BOOK TITLE: STRATEGIC HUMAN RESOURCES
A PRACTITIONERS GUIDE TO SUPPORTING BUSINESS THROUGH RECRUITING AND DEVELOPING ESSENTIAL TALENT.
CHAPTER ONE
Business Strategy and People Strategy
‘Julie!! I got the job! They said to start on Monday as the HR partner with special responsibility for recruitment. What do you think of that?’ Chris, a graduate of LSE with a mission to transform the role of HR was clearly excited. Her course at the LSE had promised to prepare her for an outstanding career in people management and human resources and this was her first full time role on the way to that career. When she went home that night, her mother was thrilled:” Well done, honey. You show them how to do it!” Her father – an Operations Director with a large manufacturing company – was less thrilled.
“HR! Nothing but trouble! Always putting blocks in the way of someone trying to do a good job and drive the business forward,” he said. “Never seem to know what we want, recruit all the wrong people and then blame us when we want to get rid of them, say we should have coached them or something. Can’t think why you want to get mixed up in it. ”
Chris was sure that she could make a success of this role by applying the critical and analytic skills that she had been taught during her course at LSE to the problems of recruiting, developing and retaining promising talent for her employers – Safari Adventures plc, a fast growing company led by a young and enterprising CEO. She was not dismayed by her father’s sceptical attitude.
But scepticism is just what she had to deal with. On her first day at work she was introduced to the CEO who barely had time to say hello before dashing off to meet some investors. The CFO was equally off hand but did deign to point out that she would have to earn her salary by making sure that they had enough people with the right skills to accomplish their ambitious growth targets.
At LSE they had emphasised the importance of a People Strategy and its link to the Business Strategy. She knew that the company had a business strategy of sorts. It was even written down in the annual report. The business strategy was said to be:
To grow globally by acquiring and managing new Safari Parks throughout Europe, Africa and the USA and to add accommodation to our resorts to provide a total animal focused leisure experience while raising money to support and sustain the return of animals to the wild and their protection.
Well that was clear enough if a little complex and ambitious. But what did this mean about their People Strategy? ‘How will I know how many people they need and what skills they should have?’ she thought. “Do they need people who can run hotels? Designers? Grounds and equipment maintenance? Vets and charity organisers? What do they need?”
She could not find any mention of a People Strategy in the annual reports just a bland comment that “People are our most important asset”.
She met with Julie after work. Julie was an experienced HR Director. After congratulating Chris on getting the job, Chris learned that Julie also was also frustrated by the lack of interest of the executive in her own company in formulating or even approving a People Strategy. “A People Strategy” Julie said “answers questions such as:
- what capabilities do we need?
- what are we already good at?
- what do we need that we have not already got?
- and when and where do we need them?
Not, you would think, impossibly difficult questions to answer. But try getting the bosses to give any time to this. I’ve been trying for years! ”
Chris thought she had better make a start herself on defining a possible People Strategy, putting it into straightforward language not HR jargon and then seeking to present it to the senior management. After several weeks and again relying on her critical and analytic skills developed through her LSE course, she had devised the following explanation:
A People Strategy is the logical extension of the Business Strategy. It lays out how the organisation intends to use its people to deliver on its objectives.
The Business Strategy informs the People Strategy by detailing the skills and types of people needed to achieve the Business Strategy.
Conversely, the People Strategy informs the Business Strategy, helping executives to decide what the best approach will be for the organisation given the skills that they have available or can acquire.
We have to start with an understanding of the capabilities of our business. Are our people good at generating new ideas or are we better at exploiting developed ideas? If the business is not capable in a particular area, is it better to accept that and focus on our strengths, or take the time and energy to build that capability?
Just as with the Business Strategy, the People Strategy changes as the business develops and the key challenges evolve. As a business grows so the personal control of the executive over the employees weakens and it becomes necessary to articulate the culture through standards and value statements that are cascaded down through the organisation to help people to know what is expected of them and how they should behave to support the Business Strategy. This business has expanded globally in the last three years and we have seen some new employees with potentially very different backgrounds and approaches. We need to take account of the different cultures and the People Strategy will need to move to one of diversity and inclusion.
Creating a cohesive and robust People Strategy is a complex process and HR cannot make these decisions in isolation. The Leadership Team, must be fully engaged in the process and supportive of the outcome. Once we in HR know what is required, we will do the implementation. But first we need to know what you need. We need a clear statement of the following:
Company Mission (Where are we going and why are we going there?)
Your view of the purpose and direction of Safari Adventures plc. We need you to describe the business that you, the business leaders, want to be in for the next 5-10 years, the purpose for which this organisation exists and the main assets required to fulfil this purpose.
Business Strategy (How are we going to get there?)
What strategic direction is the company following which will ensure the mission is achieved or at least approached? Is it organic growth? Acquisition? Partnership with similar organisations with similar values?
Corporate Objectives
The outcomes that you want to see the business achieve in the next year. These need to be measurable so that we can assess how well we have achieved them.
