manner to help drive business outcomes. We are currently
recruiting for a Director of Human Resources for the University of North
Texas campus located in Denton, Texas. This position will work
collaboratively with the newly forming centers of excellence in: talent
management, talent acquisition and total rewards. The successful
candidate will have the opportunity to create programs and processes that
drive strategic alignment between HR and business initiatives based on
industry best practices. This transition will help us to be the strategic
partner needed by our constituents while providing outstanding programs
and services.
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Employee engagement
Mark Schmelz
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Strategy 2: Employee Engagement
 Employee engagement
drives business outcomes.
Gallup - Unleashing the Potential for
Growth
 Research shows that
33%
engaged employees are:
 more productive
World-Class =
9.6 to 1
67%
 more customer-focused
 less likely to leave
 Gallup estimates the cost
of non-engagement to be
more than $300 billion in
lost productivity alone.
Gallop Organization: based on more than 30 years of in-depth
research involving more than 17 million employees
Ratio of
Engaged to
Actively
Disengaged
49%
Average = 1.8
to 1
Engaged
26%
18%
Not Engaged
7%
World-Class
Average
Actively
Disengaged
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St. Vincent Hospital
In a Healthy Workplace Associates…
 Have the opportunity to use
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her/his talents
Believe that that someone cares
about them
Know what is expected of them
Are committed to the team’s
vision
Receive meaningful recognition
Feel like what they do matters
 Have the opportunity to learn
and grow
UMS Union representatives
What makes employees feel valued…
 Appreciation for the level of
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expertise / contribution
Respected – treat me like a
human
Know where their work fits in
the larger picture
When focused on collective
goals or focus
Receive meaningful recognition
Feel like we make a difference
(accomplishment)
 Opportunity for input – feeling
heard and considered – able to
influence their jobs
 Support / mentor when make
mistake (versus blame)
Employee Reaction
 “We have a large voice. Our opinions and concerns are
frequently sought after associate surveys, forums, and relaxed
chat sessions with our leadership.”
–Mike Bradshaw, team leader, engineering services
 “I was interested in seeking a position at St. Vincent Health
because I liked what I saw in the people who worked there—a
strong commitment to the mission, vision, and values of the
organization and a desire to do everything they do with
excellence and in a caring manner.”
–Jim Funk, director of organizational development
 “The main reason I love my job is the feeling of satisfaction I
get in knowing that every day what I do helps people get
appropriate treatment.”
–Mary Beck, microbiology charge technician
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Example in Higher Education
UNC-Chapel Hill
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Process Improvement
Dave Stevens
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Strategy 3: Process Improvement
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Information Technology
Strategic Procurement
Credit Transfer
ABCDE
Human Resources
Outcomes-Based Funding
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Example in Higher Education
UNC-Chapel Hill
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Strategy 3: Process Improvement
 Unexamined processes
collect waste and
redundancy over time
 One study found that
only about 38-40% of an
employee’s time was
available for real work
 Most processes can costeffectively recover 10-16%
efficiency
Percentage of Paid Time
Not available
for work (time
off, breaks,
sick leave, etc.)
Complexity
(rework,
redundancy,
errors, wasted
effort, etc.)
Available for
real work
F. Timothy Fuller, Eliminating Complexity: Improving Productivity by Enhancing Quality, National Productivity Review.
Autumn 1985
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Strategy 3: Process Improvement -Productivity
Source: Costigan, Maine sawmill – Green-end production – day shift - 1995-1996
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Lean (process improvement)
 The term LEAN refers to the system known as The
Toyota Production System, and while originally its use
was limited to the world of manufacturing, it is now
being used in hospitals, K-12, and post-secondary
institutions
 The fundamental philosophy of LEAN is streamline
processes by removing steps that do not add value for
the customer
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Early Pilots – University of Maine
Invest in faculty and staff
professional development, refresh
the UMaine brand and improve
communication among all
constituencies.
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Pilots as Proof of Concept - UM
Megan Sanders - Assistant Director, Human
Resources
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It Can Work – HR in a Backpack
Purpose of the initiative:
1. Education and
empowerment
2. Eliminate redundancies
3. Build new relationships
with HR (less compliance/
more strategic)
4. Sophistication and issue
Spotting
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It Can Work – HR in a Backpack
 Currently rolling our 5th session and have had over 300
participants
 Included topics such as:
 performance management
 benefits and retirement
 compensation and payroll
 Receiving favorable reviews from employees about feeling
empowered to do their jobs and seeing a shift in HR from a
paradigm of compliance to one of partnership.
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It Can Work – HR in a Backpack
 "[I like the] collaborative atmosphere. I no longer feel dictated to by
HR. I feel like a valuable part of the equation which ultimately leads me
to respect the HR staff more and value their opinions more highly.“
 "I really liked that the discussions opened a dialogue with HR and all
different areas of campus. We so often operate in our own silos and
there may be others out there who have lots of good information. This is
a great way to problem solve."
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It Can Work – Lean (Process Improvement)
The goal is to give employees the ability to:
 Fix processes that do not work well
 Increase efficiency
 Reduce frustration
 Better serve our customers
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It Can Work – LEAN (Recruiting)
 Pilot at UM in HR Search and Selection
 3 days with a staff of 20, to examine our hiring process
 Group created and published a clear depiction of the
process
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It Can Work – Lean (Recruiting)
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It Can Work – Lean (Recruiting)
 Reduced the number of required steps from 98 to 51.
 Cost savings estimated at $88,482/ year.
Former Process
Current Process
98
Minimum Elapsed Time 91 days
51 (33 steps are handled by
HR)
15 days
Maximum Elapsed Time 247 days
62 days
Actual Staff Hours
Up to 67 possible staff hours
Number of Steps
Up to 116 possible staff
hours
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 Reactions and Questions
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