Lean Human Resources: Redesigning HR Processes for a Culture of Continuous Improvement

241 Pages·2010·4.865 MB·English

by  Cheryl M. Jekiel

LEAN
HUMAN
RESOURCES
Redesigning HR Processes
for a Culture of
Continuous Improvement
LEAN
HUMAN
RESOURCES
Redesigning HR Processes
for a Culture of
Continuous Improvement
Cheryl M. Jekiel
Productivity Press
Taylor & Francis Group
270 Madison Avenue
New York, NY 10016
© 2011 by Taylor and Francis Group, LLC
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Library of Congress Cataloging-in-Publication Data
Jekiel, Cheryl M.
Lean human resources : redesigning HR processes for a culture of continuous improvement / Cheryl
M. Jekiel.
p. cm.
Includes index.
ISBN 978-1-4398-1306-5 (pbk. : alk. paper)
1. Personnel management. 2. Quality control--Management. 3. Organizational effectiveness. I.

Title.
HF5549.J457 2011
658.3’01--dc22 2010026550
Visit the Taylor & Francis Web site at
http://www.taylorandfrancis.com
and the Productivity Press Web site at
http://www.productivitypress.com
Contents
Acknowledgments ..........................................................................xiii
Introduction .....................................................................................xv
Who This Book Can Help .......................................................................xv
Why You Should Read This Book Now .................................................xvi
A Background in Business, Lean, and HR ............................................xvii
How This Book Is Organized ................................................................xix
Using This Book .....................................................................................xxi
SeCtIon I the Problem: too many ComPanIeS
Don’t realIze they WaSte PeoPle’S abIlItIeS
1 Wasting Employee Talent .............................................................3
The Root of the Problem: Why Don’t We See the Waste of Talent? .........4
Hidden Cause Number 1: Work Roles Limit People by Design;
Most People Can Do So Much More! .................................................4
Hidden Cause Number 2: Power Is Limited to Only a Few
People ..............................................................................................5
Hidden Cause Number 3: People Are Reluctant to Do More
Work...............................................................................................5
Hidden Cause Number 4: Channeling Abilities Creates More
Work ................................................................................................6
Hidden Cause Number 5: There’s No Assigned Cost to People
Working at Lower Capacity .................................................................7
The Solution: Seven Lean Principles Uncover People’s
True Capabilities .......................................................................................7
Capability Number 1: Keeping Customers (and the Company’s
Purpose) in Mind ......................................................................................8
Capability Number 2: Learning to Improve .......................................9
Capability Number 3: Generating Ideas ...........................................10
v
vi  ◾  Contents
Capability Number 4: Seeing the Big Picture ...................................10
Capability Number 5: Solving Problems ...........................................11
Capability Number 6: Working to Meet Visible Common Goals .....12
Capability Number 7: Demonstrating Personal Leadership .............13
Conclusion: Wasted Talent Is a Natural Result of Failed Culture
Changes .......................................................................................................13
2 Attempts to Create an Improvement Culture Often Fail ............17
Common Excuses for Failed Lean Efforts ................................................17
Reasons for Failed Lean Efforts ................................................................18
Reason Number 1: Applying Lean as a Set of Tools ........................19
Reason Number 2: Changes Require New Ways to Work ...............20
Reason Number 3: The Balance of Power Creates Resistance ........21
Reason Number 4: Lack of HR Involvement Automatically
Risks Failure ......................................................................................22
HR Has a Key Role in Successful Lean Implementations ........................22
HR’s Involvement with Cultural Implementations ............................23
HR’s Role in Designing Newly Required Processes .........................23
HR Supports Handling Resistance to Leadership Changes ..............23
New Roles for HR Apply to Any Organization ........................................24
The Key to Unlocking HR Support of Successful Culture Changes ........24
SeCtIon II InvolvIng hr aS a buSIneSS Partner
3 Keeping HR in the Background Is a Business Problem ............33
How Historical Roles for HR Create a Problem Today ............................34
Root Cause Number 1: Too Much Focus on Administration ...........35
Root Cause Number 2: HR Is Seen as a Policing Function .............36
Root Cause Number 3: Not Much Strategic Value Covering
Union Relations .................................................................................36
Attitudes about People in the Workplace Are a Problem ........................36
Root Cause Number 1: People Are Not Viewed as a Strategic
Advantage ..........................................................................................37
Root Cause Number 2: HR Has an Assigned Role (Which
Doesn’t Include Strategy) ..................................................................37

