Empowering the Middle and Creating Workforce Readiness

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Have you given enough thought to how you are empowering the middle of your organization? The market has been focused on leveraging top talent, investing in high potentials and preparing executives. But in the midst of all this segmentation, have you thought about the engine of your workforce - your middle management and consistent performers?

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  • Abstract: Have you given enough thought to how you are empowering the “middle” of your organization?  The market has been focused on leveraging their top talent, investing in high-potentials and preparing executives.  But in the midst of all this segmentation, have you thought about the “engine” of your workforce -- your middle management and consistent performers? Over the last several years, companies have asked their employees to do “more with less,” increase innovation, collaborate and work globally. However, many have failed to give the middle of the organization the support it needs to succeed in today’s modern work environment.  Join Stacey Harris, Director of Strategic HR Research, and Stacia Garr, Senior Analyst for TM, as they share recent Bersin & Associates’ findings regarding the impact of increasing the capabilities of line managers and the value of motivating and empowering middle performers. The discussion will include examples of how leading organizations are developing leaders from the bottom up, providing tools to help the middle do their job more effectively and improving enterprise career management strategies.  Specific case examples will be included in the presentation.     
  • A perfect example of this is the dramatic turnaround taking place at Ford Motor Co. Ford’s business is now growing. Their engineering team is actively launching electric vehicles and new embedded communications technology, and they are growing their business in China and India. The new Ford Figo, a car specifically designed for the Indian marketplace, was just rated the Indian Car of the Year for 2011. This is the type of global innovation that organizations in financial services, manufacturing, information services, and technology are striving to execute in the coming few years.
  • Consistent Performers60% to 70% of the population who receive good or very good (but not exceptional) on performance reviews – often these are employee’s who excel at the technical aspects, are focused on integrity, but may not be able to manage the relationships required to create great business impact. Employee’s not slated as high-potentials or high-performers within an organizationEmployee’s not identified as part of a critical or pivotal talent segment for an organizationEmployee’s who have slowed down their career for personal reasons or have no interest in moving beyond their current roles. One HRB report on B players estimated that 20% of today’s B players, were recovering “A” player’s who have chosen work-life balance, over the high-potential path. This is a growing issue for many organizations. B players' defining characteristic is their aversion to calling attention to themselves - even when they need to. They are like the proverbial wheel that never squeaks -Indeed, we've found that the quickest way of identifying the B players is to list the people who make the fewest demands on the CEO's time.
  • Line Managers Supervisors, Managers, Some Directors (Not Part of a High-Potential Program)Managers who have not moved “up” or “over” for several years, and are content to stay in their current position. Managers who’s direct reports have “good” but not “exceptional” engagement scores Managers who have slowed down their career for personal reasons
  • Improved delivery of solutions to executives and new employee’s improve efficiency by 5%, but improved delivery of solutions to all employee’s reduces efficiencies by 5% (trying to boil the ocean or spread peanut butter over everything).
  • Effective HR ApproachEmployment FundamentalsCapable ManagersPerforming WorkforceMeeting Business Goals
  • Industry: Financial ServicesEmployees: over 7,000Previous State: One of the three business units at TravelEx (approximately 1,100 employees) recently automated their performance management process, but found it was still not driving the desired impact.Action: Employees enter goals into their online goal management system, and are required to work with managers to break goals down into quarterly and then monthly goalsEmployees and managers are prompted quarterly, and sometimes monthly, to discuss goal progress, creating an occasion to both celebrate successes and identify areas that need more attentionResult: According to a sampling of managers and employees, performance conversations are more frequent, authentic and useful than they were before. This is still an ongoing effort, but the early feedback has been overwhelmingly positive.
