Module 3: Overview

Discussion: Performance management at the

corporate level;
Reading 3: Aligning service strategy through
super-measure management
Video: Balanced scorecard: managing future
performance
Mini case: The hotel Paris international
Case Study B: Verizon Communications, Inc.:
Implementing a human resources scorecard.
The Balanced Scorecard Approach
Basic Model of
How to Align
HR Strategy
and Actions
with Business
Strategy
Figure 39
Translating
Strategy into
HR Policy and
Practice
The HR Scorecard Approach
HR scorecard
Measures the HR functions effectiveness and
efficiency in producing employee behaviors
needed to achieve the strategic goals.
Creating an HR scorecard
Must know what the companys strategy is.
Must understand the causal links between HR
activities, employee behaviors, organizational
outcomes and performance.
Must have metrics to measure all the activities
and results involved.
Strategic HR Relationships
Figure 310
HR
Activities
Emergent
Employee
Behaviors
Strategically
Relevant
Organizational
Outcomes
Organizational
Performance
Achieve
Strategic
Goals
The HR
Scorecard
Approach
to
Formulating
HR Policies,
Activities,
and
Strategies
Figure 311
Source: Copyright Gary Dessler, Ph.D.
Outlining the Value Chain
Value chain analysis
Identifying, isolating, visualizing, and analyzing
the firms most important activities and
strategic costs.
Identifying the primary and crucial activities
that create value for customers and the related
support activities.
Each activity is part of the process of designing,
producing, marketing, and delivering the
companys product or service.
Shows the chain of essential activities.
Prompts future questions.
Simple
Value
Chain
for the
Hotel
Paris
HR Scorecard
for the Hotel
Paris
International
Corporation*
Figure 313
Purposes of Performance
Management Systems
Facilitate employee development
Determine specific training & development needs
Assess individual & team strengths &
weaknesses
Determine appropriate rewards & compensation
Employees must understand & accept
performance feedback system
Enhance employee motivation
Purposes of Performance
Management Systems
Facilitate legal compliance
Documentation is strong defense against
charges of unlawful bias
Facilitate HR planning process
Alert organization to deficiencies in overall
level & focus of employee skills
Strategic Choices in Performance
Management
Reciprocal Relationship Between T&D
& Performance Management