(BridgeKnowle) Year End Checklist for HR - Main Slides

http://totallyunrelatedrandomanddebatable.blogspot.com/

YEAR-END CHECKLIST FOR HR DEPARTMENTS[Complete Guide to Managing Year End HR Matters]

Training Session and Workshop

Kenny Ong



THE BATTLE FOR TALENT Staff Attraction & Retention



Intro:

“Cow don’t drink water cannot push cow head down”



Question: Talent Management for Who?

Excellent

Very Good

Average

Not Good

Commit Suicide



Before we start…

1. Who designs your Talent Management programs?

2. Are you in the Talent Pool?

3. Do you qualify?

4. “It takes a crook to catch a crook”



Talent Segmentation

• Who are your Talents?

: A Talent for others does not mean a Talent for you



Talent Segment Targeting

• Unwanted by big MNCs• Small companies• Boring Environment• No Growth/Learning• No MBA• Passion, Values, IQ (streetsmart)• Appreciate Chaos• Multitask• Passion to Learn



Talent Segmentation

Group I

(Talent Pool)

23

45

PE

RF

OR

MA

NC

E

2 3 4 5

POTENTIAL• Identify



Talent Segmentation

Group I

(Talent Pool)

Group II

( Potential)

Group III

( Performance)

Group IV

(Counseling)

2 3 4 5

23

45

PE

RF

OR

MA

NC

E




Selection and Identification

PERFORMANCE APPRAISAL

1. Results

2. Values

3. Special Contributions




POTENTIAL EVALUATION

1. Capacity

2. Competencies

3. Culture





1. Capacity

Learn

Next Level

Ambition





2. Competencies

Competent

Reliable/Consistent

Pressure





3. Culture

Demonstrate

Improve

Influence



Exercise

Define ‘Performance’ Define ‘Potential’



Exercise

• Exercise:

1.Factors for Performance Appraisal

2.Factors for Potential Appraisal



Talent Scarcity and Brain-Drain Problem

1. Change your Business

2. Change your Business Model

3. Re-locate

4. In-Source

5. JV or Partnership or Swap

6. Create micro Business Units

7. Over Promote

8. Over Pay

9. Contractual tie-up

10.Hire Low, Train High



SALARY & BENEFITS: HOW IT FITS INTO THE BIGGER SCHEME OF THINGS



Brand Execution: Aligning the 4-Wheels

Philosophies

Brand

PositionSegmentation & Targeting

StructureResources

Leadership

Person



Brand Alignment: Talent Segment Philosophies

Principles HR Philosophy

1.Equal / Fair

2.Happy / Productive


4.Performance vs Potential

5.SP drives TM

6.Talent Pool owned by the company

7.Retention / Engagement



Brand Alignment: Demographics Segment Philosophies?




Alignment: Framework

• Org Structure• Job Design• C&B• Policies & procedures• Decision making• Job fit• Management Systems• BSC and KPIs• Decentralized vs. Centralized • Control vs. Empower

Structure



Strategy: Framework

• Tools• Physical facilities• Peer support• Information• T&D Programs• Mentors• Guides• ICT• OJT

Resources



Strategy: Framework

• Role modeling• Vision/Mission/Philosophy• Leadership Style• Delegation & Empowerment• C&B• Promotions• Transition development

Leadership



Strategy: Framework

• Recognition• Recruitment• Training• Values• Motivation• Self Efficacy• Awareness• Useful Competencies• Career aspirations• Attribution (control)

Person



Alignment: 4-Wheels Model

Philosophies

Brand

PositionSegmentation & Targeting

StructureResources

Leadership

Person



• Exercise: Use the 4-wheels to determine corporate alignment needs



Consulting Process and Deliverables

28



SALARY & BENEFITS



What to Pay?

• Pay for Service• Pay for Job• Pay for Competency• Pay for Performance



Performance and Incentives

1. Internal Equity1. Internal Job Rates

2. Performance differentials

2. External Competitiveness1. External Job Rates - Benchmarking

2. Demand & Supply



What’s the Difference?

• Increment

• Bonus

• Promotion

Exercise: How does your company define the difference?



Pay For SERVICE



“He has 20 years experience: 1 year of bad experience

repeated 20 times”



Pay for SERVICE

• Loyalty (relevant years of service)This consideration may be rewarded in the following manner :-

Descriptions of performance Years in Position

Compa Ratio

Consistently 10 years of competent performance in the position

10 1.43-1.50


9 1.36-1.42


8 1.29-1.35


7 1.21-1.28


6 1.13-1.20


5 1.06-1.12


4 1.00-1.05



Pay for SERVICE

• Seniority (career level on the professional career level)

We do not recommend that years of service(Seniority) in the organization be rewarded directly. Years of service must contribute to performance improvement or must lead to structural and content change of the position.

In both cases the recognition can be systematically rewarded as explained earlier.



Pay For JOB



JOB DESIGNDocumentation



District Engineer, TNB

Duties and Responsibilities

If stated as Accountabilities then the job must produce :

Control, operate and maintain the District Distribution System

Ensure uninterrupted supply to consumers in the district by operating the District Distribution System.

Manage major supply projects to customers in the district.

Ensure satisfaction of the major customers in the district by managing supply and Distribution.

Supervise all technical staff in the district.

Ensure high performance and Productivity of technical staff by adopting proper human resource management methods on selection, training, coaching, counselling and motivation.

