Talent+Management Ppm+v1

8/2/2019 Talent+Management Ppm+v1

1/31

TALENTMANAGEMENT

& SuccesionManagement

TALENTMANAGEMENT

& SuccesionManagement


2/31

Why Talent management is

Important ?The things that wakes me up in themiddle of the nights is not whatmight happen to the economy orwhat our competitors might do next,it is worrying about whether we havethe leadership capacity and talent to

implement the new and morecomplex global strategies

David Whitman,

Chairman, President and CEO

Whirpool Corporation


3/31

Why Talent management

Important ?(Contd) Survey of 400 Fortune Companiesrevealed that :

Identifying and developing leaders is the

single most pressing issue in theircompanies

Only 8 % rated their companysleadership as excellent

Nearly 50% rater their leadershipcapacity to be fair or poor

Conference Board DDI

On average, organizations will lose


4/31

Why Talent management

Important ? (Contd) Among approximately 6.000respondents, 2/3 reported that theircurrent leader displays behaviours

that could derail his/her career On average , organizations will pay

$1.000.000 each time an executive

role is filled with an externalcandidate

Development Dimensions International

Four in ten leaders fail within the first18 months on the ob


5/31

What is talent ?Talent is the sum of a persons abilities-his

or her intrinsic gifts, skills, knowledge,experience, intelligence,judgment,

attitude, character, and drive. It alsoincludes his or her abilityto learn and

grow

There is no universal definition of anoutstanding manager

Each company must understand thespecific talent profile that is right for it


6/31

What is talent ?The resource that includes the potential

and realized capacities of individual andgroups and how they are organized,

including those within the organizationand those who might join the organization

Beyond HR New Science of Human Capital, John W. Boudreau & Peter M.

Ramstad


7/31

MANAGERIAL TALENT

Some combination of a sharp

strategic mind, leadership ability,emotional maturity, communications

skills, the ability to attract andinspire other talented people,

entrepreneurial instinct, functionalskills, and the ability to deliver

results


8/31

Talent Management

Definition DDI defines talent management asthe system in which people arerecruited, developed, promoted, and

retained to optimize theorganizations ability to realizepositive business outcomes in the

face of shifting competitivelandscapes and labor requirements.


9/31

More specifically ..

Talent management is a businessprocess that systematically closesthe gap between the talent an

organization has and the talent itneeds to successfully respond tocurrent and emerging business

challenges.


10/31

THE WAR FOR TALENTsurveys

To understand how companies build astrong pool of managerial talent - howthey attract, develop, and retain the

people in the top 200 managerial position

and how they build a pipeline of youngertalent that might one day move into moresenior positions

The War for Talent by Michaels, Helen Handfield-Jones and Beth Axelrod


11/31

WHATS DRIVING THE CURRENTEMPHASIS ON TALENT

MANAGEMENT? There is a demonstrated relationshipbetween better talent and betterbusiness performance.

Talent is a rapidly increasing sourceof value creation.

The context in which we do businessis more complex and dynamic.

Employee expectations are alsochanging.

Workforce demographics are

evolving.


12/31

Growing propensity to

switch companiesThe Old RealityThe New RealityPeople need companiesCompanies need people

Machines, capital, and

geography are competitiveadvantage

Talented people are the

competitive advantage

Better talent makes somedifference

Better talent makes a hugedifference

Jobs are scarceTalented people are scarceEmployees are loyal and jobs

are securePeople are mobile and theircommitment is short term

People accept the standardpackage they are offered

People demand much more


13/31

A WHOLE NEW APPROACH

TO TALENT MANAGEMENT1. Embrace a talent mindset

1. Craft a winning employees valueproposition

1. Rebuild your recruiting strategy

1. Weave development into yourorganization

1. Differentiate and affirm your people


14/31

NEW WAY OF MANAGINGTALENT

The Old WayThe New WayHR is responsible for people

managementAll managers, starting with theCEO, are accountable forstrengthening their talent pool

We provide good pay and

benefits

We shape our company, our

jobs, even our strategy toappeal to talented people

Recruiting is like purchasingRecruiting is like marketing

We think development happensin training programs

We fuel development primarilythrough stretch jobs, coaching,and mentoring

We treat everyone the same,and like to think that everyone

is equally capable

We affirm all our people, butinvest differentially in our A, B,and C players


15/31

STARTS WITH A TALENT

MINDSETOld Mindset AboutPeople

New Talent Mindset

A vague notion that people areour most important asset

A deep conviction that bettertalent leads to better corporateperformance

HR is responsible for peoplemanagement

All managers are accountablefor strengthening their talentpool

We have a two day successionplanning exercise once in a

year

Talent management is a centralpart of how we run thecompany

I work with the people I inheritI take bold actions to build thetalent pool I need