  • Soft Skills include: DelegatingTime managementTransitioning from an individual contributor to managerTeam developmentResolving interpersonal conflict
  • “46% of organizations highly effective at increasing the engagement, retention and teamwork of their mid-level managers focus on communications in their curriculum”
  • Work is increasingly virtual, transparent, collaborative and dispersed. Organizations are flatter. Careers zig and zag. Information flows in all directions. The result? The corporate ladder model—and the outdated norms and expectations that defines it--is collapsing. High-impact organizations are focusing on talent mobility in positions other than management and leadership. These organizations are proactively responding to the shift necessary to leverage talent within organizations. Their overall competitive position in the market place is far superior to those organizations who still view talent mobility through only the ‘ladder’ lens. The Deloitte corporate lattice model provides a broad perspective on talent mobility and development. It moves organizations from a view centered strictly on vertical progression toward varied functional and lateral paths that are in step with individuals’ career life goals and the organizations business goals. It formalizes opportunities for employees to progress horizontally – an acute need as organizations flatten today. This lattice model to talent mobility helps organizations develop the breadth and depth of capabilities that they need to compete and thrive.
  • Ladder ThinkingTalent information limited usually to senior leadership of each BULinear, vertical management career pathsLow workforce mobilityTasks define the jobLattice ThinkingTalent information available across the enterpriseMulti-directional (not necessarily management) career pathsHigh workforce mobilityCompetencies define the jobYou have to be careful that you don’t’ have a culture that puts a premium on incremental vertical moves. Lateral moves that add value in terms of experiential development and also meet the needs of the organization can actually increase the vertical.”Executive Vice President and Chief HR Officer, Textron Inc.Other orgs using:Thomson ReutersThrivent
  • Example from a solution provider we work with. This shows all the aspects of a people profile in one place. The cool thing about people profiles is the transparency they create. Employees can communicate via what they include about what they are interested in doing and the skills they have currently. This information can be supplemented by HR and the employee’s manager. So decisions HR needs to make are: What needs to be filled in by HRWhat needs to be filled in by employeeWhat needs to be completed by managerNow, let’s move on to an example of how Lockheed Martin is using technology to drive its career management process.
  • Empowering the Middle and Creating Workforce Readiness

    1. 1. Empowering the Middle and Creating Workforce Readiness<br />You can listen to today’s webinar using your computer’s speakers or you may dial into the teleconference.<br />If you would like to join the teleconference, <br />please dial 1.866.469.3239 and enter access code: xxx xxx xx.<br />You will be on music hold until the seminar begins.<br />#TMwebinar<br />
    2. 2. Empowering the Middle and Creating Workforce Readiness<br />Speakers:Stacia Garr<br /> Senior Analyst for Talent ManagementBersin & Associates <br />Stacey HarrisDirector, Strategic HR Research, & Principal Analyst, HR and Talent ManagementBersin & Associates<br />Moderator: Daniel Margolis, <br />Managing EditorTalent Management Magazine<br />#TMwebinar<br />
    3. 3. Tools You Can Use<br /><ul><li>Q&A
    4. 4. Click on the Q&A icon on your floating toolbar in the bottom right corner.
    5. 5. Type in your question in the space at the bottom.
