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Improving the efficiency of personnel management

Increasing business return on investment in personnel

Do you need to improve staff efficiency and productivity?

We can on short notice:

  • Improve transparency of HR management processes, increase flexibility of the organizational structure, in line with market objectives
  • Establish simple mechanisms, tools and documents to regulate activities,
  • Introduce adequate and motivating remuneration for labor
  • assess the level of professionalism of employees
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When is it relevant to improve the efficiency of the HR management system?

Increased productivity, production growth required
Non-working (non-transparent, formal, complex) incentive system
Optimization of FOT/number of employees is necessary
Absent (outdated) labor standards

Lack of order in the structure and functions of the company

There are expenses for personnel training, but the effect of the company's investment is not clear
Irrelevant descriptions of functions of subdivisions and employees, no fixation of authority and responsibility
No objective understanding of the labor market and best practices among competing employers
Staff are not interested in performance results. No metrics for calculating employee performance and company results
A large number of unused reports, a lot of manual labor in processing HR management data

Helping you get results

1. Improvement of personnel labor productivity

Effective HR management helps to optimize work processes and improve work organization. This leads to an increase in the amount of work accomplished in the same period of time without additional stress for employees.

2. Increased output, improved product quality, reduced losses, increased company profits

When employees know their tasks and have the necessary resources, they can focus on the quality and efficiency of their work. This leads to fewer defects and errors, increased output and, as a result, higher profits for the company.

3. availability of labor standards for products (SKU), process, clear understanding of costs, quality budgeting, calculation and planning of headcount for the scope of work

Defining labor standards and norms allows for accurate budget planning and cost optimization. It also helps in calculating the optimal number of employees to perform tasks, which contributes to the efficient use of labor resources.

4. Reducing the cost of attracting, retaining and replacing personnel

Effective HR management includes developing strategies to retain talent, which reduces the cost of finding and training new people. Reducing employee turnover also helps retain corporate knowledge within the company.

5. Remuneration adequate to the contribution of the position to the company's business result

A fair remuneration system based on each employee's contribution to the overall result motivates personnel to achieve better results. It also helps to attract highly qualified specialists.

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6. Relationship between employee performance and the company's business result

Analyzing and evaluating the contribution of each employee to the company's success makes it possible to adjust management and motivation strategies. Understanding this interrelationship contributes to more targeted personnel development.

7. Availability of performance evaluation metrics for each function/process/position

The development of clear performance evaluation criteria enables objective analysis of task performance. This helps to optimize processes and improve overall productivity.

8. Understanding of labor market trends and flexible response to changes

Keeping track of and adapting to changes in the labor market allows the company to be competitive in attracting and retaining talent. Flexible response to trends facilitates innovative development and growth of the company.

9. Formation of labor conditions and motivation system to attract applicants with high level of soft and hard competencies development

Creating attractive working conditions and motivational programs makes the company a desirable place to work for highly qualified specialists. This ensures an inflow of new ideas and approaches to problem solving.

10. Creation of a system of continuous personnel development as a motivating component using modern and classical methods: mentoring, coaching, mentoring, etc.

Investing in employee development improves employee skills and promotes personal growth. Using a variety of training methods makes the development process interesting and effective.

11. up-to-date description of the functional and authority level of employees, building a system of interrelation "company strategy - organizational structure - functions of subdivisions/employees - motivation - labor legislation".

A clear definition of roles and responsibilities allows each employee to understand his or her role in achieving common goals. Alignment of the company's development strategy with the organizational structure and staff motivation is the key to successful implementation of corporate objectives.

Our solutions to improve the efficiency of the HR management system

1. audit of the personnel management system

SYMPTOMS
  • There are separately organized processes, but there is no holistic HR management system
  • Ineffective personnel management system
  • A perception of staff redundancy in a number of units
  • The variable part of labor remuneration is perceived by the personnel as obligatory and has no motivational impact
  • A large number of types of payments, regular payment for overtime work
CONCLUSION
  • Formation and direction of information request: RTW, strategy, organizational structure, organizational chart, functional maps, regulations on subdivisions, job descriptions, regulations on labor remuneration, regulations on bonuses and other local normative documents (LND) in the field of personnel management
  • Interviews with the customer's stakeholders
  • Visit to the customer, familiarization with production processes
  • SWOT analysis of the HR management function
  • Benchmarking by labor market reference group companies (structure of fixed and variable parts)
  • Description of the project outcome, format and list of reporting materials
  • Development of the project roadmap
  • Formation and presentation of the report
RESULTS.
  • Roadmap with several clear scenarios of project development and risks
  • Report in PDF format
DATES.

