How human resources create value for enterprises

How human resources create value for enterprises

Perhaps from the birth of human resources, the debate about the value of human resources has never stopped. The reason for questioning is that human resources do not directly create benefits, but also constantly change the law to spend money and increase costs. Human resources have become not only "resources" but also "costs". The following is my knowledge about how human resources create value for enterprises. Welcome to reading.

First of all, clear the human resource needs of enterprises.

Of course, as human resources practitioners, we have never stopped exploring the value of human resources. Embarrassed, on the one hand, we learn the international frontier theories about human resources, talk about the terms and tools of "being tall" such as talents, leadership, change and transformation, and confidently believe that the height of human resources determines the height of enterprises; On the other hand, I am deeply involved in complicated affairs and questioned by bosses and business people, and I am at a loss.

In fact, this situation is not because the boss is short-sighted and can't see the role of human resources, but because of the influence of the big environment, the role of human resources in the enterprise has not been fully played. This environment is either the business environment of the enterprise, the quality of the enterprise, or the problem of human resources itself. Let me talk about how human resources have created value for enterprises in recent years.

If an enterprise is regarded as an organism, similar to the "hierarchy theory of human needs" put forward by abraham maslow in his book "Theory of Human Motivation" 1943, the demand of enterprises for human resources is also hierarchical, which is what I want to say: human resources are necessary for the development of enterprises. However, enterprises of different development stages and scales have different demands for human resources, and their demands for human resources are progressive from basic human resources to advanced human resources. I think the demand level of human resources can be divided into three levels from basic to advanced, namely functional human resources, operational human resources and transformational human resources, and each level can be divided into three stages: early stage, middle stage and late stage.

At the same time, based on the three levels of human resource demand, the following five assumptions can be put forward:

1. Three kinds of demand exist at the same time, but the demand level of enterprises in different stages and sizes is different; Enterprises at the same level and at different stages have different emphasis on human resources demand.

2. The demand level is not separated, and the demand for human resources of enterprises is gradual from low to high.

Generally speaking, the demand is rising step by step. After the lower demand is met, the higher demand will be highlighted.

4. After a certain level of demand is relatively satisfied, it will develop to a higher level, and a higher level of human resources work will become the focus of demand.

5. The demand of the upper level is based on the demand of the lower level. Without the accumulation of low-level human resources, the direct implementation of high-level human resources can only be "castles in the air."

The following briefly introduces the three levels of human resources:

The first layer, functional human resources: to ensure the normal operation of the daily work of enterprises.

Functional human resources, also known as transactional human resources, are similar to the safety requirements of Maslow's hierarchy of needs theory, and are generally common in start-ups, growth enterprises or small and medium-sized enterprises. At this stage, the demand of enterprise human resources work is to ensure the safety and normal operation of enterprises. The human resources work consists of six modules, focusing on recruitment, mainly focusing on ensuring the company's employment demand, normal accounting and payment of wages, signing labor contracts, handling entry and exit procedures, handling social security, and basic training.

The second layer, operational human resources: consider human resources from the perspective of operators.

Business-oriented human resources are the human resources when enterprises seek more value creation after meeting the needs of functional human resources. Similar to Maslow's hierarchy of needs theory, the stages of solving food and clothing (physiological and security needs) and running towards a well-off society (social needs and respect needs) are generally common in growth-oriented, mature enterprises or medium-sized and large enterprises. The human resources work at this stage is to further deepen the human resources work from the perspective of operators on the basis of functional human resources. Mainly focus on providing effective tools for enterprise management; Provide a basis for business decision-making; Improve the production/work efficiency of enterprises. Specific work, such as: the establishment of human resources data analysis system, the construction of talent echelon, the cultivation of leadership, and the shaping of corporate culture.

The third layer, transformational human resources: promote enterprise transformation and change through breaking, abolishing and establishing.

Transformational human resource is an advanced form of human resource, which is similar to the "self-realization" demand in Maslow's hierarchy of needs theory. It is more common in enterprises in late maturity or recession. Because enterprises can't adapt to the changes of the market because of their own innovation or development, they have stimulated their demand for the driving force of human resources change. At present, the focus of human resources work is to reshape enterprise rules through "breaking, abolishing and establishing", such as directly participating in enterprise strategic decision-making. Promote the transformation of enterprise management strategy; Remodeling corporate culture and other work. In this process, human resources should not only guide and promote the implementation of enterprise transformation, but also ensure the smooth transition of enterprises in the process of transformation.

As the saying goes, "what is suitable is the best", and truly effective human resources should be tailored for enterprises. What kind of human resources should be implemented to match the development stage of enterprises? The level of human resources is not reflected in whether the concept is fashionable, but in whether human resources can really solve the current problems and create value for enterprises.

Therefore, if human resources want to create value, they must understand the reality of enterprises and be close to the needs of enterprises.

Second, know where human resources create value.

After understanding the stage of human resources in enterprises, we should also know where human resources can generally create value.

After years of thinking and research, I think that human resources can create value in the following three aspects: talent, management and culture.