    6. 6. Click on “Send.”</li></ul>#TMwebinar<br />
    7. 7. Tools You Can Use<br />Polling<br />Polling question will appear in the “Polling” panel. <br />Select your response and click on “Submit.”<br />#TMwebinar<br />
    8. 8. Frequently Asked Questions<br />1. Will I receive a copy of the slides after the webinar?<br />YES<br />2. Will I receive a copy of the webinar recording?<br />YES<br />Please allow up to 2 business days to receive these materials.<br />#TMwebinar<br />
    9. 9. Empowering the Middle and Creating Workforce Readiness<br />Daniel Margolis<br />Managing Editor<br />Talent Management magazine<br />#TMwebinar<br />
    10. 10. Empowering the Middle and Creating Workforce Readiness<br />Stacia Garr<br />Senior Analyst for Talent ManagementBersin & Associates<br />Stacey HarrisDirector, Strategic HR Research, & Principal Analyst, HR and Talent ManagementBersin & Associates<br />#TMwebinar<br />
    11. 11. Empowering the MiddleCreating Workforce Readiness<br />Stacey Harris, Director Strategic HR & TM Research<br />Stacia Garr, Senior Analyst Talent Management<br />
    12. 12. About Us<br />Who We Are<br />Leading research and advisory services company in enterprise HR, learning and talent management strategies for business performance improvement<br />What We Do<br />We offer an integrated research and advisory services program for human resources, learning and IT professionals. Members gain access to proprietary research, tools, benchmarking, and executive networking.<br />Areas of Expertise<br /><ul><li>HR and Learning platforms and solutions
    13. 13. Corporate learning and development
    14. 14. Talent management strategy and practices
    15. 15. Leadership development
    16. 16. Performance and compensation
    17. 17. Succession and career management
    18. 18. Workforce Planning</li></li></ul><li>Agenda<br />Changing Business & Talent Climate <br />Monkey in the “Middle”<br />Defining the “Middle” <br />Challenges & Risks<br />Value of Investing in the “Middle”<br />Best Practices in Career and Performance Management for the Middle<br />Managing performance <br />Developing capabilities<br />Supporting career options<br />Key Takeaways<br />Q&A<br />
    19. 19. Business Challenges Accelerating innovation, Rapid market changes, New products <br />Source Bersin & Associates TalentWatch Q4 2010 N=300<br />
    20. 20. Urgent Talent ChallengesRise in key positions and skills for new productsDecline in Retirement, Leadership, and Performance concerns<br />Source Bersin & Associates TalentWatch Q4 2010 N=300<br />
    21. 21. Who is in Our Workforce?<br />Traditionalists<br />Born: Pre-1945<br />Hierarchical, loyal to <br />institutions, motivated <br />by financial rewards <br />and security.<br />Baby Boomers<br />Born: 1946—1964 <br />Idealistic, competitive<br />and striving to achieve.<br />Generation X<br />Born: 1965—1979<br />Self-reliant, willing to <br />Change rules, tribal <br />and community-oriented<br />Generation Y<br />Born: 1980—2001<br />Confident, socially-<br />conscious, <br />family centric <br />and technology savvy<br />
    22. 22. The Inevitable Exodus<br />Gap in EmergingLeadership<br />Gaps in entry level workers<br />Diverse:<br />+33% Hispanic<br />+27% Asian<br />+7.5% Black+11% Women<br />Under-skilled.<br />(US) 22% of college <br />grads need additionalskills to start work<br />Lack of mobility:<br />Only 7% of new workers<br />able to relocate, vs. 18% in 2008 <br />25-34<br />35-44<br />45-54<br />55-64<br />65+<br />Workforce Demographics 2018New talent gaps emerge<br />
    23. 23. High-Impact Talent Management Framework ®New Approach to Talent Management<br />
    24. 24. Talent Management Maturity ModelLevels indicate increasing integration, business ownership & alignment<br />Level 4<br />Fully integrated processes and systems. <br />Talent management is business-driven.<br />7%<br />Level 3<br />Primary focus is on connecting. Single person or team responsible for talent goals & outcomes.<br />20%<br />Level 2<br />Beginning to identify connection points. Several systems primarily integrated through manual processes.<br />45%<br />Level 1<br />Individual talent processes or silos.<br /> May have systems in place but not connected.<br />28%<br />© Bersin & Associates, TM Factbook HR Practitioners, Jun 2010<br />
