HR Maturity: Mature Management THINKING, PEOPLE, PRACTICE

Mature Management
THINKING, PEOPLE, PRACTICE
Webinar Series
17 June 2014
1700 ET (USA) / 2200 (London) / 0700 next day (Sydney)
Present:
@HRMATURITY
Hashtag for this event is #HRMATURITY

Pre-session notices
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Mature Management THINKING, PEOPLE, PRACTICE
This Webinar will start in 2 minutes
@HRMATURITY

Welcome
@HRMATURITY
Prof Steven Cates - Kaplan University
@stvncts

Welcome
Prof Steven Cates - Kaplan University
@stvncts
@HRMATURITY
Speakers
Paul Kearns
Chair, IHRM
ENGLAND
Rob Scott
IHRM Council
AUSTRALIA
Stuart Woollard
IHRM Council
ENGLAND
Prof David Collings
Dublin City University
IHRM’s Principal Academic
IRELAND
Pat Turnham
SHRM Chapter President and IHRM Associate
USA
Richard Martin
Employment lawyer and IHRM Associate
ENGLAND
Asst Prof Carlos Botelho
University of Lisbon and IHRM Associate
PORTUGAL
Max Feller
Executive Director, OMR Group IHRM Associate
CHILE

Pat Turnham
SHRM Chapter President and IHRM Associate
USA
What drew me to HR in general, and IHRM
in particular and why I feel organizational
and managerial maturity is so important.
 Education at Kaplan University
 Experiences with SHRM
 Opportunities at IHRM
 Why IHRM is Important to me
@HRMATURITY

IHRM in a nutshell – the most mature
management ideas are the simplest.
@HRMATURITY
Paul Kearns
Chair, IHRM
ENGLAND
 Maturity spectrum
 OMR ‘AAA’ Scales

@HRMATURITY
Paul Kearns
Chair, IHRM
ENGLAND

Why Costco gets more value from its
people than Wal-Mart
@HRMATURITY
Stuart Woollard
IHRM Council
ENGLAND
@StuartWoollard
 How Maturity predicts value creation & destruction

@HRMATURITY
Stuart Woollard
IHRM Council
ENGLAND
@StuartWoollard

A brief case study of how HR Maturity was
assessed at NSW State Water (Australia)
and the outcomes the organisation is
experiencing
@HRMATURITY
@Robscottinsyd
 Practical Application of HR Maturity
Rob Scott
IHRM Council
AUSTRALIA

@HRMATURITY
@Robscottinsyd
Rob Scott
IHRM Council
AUSTRALIA
 Divergent views existed within State Water around the value and
effectiveness of services from the HR function.
 Whilst the HR function was not a new entity, it has undergone adaptation over
the years to align with various executive views on HR, opinions and
perceptions on areas of accountability and specific business service needs.
 The HR Manager was concerned that the organisation was not on the “same
page” regarding HR’s value offering, its overall roll and positioning as well as
its credibility and professional standing.
“ There is a lot of good work from the department to
provide appropriate services and to support line
management around people initiatives, but likewise
there is a lot of “noise” in the business around the
impact and effect we have.” Rod Smith, HR Manager

@HRMATURITY
@Robscottinsyd
Rob Scott
IHRM Council
AUSTRALIA
 Define the optimal positioning of the HR function within State Water
 Alignment of expectation of HR service delivery at the executive and
operational levels
 Determining the current level of HR Maturity and to ensure HR
initiatives are appropriate, have lower risk profiles, will be supported
and are introduced in the right time-frame
 Provide an overarching framework for HR to be successful
OBJECTIVES
PROCESS

@HRMATURITY
@Robscottinsyd
Rob Scott
IHRM Council
AUSTRALIA
SCORE

@HRMATURITY
@Robscottinsyd
Rob Scott
IHRM Council
AUSTRALIA
LOOKING THROUGH DIFFERENT LENSES
 Strategic HR Alignment
 Learning & Development
 Performance Management & Improvement
 Talent Management
 Organisational Capability
 HR Services & Compliance

