Creating a Highly Functional HR Department Stacey Klimek

Creating a Highly Functional
HR Department
Stacey Klimek
VP of People
Mykkah Herner, MA, CCP
Director of Professional Services
www.payscale.com
15,000 Positions
3500 Customers
11 Countries
54 Million Salary Profiles
250 Compensable Factors
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Agenda
• The Evolving HR Function
• Driving Business Results
• Gaining Executive Support
• Understanding Your Workforce
• Is it HR’s responsibility?
• Immediate Actions
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The Evolving
HR Function
People
Talent
Management
HR
Management
Personnel
Management
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Driving Business
Results
5
Focus on Outcomes
Source: BambooHR
Recruitment
Retention
Engagement
Performance
Culture
Budget/Revenue
7
Goal: 2x revenue in 5 years
Gaining Executive
Support
What do your executives
care about?
Communicating with Executives
Their Question
Context
Short Answer
Justification
Case Study:
Gaining buy-in for your
Comp Plan
Understand the Benefits of
Comp Plans
13
Socialize your plan
Educate as you go, focusing on
• Impact of strong comp plan on business results
• Market study & results
• Compensation philosophy
• Compensation strategy
• Guidelines for pay (structure)
• Policies & Processes
Pay Ranges or Guidelines
Minimum
Range Midpoint
$20,000
Maximum
$32,000
$26,000
Range
Minimum:
Lower limit of
pay range
Range
Midpoint:
Proficiency point,
aligned to market
Range
Maximum:
Upper limit of
pay range
Maintain buy-in by reporting
High Level Info
o Get them familiar with a dashboard (Compa Ratio, Market Ratio, etc)
o Report these on a regular basis
Understanding Your
Workforce
17
Make-up of your workforce
Workforce Characteristics
• Generations
• Professional, mid, or entry level
• Manual, Technical, Office, Leadership workers
Organizational Characteristics
• Urban vs Rural
• Corporate or non-profit
• More hierarchical or flat
• Traditional or newer industry
• Driver: Values, Profit, Growth
Identify Creative Solutions
Consider Workplace “Currency”
 Know what motivates your employees
 Additional/Alternative Perks
 FTE preference
 Staggered increase or offer
 PTO
 Work assignments
 Development opportunities
19
Digging deeper into
Generational Differences
Baby Boomers (75-79M)
Generation X (34-40M)
Millennials (80-90M)
73%
of company leaders do not feel confident in their
managers’ ability to effectively communicate with
employees about salary issues.
2014 PayScale CBPR
Train Managers
Compensation
Engagement
Management
Leadership
Effective communication
Managing budgets
Recruiting & interviewing
Training & onboarding
Is it HR’s
responsibility?
23
Areas of focus
Strategic Planning
Succession Planning
Workforce Planning
Culture
EVP / Branding
Total compensation
Retention
24
What competencies do you need?
• Strategic Communication
• Organizational Development
• Change Management
• Data & Analytics
• Business Savvy
• Creativity
Immediate Actions
•
Evaluate your HR function
•
Understand your desired business outcomes
•
Assess your workforce for makeup, skills, gaps
•
Start talking with your executives
•
Identify key champions amongst your managers
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Stacey Klimek
VP of People
Mykkah Herner, MA, CCP
Director of Professional Services
www.payscale.com