From Transactional Silos to a Strategic, High-Performing HR Team

A new subsidiary of a Fortune 100 financial services company with approximately 300 employees had existing human resource management and administrative staff when they brought in a new Vice President of Administration to develop an effective HR and administrative infrastructure. The organization was to embark upon a rapid growth initiative. The new VP quickly determined that the numerous, diverse staff worked functionally in silos, and did not understand the company's strategy and objectives, nor how they could impact the organization's performance. The HR group reacted to issues raised by line management but did not operate proactively or strategically.

Through a series of individual interviews and meetings, as well as facilitated group meetings and training, over a period of ninety days, The HRC:

• Learned where the group was not meeting management's expectations and needs,
• Utilized the Myers Briggs Type Indicator to provide employees with an understanding of their individual personal styles and in context of a team profile.
• Taught employees to interview and develop communicative relationships with line management
• Developed a HR-Administrative Business Plan that was aligned with the organizational strategic plan
• Developed individual roles and accountabilities for each individual, and
• Facilitated the implementation of the Business Plan.

The Vice President's assessment of this HRC project was "team members know more about the strategic direction of the firm and what they need to do to support the business. We also gained significant insight to our customer's views on the work we do. The HRC provided great facilitation skills to keep us moving in the right direction. Team members seem to be sharing more with one another and the team has a good sense of areas we need to improve upon. The process we put in place can be used with other areas of the firm. The project leader was a delight to work with.she put every member of the team at ease which enabled the team members to participate and feel valued in this process."

Organization Turnaround: HR Critical

A major provider of healthcare services, under a new senior leadership team, was having to embark on a carefully orchestrated turnaround. The CEO asked The HRC to conduct an assessment of the function in context of the current state of affairs and to ensure the organization was compliant, given its regulatory responsibilities.

The HRC conducted a survey process with all first and second tier managers to identify critical trends for context and then conducted one-on-one interviews to clarify and validate findings. Simultaneously, we conducted a site audit of the HR function as well as a review of its systems and practices. As part of the site audit, we interviewed each of the fifteen HR staff members to assess their competence and to gain insight where improvements could be made.

Integrating the survey and interview data with the audit, we were able to provide the senior team with a 'roadmap' that carefully recommended changes in structure, compliance requirements, practices, and policies. Further, we developed a profile for the new VP of HR to be hired to lead the HR function and advise the senior team strategically related to the people of the organization.

The HRC then presented the findings and recommendations to the senior team and then to the HR staff. Our discussion and direction led to the organization's commencement on a journey to building a higher performing HR function. The HRC also assisted the leadership team to recruit a VP of HR who would build a cohesive functional team from a group of people who had lacked effective leadership for more than a decade. Intermittently, The HRC continues to provide support to this organization as it heads in the director of fiscal and operational health.

Human Resource Management Function Assessment

The human resource function of a growing, successful small financial services firm was seen by the organization as fragmented and at moderate performance. The leadership team had been achieving significant growth and results but realized that the potential of their capability was limited without a high performance HR function. Recruitment was painful and slow, a perception of favoritism with different rules for different employees was known, business functions operated 'around HR' wherever possible, an established culture of high performance was lacking, basic HR infrastructure was lacking and out of date, and HR decision-making was split between two senior level individuals who differed in their views. The organization was planning significant growth and while competition was growing, they saw even stiffer competition in their market on the horizon. The HRC had successfully consulted to this firm on employee development and compensation for several years. We were now asked to assess the structure, function, and practices of human resource management and organization development and to provide the organization with recommendations for changes in all areas.

The HRC individually met with each senior executive, each of the four HR staff and a sample of mid-managers and employees. Additionally, we reviewed each HR tool and practice in the context of the organization's strategic plan. Within sixty days, we completed the Assessment and Recommendations, provided the CEO with our findings on structure, infrastructure and practices, guided the CEO on communicating and restructuring the HR function, and conducted a briefing with the senior team - obtaining their agreement on, and commitment to, the changes to occur in the next six to twelve months.

Months later, most of the recommendations were already implemented. HR was restructured under one leader, staff responsibilities were made more efficient, business functions began relying on HR for input in business strategy, recruitment became more efficient for the business functions with HR taking a greater and more effective role in the process, and the focus to develop a high performance culture is well under way.

Rapid Growth: Broad Based Human Resources and Organization Development Infrastructure

A rapidly growing, internet -based business leading in its industry was doubling in size and was planning to enter into an IPO. Their Board of Directors mandated that the firm must establish a high performing HR function and recruit a Vice President of HR. During the first two years of the company, a high level administrative support person had handled the hiring and personnel transactions but the complex needs of the organization had outpaced her. The firm's CEO contacted The HRC to assist them with these issues.

