Global Mobility and Leadership Development 21 October 2014 Kate Fitzpatrick David Deegan Principal Consultants London United Kingdom
Today s Speakers Kate Fitzpatrick Principal Senior Mobility Consultant David Deegan Principal Leadership and Organisational Performance kate.fitzpatrick@mercer.com +44 (0)20 7178 5653 david.deegan@mercer.com +44 (0)791 777 8106 1 1
Agenda Global Organisation and Leadership Model Exploring the Relationship between Global Leadership Development and Mobility Strategy Hints and Tips for Aligning Organisation and Global Leadership Strategies Summary and Questions 21 October 2014 2
Definition of a Global Leader A Global Leader is one who analyses and synthesises data and strategises and executes plans, while taking cultural and geographical issues into consideration. 3
Global Organisation and Leadership Model 4
Local versus Global Organisations Local Organisation Small geographical focus Limited product/service range Localised brand recognition Uniform operations Adaptation creates stress Regulatory variations are a barrier Change would dilute the brand Global Organisation Wide geographical reach Differentiating product/service range Brand known outside operating area Responsive to local requirements Adaptation is a challenge Regulatory variations are a hurdle Change is used to strengthen brand 5
Local versus Global Mindsets Leaders with a Local Mindset Resistant to adapting Uncomfortable with uncertainty Limited and/or stereotyped view of culture Believe that curiosity creates problems Ask leading questions to maintain status quo Aim of reflection is justifying decision Preferring to work in comfort zone Uncomfortable/uninterested in feedback Leaders with a Global Mindset Learned adaptability Comfortable with discomfort Cross-cultural awareness Genuine curiosity Respectful questioning Honest reflection on experiences Constant self-challenge Seeks and receives feedback 6
GLOBAL - 10 LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 7
Local / Global Organisation GLOBAL - 10 Globalisation of Organisation LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 8
Local / Global Organisation GLOBAL - 10 Globalisation of Organisation ORGANISATION LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 9
Local / Global Organisation GLOBAL - 10 Globalisation of Organisation LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 10
Local / Global Organisation GLOBAL - 10 Globalisation of Organisation ORGANISATION LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 11
The Local Leadership Mindset vs Global Leadership Mindset GLOBAL - 10 Leadership Mindset LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 12
Global Harmonisation Global Organisation ahead of Leaders (eg. rapid expansion or global integration without home grown global leaders in pipeline) GLOBAL - 10 Maturity (Mindset and Org) LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 21 October 2014 13
Exodus Global Leaders ahead of Organisation (eg. downsizing / divesting) GLOBAL - 10 MINDSET Maturity (Mindset and Org) ORGANISATION LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 21 October 2014 14
Inertia Global Organisation ahead of Leaders (eg. long tradition of local market focus or resistance to change/growth) GLOBAL - 10 Maturity (Mindset and Org) LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 15
Ambition Global Leaders ahead of Organisation (eg. growing the business) GLOBAL - 10 Maturity (Mindset and Org) LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 16
Alignment Global Leaders and Organisation aligned at whatever is right for the business GLOBAL - 10 Maturity (Mindset and Org) LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 17
Exploring the Relationship between Global Leadership Development and Mobility Strategy 18
Mercer s Research on Global Leadership Development How companies approach international leadership GLOBAL EXECUTIVE GLOBAL EXECUTIVE EXECUTIVE GLOBAL MANAGER MANAGER 19
Mercer s Research on Global Leadership Development Global leadership competencies Baseline Attributes Global Skills Global Mindset Catalytic learning capability Motivate and lead multicultural teams Comfort with complexity Sense of adventure Effective networker in new cultural environments Opportunity identification Entrepreneurial spirit Systems thinking Cultural adaptability Cultural literacy Extended time horizon 20
Mercer s Research on Global Leadership Development Key learnings: Mobility experience for development along career stages Global Executive Passage Passage Global Mindset four Passage Global Skills two Passage Full package five Passage Global Mindset three Baseline Passage Attributes one Leadership Pipeline: Charan, Drotter and Noel, 2000 New Insights on Global Leadership Development, Mercer 2011 21
Mercer s Research on Global Leadership Development How global leaders develop International assignments Multi-cultural teaming Rotational assignments Special projects Frequent travel Cultural training Coaching Mentoring International leadership development programme 22
Hints and Tips for Aligning Organisation and Global Leadership Development Strategies 23