Plan and design the High voltage system

Ensure availability of adequate supply for future needs of industries in the district by planning and designing the High voltage System



Results Driven

Activity vs. Accountability



Exercise: Results Description

Key Result

Key Activities KPIs

1. 1.2.3.4.

1.2.3.4.

2. 1.2.3.4.

1.2.3.4.

3. 1.2.3.4.

1.2.3.4.

4. 1.2.3.4.

1.2.3.4.



Key Results

Major Supporting Actions Performance Indicators

1. Ensure achievement of targeted production volume

•By monitoring production performance and taking corrective actions•By analysing production downtime and introducing improvements•By thorough preparation for introduction and implementation of new models and variants

•Timely production targets•Productivity ratios•Downtime•Implementation schedule•

2. Ensure achievement of product quality targets

•By reviewing quality performance results and identifying non conformance and undertaking corrective actions•By analysing customer feedback and taking corrective actions•By undertaking on-line and off-line continuous quality improvement programs and activities•By undertaking education and re-education programs

•Quality index•Defect occurrence•Non-conformance to established standards•Demerit points

General Manager, Manufacturing



Key Results


3. Ensure safe and healthy operating environment

•By incorporating safety and health features into infrastructure design and development•By creating awareness of safety and health among employees through programs and campaigns•By constant monitoring of safety and health standards through working committees•By developing and implementing occupational health programs

•Accident rate•Health standards•Operation audit findings

4. Ensure competent, motivated and productive manufacturing workforce

•By developing and implementing on-the-job training•By developing and promoting effective communication with employees and union•By ensuring continuous development and upgrading of skills•By providing appropriate recognition and rewards for high performance•By promoting teamwork through QCC and 5s activities

•Productivity ratios•Turnover rate•Employee morale•Team activities•Strikes / disciplinary actions




Key Results


5. Enhance operating efficiency and productivity

•By ensuring effective and efficient maintenance of plant, machinery and resources•By reducing wastage and eliminating pilferage•By reducing and managing indirect overtime•By managing utilisation of consumables and materials

•Operating efficiency standards•Cost per unit•Wastages and losses

6. Timely execution of projects

•By undertaking effective planning and provision of resources•By monitoring implementation and progress of projects•By managing project costs•By developing effective project teams

•Timely completion of projects within cost allocation




Salary Practice Analysis of Executive Director Positions

Market Base Salary Practice of Executive Directors

y = 7333.3x - 53742

0

20,000

40,000

60,000

80,000

100,000

120,000

8 9 10 11 12 13 14 15 16 17Market Reference Job Grade

Mon

thly

Bas

e Sa

lary

(R

M)

Q 3

Median

Q 1



Pay For PERFORMANCE



Behavior-based

Knowledge/Skill based

Results-based

Trait-based

Which system should we use?

Managing Performance = Managing Expectations

What’s YOUR expectation?

Activity based

Refer: Which Performance

Management System should we use?



Compa Ratio Table

Use this if your company: • Pays for Performance, and • Pays for Job rates

Def:

Mid-Point = Mid Point of Pay Grade

Grade E2

Min RM2,000

MID RM2,500

Max RM3,000



Compa Ratio Analysis – An Indicator of Salary Position

Compa Ratio (CR) =

Actual Salary ÷ Mid-Point Salary of the Salary Range

Sal

ary

(RM

)

Job Points

75th Percentile

CR = 1.00

CR = 1.30

CR = 0.70



Incumbent Mkt Reference Job Grade

Mid Point Salary for the Market Job

Grade

Current Monthly

Base Salary

Compa Ratio

ABC 2 RM2,6000

RM2,600

1.00

Hj XYZ 2 RM2,600

RM2,750

1.05

GHI 2 RM2,600

RM2,400

0.75

Incumbents’ Salary Analysis

Incumbents’ monthly base salaries compared with mid-point salary of the recommended salary range :-

This job grade represents the measured “job size” based on current job accountabilities



Compa Ratio Table

< 0.7 ≥0.7 - ≤0.9

>0.9 - <1.1

≥1.1 - ≤1.3

> 1.3

5

4

3

2

1



Compa Ratio Table

< 0.7 ≥0.7 - ≤0.9

>0.9 - <1.1

≥1.1 - ≤1.3

> 1.3

5

4

3 5%

2

1



Compa Ratio Table

< 0.7 ≥0.7 - ≤0.9

>0.9 - <1.1

≥1.1 - ≤1.3

> 1.3

5 9

4 7

3 9 7 5% 4 3

2 2

1 0



Compa Ratio Table

< 0.7 ≥0.7 - ≤0.9

>0.9 - <1.1

≥1.1 - ≤1.3

> 1.3

5 15 12 9 8 7

4 12 9 7 5 3

3 9 7 5% 4 3

2 6 4 2 1 0

1 4 2 0 0 0



Employee Distinction?

< 0.7 ≥0.7 - ≤0.9

>0.9 - <1.1

≥1.1 - ≤1.3

> 1.3

5 9 8 7 6 5

4 8 7 6 5 4

3 7 6 5% 4 3

2 6 5 4 3 2

1 5 4 3 2 1



Employee Distinction?

