Executive Briefing: Bench Strength Accelerator · • Hiring and promotion decisions P romotion...

Executive Briefing:Bench Strength Accelerator

November 6, 2013

1© 2013 CPI Twin Cities & Corporate Psychologists, LLC

Strategic Alliance

Partnering for the 21Partnering for the 21stst Century WorkplaceCentury Workplace

Patricia Berg, CEOCareer Partners

Dr. Steven W. SalmiPresident and CEO

International, Twin Cities952.915.7607

Corporate Psychologists763.591.4432

[email protected] [email protected]

3800 American Blvd. West850 Northland Plaza850 Northland Plaza

Bloomington, MN 55431

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Talent Management Solutions that Drive Business Results© 2013 CPI Twin Cities & Corporate Psychologists, LLC

Strategic Alliance

Solutions that Drive Business ResultsSolutions that Drive Business Results

© 2013 CPI Twin Cities & Corporate Psychologists, LLC 3

A New Age for Talent Management

• CPI Twin Cities has been invited to write a h t t l t t fchapter on talent management for an upcoming thought leadership book

• In preparation we interviewed a number of CEO’s and thought leaders to better gunderstand their current view on talent management


Talent Management

It’s Time for a New ModelIt’s Time for a New Model

“Every talent managementy gprocess in use today was

developed half a century ago.developed half a century ago.It’s time for a new model.”

‐ Peter Cappelli , HBR “Talent Management forthe Twenty‐First Century”


Here’s what they had to say

• Talent management has reached the C Suite –they see it as one of their top priorities

• Innovation in talent management is key• Innovation in talent management is key ‐don’t do what everyone else is doing, do what promotes your employment brandpromotes your employment brand

• Have a Workforce Planning function to guide you but don’t look solely at the metrics



• Strategic communications needs to be a core component of a modernized talentcomponent of a modernized talent management structure

F il f t l f t b ild lt th t• Fail fast, learn fast – build a culture that doesn’t worry about mistakes

• Speed requires HR business partners who are highly skilled in Organizational Design

• Get your talent thinking about how to make good decisions, not follow policies

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good decisions, not follow policies

© 2013 CPI Twin Cities & Corporate Psychologists, LLC


• Align succession and development with the t tstrategy

• Change the game when your competitors are g g y phunkering down

• Competitors can’t compete with beliefs and• Competitors can’t compete with beliefs and values – make them clear, say them often

• People are THE competitive advantage – they are the link to growth


Why is this such a hot topic?

• Enterprise resource vs. belonging to one areaHigh potential one area

• Competition for top talent is fierce• Internally grown talent is more likely to

High potential talent is a

strategic assetbe successful

g

• Adaptable leaders are needed to execute new strategies

Business results depend on

h i h i h • Deep bench required to take advantage of new opportunities without sacrificing established business

having the right talent in place at the right time

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the right time


Why is this such a hot topic?

• Intuition and track records are poor guidesAccurately

• Most current processes are not working

• Requires a focus on strategy and

identifying high potential talent is

hard • Requires a focus on strategy and sustainability

hard

• Competitive environment is changing fast

• Boomers are retiring at an accelerated

The pace of change creates

h d Boomers are retiring at an accelerated pace, opening up leadership positions

• New business challenges require new skillsets

the need to accelerate your

bench

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skillsetsbench


Agenda

Changing talent needs in today’s organizations

Solving three key challenges

Assessment of readiness potential and derailmentAssessment of readiness, potential and derailment risks

Keys to successful selection and on‐boarding

Developing talentDeveloping talent

Diagnosing your organization’s bench strength


Introductions

ActivityActivity

• Introduce yourself and discuss:“What are 1 or 2 talent issues that are keeping the leaders of your companyp g f y p yup at night?”

