This case study describes how an HR department partnered with a business to improve productivity through lean manufacturing techniques while also developing leadership talent. Consultants conducted a diagnosis of the organization, implemented projects to eliminate waste with employees, and provided training. This combined business process improvement with leadership development. Key activities included a 30% productivity gain, lean culture promotion through councils and rewards, and talent management through selection, reviews, and training.
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Be in Driver Seat HR Driven Business Sustainability and Growth Model
1. How to be a Strategic
Business Partner
for HR, OD and Training
Department
Case Studies of a HR Driven
Business Growth Model
2. Contents
• Strategic Business Partner Roles and Dilemma
• HR Driven Business Growth Models
– Strategies, Execution, Culture, Structure
– Talent, Leadership, Innovation, Merger and
Innovation
• Case Studies of OD and Training
• Your Action Plan
4. • Today HR roles have transformed from
administration to strategic roles
• More and more business require
HR look into talent development, cultural
business, and even innovation culture.
• How do we face this new challenges? What can
we do?
5. HR Roles
HR Roles can be divided into two major roles:
HR Operations
C&B, Recruitment, IR and ER
HR Development
Learning and Training, Organization
Development and Career Development
6. OD Space
Business Process Improvement
Corporate Strategies
Facilitation
Talent Management
Succession Planning
Cultural Building
Collaboration Building
Change Management
Leadership Development and Pipelines
Organization design and structure
Employee Engagement
7. Challenging Questions
• How do we use all division of HR to help
business to drive sustainability and growth?
• How can we be a strategic business partner to
CEO and Business Leaders?
• How can we partner with business leaders to
drive business (P&L) and employee engagement
(Turnover)?
8. Questions
• I was asking this questions 10 years ago when I
was working with FMGC, Semiconductor and
Manufacturing?
• Carsem – Local – Initiate change – COO &
Business Leaders
• How can we use Training, OD and HR in general
to assist the business leaders who have to fire
fight everyday? They have to answer to the
board of their number of P&L.
• How can we relate to them?
13. OD Driven
13
OD Driven Business Sustainable Growth Model
Process
Dévelopment
Organisation Development
Talent
Development
Productivity
Profit
Engagement
Talent
Strategy Management
Team Development
Effective Org Structure
Engagement Culture
OD Interventions
Talent Management
Leadership
Development
Bench Strength
Training & Dev
Productivity
Innovation
Simplification
15. • I found one model in which I use for many years
as the reference framework to drive business
growth
• Green Projects by Harvard Business School –
Profession Nitrin. In his stidies of 10 years of the
successful US companies, he discover
something…..
16. The Evergreen Project
• A careful examination of more than
200 well-established management
practices within 160 companies over
a 10-year period (1986-1996).
• The authors point out that companies
which consistently follow this formula
of 4 + 2 have a 90% chance of
sustaining superior business
performance.
17. Major 4 Factors
1. Strategy: devise and maintain a clearly stated,
focused strategy.
2. Execution: develop and maintain flawless
operational execution.
3. Culture: develop and maintain a performance-
oriented culture.
4. Structure: build and maintain a fast, flexible, flat
organization.
18. Secondary 4 Factors
Master two of the four secondary management
practices:
(5) Talent: hold on to talented employees and find
more.
(6) Innovation: make industry-transforming
innovations.
(7) Leadership: find leaders who are committed to
the business and its people.
(8) Mergers and acquisitions: seek growth through
mergers and partnerships
19. Resu
Strategy
Execution
Culture
Structure
Talent
Leadership
Innovation
M&A
Total Return to Shareholders
943% (Winners) vs 62% (losers)
Sales
413% (Winners) vs 83% (losers)
Operating Income
326% (Winners) vs 22% (losers)
Return on Invested Capital (%)
+5.45% (Winners) vs -8.52% (losers)
Engagement
Talent
Productivity
Profit
20. Background
The Evergreen Project
A careful examination of more than 200
well-established management practices
within 160 companies over a 10-year
period (1986-1996).
Prof Nirtin Nohria from Harvard Business
School has pointed out that companies
which consistently follow this formula of 4
+ 2 have a 90% chance of sustaining
superior business performance.