< 0.7 ≥0.7 - ≤0.9

>0.9 - <1.1

≥1.1 - ≤1.3

> 1.3

5 20 15 12 8 5

4 18 12 9 5 3

3 9 7 5% 4 3

2 1 1 1 0 0

1 0 0 0 0 0



Employee Distinction

Average Rating

Rating Multiply Factor

Example Rating

Example Increme

nt

> 4.1 5 2 4.2 8.4%

> 3.3 – 4.1 4 1.2 3.5 4.2%

> 2.3 – 3.3 3 0.75 2.8 2.1%

> 1.3 – 2.3 2 0.5 1.8 0.9%

≤ 1.3 1 0 1.0 0%



Job Holder’s Salary Determination Model

Performance Rating

Descriptions

Rating

Distinguished 5

Commendable 4

Competent 3

Adequate 2

Entry zone / unsatisfactory

1

Step 1Descriptions of

performanceYears in Position

Salary Range


8 32,756 – 33,740


7 31,801 – 32,755


6 30,876 – 31,800


5 29,976 – 30,875


4 29,101 – 29,975


3 26,000 – 29,100

Step 2Personal

Contribution Level

Rating Recognition (%

increment)

Unique AuthorityThe individual is a recognised industry leader in the field.

3 10%

SignificantThe individual brings market-recognised characteristics to the job.

2 5%

Insignificant 1 0%

Step 3



Job Holder’s Salary Determination

The significant compensable elements of the three incumbents are linked below showing the related salary decision :-

Incumbent Mkt Ref. Job

Grade

Current Monthly

Base Salary

Mid Point Salary

ABC 11 RM27,500

RM26,000

XYZ 11 RM27,500

RM26,000

DEF 11 RM27,500

RM26,000

New

Salary

(RM)

New

Compa

Ratio

27,500

28,875

27,500

1.05

1.11

1.05

Incumbent’s Performance

RatingCurrent Sal. CR

3

3

3

1.05

1.05

1.05

Step 1

26,000 – 29,100 (current salary already within

the range)


the range)


the range)

Yrs in Pst’n

Loyalty

Min Sal.Level

3

3

3

Step 2

%Increase

PersonalCharacteristics

Level

1

2

1

0%

5%

0%

Step 3



Employee Distinction

Group I

(Talent Pool)

Group II

( Potential)

Group III

( Performance)

Group IV

(Counseling)

2 3 4 5

23

45

PE

RF

OR

MA

NC

E




Curse of the Bell Curve

‘A’ Staff

‘B’ Staff

‘D’ Staff

‘E’ Staff

‘C’ Staff


http://upload.wikimedia.org/wikipedia/commons/8/8c/Standard_deviation_diagram.svg


Pay For COMPETENCIES



Position: SecretaryResponsibilities + Tasks + Activities

Personal Competencies Differentiating Competencies

The Job Person Characteristics The Superior Performer

•Typing•Manages communications•Keeps short-hand notes•Makes appointments•Uses the computer•Filing•Takes minutes•Follow-up•Makes coffee•Keeps secrets•Drafts letter•Screens calls

•Pleasant•Accurate•Is able to take notes on shorthand and typing memo effectively•Presentable

•Appearance•Behaviours

•Good manners•Courteous•Diligent

•Proactive•Initiative•Independent•Integrity (trust)•Creative•Resourcefulness•Always excel•Unwavering dedication and commitment•Ability to make simple decisions•Sensitive to people•Positive attitude



Competencies



Competency Target Setting

1. Initiative

2. Teamwork

3. Problem Solving

4. Leadership

5. Integrity

What’s the problem here?



Competency Target Setting

Initiative

1. Minimize problems quickly without needing to be asked

2. Seeks personal growth and professional self-development

3. Doing more than is required/expected in a job

4. Seeks new and improved solutions and approaches to completing assignments

5. Looks for opportunities to help others and team



• Exercise: Competency Dictionary

• (Refer to Workbook for examples)



Competency Standards

3 Meets behavioral standards consistently. Is a good role model for others.

2 Meets behavioral standards some of the time. Needs improvement.

1 Does not meet behavioral standards. Require counseling or disciplinary actions.



Exercise: Competency Standards



• The Specialist Career Ladder



Career Management

A professional of the past The new career professional

Where is my job

GM

Manager Manager

Asst Mgr Asst Mgr

Executive

Seasoned Professional

Senior Professional

Developing Professional

Developmental Executive

I need an interesting career



SCL: Specialist Career Ladder

Associate Specialist (2)

Specialist (4)

Consultant (4)

Principal Consultant (1)




•Telco, •Outsourcing, •Aerospace, •Biotech,•Digital media, •Animation, •M&A•Financial forensics


Specialist (4)

Consultant (4)





General incentives & privileges:

a. Extra monetary incentive

b. Official Specialist / Consultant job title.

c. Higher external training subsidy limit by company.

d. Tie-pin or pin

e. Certificate

f. Additional benefits

General qualifying/re-qualifying criteria:a. Meet the competency criteriab. Performance min B, PEDc. Min. 40 training hr/yeard. Physical contribution: i Mentoring ii Write-up iii Speaking iv Multimedia recording v R&D publication / Thesis



Non-Monetary Rewardsand Benefits



Reminder…

Reality #1

Cash is King



Reminder …

Reality #2

Tangible C&B

Attraction



Reminder …

Reality #3

In-Tangible C&B

Retention



Reminder …

Reality #4

In-Tangible C&B

Tipping Point for Attraction/Retention



Benefits Analysis and Comparison



Total Remuneration Composition

46% 12% 42%

45% 6% 49%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Percentage

10 - 11

12 - 16

Mar

ket

Ref

eren

ce J

ob G

rade

Total Remuneration Composition for Executive Director & Executive Chairman

Base Salary Fixed Cash Allowance Benefits-in-kind

Average Annual Total Remuneration

Value (RM)

RM 1,016,000

RM 535,000



Market Practice on Fixed Cash Allowance for Executive Director and Executive Chairman

15%

8%

15%

23%

38%

23%

15%

31%

54%

0% 10% 20% 30% 40% 50% 60%

Other Allowances

Cost of Living Allowance

Entertainment Allowance

Transport Allowance

Housing Allowance

Attendant Allowance

Board Allowance

Director Fees

Contractual/Regular Bonus

98

76

54

32

1

% of Companies

These Board of Directors related Allowances/Fees are not a common practice among the Companies as Base Salary is provided.