After interviewing all senior executives and the HR manager in the firm, The HRC developed a profile for the HR function for the firm and educated the leadership team regarding the difference and value of a high performing HR function, created a role description and critical competencies for the VP of HR, identified infrastructure development priorities and timetable and provided the leadership team with interviewing guidelines and recommended questions. Within 45 days of project commencement, a candidate was selected by the leadership team and started work for the firm.

As a result of the senior management interviews, it was apparent that the organization lacked a senior management "team" and a strategic business plan to achieve Wall Street's challenges. The HRC began a series of facilitated, action-learning sessions with the senior management team that focused on developing a vision, mission, core competencies, and a business strategy to achieve their goals. We also conducted a Rapid Assimilation Process for a new VP of HR.

The HRC further guided the senior leadership team and subsequent VP of HR to:

• assess the HR function;
• assess the effectiveness of internal communications;
• conduct two internal investigations;
• develop their employee handbook and supervisory manual;
• provide ad hoc employee relations guidance;
• design and conduct leadership training;
• conduct a 360 degree feedback process with senior leadership; and
• provide individualized executive coaching.

Recruitment Strategy - Financial Services Fortune 50

The HRC was asked by a Fortune 50 Financial Services firm to develop a recruitment strategy to support a large staffing effort for their new, major revenue-enhancing initiative in the United States for one of their divisions. With less than 1% market share, a need to attract and retain competitively sought talent, a less than ideal reputation in the industry as an employer, not enough manpower to handle this staffing effort, and an interest in integrating their newly released diversity initiative, the challenge was significant.

The HRC assembled its team with diversified talent to objectively identify through interviews of executives, desired recruits, incumbents, and retained search firms:

• the Firm's critical barriers to successful recruitment,
• issues that were contributing to turnover,
• the Firm's most likely recruitment targets and leverage points to attract desired candidates, and
• the methodology and external manpower to manage this staffing effort during a twelve month cycle without adding to headcount.

The HRC developed and presented over forty recommendations to the Client. The Client's response was that they did not oppose even one recommendation of the strategy or feel there were any components that were missing. They confirmed their commitment to go forward with the strategy as presented.

Recruitment Strategy - Global High Tech

A rapidly growing, global high tech R&D/manufacturer with a quietly-operating, sizable campus in Connecticut needed to skyrocket its staffing from a level of thirty-five hires per year to more than sixty hires per month due to shifts in locations of production and substantially increased demand for products. The HRC was asked to develop and guide the implementation of a recruitment strategy that would support this sizable growth.

Within a six-month period of time, The HRC team:

• identified the Company's competitive edge in a tight labor market,
• coached the executive team on a rapid growth communications strategy and needs,
• developed a recruitment marketing strategy and recruitment tools,
• partnered with an advertising agency to create a repetitive, large scope market exposure,
• developed and implemented an efficient and effective recruitment and selection process including applicant tracking, job-posting system, standardized interview, reference-checking, and selection matrix, and
• created a three-year futuristic structure and staffing plan for the HR organization to support this growth.

The system and tools developed by The HRC exceeded the Company's expectations and facilitated a hiring rate of more than eighty hires per month while maintaining a low turnover rate. In January, 2001 this client was awarded one of Connecticut's most prestigious business awards for their "strategy to grow and profit through excellence in customer satisfaction, quality and lean enterprise, doubling revenues and square footage of production facilities and tripling their workforce."

Affirmative Action Plan Critical Challenge

The HRC was contacted by an employment attorney/partner of a law firm with a client in crisis. The client was a long-term federal subcontractor with 350 employees, who received notice of an OFCCP audit and demand for submission of their current Affirmative Action Plan and Salary Analysis within the next thirty days. The firm did not have an affirmative action plan nor had they submitted a plan for the past ten years, after their last audit. Additionally, the firm had not been compiling data upon which to base an affirmative action plan. And, a neighboring company had recently been audited and fined heavily for lack of an AAP and from the on-site audit findings.

The HRC rapidly assembled a team of consultants to develop the firm's current year Affirmative Action Plan. The team assembled a group of graduate students and in-transition HR generalists to go through employee files to gather data. Meanwhile, payroll data was examined, assessed, corrected and analyzed for accurate analysis. Employee data was compiled and analyzed to develop all AAP reports, and then cross-checked for consistency and accuracy. The HRC simultaneously conducted a facility tour and made recommendations for immediate improvement. The plan was written and an outreach strategy was created with the HR Director and President. The Plan and the Salary Analysis were submitted within the required thirty days.

Comments from the OFCCP auditors were that they "were impressed with the caliber of the Plan - it was laid out the way we want it." Facility renovations were completed prior to the on-site audit. The HRC educated and prepared the HR Director for the on-site audit and questions from the auditors regarding the Plan. The result was that the Conciliation Agreement bore absolutely no fines but required the firm to submit semi-annual reporting. The HR Director became educated to update the Plan with minimal help from The HRC.

