Recruitment at EDF Energy Our Story

Transcription

1 at EDF Energy Our Story

2 EDF Energy Structure Before 2012 Visual of model pre 2012: Decentralised Operations with no central leadership role Advantages of model pre 2012: Personal service to the Line Manager In Customers and Nuclear New Build there are small teams dedicated to recruitment Customers Business Generation Business Nuclear New Build Corporate Steering Functions Deep Business Unit knowledge On site support from HR resource Centralised Recruiting Team Shared Service Structure Outsourced Structure Attributes of model (high level): HRBP/Line Recruiting Structure No central leadership of the recruitment function; 4 different models, aligned closely to Business Units. Strong business unit focus, no candidate focus No candidate management technology, no use of social media. Extensive use of recruitment agencies, with no performance management or control of suppliers Lack of Management Information, Key Performance Indicators or Performance Metrics around the effectiveness of the recruitment function, pipeline management, diversity or quality Disadvantages of model pre 2012: No central leadership; cost inefficiencies; no reporting/mi capability Large and uncontrolled/unmanaged recruitment agency expenditure ( 12m) No centralised one best way process; no performance management of the function No candidate management technology platform No use of direct sourcing channels to drive cost down Silo-ed working within Business Units; duplication of effort, limited value add Employer Brand confusion in the market; inconsistent candidate experience 2

3 Why change the model? The facts, business drivers and benefits Drivers & Facts Why? Benefits Why not? Who s done it too? Significant Business Needs over 8,000 permanent hires by 2015 Our recruiting cycle time today is nearly 100 working days that s 4 months! Our average cost per hire is 4k+ that s unacceptable in a business where more than 50% of the recruitment is under 30k ABS! We ve spent over 12m on 3 rd Party Recruiting Suppliers It s a Candidate Market & we re not in the lead: Talent Crunch & Engineering skills shortage Opportunity to reduce costs by leveraging our size lack of governance & compliance Inconsistent candidate experience Variety of processes, with pockets of excellence; loss of control on compliance & equal opp s Dissatisfaction with current process & service; Brand confusion; weak image & employer brand Limited central supplier management opportunity to synergise more 3 Cost saving by centralising and building internal capability Greater Synergies with EDF Group. Allowing greater supplier leverage due to our size and ownership of an international talent pool, facilitating greater penetration into the candidate market through multiple cross Group channels Develop a robust Employer Brand which gives us a strong sustainable presence in the candidate market place Creating efficiencies in terms of process, technology and supplier management. Improving quality, time to hire and candidate experience Transparency and accountability of the recruitment team back to the business! Objective data to measure team as well as supplier performance; Metrics/Key Performance Indicators Shell, GE, Lloyds, Novartis, Dell, (some in pockets, some across the organisation) Majority of comments have been around increased efficiencies and the immediate effect on bottom line cost Saving doesn t necessarily come from headcount reduction, more process efficiencies. Immediate impact on candidate experience Speed of hiring has improved, but accountabilities and roles need to be very clear Best results when managed as a commercial service to the business with accountabilities held as basis of Service Level Agreements

4 EDF Energy Structure From 2012 Visual of model from 2012 (high level): Strong central leadership of the recruitment function, encompassing all areas: operational recruitment (Permanent & FTC); agency workers recruitment; internal movement; graduate and pipeline recruitment No business unit allegiance strong focus on candidate as the customer. Recruiters are functionally focused and build external talent pipelines in their field (e.g. HR, Finance, Engineering, Marketing ) Focus on Metrics, reporting, performance management of the function. Commercial internal agency approach State of the art Candidate Management Technology (CMS) implemented in December Operational Delivery CMS Administrator Agency Workers Head of Internal Mobility, Expatriation & Immigration Attributes of model (high level): Sourcing Channels Future Capability & Early Careers (Graduate & Pipeline ) Advantages of model from 2012: Implementation of new CMS technology reaped instant benefits, such as access to accurate metrics & MI, performance data of the function, immediate reduction of expenditure by focusing of direct candidate sourcing (halved cost per hire in year 1, see Performance slide x) One Team, One Process, One System, One Employer Brand, One Candidate Experience Increase in digital capability and measurable access to social media for resourcing purposes: LinkedIn, Facebook Clear line of sight, clear accountabilities of every actor in the recruitment process Dramatic reduction of recruitment agency usage (from 36% pre 2012 to 4% today) Inadequate workforce planning and projection of recruitment volumes force the model to be even more agile and flexible to deliver to business needs challenges! Challenges of model from 2012: Diverse spectrum of vacancies makes it hard to keep the functional focus of our recruiters Continuous improvement of our function by continuing the development and investment in our CMS technology

