DPSA 1 November 2006

1
Report to Portfolio Committee Public Service
Administration - HRM Policy and Guidelines
DPSA
1 November 2006
2
Content

• Introduction
• Human Resources Policy and Guidelines with
  respect to the following
• Guidelines/Policy on Remedial action to deal with
  Incapacity of Officials at a delivery point
  (Example Department of Home Affairs)
• Human Resources Management Strategy to address
  the Impact of Attrition
• Guidelines/Policy for Head-Hunting for SMS
  members
• Challenging facing the Implementation of the
  Policy for Designated Groups (Disabled, Women and
  Blacks)

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Introduction

• Improved service delivery is one of the highest
  priorities of Government. To be able to serve the
  people of SA, the Public Service must be
  adequately staffed, and must ensure that it is
  able to attract and retain appropriately skilled
  staff. 
• The current HRM framework is a decentralised
  model which provides departments with powers to
  develop and implement their own human resources
  management policies, practices and processes
  within national provided parameters in the form
  of policies and guidelines.  
• Since changes after 1994, a new skill set was
  needed for the emerging Public Service and hence
  a short supply of critical skills was experienced
  as Government had to extend the provisioning of
  Public Services to previously neglected
  communities and increased service delivery
  points.

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Introduction

• With the introduction of the Workplace Skills
  funding,
• employees are now able to take personal
  responsibility
• for their career growth and advancement which
  make
• them much more mobile than in the past and are
  head-
• hunted by the private sector.
• We have seen a number of interventions in line
  departments due to capacity challenges which are
  linked to a number of factors including poor
  planning and lack of the appropriate leadership
  and management skills for the life cycle of the
  specific department.

5
Guidelines to address Organisational Incapacity
at a Departmental level

• Compliance with PSA and Regulations is a
  challenge which is to be addressed in the
  proposed amendment bill
• How do we deal with organisational incapacity?
• Section 100 interventions iro provinces only
• National departments through requests from EA
• Department must publish their service delivery
  charter

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Departmental Incapacity (continued)

• Service delivery improvement plans (SDIPs)
• Regulations require that
• an EA must establish an SDIP for his or her
  department
• An EA must publish an annual statement of public
  service commitment setting out service standards
• 2005 study by Public Service Commission showed
  less than 40 of departments had set service
  standards
• Technical quality of standard-setting are
  inadequate in most instances

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Departmental incapacity (continue)

• Service Delivery Improvement Plans
• The dpsa is currently engaged in a process to
  ensure the development of SDIPs across the public
  service
• The dpsa is providing assistance and support to
  departments to promote compliance
• The dpsa is currently monitoring and evaluating
  performance against service standards
• The dpsa is currently conducting Capacity
  Assessments of selected line departments

8
Example of the focus of an Intervention to
Address Incapacity within a Department e.g. Home
Affairs

• Focus areas of the Home Affairs support
  intervention
• Leadership and management
• Human Resources (including Competency
  Assessments)
• Information Technology Management
• Service Delivery Improvement
• Programme management
• Financial management and internal controls
• Recommendations were presented to the EA with
  respect to the findings in the above areas

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Guidelines for Employee Incapacity

• The incapacity procedure is not a once off event
  which is largely based on a counseling approach
  and involves monitoring and follow up
  consultations over a specified agreed upon time
  frame to give the employee an opportunity to
  improve poor work performance. If after that
  timeframe there is no improvement a decision has
  to be taken whether-

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Employee Incapacity (continued)

• a) the employee must embark on a mentoring
  programme
• b) place the employee in a more appropriate job
  or
• c) dismiss the employee
• Note b and c would entail a formal hearing

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Human Resources Management Strategy to Address
Impact of Attrition

• Skills and staff shortages in the Public Service
  are largely due to the following ?
• Re-defining where and how services need to be
  provided with a bias towards previously neglected
  areas within the context of the Developmental
  state, hence staff have to relocate to service a
  critical mass where needed
• Increased service delivery points in rural areas
  where spatial development projects are not
  aligned to human settlement patterns
• The impact of HIV and AIDS and other life
  threatening diseases
• Globalisation and the opening up of opportunities
  in Africa and other countries
• Increased mobility and the poaching of employees
  by the private sector

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What is Staff Retention?

• Staff retention generally ?
• Focuses on both attracting employees to an
  organisation through recruitment strategies, and
  keeping already employed as contributing and
  productive through a credible succession plan
  especially with critical skills.
• Is about motivating and rewarding staff.
• It covers both the psychological aspects of the
  employees well-being, and the operational aspects
  attached to the job or tasks for which they were
  appointed.

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Key aspects of staff retention

• Both human resource components and line
  managers need to ensure that all human resource
  and management processes contribute to the
  retention of scarce skills. Staff retention is
  directly influenced by the quality of the
  following components of the HRM system
• Human Resource Planning, Recruitment and
  Selection
• Optimal Human Resource Utilisation
• Human Resource Development
• Compensation and benefits
• Employee Relations and
• Quality of Work Life.

