Effective people-and-productivity-management


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Effective people-and-productivity-management

  1. 1. Effective people andproductivity management Peter Scott Peter Scott Consulting
  2. 2. Effective people and productivity management• Measuring the financial value of human capital• Making best use of your people to increase profitability• Partners and profitability
  3. 3. Measuring the financialvalue of human capital
  4. 4. Is your business leaking money like a sieve?
  5. 5. Leaking like a sieve?because you do not have theright…..
  6. 6. ….leadership and influencingskills to get the best out of your people?
  7. 7. Is this you?
  8. 8. ….people environment to makeyour business a real success?
  9. 9. Are we all going in the same direction?
  10. 10. ….mechanisms to prevent the attrition of high quality performers?
  11. 11. This will happen to your talent unless… TALENT €
  12. 12. ….systems to managerelationship conflict?
  13. 13. “Heavyweight gorilla” “You can’t manage me. I’m a big biller!”
  14. 14. ….systems to manage thepeople risks in your business?
  15. 15. F Asset ina n Re cia pu l ta tio Eco n na l pol omic, itic fisc al, al t Operational n pe titioCom iness s Managemen /bu Law Firm Risks Pe op le IT Regulat ory
  16. 16. Examples of People Risks • Advice/client care/client matters • Client relationships • Loss of teams/partners • Real cost of staff turnover/recruitment • Regulatory regimes – Equal opportunities – Age and Sex discrimination & harassment – Disability – Racial equality – Dismissals – Maternity – Working time regulations – Pensions Management
  17. 17. ….culture to support high performance levels?
  18. 18. Building a performance culture Values Skills & Behaviours Performance Metrics – Qual/Quant Performance Review Closing the Performance Gap Learning & Development Strategy
  19. 19. What is the real cost of replacing people?
  20. 20. The real cost of replacing people• Disruption• Recruitment fees• Training of new recruits• Effect on morale of people leaving• Loss of relationships / clients
  21. 21. How to retain and get the best out of your people?Help them maximise their full potential –This requires investment in your people
  22. 22. Investment in your people?For example Who has a ‘New Partner Programme’ designed- to bring people through to partnership?- and which continues throughout partnership?
  23. 23. Investment in your people requires?- Leadership and vision- Values- Training- Mentoring- Coaching- Empowering- Supporting
  24. 24. Are you investing sufficient in your people to realise their financial value to your business?
  25. 25. Building profitability through people management• Stop leaking money like a sieve!• Building people performance• Make best use of your people resource
  26. 26. To do this you will need a strategy“Strategy is a realistic plan or course ofaction to gain competitive advantage whichhas clear and achievable objectives anduses available resources”
  27. 27. Your greatest resource? Your people
  28. 28. Building people performance Values Skills & Behaviours Performance Metrics – Qual/Quant Performance Review Closing the Performance Gap Learning & Development Strategy
  29. 29. What does it take to succeed at your firm?• What do you value?• Do you invest in what you value?• Do you reward what you value?
  30. 30. An integrated strategy to best use your people resources leverage delegation
  31. 31. Delegation is key to profitability• Be a better boss by doing less work!• Match the level of work to the appropriate level of expertise / cost• Sell at the right price! = improved margin
  32. 32. Leverage - you need to be aiming for this Equity partners Other fee earners
  33. 33. Not this Equity partnersOther fee earners
  34. 34. Leverage will differ from firm to firmWill depend on:• A firm’s work type / client type mix• How a firm ‘adds value’ to its clients
  35. 35. You will add value if…• You provide clients with what they want – and more• At prices they perceive to be value for money; and• You do this better than the competition
  36. 36. High Value – Added Services High value- added services – strategic impact on client – generally wisdom/experience driven • Focus on specific client types/work types • Seek leadership in a few, cohesive segments • Nurture wisdom/experience within the firm
  37. 37. Low Value – Added Services Low value –added firms will compete on processes and price – technology driven services with minimum professional input • Value enhanced by –Driving down cost – ensure lowest cost –Investing in standardising processes –Facilitating implementation of solutions
  38. 38. Low Value – Added Services• To be successful firms need to –constantly squeeze out more value for same cost –Ensure financial strength to stay the course –Avoid creating the perception of reduced “quality”
  39. 39. But greater leverage requires more risk management• Supervision• Training• Case management systems• ‘Knowledge’ on part of management
  40. 40. And leverage and delegation involve teamworkingWhy are teams important?TogetherEachAchievesMore
  41. 41. Teams provide…SupportAbility to delegateContinuity of service deliverySense of purposeAccountability / peer pressureEsprit de corps
  42. 42. Are all your people ‘team players’?
  43. 43. How not to be a team player?‘we have no room for those who put their personal agenda ahead of the interests of the clients or the office’David Maister’s ‘Predictive package’
  44. 44. “Do own thing”“That’s a great idea… …for the rest of you”
  45. 45. But people resources are scarce• Cannot be all things to all men• Need to build focus into your business• Focus on - work types - client typesin order to gain competitive advantage
  46. 46. Balancing your profit and your partner numbers
  47. 47. How many equity partners should you have to maximise profit?Every firm is different – but factors to beconsidered may include:• Your work type / client type mix• How a firm best adds value• Ability to supervise and manage• Culture of firm / financial ambitions
  48. 48. Your partners?• Are you getting the best out of your partners?• Who does NOT have an underperforming partner?
  49. 49. How much is partnerunderperformance costing you?• Direct financial loss?• Loss of good partners and staff?• Loss of morale?• Loss of relationships / clients?
  50. 50. What are you now going to do to stopyour firm leaking money like a sieve?