integrating hr

8/6/2019 Integrating HR

1/18

BUSINESS STRATEGY/HRSTRATEGYHazel Lee


2/18

PAGE 2

Contents

Background

Business Strategy

Developing & Aligning the HR Strategy

HR Programme of activities

Success


3/18

PAGE 3

Background

Sold 2 years ago by Centrica

Now owned by private equity

A stand alone business with no parent

Formidable business targets

Major review of activities

Radical transformation needed


4/18

PAGE 4

The AA Business Strategy

The objective

Increase EB

IT(earnings before interest and tax) from 100m to 300m in less

than a 5 year period


5/18

PAGE 5

THE AA BUSINESS STRATEGY

FOCUSOPERATIONAL

EFFICIENCY

BRAND

DIFFERENTIATION

CONCENTRATING

ON THE

PROFITABLE COREBUSINESS

LOWER OPERATING

COSTS WITH

INDUSTRYBEST

QUALITY OFSERVICE

LEVERAGE STRATEGIC

ADVANTAGE TO

DRIVE SALES &

MARKET SHARE


6/18

PAGE 6

Focus

Closure of non-profitable units

Re-organising the core units

HQ management re-structure

Businesses with own

targets/budgets/plans

Concentrating on the

Profitable core businesses


7/18

PAGE 7

THE CORE BUSINESSES

ROAD

SIGNS

AA

IRELAND

DIRECT

LENDING

DRIVING

SCHOOL

PUBLISHING

INSURANCE

CEO


8/18

PAGE 8

Operational Efficiency

Budget reviews

Taking out un-necessary costs

Improving training

Technology review

Performance analysis

Loweroperatingcosts

With industry best

Quality of service


9/18

PAGE 9

Brand Differentiation

Each businesses with its own messages

A unified Brand

Identifying what we do really well and

building bigger

Planning for acquisition

Leverage strategic

Advantage to drive sales and

Market share


10/18

PAGE 10

Developing the HR strategy

Dovetails with the business strategy which was developed across all businesses with HR

faciliting and contributing

Absolute focus on the business goals

HR re-organisation to facilitate implementation of the business strategy

Detailed HR programme developed to deliver


11/18

PAGE 11

THE AA BUSINESS STRATEGY

FOCUS OPERATIONAL

EFFICIENCY

BRAND

DIFFERENTIATION

THE AA HR STRATEGY

Getting the

Environment Right

Enable profitable core

Business throughclosures/Re-structures/people

Re-alignment

Competent People

Ensure operational

efficiency throughperformance

Keeping Ahead of

The competition

Build People

Capability to ensure

Brand Excellence


12/18

PAGE 12

HR STRUCTURE

HRBusiness

Partner

Road Business

HRBusiness

Partner

Insurance

Business

HRBusiness

Partner

Signs

Publishing

Driving School

Corporate HRactivities Policy/Reward/Communications

HRBusiness

Partner

HQ Functions

Group Pensions

HR Shared Services


13/18

PAGE 13

GETTING THE

ENVIRONMENT

RIGHT

COMPETENT

PEOPLE

KEEPING AHEAD

OF THE

COMPETITION

HR PROGRAMME

Restructures

Closures

Support structure

ForManagers

Workshops

TUrecognition

Leadership coaching

Re-placingkey execs

Flexibility in

working patterns

Performance mgt.

Reward reviewMgt.pay& benefits

Cost benefit

Analysis

Pensions

Restructures

Redundancies

TU Negotiations

PayReview

Great Place to work

Re-building programme

Systems

Comms strategy

Acquisitions

TUPE

Sale/Float

Due diligence

Skills Assessment

Performance Mgt.

Bonus structure

Development

Competency framework

HRcapability

Policyreview

Loyalty&commitment

Employee shares

Resourcing strategy

Flexible working

Teleworking

Competitive reward

structure

Common grades

Training

Management

development

Employee benefits

Talent & CareerMgt.

Systems

Commercial people

contracts

ACTIVITIESSTRATEGY

Q1 Q2 Q3 Q4


14/18

PAGE 14

Focus Getting the environment right

HRs Objectives

Zero based organisation and budget

review/HR & Finance

Closure programme

Sale of businesses/TUPE

Structures which enabled focus on core

markets

Providing Managers with support during

and after

A Rebuild programme


15/18

PAGE 15

Keepingahead of the competition

Career development structures

Addressing wide variety of reward

structures

Common grades

Getting maximum value from the pension

scheme

Share options

Improved communication networks


16/18

PAGE 16

Operational Efficiency & Competent

People

Addressing deficiencies in performance

Building departure of poor performers into

closure programme

Replacing key management posts

Patrol performance management system

Greater flexibility in working patterns

Capacity planning

Teleworking

Shared HR services


17/18

PAGE 17

Success

Integration of HR into the business

Development of new HR competencies

Streamlined and focussed

Added value per employee increased by 160%


18/18

PAGE 18

The Future

More change is guaranteed

Sale or floatation

More acquisitions

Great Place to Work Programmes

integrating hr

Documents