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An integrated approach to retention
COMPENSATION BENEFITS
EMPLOYEE RELATIONS
HUMAN RESOURCE DEVELOPMENT
STAFF RETENTION MANAGEMENT
HUMAN RESOURCE PLANNING, RECRUITMENT AND SELECTION
QUALITY OF WORK LIFE
OPTIMAL HUMAN RESOURCE UTILISATION THROUGH e-HRM
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Why do employees leave an organisation?

• In terms of outcomes from Exit Interviews
  Employees quote the following reasons
• Financial considerations
• Organisational Fit
• Work environment not conductive to growth
• Career development
• Head-hunted due to skill set

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Why do employees leave an organisation?
(continued)

• Inappropriate conduct and Professionalism of
  Supervisors
• Resistance to change
• Internal mobility and job-hopping
• Leadership and management style
• Lack of effective communication and ineffective
  grievance procedures

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Cost of employees leaving an organisation
Visible Costs -traceable
Training
Orientation
Hiring
Recruitment
Vacancy
Resignation
Invisible costs difficult to track
Loss of productivity of co-workers who suffer
from separation anxiety/fear of the unknown
Learning curve of new employee
Loss of Productivity due to vacant post
Loss of Productivity of Incumbent
Pre-departure
During vacancy
New employee
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What makes employees stay in organisation?

• Predictability of organisational culture and
  decision-making
• Sufficient resources to meet job demands.
• Empowering of employees through the Workplace
  Skills Plan (through training and skills
  development) to meet the job standards and
  provide growth opportunities.
• Creating a culture of ownership workers must
  feel they are a part of the organisation.
• Challenge employees through job enlargement and
  enrichment and reward properly.
• Provide opportunities and rewards for both
  individual and team work.
• Ensure proper communication and feedback to
  workers.

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Strategies to address Attrition

• The following must be recognised in developing
  HRM strategies ?
• HRM strategies are part of managerial strategies
  and should be implemented in conjunction with
  line function strategies.
• HR strategies provide overall direction and
  involve multiple functions and programmes and may
  extend over more than one financial year.
• Management of people is not a distinct function
  but rather a means by which all organisational
  strategies are implemented.
• HR planning must be an integral part of all other
  planning.
• HR strategies should provide an indication of the
  actions that will resolve the important issues.
• Strategies for HR development, recruitment,
  compensation and other policy areas are integral
  parts of the process to manage strategic change.

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DPSA Frameworks to respond to HRM challenges

• The following Strategic Frameworks are been
  aligned and reviewed within the Public Service
• HR Planning Framework attempts to improve HR
  planning at departmental level as well as
  creating such capacity at macro level.
• Leadership and Management Framework to promote
  leadership and development of all SMS members
  within the Public Service.
• Framework for the establishment of Developmental
  Assessment Centres to conduct Talent
  Identification through Prediction Audits,
  Competency Assessments and Career Counseling
  Support Services and Learning Centres for
  feedback and coaching.

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DPSA Frameworks to respond to the HRM challenges
(continued)

• The following Strategic Frameworks are being
  aligned and reviewed within the Public Service
• HRD Strategy to provide a framework for the
  acquisition of sectoral skills within a specified
  time-frame in line with JIPSA objectives.
• Employment Equity and Transformation Framework
  which includes the JobAccess and the Gender
  Mainstreaming Strategies.
• Employment Practices and Career Management
  Framework which entails all employment policies .
• Employee Health and Wellness Framework which
  includes the Guidelines for Creating a Safe and
  Healthy Environment

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Current Policy Interventions

• Promoting skills development through learnerships
  and the granting of bursaries.
• Development of a new remuneration policy that
  will support occupational differentiation and
  improved progression opportunities.
• Focus on improved recruitment, selection and
  retention, including the implementation of
  compulsory competency assessments for SMS
  members/positions.
• The policies on recruiting foreign nationals
  secondment of public servants to multilateral
  organizations will also promote skills
  acquisition.

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Current Policy Interventions (continued)

• A guide on Staff Retention
• Performance Management After the amendments to
  the Public Service Act is promulgated, the MPSA
  will issue amendments to the PS Regulations that
  will prescribe minimum norms and standardized
  measures in this area. The SMS PMDS has also been
  reviewed.
• The concept of career pathing in relation to
  occupation specific requirements will be further
  defined and developed as part of a new
  remuneration policy.
• e-HRM - Electronic human resource management
  system for the Public Service The limitations of
  the current PERSAL system as an electronic human
  resource management system has been recognized
  for some time..