Engagement
Talent
Productivity
Profit
22. Business Growth Analysis
KRA KPI Tools Results
Strategies Strategy Management Business Goals
110%
Review Quarterly
Structure Tree
Communication
Review
Alignment
Business
Goals
Execution Critical Process
Department Process
20% process
improvement
Lean Enterprise
Performance Con
Process Mapping
Productivity
Innovation Continuous
Improvement
2X Innovative
Seminar
10% new ideas
Innovation Tools Productivity
Org
Structure
Effective Structure Buy off by
Stakeholder
5 level Model Productivity
Culture Engagement 75% as base
3% improve yealy
WIFI Model
Coaching, HR
Engagement
Leadership Leadership Pipeline
Senior Leadership
Bench Strength 60% Strategic
Leadership Talent
Management
High
Performance
Leadership
Talent High Performance HiPO Talent Talent
23. Results
• Carsem
Build the next generation of managers
Improve productivity through lean manufacturing
– 20% output and cost saving
Develop critical competencies for Marketing, R%D,
Manufacturing to compete
Turn around during VSS and losses
Improve engagement survey ratings
24. The Major 4 Factors
Strategies, Execution, Culture and Structure
25. Strategy
Whatever your strategy, whether it is low prices or innovative products,
it will work if it is sharply defined, clearly communicated, and well
understood by employees, customers, partners, and investors.
• Build a strategy around a clear value proposition for the customer.
• Develop strategy from the outside in, based on what your customers, partners,
and investors have to say—and how they behave—not on gut feel or instinct.
• Continually fine-tune your strategy based on changes in the marketplace—for
example, a new technology, a social trend, a government regulation, or a
competitor's breakaway product.
• Clearly communicate your strategy within the organization and to customers
and other external stakeholders.
• Keep focused. Grow your core business, and beware the unfamiliar.
26. Culture
Corporate culture advocates sometimes argue that if you can make the
work fun, all else will follow. Our results suggest that holding high
expectations about performance matters a lot more.
• Inspire all managers and employees to do their best.
• Empower employees and managers to make independent decisions and to find
ways to improve operations—including their own.
• Reward achievement with pay based on performance, but keep raising the
performance bar.
• Pay psychological rewards in addition to financial ones.
• Create a challenging, satisfying work environment.
• Establish and abide by clear company values.
27. Encouragement Index
Kozes and Posner
___ I make certain we set a standard that motivates us to do better in the future than
we are doing now.
___ I express high expectations about what people are capable of accomplishing.
___ I pay more attention to the positive things people do than to the negative.
___ I personally acknowledge people for their contributions.
___ I tell stories about the special achievements of the members of the team.
___ I make sure that our group celebrates accomplishments together.
___ I get personally involved when we recognize the achievements of others.
___ I clearly communicate my personal values and professional standards to
everyone on the team.
___ I let people know I have confidence in their abilities
___ I personally congratulate people for a job well done.
27
28. Execution
Develop and maintain flawless operational execution. You
might not always delight your customers, but make sure
never to disappoint them.
• Deliver products and services that consistently meet customers'
expectations.
• Put decision-making authority close to the front lines so employees can
react quickly to changing market conditions.
• Constantly strive to eliminate all forms of excess and waste; improve
productivity at a rate that is roughly twice the industry average.
29. Structure
Managers spend hours agonizing over how to structure
their organizations (by product, geography, customer, and
so on). Winners show that what really counts is whether
structure reduces bureaucracy and simplifies work.
• Simplify. Make your organization easy to work in and work with.
• Promote cooperation and the exchange of information across
the whole company.
• Put your best people closest to the action.
• Establish systems for the seamless sharing of knowledge.
31. Innovation
An agile company turns out innovative products and
services and anticipates disruptive events in an industry
rather than reacting when it may already be too late.
• Relentlessly pursue disruptive technologies to develop
innovative new products and services.
• Don't hesitate to cannibalize existing products.
• Apply new technologies to enhance all operating
processes, not just those dedicated to designing new
products and services.
32. Talent
Winners hold on to talented employees and develop more.
Fill mid- and high-level jobs with outstanding internal talent
whenever possible.
Create and maintain top-of-the-line training and development
programs.
Design jobs that will intrigue and challenge your best performers.
Keep senior management actively involved in the selection and
development of people.
33. Leadership
Choosing great chief executives can raise performance
significantly.
Closely link the leadership team's pay to its performance.
Encourage management to strengthen its connections
with people at all levels of the company.
Inspire management to hone its capacity to spot
opportunities and problems early.
Appoint a board of directors whose members have a
substantial stake in the company's success.
