Introduction to Talent Development Reporting Principles (TDRp)

Introduction to Talent Development Reporting Principles (TDRp)

David Vance, Executive DirectorPeggy Parskey, Assistant DirectorCenter for Talent ReportingJanuary 7, 2015

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January 7, 2015Talent Development Reporting principles • CTR

Today’s Discussion 3

Talent Development Reporting principles • CTR

Introduction and Background

Framework

TDRp Measures

TDRp Reports

Conclusion

January 7, 2015

4Our Sponsors We want to thank the following sponsors for their support of the Center for Talent Reporting.


FOUNDING ORGANIZATION

SILVER SPONSORS

January 7, 2015

FOUNDING GOLD SPONSOR

Cigna and Skillsoft are Founding Silver Sponsors

5Our Sponsors We want to thank the following sponsors for their support of the Center for Talent Reporting.


BRONZE SPONSORS

January 7, 2015

ADP, Aventus Partners, Bellevue University Human Capital Lab, Development Dimensions International, McBassi & Company, Motorola Solutions, ROI Institute, Skyline Group, and Tata Interactive Systems are Founding Bronze Sponsors

Introduction and Background


6

January 7, 2015

7The Current State


• We don’t speak the language of business and we don’t act like strategic business partners

• We are not having the impact we should and we struggle to demonstrate our worth.

• We don’t use standard management principles to plan and run our functions

• We don’t have standards for» Measures» Reports

A Lot of Opportunity!

January 7, 2015

8Talent Development Reporting Principles (TDRp)


• Brings standards to HR for the management of human capital» Planning- Alignment- Reaching agreement on

measures of success» Measurement» Reporting» Execution

January 7, 2015

Center for Talent Reporting Mission:

Improve & standardize the measurement, reporting, and

management of human capital to

increase business value

9Talent Development Reporting Principles (TDRp)• Engaged 30 industry thought leaders like Fitz-enz, Bassi,

Phillips, Bersin, Brinkerhoff, and CLOs/ Senior Talent Leaders of major organizations to develop the standards in 2010 & 2011

• TDRp for L&D completed in 2011

• Extended to all HR processes in 2012» Learning & Development» Talent Acquisition» Leadership Development » Performance Management» Capability Management» Total Rewards (C&B)

Talent Development Reporting principles • CTR January 7, 2015

1. Identify the business goals2. Align L&D and HR initiatives

to business goals and plan the initiatives carefully

3. Get upfront agreement with sponsor on expected impact

4. Execute and report with discipline

5. Measure and evaluate


TDRp Designed to Run L&D and HR with Business-like Discipline

10

These are all standard business practices!

11What TDRp Offers

• Guidance for » Identifying organizational and department goals» Aligning your initiatives to them» Choosing the right measures » Reaching agreement on a plan for expected impact » Setting plans for effectiveness and efficiency measures» Creating and using reports to manage

• Classification of measures into three types

• Standard names and definitions for measures» Built on work of ATD, SHRM, Fitz-enz, Higgins, others

• Three customizable management reports


12The Target Audience for TDRp

• Talent leaders and managers» All those responsible for programs, people, and budgets

• Senior talent leaders» SVP of HR, CLO, Head of Talent Acquisition,

heads of other talent processes (leadership development, capability management)

• Senior organizational leaders» CEO, CFO, EVPs, SVPs, governing boards

• Different reports required for different audiences


13

TDRp Framework


Our Vision: “Talent Development Reporting principles are broadly accepted and widely

employed as the world-class reporting standard for all human capital processes.”

14The TDRp Reporting Framework • What types of measures should be reported?» Outcome, effectiveness, and efficiency

• What do leaders want to see?» Proactive, strategic alignment to their goals» Planned impact for key initiatives» Focus on effectiveness and efficiency» Plan, Year-to-date results, and Forecast

• How should the measured be reported?» Three executive reports: Program, Operations, and Summary



15Executive Reporting: Standard Measures

Data Sources /Systems

Systems and processes for

organizing data, calculating measures

Specific methodology (e.g. Phillips, Brinkerhoff)

System Wide Analytics

Program/ Initiative Analytics

January 7, 2015

• Efficiency measures: How much? How many? At what cost? • Effectiveness measures: How well?• Outcome measures: What is the impact on the business?

