Practice of HRM

and
Profile of the HR Practitioner
in the Philippines

Edna P Franco
Ateneo de Manila University
Contribution of HR
The Bottom Line

„ HR improves the organization’s talent bank

through selection and training
„ HR communicates the attitudes and behaviors
that are valued, and shapes perceptions that
evolve into the organization culture (Ostroff &
Bowen, 2000)
„ HRM activities result in HR outcomes that
influence firm performance (Pfeffer, 1994;
Paauwe & Richardson, 1997)
HR activities-> HR outcomes -> Firm Performance
Ateneo CORD Researches

„ State of HR Practice (Franco, 2003)

„ Surveyed 116 organizations with 134
respondents from
„ Small, medium and large organizations
„ Local and multinational businesses; non-profit
and government

„ Profile of HR Practitioners (Lanuza &

Hechanova, 2004)
„ Surveyed 131 HR practitioners of various
background and level of experience
 HR in the Philippines Today
Perceived Issues

Global
• Globalization
• Increasing use of IT

Local
• Poor Economy
• Peace and Order
• Poverty

People
• Changing work
values/ Employee
expectations
• Decreasing Loyalty
• Migration of skilled
workers
 HR in the Philippines Today
Perceived Issues Organization
Response
Global
• Globalization Focus on Customer
• Increasing use of IT Networking and
Alliance Building
Local
• Poor Economy Capability Building
• Peace and Order Motivation and
• Poverty Rewards
Improved Organization
People Efficiency and
• Changing work Productivity
values/ Employee Decreased Operational
expectations Cost
• Decreasing Loyalty
• Migration of skilled
workers
 HR in the Philippines Today
Perceived Issues Organization HR Response
Response
Global
Focus on Customer
• Globalization „ Facilitating change
Networking and
• Increasing use of IT Alliance Building „ Becoming business
partner
Local „ Developing new HR
Capability Building Competencies
• Poor Economy Redefining role as HR
Motivation and „
• Peace and Order consultant
Rewards
• Poverty
Improved Organization
People Efficiency and „ Devolving HR functions to
• Changing work Productivity line
values/ Employee Decreased Operational „ HRIS
expectations Cost „ Outsourcing
• Decreasing Loyalty „ Use of technology
„ Shared services
• Migration of skilled
„ Self-service
workers
 HR in the Philippines Today
Perceived Issues Organization HR Response
Response
Global Strategic
Focus on Customer
• Globalization „ Facilitating change
Networking and
• Increasing use of IT „ Becoming business
Alliance Building partner
Local „ Developing new HR
Competencies
• Poor Economy Capability Building
„ Redefining role as HR
• Peace and Order Motivation and consultant
• Poverty Rewards
Improved Operational
People Organization „ Devolving HR functions to
• Changing work Efficiency and line
values/ Employee Productivity „ HRIS
expectations Decreased „ Outsourcing
• Decreasing Loyalty Operational Cost „ Use of technology
• Migration of skilled „ Shared services
„ Self-service
workers
 Strategic HRM
“If organizational capability has become a source of
competitiveness, and if line managers and HR
professionals are to be the champions of organization
capability, then a new agenda for both HR practices and
HR professionals must emerge….

The primary actions of the strategic human resource

manager is to translate business strategies into HR
priorities”.

David Ulrich – University of Michigan, and Organization

Consultant(1997)
HR Key Roles (Dave Ulrich Model)
STRATEGIC FOCUS
identifies and develops new
aligns HR strategies and practices and
behaviors that build capability and
makes tangible contributions to
sustain the organization’s
business strategy
competitiveness

Strategic Change
MANAGING Partner Agent MANAGING
PROCESS PEOPLE
ACTIVITIES Administrative Employee ACTIVITIES

Expert Champion
concerned with designing and deals with day to day
delivering HR processes efficiently problems, needs and concerns
to promote employee well-being and
strengthen commitment and competence
OPERATIONAL
FOCUS
HR Roles Profile Scoring

4 and up indicates a well-developed role

2.25 and below indicates weak or low

quality
 HR Roles (Over-all Mean)
5

4.5

S
3.5
t
r
e
n
3
g
t
h 2.5

1.5

1
Strategic Partner Change Agent Admin Expert Employee Champion
HR ROLES
 HR Roles
(by type of organization)
5
Locally-owned MNCs
4.5 Others: GO, NGO, NP

