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Human Capital Optimization

Human Capital Optimization

 

A major consumer products company requires a redesign/redeployment of its Human Resources functions throughout its domestic divisions

The Challenge

The corporation had a full service Human Resource department within each of its six business units. In the past, each business unit had budgeted and staffed this department with a full menu of human resources functions on an independent basis. Economic conditions dictated a change was needed.

Analysis
         
Traditional solutions proposed a design that simply reduced each affiliate's budge and subsequently reduced associated personnel. Such a design would have jeopardized the overall quality of services, eliminated most training and personnel development efforts, and endangered minority outreach programs of each business unit.
         

The HCp Solution
         
The HCp approach focused on
Maintaining the quality of internal customer service-for the employees,
Preserving the core competencies and specialized expertise, and
Minimizing the effects of change to individual affiliates and their local culture.

We redefined roles and responsibilities, implemented a centralized Core Services Group for all of North America, and advised the innovative (at the time) use of a third party provider for benefits and payroll.

To facilitate the changes and their acceptance, Business Unit Champions were selected to contribute to the new system design and to communicate all elements of the process to their respective organizations. The third party provider established a dedicated division of its own to handle all account issues. Qualified staff of each business unit was offered positions at this third party provider division.

Results

The redesigned function established the Human Resource area as a proactive business partner within the corporation.

Key outcomes:

Recruitment and employee relations were retained at the business unit level, assuring local control
Specialized expertise was preserved by selecting staff for the centralized Core Services Group from individual affiliates
Best practices were shared among the business units, through the Core Services Group.
Each affiliate's culture was recognized and creative solutions were customized to suit
Administrative costs were reduced up to 25% for each business unit.