Fixed Cash Allowances



Benefits-in-Kind

Benefits-in-kind Practice for Executive Director and Executive Chairman Positions

98%

100%

25%

100%

35%

15%

30%

20%

70%

80%

100%

20%

30%

70%

16%

98%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Leave Passage

Club Membership

Car Loan

Company Car

Housing Loan

Body Guards

Domestic help

Company House

Group Life Insurance

Group Personal Accident Insurance

Medical benefits

Gratuity

Retirement Scheme

Additional EPF

Stock Option/Profit Sharing

Increment

1615

1413

1211

109

87

65

43

21



The 51.28% Theory

• Resign = Push + Pull > 51.28%• If staff is Happy:

=> 0 + Pull > 51.28%



Retention

Retention

Experience Swing Ex

Oppose



Retention 1: Experience

Loyalty = Experience vs. Expectations

Solution Strategy: Talent Management Plan



Loyalty 1: Experience• Talent

Management Plan

PhilosophyOJT, Mentoring, Big-5, LP, PDP, SDP, Projects,

P/P Grid, SP Table, PDP, Premium,

Q12, C&B, ACDP, SCL, Transfers, Events, Recognition

P/P Grid, Q12, PA, SDP, SP

Development

Motivation

Selection

Evaluation



Loyalty 2: Swing

Loyalty = Best alternative at the current moment until I find another alternative

Solution Strategy: Improve your Talent Management Plan, Try Your Best, or Live with It



Loyalty 2: Swing

Swing Talents are “loyal” because:• Individual Relationships• Convenience (at that point in time)• Contractually tied-up• Direct Incentives*• No better alternative• Subordinates• No known alternative• CV friendly



Post-Recession

Retention

Experience Swing Ex

Oppose

Post-Recession



Swing Loyalty: Try Your Best…

1. Over Promote

2. Loans

3. Spot Bonuses

4. Block recruiters

5. The Spouse

6. Toys

7. Glorified Titles

8. Forced Ambassador

9. “Position” the competition

10.Sell the Dream

11.Give them a Best Friend

12.Internal Trainer



Talent Strategy: C&B

1. Eliminate Staff Awards

2. Eliminate Staff Trips

3. Eliminate HOD trips

4. Remove Salary structure limitations for TP

5. Premium Group Pay

6. Year-round promotions/increment

7. Spot Bonus Pool

8. Additional Profit Sharing points for TP

9. ↑ Pay for Performers, ↓ pay for Non-Performers

10.Additional % during annual increments

11.Special Allowances

12.SCL Allowances

13.Flexitime



Values Driven C&B

1. Performance

2. Differentiation

3. Caring

4. Non-tangibles & Segmentation



Demographic Segmentation - General

Veterans (Pre-Boomers)1934-1945

Boomers1945-1960

Gen X (Cusper, Buster)1960 - 1980

Gen Y (Millennials, Netster)

1980+



Demographic Segmentation - others

1. Women, Working Mothers

2. Youtube generation

3. Working retired

4. Social Activists

5. Work/Life balancers

6. Industry (ICT, Advertising, Engineer, Accounting, Lawyer, etc.)



What needs work?

Current Attractions

Impo

rtan

ce t

o T

arge

t S

egm

ent

High

Low

Weak Strong

High Salary

Career Opportunities

Familiarity with Tasks

Training Opportunities

Attractive Location

For people like me

Fun place to work

Overseas Opportunities

Innovative company



Caring (1/2)

Loans/Subsidies

LactationRoom

ExtensiveTraining

Flexitime

Work/LifeBalance

SRC

Free Carpark

Subsidized Lunch

Allowance/COLA

Uniform

Staff Discounts

Caring



Caring (2/2)

Add. Maternity

LeaveFree IT Classes

Discount PnB

& OOP

EmergencyLoan Study &

Exam Leave

Library &Magazines

Sub. Yoga/Line Dance

VanTransport

(KTM)

PaternityLeave

Transfer/Secondment

InternalSelection

Caring



For Starting Up…Im

port

anc

e to

T

arg

et

Se

gm

ent

High

Low



For Starting Up…

Current BrandWeak Strong



INTANGIBLE BENEFITS & STAFF MOTIVATION



ATTRACTING AND POSITIONING

Employer Branding



The real goal of Marketing and Branding

Understanding our role in the whole scheme of things



• Exercise: Why do we need ‘Branding’?



What is the purpose of Marketing & Branding?

Ultimate Objective of Marketing: “Get more people, to buy more things, more frequently, at higher prices.”

Sergio Zyman

“Retention and Loyalty are useless if No Conversion is happening.”



What is the purpose of Marketing & Branding?


“Communication is useless if No Conversion is happening.”



What is the Objective?