Compensation Structure & Internal Capability

A new, rapidly growing, high tech company with 150 staff identified its need to develop a formalized compensation plan. They had hired their staff based upon gut instinct and upon individual negotiations. The Company had not established salary ranges for positions or the value of various positions across the firm. Without an effective compensation plan, the Company would not be in a defensible position should an employee initiate a lawsuit based upon compensation inequity.

The HRC was initially contacted to completely outsource the development and implementation of the firm's compensation system. Initially, the Company's Human Resource Manager was heavily involved in other projects and did not have either the time or the background to develop the plan. The Company subsequently went through a strategic change that slowed its rapid growth and freed up the HR Manager's time to participate in the development of the compensation system. In stride with the Company's available assets and resources, The HRC re-structured the project methodology to actively involve the HR Manager in the development of the compensation system.

Through a process of partnering with the Company's HR Manager, the resulting consultation fee to develop the system was 15% of the cost of complete external development and The HRC consultant taught the Company's HR Manager how to develop and maintain an effective compensation plan for the Company. The HRC built organizational capability and ownership of process and results, while reducing costs. Later, when the Company had to execute a down-sizing, they were able to use the compensation system as a guide and tool to help them do so effectively and in a manner that kept their risk at a minimal level.

Equity Assessment - Fortune 500

An established, 2500 employee firm's CEO [division of Fortune 500] was advised by a group of employees that they felt there was gender discrimination in compensation. The firm contacted The HRC with a request to conduct a gender equity study with regard to compensation. The HRC was attractive to the Company since it also is certified by the State of Connecticut as a minority/woman-owned business. The firm also acknowledged that its compensation system was relatively old and that it would be reviewed/redeveloped at some time in the future.

The HRC advised the Company that performing a stand-alone gender equity study could put them in a position of corporate risk and that they might seriously consider simply developing a new compensation system since they admitted that the system was in need of an overhaul. The HRC consulted with the Corporate Counsel to discuss potential risks and outcomes that could result from the Study's findings. The Company's management team felt compelled to clearly respond to the questions raised by employees and decided to go ahead with the Study.

Once the decision to proceed with the Compensation Gender Equity Study was clear, The HRC advised the Company that a statistical analysis of the compensation data would merely confirm whether there was systemic bias and/or inequities in its administration of compensation. It would not inform/educate the Company why employees perceived this bias. The HRC also assessed that communication between management and staff had broken down, contributing to the intensity of this issue.

The HRC designed the Study to include the regression analysis to statistically confirm whether gender bias was systemically present in compensation administration. To make the results more meaningful, the HRC also:

• conducted open meetings with staff and management to communicate the Study's commencement, as well as purpose, methodology, and how and when results would be communicated back to them;
• facilitated focus groups with an anonymous, statistically valid sample of managers and line staff to learn why the employees perceived gender bias and to determine the intensity of their feelings;
• formally presented findings and recommendations to senior management and corporate counsel; and
• partnered with the Company's senior and HR management to conduct open meetings with staff and management to announce the Study's findings and the Company's plans to make changes/ improvements in response to the findings.

The HRC additionally designed and guided the Company with critical written communications throughout the Study, including employee newsletter updates on the Study's status and a payroll stuffer that cited key findings and invited staff to meetings to discuss the findings and future plans.

The project was deemed a strong success by senior management. It identified some compensation anomalies [which most compensation plans will develop over time] that were then rectified. More significantly, the systemic approach to the Study identified a number of issues that the firm is now resolving. The Company has improved internal communication and is already seeing improvements in employee recruitment, satisfaction, retention, commitment, communication, productivity, and morale.

Employee Handbook and Manual - Creative High Tech

A 175 staff, rapidly growing organization with an eye to Wall Street, was directed by their investors to develop and implement an employee handbook. The organization and its employees prided itself on its lack of rules and creative, friendly environment and was not favoring a "set of rules" to live by. The HRC carefully identified policies that the organization needed to satisfy federal and state regulations, and guided the firm's Vice President of Human Resources in those that would support the company's growth without loss of their existing culture.

In writing the handbook, The HRC carefully crafted the policies to be friendly, positive and motivating wherever possible, yet delivering clear messages about appropriate and desired behaviors. Additionally, we partnered with our client's graphics firm and conveyed the concepts for size and creative, including delivery vehicle and rollout.

In writing the manual, we created entertaining stories to facilitate the reader's ability to "connect" with and grasp the contents and spirit of a normally dreaded but mandatory tool. A training program was then developed for supervisors and managers to understand the policies and their application, as well as how to distribute and communicate with employees about the new policies.

The result? The firm's handbook has been saluted by press and business organizations throughout Connecticut as a trend-setting employee tool. We'll be happy to show you why!