34. OD/HR
• Facilitate and manage corporate strategies
• Improve business processes
• Recommend organization structure
• Manage employee engagement survey and
improvement
• Manage talent of high potential and managers
• Recruit, develop and engage leadership team
• Create innovation culture
• Manage culture after merger
36. Case Studies
• A. Facilitate, Communicate and Monitor
Corporate Strategies
• B. Combine Key Business Process improvement
with Talent and Leadership Development
37. Laurence Yap M.A. Sr Manager of Learning and OD
Facilitation of Corporate Strategies Planning
38. 38
Strategy Planning Facilitation
Goals
Develop Stretch Goals and Strategies
Communicate to employees for engagement
Quarterly review
Activities
Facilitate Review and Stretch Goals with Senior Leadership Team
Facilitate Strategy Planning Session
HR Communicate to Employees
Facilitate Alignment of Department Goals
Facilitate SLT reviews of HOD Strategies
Quarterly Review
39. PURPOSE
Enhance
Value To Our
Stakeholders
MISSION
To Support
The Vision
CRITICAL
SUCCESS
FACTORS
Big Few
Things
DEFINE
STRETCH
GOALS
Key Metrics
Process
SET
STRATEGIES
Strategies to
meet Critical
Success Factor
/Goals
One Day
STRATEGIES
REVIEW /
PRIORITIZATION
Senior Manager’s
to review/buy off
2nd meeting
outcome
½ Day
DEFINE
DEPT ACTIVITIES
&
TACTICS
Departmental Level -
Key Actions
To Be
Executed
FINAL
REVIEW
Dept
Structure Tree
Review
1-2 Days
VISION
To Support
Our Purpose
Pre Strategy Meeting ~ Set Direction
Strategy
Comm forum
Full Structure
Tree
40. Purpose Vision Mission
Critical
Success
Factor
Stretch Goals Champions
Enhance
Stakeholder
Value
2
Build Strong
Reputation
2.1
Top Quartile of top Ten Customer (Balance
Scorecard)
2.2
50% reduction in DTD CT on 40% of product
sales by Q4 FY11 & 75% of product sales by
Q2 FY12
2.3
Meet 15% target for new product revenue
by June 2011 ( Carsem Group)
2.1
Rick Flowers
2.2
Iain Meikle
2.3
LW Yong
Theme Speed of Execution Main Thing
Carsem will
strive to ensure
by
with
delivering
operational,
service and
technology
excellence.
3
Employee
Engagement
3.1
Effective Communication
3.2
Employee Satisfaction Survey Index of 80%
3.1
Omar Hakim
3.2
Omar Hakim
1
Improve
profitability
1.1
Achieve sustainable PBT of 12% by Q2
FY2010/11
1.1
Eric & GMs
To be a
World Class
Company
Offering
Assembly &
Test
to
semiconductor
Companies
Throughout
the World
Profitable
Growth
Impressing
Customers
Committed
& Engaged
Employees
41. Goal Alignment
Structure Tree for Year 2010/2011
(1)
Improve
Profitability
(2)
Build Strong
Reputation
Critical
Success
Factors
Champion
Achieve
sustainable PBT of
12% by Q2
FY2010/11
1) Top Quartile of
top Ten Customer
(Balance
Scorecard)
2) Business
Process Speed
Improvement
consistent with 7
days door to door
cycle time .
3) Meet 15%
target for new
product revenue
by June 2011
( Carsem Group)
(3)
Employee
Engagement
1) Effective
Communication
2) Employee
Satisfaction
Survey Index of
80%
Eric &
GMs
1) Rick
2) Iain
3) LW
Stretch
Goals
Omar
ChampionStrategies Tactics & Targets
sample
Outcome from 18th May
Strategy Meeting
47. 47
Talent and Productivity Dev
Goals
Reduce eight wastes, Reduce Operating Expense, Reduce Excess
Inventory Increase output
Develop Leaders through talent selection, review, development and
review
Sustain leadership and lean culture through Lean Council, Senior
Leadership Team and Reward System
Activities
Consultant led Approach – 30% productivity improvement
Diagnosis organization in lean context
Conduct projects with employees
Train employees on the jobs
Report results
48. 48
Lean Productivity for Suppliers
Activities
Change Management
Diagnosis organization in lean context
Conduct projects with employees
Train employees on the jobs
Report results
Talent Management
Talent selection and review
Talent Development through lean and leadership training
Talent Evaluation
Change Management
Promotion and reward system
Manufacturing lean structure
Lean Council and Senior Leadership Team
51. McKinsey 7S Framework to implement Lean
Manufacturing
2:00 – 5:00 min Video
Strategy A set of actions that you start with & must maintain
Structure How people & tasks / work are organized
Systems All the processes and information flows that link the
organization together
Style How people behave
Staff How you develop people
Superordinate
Goals
Longer-term vision & goals that shapes the destiny of the
organization
Skills Dominant attributes or capabilities that exist in the
organization
52. Action Learning Design
Stage One: Education
and Projects
Stage Three:
Integration, Sharing
and Proliferation
Project introduction
& selection
Work planning
tools & techniques
Team building
Project specific /
Just In Time (JIT)
education
Innovation
Mid-point
progress
review
Assimilate &
synthesize work
Create, test &
improve presentations
• What’s learnt?