1.Comm = Relationship (something like Dating)

2.Comm ≠ Media glitz 3.Comm ≠ ATL/BTL/BwTL/ArTL/FTL4.Comm ≠ CSR5.Comm = Get more people, to buy

more, more frequently, at higher prices



Intro


“Retention and Loyalty are useless if No Performance is happening.”



Intro

Loyalty is misleading…

• Heavy Consumption ≠ Loyalty• Loyalty ≠ Heavy Consumption

• Good Performance ≠ Retention• Retention ≠ Good Performance



So… are we in business for Retention or Performance?



Corporate & Employer Brand

Corporate Brand

Employer Brand

Right Type of People



Why Employer Branding?

Employer Branding

1.Attract

2.Retain

3.Motivate

4.Focus



Components of Branding

Positioning, Execution, and Communication



Components of Branding

Positioning

Execution

Communication



Brand Positioning

Segmentation, Targeting, Basics, Differentiators



Positioning

“Hope is not a strategy”John Maxwell



Positioning

• For who? – Segmentation, Targeting

• Your Offer?

• Key Differentiator?



Two Types of Segmentation for HRM

1. Demographic segmentation

2. Talent segmentation



UNDERSTANDING DEMOGRAPHICS

Recruitments of Gen X and Gen Y



Demographic Segmentation - General

Veterans (Pre-Boomers)1934-1945

Boomers1945-1960

Gen X (Cusper, Buster)1960 - 1980

Gen Y (Millennials, Netster)

1980+



• Now 4 Generations in the workplace• Events and conditions each of us experience during

our formative years help define who we are and how we view the world.

• Each Generation has different value systems – Values drive behavior.

• We need to understand each other so we can value what each generation brings to the team.

• In 10 years, 40% of current workforce will retire.

Generational Differences In The Workplace



• X&Y act first, evaluate later – they know more than older generations knew at their age. Thrive in speed and chaos. May think about having multiple careers.

– May not Actively Listen to Builders & Boomers, missing valuable info.

• Builders & Boomers – paid their dues, have vast experience & knowledge.– May question how much X&Y know, undervalue their quick

decision-making, don’t think of them as colleagues and collaborators because assume they’re inexperienced.

– May think X&Y are too impatient –quick to throw out tried & true strategies .

• Loyalty to Co. – Builders & Boomers may value; X&Y may not

• Challenge Authority – Builders & Boomers may not, X&Y may.• Work Life Balance: Builders & Boomers may do without, X&Y

may not do without.

Generational Thoughts



Generational Thoughts

• Builders may see Boomers as self absorbed & prone to sharing too much info.

• Boomers may see Builders as dictatorial and rigid.

• Y may view X as too cynical and negative.• X may view Y as too spoiled and self-

absorbed.• X may view Boomers as being too Politic –

say right thing to right person.



All Generations want:

Work-Life Balance – flexible hours, fewer hours• Younger Generations – may be less ambitious in

traditional terms, less willing to make tradeoffs - family focus.

• Boomers – want time for hobbies or fitness, care for aging parents, family, start own business.

Timely, Constructive FeedbackSense of Community with OthersEffective Projects and MeetingsUse their TalentsEnhance their Skills

What Bonds Generations



Things Research SaysGens Want to be Valued for

• Builders: “Your experience is respected – It’s valuable to hear what’s worked in the past.”

• Boomers: “You are valuable & worthy. Your contribution is unique and important to our success.”

• Xers: “Let’s explore some options outside the box – your technical expertise and is a big asset.”

• Y’s: “You will be collaborating with other bright, creative people – you have really rescued this situation with your commitment.”



What All Generations Need to Do

Seek balance between • building on traditional procedures and • supporting flexibility and creativity

to effectively blend the generations work ethics.• Allow choices• Openly explore ideas• Value different points of view • Encourage active listening • Share expertise • Share recognition and appreciation• Value hard work• Build in humor and fun into learning. • Accommodate the needs and values of all generations.



Demographic Segmentation - others

1. Women, Working Mothers

2. Youtube generation

3. Working retired

4. Social Activists

5. Work/Life balancers

6. Industry (ICT, Advertising, Engineer, Accounting, Lawyer, etc.)



WHAT NEEDS WORK?Employer Branding



Basics & Differentiators

Segments

Targets

Targets

Basics

Differentiators



Demographic Segment: Example Exercise

1. Gen Y

2. ICT

3. Women

Refer: • GEN Y ranking of

job considerations• 10 non-monetary

benefits to attract and retain top developers



What needs work?

Current Brand

Impo

rtan

ce t

o T

arge

t S

egm

ent

High

Low

Weak Strong

High Salary

Career Opportunities

Familiarity with Tasks

Training Opportunities

Attractive Location

For people like me

Fun place to work

Expected success of application

Innovative company



For Starting Up…Im

port

anc

e to

T

arg

et

Se

gm

ent

High

Low



For Starting Up…

Current BrandWeak Strong



Activity Grid to determine HRM priorities

Increase (↑)What are features/

activities/services to increase?

Create (+)What are features/

activities/services to introduce?

Reduce ( )↓ What are features/

activities/services to reduce?

Eliminate (-)What are features/

activities/services to eliminate?



Exercise: Activity Grid

Increase (↑) Create (+)

Reduce ( )↓ Eliminate (-)



TALENT MANAGEMENT & SUCCESSION PLANNING

Part D



INTRODUCTION TO SUCCESSION PLANNING



Intro:

“Cow don’t drink water cannot push cow head down”



Assumption 1

1. Business Owners who have heirs

2. CEOs or Management who wish to instruct HR about SP



Assumption 2



Philosophy

Ultimate Objective of Marketing: “Get more people, to buy more things, more frequently, at higher prices.”