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E-HRM System

• Due to rapid changes and mobility within the
  Public Service current information is required to
  enable managers to be able to make timely and
  informed decisions on human resource management.
• An effective HR information system (HRIS) is the
  foundation for all computerised HR work. The
  scope of the HRIS normally includes HR functions
  such as staffing, training and development,
  compensation benefits, succession planning and HR
  Planning
• An HRIS can also facilitate the automation of
  certain HR transactions, giving HR practitioners
  more time for strategic issues such as leadership
  development and succession planning.
• An HRIS enables HR practitioners to identify and
  link competencies with individuals and jobs.
  These systems also have analytical tools that
  enable quick access to data and assist with
  analysis of data.

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Proposed HR Remuneration Framework

• The following remuneration principles have been
  identified as critical for the implementation of
  a new Public Service Remuneration Framework
• Total rewards approach (employment value
  proposition)
• Equitable and fair differentiation
• Affordability
• Performance based remuneration
• Market related remuneration
• Openness and transparency
• Occupational Differentiation
• Governance and oversight
• Career Pathing

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HR Employment trends
Table 2 Employee Numbers by sector Table 2 Employee Numbers by sector Table 2 Employee Numbers by sector Table 2 Employee Numbers by sector Table 2 Employee Numbers by sector Table 2 Employee Numbers by sector Table 2 Employee Numbers by sector
Sector Name 2001 2002 2003 2004 2005 Actual Growth
Agriculture 50,448 47,703 45,092 43,154 40,089 (10,359)
Arts/Sport 4,001 4,428 3,243 3,593 5,294 1,293
Criminal Justice 170,281 181,032 187,923 199,141 205,437 35,156
Defence Force 76,720 76,266 75,913 76,969 77,858 1,138
Economic/Environmt 13,784 13,598 11,279 11,603 13,015 (769)
Education 426,215 434,460 434,664 436,017 440,824 14,609
Finance 5,164 4,925 4,869 5,369 5,592 428
Foreign Affairs 1,659 1,656 1,597 1,756 1,952 293
General Admin 16,610 13,625 11,674 11,495 14,110 (2,500)
Health 219,924 218,497 217,680 224,937 232,377 12,453
Home Affairs 5,916 5,995 5,880 6,808 6,936 1,020
Infrastructure 55,221 53,112 50,129 49,455 48,429 (6,732)
Other 2,941 2,892 1,854 1,806 1,793 (1,148)
Welfare 11,308 11,895 13,950 15,252 15,789 4,481
Grand Total 1,060,192 1,070,084 1,065,747 1,087,355 1,109,495 49,303
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Headhunting

• The SMS Handbook already provides a framework for
  head hunting specific talent as an individually
  based method of recruitment.
• This method should only be used
• when the required skills are not readily
  available and
• in conjunction with normal advertising and fair
  selection processes

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Challenges facing the implementation of policy on
designated groups (the disabled, women and Blacks)

• Since the review of representation of women and
  people with disabilities in 2005, the DPSA has
  been identifying and responding to the challenges
  and increasing its efforts to attain its
  representation goals and create a more inclusive
  environment.
• The essence of the national agenda is how to
  effectively build, attract, retain and sustain
  management capacity ensuring that service
  delivery benefits reach the majority.

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Challenges facing the implementation of policy on
designated groups (the disabled, women and Blacks)

• Understanding of Public Service transformation
  agenda and its implications for the employment
  policy and human resource planning.
• Overall, that the representation of designated
  groups at higher occupational levels needs
  attention.
• Barriers of Access to entry into the workplace
  are experienced through direct and indirect
  discrimination
• Physical Adaptation of work spaces to accommodate
  persons with disabilities (ramps, ablution
  facilities) remains a challenge especially older
  buildings

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Challenges facing the implementation of policy on
designated groups (the disabled, women and Blacks)

• The provisioning of employee assistive devices to
  support employees with disabilities
• The Provisioning of support aid staff to assist
  persons with disabilities (e.g. driver)
• The provisioning of Life Skills Mastery and Life
  Coaches to deal with Management Socialisation who
  understand the Public Service

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Figure A flow diagram of the major components of
strategies that influence the HRMD of designated
groups
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Strategies for positive policy impact for
designated groups (women, persons with
disabilities and Blacks)

• Launch of the JobAccess Strategy to address
  barriers of access because of direct and indirect
  discrimination
• Launch of the Gender Mainstreaming Framework
• later this Month
• Partnerships with higher education academic
  institutions to provide traineeships to
  designated groups in terms of the revised HRD
  Strategy
• Creating a Developmental Assessment Centre to
  provide Life Skills Mastery Coaching through
  mentors and life coaches and career counselling

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Strategies for positive policy impact for
designated groups (women, persons with
disabilities and Blacks)

• The use of the Intern Programmes to recruit
• designated groups
• Use of a Developmental Assessment centre to
• audit competencies and talent search from the
  pool
• as a mechanism to recruit and retain
  designated
• groups already in the Public Service
  
• Working collaboratively with the Schools for
• Learners with Special Needs to recruit school
  
• leavers into the Public Service
• Increase the use of headhunting for recruitment
• The use of an aggressive retention and
  progressive succession plan

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Siyabonga Thank You