An Agency's Journey to Unified Talent Management

Not For Distribution

Steve Dobberowsky, Principal, Thought Leadership & Advisory ServicesBill Taylor, Solutions Architect, Strategic Solutions

An Agency’s Journey toUnified Talent Management



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Our Presenters Today

With a strong belief that technology should be empowering and knowledge should always be accessible, Bill served 7 years in Federal Government competitive service implementing talent management solutions at the Department level, then with multiple agencies through a Shared Service Center. Leveraging career choices that started with programming, databases and networks and segued into sales and marketing, he entered the learning space with laser discs and continues to exploit today’s evolving technologies in designing effective solutions. He helps create a common language for decision-makers with practical analogies of technical realities, as they seek to unify talent processes.

BILL TAYLORSolution Architect, Strategic Solutions

STEVE DOBBEROWSKYPrincipal, Thought Leadership & Advisory Services

Steve has served 11 years of Federal Government competitive service with 7 years in HR and HR IT leadership roles ensuring effective talent management processes at a bureau level, at the Department level and at a Shared Service Center where he delivered solutions for multiple agencies. He is a proven, business-savvy leader with a track record of providing high quality, innovative services and solutions. He is also adept at achieving desired outcomes from multiple initiatives simultaneously, working collaboratively and decisively to overcome obstacles and deliver results, and creating a continuously learning, improving and adaptable organization. He has a resilient proficiency and is effective at heading up change efforts, building organizations, uniting divergent groups, and leading a diverse and geographically dispersed workforce. Utilizing his initial professional experiences as a high school teacher, he is a seasoned leader who leverages resources, information, knowledge, skills and technology to develop people, foster relationships and build partnerships.

Not For DistributionNot For Distribution

Trends in the Workforce


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The Talent DilemmaUnprecedented shortages at a time of continued unemployment• Consistently over 52% of employers cannot fill open jobs• Shortages have intensified in specific areas with STEM

roles showing predictable deficits (Science, Technology, Engineering, Mathematics)

• We are importing manufacturing/journeyman talent to work in our factories / industries.

• A person is predicted to have 11.3 jobs from age 18-46• 10,000 people reach retirement age (65) in the U.S.

every day …. 43% of the current workforce will retire in the next decade

Source: Pew research; Hackett group; Randstad, 2012; Harris Interactive, 2011Manpower: Talent Shortage Survey, 2011; U.S. Bureau of Labor Statistics



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It’s all over the board, mobility survey in 2014The Talent Dilemma

Source: HCI Internal Mobility Research 2014

Executives/C-Suite

Mid-level Leaders

Front-line Leaders

Individual Contributors

Entry-level

51%

64%

64%

55%

37%

50%

68%

69%

51%

43%

Skills Gap Skills Shortage

More than half of respondents report employee skills gaps & skill shortages in external talent pools


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Employee Retention is No Different than Customer Retention

Source: Shankman / HONIG 2014, Diginomica 2015

Generally – it costs roughly 5 times more to acquire than retain a customer

When they encounter service multiple times for the same reason71

%

INFLEXIBILITYAfter being left on hold for a long time65

%

LATENESS

If dealing with unfriendly or impolite customerservice agents

77%

RUDENESSAfter having to contact customerservice multipletimes for the same reason

73%

INCOMPETENCY

Of consumers claim they would leave aservice provider if a service delivered isdifferent from what is implied 78

%

DECEPTION

CAUSES OF CUSTOMER DISSATISFACTION

Are satisfied with clear informationposted to company websites for simple inquiries

38%

CLEAR WEBSITEWant to speakwith a realperson on the phone for difficult inquiries

46%

HUMAN

Feel it is extremely Important that customer service representatives know their client history based on previous interactions

50%

SUPPORTIVEWant access

to faster customer service

69%

FAST

Want ease of access to customer service73%

EASY

WHAT CUSTOMERS EXPECT(BESIDES COMPETITIVELY PRICED PRODUCTS & SERVICES WHICH WORK FLAWLESSLY)

Good-Bye Talent Management – Hello People Management“

“

HRHR

HR H

R


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“Goodbye Talent Management, Hello People Management”

Understand Your Employee

Source: HCI Internal Mobility Research 2014

47%Agree that it is easier for an employee to find a job outside of our organization than

inside it.

89%Agree that hiring is less expensive from within

the organization.

86%Agree that it is

faster from within the organization.

60%Agree that employees promoted from within

perform better.



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17%

14%

15%29%

26%

Generation X(1965–1976)

iGeneration “Next”(after 1997)

Traditionalists(prior to 1946)

Baby Boomers

(1946–1964)

Generation Y “Millennials”(1977–1997)

We have been trained as human resource executives to address many forms of diversity, we must now be prepared to manage extreme age diversity as well.

Our strategies need to address generational context.

Five Generations In The Workforce

Source: Percentage of the Population US Census 2007

Gen Y is AKA as Millennials, Gen Next, Gen Why & the Echo Boom



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Approximately 25% of the North American workforce is comprised of Gen Y; however, only about half have entered the workforce to date.

