Agility & Talent Mobility how to enable business strategy with modern performance management

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Agility & Talent Mobility: How to Enable Business Strategy with Modern Performance Management

Stacia Sherman Garr Vice President, Talent Management Research, Bersin By Deloitte Deloitte Consulting LLP

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This publication contains general information only and Deloitte is not, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte shall not be responsible for any loss sustained by any person who relies on this publication. As used in this document, "Deloitte" means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting.

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Agility and Why We Care About It Performance Management Competencies and Job Profiles Ongoing Learning Takeaways and Q&A

Agenda

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A Shift in Business Strategy… Electronic Arts

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A Shift in Business Strategy…

From…

Electronic Arts

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From… To…

Electronic Arts

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From… To…

Electronic Arts

So What Did They Do?

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“The ability to anticipate changes and respond effectively and efficiently.”

What is Agility?

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Polling Question: What do you think are the most critical traits of an agile organization? (select three)

Ability to access right information at right time

Accountability and credibility

Decentralized or flat reporting structures

Flexible management of people and teams

High-performance culture

Lean operations

Rapid decision-making and execution

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Critical Traits of Agile Organizations

Rapid decision- making and execution (61%)

Source: “Organizational Agility: How business can survive and thrive in turbulent times.” Economist Intelligence Unit, 2009; respondents selected up to three options.

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A high-performance culture (44%)


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Accountability and credibility (34%)

Ability to access right information at right time (34%)


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Decentral-ized or “flat” reporting structure (29%)






Flexible management of teams and people (31%)


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Decentral-ized or “flat” reporting structure (29%)

Lean operations (22%)






Flexible management of teams and people (31%)


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Agile Obstacles: Slow Decision-Making, Silos and Lack of Goal Clarity


24%

26%

28%

28%

29%

0% 10% 20% 30% 40%

IT infrastructure inflexible /inconsistent

Culture risk-averse / innovationadoption slow

Conflicting goals / priorities of differentdepartments

Necessary information resides in silos

Decision-making can take too long

“In your view, what are the main obstacles to increasing business agility at your organization?”

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24%

26%

28%

28%

29%

0% 10% 20% 30% 40%







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24%

26%

28%

28%

29%

0% 10% 20% 30% 40%







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24%

26%

28%

28%

29%

0% 10% 20% 30% 40%






The Bottom Line: The right people lack the right information and are unable to make the right decisions at the right time


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Order Stability

Predictability Execution Planned Directed Efficiency

Organized Chaos Change

Adaptability Responsiveness In-the-Moment

Self-Determined Utilization

Why Creating Agility is Hard: Balancing Structure and Flexibility

Source: Dyer, Lee and Shafer, Richard A., “Dynamic Organizations: Achieving Marketplace and Organizational Agility With People,” (2003). CAHRS Working Paper Series, Paper 27.

Perceived as More Safe

Perceived as More Risky

His

toric

al A

ppro

ach

Agi

le A

ppro

ach

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EA’s Response to Shifting Business Strategy Part 1: Strategic Action Teams

10@10 $3B in Digital Revenue

• Comprised of cross-functional leaders • Substantial time investment across 14

months • At least four 3-day in person meetings • Supported by EA University

Strategic Action Teams

Electronic Arts

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Creating an Agile Environment: Performance Management

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Polling Question: How frequently does your organization have employees review or revise goals?

We do not do this

Once per year (semi-annually)

Quarterly

Monthly

Ongoing

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Organizations that Frequently Revise Goals Report Better Outcomes

16%

44%

21%

10%

9%

Source: Bersin & Associates High Impact Performance Management research, 2011, n=214. The Total Performance Index is 12 questions asked to HR professionals on employee engagement, employee productivity, customer satisfaction, hiring the best people, developing great leaders, developing employees, retaining top performers planning for future talent needs, having the right people in the right jobs, cost structure compared to competitors, and market leadership position.

