HR: The Strategic Business Partner

November 18, 2010 Jason Colvin Sr. HR Director Savvis jason.colvin@savvis.net 314-628-7393

What percentage of human resources business partners are highly effective as a strategic business partner? Less than 20%

Source: Feb 2010 Corporate Leadership Council, HR line support effectiveness survey

Objectives
What enables and drives successful strategic partnerships? Talent & Competencies Structure & Systems What type of measurement can be used to evaluate where your HR organization is today? Engagement Model Preparing for the future

Talent & Competencies

Demonstrate deep and broad business and financial
acumen Influence using a mix of technical HR expertise, business acumen and relationship skills Architect and drive change The ability to think systemically Communicate effectively Build value for shareholders, customers, and employees Process excellence skills Talent management of human capital

Top Competencies for Senior HR Leaders in Global Organizations

Competency Global Intelligence/mindset Cross-cultural intelligence Effective communication Strategic thinking HR Knowledge Leading change Business Knowledge USA 67% 57% 53% 47% 39% 19% 29% Canada India 55% 39% 41% 63% 27% 36% 28% 45% 40% 41% 44% 23% 34% 42% Middle East/N. Africa 53% 57% 51% 58% 31% 38% 33%

Source: SHRM 2010 What Senior HR Leaders Need to Know

Structure & Systems

Shared services model HRIS that turns data into information Technology that allows for self service Business partner engagement teams Create capacity for HR business partners
to focus on strategic objectives to drive business results

Based on a SHRM 2010 Shared Services Survey in May 2010, what percent of respondents were providing HR support through a shared services model?

75%

HR Operating Model
Aligned directly to the business groups and main point of contact (i.e. HRGs) HR specialists offering services company wide to business groups (i.e. talent acquisition, learning, comp & benefits, compliance, etc)

Ce

Pa rt ne rs

Bu si ne

Business Partner Engagement Teams

Dedicated teams aligned to the business

s er nt

of

ss

Ex e nc lle ce

Service Centers
Central unit for HR-related administrative and transactional tasks (i.e. self service)

Where is your HR organization today?

HR Model on Engagement
High Business Enabler (efficiency)
Business Impact

Business Driver Business Partner

(education & improvement)
trends influence via data capital business case

(consult & direct)

define organizations success factors key link to strategic view

Service Provider
(as needed) Ad hoc
Past Performance Historical

Real time Consistent Self-service

Low Current

Required Sophistication of Measurement Capability

Time

Future

Preparing for the future

What do you think will be the biggest investment challenge facing organizations over the coming 10 years?
Biggest Investment Challenge
Obtaining physical capital (i.e. factories, buildings, equipment) and optimizing physical capital investments Obtaining technology and optimizing technological capital investments Question

2%

11%

Obtaining intellectual capital and optimizing intellectual capital investments

12%

Response

Obtaining financial capital and optimizing financial capital investments

29%

Obtaining human capital and optimizing human capital investments 0% 5% 10% 15% 20% 25% Response 30% 35% 40% 45%

47%

50%

Source: SHRM 2010 Challenges Facing Organizations in the next 10yrs

Creating People Advantage 2010: How Companies Can Adapt Their HR Practices for Volatile Times:
Most critical areas but limited current capacity: 1. Managing talent 2. Leadership Development 3. Employee Engagement 4. Strategic workforce planning

Source: Chief Learning Officer Magazine Sept 2010

Is Your HR Organization Prepared?