Measures


16Executive Reporting: Three Reports



organizing data,

calculating measures


Reports



January 7, 2015

• Summary Report• Program Report• Operations Report

Measures


17Executive Reporting Focus



organizing data,

calculating measures


Reports



January 7, 2015

Summary Conclusions, Actionable Recommendations, Issues for Further Analysis

Scope of TDRp

Measures

Executive Reporting Process 18Senior Executives Talent Development Executives

Executive Reports

Note: Measures can be organized by processes

and/or efficiency,

effectiveness & outcomes

Data Sources

Executive Reporting ProcessG

uiding Principles

Financial Systems

Evaluation, EOS Systems

Non-Financial, non-TDR Systems

Others: HRIS, LMS, CRM, ERP

Outcomes Effectiveness Efficiency

Talent Development Summary Report

Quarterly

Talent Development Program Report (s)

Monthly

Talent Development Operations Report (s)

Monthly

Talent Development Processes

Talent Acquisition

Leadership Development

Learning & Development

Capability Management

Performance Management

Total Rewards

Extract, convert and calculate Standard Measures

Measures


19

TDRp Measures


Yes, but what are your goals?

20The Three Types of TDRp Measures

• Effectiveness: quality of program or initiative» For individual programs and for enterprise overall» Examples: Participant satisfaction with training, quality of hire, satisfaction

with performance management or compensation, bench strength

• Efficiency: efficiency of program or initiative» For individual programs and for enterprise overall» Examples: Number of hires, number of participants, number of performance

discussions, span of control

• Outcomes: impact of HR initiatives on organizational goals» Will be a different set for each organization because goals and initiatives are

different.» Common outcome measures are impact on: sales, cost, quality, employee

engagement, leadership score, diversity, etc.


21Measures can be used to Manage or Monitor• Measures to manage » Most important» Typically directly aligned to your goals» Plan or target has been established» Forecast is made and updated» Reviewed at least monthly by senior leaders- If not on plan, or if forecast is to fall short of plan, senior leaders

discuss and agree on action to take to achieve plan

• Measures to monitor» Less important» Typically involve more detail» Reviewed as needed


Target the vital few

May have many

22Effectiveness Measures


Process Effectiveness MeasuresLearning & Development

Satisfaction, amount learned, application, impact

Talent Acquisition Quality of hire, hiring process effectiveness


Bench strength, Succession planning success rate


% of employees with improved ratings, % of employees with rating turnaround


% of employees with career discussion, % career movement, % of positions with ready replacement

Total Rewards High performers salary differential, compa ratio

23List of Effectiveness Measures for L&D


Manage orUnit of Measure Monitor

Level 1: Employee (All programs and initiatives) Quality of content % top two boxes Manage Quality of instructor % top two boxes Manage Relevance % top two boxes Manage Alignment to goals % top two boxes Manage Total for Level 1 Average of measures Manage

Level 1: Sponsor (Select programs) % top two boxes Manage

Level 2 (Select programs) Score Manage

Level 3 (Select programs) Intent to apply (from survey at course completion) % top two boxes Manage Actual application (after three months) % who applied it Manage

Level 4 (Select programs) Estimate by participants (end of course) Contribution to goal Manage Estimate by participants (after three months) Contribution to goal Manage

Level 5 (Select programs) Net benefits Thousands $ Manage ROI % Manage

January 7, 2015

24Efficiency Measures


Process Efficiency MeasuresLearning & Development

Number of participants, courses; utilization rate

Talent Acquisition Number of internal/external hires, acceptance rate, time to start


Span of control, tenure, % of positions filled internally


Number of performance discussions, % of employees with goals, % of employees with performance reviews


Number of promotions, number of transfers, average time in position

Total Rewards Average benefit cost, variable compensation %

25List of Efficiency Measures for L&D


Manage orUnit of Measure Monitor

Total Participants Number ManageTotal Unique Participants Number Manage

Courses Taken by Type of Learning ILT only % of total Manage vILT only % of total Manage E-learning only % of total Manage Blended % of total Manage Total courses % of total Manage

