绩效管理-THEUSEOFHRPERFORMANCEMANAGEMENTINSTRATEGICBUSINESSPLANNING.ppt

THE USE OF HR PERFORMANCE MANAGEMENT IN STRATEGIC BUSINESS PLANNING Case Studies, Concepts and Debatable Ideas Kenny Ong CNI Holdings Berhad,Content,Why is the right Performance Management System critical? Adapting the System to the Business Model and Strategy Fine-tuning Performance Management for Talent Management,1. Why is the right Performance Management System critical?,“in the past 18 months, we have heard that profit is more important than revenue, quality is more important that profit, people are more important than profit, customers are more important than our people, big customers are more important than small customers, and that growth is the key to our success. No wonder our performance is inconsistent“,CEO, Anonymous,www.myCNI.com.my,www.OOBEY.com,Before we start,In the old days of HR Average training hours per staff % of staff attending training # of training programs % of training programs conducted Training needs analysis conducted Competency models developed Training budget as % of payroll,Whats wrong with this picture?,www.myCNI.com.my,www.OOBEY.com,Before we start,Moral of the story Innovation: Business models Products Services Market Leadership Competitive differentiation,Get the picture?,www.myCNI.com.my,www.OOBEY.com,What is the OBJECTIVE of a Performance Management System?,What is the ultimate objective of a Performance Management System? Performance achievement, Management controllable, improvement System predictable outcome, autorun Summary? A Predictable process to Improve Controllable Achievements,What is the OBJECTIVE?,Succession Planning (Business Continuity),Talent Management,Differentiation,Performance Management System,Budgeting + Planning,BSC and KPIs,Strategy,Business Model,Business Strategy Execution,Talent Management,Focus on the Business Strategy and Business Direction first,What is the Business Model?,USP,Market Discipline,Profit Model,Google Tata Nano,Business Model: Profit Model,Intro: Market Discipline,“They are the most innovative“ “Constantly renewing and creative“ “Always on the leading edge“,“A great deal!“ Excellent/attractive price Minimal acquisition cost and hassle Lowest overall cost of ownership “A no-hassles firm“ Convenience and speed Reliable product and service,“Exactly what I need“ Customized products Personalized communications “Theyre very responsive“ Preferential service and flexibility Recommends what I need “Im very loyal to them“ Helps us to be a success,Product Leadership,Operational Excellence,Customer Intimacy,Air Asia,Operational Excellence (low cost producer),Ref: The Discipline of Market Leaders, Michael Treacy 1995,Product Leadership (best product),Customer Intimacy (best total solution),Strategy: Market Disciplines,Operational Excellence (low cost producer),Ref: The Discipline of Market Leaders, Michael Treacy 1995,Product Leadership (best product),Customer Intimacy (best total solution),Strategy: Market Disciplines,HP well-balanced portfolio, mass customization,Acer super lean cost structure, aggressive pricing,Apple powerful products, premium pricing, limited range,Still Doing well in 2009,Operational Excellence Competitive price Error free, reliable Fast (on demand) Simple Responsive Consistent information for all Transactional Once and Done,Customer Intimacy Management by Fact Easy to do business with Have it your way (customization) Market segments of one Proactive, flexible Relationship and consultative selling Cross selling,Product Leadership New, state of the art products or services Risk takers Meet volatile customer needs Fast concept-to- counter Never satisfied - obsolete own and competitors products Learning organization,Strategy: Market Disciplines,The McPlaybook*,Make it easy to eat 50% drive-thru Meals held in one hand,Make it easy to prepare High Turnover Tasks simple to learn & repeat,Make it quick “Fast Food” Tests new products for Cooking Times,Make what customers want Prowls market for new products Monitored field tests,*Adapted from: Businessweek , Februrary 5th 2007,Revenue,Base Retention,Share Gain,Positioning,Adjacent Market,New Business,Financial,Learning & Growth,Internal Process,Customers,Cost,Margin,Systems Alignment with Business Model,Cash Flow,Asset,Operational Excellence,Product Leadership,Customer Intimacy,Investment Strategy,Competencies,Information Systems,Motivation, empowerment, alignment,Satisfaction,Before we start,Which comes first? Strategies - KPI? KPI - Strategies?,Before we start,Which comes first? Strategies - KPI? KPI - Strategies?,already know our priorities, aware of all strategy options available creating something UNIQUE, INNOVATIVE and DISRUPTIVE e.g. Air Asia conducting a business Turnaround e.g. MAS,Before we start,Which comes first? Strategies - KPI? KPI - Strategies?,want to find out possible strategies, determine our priorities first thru selection of important KPIs; growing through normal business, not a Turnaround.,Wrong KPIs,“What is the moral of the story?”,KPIs and Behavior,After: “Minutes