HR Operational Excellence is the execution of the strategy more consistently and reliably. An operationally excellent HR function will have better customer satisfaction, lower operating costs, increased productivity, and better efficiency, thereby creating higher value for its customers (employees, candidates, managers, business leaders). HR Operational Excellence is about managing processes and services to consistently deliver best-in-class results. It involves identifying process and service improvement initiatives by deploying Lean Six Sigma thinking. By adopting operational excellence tools and principles, HR functions can create value for their internal and external customers by improving HR policies, processes, services, technology, and data. Operationally excellent HR functions strive for better employee experience, process efficiency, consumer-grade people services, and data-driven people decisions. They automate admin-heavy HR processes using next-generation technologies like RPA/AI, digitalize services with excellent user experience design, and create reliable people data to drive quality people decisions.
To assess HR processes comprehensively, a 3-step approach is adopted:
1. Process Step Review: Analyzing the current state of HR processes up to Level 5 using process taxonomy as a point of reference.
2. Data Analysis: Evaluating data related to HR processes.
3. Stakeholder Interview: Gathering insights from stakeholders involved in HR processes.