Lead Lease: The evolution of our workforce

The beginning…

- 200 Houses in Snowy Mountains (Civil & Civic)

- Stage one of Opera House

- Lend Lease Corporation formed

- Australia Square opens

- Operations expand around Australia

- Superannuation for employees introduced

- First female Director

- GPT is formed

- Profit share is introduced

- Operations expand into Singapore and the US

1950 - 1959

1960 - 1969

1970 - 1979

1 STRUCTURE

ESTABLISHED

Australian Diversity

Council established

& ERG approach

approved

5 Rapid growth and expansion…

- Lend Lease expands through US, Asia & Europe

- Lend Lease acquires Bovis

- Foundation launches Community Day

- Lend Lease acquires MLC

- Foundation is formed for employees

- Duss receives Order of Australia

1980 - 1989

1990 - 1999

2013 2000 1990 1980 1970 1960

Approach to workforce planning

Revenue

$74M

Employees

2,700

Revenue

$372M

Employees

3,900

Revenue

$1.8B

Employees

7,000

Revenue

$12.9B

Employees

9,700

Revenue

£2.7M

Employees

950

Dev. Pipeline

$37.4B

Employees

16,000

‘2G’ plan

1

5 The leadership alumni… John

Morschel

John Arthur

Roger Burrows

Michael Cameron

Lynnette Mayne

Bob Johnston

Peter Scott

John Mulcahy

Susan

Lloyd-Hurwitz

Tom Pocket Group COO, Westpac

CFO, Asciano

CEO, GPT

Executive Chair

Work Wear World

CEO, Australand

Chairman, Perpetual

Chairman, Mirvac

CEO, Mirvac

Finance Director,

Woolworths

Chairman, ANZ Bank

Approach to workforce planning

2013 2000 1990 1980 1970 1960

Revenue

$74M

Employees

2,700

Revenue

$372M

Employees

3,900

Revenue

$1.8B

Employees

7,000

Revenue

$12.9B

Employees

9,700

Revenue

£2.7M

Employees

950

Dev. Pipeline

$37.4B

Employees

16,000

‘2R’ plan

2013 2000 1990 1980 1970 1960

Revenue

$74M

Employees

2,700

Revenue

$372M

Employees

3,900

Revenue

$1.8B

Employees

7,000

Revenue

$12.9B

Employees

9,700

Revenue

£2.7M

Employees

950

Dev. Pipeline

$37.4B

Employees

16,000

Strategic workforce planning

Determine roles of interest

Establish the current state and

analyse historical

trends

Determine desired forecast

scenarios

Identify gaps

Establish HR action

plans

The right number of

people,

with the right skills,

in the right place,

at the right time,

at the right cost.

=

The ability to derive action plans from the analyses

+

Driven by Business Plan

Where are we heading?

What change

do HR drive?

Where

to invest

now?

Strategic workforce planning

Driven by Business Plan

Role of HR Business Partners

HR Business Partner skills

Commercial competencies

Understand the relationship between commercial decisions and resource planning.

Understand the design and process for the Lend Lease Group’s resource planning forecasting models.

Understand and keep up to date with the external variables that impact on resource decisions.

Ability and willingness to promote the strategic approach to resource strategy

Consulting competencies

Ability to analyse current and future objectives and articulate the resourcing considerations and resulting business impacts

Ability to link resourcing impacts to commercial decisions.

Ability to influence business practices and decisions.

Ability to effectively discuss resource forecasts with finance teams.

Ability to manage Strategic Workforce Planning for the relevant business units with the ability to discuss fiscal detail.

Determine roles of interest

Establish the current state and

analyse historical

trends

Determine desired forecast

scenarios

Identify gaps

Establish HR action

plans

The right number of

people,

with the right skills,

in the right place,

at the right time,

at the right cost.

=

The ability to derive action plans from the analyses

+

Driven by Business Plan

Where are we heading?

What change

do HR drive?

Where

to invest

now?

Strategic workforce planning

Driven by Business Plan

Pivotal Roles

• A disproportionate impact on the ability of the organisation to execute strategy or differentiate itself in the marketplace; and

1. A pivotal role has;

• Questions to Ask:

Strategic Alignment – Critical, Core, Support

• Difference between top and average performance

Technical Skills of high performers? Profile of high performers? Capabilities / “soft skills” of high performers?

• Align HR Approaches to optimising for high performance (and/or innovation, and/or culture)

2. A wide range of performance variation in performing the job;

• Alignment to Strategy

• External Labour Market

• Projected Future Supply / Demand Imbalance (ABS / BLS / Eurostat / ILO)

• Current Days to Fill; Time to Competence vs Turnover (especially early turnover)

• Rate of Skills Change & Rate of Growth

• Age Profile and Demographics (e.g. Pending Retirement Risk; “Glass Ceiling”)

Other Factors determining roles of interest;

Pivotal Roles

Boudreau and Ramstad, Beyond HR, 2007

Lend Lease: The evolution of our workforce