  • 2-4 weeks

2. Improving organizational effectiveness

SYMPTOMS
  • Regulations on structural subdivisions have not been updated for several years
  • Existing documents are formal in nature, do not coincide with the real activities of employees
  • The headcount planning process is not regulated, each manager can ask for additional resources to accomplish tasks
  • New positions with unclear functionality are constantly appearing
CONCLUSION
  • Study of the state of organizational design and organizational development in the company
  • Study of documents regulating the structuring of functions
  • Conducting interviews with heads of functional units
  • SWOT analysis of status, suggesting steps to improve organizational effectiveness
  • Description of functions and development of necessary LNDs in "as is" format. If necessary, development of a "how it should be" version
  • Training managers to describe functions. Creation of functional maps. Agreeing the content of documents with employees and functional managers
  • Creation of a document on methodology and regulation of organizational design processes
RESULTS.
  • Eliminating duplication of processes and functions
  • Consistency of actual performance of functions and description of activities in all regulatory LNDs
DATES.

  • 2-3 months

3. Comparative analysis of the current WP with the labor market

SYMPTOMS
  • Prolonged closure of vacancies
  • Lack of a steady flow of candidates
  • High level of staff turnover, exceeding the industry average
  • Layoffs of key personnel
CONCLUSION
  • Compiling a list of items for comparative monitoring
  • Functional description of the positions
  • Compiling a list of companies in the reference group (25-40), taking into account the specifics of the business and the region of presence
  • Formation and coordination of the report format with the customer
  • Conducting research: interviews of HRD, C&B, candidates for vacancies, etc., researching reports and other information from public sources
  • Submission of the report to the customer
RESULTS.
  • Alignment of the company's employees with the labor market
  • Understanding the location of the customer's offer relative to other employers
DATES.

  • 3-4 weeks

4. Standardization of the number of personnel. Development of labor standards

SYMPTOMS
  • Lack of up-to-date labor standards
  • Perception of excessive headcount
  • No headcount calculator for activities and product types
  • Regular payment for overtime
CONCLUSION
  • Diagnosis/audit of the current state of production processes, verification of standard operating charts
  • Formation of rationing methodology
  • Conducting normalization and timekeeping procedures. Processing the results
  • Development of a headcount calculator, application of labor economics analysis methods, equalization of personnel load
RESULTS.
  • Calculation of headcount. Optimization of headcount
  • Planning of headcount and FOT per unit of production - Determination of labor intensity and cost of each type of work
  • Establishing a normative level of labor intensity
  • Possibility of predictive planning of headcount for other production processes
  • Increase in labor productivity
  • Optimization of FOT expenses 25-40%
DATES.

  • 2-8 months.

5. Improving the efficiency of the labor remuneration system

SYMPTOMS
  • Staff do not have an understanding of the impact they have on business results
  • The motivation system consists of a large number of payment options: piecework, hourly, etc.
  • There is no link between pay and the contribution of the functions of the position to the company's business result
  • Formal payments of the variable portion
CONCLUSION
  • Formation of an information request to provide the company's documents in terms of labor remuneration: uploads from a payroll calculation program (e.g., 1C), regulations on labor remuneration, regulations on bonuses, staffing table, etc.
  • Formation of a working group from the customer's personnel. Training of the customer's personnel in labor remuneration structuring methodologies
  • Development of the structure of the fixed part of labor remuneration (grading)
  • Development of the variable part of remuneration (KPIs)
  • Development of a system of social payments
  • Mathematical modeling of the system
  • Development of documents: KPIs regulations, labor remuneration regulations, bonus regulations
  • Training of functional unit managers on the new remuneration system: formulating grades and KPIs, setting goals, providing feedback to staff
RESULTS.
  • Effective motivation system aimed at increasing labor productivity
DATES.

  • Up to 6 months

6. Building business processes

SYMPTOMS
  • Processes are locked into specific individuals. If an employee leaves/sickness/vacation, the company feels it acutely. No standardized processes
  • Frequent workload imbalances - some employees are overloaded, some are waiting for tasks to be completed by another department/shop
  • There are processes that only highly paid employees can perform. There are many such processes
  • Frequent recycling
  • High staff turnover + problems with closing vacancies
  • Lack of work standards when introducing a new employee, lack of criteria for successful completion of the probation period
CONCLUSION
  • Diagnosis/audit of the current "as is" status
  • Execution of industry benchmark + analysis
  • Harmonization of roadmap + areas of responsibility
  • Formation of the process map "as it should be", coordination with the customer of the obtained results
  • Development of regulations + coordination with the customer
  • Development of a program to reduce staff resistance. Training of personnel to work under the new system
  • Development and implementation of key procedures
  • Developing a roadmap of next steps + scaling solutions
RESULTS.
  • Reducing product/process costs by having less skilled employees perform more complex operations
  • Improving the quality of products and services
  • Reduced dependence on specific employees
  • Decrease in turnover
DATES.