Corporate Capability
What capabilities exist in the company to execute the strategy both now and in the future? What capabilities are we missing and will need to recruit for?
The Talent Management Strategy
Once we are clear on the People Strategy, we as HR can take control of the Talent Management Strategy. This defines how we can best recruit, monitor, support, develop and promote our people to deliver the Corporate Strategy and is one of HR’s key responsibilities. People Strategy starts with a vision of what the organisation wants to see as the result of its activities and its own specific mission or part in achieving this vision. Talent Management is based on objectives and targets.
Talent Management is owned by HR. People Strategy has to be owned by the executive and supported by HR.
People Strategy defines, Talent Management delivers.
Just as with a Corporate Strategy, the People Strategy will need to be reviewed over time to ensure that it is still relevant to Safari Adventures plc and its environment. If this process becomes an intrinsic part of our strategy development, then the People Strategy will begin to inform the overall Business Strategy, rather than simply reacting to it.
Chris printed this off, put together a slide show with the main points and asked for some time at the next board meeting to present her conclusions.
DID SHE GET THAT TIME?
2 months later and she still had not been invited to present her views to the Board. Frustrating or what?
Then the opportunity arose to make a friend. There was a social evening to celebrate the 15th anniversary of the founding of the company. There was an afternoon barbecue for all employees and afterwards the management team, including Chris, was invited to dinner at a local restaurant. Chris found herself sitting next to Tara the Marketing Director. Tara was about her own age. They discovered that they were both only children, had both spent time at LSE and had a lot in common. Chris found herself telling Tara about her frustration at not getting any time with the senior team. Tara shared some of her own frustrations when she was initially recruited as a Marketing Manager and largely ignored but also shared that she had managed to find a sponsor in the Finance Director. He took an interest in helping her to negotiate the company politics and move to the executive level as he recognised her potential to add considerable value to the business at a more senior level.
‘I had the same problem as you,’ Tara said. ’ You cannot put together a brand and a marketing plan unless you know where the business wants to go. Nobody wanted to talk to me about this. They were all too busy with the day to day priorities. The Finance Director – a very bright guy if a little serious, recognised this. He helped me to get my ideas noticed. They listen to me now and I can do this for you.’
3 weeks later Chris had her opportunity to present to the senior management. Tara had told her not to be too strident or give the impression that the senior managers had not been doing a good job. She was to reiterate calmly and assertively that they needed to work on a People Strategy otherwise she would not be able to do her job and they would not achieve their goals.
Chris made her presentation.
‘Come on! ‘said the CEO.’ I know what I want and everyone understands where we are going – don’t they? ‘ At Chris’s doubtful look he gave in: ‘OK. Maybe it’s not so clear but we haven’t got the time to sit around contemplating our navels. Let’s just get on with the job.’
The discussion among the members of the senior team became strident. The disagreements and lack of a common view became very clear. The meeting broke up with mutterings of ‘Waste of time!’ ‘Time thief – I have got better things to do!’ ‘ Useless HR always asking questions. What we want is answers!’
Discouraged Chris turned to some former friends at LSE who recommended a company called hfi who they said could facilitate a workshop – 1 -2 days which would clarify the vision and mission and help plan the way forward gaining the buy in of the whole senior team by demonstrating the value of developing a People Strategy and linking it to organisational values. ‘Values’ thought Chris – ‘I hadn’t thought about that’.
But how was Chris to gain the commitment of the senior leaders to spending one or two days on a subject they had already dismissed as a waste of time and also paying for it?
Sadly she was helped by an unfortunate event. A member of the public, feeling over confident had – with the encouragement of the keepers – stretched his hand though the bars of the tigers’ cage to stroke a peaceable tiger who had been sleepily eyeing him for the last ten minutes. The tiger ripped his arm from its socket and commenced peaceably to eat it. All hell broke loose. The keeper was sacked for incompetence and a thorough investigation revealed that none of the keepers was properly qualified. They had been recruited by personal recommendation by friends of some of the senior team and selected basically, through their idealistic love of animals and desire to help prevent the decimation of such animals in the wild.
Suddenly the senior team saw the need for a more robust People Strategy insisting on proper qualifications and more than a love of animals as the selection criteria.
Chris got her workshop.
The outcome of the workshop was a full commitment of the senior team to the following:
Our Vision
A clear vision of what the world will be like when the organisation is achieving its mission.
‘ Our Safari Parks visited by a public ready to commit time and resources to funding and facilitating the breeding of rare animals and their return to the wild. Within 5 – 10 years a significant increase in the survival of wild animals in their native habitat and the control of poachers and trophy hunters to prevent a return to the current sad situation.’
Our Mission
Given this vision, we have also developed a clear view of the organisation’s mission – where we are going and how we are goi8ng to contribute to this vision. Our mission is to develop the Safari Experience so that the public appreciate the value of these animals and are willing to contribute funds to their welfare and also to lobby national governments to support the existence and protection of wild animals native to their countries.