Per Resolution” of a problem Resolution in ONE CALL become the core goal Reduced probability of call transfers from 45% to 18%,Sample KPIs for Each Market Discipline,Operational Excellence Price Selection Convenience Zero Defects Growth,Customer Intimacy Customer Knowledge Solutions Offered Penetration Customer Data Customer-success focus,Product Leadership Marketing Functionality # of Successes # of Failures Learn from key users Interdisciplinary teams Pipeline,Operational Excellence Move know-how from top performing units to others Benchmark against best in class Ensure operations training for all employees Use disciplines like TQM for continuous learning to reduce costs and improve quality,Strategy and Systems: Market Disciplines,*The Performance Management System should be focused on these,Product Leadership Reduce time to market Commercialize new products fast Ensure that ideas flow Reuse what other parts of the company have already learned Ensure there are multiple sources of funding,Strategy and Systems: Market Disciplines,*The Performance Management System should be focused on these,Strategy and Systems: Market Disciplines,Customer Intimacy Capture knowledge about customers Understand customer needs Empower front line employees Ensure that everyone knows the customer Make company knowledge available to customers,*The Performance Management System should be focused on these,Business Situations vs. HRM,Upturn,Flat,Downturn,Fight Complacency Sharpen Edge Keep Momentum Conquer,Change mgmt Reduce Fat Continuity Everyone Happy,Innovation Acquire Profits Build momentum,Sales Cash Flow,Talent Mgmt Innovation/R&D Early wins Slow Down HR Costs,Top Talent focus Sales, Sales, Sales Increase attrition Motivation,Business Situations vs. HRM,Upturn,Flat,Downturn,Fight Complacency Sharpen Edge Keep Momentum Conquer,Change mgmt Reduce Fat Continuity Everyone Happy,Innovation Acquire Profits Build momentum,Sales Cash Flow,Talent Mgmt Stack R&D Early wins Slow Down HR Costs,Top Talent focus Stack Sales Increase attrition Motivation,Projects Job Ads Communication F/L Manager Com. Middle Management Involvement (survey, suggestions) Realistic Goals Controllable KPIs (customer satisfaction, production),Business Situations vs. HRM,Upturn,Flat,Downturn,Fight Complacency Sharpen Edge Keep Momentum Conquer,Change mgmt Reduce Fat Continuity Everyone Happy,Innovation Acquire Profits Build momentum,Sales Cash Flow,Talent Mgmt Stack R&D Early wins Slow Down HR Costs,Top Talent focus Stack Sales Increase attrition,Many times, you need a different CEO/Leader/Management Team for each business situation,3. Fine-tuning Performance Management for Talent Management,Talent Management,A Talent for others does not mean a Talent for you Talent has to be defined in the context of the Business Model,Performance Management and Talent Management,Talent Management Processes,Philosophy,Training Needs, Competencies,Differentiation, Targeting,Improvement, Progress,Rewards, Recognition,Selection,Targeting: Identify and Attract,Group I (Talent Pool),Group II ( Potential),Group III ( Performance),Group IV (Counseling),2,3,4,5,2,3,4,5,PERFORMANCE,POTENTIAL,Identify,How we de-motivate our own Talent Pool,Complaints about Performance Management Systems,Bias Different Standards Surprise Subjective No linkage No differentiation Secretive No follow up No control No support,Systems Problem,Complaints about Performance Management Systems,Different Standards Surprise Subjective No linkage No differentiation No support,*The rest are people problems to be dealt with in another time,Operational Excellence,Customer Intimacy,Product Leadership,Organization, jobs, skills,Management systems,Information and systems,Culture, values, norms,Business Model vs. Talent & Performance Management,Operational Excellence Central authority, low level of empowerment High skills at the core of the organization Disciplined Teamwork Process, product- driven Conformance, one size fits all mindset Integrated, low cost transaction systems The system is the process Command and control Quality management,Organization, jobs, skills,Management systems,Information and systems,Culture, values, norms,Business Model vs. Talent & Performance Management,Organization, jobs, skills,Management systems,Information and systems,Culture, values, norms,Product Leadership Ad hoc, organic and cellular High skills abound in loose-knit structures Concept, future-driven Experimentation and out of the box mindset Person-to-person communications systems Technologies enabling cooperation Rewarding individuals innovative capacity Risk and exposure management Product Life Cycle profitability,Business Model vs. Talent & Performance Management,Organization, jobs, skills,Management systems,Information and systems,Culture, values, norms,Customer Intimacy Empowerment close to point of customer contact High skills in the field and front-line Customer-driven Variation and have it your way mindset Strong customer databases, linking internal and external information Strong analytical tools Custome