Utilization E-learning Courses Available Number Manage Taken by more than 20 Number Manage % taken by more than 20 % ManageReach % of employee reached by L&D % Manage

Cycle Time Performance consulting Days Monitor Development Days Monitor Delivery Days Monitor

Investment L&D Expenditures Million $ Manage Cost Reduction Thousand $ Manage

January 7, 2015

26Outcome Measures

• The impact of your initiatives on the organization’s goals» May be expressed quantitatively, qualitatively, or with a proxy

• Examples» Impact of L&D on sales» Impact of L&D on employee engagement» Application rate of training (as a proxy for impact)

• Bottom line, some measure of impact or success will be needed» All selected outcome measures will be managed


27List of Organization Goals, Outcome Measures, and Sponsors• The list should include» Top 5-10 organization goals in CEO’s priority order- Maybe numerical or High, Medium, Low

» The outcome measure stated as- “Impact of L&D on goal” or- “Contribution of L&D” or- The name of the proxy or other measure of success

» Sponsor’s name- The single, highest ranking individual responsible for achieving the

organization goal Like the SVP of Sales


28List of Organizational Goals, Outcome Measures, and Sponsors


Priority Business Goals and Outcome Measures Unit of Measure Sponsor1 Revenue: Increase Sales by 20% % Ortega

Impact of L&D Initiatives (Quantitative) %

2 Engagement: Increase Engagement Score by 3 Points to 69.4% (1) Points Wang Impact of L&D Initiatives (Qualitative) H/M/L

3 Safety: Reduce Injuries by 20% % D'Ortega Impact of L&D Initiatives (Quantitative) %

4 Costs: Reduce Operating Expenses by 15% % Salvatore Impact of L&D Initiatives (Qualitative) H/M/L

5 Retention: Improve Retention of Top Performers by 5 Points to 90% Points Wang Impact of L&D Initiatives: None planned N/A

6 Call Center Satisfaction: Improve Satisfaction Score by 4 Points to 80% Points Johnson Proxy for impact: Application of Key Behaviors % Applying

January 7, 2015

29

TDR Reports


30The Reports


• Three levels of reports» Summary Report (for CEO,

SVPHR, and Dept. Head)» Operations Report (for

Managers and Dept. Head)» Program Report (for Managers

and Dept. Head)

• Contain your most important outcome, effectiveness, and efficiency measures

• Executive-level reports show» Last year’s actual» Plan (or goal) for this year» Year-to-date results» Forecast for this year

• Detailed reports for managers may show» Monthly, quarterly, trend data» Granularity» Without plan or forecast

31Reports Designed to be used in Monthly Meetings to Manage/Share Results• Department Head meeting with direct reports» Ideally in a 1-2 hour meeting dedicated to managing results» Cover Summary Reports, Operations Report, Program Reports» Take management action as necessary to deliver plan

• Program Manager with team» Use Program Reports to manage program» Prepare program Report to be shared with Department Head

• Other meetings (Senior Leaders, Board of Governors, CEO)» Use Summary Report



32L&D Summary Report

January 7, 2015

Learning and Development

with Mixed Impacts

2014 For 2015

Actual Plan Jun YTD % of Plan ForecastForecast as

% of PlanImpact of Learning and Development InitiativesRevenue: Increase Sales by 20% Corporate Goal or Actual % 10% 20% 17% 85% 20% 100% Impact of L&D Initiatives: 25% contribution to goal % 1% 5% 4% 80% 5% 100%

Engagement: Increase Engagement Score by 3 Points to 69.4% (1) Corporate Goal or Actual Points 1 pt 3 pts 1.9 pts 63% 3 pts 100% Impact of L&D Initiatives: Low Impact on goal H/M/L Low Low Low Below plan Low On plan

Safety: Reduce Injuries by 20% Corporate Goal or Actual % 10% 20% 15% 75% 20% 100% Impact of L&D Initiatives: High Impact on goal H/M/L Medium High High On plan High On plan

Costs: Reduce Operating Expenses by 15% Corporate Goal or Actual % 5% 15% 2% 13% 10% 67% Impact of L&D Initiatives: Medium Impact on goal H/M/L Low Medium Low On plan Low On plan

