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Hr Model
HR Centre of Excellence

HR Models – lessons from best practice
Initial desk research October 2009
Nick Holley

© Henley Business School 2009

www.henley.reading.ac.uk

Contents

Introduction The classic HR model
Over the last decade a classic model, based on the work of Dave Ulrich et al, has emerged that has three elements (recently he has added to the model but these three remain the core). We don’t need to go into detail but we will simply highlight these three key elements: business partners, shared services and centres of expertise: Business Partners Establish relationships with customers line/ business units Contribute to business unit plans Shared Services Deliver HR services Manage routine processes effectively and efficiently Often using a single HRIS, intranets to provide basic information and call centres for specific queries May be outsourced Back Office Centres of Expertise Create HR frameworks Develop and introduce strategic HR initiatives. Specialised areas such as compensation and benefits, employee relations, learning and development, talent management, OD, staffing, diversity, and workforce planning Often depend on the business partners to roll out programmes to the business.

Develop organisational capabilities Implement HR practices Represent central HR Log needs and coordinate HR services Front Office

In this report we are not seeking to reinvent this model but to review how to implement it effectively. Like so many apparently simple models we believe the model is sound but that understanding the complexities that lie behind it, and implementing it in a way that is relevant to each organisation specific context, are the real challenges. This report is based on extensive desk research over the last few months and will be followed up with a series of interviews to look at the latest view ‘from the street’. (CIPD 2009 Market Wire 2005 Kates 2006 Lawler 2006 Porter 2006)

The challenge of deciding what HR model
In adopting



References: • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • Acerta Evaluating the Ulrich model 2009. Bartlett, C and Ghoshal. S. Managing Across Borders: The Transnational Solution. Boston: Harvard University Press. 1989. Beaman, K, Guy. G “Transnational Development: The Efficiency Innovation Model.“ IHRIM Journal. 2003. Beaman K The New Transnational HR Model: Building a Chaordic Organization 2003. Business Week New Era for HR Shared Services 2007. CIPD People and Technology Survey 2005. CIPD HR business partnering 2008. CIPD HR shared service centres 2008. Caldwell, R. “The Changing Roles of Personnel Managers: Old Ambiguities, New Uncertainties”, Journal of Management Science, 2003. Corporate executive Board HRBPs Matter Most to HR 2007. Corporate executive Board Building Next-Generation HR–Line Partnerships 2007. Corporate executive Board Critical Success Factors for Centers of Excellence 2008. Corporate executive Board Build the Business Case for Investing in Developing HR Business Partner (HRBP) Skills 2009. Dalziel S Strange J Steps to successful HR business partnering 2007. Francis, H. and Keegan, A. “The Changing Face of HRM: In Search of Balance”, Human Resource Management Journal,. 2006. Hackett: Group "New Era for HR Shared Services” 2007. Haupenthal, E Lau, V Barriers and open doors with “HR Business Partners” 2009. Hock, D. Birth of the Chaordic Age. 1999. Hills, J Trade secrets: Making it as an HR business partner 2006. Hope Hailey, V., Farndale, E. and Truss, C. “The HR Department’s Role in Organisational Performance”, Human Resources Management Journal, 2005. Kates, A (Re)designing the HR organization. 2006. Lawler, E, Boudreau, j and Mohrman, S. Achieving Strategic Excellence, An Assessment in Human Resource Organizations 2006. Lawler, L, Mohrman, S. Creating a Strategic Human Resources Organization: An Assessment of Trends and New Directions 2003. Market Wire New Business Model Offers to Reinvent Human Resources, 2005. Mercer Raising its game: HR transforms to play a central role in global business success 2009. Orme, J. People Management 2009. Phillips, SHR thinkers: The guru circuit 2006. Pitcher, G Backlash against human resources business partner model as managers question results 2008. Porter, P Have you got what it takes to become a valued business partner? 2005. PricewaterhouseCoopers Saratoga; Shared Services Index 2006 for 30 companies in the United Kingdom and Europe 2006. Reilly P HR Shared Services and the Realignment of HR 2000. Reilly, P HR Transformation - Pitfalls of the Ulrich model 2006. Reilly,P.,Tamkin,P.and Broughton,A..The changing HR function: A research into practice report2007. Sparrow, P, Hesketh, A, Hird, M, Marsh, C and Balain, S. Reversing the arrow: using business model change to tie HR into strategy Centre for performance led HR Lancaster Uni 2008. Storey, J. Developments in the Management of Human Resources. Oxford: Blackwell Publishing. 1992 Sullivan, D. “Managers, Mindsets, and Globalization.” IHRIM Journal. 2001. Tamkin, P., Barber, L. and Dench, S. From Admin to Strategy: The Changing Face of the HR Function. Institute of Employment Studies Report, 332.IES. 1997 Transact HR The Ulrich Model: Theory versus Practice 2007. Ulrich, D. Human Resource Champions. Boston: Harvard University Press. 1997. Ulrich, D. and Brockbank, W. The HR Value Proposition, Harvard Business School Press. 2005. Ulrich, D., Brockbank, W., Johnson, D. and Younger, J. “Human Resource Competencies: Responding to Increased Expectations”, Wiley Periodicals Inc. 2007. Ulrich, D and Brockbank, W The business partner model: 10 years on - Lessons learned 2008. Ulrich, D., Brockbank, W., Johnson, D. and Younger, J. The next evolution of the HR organization 2008. Ulrich, D, Brockbank, W, Allen, J, HR Transformation, TMTC Journal of Management 2009.

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