Root Cause Number 3: HR Is Not Part of Improvement
Strategies ........................................................................................38
Insufficient HR Skill Levels Don’t Help the Issue ....................................38
Root Cause Number 1: HR Professionals Are Not Required to
Have Strong Business Skills ..............................................................38
Contents  ◾  vii
Root Cause Number 2: HR Professionals Lack Consulting Skills ....39
Root Cause Number 3: Many HR Professionals Lack Customer
Orientation .........................................................................................39
Root Cause Number 4: HR People Do Not Seek Strategic Roles .....40
4 A New Vision for HR ..................................................................45
New Attitudes about People Impact HR ..................................................46
Recognize that People Really Are a Competitive Advantage ...........46
Broaden Your Definition of “Labor” .........................................................46
New Demands Drive More HR Skills .......................................................47
Develop Business Strategy Skills ......................................................47
Develop Finance Skills ......................................................................48
Develop Consulting (Alignment) Skills ............................................48
Develop Customer Relationship Skills ..............................................49
Develop Team-Based Improvement Skills ........................................51
Ensure Ongoing Personal Growth and Development .....................52
Develop Skill in Using Lean Methodologies ....................................53
HR Needs to Step into New Roles ............................................................53
Become a Strategic Partner ...............................................................54
Become a Champion for Improvement ............................................54
How to Develop the New Skills You Need .............................................54
Seek Out Educational Institutions ....................................................54
Benchmark Yourself: Learn from Other Organizations ...................55
Find a Mentor ....................................................................................55
Join Professional Associations ...........................................................56
Assessing HR Skills ...................................................................................56
5 Providing Better Service for Your Organization by First
Improving HR Processes ...........................................................65
Three Benefits of Improving HR Practices ..............................................66
1. Ensure That Each Part of an HR Process Adds Value..................66
2. Remember: Happier Employees Perform Better ..........................67
3. Build Knowledge of Continuous Improvement through
Practice .............................................................................................67
Overview of the HR Improvement Effort ................................................67
Step 1: Evaluate HR for Opportunities for Improvement ........................68
Clarify Current HR Processes ............................................................68
Establish Process Boundaries ............................................................69
Define Ownership, Results, and Stakeholders .................................69
Gather Data about the Process You Want to Change ......................72
viii  ◾  Contents
Listen to Your Customer (Your Employees!).....................................72
Create HR Process Maps ...................................................................73
Step 2: Prioritize Your Findings ................................................................74
Identify Which Improvements Best Support the Business
Strategy in General ............................................................................75
Evaluate Improvements in Terms of Gains ......................................75
Consider the Time and Resources Required ....................................75
Step 3: Execute Your Action Plan .............................................................75
Make Sure Improvements Are Sustainable .......................................76
Make Sure Stakeholders Buy into the Proposed Process
Change .......................................................................................76
Develop Communication Plans with Stakeholders ..........................76
Create Your Action Plans ..................................................................76
Step 4: Evaluate and Revise Your Plans ...................................................77
Evaluate the Effects of the Actions Taken ........................................77
Revise the Process to Make Additional Changes .............................77
6 Success through Powerful People Strategies .............................81
Traditional Business Strategies versus Lean or Continuous
Improvement Business Strategies .............................................................83
Difference in Customer Perspective .................................................83
Difference in Workflows ...................................................................85
Difference in People Strategies .........................................................85
HR Support of Business Strategy ..............................................................86
Beyond Full Alignment .............................................................................86
SeCtIon III hoW hr Can InfluenCe anD Change Work
CultureS
7 Changing Employee Attitudes and Daily Behaviors ..................95
The Role of Organizational Culture in Achieving Success ......................95
What Is Culture? ................................................................................95
Every Organization Has a Culture ....................................................96
Setting Cultural Objectives for Your Organization ...........................97
Identifying Your Organization’s Cultural Values ..............................97
Key Concepts of Continuous Improvement Cultures ..............................98
Cultural Element Number 1: Customer Focus ..................................99
Cultural Element Number 2: Continuous Improvement ..................99
Cultural Element Number 3: Broad Participation ...........................100
Cultural Element Number 4: Process Management ........................101
Contents  ◾  ix
Cultural Element Number 5: Team-Based Factual Problem
Solving ...............................................................................................102
Cultural Element Number 6: Visual Measurement of Results ........103
Cultural Element Number 7: Inspirational Leadership ...................103
8 Lessons on Culture Implementations for Lean HR ..................109
A General Approach to Designing a Culture .........................................109
Customize a Plan to Implement a Culture .............................................110
HR’s Critical Role with Cultural Objectives ............................................111
HR Helps Differentiate the Effect Individuals Have on Culture ............112
Dealing with Individuals Who Are Strongly Aligned to a Lean
Culture .............................................................................................113
Dealing with Individuals Who Strongly Disagree with a Lean
Culture .............................................................................................113
Dealing with People in Neither Group...........................................114
