Future Connect Conference May 9,
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1 Future Connect Conference May 9, 2011
2 Symptoms of a Failed Talent System Saying one thing and doing the opposite Rewarding those who get short term results at all costs Hiding and holding back hipo s Making performance/talent reviews a once a year event Creating a culture where employees feel like replaceable parts of a cog Driven by HR with limited leader engagement Not aligned to business strategy or other people processes Results not used for talent decisions No measurement of results tied to business results No understanding of what great looks like limited assessment of talent Big black hole 2
3 Optimizing Talent Test #1 Review the Deadly Sins Which ones are most prevalent from your experience What is the impact of the sins you identified on your organization and its ability to compete 3
4 The Case for Talent The ability to make good decisions regarding people represents one of the last reliable sources of competitive advantage, since very few organizations are very good at it. Peter Drucker Nothing our company does is more important than hiring and developing superior talent. Larry Bossidy, Honeywell 4
5 Talent Management Definition: A systematic approach to selecting, retaining and developing the talent of the organization. It is: measurable, reliable and repeatable drives consistent business results transparent to the organization
6 Questions to Ponder 1. How frequently are succession plans used to fill open roles? 2. What is the typical time to fill for executive positions? 3. What is the cost to fill an executive position with an external to the company hire? 4. What is biggest cause of derailment for leaders/managers? 6
7 Questions to Ponder 1. How frequently are succession plans used to fill open roles? A. 100% B. 75% C. 50% D. 25% E. Not at all 2. What is the typical time to fill for executive positions? A. 50 days B. 75 days C. 100 to 200 days 7
8 Questions to Ponder 3. What is the cost to fill an executive position with an external to the company hire? A. 1.5 times salary B. 3 times salary C. 5 times salary D. Actual salary 4. What is biggest cause of derailment for leaders/managers? A. Lack of the right skills B. Poor communications ability C. Poor cultural fit D. All of the above 8
9 What We Did Surveyed 60 top companies Interviewed key players at a cross section of organizations Refined the model and survey Surveyed an additional 500 Fortune 1000 Analyzed data and statistical correlations to business outcomes Proved model is statistically valid accounts for 55% of variance in talent 9
10 Talent Optimization Framework Alleviating the Pain! Research by Dr. Linda Sharkey and Dr. Paul Eccher 10
11 Our Findings 11
12 Most Least Consistent performance reviews Leader accountability for ratings Rewards tied to performance rating Leaders participation in talent reviews Leader competency model Access to open positions Tactical/opinion focus Define clear talent vision/strategy Build cultures to support talent development Objectively assess talent Clear career paths at all levels Conduct meaningful data analytics Measure results in terms of business outcomes Strategic/fact focus 12
13 Top Talent Optimizer Companies Outperformed the bottom quartile companies in stock price from 05 to 09 by 33% 71% were rated Most Admired by Fortune 2 times more likely to on the Best Place to Work list Reported 82% better business results than bottom quartile 13
14 Impact of Culture 14
15 Optimizing Talent Test #2 Describe your current culture Is it Supportive of talent activities what s your evidence What do leaders and managers do to support talent describe actions What 1 action can you take to enhance your culture 15
16 Culture Model 16
17 Culture and Leadership Without supportive leaders and culture you have programs that won t yield results 17
18 Aligning Strategy and Talent Initiatives Creating line of sight for all employees What is expected What great looks like What behaviors are critical Establishes a common language understood by all Provides consistency of action and experience for customers 18
19 Large Restaurant Chain Be our customers' favorite place and way to eat. Our operations are centered around the 5 basics of exceptional customer experience People, Products, Place, Price and Promotion. We are committed to improving our operations and enhancing our customer experience. 19
20 Grocery Chain Mission Statement We aim to be absolutely the best grocery retailer as measured by each and every customer. Our mission is to take excellent care of our customers, excellent care of our fellow associates, keep our stores clean, sell only fresh products, keep our shelves properly stocked. 20
21 Optimizing Talent Test #3 Review the mission statement above: Define 2 skills that are essential for this statement to become a reality Discuss what each skill would look like when it is demonstrated at a high level Discuss what each skill would look like when it is demonstrated at a below par level 21
22 Leader of the Future Grid 22
23 Strategy and Aligned Skills: Launch pad for talent systems 23
24 Assessment model 24
25 Building a Talent Strategy Establish clear goals Understand where you are today against the goals Assess and understand your talent capability Define organization actions to close the gaps Create meaningful measures of success 25
26 Optimizing Talent Test #4 Results: List the key results from your talent management activities Which of these results really matter to your organization s performance and success How do you know 26
27 27
28 Optimizing Talent Test #5 Assess Yourself Are you a Talent Optimizer, Talent Neutralizer, or Talent Minimizer? Personally take the survey and score Identify the 1 or 2 items that you can work on to improve your score Share you items with your table team Ask for suggestions or actions you can take to improve in the areas you identified 28
29 Five Key Actions of Leaders to build talent rich organizations Have a talent strategy Be visible champions Learn how to coach Learn how to assess talent Have a clear and consistent message 29
30 Parting Thoughts People are the most important ingredient to almost every organization s success Create great work places where you and those that work with you can thrive 30
31 Where Do You Stand? Go to Take the survey get a report Get the details and how to in the book Optimizing Talent: What Every Leader and Manager Needs to Know to Sustain the Ultimate Workforce Linda@Lindasharkey.com 31
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