    25. 25. Impact of Mature Talent Management Lower turnover, higher promotion rates <br />
    26. 26. Segmenting Talent is Sound BusinessBut what happens if you aren’t “pivotal” talent?<br />Strategic<br />Value<br />Value Gap<br />Pivotal Job<br />Average<br />Performance<br />High<br />Performance<br />Low<br />Performance<br />A “pivotal” role, as described by John Boudreau and Peter Ramstad in their recent book Beyond HR, is a job that:<br /><ul><li>Has a disproportionate impact on the ability of the organization to differentiate itself in the marketplace
    27. 27. Has a wide range of performance variation doing the job</li></li></ul><li>Agenda<br />Changing Business & Talent Climate <br />Monkey in the “Middle”<br />Defining the “Middle” <br />Challenges & Risks<br />Value of Investing in the “Middle”<br />Best Practices in Career and Performance Management for the Middle<br />Managing performance <br />Developing capabilities<br />Supporting career options<br />Key Takeaways<br />Q&A<br />
    28. 28. Defining the MiddleConsistent Performers make up 74% of most companies <br />Source: Bersin & Associates High Impact PerformanceManagement research, 2011, n=200+<br />
    29. 29. Consistent Performers ChallengesThey get less attention, more work, and fewer options<br />High Potentials/Talent<br />High Expectations<br />High-Potential Programs<br />Opportunities w/ executives<br />Talent Programs<br />Coaching & Mentoring<br />Consistent Performers<br />Fewer Expectations<br />Fewer Opportunities<br />Low Performers<br />Performance Improvement Plans<br />Coaching & Mentoring<br />Employee Relations<br />
    30. 30. Defining the MiddleLine Managers are the forgotten front line<br />Managers who have not moved “up” or “over” for several years, and are content to stay in their current position. <br />Managers who’s direct reports have “good” but not “exceptional” engagement scores <br />Managers who have slowed down their career for personal reasons<br />CEO/<br />BoD<br />Exec. Team/<br />Senior Leaders<br />Business <br />Leaders<br />Team Managers<br />Team Leaders<br />Employees<br />
    31. 31. Squeezed Line ManagersLess preparation and more pressure<br />Greater Spans of Control <br />More work with less resources<br />Global Complexities<br />Faster Market Shifts & Greater Risks<br />Close to Retirement<br /><ul><li> Critical Talent Pools
    32. 32. Flexible work arrangements
    33. 33. Knowledge Sharing
    34. 34. Creating Mentoring & Coaching </li></ul>Next Generation Workers<br /><ul><li>Recruiting Challenges
    35. 35. Expect more feedback
    36. 36. More coaching & training
    37. 37. New ways of working
    38. 38. More Diverse</li></ul>Today’s Line Managers <br /><ul><li> Less Education
    39. 39. Succession Planning concerns
    40. 40. Assessments and reviews
    41. 41. Stop gap leadership development</li></ul>Number of employees in company<br />Demographic Ages<br />25-34<br />35-44<br />45-54<br />55-64<br />65+<br />
    42. 42. Lack of “Quality” Line ManagersNumber one anticipated hiring gap<br />Source Bersin & Associates TalentWatch Q4 2010 N=300<br />
    43. 43. Concerns over Line Manager Capabilities<br />Over 31% of Companies felt their Top Executives were highly capable<br />Compared to 6% who felt their mid-level and entry level managers were highly capable<br />Large Pharmaceutical Client Commented:<br />“We must re-establish the nobility of management in our company. Managers hold a sacred role, and we must prepare, coach and train them to succeed.”<br />Source Bersin & Associates TalentWatch Q4 2010 N=300<br />
    44. 44. Agenda<br />Changing Business & Talent Climate <br />Monkey in the “Middle”<br />Defining the “Middle” <br />Challenges & Risks<br />Value of Investing in the “Middle”<br />Best Practices in Career and Performance Management for the Middle<br />Managing performance <br />Developing capabilities<br />Supporting career options<br />Key Takeaways<br />Q&A<br />
    45. 45. Value of Investing in the MiddleExpected Increase in the Bottom Line<br />
