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Agility & Talent Mobility how to enable business strategy with modern performance management
 

Agility & Talent Mobility how to enable business strategy with modern performance management

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In recent years, newspaper headlines have been littered with the names of companies that needed to change quickly but failed. People, and their inability to anticipate change and respond effectively, ...

In recent years, newspaper headlines have been littered with the names of companies that needed to change quickly but failed. People, and their inability to anticipate change and respond effectively, were often at the heart of those failures. In this webcast, Stacia Garr will discuss how performance management can be used by HR leaders to enable managers and employees to make critical decisions about talent and to increase the organization’s and individual employees’ agility. Listeners will have the opportunity to come away with a better understanding of:

How job profiles and competencies can enable leaders to quickly align people when business goals change
How performance management and continuous feedback can help keep employees focused on the right work
How continuous learning and development can help employees anticipate future changes and respond efficiently and effectively

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    Agility & Talent Mobility how to enable business strategy with modern performance management Agility & Talent Mobility how to enable business strategy with modern performance management Presentation Transcript

    • Agility & Talent Mobility: How to Enable Business Strategy with Modern Performance Management Stacia Sherman Garr Vice President, Talent Management Research, Bersin By Deloitte Deloitte Consulting LLP 1
    • This publication contains general information only and Deloitte is not, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte shall not be responsible for any loss sustained by any person who relies on this publication. As used in this document, "Deloitte" means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting. 2
    • Agenda  Agility and Why We Care About It  Performance Management  Competencies and Job Profiles  Ongoing Learning  Takeaways and Q&A 3
    • Electronic Arts A Shift in Business Strategy… 4
    • Electronic Arts A Shift in Business Strategy… From… 5
    • Electronic Arts A Shift in Business Strategy… From… To… 6
    • Electronic Arts A Shift in Business Strategy… From… To… So What Did They Do? 7
    • What is Agility? “The ability to anticipate changes and respond effectively and efficiently.” 8
    • Polling Question: What do you think are the most critical traits of an agile organization? (select three)  Ability to access right information at right time  Accountability and credibility  Decentralized or flat reporting structures  Flexible management of people and teams  High-performance culture  Lean operations  Rapid decision-making and execution 9
    • Critical Traits of Agile Organizations Rapid decisionmaking and execution (61%) Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 10
    • Critical Traits of Agile Organizations Rapid decisionmaking and execution (61%) A high-performance culture (44%) Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 11
    • Critical Traits of Agile Organizations Ability to access right information at right time (34%) Accountability and credibility (34%) Rapid decisionmaking and execution (61%) A high-performance culture (44%) Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 12
    • Critical Traits of Agile Organizations Ability to access right information at right time (34%) Decentralized or “flat” reporting structure (29%) Flexible management of teams and people (31%) Accountability and credibility (34%) Rapid decisionmaking and execution (61%) A high-performance culture (44%) Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 13
    • Critical Traits of Agile Organizations Lean operations (22%) Decentralized or “flat” reporting structure (29%) Flexible management of teams and people (31%) Ability to access right information at right time (34%) Accountability and credibility (34%) Rapid decisionmaking and execution (61%) A high-performance culture (44%) Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 14
    • Agile Obstacles: Slow Decision-Making, Silos and Lack of Goal Clarity “In your view, what are the main obstacles to increasing business agility at your organization?” Decision-making can take too long 29% Necessary information resides in silos 28% Conflicting goals / priorities of different departments Culture risk-averse / innovation adoption slow IT infrastructure inflexible / inconsistent 28% 26% 24% 0% 10% 20% 30% 40% Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 15