• 10 minutes


Addressing a Critical Business Challenge

Aon Hewitt’s Global Top Companies for Leaders SurveyGlobal TopGlobal TopCompanies Others

Leaders can explain how the investment in leadership affects financial performance

85% 54%

CEO and senior management lead and participate in their organization’s leadership

100% (CEO)

100% (Sr

62% (CEO)79% (Sr. organization s leadership

development programs100% (Sr. Mgmt) Mgmt)


Solving Three Key Challenges

Identifying true high

t ti lpotential talent is tough

Hiring mistakes & derailment

New roles require new skills, new mindsets, and

costs are HIGH

mindsets, andnew tools

Need for focused Need for targeted

ON‐ Need for accurate

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DEVELOPMENT ON‐BOARDING ASSESSMENT


Bench Strength Accelerator Model

• Competencies

ASSESS• Readiness• Derailment Risk• Potential

ON‐BOARDDEVELOP• Cultural assimilation• Planned process• Self‐management

/

• Multiple learning strategies

• Coaching is key• External / Internal• Sustainability

• Support from top


Current Realities

The 21The 21stst Century WorkplaceCentury Workplace

• Changing demographics

• Changes in leadership

Ch i b i f d t l• Changes in business fundamentals

• Changes in the economy• Changes in the economy

• Changes in the nature of work who does it andChanges in the nature of work, who does it and where it happens


Generational Differences

• Boomers want to keep working, but oo e s a t to eep o g, butmany want to do something different. What’s next?

• Gen X wants a chance to show what they can do (Boomers, you’re in our

!)way!)

• Gen Y/Millennials want career development and opportunities to keep growing.


Key Goals of Assessment

• Provide objective predictive information aboutIncrease the Provide objective, predictive information about candidate readiness based on:

• The organization’s competencies and culture• Unique needs of the role

Success Rate of Hiring and Promotion

• External benchmarksPromotion Decisions

I h• Provide critical insights into strengths and developmental opportunities

• Evaluate key elements of long‐term potential

Increase the Effectiveness of On‐boarding, • Evaluate key elements of long‐term potential

• Identify derailment risks

gDevelopment, and Talent Planning


Potential for What?

Level / Role

S i E tiSenior Executive(CEO, EVP, SVP, VP)

Management Roles Mid‐Level Leader(Sr. Director, Director)

Which roles?Entry‐Level Leader(Manager, Supervisor) Which levels?

Individual Contributor Roles

Senior Individual Contributor / Professional

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Other Individual Contributor Roles


Potential for What?

Competency Level / Role Proficiency Level

Strategizes

Vice President Identifies key goals for the business and shapes strategies to achieve them

Understands and accounts for long‐

term implications and challenges in planning

Director Translates strategies into specific goals and action plans for own area

challenges in planning and decision‐making

Manager Understands and can articulate broad strategies and key business goals

Id tif iti l t i

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Identify critical competencies


Potential and Derailment

Components

Problem‐solving, strategizing, dealing with complexityFoundational Characteristics:

Stable and hard to develop

Resilience, assertiveness, interpersonal skills

p

Adaptability, openness to feedback, learning orientation

Drive / achievement orientation energy results

Learning and Motivation: Can change over time and

accelerate / hinder development Drive / achievement orientation, energy, results

orientation, ambition

Managing developing and engaging othersLeading and Managing Skills:

Easier to develop

development


Managing, developing, and engaging othersEasier to develop

Potential and DerailmentA iti l i f th l D il

Common DerailersStaying too tactical not thinking

A critical piece of the puzzle: Derailers

Staying too tactical, not thinking beyond technical / functional

silo

Avoiding conflict, lack of candor,

Broadening Focus

g , ,losing composure under stress, not building trust with peers

Not developing critical

CollaboratingThe manager / boss often does not see these risks, even if they are present

capabilities, arrogance, too much ego, not getting honest

feedback

G tti d f i bl i

Learning and Adapting

Getting defensive, blaming others or circumstances for problems or lack of results

Micromanaging not

Delivering Results

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Micromanaging, not communicating broader goals, ignoring performance problems

