By RAMON F.R. MEDINA Managing Director RFRM Consulting

1. HUMAN RESOURCE MANAGEMENT TraditionTransition  Transformation By RAMON F.R. MEDINA Managing Director RFRM Consulting

2. DEFINITION OF TERMS • TRADITION: • an established practice • refers to your current HRM practice • TRANSITION: • process of depicting a change from one state to another • TRANSFORMATION: • taking on a new state of being

3. HRM TRADITION(Operational Stage)

4. HRM TRADITION(Operational Stage) Recruitment and Selection Compensation and Benefits Training and Development Employee/ Labor Relations Etc. ROLE PROGRAMS ACTIVITIES PROGRAMS ACTIVITIES PROGRAMS ACTIVITIES PROGRAMS ACTIVITIES PROGRAMS ACTIVITIES SERVICE PROVIDER H R I S

5. HRM: Operational Stage FOCUS OF THE PRACTICE FOCUS OF THE PRACTITIONER • “Fire Fighting” • Transactional & Short-term perspective • Compliance • Efficiency & Cost Containment • Quality of delivery of basic HR services • Building the HRM Infrastructure • Policies • Practices • Procedures • Promptness & efficacy of HR-related problem-solving • Administrative efficiency • Management of HRM Systems

6. HRM TRANSITION (Critical Shifts)

7. In summary, leveling up and transforming the Human Resource Management practice from an operational/ functional/ administrative mode to a strategic developmental mode, the following strategic shifts need to be effected over a reasonable period of time: STRUCTURAL TO MORE OF… FROM • Key strategic areas & roles • Key results-focused • Strategies-driven • Alignment with business strategies; BSC • Strategy Map & Strategy Execution Roadmap • Complete Jobs (“Doughnut Cuts”) • Process silos • Process-focused • Activity-driven • Non-alignment with Corporate • strategies • Specialization (“Pizza Pie Cuts”) ORGANIZA-TIONAL STRUCTURE STRATEGY JOB DESIGN

8. In summary, leveling up and transforming the Human Resource Management practice from an operational/functional/ administrative mode to a strategic developmental mode, the following strategic shifts need to be effected over a reasonable period of time: OPERATIONAL FROM TO MORE OF… • End-to-end; networked; interdependent • Integrated/ aligned • Business partner • Employee champion • Internal consultant • Change Manager • Assuming accountability for ensuring results through the line management of operating companies • Monitoring goals alignment, measuring results PROCESSES • Linear/ Segmented • Stand alone • HRM Services-provider • HoldCo HR taking responsibility for the administration of HRM programs, policies & processes for the operating companies ROLE OF HR GOVERNANCE OF THE HRM FUNCTION

9. In summary, leveling up and transforming the Human Resource Management practice from an operational/functional/ administrative mode to a strategic developmental mode, the following strategic shifts need to be effected over a reasonable period of time: BEHAVIORAL TO MORE OF… FROM • Leadership • Enabling/ Empowering • Strategy-focused • Natural work group-based • Coaching and/or mentoring • Experiential learning / On-the-job • Strategy & business/functional goals aligned (thru the use of the BSC) • Integration & Inculcation level BEHAVIORAL PERSPECTIVE • Management • Controlling • Individual needs-based • Forum learning-based • Pedagogical learning process • Stand alone system • Awareness or knowledge level TRAINING & DEVELOP-MENT PERFORMANCE MANAGEMENT VALUES MANAGEMENT

10. HRM TRANSFORMATION(Strategic Stage)

11. HRM: Transformational Stage PRACTICE PRACTITIONER • STRATEGIC AREAS • HR Flow • HR Influence • HRM Results • HRM Impact • ROLES • Business Partnering • Employee Champion • Internal Consultant • Change Catalyst/ Manager

12. HRM: Transformational Stage KEY RESULT AREAS • Talent Management and Organizational Capabilities Build Up • HRM Solutions and Effective Leadership • HR Performance and Productivity; Managerial and Organizational Effectiveness • Organization Development and Corporate Culture Management