  • 2-6 months.

7. Development of HR management strategy

SYMPTOMS
  • There are separate HR management processes: recruitment, remuneration, training. But there is no connection of the processes with business goals and the company's strategy
  • There are initiatives in HR management (automation of HR processes, organization of a controlling group, etc.), but there is no calculation of the economic effect of the initiatives
  • No metrics to assess the efficiency of HR processes
  • Inconsistency with the labor market trends of the industry, region, etc.
CONCLUSION
  • Formation of an information request to provide all existing documents and regulations in the field of HR management: company strategy, HR strategy, organizational structure, HRMS, staffing table, regulations on structural divisions, regulations on remuneration, regulations on recruitment and other local regulatory documents.
  • Conducting interviews with the heads of functional departments. SWOT analysis
  • Providing results to company executives in a risk ranking format
  • Formation of a roadmap to improve the efficiency of the HR management system and creation of an HR strategy. Support of implementation, if necessary
RESULTS.
  • Increase in personnel productivity
  • Optimization of headcount and FOT
  • Improving the culture of internal communications
  • Strengthening the employer's brand position in the labor market, reputation
  • Improving the climate in the company
  • Improvement of HR metrics compared to the initial ones (reduction of staff turnover, reduction of vacancy closing time, etc.)
DATES.

  • 2-4 months.

8. Building a system of personnel evaluation and development

SYMPTOMS
  • The company does not have a budget for personnel training, as there is no need to improve the skill level of employees
  • The company has a training system in place, but there is no obvious link between the company's financial performance and the training budget
  • Staff appraisal is formal and not linked to development programs
CONCLUSION
  • Formation of an information request for provision of company documents regulating activities in the field of personnel training and assessment: regulations on personnel training, regulations on personnel assessment, model of corporate and professional competencies
  • Diagnosis/audit of the current state. Analysis of metrics: number of trainees, training schedule, organization of mandatory training, etc.
  • Industry/regional benchmarking + best practice analysis
  • Formation of a working group from the customer's side
  • Development of personnel evaluation system with the use of cases on professional specifics. Evaluation of the company's personnel
  • Formation of the training system in correlation with the assessment results. Application of the most modern and effective methods of development: coaching, mentoring, mentoring, self-study.
  • Evaluation and training of mentors, development of a mentor motivation system aimed at increasing the efficiency of the personnel development process
  • Automating the learning and development process
RESULTS.
  • Improvement of production performance, staff qualification and competence levels
  • Personnel training and development as a tool for increasing employee engagement and loyalty
DATES.

  • 3-10 months

9. Personnel support

SYMPTOMS
  • There is no understanding of the quality of HR documentation execution
  • It's been a long time since human resources professionals have had specialized training
  • There are complaints about errors in personnel documents
  • Problematic situations in the interpretation of the Labor Code cause difficulties for personnel officers
  • Conflict situation with an employee, appeal to the labor inspectorate and court, need to represent the employer's interests in controlling structures
CONCLUSION
  • Signing NDA. Obtaining access to documents. Diagnostics/audit of the current state
  • Describing the current status and defining a roadmap for eliminating errors in HR document flow
  • Support of personnel record keeping (if necessary), regular audits of HR managers' performance
  • Conducting professional development courses in the formats of lectures and question-and-answer sessions for HR specialists
RESULTS.
  • Improving the quality of HR document flow in the company
  • Error correction
  • Resolution of conflict situations in favor of the employer
DATES.

  • 1 or more months

10. Promotion and strengthening of the employer brand

SYMPTOMS
  • No focused work on employer branding
  • Negative feedback about the company
  • Lack of a system for promoting HR initiatives within the company
  • No surveys (engagement, etc.) or no handling of survey results
CONCLUSION
  • Diagnosis/audit of current status
  • Formation and preparation of an expert contact group from the customer's side
  • Formation of research methodology. Conducting in-depth interviews with company personnel
  • Developing an employer brand identity
  • Formation of a program to strengthen the external positive image of the employer
  • Development and implementation of a program of regular internal and external studies
RESULTS.
  • Reducing the level of staff turnover
  • Creating a unique corporate culture
  • Increasing the efficiency of HR programs implementation
  • Attracting employees with a high level of competence development to the company
  • Improvement of production performance
DATES.

  • 2-4 months.

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