Retention: Improve Retention of Top Performers by 5 Points to 90% Corporate Goal or Actual Points -3 pts 5 pts 2 pts 67% 5 pts 100% Impact of L&D Initiatives None planned

Call Center Satisfaction: Improve Satisfaction Score by 4 Points to 80% Corporate Goal or Actual Points 1.6 pts 4 pts 2.9 pts 73% 4 pts 100% Application of Key Behaviors % 84% 95% 70% 74% 80% 84%

Sample Summary Report for the Private Sector

Results through June


33L&D Summary Report (continued)

January 7, 2015

2014 For 2015

Actual Plan Jun YTD % of Plan ForecastForecast as

% of PlanEffectiveness Participant Feedback % favorable 80% 85% 87% 102% 85% 100% Sponsor Feedback % favorable 75% 80% 77% 96% 78% 98% Learning Score 78% 85% 80% 94% 84% 99% Application rate % who applied it 61% 75% 55% 73% 60% 80%

Efficiency Percentage of employees reached by L&D % 85% 88% 72% 82% 88% 100% Percentageof ee's with development plan % 82% 85% 84% 99% 90% 106% Percentageof courses developed on time % 73% 92% 88% 95% 90% 98% Percentage of courses delivered on time % 62% 90% 83% 93% 87% 97%

Participants in All Programs Total Participants Number 109,618 147,500 67,357 46% 145,000 98% Unique Participants Number 40,729 45,313 36,998 82% 44,000 97%

L&D Investment L&D Expenditure Million $ $15.8 $20.2 $12.0 59% $20.2 100% Opportunity Cost Million $ $3.4 $2.9 $1.3 45% $2.9 100% Cost Reduction (internal to L&D) Thousand $ $63 $295 $115 39% $325 110%

34Sample Operations Report for L&D


Home

2014 For 2015 Effectiveness Measures Actual Plan Jun YTD % Plan Forecast Level 1: Participant Feedback (All programs) % favorable 80% 85% 87% 102% 85% Level 1: Sponsor Feedback (Select programs) % favorable 75% 80% 77% 96% 78% Level 2: Learning (Select programs) Score 78% 85% 83% 98% 84% Level 3: Application rate (Select programs) % who applied it 61% 75% 78% 104% 79%

Level 4 (Select programs) % top two boxes 61.0% 75.0% 78.0% 104.0% 78% Level 5 (Select programs) Net benefits Thousands $ $546 $800 $345 43.1% $800 ROI % 29% 35% 32% 91.4% 33%

Efficiency Measures Course Management Total Developed Number 22 36 24 67% 35 Number Meeting Deadline Number 16 33 21 64% 33 % Meeting Deadline % 73% 92% 88% 95% 94% Total Delivered Number 143 178 167 94% 178 Number Meeting Deadline Number 89 160 139 87% 155 % Meeting Deadline % 62% 90% 83% 85% 87%

% of courses that are traditional classroom % 56% 43% 46% 107% 42% E-learning course utilization rate % taken by 20+ 83% 97% 91% 94% 97% % of employees reached by L&D % 85% 88% 72% 88%

L&D Expenditure Million $ $15.8 $20.2 $9.9 49% $20.2 Cost Reduction (internal to L&D) Thousand $ $63 $295 $168 57% $325

Sample Executive Operations ReportResults through June

Learning and Development

Sample Program Report for L&DPrograms in Support of the Goal to Reduce Injuries


35

January 7, 2015

Results through June

2014 2015 YTD as Forecast asSponsor: Swilthe, VP of Manufacturing Metric Actual Plan YTD % of Plan Forecast % of PlanEnterprise Goal: Reduce Injuries % 12% 30% 20% 67% 30% 100%Expected Impact of Learning: H/M/L Medium High High Below Plan High On Plan

2011 2012 YTD as Forecast asPrograms to Reduce Injuries Metric Actual Plan YTD % of Plan Forecast % of Plan

