Organizational Development (OD), and Succession Planning for CGS. Report to Council
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1 Organizational Development (OD), and Succession Planning for CGS Report to Council Presentation by: Patrick Thomson Director of Human Resources and Organizational Development
2 Background Main finding of December 2004 Berkeley Report was: In order to prepare for retirements and to build its Management capability, as well as improve morale, Sudbury urgently needs to invest in people and organization development.
3 Other Berkeley findings: Background Sudbury has an aging workforce and will face a wave of Management retirements over the next 5 or so years. There is, effectively, no succession planning, development of people, or a line of successors to operating roles... this poses a significant challenge for the municipality.
4 Background For the purposes of this Report, Berkeley only made 3 recommendations: - Develop an organization change strategy. - Identify and obtain the resources to support the plan - especially relative to an enhanced Human Resources and Organization Development unit. - Receive the commitment and support of Council for the Program.
5 CGS s Response to the Berkeley Report The Council approved Blueprint for change was staff s chief response to date to the Berkeley Report. Council approved that 2 Full Time staff be added to the renamed Human Resources and Organizational Development Division. In addition, given current budget challenges in 2006, no additional training dollars were recommended to address this issue.
6 CGS s Response to the Berkeley Report Widely accepted in Management journals, that organizations need to invest typically 1% of their total wage bill, in training annually. CGS s 2006 Corporate Training budget is $116,000. 1% would equal $1.5 MM (a gap of $1.4 MM).
7 CGS s Response to the Berkeley Report Tonight s Report contains a resolution, not for additional budgetted dollars, but simply a redirection of existing annual unexpenditures in professional development and training accounts, into a new Organizational Development Reserve Fund. This will provide a dedicated repository for other one-time surpluses Council may elect to invest in Organizational Development, in the future.
8 Overview of SMT s OD and Succession Planning Strategy SMT approved a strategy at its October 5th, 2005 meeting. Strategy identifies Inputs (needs identification) - Processes (Training and OD) - Outputs (expected results).
9 Overview of SMT s OD and Succession Planning Strategy Proposed Inputs: 1. New Management Performance and Development Review (MPDR) System to be launched February 10th, Program will: - identify performance gaps. - identify behaviourial competencies needed for major job families.
10 Overview of SMT s OD and Succession Planning Strategy - identify individual performance on those competencies. - contain a professional development and career aspirations discussion section. - contain a personal development and wellness section.
11 Overview of SMT s OD and Succession Planning Strategy 2. Annual SMT Succession Planning exercise will identify: - succession gaps. - high potential staff. - technical and managerial needs by job families and Incumbents. - allows for a CGS wide look at possible staff movement.
12 Overview of SMT s OD and Succession Planning Strategy 3. Our new OD Internet site will allow Employees to self nominate for training, and identify their training needs to CGS. 4. The OD group will be identifying best practices, bringing forward program refinements to the SMT for consideration. These inputs will be marshalled to create Employee profiles, using a PeopleSoft module that CGS purchased on amalgamation.
13 Proposed OD Processes Five processes are envisioned. Process #1 - CGS will create a Management Development Program (in partnership with one or more post secondary institutions in Ontario): - customized content based on inputs (needs identified). - courses timed with CGS business processes. - target group - Directors/Managers in CGS. - personal profiles updated electronically.
14 Process #2 - Proposed OD Processes CGS will create a Supervision Leadership Program: - in partnership with Cambrian College (or alternate). - courses selected based on inputs (needs identified). - target group CGS Front Line Supervisors and identified sole contributors. - personal profiles updated electronically.
15 Process #3 - Proposed OD Processes CGS s Annual Training Calendar: - open to all Employees on line. - emphasizes on line learning, webinars, and evening courses. - selected day shift offerings. - selection criteria and maximum enrollments prepublished. - personal profiles updated electronically. - target group Full Time Permanent Non Union / Union sole contributors at CGS.
16 Process #4 - Proposed OD Processes CGS s Talent Management Program: - once high performance/high potential staff are identified, intended to ensure these staff are retained and developed. - conditional on success of MPDR and Annual Succession Planning exercise, as well as cultural tolerance. - will likely focus on formalized mentoring, and specific secondment/project work.
17 Process #5 - Proposed OD Processes CGS Talent Acquisition Program: - intended to better resource the acquisition of talent from outside CGS on specific vacancies (i.e. similar approach to physician recruitment). - possible partnership with Ministry of Northern Development and Mines (as funds allocated).
18 Expected Outputs More Employee/Supervisor awareness of performance and competency gaps. Employees offered focused training to address gaps and enhance performance. Feedback and assessment loop evaluates whether our processes are achieving our desired results. SMT provided with accurate global information on our available human capital.
19 Expected Outputs Should create perception that CGS invests in its Employees, wants them to succeed. Should enhance motivation and job satisfaction. Should provide for long term staff stability and growth to better meet the needs of the community. Should address CGS s looming succession gap issue.
20 Action Requested That CGS Council support the creation of an Organizational Development Reserve Fund and resource that fund with the following by-law: Whereas the 2004 Management Structure and Practices Review Report identified an urgent need for CGS to invest in people and Organizational Development; And Whereas CGS expects a significant number of its Supervisory and Managerial staff to be eligible to retire within the next 5 years;
21 Action Requested And Whereas it is commonly accepted that organizations need to invest 1% of their annual salary budgets in Organizational Development and training to achieve success; And Whereas CGS s current total commitment to training does not approach that benchmark; And Whereas Council seeks to address this funding gap, working within the fiscal realities of the municipality;
22 Action Requested Therefore Be It Resolved that Council directs staff to create an Organizational Development Reserve Fund for CGS; and That, commencing with the 2005 fiscal year end, the annual under expenditures in all training related budget line accounts (including conference /seminars, association dues, professional development, tuition fees, corporate training, safety education, travel and accommodation, accreditation fees, licence fees and dues, memberships, meals, conferences, and all Paramedic and supervisory related training) be directly deposited into the Organizational Development Reserve Fund at year end;
23 Action Requested And That funds deposited to the Reserve be used for training and development of CGS staff. And That control over the Reserve Fund be vested with the Director of Human Resources and Organizational Development. If Council supports the recommendation, the SMT commits to report back on adequacy of fund in fulfilling our needs.
24 OD and Succession Planning Questions?
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