What should digital human resource management do?

Digital human resource management is a new way of human resource management. Do you know what digital human resource management should do? The following is the knowledge I brought to you about how to do digital human resource management. Welcome to reading.

Link financial statements with performance.

HR likes to emphasize that human resource management is a solid foundation and cannot directly generate financial benefits. An outstanding performance is that they like to highlight their majors, and the implication is that "you are not in our line of work." You don't understand what we do, but it will definitely be useful. " This is obviously not the rhythm of playing with other business departments. Specialized division of labor has been in the last industrial economy era, and the boundary of human resource management will become more and more blurred and embedded in business model design. Haier is a typical example. They are promoting the reform of "enterprise platform, employee customization and user personalization". Do you think this belongs to human resource management design or business model design? Both!

With the iteration of business logic, the causal relationship between people and human resource efficiency becomes more and more obvious, removing the ambiguity of the industrial age. First, because of the arrival of the era of everyone, the transaction cost of individual collaboration has been minimized, and we can quantify individual output. Second, due to the high uncertainty of the market, human resource management is forced to give more definite output. This is why many bosses are becoming more and more utilitarian now, and more and more HR is required to speak with results. There is a subtext in the boss's mind: "You tell me, I spent so much labor cost, what I bought!" " "

Therefore, since the barriers of HR profession have been eliminated, and since HR professionals are increasingly required to give definite output, they should communicate in everyone's language-financial statements. In fact, bosses won't recognize the so-called "contributions" that can't enter the three tables (balance sheet, income statement and cash flow statement). From this perspective, the indicators such as per capita receivable, per capita cost, per capita profit, and labor cost-input ratio are what bosses care about. Furthermore, we should consider the relationship between employees' direct output and input, such as the number of customers served by each employee and the number of mistakes in serving 100 customers. This may make HR feel pressure, but linking these indicators and proving that you can influence them is the right way.

Imagine that you tell your boss, "This year, the ratio of labor cost to production has increased by 20%. This is due to two reasons: First, after the new round of adjustment of subsidiary managers, the operating performance of new employees has generally improved by 30%, which is 24 percentage points higher than that of unadjusted employees and has become an important growth pole of the company's performance. Second, on the premise of a 25% increase in business scale, the increase in the number of employees and labor costs is controlled below 15%, which is 8 percentage points lower than the same business growth scale (25%) in previous years.

"See? This is the rhythm of playing big! "

Present the distribution of people in the organizational model.

The traditional false assumption is that all human states will affect performance. In fact, the process from "people to human resource efficiency" is based on the organizational model, which determines "what kind of employees should play what role where". In other words, HR people need to put people in an organization to see the influence of the "distribution" of their personal characteristics in the organization, what kind of interaction may be formed, and whether this influence is positive or negative, rather than evaluating individuals in isolation. Such indicators not only reflect the rationality of human distribution, but also include the rationality of organizational model design. The turnover rate, age distribution, department age distribution, talent reserve rate and talent growth rate all explain the various "distributions" of people in the organizational model.

A common misunderstanding is that we like to count a superficial data. For example, it is boring to count the average age of employees in a company. A large enterprise with an average age of 45 is not necessarily lifeless. It is possible that there are many employees over the age of 50, and these employees are distributed in idle posts (the adjustment of the "blood exchange plan" of enterprises), which increases the average age, but does not reduce the vitality of enterprises.

In this example, there are two processing methods at this time. Firstly, the employees in this dimension are divided into different groups of people aged 20-25, 26-30, 365,438+0-35. It is much more useful to count the number of employees in these groups and find out the age distribution than the superficial data of average age. In addition, we can infer the influence of this distribution according to some assumptions. What is certain is: first, newcomers will have an impact on the elderly and make them have a sense of competition; Second, assuming the same old people, the influence of 100 newcomers is definitely greater than that of 10 newcomers. Then, we can set up an algorithm to quantify the competitive atmosphere of this enterprise from the perspective of age. I call this algorithm "vitality curve value".

Second, adding other dimensions of personality characteristics for contingency analysis will make the originally useless data generate value. For example, it is not meaningful to evaluate the academic structure of employees in an organization. Once we add the dimension of post distribution, we may find that a large number of highly educated talents accumulate in management positions, and the positions are generally low, which is a kind of "exploitability". We can imagine how valuable this analysis will be if the data of multiple dimensions are superimposed. For example, we can regard the top 10 management positions in enterprises with poor performance as "high-challenge positions". If employees' education and labor costs are only in the top 30 of such positions, then this distribution is not reasonable enough.

Reflect the running state of human resource management function.

Having a reasonable organizational model, high performance characteristics of employees and reasonable distribution of employees in the organizational model does not mean that high performance can be automatically generated.

First of all, the labor force has inherent mobility, including inflow, outflow and internal flow. Therefore, the allocation functions of human resources (recruitment, elimination and redistribution) must play a role in ensuring the rationality of distribution and giving employees "job opportunities".

