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Charting a New Course in Leadership Assessment

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Recent studies have shown that a significant number of global organizations lack the necessary talent for critical leadership positions. When this is combined with increasing globalization and …

Recent studies have shown that a significant number of global organizations lack the necessary talent for critical leadership positions. When this is combined with increasing globalization and historic demographic shifts in the workforce, organizations struggle to build a robust pipeline of diverse candidates for their senior-level roles. This webinar will show how organizations can incorporate their commitment to diversity and inclusion into the assessment and development of managerial talent to build a diverse talent pipeline for senior management positions in the 21st century.

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  • 1. Charting a New Course in Leadership Assessment You can listen to today’s webinar using your computer’s speakers or you may dial into the teleconference. If you would like to join the teleconference, please dial 1.408.600.3600 and enter access code: 926 920 514 # You will be on hold until the seminar begins. #TMwebinar
  • 2. Charting a New Course in Leadership Assessment Speakers: Dr. Kathleen Kappy Lundquist President & CEO APTMetrics Dr. John C. Scott COO APTMetrics Moderator: Kellye Whitney Managing Editor Talent Management magazine #TMwebinar
  • 3. Tools You Can Use• Q&A – Click on the Q&A icon on your floating toolbar in the bottom right corner. – Type in your question in the space at the bottom. – Click on “Send.” #TMwebinar
  • 4. Tools You Can Use• Polling – Polling question will appear in the “Polling” panel. – Select your response and click on “Submit.” #TMwebinar
  • 5. Frequently Asked Questions1. Will I receive a copy of the slides after the webinar? YES2. Will I receive a copy of the recording after the webinar? YES Please allow up to 2 business days to receive these materials. #TMwebinar
  • 6. Charting a New Course in Leadership Assessment Kellye Whitney Managing Editor Talent Management magazine #TMwebinar
  • 7. Charting a New Course in Leadership Assessment Dr. Kathleen Kappy Lundquist President & CEO APTMetrics Dr. John C. Scott COO APTMetrics #TMwebinar
  • 8. Charting a New Coursein Leadership AssessmentJuly 24, 2012Presented by :Dr. Kathleen Kappy Lundquist, CEOand Dr. John C. Scott, COO  2012 APTMetrics, Inc.
  • 9. A New Course People travel to wonder at the height of the mountains, at the huge waves of the seas, at the long course of the rivers, at the vast compass of the ocean, at the circular motion of the stars, … and yet they pass by themselves without wondering. --St. Augustine8
  • 10. Identifying, Developing and Retaining Potential C-suite Leaders Checkpoint #4: C-suite Assessment Senior Leaders Checkpoint #3: Leader Assessment Executives Checkpoint #2: Early Confirmation of Potential Mid-level Managers Checkpoint #1: Initial SegmentationFront-line Supervisors/ Pivotal Roles 9 CONFIDENTIAL
  • 11. Workforce Trends10
  • 12. Global Race For Talent – Smaller Pools to Tap Into Global demand for talent is higher than ever... • 58% multinational companies lack talent for critical leadership positions ...but there is just not enough talent to go around • Emerging markets: Only 25% of talent is employable – Uneven quality of education systems – Lack of employee mobility • Developed markets: 75M baby boomers nearing retirement, but only 30M Generation X to fill role11
  • 13. The Talent Continuity Conundrum Recession resulted in higher retention of talent • Companies tightened belts – Recruiting less from the outside – Focusing on building pipeline • Slowdown of voluntary attrition; older workers delaying retirement – Minimizing personal financial risk Pendulum seems to have swung too far • Limits opportunity for diverse talent coming up the ranks – Advancement pathways for key emerging talents blocked • Increases risk of mass exodus of knowledge/capability in 5–10 years – Spike in retirement will result in insufficient talent pipeline12
  • 14. Cultural Competence and Diversity • Globalization and Demographic Shifts make Cultural Competence a Leadership Imperative • Cultural competence: effectively operating in different cultural contexts and altering behaviors to reach different cultural groups • Cultural competence is BOTH individual AND organizational13
