The Iowa Experience: Human Resources as a Strategic Business Partner

1. The Iowa Experience:Human Resources as a Strategic Business Partner Mollie K. Anderson, Director Iowa Department of Administrative Services For the International Personnel Management Association October 1, 2004

2. Why Did You Choose HR? • Why did you get into HR? • How long have you been in this field? • Where do you want this profession to take you?

3. What an HR Professional Is • The systemizing, policing arm of executive management • An advocate for employees • Strategic business partner for customers • A champion for change

4. The Primary HR Goal • Get the right person… • With the right skills… • Into the right job… • With the right supervision to meet performance expectations and … • Add value to the organization.

5. The Primary HR Questions • How do you attract and retain quality employees? • How can you become a strategic partner with your customers? • How do you improve productivity and ROI? • What issues affect employers’ ability to meet company goals?

6. HR Challenges Today • Changing employee demographics and needs • More competition for a skilled workforce • Focus shifting from regulation to service • Demand for customized service • The need to support desired business outcomes and affect the bottom line

7. The Iowa Experience • Department of Administrative Services combined 3 ½ agencies in 2003 • Adopted the entrepreneurial management concepts of strategist David Osbourne • Four goals: Improve customer service, save money, streamline, and use resources in a more flexible manner. • Unique financing approach

8. Entrepreneurial Management • A customer-focused (NOT program focused) approach… • To delivering services (NOT running a program)… • In a competitive marketplace (NOT a monopoly.)

9. How DAS is Set Up in Iowa • A complement of infrastructure and facilities services, including full range of HR functions • Each fee-based operation covers its costs • Customer Councils set utility rates • ‘Rowing and steering’ functions separated • Moving toward one-stop shopping model

10. What DAS Started With • Traditional financial infrastructure • ‘Old’ agencies without legislative champions • Thirty percent budget cuts over three previous fiscal years • Highly tenured, program-focused employees • Grumpy, uneducated customers

11. What DAS Has Done • Passed enabling legislation • Developed fee-based financing models, determined service costs, and reduced cross-subsidized ‘drug deals’ • Adopted an internal shared services model • Established and empowered customer councils

12. What DAS Is Doing Now • Refining financing and legislative framework • Eliminating silos between merged agencies • Engineering a culture change • Re-motivating employees with training and incentives

13. The Iowa Approach to HR • Define internal and external customers • Know your customer(s) and their business(es) • Know your business goals and what it takes to achieve them

14. Setting HR Priorities • Know your customers’ (internal and external) priorities • Understand the financial risk • Evaluate the potential for improvement

15. How to Create a Compelling Picture for Action • Do your homework and be prepared to tell your story • Identify risks of inaction • Know the impact on financing and productivity

16. How to Get Your Own Team On Board • Lay out clear expectations • Use a customer service representative model and service delivery agreements • Use performance evaluations and reward programs

17. Example: Workers Comp • Start with the viewpoint that people are the face of government • Tell the story simply, using the numbers • Define the risk (financial, productivity) if no action is taken

18. How to Get Invited to the Decision Making Table • Connect with customer goals—save money, streamline processes, etc. • Know your business—and your customers’ business • Articulate a compelling story • Follow up!

19. What Role Does Communication Play? • Start with research—know the facts • Tell your story in a compelling, understandable way • The ‘visual identity’ concept works • Repeat, repeat, repeat

20. Use the Tools • For the basics, an FAQ • Annual reports • Newsletters or bulletins • Crisp financial results

21. What You Can Measure • Customer satisfaction • Financial goals • Grievances • Processing time • Turnover/retention

22. The Bottom Line • Watch the people who have leveraged their HR expertise to move ahead. • HR is no longer just a knowledge game—you must be able to apply what you know. • You must be able to listen, evaluate and persuade.

23. What You Can Do to Develop Your Skills and Career • Education • Write and talk • Use associations and seminars • Move around in HR specialties and to career opportunities • Cross-functional teams • Look for emerging issues

24. Lessons Learned—a Recap • Be proactive, not reactive • Know your customers and your business • Do your homework • Learn from others when you can • Be concise and clear • Keep current on emerging issues • Get involved in HR organizations • Sometimes you have to move • You can’t go it alone

25. Question and AnswersVisit the DAS website,http://www.das.iowa.gov