Second, employees' behavior has both laziness and selflessness that needs to be mobilized. It always needs the encouragement and restraint of human resources system. Therefore, the incentive function of human resources must play a role in making employees "willing to do it".

Third, employees' own ability and knowledge reserves are also insufficient, and the training function of human resources must play a role in making employees "capable". The intervention of human resource management function (through human resource system or policy) is an "external force" imposed on organizational model and employee distribution, which is actually the main work of existing human resource management. Take stock of the extent to which these functions have played a role and in which direction, thus forming an overall logical chain with data from other dimensions.

The problem now is that HR's inventory of human resource management functions "emphasizes procedure over substance", and only records some traces of work, ignoring the "external force" to be observed. What we want to know is, what is the trend of personnel flow in this enterprise, who has come in, and according to what standard, is it upward flow or downward flow? Is the incentive of this enterprise real, or is there a free ride and a safe haven? Does the training background of this enterprise have strong support for employees, or is it willing to let employees learn while doing? From the indicators, the new recruitment rate, turnover rate, rotation rate, promotion rate and demotion rate are indicators reflecting the deployment function; Performance range, average difference, salary distribution curve and performance salary distribution curve are indicators reflecting incentive function; Staff training penetration rate, per capita training hours, training hours of key talents, per capita input training cost, per capita input training cost of key talents, training hours distribution curve and training cost distribution curve are indicators reflecting training functions.

Take the configuration function as an example. Netflix is a high-speed mobile company, and their personnel iteration is very fast, ensuring that the company has top talents at any time. For another example, an enterprise I coached was completely performance-oriented. Although personnel are closed to the outside world, internal adjustment and downward adjustment are very frequent. Although the vitality curve of their age and teacher's age is not outstanding, the internal competitive atmosphere is unparalleled.

Have a big picture and get rid of obsessive-compulsive disorder.

With the above three aspects, digital human resource management is on the right track in form. However, human resource management does not have a standardized transmission mechanism like financial management, so data is very important and indicators are very important, but people who use data and indicators are more important. The situation of each enterprise is different, the generation mechanism of human resource efficiency is different, and even the human resource efficiency concerned is different. Therefore, HR should give up the hope of following the plan (which some institutions in the market are trying to sell) and find out its generation mechanism from the end based on the human resource efficiency pursued by enterprises.

What I am most helpless about is to see the "obsessive-compulsive disorder" of some HR people. For example, some enterprises are committed to becoming the "best employers", so they aim at "employee satisfaction", pay close attention to "ranking the best employers", and even shout the slogan "employees don't want to leave when they come". This is wrong in enterprises that pursue innovation. If enterprises demand innovation, there must be hard standards and some paranoid guidance for talents, which will not satisfy all employees. Moreover, if employees really don't want to leave, enterprises will largely lose the opportunity of talent exchange (the cost of eliminating employees will be high), and this opportunity is often an important bargaining chip for innovation.

For another example, some enterprises are committed to becoming schools for talent training, and carry out "all-staff learning", claiming to "deepen and thoroughly" the training. This is also wrong in some enterprises. If 20% star employees create 80% performance, at this time, the training penetration rate is still regarded as an important assessment indicator, and this logic is inherently problematic. For another example, if the cost of recruiting some molding talents in the market is far lower than the cost of recruiting blanks for training, why should we establish a gorgeous training system? In addition, some enterprises lack molding knowledge in new industries and new markets, and employees acquire knowledge mainly through "learning by doing". At this time, it is even more problematic to emphasize the per capita training hours of individuals.

To put it simply, all roads lead to Rome, and it is not necessarily the most appropriate to drive your own road with someone else's car. Taking the efficiency of human resources as the goal, we must deduce what kind of team we need and what kind of functions we need. The indicators among the three links must be closely meshed and have a strong causal relationship. Some indicators seem to have causality, but when the equation is established through construction and the data is put in, it will be found that causality does not exist at all, or even has no correlation, which requires going back and questioning the hypothesis. The reality of the enterprise will subvert all kinds of dogmas in textbooks, which is a reality, but it is incomprehensible to HR people who only bury themselves in their work and will not look up at the road.

When HR people use their own "big picture" to string data into one or several logical chains from the aspects of functional operation (human resource mechanism), team status (reflecting the distribution of personnel in the organizational model) and human resource efficiency (linking financial indicators), they will find that the key nodes are stuck and the contribution of human resource management is controlled because of the strong causal logic between the data. Putting these indicators representing key nodes together is the "Human Resource Efficiency Dashboard (HEIP)", which is why I advocate using this tool to do digital human resource management. The concept is simple, but the content of the concept is not. Most of the traditional indicators are disappointing, so I have to design some algorithms myself. Think about it, feeling different is also a kind of happiness. You are also welcome to book the open class GHR20 15 "Data-driven Human Resource Efficiency Improvement", which will be held in Beijing, Shenzhen and Shanghai, and explain in detail what is the human resource efficiency dashboard, what is data-based human resource management and how to do it. Only 50 people/period. Please send an email to service@ghrlib.com or WeChat to reply "Subject+Company Name+Contact Phone+Email" to reserve a seat.