Keeping HR agile: Adapting to a fast-paced industry

Teresa Gu has over two decades of human resources expertise within the manufacturing and service sectors. Her proficiency in strategic partnership and organizational change has been pivotal in spearheading HR transformations at ENNOVI, ING Bank, and TE Connectivity, where she has been instrumental in enhancing HR strategies, cultivating performance, and nurturing leadership. Teresa understands the importance of adopting agile HR methodologies within the traditionally inflexible manufacturing sector. In this article, she will share the significant impact agility brings, the challenges and barriers, and assess resilience.

Navigating the inherent rigidity of bringing in agile HR practices can be transformative but comes as no easy feat. In manufacturing, achieving an agile and responsive enterprise often starts with building a workforce and organizational strategy. This involves prioritizing our internal customers – our employees.

For example, ENNOVI plays a crucial role in the automotive segment, particularly as the industry moves swiftly towards electrification. This exciting transformation requires suppliers to adapt to the changing requirements that OEMs need when developing hybrid and electric vehicles while upholding the high quality of products to guarantee safety. To keep pace with these changes, organizational evolution is imperative. A key area for developing a more agile and responsive enterprise is looking at the employees and organizational framework.

Conventional HR methods need to be improved to cater to individual requirements. It is essential to reconsider the organizational structure, dismantle hierarchical barriers, and bridge the divide between traditionally siloed teams. By empowering frontline employees and fostering adaptability, we create a more dynamic organization capable of thriving amidst rapid change.

Addressing the invisible, psychological or systemic barriers to agility in manufacturing

The primary obstacle is driving a shift in mindset and behavior, particularly overcoming the reluctance to change and to step outside comfort zones. Addressing this challenge is fundamentally a change management process – preparing the team for transformation and guiding them through it. It is crucial to help the team grasp the urgency and necessity for change, how it relates to them individually, and the advantages it brings. It is also important to spotlight and commend role models within the team. Ensuring the team has a clear understanding of the transformation’s scope, feels secure about the changes, and possesses
the necessary tools for success is vital.

Rethinking hierarchical structures

An ideal organizational setup would be truly agile, requiring a mature team that is accountable, proactive, and excels in cross-functional and cross-regional communication.

Encourage collaboration to pull in talented individuals to assume a senior leadership role and share collective responsibility. This allows each participant to lead in turn and gain insight into each other’s strengths and perspectives. This practice not only cultivates talent development but also instills a sense of ownership, empowers individuals, provides visibility to senior management, and enhances trust and collaboration among team members. Transitioning to an agile organization is a long-term endeavor for the manufacturing sector, and taking incremental
steps is beneficial.

Encouraging micro-innovations on the manufacturing floor?

Micro-innovations are not novel in the manufacturing sector. We have long-established continuous improvement processes at all sites, encouraging every employee to propose and implement innovative ideas. This practice is deeply ingrained in our daily operations. To maintain this momentum, we also acknowledge and reward positive contributions. ENNOVI upholds five core values: Global, Speed, Innovation, Best Talent, and Sustainability. Each quarter, we commend individuals or teams that embody these values during our global town hall meetings, with Innovation being a focal point. The CEO personally recognizes the awardees.
Our goal is to drive ongoing enhancements and cultivate an innovative ethos.

Measuring intangible attributes within teams

Evaluating the progress of agile transformation can be challenging, as the qualitative nature of certain characteristics is not readily quantifiable. To begin, gather a targeted set of metrics correlating with the organization’s desired goals and objectives. It is equally crucial to clarify these metrics to ensure team comprehension. Net Promoter Score (NPS) and velocity are common agile metrics.

For instance, velocity prediction accuracy tends to improve with each iteration, as it is based on historical data. Understanding a team’s average velocity aids in accurately gauging sprint velocity. However, velocity should be used to assess individual teams, as comparisons between different teams can be misleading. Another method to gauge agile success is through anonymous surveys. If engaging external consultants is not preferred, conducting simple internal sentiment surveys is an effective alternative.

This approach allows team members to express their feelings and perceptions of unity. Team morale is a significant performance indicator. Unhappiness within the team presents an opportunity to inquire and listen. Prompt action based on sentiment surveys can facilitate adaptation and improvement, and, ultimately, contribute to successful projects.

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