  • 15. Aspects of Cultural Competence • Organizational Cultural Competence requires: • Defined values, policies and behaviors that facilitate effective cross cultural efforts • Incorporating diversity and inclusion into the fabric of managing the business • Individual Cultural Competence requires: • Capacity to value diversity • Manage the dynamics of difference • Acquire and institutionalize cultural knowledge • Adapt to cultural contexts of the customer communities served14
  • 16. Question 1 Does your organization currently evaluate cultural competence in the assessment of leaders? a. Yes b. No c. Considering it15
  • 17. Building the Diverse Leadership Pipeline • Provides a unique opportunity to leverage cultural differences to build organizational cultural competence • Powers an innovative culture • Leads to sustainable success • Not just “the right thing to do”16
  • 18. Not Just the “Right Thing to Do”17
  • 19. Diversity is Itself Diverse • The diversity skill set for leaders varies based on where the organization is along the diversity continuum • The needs of different groups or even subsets of • Diversity assets are not the the same group vary same for organizations in considerably different industries18
  • 20. Evolution of Diversity in Organizations Leverage Inclusion Fairness Awareness19
  • 21. Organizational Diversity Maturity Awareness Fairness Inclusion Leverage Diversity Equal Narrowly by Broadly defined in A core defined as … opportunity representation of terms of thought, organizational compliance ethnic and style and asset gender groups background Differences Seen as Need to be Need to be Are a potential for accommodated encouraged and competitive problems integrated advantage Role of Leaders Legal Diversity is part of Managing Leaders compliance the Leader’s jobs Inclusion is an integrate D&I as essential a business leadership strategy competency Role of Board Passive Limited requests Board holds Leaders and for reporting leadership team Board own D&I representation accountable20
  • 22. Question 2 Where is your organization along the Diversity continuum? a. Awareness b. Fairness c. Inclusion d. Leverage21
  • 23. Implications for Leadership Assessment To meet the long-term needs of the organization, leadership assessment must: • Diversify the pool • Build cultural competence • Provide opportunity for early identification of talent • Balancing inclusive approach with targeted development • Assess both organizational and individual profiles22
  • 24. Talent Segmentation23
  • 25. Why Do We Need to Differentiate? • Talent is becoming a very scarce resource • Placing the right people in the right roles is even more critical to business success then ever before • Organizations have limited resources for development • Organizations need to know where to put their money to their best advantage • Individual performance is not normally distributed – need to focus on “elite” performers who produce majority of output • Having models for talent differentiation or segmentation is critical • Need to effectively and accurately determine who has and doesn’t have the potential for future leadership roles24
  • 26. Differentiation Allows Enhanced Focus Deeper in the Organization Without Differentiation With Differentiation TargetedDevelopmentFocused here Targeted Development Focused here Global Balance of Leadership Hipos25
  • 27. Building Blocks of Leadership Potential Cultural Competence Career Dimensions Functional Leadership Predisposition Capability Growth Learning Motivation Dimensions Foundational Personality Cognitive Ability Dimensions Performance (In-role track record)26
  • 28. Leadership Competencies Typically Assessed • Leads Strategically • Collaborates • Customer Focused • Delivers Results • Develops Talent • Communicates Directly • Promotes an Ethical Culture • Fosters Purposeful Dialogue27
  • 29. Competencies Assessed Cultural Competence 1. Respects diverse perspectives that may arise from background, culture, ethnicity, race, gender, age, generation, valu es, and other individual characteristics. 2. Recognizes when diverse views are not being leveraged and confronts this situation 3. Drives action through the organization to capitalize on diversity Cultural business asset as a Competence28
  • 30. Brief Demonstration29
  • 31. An Example: Setup To start your day, open up the resource titled "About GXR" and take a few minutes to read the overview of GXR and its history.30
  • 32. An Example: Setup To start your day, open up the resource titled "About GXR" and take a few minutes to read the overview of GXR and its history.31
  • 33. An Example: Video32