3.5

2.5

1.5

1
Strategic Change Agent Admin Expert Employee
Partner Champion
HR Roles
(Perceived across Position Levels)
Profile of the
Filipino HR
Practitioner
Demographics
Education
Competencies
 Demographics

Civil Status
Gender
Others
2%
131 respondents
Male Single
28% Mean Age = 39 28%
Female Age Range – 22 to 65
72% Married
70%
Mean HR Work Experience = 13
Experience Range – 1 to 33
 Demographics
Organizational Level
28% 48% HR Head - 55
Head of HR Unit - 27
HR Staff - 32

24% Civil Status

Gender
Others
2%
131 respondents
Male Single
28% Mean Age = 39 28%
Female Age Range – 22 to 65
72% Married
70%
Mean HR Work Experience = 13
Experience Range – 1 to 33
Educational Background
3%
18%

48%
12%

19%

Psychology Industrial Relations

Natural Sciences Mgmt Related
Others
Educational Background
„ 58% had
graduate
education
5%
5%
8%

10%

58%
14%

Psychology Law Labor Relations

MBA Education Others
Top 10 Competencies
Required of HR Practitioners
1. Communication skills
2. HR technical skills
3. Professionalism and ethics
4. Strategic thinking
5. People orientation and development
6. Organization diagnosis and development
7. Problem-solving and decision making
8. Personal development
9. Change management
10. Conflict management
 Required vs Actual Competencies
High
Communication
HRM Technical
I
Professionalism & Ethics
M People Orientation &
P Development
O Problem Solving and Decision
R Personal Development
T
Facilitation Skills
A
N Networking & Collaboration
C
E

Low LEVEL OF COMPETENCE High

 Required vs Actual Competencies
High
Strategic Thinking Communication
HRM Technical
I Change Management Professionalism & Ethics
M People Orientation &
P Organization Diagnosis Development
O and Development Problem Solving and Decision
R Personal Development
T Conflict Management Facilitation Skills
A HR Measurement & Evaluation
N Networking & Collaboration
Information Management
C
Marketing & Advocacy
E

Low LEVEL OF COMPETENCE High

 Evolving Role of HR function in Organizations

Initiatives to improve
Organization capability
and performance Measurable
Optimising Value
HR policy & people and Strategic To The
Strategic
procedures to Organization Human
Human Business
ensure right efficiency Resource
Resource
people management
management
Human
Human
practices Resource
Resource
Record-keeping management
management
and personnel Personnel
Personnel
transactions management
management

Personnel
Personnel
administration
administration
HRM in the Philippines
„ Environmental pressures require that
organizations become agile, lean and talent-rich
to enable it to compete
„ The HR function can be a force for building an
organization’s capability for change and for
effectiveness.

„ Over-all, HRM in the Philippines is still primarily

strong in the traditional HR roles - Administrative
Expert and Employee Champion

„ HR Professionals rate themselves significantly

stronger in the performance of HR Roles than
their internal clients
HR Practitioner in the
Philippines
„ HR practitioners are strong in Employee
Champion and Administrative Expert
competencies, they need to develop more in
the Strategic Partner and Change Agent
competencies
„ There is low appreciation for the importance
of critical global competencies:
Measurement and evaluation, Information
management, and Marketing and advocacy
 Propositions
for
a Relevant HR
1. Build Strategic Competencies

BUSINESS AND INTERPERSONAL

ORGANIZATION COMPETENCE
SENSE
PERSONAL

HR CLARITY
Professional HR TECHNICAL ORGANIZATION
EXPERTISE DEVELOPMENT
2. Research, measure
and make changes
„ Diagnosis is essential to determine how HR can
best support organization vision and business
goals.
„ Benchmarking best practices must be enhanced
by systematic assessments to match employee
needs, organization norms and culture.
„ Organizations would benefit from knowing the
returns on HR investments. Evaluation
researches are a must.
I-O Psychologists in HR
9 I-O psychologists can play an important role in
improving the quality of life of workers and in
making organizations more effective
9 Effective engagement, not just management
of human resources is a key driver of business
success

9 Successful business will spur economic growth

9 Economic growth propels national
development
Thank You