Achieving Results with Talent Mobility: Case Studies and Lessons Learned

Achieving Results With Talent Mobility:
Case Studies and Lessons Learned
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Speaker: Bobby Morris
Talent Management Strategist
SumTotal Systems

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Vice President, Editorial Director
Talent Management magazine

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Mike Prokopeak
Vice President, Editorial Director
Talent Management magazine

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Bobby Morris
SumTotal Systems

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Achieving Results
with Talent Mobility
– Case Studies &
Lessons Learned

Bobby Morris
SumTotal Systems

Today’s Discussion

■ Research Methodology
■ Definitions & Challenges
■ Organizing for Success
■ Talent Mobility & Sourcing
■ Game Planning
■ The Talent Mobility Ecosystem
■ Talent Mobility in Action
■ About SumTotal
■ Q&A

Page 8 - August 15, 2012

Research Methodology
■ SumTotal’s 2010 “State of Global People The data from this
Management” survey research will be
referenced throughout
■ 300 HR professionals interviewed the presentation

■ Global, web-based survey
■ 69% North America
■ 24% UK & EMEA
■ 7% APAC

■ Nearly 20 industries represented

■ Large Enterprises & Small Medium
Businesses represented
■ 55% >5,000 ee; 45% 100-5,000 ee


Talent Mobility is…
■ A business strategy that facilitates organizational agility
■ A mechanism for acquiring and retaining high performing talent
■ A recruiting philosophy that favors internal sourcing
■ A method for aligning organization and individual needs
■ A proactive and ongoing approach to succession planning

A systematic talent mobility strategy enables organizations to
more effectively acquire, engage, develop, align, and retain high
performing talent by implementing a consistent, repeatable, and
global process for talent rotation.


Current State of Talent Mobility

“Talent mobility figures prominently in any contemporary
discussion on global economic and social trends.
Indeed, greater talent mobility can help address talent
shortages and close skill gaps.”

Source: Patricia A. Milligan and Haig R. Nalbantian, Talent Management Magazine, August 2012


Top 5 CEO Concerns – Talent Shortage!

Loss of Customers

Talent & Skills Shortage

Reputational Risk

Currently Fluctuation

Changing Legislation


Key Challenges & Barriers
Challenges Barriers

■ Aligning current and future ■ No single, complete view of
talent needs to rapidly global talent due to spaghetti
changing business needs mix of processes, systems, and
■ Developing deep talent data
succession pools and bench ■ No succession planning
strength process, or one focused only
■ Retaining high performers and on senior execs (65% of orgs)
potentials / reducing flight (#2 ■ Inconsistent employee
HR priority) assessment process and
■ Reducing external recruiting inability to calibrate ratings
costs ■ Sporadic and informal
■ Improving overall HR employee development
measurement and reporting process

Source: SumTotal Systems, 2010 State of Global People Management Survey


Did You Know That…

…47% of organizations do not currently have the ability
to easily identify their high performers?

and…

…56% of HR leaders do not believe that their workforces
are adequately prepared to meet their organizations’
future growth plans?



Getting Started: Organizing for Success

■ Develop your people management strategy
■ Must be aligned to overall business objectives & strategy
■ 48% of organizations have no strategy or only a very basic one
■ Assign a dedicated senior executive who is responsible for overall
vision and execution of your strategy and programs
■ 60% of organizations have done this, with another 11% planning to do it
■ Integrate your talent functions from a process, systems, and data
perspective
■ Performance, succession, development, learning, recruiting, etc.
■ Only 12% of organizations report complete integration from a process and
technology perspective

Our analysis of people management “leaders” reveals that they outperform
“laggards” by 37% across 12 key business and HR operating metrics.


Where Leaders Outperform Laggards

■ Better internal talent mobility
■ Decreased voluntary turnover
■ Improved workforce alignment to overall strategy
■ Workforce responds more quickly to changing business needs
■ Increased workforce productivity

Institutionalizing people management strategy, accountability, and
integration has a profound effect on improving talent mobility and
reducing high performer flight.



How HR Technology Can Help Reduce High Performer Flight



Bersin: Talent Management Maturity Model

Level 4: Business-Integrated HR
HR strategy part of the business strategy.
HR helps to drive business decisions through people, data and insights.
Business and HR systems integrated and advanced.

Level 3: Strategic HR Department
HR aligned with business strategy.
HR functions supporting business needs.
Initiatives split between HR process improvements and talent needs.