5 Performance Evolution Metrics 2011 to 2014 General Overview of Key Performance Indicators and their Evolution Key Performance Indicators Target 2014 RAG Time to Offer (Internal & External) ~ TTO Consistency (% of roles offered in <65 days) Unknown Unknown 40% 80% 61% Time to Hire (Non-Nuclear/Nuclear) ~ / TTH Consistency (% of roles hired in <85 days) Unknown Unknown 25% 80% 48% Interview/Hire Ratio Unknown 5 to 1 4 to 1 3 to 1 3 to 1 Diversity of hired candidates ~15% 36% 40% 25% 50% Cost per external hire (job boards + agencies) 4,000+ 2,070 1,100 < 1, Agency Expenditure per month 141k 83k 41k k Candidate Satisfaction Survey Unknown Unknown Line Manager Satisfaction Survey Unknown Unknown Qualitative Measures Comments Candidate & Line Manager Satisfaction detail on next slide. Small sample groups but representative Under 2% attrition in first 6 months of employment (external hiring only, and excluding Call Centre) Under development: linking recruitment effectiveness with performance ratings of external hires in first year cycle of employment Quantitative Measures Comments Annualised (known and identified) recruitment agency spend pre reorganisation was 1.7m. We reduced this in 2012 to 1m, and reduced again in 2013 to 492k. Year to Date recruitment agency spend is 158k (June 2014) Reduced the Cost per External Hire by 79% Increased direct candidate sourcing to 96%, through introduction of systems and integration with channels

6 Operational KPI s Green: On or above Objective Amber: 20% under Objective Red: +20% under Objective Measure Key Performance Indicator Unit Target Actual Number of Internal moves this month Context Time Number of External hires this month Number of interviews arranged this month Time To Offer Days TTO Consistency % 80% 52% TTH Internal Days Time To Hire Nuclear Days TTH Nuclear Consistency % 80% 42% Time to Hire Non-Nuclear Days TTH Non-Nuclear Consistency % 80% 53% Cost Cost per external hire k < 1, % of external hires sourced directly % 95% 99% Interview/Offer Ratio Ratio 3 to 1 3 to 1 Hired candidates - % of female % 25% 27% Quality Hired candidates - % of BAME % 10% 8% Line Manager Satisfaction Survey NPS 8 8 Offer to Hire Conversion Rate % 95% 92% % of new hires rated High/OS in 2014 % 25% 11% 6

7 Continuous Improvement Activity Improving our Service Our People: An agile account management approach to delivery; developing close relationships with our customers; high performing partnership culture Increase Customer Satisfaction Survey responses and regular feedback provided Increase our culture of proactive leadership and involvement; providing innovative recruitment solutions in a skills shortage market Our Processes & Technology: Improve our Candidate Experience through more effective use of technology Online candidate on-boarding portals and e- signatures for contracts; enhanced use of social media in direct sourcing Enhanced reporting to identify process bottle necks and implement solutions Key Priorities 2015: Operational Delivery Continuous Improvement Deepening Relationships Develop Our People Add Value As one high performing team, we will deliver a consistent, measurable, proactive and innovative recruitment service to our customers, with increased quality of diverse hires and at a decreased cost to the business 7

8 Benefits & Risks of Outsourcing How to avoid pitfalls Understand Demand: A combination of Reporting & Feedback Benefits Risks & Actions Protect Your Reputation: Continue delivery against business requirements and support the work of your of core team Avoid Inflated Headcount Costs: Switch the service on and off to respond to fluctuations in demand Experience Expertise: Specialist partners will demonstrate best industry practise Mutually Beneficial Relationships: A strong partnership will facilitate continuous improvement Integration & Seamless Delivery: Ensure you invest time to develop a strong relationship with your supplier Identify Expert Suppliers: Access their case studies and see their operation in action Invest Your Time: Support the development of knowledge regarding your culture and processes Manage Performance: Agree on reasonable SLA s and regularly review progress to identify any gaps sooner rather than later 8