Managing Talent for Global Competitiveness

Once you lose talented individuals, you lose intellectual capital. So the whole issue of talent management and talent acquisition is right up there on the CEO's list

Brian Sullivan, chairman and CEO, Christian & Timbers

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Our true ‘core competency’ today is not manufacturing or services, but the global recruiting and nurturing of the world’s best people

Jack Welch

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1. IBM 2. MICROSOFT 3. GE

4.INTEL 5. WALMART 6. DELL

Why these companies always feature in Fortune’s Global Most Admired Companies

1. Quality of Management

2. The ability to Attract, Develop & Retain talent

Bill Gates has been known to spend 50% of his time getting on a plane to interview and recruit talent

ISN’T IT INTERESTING

After all what makes Microsoft, GE, Apple, IBM, Intel…..tick

TALENT

Jack Welch said he devoted more than 50% of his time building the best management teams through the GE empire

about filling a Job

It is not

SO WHAT IS TALENT

just skill

neither about Perfection

nor about Experience

or To do with Gender, Nationality or Race

• who you instantly feel good about being around

TALENT IS SOMEONE

• who likes to win

• who gets to the point

• who has a vision and gets other people into their vision

• who attracts other talent and is capable of reinventing the wheel

• who a strategic thinker and a Good listener

• who will surprise you

• who might even replace you.

• who is Your own value in the Marketplace.

• The company with the best people thrives

PRINCIPLE OF TALENT MANAGEMENT

• There is always a talent shortage

• The VCs bet their money on talent

• Lose your talent- Lose your Edge

• The main talent for Hiring Talent – Persistence

• Talent is always the Solution

TALENT MANAGEMENT

there is no magic formula to manage talent, the trick is to locate it and encourage it

Talent Management includes

• Recruitment and selection: • Performance management and coaching • Employee development and training • Compensation, rewards and benefits• Succession planning and leadership development • Compliance, policy and procedures

TALENT MANAGEMENT

THE TALENT MANAGEMENT

Talent Management is about making sure that you have the right people in the right places for both themselves and the organization and needing to make sure that you as chief executive are taking responsibility for the development of your leadership talent. It’s one of the best legacies that you can leave any organization

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In a recent survey with Economic Intelligence Unit (EIU), 20 CEOs said Talent Management was their responsibility, taking as much as 50% of their working time

FACT FINDING

A study showed that companies with stronger leadership development systems enjoyed higher Return on Equity and ProfitA Mckinsey study showed direct link between quality of succession management Programs and shareholder return

A whopping 96% of the Chairmen in a recent study in the US ranked Talent Management as highly important for success of the business

It was Finance and then Marketing that was next to CEO’s role. Its HR now

TALENT MANAGEMENT : CHALLENGES

From 1998-2008, while workforce was expected to grow 12%, the number of 25-44 years old (the would be tomorrow leaders) is actually going to decline by 6% across the world even in Asia tooNew economy companies have given rise to entrepreneur role to many who, ten years before would have ascended on more structured career ladders, acquiring leadership skills along the way.High growth has made many organizations to look for ‘job-ready leaders’ of various types

The Business environment is more complex and dynamic today (White Water Rafting)

TALENT MANAGEMENT : CHALLENGES

The Company Board and Financial Markets are expecting moreHuman Capital is increasing become source of value creation for organisationsEmployee expectations are also changing as he is becoming more autonomous and empoweredThere is clear link between better talent and better business performance

Employees have more authority in the market

TALENT MANAGEMENT:WHAT SHOULD THE CEO DO?

TALENT MANAGEMENT: WHAT SHOULD THE CEO DO

Connecting People to The Business

Identify your Top Talent – ‘Take our 20 best people away from us and I can tell you that Microsoft would be an unimportant company’- Bill Gates

Work Diligently with your ‘No-Go-Getter’ Employees, put them in new environment, department or job

Engagement Strategies – Knowing that the tenure is going to be short; get the most

You are Important- Individuals joining an organization needs to feel they are valued and that their contribution will make a difference

THE TALENT MANAGEMENT - LEARNING

1. Facilitate On-The-Job self motivated learning activities

2. As 90% of learning happens on the job, have employees share best practices across functions

3. Upgrade competencies through well planned job rotation / global opportunities

4. Structure a compensation, reward and recognition as applicable in respective countries

5. Engage people on cross-cultural sensitivities

Create a ‘Learning Organization’

GE invests USD 1 Billion annually on Employee Training and Development

Leaders in IBM can manage small, discrete teams or very large organisations of several thousand people. Leaders can manage large call centres, small software teams or even an R&D department. But whatever their role, all leaders have a common responsibility – that is the responsibility to identify and nurture talent.

EXAMPLE

At carmaker Volkswagen AG, workers are encouraged to submit ideas for eliminating age barriers. Seasoned managers are asked to train newer managers on ways to meet older workers’ needs.Energy company Shell Oil Company holds managers accountable for developing diverse pipelines of future talent, tying compensation to hiring, development, and promotion

we select people for roles based on their strengths. We identify and leverage strengths rather than improve weaknesses since the latter is intrinsic and difficult to change

Harsh Mariwala, Marico

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Infact you can create roles around people as well

Talent Management needs a Holistic Approach

THE TALENT MANAGEMENT – HOW TO GO ABOUT

Many Organizations often set up Talent Management Processes, but real success comes when you engage with the hearts and minds of individuals

Every Line Manager needs to act as HR manager and every HR manager function as business manager

It motivates the workforceEnhances productivityFosters team spiritMembers feel inclusiveThey have reasons to stay

Identification- Selection- Development & Retention of Top Talent

WHAT SHOULD THE CEO DO

Identification & Development of High Quality Replacements for a small number of positions designated as key to current and future organization successThe Classification of and Investment in each employee based on his/ her potential for adding value to the organization globally.Inspire – Make people believe in themselves; assign them internal projects; sending to B-School for one-month training won’t suffice

Best Fit – Don’t just look for the Right fit; look for the fit which is best for the team given the diverse composition of the teams todayEvaluate – Constantly evaluate if the Team Leads or those in Leadership roles are equipped to handle team; work with HR. This is important especially for Middle Management levelPlan/Spot in advance – The Talent Management process should be ongoing

This mentoring is what I do as an important part of my job. I’ve created other CEO’s. I want to help people reach their potential, and if someone’s not reaching it, I want that person to know what’s preventing him from reaching it

Shiv NadarHCL

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Process Objective CEO's Role

Evaluating Current PerfrmanceMeasuring how effective is the person in his/her job

Defining clear cut performance expection

Identifying PotentialFinding who has the highest growth promise

Look beyond the person's immediate supervisor's feedback; look for inputs from different disvions,skip interviews, Q&A forums

Create a Pool

Those who meet the criteria put them in a new pool

You take complete responsibility for the C-Suite Pool

BUILDING TALENT POOL

Create a new product and it can be easily copied. Lower your prices and competitors will followGo after a lucrative market and someone will be there right after you, being careful to avoid making your initial mistakes.

BUTreplicating a high-quality, highly engaged workforce is nearly impossible

the ability to effectively hire, retain, deploy, and engage talent—at all levels—is really the only true competitive advantage an organization can have