5 ........................Chennai Chapter Report 6 ... - National HRD Network

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Lead Feature Competencies for Credible HR What does any star performer in human resource (HR) function do? How can we measure the performance of HR functionaries? Can HR goals be aligned with business? Many such questions were often asked for decades but there has not been much success in finding answers. The yesteryears' knowledge and skills may not necessarily hold good today. HR functionaries need to sharpen their skills, redefine their roles and drive the business to gain the credibility of the stakeholders they serve. In this connection a group of researchers led of Michigan University professor Dave Ulrich in America has developed a competency model to benchmark the performance of HR managers. In this study the researchers have identified six core competencies that high-performing HR professionals personify. Each competency is broken out into measurable performance elements. These new competencies supersede the five competencies outlined in the 2002 human resource competency study (HRCS) the last study conducted by the same researchers, reflecting the continuing evolution of the HR profession. What is HR Competency: HR Competencies are behaviours of HR Managers at work which result in superior or average performance. These behaviours are caused by the knowledge, skills, self concept, traits and motives of HR professionals which lead to performance outcome. HR professionals with the right competencies will perform better. They will be more likely, to engage employees, to serve customers, and to create intangible shareholder wealth. HR competencies define what is expected from those who work in HR and form the basis for assessment and improvement in the quality of HR professionals. To address these issues for the HR profession, large-scale survey (Human Resources Competency Study, HRCS) of HR professionals and their HR and non-HR associates were initiated in 1988, 1992, 1997, 2002 and in 2007 by Dr Ulrich and his associates. In all these studies the data was collected using 360 degree methodology. Questionnaires were sent to HR professionals (participants) who then gave them to their colleagues (associates). These questionnaires asked about the competencies and performance of the concerned HR professional and the performance of the business where the said HR professional worked. The objectives of HR competency studies were to resolve three issues namely to (1) define the competencies that add greatest value to key stakeholders; (2) figure out how HR professionals develop these competencies in the fastest and most effective ways; and to (3) determine how HR competencies and HR practices align to business performance. The 2007 study involved data collection from 10063 (1700 HR professionals and 8363 of their associates) respondents representing 413 organizations from different countries across the world. There were 2773 (28%) respondents from North America; 2127 (21%) from Latin America; 1553 (15%) from Europe; 2110 (21%) from China; 1235 (12%) from Australia and Asia Pacific region and 263 (3%) from India. These respondents represent three groups namely (1) participating HR professionals completed the survey in evaluating themselves; (2) HR professionals who are peers or associates evaluated the participating HR Professionals; and (3) Non-HR associates who are generally line executives and internal customers evaluated the participating HR professionals. These groups provided the opportunity to look at different perspectives regarding HR as a profession, the HR department, and the competencies needed by HR professionals to be effective in their organization. The Novelty: The HR competencies of 2007 do have similarities with the 2002 model. But at the same time there is value add in the latest one. Five years ago, HR's role in managing culture was embedded within a broader competency. Now its importance merits a competency of its own. Knowledge of technology, a stand-alone competency in 2002, now appears within Business Ally. In other instances, the new competencies carry expectations that promise to change the way HR views its role. For example, the Credible Activist calls for HR to eschew neutrality and Dr. G.Pandu Naik is Head of MBA Programme at PES Institute of Technology. He can be reached at drgpn@yahoo.com – Dr.G.Pandu Naik to take a stand- to practice the craft with an attitude. Ulrich in this study urges HR to reflect on the new competencies and what they reveal about the future of the HR profession. His message is direct and unforgiving. "Legacy HR work is going, and HR people who don't change with it will be gone." Still, he remains optimistic that many in HR are heeding his call. "Twenty percent of HR people will never get it; 20 percent are really top performing. The middle 60 percent are moving in the right direction. Within that 60 percent there are HR professionals who may be at the table but are not contributing fully. That's the group I want to talk to. ... I want to show them what they need to do to have an impact." says Ulrich. The super six The six competencies from 2007 study described below and the elements that make them up, offer outlines of what it takes to be successful in HR profession. Credible Activist: HR professionals need to be credibly active in discharge of their duties. The Credible Activist is respected, admired and listened. He offers a point of view, takes a position and challenges assumptions by; delivering results with integrity; sharing information; building relationships of trust; and doing HR with an attitude (taking appropriate risks, providing candid observations, influencing others). The Credible Activist is at the heart of what it takes to be an effective HR leader. The best HR people do not hold back; they step forward and advocate for their position. CEOs are not waiting for HR to come in with options-they want your recommendations; they want you to speak from your position as an expert. Cultural Steward: The Cultural Steward recognizes, articulates and helps shape a company's culture by: facilitating change; crafting culture; valuing culture; and personalizing culture (helping employees find meaning in their work, managing work/ life balance, encouraging innovation). HR has always owned culture. This is the first time it has emerged as an independent competency. Of the six competencies, Cultural Steward is the second highest | HRD News Letter | April 2008, Vol.24, Issue:1 15