Our Strategy
We already have 10 safari parks – 4 in Europe, 2 in Africa, 2 in Asia and 2 in South America. In the longer term we may aim to acquire and develop more of these parks but in the shorter term we intend to enhance the experience of our visitors by providing more information and the possibility of closer contact with the animals in a safe environment as well as introduce accommodation to give visitors the opportunity to spend a few days in the parks and really appreciate the value of the animals and what we are doing.
We also plan to enlist the backing of our visitors to our campaigns to influence the governments of our various locations to introduce more stringent anti- poaching and anti-hunting laws with severe punishments for transgressors.
Re the introduction of accommodation for our visitors – this will be franchised to a respected hotel company. We need animal specialists and fund raisers not hoteliers to forward our business.
Our current strengths are: the commitment and energy of our people: the reputation that we already have as a fun experience but also a caring and responsible concern for the animals.
Our needs are for better training of our committed people in the care of our animals and also the care of our visitors in the vicinity of the animals.
We also need experienced charity fund raisers who know how to get money out of a sympathetic public and experienced campaigners who understand how to approach governments to persuade them to introduce legislation which may be unpopular.
Although some of the underlying motivation was the same, this was a far more detailed and in some aspects very different statement of the mission and strategy than the one initially published on the web site:
To grow globally by acquiring and managing new Safari Parks throughout Europe, Africa and the USA and to add accommodation to our resorts to provide a total animal focused leisure experience while raising money to support and sustain the return of animals to the wild and their protection.
Our Objectives
In the short term – the next 12 months – our objectives are:
To set up a training programme for our current animal keepers to ensure that they can not only care for the animals but are also alert to and able to deal with the actions of the public visitors.
To institute methods for fund raising for our preservation projects.
To set up initial relationships with the governments of the countries where we have sites to enlist their help in preserving the wild animals native to their region.
To negotiate an agreement a hotel group to build, develop and run accommodation on each of our sites.
To add one site every year for a new Safari Park.
JUST TO CHECK: SO WHAT IS THE PEOPLE STRATEGY?
Now Chris knows what she needs to do. The People Strategy is to focus recruitment on individuals with a genuine concern for caring for animals and ensuring their preservation on their native lands. The recruitment drive is also to find people who are experienced and skilled in raising money to fund the breeding and repatriation programmes. There will also be a focus on recruiting individuals experienced in lobbying governments in all the locations that Safari Adventures plc is located.
She does not need to recruit hoteliers – that will be dealt with by franchising.
She does not need to recruit highly trained animal experts – the current team and future recruits recruited for their love of animals will be trained internally.
When the company acquires or develops a new Safari Park she will need to recruit local designers and builders to ensure that it fits with the style of existing parks and she will need to recruit – and put through the training – keepers to look after the animals and the guests.
What she learned:
- When in a new role, do lots of listening! Review any engagement surveys to check out the organisational temperature
- Who hired you and why? Start with them to help your voice be heard.
- Find a sponsor as soon as possible
- You cannot do your recruitment job without a People Strategy
- You cannot formulate a People Strategy without a clear and realistic Business Strategy
- The senior team have to be involved in co- creating both the Business Strategy and the People Strategy
- Speak the language of the business
- Demonstrate the commercial impact of getting the people part right
- Then HR can get on with it!
NOW SHE JUST HAS TO GET ON AND DO IT!!
Questions for further discussion:
Do you think she will succeed is satisfying the requirements of the Business Strategy and the Executive Team? If yes – why? If not – why?
What else might Chris need to know?
What do you think that Chris needs to do next?
What support does she need for her next actions?
What qualities did she need to get this far?
Questions for you as an HR professional:
What resonates for you in this story and why?
How well do you know your business and can speak the commercial language?
Who is your sponsor – who might be a possible sponsor for you?
How do you keep your tenacity when the going gets tough?
Authors
DR CHRISTINE JONES, MA, MBA, PhD, Dip Psych
Christine Jones has extensive experience in development needs assessment and the design and delivery of individual and group development programmes. She directs hfi’s projects assisting international companies to develop global standards and approaches to the core management processes including selection, development and succession planning. She specialises in developing individuals’ skills in analytic and strategic thinking and innovation. She is an experienced international coach.
LIZ NOTTINGHAM, FIPA,FRSA, EXECUTIVE HR DIRECTOR at RGA
Liz Nottingham is passionate and relentless about exploring creative ways to develop people to be the best they can be. Founder of one of the early programmes to support returning mums with her Back2BusinessShip programme, a campaigner for diversity, on the advisory board of Creative Equals, a Trustee for Art Against Knives and the Darjeeling Children’s Trust, a coach supervisor and advanced facilitator in creative collaboration. Liz is recognized for her bold and pioneering approach to the people agenda, shaping culture and disrupting learning and development. She has won many awards for her talent development work and led a business into the Sunday Times Top 100 listing three times.
Regarded as a pioneer in the advertising industry with the introduction of mindfulness 9 years ago before it was corporately acceptable, creating well being weeks and introducing both GPs and sleep doctors into the agency world. She also contributed a chapter to Margaret Chapman’s book, Mindfulness in the Workplace.
