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Leveraging Lean Six Sigma to Improve and Sustain HR Operations,[object Object],2011 SOUTH TEXAS HUMAN RESOURCES SYMPOSIUM,[object Object]
Introductions,[object Object],David Brunet, DLZP Group, LLC,[object Object],Mark J. Gavora, Arcamoda, LLC,[object Object],Specialized in the implementation of Oracle ERP products,[object Object],PeopleSoft,[object Object],JD Edwards,[object Object],eBusiness Suite,[object Object],Total Quality Manangement Expert,[object Object],Specialized in improving and updating HR Operations,[object Object],Fortune 500,[object Object],Regional companies,[object Object],Government,[object Object],Business Transformation Expert,[object Object]
Demographics,[object Object],Midsized mechanical supply company ,[object Object],5,000 employees,[object Object],$1 billion in revenue.,[object Object],Issues,[object Object],Increasing turnover.  ,[object Object],Workplace satisfaction is not terrible, but definitely has room for improvement,[object Object],Recent audit ,[object Object],Opportunities in a number of departments ,[object Object],Particular emphasis on HR,[object Object],The Senior HR Executive who was the original HR manager retired and was just replaced,[object Object],Setting the Stage--Domron,[object Object]
The Teams,[object Object],Enterprise Resource Planning,[object Object],Organizational Effectiveness,[object Object],Reports to Director of Application Services,[object Object],Functional Responsibilities,[object Object],Application Development,[object Object],Implementation,[object Object],Prioritization,[object Object],Maintenance,[object Object],Key Partners,[object Object],Directors with ERP budgets,[object Object],Infrastructure,[object Object],Database,[object Object],Helpdesk,[object Object],Reports to Director of HR Operations,[object Object],Functional Responsibilities,[object Object],Process Improvement,[object Object],Leadership Development,[object Object],Change Management,[object Object],Assessments,[object Object],Key Partners,[object Object],HR Departmental Directors,[object Object],Employee Learning,[object Object],Business Unit Executives,[object Object]
I intend to get HR’s performance and value in line.,[object Object],We have a wide barn to shoot at and I’m new.,[object Object],Based on results, the CIO has talked with me about making HR a priority and I agree.,[object Object],We want to work on a strategy for making HR a world-class function.,[object Object],I want you all to get us started by identifying and solving one of our many opportunities for improvement.  ,[object Object],We’ll use your work to get everyone motivated for greater change so pick an opportunity that brings value and makes employees want more change.,[object Object],To help you out, I’ve assigned a six sigma consultant.  She’s a hard worker but you may have to keep her grounded a bit.  Her name is Ira Tonal.,[object Object],Herbert Ray (HR) Balyoo Meeting,[object Object]
Happy to meet you!,[object Object],Mr. Balyoo’s given us a green light.  I think we should move quickly.  ,[object Object],I suggest we start a DMAIC on automating the staffing process.  I hear people hate it and that it is very inefficient.,[object Object],Introducing Ira Tonal,[object Object]
Topic Selection,[object Object],Is Ira correct?  Why or why not?,[object Object],Define,[object Object],MAIC,[object Object]
Get Voice of the Customer data!,[object Object],Avoid employee population,[object Object],Target Key stakeholders (Directors and Executives),[object Object],Define criteria to evaluate candidates,[object Object],Ease of Implementation (Achievability),[object Object],Data Availability,[object Object],Provide Value,[object Object],Partner Willingness,[object Object],Minimal Risk to Satisfaction,[object Object],Eliminate obvious non-candidates,[object Object],Evaluate remaining candidates,[object Object],Topic Selection—Our Answer!,[object Object]
Pugh Matrix,[object Object]
VOC Results – ePay Increases,[object Object]
Three months sounds like an outlier to me.  ,[object Object],We should thoroughly analyze the current state and clearly identify the metrics as well as variance.,[object Object],This should only take a few weeks once we get data.  I recommend we collect three months of data.,[object Object],Wait a Minute!,[object Object],Measure,[object Object],AIC,[object Object],D,[object Object]
