Talent Management: How to Make Your Metrics...

Talent Management: How to Make Your

Metrics Matter

Cathy Missildine, SPHR Chief Performance Officer

Intellectual Capital Consulting

April 26-27, 2012

ICC Copyright 2011. All rights reserved. 2 4/21/2012

Agenda

The 3 key areas to measure when it comes to talent

Metric examples in each key area that can be used immediately on the job

Reporting tips to ensure management and leadership take action on the data collected

#metrics


Facilitators

Processes

Products

Technology

Financial

Others

Revenue

Profitability

Market Share

Budget Cost Savings

Others

Business Results Enablers

Vision and Mission

The Path to Desired Business Results


Business Strategy Map: Example (Private) Business Results

Performance Objectives

Performance Metrics

Performance Outcomes

Actions

Increase sales from new customers

by 20%

Reduce prices of top 3 products

by 4%

Increase new sales from web

store by 15%

Increase new sales from

sales force by 15%

Increase new sales from call center by 10%

Strategic Goals

Increase Market Share

Improve new customer satis.

ratings from call center

interactions by 30%

Increase call center engage-

ment from 73.4% to 80%

Increase hit ratio from 10%

to 20%

Reduce call center turnover

by 20% Improve call center sales

skills

Improve call center product

knowledge

Improve call center

productivity

Increase number of

appointments

Increase percentage of

closings

Create new call center sales

training course

Upgrade CRM system

Hire four phone appointment

setters

Implement rewards &

recognition program in call ctr


Metrics Hierarchy

Department Level

Source/Hire Days to fill

Functional Level Average Performance Scores

Quality of Hire

Organizational Level

Profit Margin ROI


Performance is done by PEOPLE


3 Critical High Performing Metrics Focus Areas

Goal Alignment Employee Performance Quality of Hire

These 3 areas are critical to strategic execution and impact to bottom line…


An Average Organization Snapshot:

7% decrease in productivity

• Talent loss • Under-managed

recruiting pipelines

25% of HIPO’s at risk of leaving

• Combination of overstretched and under rewarded

• Compares to only 10% of non-HIPO’s

46% delta in employee

commitment • Between those

who have clearly defined job goals/objectives and those who don’t

And the above must be addressed with: No budget Increased demand from Board and C-Suite Greater reliance on key talent in order to reach goals

Darren Shearer via Source: Confronting Six Enemies of Post Recession Performance Corporate Executive Board Webinar


Goal Alignment

Single most cited reason for failure of strategy: Execution Goals must be cascaded up and down so that all

employees understand expectations


Goal Alignment: Are we all pulling in the same direction?

Culture and goal setting

Strong culture creates a common mindset

Goal setting ensures that the specifics are laid out

Clear set of competencies ensures that you have the skill set to reach your goals

Slide provided by Halogen Software, Sean Conrad


Goal Alignment-Metric Examples % of employees tracking goals % of goals obtained % of sales quota exceeded % of bonuses paid on goal attainment % of goals exceeded


Goal Alignment

See how employee performance is tied to corporate success!



Goal Alignment Metrics Give Your Managers the Ability to Intervene When Things Go Off Track



Or to Right the ship before it goes off course



Employee Performance

Being a high performing organization doesn't mean that all employees are high performing Make sure managers are trained-bias Give high performers the recognition they

deserve Make sure system is utilized and the data is

relied upon


Employee Performance Metrics Examples

High performer average engagement score vs. all others High performer growth rate Employee performance rate increase High to low performer ratio Performance appraisal participation rate Critical competency scores Sustained high performer rate


Employee Performance: Nurturing Organizational Competencies

See Year Over Year Progress Are we closing gaps?



Employee Performance Metrics

Determine departmental, team or individual strengths and weaknesses: Identify Low & High Performers


Quality of Hire

A relatively new measure used to assess quality of recruits Presently we use measures that relate to

efficiency (speed and cost) of the process not quality By profiling current HIPO’s organizations can

become more predictive in hiring thus saving on the front end and adding to bottom line


Quality of Hire Metrics Example

• Voluntary turnover rate, HIPO’s, non-HIPO’s • Retention rate, HIPO’s, non-HIPO’s • New Hire failure rate • ROI of Human Capital Investment • Time to fill • Cost per hire • Promotion rate • Employee engagement rate, HIPO’s, non-HIPO’s • Average new hire performance rating • Time to productivity new hire


Combine Data Points for further insight…

Butterflies

Add Turnover % & $$$$$

Change Seekers

Add Turnover & $$$$$

True

Loyalists Add Turnover % & $$$$

Morale Busters

Add Turnover % & $$$$

High Performance

Low Performance

Engagement


Talent Inventory: Quality of Hire Identifying HiPos

1 = high potential


Infrastructure Necessary for Delivering on the Metrics that Matter

Three Components Necessary for Success: ①An executive and organizational mindset that

supports talent’s role in business strategy execution. ②Talent processes and tools are designed and

mapped to enable the business to effectively manage talent effectively. ③Talent systems or software that support the

talent processes and tools.


Metrics Need Data

The best Talent Management systems in the world won’t help you make informed decisions if the tools aren’t used!



Making Metrics Matter • The best laid plans will fail if not executed properly.

• You’ve aggregated your data /automated your processes – now what?

• Executives need to know their organizational strengths and weaknesses.

• Manager and employees are accountable for performance.

• They need to answer the question “Do we have the right people with the right skills doing the right things for meeting today’s and tomorrow’s business strategy?”



Data…insight…ACTION!

• KISS-reporting, Killer slide • Tie manager performance to metrics • Brainstorm ways to improve and sustain results • Make action plans part of performance process • Progress is tracked and communicated loudly in the

organization • Management meetings have dedicated time to

metrics and progress • HR acts as coach, consultant and change agent


Contact Us

27

Cathy Missildine

(770)843-8284

@cathymissildine

intellectualcapitalconsulting.blogspot

intellectual-capital.net

[email protected]


ICC Partial Client List

Talent Management: How to Make Your Metrics...

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