How effective is your HR function..

We all keep hearing about the strategic role HR needs to play, HR presence in the boardroom and the impact that HR can have on business decisions. But how many of us have sat back and ever evaluated the current functioning of our HR teams.

Is the HR team geared up to cater to the requirements of the business..Is there some way of reviewing the efficiency and effectiveness of the HR function in relation to what is expected out of them..While there is no quick answer to these questions, it can be done in a structured manner thereby providing a mirror to the HR team reflecting what they do best and where they need to improve.

I will talk about an outside-in approach as displayed in the image below:

1. Step 1 would entail understanding the expectations that your internal customer has and the perceived effectiveness of the services provided. This would also help us understand the process and performance expectations out of the HR team.
   
2. The next step is a cause and effect analysis of what is causing the perceptions gathered in relation to the findings in Step 1. Where is each member of the HR team spending his / her time, what activities are they performing? Are they playing an advisory role to the business or are their functions more administrative in nature? Is HR playing a solution providing role and facilitating business requirements? All these questions need to be answered in this step.
   
3. The final step is the assessment of the skills and capabilities of the HR team against the roles / responsibilities / competencies defined for the HR function. This needs to be mapped against the results of step 2 which will give us an idea of where skills need to be redeployed, new skills brought in or existing skills to be improved.

An analysis of the steps above will showcase an assessment of the service delivery model of the HR function, its structure and reporting relationships, distribution of activities between corporate and regional HR and where automation can be brought in the HR function.

However, this entire exercise should not be done in isolation. The inputs of the key stakeholders need to be incorporated at each step. Because while process improvement is an ongoing exercise, we should not forget that the end result has to be adding value to the business.