Leading a Team


Potential and Derailment

Core Leadership Challenges Indicators of Potential Common Derailers

Thinks Strategically

Greater volume, diversity, and scope of information s

Problem‐solving, strategizing, dealing with ad

enin

Focus Staying too tactical, not

thinking beyond technical / Strategically

and decisions

Foun

datio

nal

Characteristics

complexity Bro g F

functional silo

Fosters Need to influence and collaborate with more Resilience, assertiveness, or

ating Avoiding conflict, lack of

candor, losing composure C

Collaboration diverse, higher‐level stakeholders

interpersonal skills

Collabo under stress, not building

trust with peers

Leverages Changes are bigger faster on Adaptability, openness to

ng &

ing Not developing critical

capabilities arrogance tooLeverages Change

Changes are bigger, faster, and less forgiving

ng & M

otivati

feedback, learning orientation Le

arnin

Adapti capabilities, arrogance, too

much ego, not getting honest feedback

D iMore personal ownership Drive / achievement in

g ts Getting defensive, blaming

LearniDrives

Results

p pfor setting business goals and delivering results

/orientation, energy, results

orientation, ambition Deliveri

Result g , g

others or circumstances for lack of results

Getting a higher level of &

ng g a Micromanaging, not

2323

Builds Talentperformance out of

complex teams and senior direct reports Le

ading

Managin Managing, developing, and

engaging othersLeading

Team communicating broader

goals, ignoring performance problems


How to assess potential

Why Most Approaches Keys to SuccessDon’t Work Keys to Success

Wrong people identified Accurate assessment

Focus is on putting people in categories Purpose is to drive action

Lack of a consistent process Follow‐through and consistency

Not owned by senior leaders Process championed by CEO


Assessment Components

COMPONENT Personality Cognitive Ability

Educational & Career History

Work Simulation Interview

History

WHAT ISMEASURED

Traits relevant for leadership and work

performance

Ability to analyzeinformation and solve problems

Education and work experiences; self‐perceptions;

goals

Application of “raw” abilities to real‐life business challenges

performance goals

• Information is evaluated against key competencies• Information is evaluated against key competencies, unique needs of the role, and standard benchmarks for leadership

• Conclusions are based on multiple data points and patterns across assessment components

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p p


Summary of Key Assessment Metrics

Use Metric Description Use

ReadinessFit for role(s) under

consideration, based on current capabilities

• Hiring and promotion decisions

Prom

otion

Competencies Areas of strength and developmental opportunity

• Placement• Onboarding• Coaching & development

electio

n /P

elop

men

t

DerailmentRisks

Factors that can cause successful leaders to fail in a

new role

• On‐boarding• Coaching & development

S

Deve

PotentialKey capabilities needed for

advancement 2+ levels above • Coaching & development• Talent planning

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current role • Talent planning


The On‐boarding Challenge

Scope of the IssueScope of the Issue

40 – 64% of executives fail in the first 18 months

Company Suffers:C t 3 ti ’ lo Cost – 3x executive’s salary

o Loss of credibilityo Loss of productivity

Departed Executive Suffers:o Loss of self esteem

b i h k lo Embarrassment in the marketplace

Due to poor on‐boarding, many others fail to reach their potentialpotential



OnOn‐‐boarding is…boarding is…

• Most notable for its absence• Critical for its ability to save companies time• Critical for its ability to save companies time, money, and disappointment

• A shared responsibility• Worth it—significant ROI


Two Fundamental On‐boarding Mistakes

• Organization’s mistake: “We’ve hired a high‐potential person Shehired a high‐potential person. She should be able to figure it out on her own ”her own.

• New employee’s mistake: “I’m aNew employee s mistake: I m a smart person. I need to prove myself and make my mark asmyself and make my mark as quickly as possible.”