• Findings &
recommendations
• Implementation
plan
Presentations to
sponsors
Debriefing &
planning next steps
3 - 6 Month Timeline
½ - 1 Day
Teams do
projects
Stage Two: Review
53. HRD
Department
Structure
LAURENC
E
Training
Administration
( Ros )
5 persons
~ Support
training
arrangements
& Financing
Human Capital
( Malar)
3 persons
~ Leadership
Dev &
Soft Skills
Frontline Employees
( Salbiah/Din)
60 persons
~ Instructors support
new procedures
Lean
( KS Chew )
3 persons
~ Coordination,
Facilitating
Technical Skills
Development
( Ramond )
3 persons
~ Support Quality
Training, Event
Management &
Publicity
OD
( KW Cheah )
3 persons
~ Planning &
Coordination
54. Lean Consultants
• The AMC founders & principal
consultants are:
– Ramesh Victor
Rajathavavaram
Lean Master (USA)
– Soundarajan Pitchay
Lean Master (USA)
55.
56. Wave 1
•Lean overview
•Value Stream Mapping
•Set-up Reduction
•5S
•Change Management
Wave 2
• Visual Management
• Standardized Work
• Error Proofing
• Handling Resistance
LEAN IMPLEMENTATION IN CARSEM
• Factory will be more Visual & Organize
• Reduced set-up time
• Factory will have less error
• Work will be more standardize/repeatable
Wave 3
• Material Control (Kanban)
• Total Production Mgt (TPM)
• Overall Engineering Efficiency (OEE)
• Performance Measurement
• Introduce pull mechanism through Kanban
• Working with lower level of inventory
• Improve equipment OEE
Wave 4
• Theory of constraints
• Lay-out optimization
• IT Tools
• Lean Diagnostics
• Further strengthen the whole Value
Stream Map after the 3 waves project.
• Lean Masters have advanced diagnostic
ability for continuous improvement on
their own VSM (Value Stream Mapping)
• Lean lay-out
58. Leadership Training
• VP of Manufacturing and I join together to train
and facilitate leadership training
• 5 Modules to 200 section heads and managers
• Basic Leadership, Best Practice, Motivation,
Alignment and Building Competencies
60. Secretariat
IC Power QA Material
Various LEAN Project Teams
CSIC/AP/MLP/MF
Steering
Comm.
Level
Council
Level
Working
Comm.
Level
Teams
2nd
3rd
4th
1st
Department Working Committees
(Include Value Stream Champion meeting)
Structure To Support Lean
M-site council
Leader: TL SOO
S-site Council
Leader: CS Lim
Steering Comm.
Leader: SW WOO
Test council
Leader: WT CHIM
Once a month
62. Proliferation Methodology
Sharing of projects by LM to all Area
(Attendees - Product Manager, Identified Project Doer)
Council to review & ensure proliferation is done at their own area.
Complete every wave at Pilot line
Select Projects that is recommended to be proliferated by Council & Consultant
Training - JIT Tool for Proliferation
(Conducted by LM / HRD)
Proliferation of recommended projects and identify new opportunities at own
Area
Wk 1
Wk 1
Wk 1
Wk 2-6
Wk 6
Time line
Product Manager to identify suitable members for proliferation and exploration of
new opportunities
65. Training Department
• Change the TNA Questions to Performance and
Business Goals needs !