  • 34. An Example: Item How would you facilitate an outcome that takes into account both perspectives? Ask them each to write up their recommendations and you will decide. Agree that price is important but reiterate that quality must take precedence. Review the market research data yourself to determine who is correct. Ask them to meet and generate a recommendation that takes both price and quality into account.33
  • 35. An Example: Item What information would you MOST like to have in order to address the quality versus price issue? Price data for GXRs target customers. Price by feature set for various configurations. Market research data by customer segment. Cost data from Production Engineering.34
  • 36. An Example: Item What information would you MOST like to have in order to address the quality versus price issue? Price data for GXRs target customers. Price by feature set for various configurations. Market research data by customer segment. Cost data from Production Engineering.35
  • 37. An Example: Item What information would you MOST like to have in order to address the quality versus price issue? Price data for GXRs target customers. Price by feature set for various configurations. Market research data by customer segment. Cost data from Production Engineering.36
  • 38. Feedback: Competency Summary Cultural Competence37
  • 39. Feedback: Individual Developmental Actions Cultural Competence 78 Become an advocate in the company for promoting diverse viewpoints, challenging others to consider a diversity of perspectives, and demonstrating how diversity and inclusion support the company Lead an initiative to collaborate with community and customer base on new-product development Coach, train and develop an inclusive approach in all members of your team, making cultural competence the norm38
  • 40. Identifying, Developing and Retaining Potential Assessment Development Purpose Approach Approach C-suite Leaders Identify and address development Checkpoint #4: Behavioral Interview, Extensive Coaching, gaps for select C-Suite Qualitative 360, Exec MBA, C-suite Assessment participants; Inform movement Hogan/360 Assessment Experiences decisions Senior Leaders Assessment Center, Coaching, Internal Identify and verify Global Checkpoint #3: psychometric Training, External enterprise talent; Facilitate GM Leader Assessment assessments, and career Courses, International preparedness inventories Assignments Executives Checkpoint #2: Early Identify/confirm potential in Virtual simulations, Light Coaching, individuals early in career for early psychometric Confirmation of Focused Training, course correction; Better focus assessments and career Potential Books, Task Forces development dollars inventories Mid-level Managers Virtual simulation, Conduct an initial segmentation of Checkpoint #1: psychometric Focused Training, talent; gain an understanding of Initial Segmentation the long-range talent landscape assessments, Readings, Coursework registration of interestFront-line Supervisors / Pivotal Roles 39
  • 41. Succession Plan at a Glance CEO ELT ELT ELT ELT ELT ELT ELT ELT ELT Leader Leader Leader Leader Leader Leader Leader Leader Leader Incum- bent … … … … … … … … … Ready Now Ready Near- Term Ready Future (Talent Pool)40 KEY: Flag Nationality Expatriate Successor from Outside Org. Diverse
  • 42. Feedback: Organizational Assessment 2012 Results Pipeline Depth of Bench Number of Ready Now per position  Management Is the pipeline healthy Diversity Diversity of the succession pools  and full? Duplication Successors on multiple slates  Effectiveness Key positions filled Use of succession pool vs. external hires  Is the succession plan working? Performance when selected How quickly do they ramp up/hit KPIs?  Development plans executed Competency/key experience gaps closed  Talent Pool Is talent prepared Pool movement Promotion, demotions and lateral moves  and engaged? Reward allocation Holding power of incentive compensation  Retention and engagement Succession pool turnover  How many terms are regrettable losses?41
  • 43. Great things are not done by impulse, but by a series of things brought together. Vincent van Gogh42
  • 44. Contact Information • Dr. Kathleen Kappy Lundquist: KKL@APTMetrics.com • Dr. John C. Scott: JScott@APTMetrics.com43
  • 45. Questions and Answers Dr. Kathleen Kappy Lundquist President & CEO APTMetrics Dr. John C. Scott COO APTMetrics #TMwebinar
  • 46. Join Our Next TM WebinarThe Evolution of Reference-Checking Into a Strategic Hiring Solution Thursday, August 14, 2012 • TM Webinars start at 2 p.m. Eastern / 11 a.m. Pacific Register for upcoming TM Webinars at www.talentmgt.com/events Join the Talent Management magazine Network http://network.talentmgt.com/ #TMwebinar