    • Agile Obstacles: Slow Decision-Making, Silos and Lack of Goal Clarity “In your view, what are the main obstacles to increasing business agility at your organization?” Decision-making can take too long 29% Necessary information resides in silos 28% Conflicting goals / priorities of different departments Culture risk-averse / innovation adoption slow IT infrastructure inflexible / inconsistent 28% 26% 24% 0% 10% 20% 30% 40% Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 16
    • Agile Obstacles: Slow Decision-Making, Silos and Lack of Goal Clarity “In your view, what are the main obstacles to increasing business agility at your organization?” Decision-making can take too long 29% Necessary information resides in silos 28% Conflicting goals / priorities of different departments Culture risk-averse / innovation adoption slow IT infrastructure inflexible / inconsistent 28% 26% 24% 0% 10% 20% 30% 40% Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 17
    • Agile Obstacles: Slow Decision-Making, Silos and Lack of Goal Clarity “In your view, what are the main obstacles to increasing business agility at your organization?” Decision-making can take too long 29% The Bottom Necessary information resides in silos Line: 28% The right / priorities lack the Conflicting goalspeople of different right information and are 28% departments the right decisions at the right time unable to make Culture risk-averse / innovation adoption slow IT infrastructure inflexible / inconsistent 26% 24% 0% 10% 20% 30% 40% Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options. 18
    • Order Stability Predictability Execution Planned Directed Efficiency Perceived as More Safe Agile Approach Historical Approach Why Creating Agility is Hard: Balancing Structure and Flexibility Organized Chaos Change Adaptability Responsiveness In-the-Moment Self-Determined Utilization Perceived as More Risky Source: Dyer, Lee and Shafer, Richard A., “Dynamic Organizations: Achieving Marketplace and Organizational Agility With People,” (2003). CAHRS Working Paper Series, Paper 27. 19
    • Electronic Arts EA’s Response to Shifting Business Strategy Part 1: Strategic Action Teams Strategic Action Teams 10@10 $3B in Digital Revenue • Comprised of cross-functional leaders • Substantial time investment across 14 months • At least four 3-day in person meetings • Supported by EA University 20
    • Creating an Agile Environment: Performance Management 21
    • Polling Question: How frequently does your organization have employees review or revise goals?  We do not do this  Once per year (semi-annually)  Quarterly  Monthly  Ongoing 22
    • Organizations that Frequently Revise Goals Report Better Outcomes Monthly 50% 9% Quarterly 31% Twice Per Year 26% Once Per Year No Goal Revision 24% 3% 10% 21% 44% 16% Top Quartile on Total Performance Index Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position. 23
    • Organizations that Frequently Revise Goals Report Better Outcomes Monthly 50% 9% Quarterly 31% Twice Per Year 26% Once Per Year No Goal Revision 24% 3% 10% 21% 44% 16% Top Quartile on Total Performance Index Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position. 24
    • Organizations that Frequently Revise Goals Report Better Outcomes Monthly 50% 9% Quarterly 31% Twice Per Year 26% Once Per Year No Goal Revision % of Respondents 24% 3% 10% 21% 44% 16% Top Quartile on Total Performance Index Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position. 25
    • Organizations that Frequently Revise Goals Report Better Outcomes Monthly 50% 9% Quarterly 31% Twice Per Year 26% Once Per Year No Goal Revision % of Respondents 24% 3% 10% 21% 44% 16% Top Quartile on Total Performance Index Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position. 26
    • Organizations that Frequently Revise Goals Report Better Outcomes Monthly 50% 9% Quarterly 31% Twice Per Year 26% Once Per Year No Goal Revision % of Respondents 24% 3% 10% 21% 44% 16% Top Quartile on Total Performance Index Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position. 27
    • Organizations that Frequently Revise Goals Report Better Outcomes Monthly 50% 9% Quarterly 31% Twice Per Year 26% Once Per Year No Goal Revision % of Respondents 24% 3% 10% 21% 44% 16% Top Quartile on Total Performance Index Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position. 28
    • Organizations that Frequently Revise Goals Report Better Outcomes Monthly 50% 9% Quarterly 31% Twice Per Year 26% Once Per Year No Goal Revision % of Respondents 24% 3% 10% 21% 44% 16% Top Quartile on Total Performance Index Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position. 29