Sergio Zyman




Philosophy


“Retention and Loyalty are useless if No Performance is happening.”



Philosophy

Loyalty is misleading…

• Heavy Consumption ≠ Loyalty• Loyalty ≠ Heavy Consumption

• Good Performance ≠ Retention• Retention ≠ Good Performance



PRACTICAL SUCCESSION PLANNING



Right vs. Wrong SP Method

Succession Planning as per Job Positions

Succession Planning as per Leveling



What’s your purpose for Succession Planning?

Succession Planning

=

Business Continuity Plan



What’s your SP goal?

Business ContinuityBusiness Continuity



Principles and Objectives

Principles Company’s Needs

1.Succession Planning of Key Leaders – Founding Directors (perpetual business theory)

2.Retention of Key Staff – especially younger ones

3.Transform into a Performance-based organization



Principles and Objectives


1.Equal / Fair

2.Happy / Productive


4.Performance vs Potential

5.Retention / Engagement



The Wrong Approach



The Better Approach

Business Strategy

OJT, Mentoring, Big-5, LP, PDP, SDP, Projects,


Q12, C&B, ACDP, SCL, Transfers, Events


Development

Motivation

Selection

Evaluation



Why HCM System?

HCMDevelopment

Motivation

Selection

Evaluation



Talent & Performance Management

PhilosophyOJT, Mentoring, Big-5, LP, PDP, SDP, Projects,


Q12, C&B, ACDP, SCL, Transfers, Events, Recognition


Development

Motivation

Selection

Evaluation



DEVELOPING AND MOTIVATING



The Better Approach

Business Strategy

OJT, Mentoring, Big-5, LP, PDP, SDP, Projects,


Q12, C&B, ACDP, SCL, Transfers, Events


Development

Motivation

Selection

Evaluation



Succession Planning Table: Example

Succession Plan Business-Critical Position 1

Ready Now 1-2 years > 2 years (Year estimated)

Head of Sales 1. Ramli Bakar

2. Joseph Wan

3. Selina Chan

1. Rebecca Ganaraj

2. Abu Hassan

3. Lee Tai How

1. Irene Soo

2. Fatimah Ibrahim

3. Kan Weng Tai

Business-Critical Position 2


Head of Operations 1. Wong Wai Chun

2. Selina Chan

3. -

1. Abu Hassan

2. Syed Kamil

3. Jessica Lee

1. Khoo Tien Wee

2. -

3. -

Business-Critical Position 3


Head of R&D 1. Michael Wong

2. -

3. -

1. -

2. -

3. -

1. Khariul Nizam

2. Jessica Lee

3. Wong Lai Sun



Advanced Career Development Plan: Example

9. PERSONALITY PROFILE:

10. LEADERSHIP STYLE:

11. RELOCATABLE: Within Country Within Region Globally

12. PERFORMANCE/POTENTIAL RECORDS

Year Performance Rating

Potential Rating

Performance/ Potential Grid

Exceptions:

13. SHORT RANGE CAREER GOALS: State goals for the next 1-2 years

14. LONG RANGE CAREER GOALS: State Career goals for the 3-5 years

15. CAREER PLAN

Next Position Option 1 Readiness for Next Position Option 1







•Telco, •Outsourcing, •Aerospace, •Biotech,•Digital media, •Animation, •M&A•Financial forensics•FSI


Specialist (4)

Consultant (4)





General incentives & privileges:

a. Extra monetary incentive

b. Official Specialist / Consultant job title.

c. Higher external training subsidy limit by company.

d. Tie-pin or pin

e. Certificate

f. Additional benefits

General qualifying/re-qualifying criteria:a. Meet the competency criteriab. Performance min B, PEDc. Min. 40 training hr/yeard. Physical contribution: i Mentoring ii Write-up iii Speaking iv Multimedia recording v R&D publication / Thesis



Motivating Talent

Hope

Control



Motivating Talent

Passion Job

GrowthTalent

Minimum Motivation Target: 2 out of 4

Delegation



Curse of the Bell Curve

‘A’ Staff

‘B’ Staff

‘D’ Staff

‘E’ Staff

‘C’ Staff


http://upload.wikimedia.org/wikipedia/commons/8/8c/Standard_deviation_diagram.svg


Performance Planning and KPIs: Cascading from Company-Department-

Individual



E3 – Department BSC

Financial Perspective

Goals Measures Targets CAPEX OPEX

Quality

Innovation

On Time Delivery



Individual Performance

1.0 Key Results

Area (Max 6)

2.0 Goals and

Targets for Q1

3.0 Achievements and

Efforts for Q1

4.0 Merit* 5.0 Rating (Merit x Weight)

6.0 Appraiser

Overall Comments/ Feedback



Cascading

Customer Perspective

Goals Strategies Targets Direct Indirect

Base Retention

Mkt

Share Gain Mkt

New Business

BD



E3 – Department BSC

Customer Perspective – Marketing Department

Goals Strategies Targets CAPEX OPEX

Base Retention

Share Gain

Budgeting



Individual MBO

Employee A – Marketing Executive

KRAs Action Plans

Targets Weight (%)

Score

Class A Customer Retention

Class B Customer Retention

Competition Crossovers

Re: Base Retention



HOSPITAL & SURGICAL



Cost Inflation Management



Challenges

Medical cost will continue to escalate:

Emergence of new and expensive drugs and medical technology Drug cost increase by ~ 10% year on year Medical tourism will drive the medical cost up with more hospitals

invest in JCI accreditation Defensive medical management Unnecessary admission Doctors charging multiple procedures Multi disciplinary approach involved Excessive investigation Increasing trend of after office hours consultation



An Overview of Medical Cost Management

Pre-Authorization (LOG) Red Flags & Alerts Claims

ManagementNetwork

Management

Re-direct patients away from non panel specialists after 6 continuous visits

-Medication collection – hypertension, diabetes, high cholesterol, etc

-Long term illnesses monitoring – blood pressure and blood sugar monitoring, etc

Greater scrutiny on doctors under watch list

Monthly onsite/offsite audit on GP panel claims

Expand GP panel scope of services to manage SP cost

Fixed GP night consultation

Detect abuse & excessive charges

Specialist peer review

Review policy exclusion

Identify abnormal trends

Benchmarking of cost & Length Of Stay

Direct Billing for cashless access

Selection & de-selection of panel GP & Specialist

Negotiate:• Preferred rates

on hospital fees• Package

rates/case rates Provider

relationship building

Collaboration with other major health insurer via LIAM

Verify eligibility & validity of claim

Manage unnecessary admission via Pre-Admission Assessment Form with guidelines drawn for greater scrutiny

Encourage daycare procedures

Query procedure cost and length of stay not within range

Review one day admissions

Call Center Medical ManagementCall Center Claims & Quality

Management



A Good H&S Strategy

Benefits of A Good H&S Strategy:

1.Decrease absenteeism and increase productivity of staff

2.Manage and control rising Healthcare costs

3.Increase morale and engagement of staff

4.Improve Corporate and Employer Branding

5.Attract and Retain Top Talent

180



• Entitlements, Claims Review & Settlement, Letter of Guarantees

• Working Relationship with all major hospitals

• Enquiries on LOG, LOG issuance, 24 hours Emergency Line

Administration

Medical Management

Member Services

Provider • Risk underwriter, issuance of policy & bills

Administration



Typical Benefits

Worldwide coverage

Medical Provider Network with Major Hospitals nationwide

Worldwide coverage

24 Hours Toll Free Assistance

Guarantee Letter Facility



HOSPITAL & SURGICAL

SMI PLAN



Schedule of Basic Benefits

Hospital & Surgical Care Plan 350

Plan 200

Plan 150

Plan 80

1. In-Hospital Care

• Hospital Room & Board (max. daily benefits)(i) Ordinary Room

(up to 120 days max. per disability)(ii) Intensive Care (max. daily benefits)

(up to 20 days max. per disability)

350

500

200

500

150

500

80

500

• Hospital Supplies & Services

Full Reimbursement

• Surgical Fees

• Anaesthetic Fees

• Operating Theatre Charges

• In-Hospital Physician’s Fees (Max. 120 days per disability)

• Hospital Service Tax (on eligible Room & Board charges paid)

5% 5% 5% 5%



Medical: Basic - Hospitalisation Plan 350 Plan 200 Plan 150 Plan 802. Ambulatory Care

• Pre-Surgical/Medical Diagnostic Services (within 60 days)

Full Reimbursement

• Pre-Surgical/Medical Specialist Consultation (within 60 days)

• Second Surgical Opinion

• Post-Hospitalisation Treatment (up to 60 days following discharged from hospital)

• Emergency Outpatient Accidental Treatment (within 24 hours up to 60 days)

• Daycare Procedure (Surgical/Medical)

• Ambulance Fees

• Medical Report Fee Reimbursement 80 80 80 80

Overall Limit (per policy year) 100,000 50,000 30,000 10,000

Schedule of Basic Benefits



Hospitalization – Special Conditions

Waiting Period: Eligibility for benefits starts 30 days after the Insured has been included in the Policy, except for a covered Accident occurring after the effective date of coverage.

Specified Illnesses: No benefits shall be payable for hospitalization, surgery and/or charges incurred which are caused directly or indirectly by Specified Illnesses and its related complications.

“Specified Illnesses” shall mean the following disabilities and its related complications, occurring within the first 120 days of Insurance of the Insured Person:

(a) Hypertension, diabetes mellitus and Cardiovascular disease

(b) All tumours, cancers, cysts, nodules, polys, stones of the urinary system and biliary system.

(c) All ear, nose (including sinuses) and throat conditions

(d) Hernias, haemorrhoids, fistulae, hydrocele, varicocele

(e) Endometriosis including disease of the Reproduction system

(f) Vertebro-spinal disorders(including disc) and knee conditions.



Typical Eligibility

Employee

All present and full-times active employees Entry age : 18 to 59 years of age Renewable up to 64 years old

Dependent

Spouse’s entry age <= 64 years & not an employee of the Employer. Renewable (spouse) up to 64 years old Child’s entry age >= 30 days <= 19 years, or 23 years, still on full-time higher education & not employed.