Mental Sets: Thinking about things based on certain assumptions which are not necessarily true.,[object Object],What occurs once in June, once in July and twice in August?,[object Object],Functional Fixedness: Thinking about a process, tool or concept without consideration of alternatives or variation.,[object Object],Space Pens,[object Object],Mental Sets & Functional Fixedness,[object Object]
Impact on Our Opportunity,[object Object],Define current state processes,[object Object],Create future state processes (what could or should be),[object Object],Align  technology processes with current state processes,[object Object],Align technology processes with future state processes,[object Object],Technology Implementation is the Primary Driver,[object Object],Assess value of changes resulting from implementation,[object Object],Validate results in context of key metrics,[object Object],Business Transformation is the Primary Driver,[object Object],Technology,[object Object],Technology,[object Object],Current,[object Object],State,[object Object],Future,[object Object],State,[object Object],Current,[object Object],State,[object Object],Future,[object Object],State,[object Object],Results,[object Object],Results,[object Object]
Enter Analysis,[object Object],Showing people the value proposition!,[object Object],Analyze,[object Object],IC,[object Object],DM,[object Object]
Original Types of Waste,[object Object],Defects,[object Object],Inventory,[object Object],Motion,[object Object],Over Processing,[object Object],Overproduction,[object Object],Transport,[object Object],Waiting,[object Object],Creating Value – A Key Concept,[object Object]
Pareto Chart,[object Object],100,[object Object],32,[object Object],88,[object Object],28,[object Object],75,[object Object],24,[object Object],63,[object Object],20,[object Object],Days,[object Object],Percent,[object Object],50,[object Object],16,[object Object],38,[object Object],12,[object Object],25,[object Object],8,[object Object],13,[object Object],4,[object Object],Waiting in Stacks,[object Object],Travel to next Stack,[object Object],Follow-up calls,[object Object],Review and approval,[object Object],Others,[object Object]
Value Stream Process Map,[object Object]
I have created a Governance Team for the larger initiative.  Before you start making changes, I want you to brief us and get buy-in from the Governance team.  ,[object Object],Their support will be critical going forward.,[object Object],H. R. Balyoo,[object Object]
Conducted at the end of each phase in the DMAIC,[object Object],Bring all deliverables completed to date and present in a deck,[object Object],Assures each step in the phase was completed appropriately,[object Object],5W1H questioning process by the sponsor and process owner,[object Object],Tollgate Review,[object Object]
Approved!!!,[object Object],Good Job!,[object Object],Now the work begins!,[object Object],Improve,[object Object],C,[object Object],DMA,[object Object]
Perform Fit/Gap,[object Object],Compares To-Be business process to ERP system capabilities,[object Object],Gap – System needs to be modified or process needs to be changed. ,[object Object],Fit – System can perform the function as desired,[object Object],Configure System ,[object Object],(Develop changes if necessary) ,[object Object],Test System – Unit, System and Integration,[object Object],Build Cutover Plan,[object Object],Go-LIVE,[object Object],Implementation Methodology,[object Object]
Problem: Of the several thousand things that can go wrong during the SDLC, you can bet twenty to forty will occur.,[object Object],Focus shift—What must we do to get a error free go-live,[object Object],Result: Compromises to the familiar and/or vanilla,[object Object],Key Challenge,[object Object]
User Acceptance Testing,[object Object],Successful Go-Live,[object Object],Sustained Improvement,[object Object],Clearly Defined Business Processes with associated workflows,[object Object],Appropriate level of staff training,[object Object],Sufficient time provided to perform testing,[object Object],Preliminary validation of your results,[object Object],Identify what is required to enable to improvement to be successful,[object Object],How will manual pay increase request be handled?,[object Object],How will generalists manage requests to do this work?,[object Object],Is training required for some employees,[object Object],Start planning the successors,[object Object]