predictor of performance of both HR professionals and HR departments. Talent Manager/Organizational Designer: The Talent Manager/Organizational Designer masters theory, research and practice in both talent management and organizational design by ensuring today's and tomorrow's talent; developing talent; shaping the organization; fostering communication; and designing reward systems. Talent management focuses on how individuals enter, move up, across or out of the organization. Organizational design centers on the policies, practices and Carried from Page 17 A way to Strategic HR company's growth. There are two factors to the same, one stems directly form the point mentioned above. Since the HR professionals do not know the intricacies of business they are able to link up their contribution towards the overall organizational success. The other factor is what I like to call the "contentment factor". The contentment factor means that HR professionals are content with the status they have been given. They work very hard in their profiles but seldom look beyond. I remember an instance that happened to me as a HR person. I was working for a leading NGO in Delhi when they took up a project of capacity building of smaller NGOs. This particular task was entrusted to a senior director of the organization and while pondering on what are all areas to capacity build smaller NGO, areas like project formulation & implement, finance and marketing were being finalized, when somebody (and not me by the way) suggested why not HRD and the director very vehemently replied that it is not a structure that shape how the organization works. Linking of talent management and organizational design reflects that HR may be placing too much emphasis on talent acquisition at the expense of organizational design. Talent management will not succeed in the long run without an organizational structure that supports it. Strategy Architect: The Strategy Architect knows how to make the right change happen by sustaining strategic agility and engaging customers. Strategy Architects are able to recognize business trends and their impact on the business, and to identify potential priority area. Though present during the discussion, I did not make any attempt to convince him otherwise. Now I am in no way suggesting that since I couldn't take a stand then, that nobody else will. However HR professionals do definitely get affected by this notion of others and hence prefer to operate in their own area of comfort. Hence the contentment factor. Link up and measure: which means HR should be able to understand the business and inturn be able to assess their contribution to same. Most organizations have a process of ensuring the efficient use of their practical and financial resources. However not many organizations have systematic process for efficient use of Human resource. HR is one function that still is struggling to make an instrument that should be able to project HR's contribution in economic terms. Therefore it is imperative that HR's contribution be seen in tandem with the organizational goals and achievements. HR should be able to say loud and clear, "had we not done our jobs roadblocks and opportunities. Business Ally: The Business Ally contributes to the success of the business by serving the value chain; interpreting social context; articulating the value proposition; and leveraging business technology. HR contributes to the success of a business by knowing how it makes money, who the customers are, and why they buy the company's products and services. For HR professionals to be Business Allies (and Credible Activists and Strategy Architects as well), they should be what Ulrich describes as "business literate." The mantra about understanding the business - how it works, the financials and strategic issuesremains as important today as it did in every survey during the past 20 years. Yet progress in this area continues to lag. Operational Executor: The Operational Executor administers the day-to-day work of managing people inside an organization by implementing workplace policies; and advancing HR technology. These skills tend to fall into the range of HR activities characterized as transactional or "legacy." Policies need to be drafted, adapted and implemented. Employees need to be paid, relocated, hired, trained and more. Every function here is essential, but-as with the Business Ally competency-high-performing HR managers seem to view them as less important and score higher on the other competencies. Even some highly effective HR people may be running a risk in paying too little attention to these nuts-and-bolts activities. H right the organization would not have been able to achieve its target." They should be able to report the difference made in monetary terms. This will help in two ways, one by bringing to forefront the economic contribution made by HR and second and for me the most important, it will help boost up the HR's image in its own eyes. Prahalad and Hamel in their book, Competing for future have said, "What prevents companies from creating future is not an installed base of obsolete capital equipment, not an installed base of end products that must be maintained and updated, and not an inefficient installed base of infrastructure. What prevents companies from creating the future is an installed base of thinking." This thinking comes from the mind of the human resource involved in the companies and hence the responsibility of making a company cut an edge. In this competitive scenario HR needs to be right there in the forefront learning, unlearning and strategizing the path of growth for their organization. HR now needs to be a gogetter along with the do-gooder. H | HRD News Letter | April 2008, Vol.24, Issue:1 16
Page 1 and 2: ISSN-0974-1720 Vol - 24 April 2008
Page 3 and 4: Passing the Wisdom Baton: Mentoring
Page 5 and 6: | HRD News Letter | April 2008, Vol
Page 7 and 8: Jaipur - Divine Strings : Mohan Vee
Page 9 and 10: Column Beyond Work: What we do afte
Page 11: What will you say when you hear of
Page 15 and 16: Consider any sector; name any indus
Page 17 and 18: We're Doing Great! How come We're n
Page 19 and 20: Kill The Fear Before It Kills You F
Page 21 and 22: Soft Skills - The big myth Just ima
Page 23 and 24: Extending Longevity And Brand Equit
Page 25 and 26: Fear: The Killer Of Organizational
Page 27 and 28: Leadership Can Be Learned any a tim
Page 29 and 30: All around the world most companies
Page 31 and 32: Raising Ethical Issues: Responsibil
Page 33 and 34: Suggested Solutions To Case Studies
Page 35 and 36: Chapter News Krishna Gubbi, Secreta
Page 37 and 38: Managing Global Workforce NHRDN Del

5 ........................Chennai Chapter Report 6 ... - National HRD Network

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