Validating Your Assessment Which picture do I have? How do I know it is right? What data can I gather to verify the picture? What does my picture tell me about the Talent strategy we need to employ? 24
Gathering Support What is the impact of not doing anything about the picture we have right now? What resistance will we encounter as we try to align? Who will be most resistant? Who do I need to share the picture with? 21 October 2014 25
Strategies for Closing the Gap GLOBAL - 10 Maturity (Mindset and Org) MINDSET LOCAL -1 RIGHT NOW Time THREE YEARS FROM NOW 26
What is Your Talent Strategy? By looking at patterns of entry and promotion throughout the hierarchy, one can tell whether an organisation is prone to buy or build its talent HIRES HIRES BUILD Limited hiring at middle and upper levels Most entry points are at lower levels limits touch points with the market Focus on promotion to feed upper levels from within Diffuse exit points EXITS EXITS EXITS EXITS HIRES HIRES HIRES HIRES HIRES HIRES BUY Diffuse entry and exit points Significant number of hires at middle and upper levels Tend to see more hires than promotions Many touch points with the market EXITS EXITS EXITS EXITS EXITS 27
Interpreting an ILM Map CAREER LEVEL 8 HIRES 11 EXITS 168 17 16 7 72 517 49 81 6 125 640 123 129 5 190 830 184 134 4 312 963 227 Promotions 85 3 116 383 86 28
Interpreting an ILM Map with Two Dimensions CAREER LEVEL 10 2 25 100% 0% 9% 100% 9 18 95 33% 67% 4% 3% 48% 52% 8 114 273 43% 57% 8% 9% 41% 59% 7 306 349 49% 49% 5% 12% 49% 51% 6 886 331 5 55% 49% 12% 14% 1,788 221 60% 40% 4 66% 34% 72% 28 % 16% 15% 1,382 244 PROMOTIONS % OF AVAILABLE 34% 66% 54% 46% New Hires % of Total Female Average active employees Male Exits % of Total 29 GETTING STARTED WITH METRICS
Workforce Structures ILM map shapes can tell you a lot about a company or divisional structure and career flows PYRAMID DIAMOND BLOCK 30 GETTING STARTED WITH METRICS
Identifying Critical Roles Create a planned mix of experiences and pathways to destination roles EXPERIENCES ROLES DESTINATION? MANAGED TO A BOTTOM LINE SUCCESSFULLY HANDLED A COMPLEX ASSIGNMENT INNOVATED A NEW APPROACH INTERNATIONAL DIRECTOR MANAGEMENT EXPERIENCES LED A FUNCTION SOLD XYZ PRODUCTS AND SERVICES USED TECHNOLOGY EFFECTIVELY TO ADDRESS NEW CUSTOMER NEED SIGNIFICANTLY IMPROVED A BUSINESS PROCESS MANAGED PEOPLE ANALYZED FINANCIALS AND ASSESSED RISK Destination Roles Pass through roles Plateau Roles ORGANIZATIONAL EXPERIENCES CROSS-LOB CROSS-FUNCTION CROSS-GEOGRAPHY INCORPORATED CUSTOMER FEEDBACK TO IMPROVE PROCESS MASTERED CERTAIN SKILLS WITHIN FUNCTION 31
Global Leadership Development Effective Interventions International assignments Multi-cultural teaming Rotational assignments Special projects Frequent travel Cultural training Coaching Mentoring International leadership development programme 32
Summary and Questions 33
Successful Inclusive and Strategic HR Collaboration TALENT MANAGEMENT: Ongoing, inclusive and candid dialog about skills, aspirations and experiences, and ensuring effective global leadership resource planning and succession management in an international context. RESOURCING: Structured, objective recruitment processes and selection techniques to ensure the right people are identified as having global leadership potential. GLOBAL MOBILITY: Facilitation of strategic, inclusive and compliant deployment of globally mobile staff, enabling global leadership development in line with business strategy. TOTAL REWARD: An integrated, aligned reward strategy which differentiates, segments and incentivises leaders in critical global roles, whilst taking account of employee choices. PERFORMANCE MANAGEMENT: The core business process for communicating expectations, assessing performance and moderating peer groups in a way that supports your global leadership development strategy. 34
Further questions to ask yourself and the organisation How visible is the current global leadership development strategy? Are there clear and logical connections between the organisation s strategy leadership strategy, and the global mobility strategy? Is every overseas assignment a proactive learning opportunity for our leaders? Does every leader know how their development during an overseas assignment will have an impact on the bottom line? Is effective career development and succession planning in place for important destination roles? 21 October 2014 35
Questions Kate Fitzpatrick Principal Senior Mobility Consultant David Deegan Principal Leadership Development kate.fitzpatrick@mercer.com +44 (0)20 7178 5653 david.deegan@mercer.com +44 (0)791 777 8106 QUESTIONS Please type your questions in the Q&A section of the toolbar and we will do our best to answer as many questions as we have time for. To submit a question while in full screen mode, use the Q&A button, on the floating panel, on the top of your screen. FEEDBACK Please take the time to fill out the feedback form at the end of this webcast so we can continue to improve. The feedback form will pop-up in a new window when the session ends. CLICK HERE TO ASK A QUESTION TO ALL PANELISTS www.mercer.com/webcasts View past recordings and sign up for upcoming webcasts October 21, 2014 36
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