3%

24%

26%

31%

50%

No Goal Revision

Once Per Year

Twice Per Year

Quarterly

Monthly

Top Quartile on Total Performance Index

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16%

44%

21%

10%

9%


3%

24%

26%

31%

50%

No Goal Revision

Once Per Year

Twice Per Year

Quarterly

Monthly


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16%

44%

21%

10%

9%

% of Respondents


3%

24%

26%

31%

50%

No Goal Revision

Once Per Year

Twice Per Year

Quarterly

Monthly


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16%

44%

21%

10%

9%

% of Respondents


3%

24%

26%

31%

50%

No Goal Revision

Once Per Year

Twice Per Year

Quarterly

Monthly


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16%

44%

21%

10%

9%

% of Respondents


3%

24%

26%

31%

50%

No Goal Revision

Once Per Year

Twice Per Year

Quarterly

Monthly


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16%

44%

21%

10%

9%

% of Respondents


3%

24%

26%

31%

50%

No Goal Revision

Once Per Year

Twice Per Year

Quarterly

Monthly


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16%

44%

21%

10%

9%

% of Respondents


3%

24%

26%

31%

50%

No Goal Revision

Once Per Year

Twice Per Year

Quarterly

Monthly


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Considerations When Transitioning to More Frequent Goal Conversations

Tracking of goal changes

Cultural reinforcement

Simplicity

Manager preparation

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Simplicity

Manager preparation

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Simplicity

Manager preparation

33




Simplicity

Manager preparation

34




Simplicity

Manager preparation

Knowledge of organizational

changes/ opportunities

35




Simplicity

Manager preparation

Data on performance to

date



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Simplicity

Manager preparation

Data on performance to

date

Coaching / feedback

capabilities



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EA’s Response to Shifting Business Strategy Part 2: Check-In

Need: More discussions about performance and current and future direction

Action: Introduce Check-In process as part of performance management

Electronic Arts

Source: Electronic Arts, 2013.

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The Purpose of Check-In

Have a formal, more regular discussion on employees’ progress on goals (minimum of twice per year)

Ensure goal alignment and make any adjustments

Have a two-way discussion on strengths and opportunities

Identify learning opportunities in the short-term

Gain insight on greater career goals

Electronic Arts


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Check-In Details Electronic Arts

EA’s Manager Guidelines for Before, During and After a Check-In


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Check-In Results

Nearly three quarters of employees feel they receive the right amount of performance feedback from their managers

Over two thirds of employees feel they have clear expectations and that their manager provides support that helps them to meet objectives

Over three quarters of employees receive the appropriate amount of recognition from their manager for a job well done

Electronic Arts


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Creating an Agile Environment:

Competencies, Profiles and Mobility

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A Shift in Business Strategy… Dimension Data

Source: Dimension Data, 2013.

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From…

Dimension Data


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From… To…

Dimension Data


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From… To…

Dimension Data

So What Did They Do? Source: Dimension Data, 2013.

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Polling Question: How do you think Dimension Data responded to this change in business strategy? (select up to three)

Abandoned the new business strategy

Collapsed job titles

Created clearer career paths

Developed competencies for technical employees

Had employees self-populate online profiles

Spun off former acquisitions

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Step 1: Mapping Jobs and Establishing Competencies

Information gathered from regional HR, managers, and employees

Timeline: 8 months

Dimension Data


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Step 2: Developing the Framework Dimension Data


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Step 3: Linking to the Careers Portal Dimension Data


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Step 3: Linking to the Careers Portal (cont’d) Dimension Data


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Step 4: Enabling Ongoing Competency Assessment

Dimension Data


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Step 5: Encouraging Development

Development plan suggestions focus heavily on informal learning

Dimension Data


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Outcomes: How the DDJF Enables Business Execution

Identify core competencies in each region and location

Use data to support RFPs for new professional services work

Move people to new projects / locations given competencies / skills

More accurate picture of costs and resource allocation on projects and work assignments

Dimension Data


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Creating an Agile Environment: Continuous Learning

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Polling Question: Which learning approach drives the greatest business value in your organization? (select two) Coaching by supervisor

Corporate documentation

Formal training – company provided

Formal training – outside provider

On the job experience

On the job mentoring, projects, rotation

Peers, friends, personal networks

User-generated materials

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Clear Need for Informal Learning Which learning approach drives the greatest business value in your organization?

