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HR Business Capabilities Model Accelerates Transformation

Capstera’s team of specialists in business architecture have seen how HR Business Capabilities Model accelerates Transformation, as a part of a holistic approach. (NOTE: Capstera offers a Human Resources Capabilities Map – a paid product.)

We all can agree that the human resources function is in the throes of significant change, mostly for the better. HR is no longer just a keeper of employee records: It is a multi-dimensional function chartered with the holistic human capital management. It includes a varied set of services, requiring diverse capabilities, skills, and competencies to successfully manage tasks such as recruiting, onboarding, compensation, benefits, employee development, succession planning, and ongoing employee engagement.

However, the HR function is replete with several challenges – complex systems, convoluted processes, cumbersome procedures, and challenging experiences.  Some of these difficulties are a natural evolution of a profession as old as the concept of business itself. Others are due to mergers and acquisitions, and a patchwork of legacy systems and processes.  Last but not the least, the employee expectations around HR services and the experience of receiving such services. Irrespective, the status quo is not acceptable.

To embark on a human resources business transformation, a strategic blueprint of what HR function does and how it does it is an important consideration. As a part of the business architecture, two of the most critical deliverables are an HR business capabilities Model and an HR Value Stream model.  We will address the value derived from HR Value Stream mapping in a separate blog post. In this post, we will focus on how Human Resources Capabilities help influence and drive the HR transformation.

An HR Business Capabilities Model includes a logical grouping of HR capabilities defined at multiple levels of granularity.   Once there is an entirely complete and vetted HR capability model, the HR transformation teams can use the model to do the following:

How an HR Business Capabilities Model helps in an HR Transformation Program:

  • Capability Prioritization: Prioritize which HR capabilities are essential to the firm and where the emphasis should be regarding
  • System Footprint: Juxtaposing the applications and systems against HR capabilities to understand the coverage, sufficiency, and footprint of technology enablement of HR functions.
  • Capability-based Needs Assessment: As HR function is a shared service across business units, even there is a standalone business unit support, a capability-based needs assessments could bring together what different groups need in each capability cluster.
  • Capability-based Vendor Evaluation: Evaluate vendors based on the HR capabilities which are essential to the firm and how the vendor solution meets or does not comply with the requirements.
  • Capability-based Roadmap: A roadmap of what changes are required to various HR capability areas.

HR Business Capabilities Model

 

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