• Work with Business leaders to close the gap
• Develop competency models
• Learn faster than our competitors – Strengthen
Critical Competencies
• Use effective training delivery – facilitation and
action and whole brain based
• Apply learning models – action learning and 6D
model (can see results)
67. Training Needs Analysis
• Change the way you conduct TNA
Strategic Learning focused on Business
Performance Goals
Business Challenges
68. Strategic learning and OD
Level Business Needs HR, OD and Training Out comes
Corporate
Strategic
Needs
Business Challenges
Competitive Edge
Engagement Culture
Leadership Pipeline
Strategic
Management
Action Learning
Development Model
Action Learning & Coaching
Leadership Dev
Strategic Thinking and
Planning
Business Goals
World Class Expertise
Motivated workplace
Employee Retention &
Leadership continuity
Alignment and
Productivity
Department
Tactical
Needs
Department Goals
Critical Knowledge
Team Member
Retention
High Performance
Team
Action Learning
TWI
Leadership Hiring and
Coaching
Performance Management.
Coaching and Facilitation
Department Goals
Quality Consistency
Productivity
Committed Employees
Employees
Competency
Skillful People
Innovation and
Employee Competencies
Innovation and Continuous
Capable Employees
Innovative workforce
69. Strategic learning and OD
Level Business Needs HR, OD and Training
Solutions
Out comes
Corporate
Strategic
Needs
Department
Tactical
Needs
Employees
Competency
Needs
70. Strategic Learning
CEO Team
• What are your top three priorities of the year?
• What are the top three competencies you want to
improve (lack) and strengthen (strong points) ?
• What are your top 2 current business challenges
and future business challenges? What services you
would like HR to provide to the company?
71. Strategic Learning
Department Head/Business Leaders
• What are your top three priorities of the year?
• What are the top three competencies you want
to improve (lack) and strengthen (strong points)
?
• What are your top 2 current business
challenges and future business challenges?
What services you would like HR to provide to
the department?
72. Strategic Learning
Employee Competencies and Performance Goals
• What are your top three KPI or performance
goals of the year?
• What are the top three competencies you need
to improve (lack) and strengthen (strong points)
to achieve the goals of the year?
• What are your top 3 current and future work
challenges? What services you would like HR to
provide to you?
73. Current Business Challenge
Item Current Business
Challenge 1
Current Business
Challenge 2
Current Business
Challenge 3
Challenges
Competencies
Talent
Corporate Actions
HR Solutions
74. Future Business Challenge
Item Future Business
Challenge 1
Future Business
Challenge 2
Future Business
Challenge 3
Challenges
Competencies
Talent
Corporate Actions
HR Solutions
75. What is Action Learning?
• Drive strategic
change
• Transform the
organization
• Accelerate
development
• Achieve business
breakthroughs
• Develop
leadership
capabilities, etc.
Develop participants
Address significant
business challenges
Results
Learning
Action
76. HR Solutions
Concerns Project Training and
Coaching
Implementation
with timelines
Results
Incompetent
leadership
capability to lead
teams in Finance
Department
Leadership
competency
building
4 stages of
leadership
training
6 coaching
sessions
Application of
leadership tools
Jan-August
Employee survey
on leadership
capabilities from
3 to 7
Low Customer
satisfaction
rating in Sales
and Marketing
Improve
customer
engagement
8 phases of
training with 8
assignments
Jan - September Improve of
customer
satisfaction
rating from 4 to 8
77. Training Delivery
• Broadening the Learning Channels
Benchmarking – Visit other industries
Whole Brain Learning – Action based, VAKD
(vision, auditory, kinesthetic and digital)
Interesting, adult learning and Fast paced
E-Learning and Gaminization, Virtual Reality
80. Take Home
• Business Growth Model
• Performance, Goals and Business Challenges
Analysis
• Expand the roles of OD and Training
– Training – transfer and development of skills
– OD – change of organization.
82. Strategic learning and OD
Level Business Needs HR, OD and Training
Solutions
Out comes
Corporate
Strategic
Needs
Department
Tactical
Needs
Employees
Competency
Needs
83. Current Business Challenge
Item Current Business
Challenge 1
Current Business
Challenge 2
Current Business
Challenge 3
Challenges
Competencies
Talent
Corporate Actions
HR Solutions
85. Portfolio
• Laurence Yap
Organization Development
Talent Management
Training and Development
18 Years of Training & OD Experience with
7 Years of Senior Manager
(Pfizer, Komag, Carsem, PayPal, First Solar)
Local and Fortune 500 MNC