Level 2: Fundamental HR Services
HR strategy partially or fully defined. Siloed HR functions.
Some standardized processes and policies; core services managed well.
Some automated talent systems, but little integration of data.

Level 1: Compliance-Driven HR Services
No HR strategy.
Personnel function, mostly separate from business and talent needs.
Line managers perform HR activities as they see best.

Source: Bersin & Associates, The HR Factbook® 2011


Higher Degree of Maturity = Better Results

Source: Bersin & Associates, The HR Factbook® 2011


Analyst Perspective
“The next big trend is talent mobility – the term … is now white hot.”

Organizations have a “desperate need …to create a more dynamic
process for internal movement. This is good for peoples’ careers, good
for employee engagement and saves money on recruiting – to say
nothing of the fact that talent mobility allows companies to hold onto
their highly trained people.”

Source: Bersin & Associates, Josh Bersin,
“Strategic Human Resources and Talent Management: Predictions for 2012”, November 2011


Current State of Talent Sourcing

Open Create Source
Position Requisition (Mostly External)

External sourcing is the de facto standard because most organizations
do not have the tools and business intelligence to effectively source
and rotate talent internally.


Is There a Better Way?
• Talent pools & bench
strength depth
• Positions & people at risk
Open
Decision • Existing development &
Position career plans
• Employee performance
assessments
• Position demand
Example: A $20 Billion footwear & (market-factors)
apparel manufacturer’s goal is go
Internal External
from <5% to 75% internal sourcing
(75%) (25%)
within three years. This is an
essential component of its talent
mobility strategy.

Talent Create
Pools Req.


Game Planning Approach to Talent Mobility

Goal: Align people (hi-pos) at risk to positions at risk
• Certain indicators flag risk, which opens the door to more thorough
analysis and discussions

Game planning answers these key questions:
• What do we have from a current talent “inventory” perspective?
• Which hi-pos are a flight risk and why?
• Which critical positions are at risk or will be at risk in the near future
(weak bench)?
• What positions will become open in 6-9 months and how do we plan to fill
them?
• How can I provide more meaningful work and/or career paths to ensure
my hi-pos are engaged and getting what they need to be successful?
• Can we take at risk hi-pos and put them in open positions today (or
develop them to be ready in the future)?


The Talent Mobility Ecosystem
Centralized employee records (HRMS), Integrated Reporting & Workforce Analytics
talent profiles, competencies, & job
profiles Talent-Based
System of
Strategy planning, potential
Record
assessments, flight risk, 9-box
Organization hierarchy calibration, & talent pool
structures as reflected by management
pay & impact analysis of Succession
Compensation
movement Planning

Performance reviews, ratings
calibration, goal alignment, &
high performer identification
Talent
Hiring & Mobility Performance
Recruiting Management

Talent sourcing
(internal / external) &
extending talent pools
to external candidates

Individual development plans & pool-
Learning Development based development (skills,
competencies, and behaviors)
Development plan execution,
formal and informal training, &
progress / results tracking


Where do I get a “Talent Mobility
Ecosystem?”

Which of the following best describes the state of your talent management system(s)? Where do
you anticipate your organization will be by 2011?

Organizations currently using a single “best-of-breed” platform report:
- Better internal talent mobility
- Improved workforce alignment to overall strategy
- Workforce responds more quickly to changing business needs
- Reduced administration overhead and costs

Source: SumTotal’s 2010 State of Global People Management Survey


Talent Mobility in Action
Key Challenges:
 Global consistency in managing employees
Background  Employee commitment & loyalty
 Highly diversified, global company located in
 Talent mobility across multiple divisions
Mexico and consisting of four businesses:
petrochemicals, aluminum auto parts,  High performer retention & employee satisfaction
refrigerated food, and telecommunications
 Deployed in 16 Countries
Approach:
 Obtained stakeholder input and support upfront
Industries
 Global Conglomerate (Chemicals, Consumer  Communicated and promoted the application
Goods, Manufacturing, Telecom)  Multi-phase rollout (core records, TM, Analytics)
Users Why SumTotal Was Selected:
 50,000+
 Only end-to-end offering in single platform
Deployed Products  Deep understanding of effective global deployments
 HR Management (HRMS)
 Learning Management
Results:
 Performance Management  Employee driven development process
 Recruiting & Hiring
 Succession Planning  Greater global talent mobility
 HR elevated to strategic function to impact business outcomes