16/31

TALENT IS EVERY LEADERS

JOB Establish the gold standard for talent

Get actively involved in people decisions

deep within the organization Drive a simple, probing talent reviewprocess

Instill a talent mindset in all managers

throughout the organization Invest real money in talent

Hold themselves and their managersaccountable for strength of the talent

pools they build


17/31

REBUILD RECRUITINGSTRATEGY

Old RecruitingStrategiesNew RecruitingStrategies

Grow all your own talentPump talent in at all levels

Recruit for vacant positionsHunt for talent all the time

Go to a few traditional sourcesTap many diverse pools oftalent

Advertise to job huntersFind ways to reach passivecandidates

Specify a compensation range

and stay within it

Break the compensation rules

to get the candidates you want

Recruiting is about screeningRecruiting is about selling aswell as screening

Hire as needed with no overallplan

Develop a recruiting strategyfor each type of talent


18/31

New approach to

DevelopmentOld Approach toDevelopmentNew Approach toDevelopmentDevelopment just happensDevelopment is woven into the

fabric of the organization

Development means trainingDevelopment primarily means

challenging experiences, coaching,feedback, and mentoring

The unit owns the talent; peopledont move across units

The company owns the talent;people move easily around the

companyOnly poor performance have

development needsEveryone has development needsand receives coaching

A few lucky people find mentorsMentors are assigned to every

high-potential person


19/31

RUN A ROBUST TALENT REVIEW

PROCESSTraditional SuccessionPlanningRobust Talent ReviewA half day session once a year

at corporate headquartersA full day on-site for eachdivision

Discuss possible successorsDiscuss quality of incumbents

Review individualsReview individuals and thetalent strength each unit, anddiscuss other issues such asretention or recruiting

Polite, senatorial presentations Rigorous, candid debate

No effort to calibrateassessment

Drive to a distribution of ratings

No action plans agreed toSpecific action plans writtenand followed up for each unit

An annual paper exerciseAs important and intense asbudget process, with real


20/31

NEW PAY PHILOSOPHY

Old Pay PhilosophyNew Pay Philosophy

Pay for the jobPay for the person and the

performance

Job-scope and seniority drivepay

Value creation drives pay

Pay what others in the companyget (internal equity)

Pay what the individual couldget elsewhere (market equity)

Set a range and range and hirewithin it

Break the compensation rulesto hire the right candidate


21/31

Talent Management (DDIs view)

Best Practice #1: Start with the end in

mindyour current and future businessneeds

We are a global automobile manufacturer thathas steadily lost market share. What sort oftalent are we going to need to shake up thestatus quo, rejuvenate our brand, and give usthe action-orientation required to turn things

around?

We are a utility in the midst of deregula- tion.Consumers will have choices. On top of that, weare getting into new businesses. How will the

skills of our current talent fit with our new


22/31

Talent Management (DDIs

view) Best Practice #2: Talent management isJob #1 for senior leaders.

Best Practice #3: You must know what

youre looking forthe role of successprofiles.

Best Practice #4: Build a systematic andintegrated approach to all work- forcedevelopment activities.

Best Practice #5: Talent management ismuch more than succession management

Effective talent management requires not only


23/31

Talent Management (DDIs

view) Best Practice #6: Clear distinctions aremade between potential, performance,and readiness.

Best Practice #7: Look at the team mosaic

Best Practice #8: Turn your leaders intotalent managers.

Best Practice #9: Talent management isall about uttin the ri ht eo le in the


24/31

Talent

High potentials stand out


25/31

TALENT MANAGEMENT

ASSESSMENT TOOLS Performance appraisal

Potential forecast

Measurement scales for performanceand potential

Core/institutional competencies

Mapping and weightingcompetencies

Segmenting the Talent Reservoir

Employee and job demographics


26/31

Talent

Talent Development Goal : Acceleration of HiPos in

Leadership Talent Pipeline

Executives

Those who lead

organizations

Managers

Those who lead

businesses andpeople

Domain Experts

Those who do not yet lead

people and/or have

technical focus

Talent

Pipeline

Accelerate Quality

Internal and External

Talent in Leadership

Pipeline at All Levels

Entry Level

Entry talent

college recruits


27/31

Segmentation of

PerformancePerformance and Potential GradeC Give warning

Provide coaching

Consider if itappropriate job

APlan next move

Provide extracoaching

A+Plan multiplemoves

Ensure pay issufficient

BKeep in place

AIdentify nextdevelopment

opportunity

C

Manage out

High

Low

Low High

Potential

Performance


28/31

THE CLASSIFICATION OF

EMPLOYEE Superkeepers Those employees who greatly exceed expectation

Demonstrated superior performance

Who have inspired others to achieve superior

performance Who embody the core competencies of the organization

Keepers Those employees who exceed organization expectation

Solid Citizen

Meet organization expectation

Misfits Employees who do not meet organization expectations

for performance, working with others, and/ororganization competencies


29/31

Talent

High potential

identification High potential = behavior + track record +

ambition + stretch; High performers with the ambition to be treated as key talent Has what it takes to grow into bigger, more complex, more

senior roles in the organization (cognitive capacity, domainexpertise, commitment, maturity/balance)

Demonstrates personal accountability and initiative They can be found in the top 20 ranking OR in the 70 ranking

due to their current objectives and situation

High performers = behavior + track record; Consistently demonstrates and embraces leadership values Has a record over time of sustained high performance Has what it takes to grow to their next role domain expertise

Understand the difference between High Performers andHigh Potentials Ambition and Stretch Provide examples


30/31

Page 30

HiPo

Talent

Assessment &

Planning360 degree Survey + LPI

IDP

DevelopDifferentiated needs

Targeted development

activities

Evaluate Performance

EffectivenessPPR

IDP progress

HiPo Development Cycle

Reward &

Retain

MeritocracyRecognize

Selection

Consistent

Process

Evaluation criteria

Talent

Pipeline

Studies in 1998 by the Hay Group showed that organization with better operating

statistics are morelikely to have succession management programs

Grow your own leader- William C Byham,PhD


31/31

Talent+Management Ppm+v1

Documents

Transcript of Talent+Management Ppm+v1