1 Deliver Phase 1 Courses for Factory A Effectiveness measures Level 1: Participants % 70% 80% 85% 106% 82% 103%

Sponsor % 75% 90% 88% 98% 88% 98% Level 2: Test score % 86% 90% 95% 106% 92% 102% Level 3: Application rate % 53% 65% 62% 95% 63% 97% Efficiency measures Unique Participants Number 452 3,000 2,800 93% 3,200 107% Total Participants Number 858 6,000 5,542 92% 6,300 105%

2 Develop Phase 2 Courses for Factory B Efficiency measure: Complete by 5/30 Number NA 3 3 100% 3 100% Effectiveness measure: Sponsor Satisfaction % NA 90% 90% 100% 90% 100%

3 Deliver Phase 2 Courses for Factory A Effectiveness measures Level 1: Participants % NA 80% 80% 100% 82% 103%

Sponsor % NA 90% 90% 100% 88% 98% Level 2: Test score % NA 90% 92% 102% 90% 100% Level 3: Application rate % NA 70% 61% 87% 65% 93% Efficiency measures Unique Participants Number NA 1,000 100 10% 1,100 110%

36

Conclusion


37Key Take-Aways

• TDRp is not just about measures or a measurement strategy

• It is about changing the conversation and the role of L&D and HR» Proactive discussions with sponsors and senior leaders» Upfront agreement with sponsor on expected impact» Engaging the Dept. Heads to set a plan or goal for key measures» Create a business plan for the department with specific,

measurable goals» Execute with discipline monthly. Be accountable

• It is about the process of managing the business.» Align, plan, manage


38Adopting TDRp: Start From Where You Are


1. Use TDRp for its library of measures and definitions

7. Use the principles and reports of TDRp to run L&D and HR like a business

2. Adopt the framework of outcome, effectiveness, and efficiency measures

3. Create effectiveness and efficiency lists and decide which measures to manage versus monitor

4. Create the Operations Report by adding plan and forecast for effectiveness and efficiency measures

5. Create the outcome measures list with input from senior leaders

6. Create the Summary and Programs ReportsShows Alignment and Impact

1

5

4

3

2

7

6

January 7, 2015

39


The Center for Talent Reporting:The Home of TDRp

January 7, 2015

• Established October 2012» Not-for-profit, 501c(6)

organization (used for trade associations)

• Mission» Improve and standardize the

measurement, reporting, and management of human capital to deliver significant business value

• Governance» Nine-member Board of

Directors» Standards Committee to

provide continued guidance on standards and reporting

» Advisory Council

• Funding: Sponsors, members, revenue from workshops

Accelerate Your Mastery 40

17-Dec-14Talent Development Reporting principles • CTR

• Public Webinars » Intro to TDRp (3/10)» Senior Leaders (1/20) NEW» Website Tour (1/22) NEW

• Members Only Webinars» Implementation CSFs (2/11) REVISED» Implementation Guidance (1/21) REVISED» What’s New in 2015 (1/27) NEW» Accounting Basics 2/17) NEW» Financial Acumen (March) NEW» Planning, Estimating, and Forecasting

(1/28) NEW» Data Gathering Considerations (2/12) NEW» The Six HR Processes (3/12) NEW

• 2-day workshops » April 8-9 Atlanta

• Custom workshops and coaching available» 1 or 2-day workshops on site NEW

• Certification» Individuals» Vendors providing software products

employing TDRp

• Business Acumen Resources

• Community of Practice for Members

41Become a Member of theCenter for Talent Reporting• Benefits» Access to all 12 webinars» Access to Enhanced Content on the website- Formulas and references for over 600 measures- Excel versions of sample reports- Detailed implementation guidance- Members only page- Business acumen resources- Case studies

» Discount on workshops and conference

• Investment: Only $299


42Learn More about TDRp

• Learn more and get implementation guidance at www.CenterforTalentReporting.org» Introduction to TDRp whitepapers» Over 600 measures» More than 70 sample statements and reports» Guidance on implementation» Workshop and webinar registration

• Contact for more information:» Dave Vance: [email protected]» Peggy Parskey: [email protected]


http://www.centerfortalentreporting.org/

mailto:[email protected]

mailto:[email protected]

Introduction to Talent Development Reporting Principles (TDRp)

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