Go-Live,[object Object],Build the Roll Out Plan,[object Object],Build the Plans,[object Object],Sufficient level of training provided to staff,[object Object],Clearly defined and managed go-live plan ,[object Object],Frequent and concise communications about upcoming changes,[object Object],Support Team staffed  to handle cutover volume. ,[object Object],Validation,[object Object],How to obtain metrics,[object Object],When to execute (ASARP),[object Object],What to report to whom,[object Object],Risk Mitigation,[object Object],Account for,[object Object],Spontaneous Regression,[object Object],Air Support for handling laggards,[object Object],Contains,[object Object],Risk,[object Object],Description,[object Object],When and where to look for it,[object Object],What to do if it is found,[object Object]
Success!,[object Object],This was a success!  Lets celebrate and see what HR Balyoo has in store for us next.  I think I am off to Disney World!!!,[object Object],Correct?,[object Object],Control,[object Object],DMAI ,[object Object]
Execute the validation strategy,[object Object],Assure process owners buy-in and understand the Risk Mitigation strategy,[object Object],Share the good news,[object Object],Value to the organization,[object Object],What happened to the key adopters and contributors,[object Object],Build on the success to increase momentum,[object Object],Do not consider this a one time event,[object Object],Begin implementing successors per governance direction, roadmap and weighted value,[object Object],Try to keep the initiatives on a small and manageable scale ,[object Object],Succeeding After Go-Live,[object Object]
Lean Six SigmaWrap Up ,[object Object],Did we meet your expectations?,[object Object],Prizes,[object Object],Questions,[object Object],DMAIC,[object Object]

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Leveraging Lean Six Sigma to Sustain HR Operations

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Editor's Notes

  1. MARK: Welcome Concurant Session Have a lot to cover so brief intros then jump right in…David
  2. Both
  3. MARK:HR cost and service ratios are particularly highProcesses are largely unautomatedBusiness partners do not recognize HR as a strategic business partner or enablerTalked with HR and IT directorsScheduled a meeting with two senior managers—Organizational Effectiveness and Enterprise Resource Planning
  4. Both
  5. MARK: Wants to improve HR’s value. Agrees with CIO to make HR a priority. We need to pick a catalyst
  6. DAVE
  7. MARK:Dave, what do you think? Resource poor work heavy. Must be justified. Can only free one resource even if justified.
  8. MARK
  9. DAVE: Candidates across the top. Weights (Not all criteria are created equal). Higher is better.MARK: Measurement scale
  10. DAVE: Ask Mark about a Project Charter. MARK: Hey, we’ve got a lot of stuff to cover in a little time. So what are you saying? Just that a lot of disciplines go over a project charter. It’s not really a novel LSS concept.Manager, Director, HR Policy, Compensation, Finance (Comptroller), Payroll, Vice President, Senior Vice President, President
  11. MARK: Show of hands agree, disagree, Other?!?DAVE: Say, doesn’t she have a point here?MARK: Talk about this being an exception and the point is to have a sufficient baseline to articulate the value at the end. Dave, don’t you have a guiding principal about analysis?MARK: There is another reason to move focus to the future state ASAP…
  12. DAVE: “Okay, now that you have shown the audience the value of your psychology degree, what does it have to do with our issue?”
  13. MARK:DAVE: Okay, you’ve sold me! But isn’t a Pareto Chart a Key LSS deliverable? Isn’t this more of an exception than a norm in the interest of time? Shouldn’t we show it to them?
  14. David
  15. Mark:6 weeks total on average!
  16. MARK:DAVE: Talks about how this helps the implementation effort and why it is better than a current state map.
  17. MARK:MARK and DAVE: Example of 5W1H questioningWhy is the building so cold?
  18. Dave
  19. David: 1st oneMark: RestMitigated by Managing Change
  20. DaveMark: talk about control
  21. Mark:Continue to measure the benefits to ensure the goals have been met and that this information is communicated to the appropriate levels of the organizationYou may need to do a new VOC analysis