    46. 46. Engaging Consistent PerformersBenefits of focusing on both numbers and culture<br />These employee’s play an integral role in supporting a companies culture and employment brand<br />They enable “A” Players to execute and perform<br />They become the “go-to” people within the organization<br />When supported and developed, they are less likely to leave an organization<br />They may be the most likely group of employees to speak up when politics or “egos” may be getting in the way<br />Are more likely to focus on what is best for an organization or their team<br />
    47. 47. HR, only as Effective as Line Managers1 to 1 relationship between increased Line Manager capabilities and HR effectiveness measures<br />Line Manager <br />Capabilities<br />HR Effectiveness<br />Improving HR solutions delivery to all employee’s reduces HR efficiencies by 5%<br />
    48. 48. Enable Line Managers for PerformanceHR has a critical role<br />Business Performance<br />Business Performance, Agility, Productivity, Innovation, Quality, Customer Service<br />Workforce Readiness<br />Engagement, Retention, Talent Mobility, Job Readiness, Goal AlignmentPerformance and Learning Culture<br />Management and LeadershipEffectiveness<br />Leadership Effectiveness, Leadership Pipeline, Management Capabilities<br />Business-Aligned Leadership Competencies<br />Employment Fundamentals (Essentials)<br />Hiring Legal Compliance, Payroll, Safety, Benefits<br />HR<br />Business Alignment<br />HR<br />Services Effectiveness<br />HR<br />Services Efficiency<br />
    49. 49. Agenda<br />Changing Business & Talent Climate <br />Monkey in the “Middle”<br />Defining the “Middle” <br />Challenges & Risks<br />Value of Investing in the “Middle”<br />Best Practices in Career and Performance Management for the Middle<br />Managing performance <br />Developing capabilities<br />Supporting career options<br />Key Takeaways<br />Q&A<br />
    50. 50. How Goals are Shared<br />How Does Your Organization Cascade Goals?<br />Board of Directors/CEO<br />Exec. Team/Senior Leaders<br />Business Leaders<br />Team Managers<br />Team Leaders<br />Employees<br />Source: Bersin & Associates High Impact PerformanceManagement research, 2011, n=200+<br />
    51. 51. Case Example: Company A<br />Company A<br />
    52. 52. Mid-Level Managers Fail to Keep Pace<br />Who Revises Their Goals?<br />Source: Bersin & Associates High Impact PerformanceManagement research, 2011, n=200+<br />
    53. 53. Continuous Goal ManagementOn-Going Tracking of Progress<br />
    54. 54. Case Example: Travel Ex<br />
    55. 55. Managing PerformanceMoving to an Ongoing Model of Performance<br />From This…<br />To This…<br />
    56. 56. Developing CapabilitiesWhat to Develop?<br />Most Frequently Delivered Topics for Mid-Level Managers<br />Source: Bersin & Associates High Impact <br />Leadership Development research, 2010, n=300+<br />
    57. 57. Case Example: Turner Broadcasting<br />Management Essentials<br />Length: 7 Months<br />Delivery Method: Blended<br />Pilot: 105 employees<br />Target Audience: New Middle Managers<br />Topics Covered:<br /><ul><li> Lifecycle of an employee
    58. 58. Hiring
    59. 59. Performance Management
    60. 60. Company policies and procedures
    61. 61. Soft Skills</li></ul>“Middle managers play a critical role in our organization, so it is important that we position them for success. People leave managers, not companies.  And if they’re not leaving, then they’re not as engaged or productive.” <br />~Michele Golden <br />VP of Talent Management<br />Turner Broadcasting <br />
    62. 62. Some Activities Have More Impact<br />Impact of Most Frequent Topics for Mid-Level Managers on <br />Their Engagement, Retention and Teamwork<br />Source: Bersin & Associates High Impact <br />Leadership Development research, 2010, n=300+<br />
    63. 63. Supporting Career OptionsThe Career Ladder…<br />Top<br />Management<br />Senior Management<br />Management Career Path<br />“Traditional High Potentials”<br />Experts<br />(Consultants)<br />Middle Management<br />Professional Career Path<br />“Traditional High Performers”<br />First Line Management<br />Senior Specialists<br />Functional Specialists / Front-Line Employees<br />Back Office, Operational, Contingent Employees<br />© Bersin & Associates<br />