    • Considerations When Transitioning to More Frequent Goal Conversations Tracking of goal changes Manager preparation Cultural reinforcement Simplicity 30
    • Considerations When Transitioning to More Frequent Goal Conversations Tracking of goal changes Manager preparation Cultural reinforcement Simplicity 31
    • Considerations When Transitioning to More Frequent Goal Conversations Tracking of goal changes Manager preparation Cultural reinforcement Simplicity 32
    • Considerations When Transitioning to More Frequent Goal Conversations Tracking of goal changes Manager preparation Cultural reinforcement Simplicity 33
    • Considerations When Transitioning to More Frequent Goal Conversations Tracking of goal changes Knowledge of organizational changes/ opportunities Manager preparation Cultural reinforcement Simplicity 34
    • Considerations When Transitioning to More Frequent Goal Conversations Tracking of goal changes Knowledge of organizational changes/ opportunities Data on performance to date Manager preparation Cultural reinforcement Simplicity 35
    • Considerations When Transitioning to More Frequent Goal Conversations Tracking of goal changes Knowledge of organizational changes/ opportunities Data on performance to date Coaching / feedback capabilities Manager preparation Cultural reinforcement Simplicity 36
    • Electronic Arts EA’s Response to Shifting Business Strategy Part 2: Check-In  Need: More discussions about performance and current and future direction  Action: Introduce Check-In process as part of performance management Source: Electronic Arts, 2013. 37
    • Electronic Arts The Purpose of Check-In  Have a formal, more regular discussion on employees’ progress on goals (minimum of twice per year)  Ensure goal alignment and make any adjustments  Have a two-way discussion on strengths and opportunities  Identify learning opportunities in the short-term  Gain insight on greater career goals Source: Electronic Arts, 2013. 38
    • Electronic Arts Check-In Details EA’s Manager Guidelines for Before, During and After a Check-In Source: Electronic Arts, 2013. 39
    • Electronic Arts Check-In Results  Nearly three quarters of employees feel they receive the right amount of performance feedback from their managers  Over two thirds of employees feel they have clear expectations and that their manager provides support that helps them to meet objectives  Over three quarters of employees receive the appropriate amount of recognition from their manager for a job well done Source: Electronic Arts, 2013. 40
    • Creating an Agile Environment: Competencies, Profiles and Mobility 41
    • Dimension Data A Shift in Business Strategy… Source: Dimension Data, 2013. 42
    • Dimension Data A Shift in Business Strategy… From… Source: Dimension Data, 2013. 43
    • Dimension Data A Shift in Business Strategy… From… To… Source: Dimension Data, 2013. 44
    • Dimension Data A Shift in Business Strategy… From… To… So What Did They Do? Source: Dimension Data, 2013. 45
    • Polling Question: How do you think Dimension Data responded to this change in business strategy? (select up to three)  Abandoned the new business strategy  Collapsed job titles  Created clearer career paths  Developed competencies for technical employees  Had employees self-populate online profiles  Spun off former acquisitions 46
    • Dimension Data Step 1: Mapping Jobs and Establishing Competencies  Information gathered from regional HR, managers, and employees  Timeline: 8 months Source: Dimension Data, 2013. 47
    • Dimension Data Step 2: Developing the Framework Source: Dimension Data, 2013. 48
    • Dimension Data Step 3: Linking to the Careers Portal Source: Dimension Data, 2013. 49
    • Dimension Data Step 3: Linking to the Careers Portal (cont’d) Source: Dimension Data, 2013. 50
    • Dimension Data Step 4: Enabling Ongoing Competency Assessment Source: Dimension Data, 2013. 51
    • Dimension Data Step 5: Encouraging Development  Development plan suggestions focus heavily on informal learning Source: Dimension Data, 2013. 52
    • Dimension Data Outcomes: How the DDJF Enables Business Execution  Identify core competencies in each region and location  Use data to support RFPs for new professional services work  Move people to new projects / locations given competencies / skills  More accurate picture of costs and resource allocation on projects and work assignments Source: Dimension Data, 2013. 53
    • Creating an Agile Environment: Continuous Learning 54
