3. Step Model for Implementing HR’s
Strategic Role
Transforming the HR Architecture into a Strategic Asset
CLEARLY DEFINE THE BUSINESS STRATEGY
BUILD A BUSINESS CASE FOR HR AS A STRATEGIC ASSET
CREATE A STRATEGY MAP
IDENTIFY HR DELIVERABLES WITHIN THE STRATEGY MAP
Regularly test
measures
against DESIGN THE STRATEGIC MEASUREMENT SYSTEM
strategy map
ALIGN THE HR ARCHITECTURE WITH HR DELIVERABLES
IMPLEMENT MANAGEMENT BY MEASUREMENT
4. Step 1: Clearly Define the Business Strategy
Focus on how to implement the strategy rather than solely on what the strategy consists of
1) Facilitate a discussion about how to communicate the firm’s goals throughout the
organization
2) Clarify organization strategy into precise terms so that employees understand their role
and the organization knows how to measure its success in achieving these strategies
5. Build a Case for HR as a Strategic Asset
Step 2:
Build a clear business case for why and how HR can support business strategies
1) Demonstrate that better HR management matters…and it matters outside HR
2) Strategic implementation, rather than strategic content, differentiates successful from
unsuccessful
6. Step 5: Align the HR Architecture with HR Deliverables
Create a value‐creation story by aligning the HR system with the larger strategy‐implementation system
To do this, you need to think about how the components
within your HR system fit together (internal alignment) as
well as how the HR system aligns with (supports) the other
elements in the firm’s value chain (external alignment)
7. Step 7: Implement Management by Measurement
The HR scorecard is a powerful management tool, and is much more than for just “keeping score”
1) If aligned with the imperatives of the firm’s strategy, HR professionals
will have new insight into what it takes to actually manage HR as a
strategic asset
2) The process is not a one‐time event, HR managers should regularly
review the HR deliverables to determine if they are remaining
strategically significant, or need to be replaced
9. John Lacy
• Compare yourself
• Internal and external
• Benchmarking sharing consortiums (typically within healthcare)
• Look at bell curves, “How many employees are in bell curve for
performance?”
• Understand data
• Look for struggle points
• Examine outliers
• “DIVE DEEP”
10. Lucy Dominguez
• Plus Previous Year Planning
• Shared business strategies
• Align initiatives and goals
• Define measures of success
• Planning process for all business functions to ensure success
• Set Measurable Goals
• Identify metrics
• Set the bar
• Raise the bar
• Get the right people, develop them, and keep them
11. Margo Parker‐Hudson
• Get HR and organization into a “strategic rhythm”
• Define the measurement culture in the organization
• Internal and external
• Tie to strategy based on customer needs
• Asks yourself, “what are the strategies for the organization (short & long
term)”, and the design measures to report on those
• What is important to “my customer”