3%

4%

8%

14%

28%

33%

36%

60%

0% 10% 20% 30% 40% 50% 60% 70%

Corporate documentation

User generated materials

Formal training - outside provider

Peers, friends, personal networks

Formal training - company provided

Coaching by supervisor

On the job mentoring, projects, rotation

On the job experience

Despite the belief that informal

approaches drive greater business

value, only 30% of resources are focused here

© Bersin & Associates, High-Impact Learning Practices® n=1,100, www.bersin.com/hilp

http://www.bersin.com/hilp

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Level 1: Incidental Training Source of Ad-hoc Job Support | Mentoring & Apprenticeship | Emerging Need for Professional Training | SME Focused

Level 2: Training & Development Excellence Source of Designed Instruction | Evolving Governance & Operations

Improving L&D Core Processes | Program Focused

Level 3: Talent & Performance Improvement Source of Talent Development & Performance. Consulting | Integrated with HR/TM

Development Planning | Career Models | Leadership vs. Professional

Level 4: Organizational Capability Source of Business Performance Capability & Learning Agility

Executive Driven | Cultural & Systemic Focus

Evolution of the L&D Function High-Impact Learning Organization® Maturity Model

© Bersin by Deloitte, 2013.

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Level 1: Incidental Training Source of Ad-hoc Job Support | Mentoring & Apprenticeship | Emerging Need for Professional Training | SME Focused

Level 2: Training & Development Excellence Source of Designed Instruction | Evolving Governance & Operations

Improving L&D Core Processes | Program Focused

Level 3: Talent & Performance Improvement Source of Talent Development & Performance. Consulting | Integrated with HR/TM

Development Planning | Career Models | Leadership vs. Professional

Level 4: Organizational Capability Source of Business Performance Capability & Learning Agility

Executive Driven | Cultural & Systemic Focus

Evolution of the L&D Function High-Impact Learning Organization® Maturity Model

Utilitarian Training &

Job Shadowing

Formal Design, Architecture

Talent Driven Learning

Cultural Continuous

Career

© Bersin by Deloitte, 2013.

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A Shift in Business Approach… HCL Technologies

Source: HCL Technologies, 2013.

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A Shift in Business Approach…

From…

HCL Technologies


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From… To…

HCL Technologies


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From… To…

So What Did They Do?

HCL Technologies


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Technical Academy for Competency Enhancement (TechACE) established to improve employee readiness Offerings included:

Internal technical certifications developed and launched by panel of SMEs

Virtual labs launched to offer real-time training in simulated environment

4,500 e-learning courses made available on LMS

1,290 internal trainers and 536 SMEs, covering 1,208 knowledge areas

Post-training online coaching

Online communities launched on internal knowledge management portal

HCL Technologies


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Outcomes More internal certifications and certified

employees: - 72 internal technical certifications launched - 9,394 employees internally certified (268%

increase YoY) - 90% (3,090 programs) of training done internally

Increased deployability - 81% increase in billing of employees post-certification

Greater accessibility - 23,973 employees trained across 26 countries

Improved customer satisfaction: - Annual customer satisfaction survey showed improved

ratings

Cost savings: total $3.1 million in FY12

HCL Technologies


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Takeaways

To effectively respond to changes in business strategy, an organization needs to create an environment that encourages agility

Organizations can do this by: - Using performance management processes that

encourage adaptability and learning over rigidity - Leveraging competencies and profiles that provide insight

into the workforce - Creating the infrastructure to support ongoing learning and

a continuous learning culture

Organizational processes need to appropriately balance stability, predictability and efficiency with adaptability, responsiveness, and utilization

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[email protected] http://blogs.bersin.com/stacia.garr www.linkedin.com/in/staciashermangarr Twitter: StaciaGarr

Questions & Additional Discussion

Agility & Talent Mobility how to enable business strategy with modern performance management

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