Typical Participation & Movement

Participation Requirement Compulsory participation for all eligible employees Premiums are paid by employer

Employee/Dependent Movement To provide complete listing of employee/ dependent within 30 days to Insurer Return of OPC card if termination happens



Sample Pricing - Hospitalization

Medical Benefit

Plan 350 Plan 200 Plan 150 Plan 80

Basic Hospital

W/O LOG

With LOG

W/O LOG

With LOG

W/O LOG

With LOG

W/O LOG

With LOG

Employee Only 616 632 426 442 324 340 198 214

Employee & Spouse 1540 1572 1065 1097 810 842 495 527

Employee & Children 1540 1588 1065 1113 810 858 495 543

Employee & Family 2464 2528 1704 1768 1296 1360 792 856



OUTPATIENT

SMI PLAN



Sample Schedule of Optional Benefits

Medical: Outpatient GP & Specialist RM

1. Outpatient GP Care

(i) Panel GP Clinic Visit(ii) Emergency Non-Panel Clinic Visit(iii) Pap Smear at Panel GP Clinic only (max once

per Policy year)

Cash FreeFull reimbursementFull reimbursement

2. Specialist Care• Specialist Visit - with Referral from Panel GP

Clinic 100 per visit

3. Outpatient Diagnostic Services• With Referral from Panel GP Clinic or Specialist 250 per visit



Sample Pricing - Optional

Optional - Out Patient Clinical

Annual Premium per Employee / Dependent RM345.00



What’s Not Covered Cosmetic surgery or treatment

Experimental procedures

Substance abuse

Private nursing care

Sexual dysfunction or infertility

Pregnancy

Alternative therapies

Psychotic, mental ornervous disorders

Congenital or hereditary illnesses

Routine physicalexamination

Refractive errors

Dental

Terrorism & atomic



Sample Quotations

• SMI Quotation – Hospitalization

(With LOG)

• SMI Quotation – Hospitalization (Without LOG)



A Good H&S SMI Plan

Cover all types of sickness after 120 days

Unlimited coverage for clinical services

Immediate cover for GP visits

Not required to be warded – Day Care Procedure

No co-payment

Can also cover outpatient

Guaranteed For X year renewal



H&S Group Plans



Sample Key Scope of Services-Coverage

• Extensive hospital network in Malaysia – Goverment and Private

• Cashless access 24 hours a day via Toll Free Line

• Pre-existing conditions – waived

• Specified Illness – waived

• 30 days waiting period – waived

• Room & Board upgrade - Members have to pay only the difference in Room & Board charges. No co-sharing of 20% on overall bill

• Operations done in one surgery – Cashless with LOG (day-care)



Typical Key Scope of Services- Value Added Services

• Cost Inflation Management - Negotiate preferred rate on R/B, consultation fees, hospital charges with major private hospital.

• Claim Report / Utilization Report.

• Client Portal (Corporate)

a) Updated member listing

b) Accessing reports

• Staff Portal

a) Accessing list of ING panel hospitals

b) Checking claims status

• E-payment & E-notification on claims payment

• SMS LOG notification

• LOG Issuance Notification to HR



Comparison Checklist

Microsoft Excel Worksheet



GROUP PERSONAL ACCIDENT&

GROUP TERM



Group Personal Accident



Summary of Cover

This certificate provides coverage to protect the employees against Death or Permanent Disablement due to accidental. The coverage is 24 hours and worldwide.

Typical Coverage & Benefits



Sample Coverage & Benefits

No Benefit Covered Amount Covered

1. Death 36 X Monthly Salary

2. Permanent Disablement 36 X Monthly Salary

3. Temporary Total Disablement 25% of Monthly Salary or Max. RM1,000/week

4. Temporary Partial Disablement 12.5% of Monthly Salary or Max. RM500/week

5. Funeral Expenses RM1,000/person



The Clauses, Endorsements & Warranties

Exposure & Disappearance Murder & Assault Clause (Unprovoked) Standard Exclusion for Death & TPD Strike, Riot & Civil Commotion Motorcycle Endorsement Schedule & Commercial Flying Amateur Sport Kidnapping Hijacking Food Poisoning Accidental Drowning, Gas Inhalation & Suffocation Harmful Insect & Snake Bites




Coverage Year

Annual Contribution RM

5% Service Tax RM

Stamp Duty RM 10.00 10.00

Total Contribution RM

Note 1.Rate reduced from 0.075% to 0.05% due to good claim experience2.Sum Covered increase from RM___m to RM____m

Sample Contribution



Group Term



Summary of Cover

This certificate provides coverage to protect the employees against Death or Total Permanent Disablement (TPD) due to natural causes only. The coverage is 24 hours and worldwide.




OPTION 1 – Current Benefits


No Benefit Covered Amount Covered

1. Death 48 X Monthly Salary

2. Permanent Disablement 48 X Monthly Salary

3. Funeral Expenses RM1,000/person

Note1. TPD cover expires upon attaining age of 652. Maximum TPD per life is RM1,500,0003. Free Cover Limit is RM250,0004. Standard exclusion for Death & TPD applies.



Proposed Coverage Option 1 Option 2

Death due to Natural Causes Only

Total Permanent Disablement (TPD) due to Natural Causes Only

Immediate Death Expenses

Sample Rates Per Mile



RM

Death due to Natural Causes Only RM

Total Permanent Disablement (TPD) due to Natural Causes Only RM

Immediate Death Expenses RM

Annual Contribution RM

5% Service Tax RM

Stamp Duty RM 10.00

Total Contribution RM

Sample Contribution



End Notes

The end of the Beginning



Other thoughts…

1. Big matters/Small Matters

2. Differentiate of Die

3. Define “Talent”

4. No “Jerk” rule

5. Flat Structure?

6. The Jerk Boss

7. All aspects

8. Hire Strict


Thank You.

soft copy of slides: http://totallyunrelatedrandomanddebatable.

blogspot.com/

(BridgeKnowle) Year End Checklist for HR - Main Slides

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