On‐boarding Model



Successful OnSuccessful On‐‐boardingboarding

• Combines cultural assimilation with clear process steps and ongoing feedbackprocess steps and ongoing feedback

• Has a plan, schedule, assignments, and deadlinesdeadlines

• Establishes accountability with follow‐up• Creates clarity, prevents misunderstanding, and helps establish positive working relationships



OnOn‐‐boarding for Internal Promotionboarding for Internal Promotion

• Similar process to external hires• Focus on transition to new level• Focus on transition to new level

– New skills– New time use– New time use– New relationships – Increased visibilityy

• Examples: Executive presence, public speaking, vision/strategy, effective delegationspeaking, vision/strategy, effective delegation


On‐boarding Timeline

The First 100 DaysThe First 100 Days

1. “Fuzzy Front End”: Pre‐Start Preparation

2. First Day: The Initial Impression

3. First Two Weeks: Building Relationships & Setting the Stage for Influence

4. First Two Months: Strategy, Structure and Staffing

5 Third Month: Communicate & Drive Change5. Third Month: Communicate & Drive Change

6. After 100 Days: Focus on the Future


Example of Performance‐Potential Grid

High

• Plan for role with larger scope and complexity• Provide onboarding support for new role

If performance does not exceed expectations consider root

Long‐

• Provide clear expectations and feedback

• Give coaching and d l t t

If performance does not exceed expectations, consider root cause when planning for next role

• Consider a lateral move • Plan a lateral move to a h ll i lTerm

Potential

development support as appropriate

Assess potential only when current performance meets

Med or more challenging assignment

more challenging role• Provide coaching /

development support

or exceeds expectations

Low • Develop in role

• Provide more challenging assignments or special projects

• Leverage expertise as a coach or mentorcoach or mentor

Does Not Meet Expectations Meets Expectations Exceeds Expectations

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Current Performance


Leadership Development

• Internal group learning experiences

Leverage Multiple Learning MethodologiesLeverage Multiple Learning Methodologies

Internal group learning experiences‐ Leadership Development programs, training, etc.

• External group learning experiences g p g p‐ Conferences, seminars, forums

• Mentoring‐Multiple mentors, Reverse mentoring

• Action Learning ProjectsS l i b i bl hil b ildi l d hi kill‐ Solving business problems while building leadership skills

• Individual Coaching ‐ 1:1 development with Internal or external coaches1:1 development with Internal or external coaches


The Business Case for Coaching

Results from organizations reporting "excellent" cultural support for coaching :

– 13% stronger business results 39% l l– 39% stronger employee results, including engagement, productivity and customer service

Organizations whose senior leaders "very frequently" make an effort to coach others have 21% higher business results

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Source: Bersin & Associates study: High‐Impact Performance Management: Maximizing Performance Coaching (www.bersin.com/research).


When is it Time for an External Coach?

• Lack of time/expertise for specific skill / p pdevelopment

• On‐boarding is critical (failure is costly)On boarding is critical (failure is costly)• Signs of derailmentA l t / bl di f ti• Accelerate/enable readiness for promotion

• Retention strategy


Leadership Skill Development

• How do we keep the learning going?

Sustain Development ProgressSustain Development Progress

• How do we keep the learning going?• How will people be held accountable?• What feedback mechanisms are in place?

– 360° survey – Regular touch‐base meetings on IDPs– Progress toward KPIs

• Alignment with performance management system and processes


Wrap‐up & Key Learning

Bench Strength DiagnosticBench Strength Diagnostic

Spend a few minutes with theBench Strength Diagnostic

• What are your areas of risk?• What are your areas of risk?• What are areas of greatest importanceurgency to your business?

• Next steps?39

• Next steps?© 2013 CPI Twin Cities & Corporate Psychologists, LLC

Questions or Comments?


Solutions that Drive Business ResultsSolutions that Drive Business Results


Contact Information

Patricia BergCEOCareer Partners International, Twin Cities952‐915‐7600 [email protected]

Steve Salmi PhD LPSteve Salmi, PhD, LPCEOCorporate Psychologists, LLCCorporate Psychologists, LLC763‐591‐[email protected]


Thank You for your Participation!Thank You for your Participation!f y pf y p


Executive Briefing: Bench Strength Accelerator · • Hiring and promotion decisions P romotion...

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