@HRMATURITY
@Robscottinsyd
Rob Scott
IHRM Council
AUSTRALIA
DIFFERENT PERCEPTIONS OF HR
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1.00
2.00
3.00
4.00
1 2 3 4 5 6
VALUEvsPERFORMANCEGAP
HR Focus Area
Value to State
Water
HR Performance
0.0
1.0
2.0
3.0
4.0
1 2 3 4 5 6
HR Focus Area
Value to State
Water
HR Performance
0.0
1.0
2.0
3.0
4.0
1 2 3 4 5 6
HR Focus Area
Value to State
Water
HR
Performance
Executives
HR
Managers

@HRMATURITY
@Robscottinsyd
Rob Scott
IHRM Council
AUSTRALIA
RECOMMENDATIONS
 Not easy to digest in some cases, especially for HR staff
 Was an eye-opener for the executive, who took the results seriously
and have already stepped up e.g. Chairing the recommended Talent
Board
 Once the dust settled, the HR team have a clear view of their world
and can now operate realistically
 Humbling but valuable

A look at why legal processes are ill
equipped to deal with the essentially
emotional nature of workplace
relationships
@HRMATURITY
 How a dispute develops
Richard Martin
ENGLAND

@HRMATURITY
Richard Martin
ENGLAND
Incident(s)
Employee reflects
Internal informal?
Employee leaves?
Internal formal
External formal
Window of opportunity
Labelling
Breaking point

Creating an interface between academic
research and mature practice in HRM
@HRMATURITY
Prof David Collings
IRELAND
@collingsdg

@HRMATURITY
Prof David Collings
IRELAND
@collingsdg

@HRMATURITY
Prof David Collings
IRELAND
@collingsdg
 “Why would the majority of rational
employees want to give their all for the
benefit of shareholders whom they are
never likely to meet? Who, other than the
shareholders themselves, gets excited by
the shareholdings of shareholders?”
Paul Kearns

The practitioner/academic view – how
maturity informs my teaching and practice
@HRMATURITY
Asst Prof Carlos Botelho
University of Lisbon and IHRM Associate
PORTUGAL
 What Maturity teaches us

From HR maturity to Organizational
maturity
@HRMATURITY
Max Feller
CHILE
 Creating the OMR Group
 Public reaction and perception

@HRMATURITY
Max Feller
CHILE
Organizational Maturity Ratings
AAAAA+AA- AAA+AA-BBB+
Our experience and framework

@HRMATURITY
Max Feller
CHILE

@HRMATURITY
Max Feller
CHILE
An OMR sits alongside a credit rating: It adds the Maturity perspective to
Financial and Business ones
CEOs and other execs see maturity from a number of "lenses":
 Value enhancing and risk management
 Shareholder communication/transparency - potentially helps market
value strength e.g. share issue/disposal/IPO. Potential help with
integrated reporting.
 Embedding corporate responsibility through a value proposition and
not just PR
 Brand equity - for customers, employees and other human capital
 Governance - for better internal management decision making
Pension funds and financial analysts - are now waking up to this as a new way
of helping them; OMR is actively engaging with this community.

@HRMATURITY
Max Feller
CHILE
Measures and Assesses
 The extent to which human capital connected with the organization
(all stakeholders) are managed to maximize sustainable value
creation;
 The extent to which its human capital can lever its value strategy to
maximum effect
 OMR people risks that may undermine or impede corporate strategy

@HRMATURITY
Max Feller
CHILE
Benefits
 Through Maturity “Pillars”, OMR test and identify potential
opportunities to meet and surpass strategic objectives.
 Highest quality and greatest value outcomes for all stakeholders.
 Quantifies value creation potential.
 Risk mitigation approaches: avoid value erosion; reduce potential
for corporate failure.
 External perspective: enhance brand equity since the firm
understands long-term value creation through people.

@HRMATURITY

Thank you for attending our Webinar
@HRMATURITY

HR Maturity: Mature Management THINKING, PEOPLE, PRACTICE

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