    64. 64. …Has Changed<br />Modern Career Management<br />Division A<br />Top<br />Management<br />Top<br />Management<br />Top<br />Management<br />Senior Management<br />Senior Management<br />Senior Management<br />Division B<br />Division C<br />Experts<br />(Consultants)<br />Experts<br />(Consultants)<br />Experts<br />(Consultants)<br />Middle Management<br />Middle Management<br />Middle Management<br />First Line Management<br />First Line Management<br />First Line Management<br />Senior Specialists<br />Senior Specialists<br />Senior Specialists<br />Functional Specialists / Front-Line Employees<br />Functional Specialists / Front-Line Employees<br />Functional Specialists / Front-Line Employees<br />Back Office, Operational, Contingent Employees<br />Back Office, Operational, Contingent Employees<br />Back Office, Operational, Contingent Employees<br />
    65. 65. Example: Deloitte’s Corporate Lattice<br />Career Ladder<br />Career Lattice<br /><ul><li> More conducive to evolving matrix structure
    66. 66. Multiple paths upward
    67. 67. Flexible speed/direction
    68. 68. Career/life fit
    69. 69. Adjusts to workers’ needs over time
    70. 70. Traditional hierarchy
    71. 71. Single path upward
    72. 72. Moving up or not at all
    73. 73. Work versus life
    74. 74. Assumes workers’ needs remain constant
    75. 75. Retaining critical talent
    76. 76. Upward momentum</li></li></ul><li>Sample People Profile<br />Employee Driven<br />Visible to Leadership<br />Manager Supplemented<br />Enables Two-Way Communication<br />Reduces Career Management Burden<br />
    77. 77. Career Stakeholder Roles<br />EMPLOYEE<br />MANAGER<br />HR<br />COMPANY<br /><ul><li>Identify Career Goals
    78. 78. Maintain Profiles
    79. 79. Demonstrate Values
    80. 80. Socialize
    81. 81. Create Networks
    82. 82. Define Job Profiles
    83. 83. Provide Coaching
    84. 84. Assess Potential
    85. 85. Identify Development Opportunities
    86. 86. Provide Candid Feedback
    87. 87. Provides Tools and Resources
    88. 88. Facilitate Process
    89. 89. Offer Career Coaching
    90. 90. Career Development Training
    91. 91. Integrate with Talent Mgmt
    92. 92. Develop Infrastructure – Process, Technology, People
    93. 93. Create Culture
    94. 94. Communicate Expectations
    95. 95. Be Transparent</li></li></ul><li>Agenda<br />Changing Business & Talent Climate <br />Monkey in the “Middle”<br />Defining the “Middle” <br />Challenges & Risks<br />Value of Investing in the “Middle”<br />Best Practices in Career and Performance Management for the Middle<br />Managing performance <br />Developing capabilities<br />Supporting career options<br />Key Takeaways<br />Q&A<br />
    96. 96. Key Takeaways<br />Changing business challenges requires changing approaches to talent management<br />Changing expectations of employees requires a different approach to managing the middle<br />The middle is not “average” performers – instead they are the untapped potential of your organization. <br />Line Managers are the “forgotten” heroes on the front lines <br />Improving line manager capabilities improves employee engagement and HR effectiveness<br />Create a more effective goal alignment process that supports line managers and middle performers<br />Development programs increase capabilities and open more options<br />Career management focuses on options more than specific paths<br />
    97. 97. Agenda<br />Changing Business & Talent Climate <br />Monkey in the “Middle”<br />Defining the “Middle” <br />Challenges & Risks<br />Value of Investing in the “Middle”<br />Best Practices in Career and Performance Management for the Middle<br />Managing performance <br />Developing capabilities<br />Supporting career options<br />Key Takeaways<br />Q&A<br />
    98. 98. Questions & Comments<br />Feel free to contact Stacey Harris or Stacia Garr with Questions or Comments at:<br />Stacia.Garr@bersin.com<br />Stacey.harris@bersin.com<br />
    99. 99. Join Our Next TM Webinar <br />Tuesday, March 1, 2011<br />The New Drivers of Recruiting and How Technology Should Enable Them<br />TM Webinars start at 2 p.m. Eastern / 11 a.m. Pacific<br />Register for upcoming TM Webinars at <br />www.talentmgt.com/events<br />Join the Talent Management magazine Networkhttp://network.talentmgt.com/<br />#TMwebinar<br />

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