    • Polling Question: Which learning approach drives the greatest business value in your organization? (select two)  Coaching by supervisor  Corporate documentation  Formal training – company provided  Formal training – outside provider  On the job experience  On the job mentoring, projects, rotation  Peers, friends, personal networks  User-generated materials 55
    • Clear Need for Informal Learning Which learning approach drives the greatest business value in your organization? 60% On the job experience 36% On the job mentoring, projects, rotation 33% Coaching by supervisor 28% Formal training - company provided 14% Peers, friends, personal networks Formal training - outside provider 8% User generated materials 4% Corporate documentation Despite the belief that informal approaches drive greater business value, only 30% of resources are focused here 3% 0% 10% 20% 30% 40% 50% 60% 70% © Bersin & Associates, High-Impact Learning Practices® n=1,100, www.bersin.com/hilp 56
    • Evolution of the L&D Function High-Impact Learning Organization® Maturity Model Level 4: Organizational Capability Source of Business Performance Capability & Learning Agility Executive Driven | Cultural & Systemic Focus Level 3: Talent & Performance Improvement Source of Talent Development & Performance. Consulting | Integrated with HR/TM Development Planning | Career Models | Leadership vs. Professional Level 2: Training & Development Excellence Source of Designed Instruction | Evolving Governance & Operations Improving L&D Core Processes | Program Focused Level 1: Incidental Training Source of Ad-hoc Job Support | Mentoring & Apprenticeship | Emerging Need for Professional Training | SME Focused © Bersin by Deloitte, 2013. 57
    • Evolution of the L&D Function High-Impact Learning Organization® Maturity Model Cultural Continuous Career Level 4: Organizational Capability Source of Business Performance Capability & Learning Agility Executive Driven | Cultural & Systemic Focus Talent Driven Learning Level 3: Talent & Performance Improvement Source of Talent Development & Performance. Consulting | Integrated with HR/TM Development Planning | Career Models | Leadership vs. Professional Formal Design, Architecture Level 2: Training & Development Excellence Source of Designed Instruction | Evolving Governance & Operations Improving L&D Core Processes | Program Focused Utilitarian Training & Job Shadowing Level 1: Incidental Training Source of Ad-hoc Job Support | Mentoring & Apprenticeship | Emerging Need for Professional Training | SME Focused © Bersin by Deloitte, 2013. 58
    • HCL Technologies A Shift in Business Approach… Source: HCL Technologies, 2013. 59
    • HCL Technologies A Shift in Business Approach… From… Source: HCL Technologies, 2013. 60
    • HCL Technologies A Shift in Business Approach… From… To… Source: HCL Technologies, 2013. 61
    • HCL Technologies A Shift in Business Approach… From… To… So What Did They Do? Source: HCL Technologies, 2013. 62
    • HCL Technologies Technical Academy for Competency Enhancement (TechACE) established to improve employee readiness Offerings included:  Internal technical certifications developed and launched by panel of SMEs  Virtual labs launched to offer real-time training in simulated environment  4,500 e-learning courses made available on LMS  1,290 internal trainers and 536 SMEs, covering 1,208 knowledge areas  Post-training online coaching  Online communities launched on internal knowledge management portal Source: HCL Technologies, 2013. 63
    • HCL Technologies Outcomes  More internal certifications and certified employees: - 72 internal technical certifications launched - 9,394 employees internally certified (268% increase YoY) - 90% (3,090 programs) of training done internally  Increased deployability - 81% increase in billing of employees post-certification  Greater accessibility - 23,973 employees trained across 26 countries  Improved customer satisfaction: - Annual customer satisfaction survey showed improved ratings  Cost savings: total $3.1 million in FY12 Source: HCL Technologies, 2013. 64
    • Takeaways  To effectively respond to changes in business strategy, an organization needs to create an environment that encourages agility  Organizations can do this by: Using performance management processes that encourage adaptability and learning over rigidity - Leveraging competencies and profiles that provide insight into the workforce - Creating the infrastructure to support ongoing learning and a continuous learning culture -  Organizational processes need to appropriately balance stability, predictability and efficiency with adaptability, responsiveness, and utilization 65
    • Questions & Additional Discussion sgarr@deloitte.com http://blogs.bersin.com/stacia.garr www.linkedin.com/in/staciashermangarr Twitter: StaciaGarr 66