13. HRM STRATEGIC AREAS: Strategic Intents HR FLOW HR INFLUENCE HRM RESULTS HRM IMPACT STRATEGIC INTENT STRATEGIC INTENT STRATEGIC INTENT STRATEGIC INTENT Ensuring how its human capital creates value to the organization, as well as, to the community in which the organization operates; ensuring the overall effectiveness of the organization & creating a brand of “Employer of Choice” for its professionalism, innovation, values-based management, relevance to national development & social responsibility. This is best achieved though the adequate management of the corporate culture & organizational change. Create an empowering, engaging & values-based working relationship & work environment that cultivates & nurtures high performing, highly motivated, committed & engaged leadership & workforce. Sustain or enhance a high quality of work life enabled by a work ethic & culture that promotes peak performance & high productivity of a results-focused leadership and workforce; meritocracy being the basis for recognition and rewards. Create job & career experiences that attract & retain corporate talents & fill a talent pipeline of learning, developing & achieving human capital particularly at managerial & executive levels.

14. HRM ROLES: Strategic Intents BUSINESS PARTNER CHANGE MANAGER EMPLOYEE CHAMPION INTERNAL CONSULTANT STRATEGIC INTENT STRATEGIC INTENT STRATEGIC INTENT STRATEGIC INTENT Keeping the organization cognizant of and responsive to the needs of its people that augurs well towards developing and sustaining a highly motivated leadership & workforce achieving peak performance at all times. Providing line management with the competencies & capabilities to align & execute strategy, diagnose structures, processes & behaviors for the purpose of enhancing organizational effectiveness. Catalyzing the organization’s timely, proactive or corrective actions in resolving business, organizational, operational & behavioral change issues or imperatives by developing Management’s capability to manage change systematically & effectively. Enabling & empowering line managers & supervisors to be responsible for the performance, productivity & work behavior of their people in achieving work & organizational objectives/ goals, in partnership with the HRM function/ unit.

15. Strategic HRM: Organizational Mandates and Model STRATEGIC HUMAN RESOURCE MANAGEMENT HRM Strategic Areas HR FLOW HR INFLUENCE HRM RESULTS HRM IMPACT Values-based, performance-driven, results-oriented socially-involved organization branded as an “Employer of choice” Evolving an engaged, empowered & highly motivated leadership & workforce. Value-adding human resources achieving peak performance & high productivity. Providing a job & career experience of learning, developing & achieving. • Talent Management • Competency & Capability Development • Job Management • Career Management • HR Information Management • Management & Leadership Succession • Work-Life Balance • Performance Management • Organizational Climate Management • HR Empowerment & Commitment • HR Learning & Development • HR Productivity Management • Balanced Scorecard: Organizational, Functional, Individual levels • Corporate Climate & Culture Management • Organizational Planned Change Management • Employer of Choice Benchmarking & Branding • ISR Programs Management (e.g. Volunteerism) • Values Integration & Inculcation Management • HR Policy Management • Compensation & Benefits Management • Rewards & Recognition Management • Management & Leadership Development Programs • Employee Communication, Relations & Engagement Management HRM Roles BUSINESS PARTNERING KRA 1 TALENT MANAGEMENT & ORGANIZATIONAL CAPABILITY BUILD-UP EMPLOYEE CHAMPION KRA 2 HR SOLUTIONS & EFFECTIVE LEADERSHIP INTERNAL CONSULTANT KRA 3 HR PERFORMANCE and PRODUCTIVITY & ORGANIZATIONAL EFFECTIVENESS CHANGE MANAGER KRA 4 ORGANIZATION DEVELOPMENT & CORPORATE CULTURE MGT

16. CONCLUSION

17. IN CONCLUSION… Allow me to ask the following questions for you as HR professionals to answer within the context of where you are today to where you need to be.

18. QUESTIONS • Do you see yourself as, or evolving to be, an organizational architect? An urban planner? • Do you help develop business strategy by providing a disciplined process? • Do you have a working insight into all aspects of your company’s business, enough to be a trusted Business Partner? • Do you lead in interpreting business strategies into human/ organizational solutions?

19. QUESTIONS • Do you set the political context for change in your organization by ensuring that such is values-based? • Do you influence other senior leaders to make the connection between their business needs and human resource solutions? • Do you ensure that the organization and its leaders have the right mindset and competencies to manage change? Lead people? • Have you given your own HR organization a compelling vision of how you can add value to the organization and develop the capabilities to realize such vision?

20. Are you up to the challenge of change of strategic human resource management and organizational transformation?