1. Talent

Undoubtedly, the primary responsibility of human resources is talent, and talent management is very popular recently, which also reflects the importance of talent. Generally speaking, talent work mainly includes two aspects: first, talent selection; The first is the cultivation of talents.

The selection of talents is divided into external recruitment and internal selection.

How to choose the right recruitment channel and recruit outstanding talents for the enterprise in time with less cost; How to build a promotion channel for internal talents and select internal talents for enterprises through competitive recruitment and promotion mechanism is something that human resources need to consider.

The cultivation of talents can be divided into enterprise cultivation and talent echelon construction.

Talent training is a universal work to improve the quality and ability of talents in enterprises; The construction of talent echelon is a key and targeted training work, including the training of reserve talents and the development of leadership. These are what human resources should do.

Talent is the highlight of human resources work and the starting point of all value creation of human resources.

Step 2 manage

As the saying goes, to benefit from management, of course, management can create value. Some people will say that human resources is just an embarrassing department, and there are so many middle and senior managers who manage enterprises. How can human resources be responsible for the management of enterprises? The two management meanings mentioned here are different. The management of human resources department is the establishment, perfection and optimization of management mechanism, while the management of middle and high level is carried out under the mechanism of human resources construction, so human resources can be said to be the designer of enterprise management system to some extent.

As far as the enterprises I have experienced are concerned, no matter whether the company has a special business management department or management department, the construction of enterprise system processes can not be separated from human resources, and they are basically based on human resources. Why?

My understanding is that the management of enterprises is nothing more than two aspects: people and things, and everything involving people is related to human resources; And everything involved is related to performance pay; Therefore, all aspects of enterprise management can be related to human resources, and the improvement of enterprise management system and process and the improvement of enterprise management efficiency naturally fall on the shoulders of human resources.

Therefore, the establishment of enterprise management system and the improvement of management efficiency are the second value that human resources can create.

3. Culture

The centralized management of culture in different enterprises may be inconsistent, some in the administrative department, some in the brand department, and some companies have special departments responsible for corporate culture, but I think the human resources department should really undertake the construction of corporate culture. Why do you say that?

First of all, the culture I understand should not only be a good-looking LOGO, stick a few slogans on the wall, shout a few slogans before the meeting, and hold several activities and other superficial things. The true culture should be in the blood of the enterprise, embodied in the internalization spirit of employee behavior and enterprise policy.

The human resources department is the department that formulates policies to guide employees' behavior. Corporate culture is often reflected in what policies the enterprise has and how to treat its employees. We can't dismiss employees without mercy while shouting about the family culture.

In short, culture can sort out such a logic that the core of corporate culture should be internalized in various policies related to enterprises and people, and most of these policies related to people are formulated by human resources, so I think corporate culture is the third largest area where human resources can create value.

Third, clear the value.

Starting from the reality of the enterprise, the human resources suitable for the needs of the enterprise have been upgraded, and work has also been carried out from three aspects: talent, management and culture. What if it is not recognized?

I think the third step is also very important, that is, while creating value, we should also make the value explicit.

So how to make the value of human resources explicit, and how to let the boss see what human resources are for? I have also thought hard about this problem, and I believe that most HR have had similar confusion.

Tracing back to the source, in fact, good or bad and worthless are all compared, and human resources must be compared to reflect value. How to compare? My method is to establish a human resource analysis system, compare the current situation with the past, and compare the situation of enterprises with peers to prove the progress and advancement of human resources. To this end, I spent a lot of energy to study the logical relationship between human resources report and human resources dashboard, indicators, how human resources are related to enterprise management, and how to reflect core indicators concisely and effectively.

According to my experience, human resources indicators can be roughly divided into two categories: relatively dominant indicators and relatively recessive indicators.

Relatively clear indicators are easy to understand and can directly reflect human resources work, such as: recruitment number, recruitment achievement rate, training sessions, training times, performance coverage, changes in total monthly salary, changes in average salary, etc. Compared with the past, these data are more and better, which is basically not a problem in functional human resources enterprises.

If the enterprise has higher requirements for human resources and the operational human resources are rising, it needs relatively recessive indicators. In my actual operation, there are two indicators that are more effective: 1) Labor efficiency refers to the profit/sales per capita created by enterprises; 2) 100 yuan labor, which refers to the proportion of labor cost in the sales of 100 yuan; Simply put, it is "open source and reduce expenditure".

What about transforming human resources? It also provides an indicator: employee participation. Recent research shows that there is a strong correlation between employee engagement and employee output, so it is also very fashionable.

It is a habit to add these indicators to the design skills of some human resources reports or dashboards, and present the data, changes and trends of these indicators succinctly, concisely and beautifully, and persistently present them to the boss. After a period of hard work, I must have gained something.

I have written many articles about how human resources create value. My experience can be summarized as "three knowns" and "two principles":

Three know:

1. Know what kind of human resources the enterprise needs;

2. Know where human resources create value;

3. Know how to make value explicit;

Two principles:

1. Do the right thing;

2. stick to it.

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