9 Policies, Communications, and Celebrations Need to Reflect
Your Organization’s Values ......................................................117
Assess Your Organization’s Policies against Lean Principles .................118
Protect Employees’ Psychological Safety ........................................118
Blur the Lines between All Employees ..........................................119
Encourage Accountability Instead of Control .................................120
Communicating Policies via Other Avenues ..........................................121
Communicating Policies via Newsletters, Bulletin Boards, and
Meetings ...........................................................................................121
Communicating Policy at Celebrations ...........................................123
Communicating Culture via Your Organization’s Physical
Surroundings ...................................................................................123
Communicating Policy via Your Organization’s Safety
Programs ......................................................................................124
Planning Cultural Objectives as Part of Your Strategic Planning ...125
10 Can Attitudes Be Measured? ....................................................129
Surveys Measure Attitudes and Build Relationships ..............................130
Listening Builds Relationships ........................................................130
Using Culture Surveys to Support Culture Changes in Your
Organization ....................................................................................132
Taking Surveys of Employee Satisfaction .......................................133
Customer Surveys Can Be Very Useful ..........................................135
The Survey Process .................................................................................136
x  ◾  Contents
SeCtIon Iv reDeSIgn roleS for better reSultS
11 Optimize Each Job ...................................................................143
Building Continuous Improvement into Jobs ........................................143
Level 1: Everyone Actively Drives Continuous Improvement ...............146
All Roads Lead to the Customer .....................................................146
Everyone Needs to Learn and Improve ..........................................147
Everyone Needs to Participate and Be Involved ............................148
Everyone Knows the Business to Some Degree ............................149
Everyone Participates in Team Problem Solving ............................150
Everyone Knows Which Measurements Relate to Them ...............151
Everyone Can Lead .........................................................................151
Level 2: Winning or Losing Often Links to the Right Leadership .........152
Lead with the Customer in Mind ....................................................152
Lead by Teaching and Coaching.....................................................154
Leaders Who Inspire Participation, Listen Effectively, and
Reward Initiative ..............................................................................155
Lead with a Standard of Consistency .............................................157
Prevent Problems by Encouraging People to Surface Them .........157
Lead with Visual Measurements .....................................................158
Lead by Creating More Leaders ......................................................159
Level 3: What Needs to Change in Each Function ................................159
Lean Accounting Competencies ......................................................159
Lean Human Resources Competencies ..........................................160
Lean Information Systems Competencies .......................................160
Lean Quality Assurance Competencies ..........................................161
Level 4: Creating the Gold Standard for Each Job .................................161
Customizing Needed Job Skills for Any Organization ...................162
Begin with Organization-Wide Requirements ........................162
Define What Is Important for All Leaders ..............................162
Bring the Strategy into Each Function and Job ......................163
Customizing Skill Requirements Is a Dynamic Process .................163
12 Job Analysis for the Future ......................................................167
The Importance of Documenting Job Content ......................................167
Documenting Job Content Establishes a Basis for
Accountability ..............................................................................168
Documenting Job Content Establishes a Basis for Applying
Lean Principles ................................................................................168
Contents  ◾  xi
Documenting Job Content Provides a Method to Link HR
Programs ..........................................................................................168
Documenting Job Content Provides a Model for Process
Improvement of Jobs .......................................................................169
Creating a Job Content Matrix ................................................................170
Step 1: Documenting Observable Activities of Each Job ...............171
Step 2: Documenting Knowledge Requirements of Each Job .......171
Step 3: Documenting the Results Required of Each Job ................172
Begin with Entry-Level Management .....................................................173
Complete the Documentation through Teamwork ........................175
Behaviors Provide Knowledge and Results ....................................175
Identify the Future Proposition for Jobs .........................................176
The Importance of a Lean Leader Matrix ......................................176
Organizational Job Content Matrix .................................................177
Creating Evaluations Once a Matrix is Completed ........................178
SeCtIon v StrategIeS for alIgnIng your hr ProCeSSeS
13 Linking the Four Core HR Processes to the Overall Business
Strategy ....................................................................................183
HR Processes Can Be Strategic Levers ...................................................184
Excelling at One Primary Process Is Enough .................................184
Better HR Processes through Benchmarking .................................185
Strategic Lever Number One: Recruitment ...........................................187
“An Often-Missed Opportunity” .....................................................187
Start with Looking for Improvement-Oriented Leaders .................187
Use Tools to Select the Right People ..............................................188
Try Outside Resources for Selecting the Right Leaders .................190
Allow the Team to Select Its Own Members and Leader ..............191
Evaluate Your Organization’s Current Leadership ..........................192
Strong Cultures Demand Strong Orientations ................................193
Strategic Lever Number Two: Training and Development.....................194
“Unless It Adds Value, It’s Often a Waste of Resources” ................194
Standard Work or Knowledge Requirements Create a Basis for

Training Needs ................................................................................194
Ensure Training Adds Value............................................................195
Connection to Strategy and Results ................................................197
Strategic Lever Number Three: People Thrive on Accountability .........197