Getting things doneBusiness Execution

Teja Breznik AlfirevS&T Slovenija d.d.

Content

New reality1

Execution Gap2

HR management...or just management3

Example 4

Why IT is important?5

Ability to implement changes FAST

Innovation for competitive advantages

Quality of services

COMPANY

External factors

Business demands

Employee satisfaction for higher profitability

Efficient cost management

Useful technology with value add

Loss of customers

Economic crises

Strong competition, saturation of the markets

Low buying power of customers

Reduction of employees Demografic and cultural changes

N E W R E A L I T Y

Pressures and demands

PRESENT FUTUREPAST

KS

FW

HA

TH

OW

Workforce CapitalEngagement and

people‘s performance

Cheap workforceConveyor

AdvertisingDevelopment of

tehnology

InnovationCustomer focus

Use of natural resources

Mass manufacturing

TehnologyMarketing

People

N E W R E A L I T Y

Yesterday – Today – Tomorrow

“A really great talent finds its happiness in execution.”

Johann Wolfgang von Goethe 

EXECUTION GAP

E X E C U T I O N G A P

Why is there a gap?

WHAT AND HOW

Reasons :*Only 15% of employees were able to identify their company’s goals and priorities.

Only 19% bought into those goals and took ownership of them.

Only 49% of people’s time was spent on company goals (the rest was spent on urgent distractions).

51% of the employees didn’t understand what they were supposed to do in their own positions to accomplish the company goals.

* Harris Polling Group study

STRATEGY

RESULTS

EXECUTION

STRATEGY LEADERSHIP VISION

EMPLOYEE ACTIONS RESULTS

LEADERSHIP EXECUTION GAP

EXECUTION

E X E C U T I O N G A P

Why is there a gap?

E X E C U T I O N G A P

How to bridge the execution gap?

4 DISCIPLINES*

• Sean Covey, Jim Huling and Chris McChesney: ,The 4 Disciplines of Execution: Achieving Your Wildly Important Goals

Discipline 1 : The discipline of FOCUS

Discipline 2: The discipline of LEVERAGE

Discipline 3: The discipline of ENGAGEMENT

Discipline 4: The discipline of ACCOUNTABILITY

“The final test of a leader is that he leaves behind him in other men conviction and the will to

carry on.”

Walter Lipmman 

H R M A N A G E M E N T . . . O R J U S T M A N A G E M E N T

The role of HRM

The ultimate goal of HR is a successful execution of business strategy

EMPLOYER BRANDINGEMPLOYER BRANDING

TO ATTRACT & RETAIN

TALENT AND BUILD RIGHT

ORG. CULTURE

TO ATTRACT & RETAIN

TALENT AND BUILD RIGHT

ORG. CULTURE

ENSURE LEARNING

ENVIRONMENT

ENSURE LEARNING

ENVIRONMENT

TO ASSURE CONSTANT LEARNING & ON TIME

KNOWLEDGE DEV.

TO ASSURE CONSTANT LEARNING & ON TIME

KNOWLEDGE DEV.

MASTERING TECHNOLOGYMASTERING

TECHNOLOGY

TO REDUCE TIME SPENT ON ROUTINE TASKS & TO

CREATE TRANSPARENT

ENV.

TO REDUCE TIME SPENT ON ROUTINE TASKS & TO

CREATE TRANSPARENT

ENV.

DEVELOPING LEADERSHIPDEVELOPING LEADERSHIP

TO PROVIDE APPROPRIATE TOOLS AND

ENV. TO THE LEADERS

TO PROVIDE APPROPRIATE TOOLS AND

ENV. TO THE LEADERS

“It has long since come to my attention that people of

accomplishment rarely sat back and let things happen to them. They

went out and happened to things.”

Elinor Smith  

•Why do we exist?•What do we want to change?

E X A M P L E

So how it goes?

•What do we want to accomplish and when?

•How will we accomplish our goals?•How will we know at any time where we

are?

•Who, when and why should accomplish the goals?