“Only vendor that had everything we needed”

Talent Mobility in Action Again
Key Challenges:
 Increase retention rate for global engineering talent
Background  Implement a succession plan to replace key positions that retire
 Designs, engineers and supplies air  Improve time-to-productivity for new engineers
and gas handling equipment
 Give executives better visibility into HR data and key talent metrics
 Employees in 17 countries
Approach:
Industry  Unified HR information across 17 countries
 Manufacturing
 Howden Academy improves retention and time-to-competency
Users  Retained talent through Engineering Career Ladder program using
 3,800+ performance, development and succession planning solutions
Why SumTotal Was Selected:
Deployed Products
 One system to provide visibility on talent information across the globe
 Performance Management
 Succession Planning Results:
 HR Management  Reduced turnover rates among new and existing engineering staff
 Learning Management
 Increased process efficiencies across Howden for all HR activities
 Provided managers better and more timely HR information
 Improved time-to-productivity for on-boarded engineers
“Ability to link together the components…helped us execute this program”

Summary

■ A majority of today’s HR leaders do not think that their workforce
is prepared for future business needs

■ Talent mobility directly affect workforce preparedness
■ Institutionalizing people management strategy, accountability, and
integration has a profound effect on improving talent mobility and
reducing high performer flight

■ Several technology solutions can directly improve talent mobility
■ Single best of breed platforms report better business results


SumTotal – What We Offer

Complete End-to-end Talent Solution

■ Deployed in 156 countries &
People: Product: 39 languages
Complete ■ 20+ years of Domain
HR End-to-End Experience
Process HR ■ Rapidly Scalable Global
Expertise Platform Infrastructure
■ Profitable with Consistent
Growth
Services: Results: ■ Significant Financial Backing
■ Long-standing Global
Solution Deep Customer Community
Consulting Reporting ■ Offices in US, Europe, India,
& Support & Analytics China, Japan, & Australia
■ One Partner for All of Your
Talent Needs


SumTotal Strategic HCM Solution
Empowering Customers to Become Stronger Strategic Business Partners

■ Providing Actionable Insight

■ Enabling End-to-End
Integrated Business
Processes

■ Driving Productive, Pervasive
Access

■ Improving Time-to-Value and
Reducing Cost of Ownership

■ Enabling collaborative solution
development community


Long Lasting Customer Relationships
Broader Offerings, Improved Operations, High Customer Retention

SumTotal
Worldwide Leader
Market Share (users)

in Strategic HCM

3,500+
Customers

Over 45+ Million
End-Users

Leader in SMB,
Mid-Market &
Enterprise
Solutions

Global Scalability

March 5th, 2012

Most Advanced - Recognized as Leader by Analysts
6+ Years in the Leader’s Quadrant (Gartner CLS MQ)
“SumTotal has established itself as the market share and mind share leader …”
2+ Years Rated “Visionary” (Gartner EPM MQ)
“…well suited for global organizations … seeking best-in-class functionality”

Global Market Share Leader for Learning (Bersin 2011 LMS Systems)
“Highly configurable” … “Market leading Learning Management” … ”best-suited to
large, global organizations.”

2+ Years Rated Highest Overall (Ventana Total Compensation)
“The top ranked supplier based on the weighted factoring of five product and two
customer assurance categories …”

4 + Years in the Leaders Section (Forrester Wave LM)
“Forrester Wave for Enterprise Learning Suites”
Leader in Every Section of Forrester Wave (2011 Forrester TM)
“...among the leaders for integrated performance & compensation solutions”

Highest Rated Overall (AMR Strategic HCM)
“...the broadest and most mature application suite in the strategic HCM specialist
space”


Free Talent Management Resources
Visit www.sumtotalsystems.com

Customer Case Studies
■ Alfa Case Study – Manufacturing & Automotive
■ Howden Case Study – Manufacturing & Automotive
■ Lifetouch Case Study – Services
■ Lion Case Study – Retail & Consumer Products

Whitepapers
■ The Definitive Guide to Talent Mobility
■ The CEO’s Guide to Top Performer Retention
■ Leveraging Integrated Human Capital Processes to Optimize
Organizational Success
■ Retaining Talent with Compensation Management:
Trends in Employee Compensation

Questions and Answers

Bobby Morris
SumTotal Systems

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