Implementing a full HCM suite in a not-for-profit environment
MTC Australia is a not-for-profit (NFP) organisation that for the last 20 years has been helping people gain employment, skills training, work experience and greater self-confidence. MTC offers support through a range of training courses, employment services, youth programs and community initiatives.
MTC delivers high impact employment, training and youth programs that help around 15,000 people every year to gain skills for employment and entrepreneurship, build self-worth, and enable possibilities for transformative change. Today, they've grown to over 20 locations and more than 300 staff across the greater Sydney region. MTC offer assistance to those wanting to make a positive change in their lives, enabling disadvantaged Australian’s to become self-sufficient and less reliant on government support.
MTC obtain funding through federal and state based programs such as Job Services Australia (JSA), Youth Connections and the Skills for Education and Employment (SEE) program. MTC’s General Manager of People & Culture, Kalena Jefferson, explains that this grants based environment means an onus on efficiency...
"If you're in a grant-based environment, your money is finite. So you've got to spend it really wisely and you can't waste money being inefficient."
However, it is common for tension to exist between the social mission of a NFP organisation and the management of its performance.
This is because the NFP industry has developed with a different set of financial imperatives to the for-profit world. There is less reference to the bottom line, which can be a useful tool to bring about organisational efficiency. Kalena Jefferson explains that...
“people join a NFP to be benevolent, but in fact survival is all about performance”.
While the profit motive might not be as strong in the sector, NFP’s do need to emphasise the efficient use of resources. MTC also belongs to an emerging class of organisations classified as ‘social enterprises’.
This means that an annual surplus generated through government funded programs is invested in developing staff, the organisation, and to fund ‘give back’ programs for the community, such as Warakirri College and Minto Access Point.
At MTC there is an understanding that the most efficient use of time and resources means the surplus and the programs it funds, will thrive.
The MTC procurement process was always about finding an integrated suite of Human Capital Management (HCM) products which could help drive efficiencies through the organisation. However, MTC originally started looking at the suite from a payroll centric view. They believed that a payroll provider...
Download the case study to read the rest!
Oops! Something went wrong, did you fill in all the required fields?