DESIRED BEHAVIOURS/HR

STRATEGY

STRATEGY & KPI‘S

GOALS

VISION&MISSION

E X A M P L E

CASE – Vision & Mission

COMPANY: SOFTWARE COMPANY IN THE MATURE MARKET

VISION: We will become leader in the area of ebusiness in our strategic markets

MISSION: Through technology, business knowledge and in strong partnership with our customers we will amplify our customer‘s competitive advantages and extend their business

PEOPLE & HR STRATEGY

BUSINESS STRATEGY KPIs

BUSINESS STRATEGYVISION & MISSION

E X A M P L E

CASE – Business goals and strategy

WHAT

WHY

HOW

PEOPLE & HR STRATEGY

BUSINESS STRATEGY KPIs

BUSINESS STRATEGYVISION & MISSION

PEOPLE & HR STRATEGY

BUSINESS STRATEGY KPIs

BUSINESS STRATEGYVISION & MISSION

E X A M P L E

CASE – Key performance indicators

BUSINESS OBJECTIVES LEADERS IN STRATEGIC MARKET

DIVERSIFY REVENUE STREAM

PREDICTABLE PROFITABILITY

KEY SUCCESS FACTORS

CUSTOMERINTIMACY REVENUE RETENTION

RATE

CUSTOMERS WITH MORE THAN ONE BU

REVENUE

MANAGING CUSTOMERS GoToMarket

OPERATIONAL EXCELLENCE EMPLOYEE VALUE

ADDCUSTOMERS

UPTIMETIME FIXING

BUGS

E-BUSINESS SOLUTION LEADERSHIP STRATEGIC

COMPETENCIESNEW

SOLUTIONSNEW SOLUTIONS

PROFIT CONTRIBUTION

E X A M P L E

CASE – Desired behaviours / HR strategy

PEOPLE & HR STRATEGY

BUSINESS STRATEGY KPIs

BUSINESS STRATEGYVISION & MISSION

BUILD INNOVATIVE&CUSTOMER

FOCUSED ORG.CULTURE

BUILD ORG.READINESSATTRACT & RETAIN TALENT

Develop business

competencies within HR team

Outsource HR admin

DEVELOP HR COMPETENCIES IMPLEMENT PROCESSES TRANSPARENCY & OPTIMIZATION

Implement IT system

Employer branding strategy Competency

based recruting Internal&

External comm.pr.

Perfomance based comp. Implement

management by objectives

Implement competency

model

Competency based

development

Succession planning for key positions

Leadership dev.program

LEARNING & GROWTH

PERSPECTIVE

How will we sustain our ability to

improve?

INTERNAL PROCESSES

PERSPECTIVE

At what do we need to excel to fulfill

customer expectations?

CUSTOMER PERSPECTIVE

How should we appear to

customers?

FINANCIALPERSPECTIVE

What are our most important financial

outcomes?

EMPLOYEESImprove engagement

Hire TOP talents

LINE MANAGERSEnhance HR data

availabilityImprove competencies

BOARDEnhance impact HR

metrics available

CUSTOMERSAssure knowledge &

qualityStrenghten relationships

Setup HR reporting

system

CUSTOMER INTIMACY, OPERATIONAL EXCELLENCE, PRODUCT LEADERSHIP

EMPLOYEE VALUE ADD

PROFIT GROWTH

REVENUE

GROWTH

“It's not a faith in technology. It's faith in people.”

Steve Jobs 

W H Y D O W E N E E D I T

Doing things right & doing the right things

LEGAL HEALTH & SAFETY PAYROLL HR ADMIN

RECRUITING PERFORMANCE MANAGEMENT

LEARNING & DEVELOPMENT COMPENSATION

HR REPORTING

HR IT SYSTEM

EMPLOYEE ENGAGEMENT MANAGEMENT

CHANGE MANAGEMENT

INNOVATION MANAGEMENT

LEADERSHIP DEVELOPMENT

W H Y D O W E N E E D I T

Doing things right & doing the right things

LEGAL HEALTH & SAFETY PAYROLL HR ADMIN

RECRUITING PERFORMANCE MANAGEMENT

LEARNING & DEVELOPMENT COMPENSATION

HR REPORTING

HR IT SYSTEM

EMPLOYEE ENGAGEMENT MANAGEMENT

CHANGE MANAGEMENT

INNOVATION MANAGEMENT

LEADERSHIP DEVELOPMENT

HR efficiency – to what extent is the HR function ‘doing things right’?

HR effectiveness – to what extent is the HR function ‘doing the right things’?

HR impact – to what extent have HR activities met strategic business needs?

“All truths are easy to understand once they are discovered; the point is to

discover them.”

Galileo Galilei

Summary

Good strategy with bad execution doesn‘t exist. Strategy without execution it's not a strategy!

1

If Business Strategy does not integrate HR strategy, who is suppose to execute it?

2

HR needs to be transparent, personal and analytical. This doesn't work out without IT

3

No matter how good business strategy is and how excellent IT support we have, the main responsibility for business strategy execution have the leaders of the company!

4