By 2025, Gen Y will make up roughly 75% of the workforce.*

Gen Y is the Ultimate Future of Your Workforce

25%

32%

38%

4%TRADITIONALIS

TS

GEN Y

GEN X

BABY BOOMER

S

25%

75%GEN Y

ALL OTHER DEMOGRAPHICS

Source: Generations in the Workplace in the U.S. & Canada*Source: Erica Dhawan, Gen Y Workforce & Workplace Are Out of Sync.**Source: 15th Annual Global CEO Survey 2013

North American Workforce Population By Generation in 2010

North American Workforce Population By Generation in 2025

Twenty-eight percent of managerial positions are already held by Millennials, which is enough talent to succeed Boomers’ share of leadership positions at 23 percent

— Bersin and Associates (2012)

87% of Gen Y managers took on a new management role between 2008 and 2013, compared with 38% of Gen X managers and just 19% of those aging baby boomer managers.

— Ernest and Young (2014)

On average, one Baby Boomer is retiring every eight seconds.**


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In 2014 – New Hire Turnover, A Problem.

Source: PwC Saratoga’s 2012/2013 US Human Capital Effectiveness

2006 2007 2008 2009 2010 20110.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%First-Year Turnover Rate

First Year Turnover

29%

28%31.7

%

23.6%

22.7%

21.5%

According to government statistics in February 2013, for the first time since September 2008, more employees left companies by resigning than by being laid off. “

“2004 2005 2006 2007 2008 2009 2010 20110.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

Voluntary Turnover & Unemployment Rate

Voluntary Separation Rate U.S. Unemployment Rate

9.3%

10.5%

10.4%

10.4% 9.2%

7.3% 7.0%8.0%

5.5%5.1% 4.6% 4.6%

5.8%

9.3% 9.6%8.5%


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Inverse Relationship Between Unemployment & Consumer Confidence✓ As consumer confidence

increases, employees see an opportunity to make a job change

Quits have increased by almost 1 million between Jan 10 and Jan 15 … approximately 60% increase from 1.7 M to 2.7 M, but are still below pre-recession levels of over 3 million

✓

Source: Bureau of Labor Statistics, Current Population Survey and Job Openings and Labor Turnover Survey, July 7, 2015.

4,000

3,500

3,000

2,500

2,000

1,500

1,000

500

0

Jan–05 Jan–06Jan–07

Jan–08Jan–09

Jan–10Jan–11

Jan–12Jan–13

Jan–14Jan–15

Layoffs & Discharges

Quits

Quits & Layoffs & DischargesSEASONALLY ADJUSTED IN THOUSANDS

~60%

Overall 21% are a planning a move in 2016. By demographic a third (32%) of 18-24 year olds,

while a quarter (25%) of 25 to 34 year olds will be

job hunting. —Penna Career Services Survey - UK


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Timeframe an Employee Makes a Decision to Leave

Source: Aberdeen Group, 2008

Other

The First Five Years

The First Two Years

The First Year

The First Six Months

The First Month

The First Week

The First Day

0% 5% 10% 15% 20% 25% 30% 35%



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Less than 1

yr

1 yr 2 yrs 3 yrs 4 yrs 5 yrs 6 yrs 7 yrs 8 yrs 9 yrs 10 yrs 11 to 14 yrs

15+ yrs0.00%1.00%2.00%3.00%4.00%5.00%6.00%7.00%8.00%9.00%

10.00%

Typical Voluntary Turnover Rates for Different Years of Seniority

Quit

Rate

Per

cent

Different Reasons at Different Times…Why Do People Leave in the First Few Years?

Source: IC4p/Attrition and Retention Consortium

• Concerns around development and career opportunities• Compensation and benefits• Supervision “The Boss Effect”


How Do We Make the Decision?



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We’re already doing a lot of these things, but…

Source: Modern Survey, Stat of the Week – 2/12/2016

✓ 44% of U.S. workers say their organization does a good job in talent management.

Only 26% of HR pros say their organization measures & monitors the talent management process well.

✓


Source: CSOD, HCMG Federal Benchmarking 2016

Challenges in Boosting Workforce CapabilitiesDevelopment

68%of HCM are investing

in staff-wide L&D initiative

15%emphasize training their

team on new technologies

54%of agencies lack

Millennial-focused L&D tools

51%of agencies say identifying and closing

skill gaps is their #1 priority

17%of top agencies have

already created strategies to develop younger workers

L&D is #2 goal for another 45%


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To manage Agency assets effectively, we need to be able to answer these questions:1. How do an employee’s performance goals link to Agency’s strategic goals? How do

employees see their impact on Agency’s mission?2. Who works here? What do they do?3. Did we meet our goals? Are we on track to meet them?4. Are we rewarding our top performers? Do we have gaps in the leadership pipeline?5. What does it cost and how can we forecast? How can we report all this data?


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Talent Management is Good BusinessEnd-to-end people strategies offer organizations significant advantages: 40% lower turnover among high performers 17% lower overall voluntary turnover 87% greater ability to “hire the best people” 156% greater ability to “develop great leaders” 92% greater ability to “respond to changing economic conditions” 144% greater ability to “plan for future workforce needs”

Source: Bersin & Associates, 2009 Talent Management Factbook


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Lessons Learned in 2010Companies with automated talent management systems are better at: Targeted recruitment Heavy focus on development, management, leadership, mobility and culture Understanding and using core competencies Moving people into ever-increasing levels of responsibilities, offer new challenges and

providing succession and development programs Driving Business Success

Source: Bersin & Associates


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Engagement – Top of the List

Source: 2014 CEO Challenge Report & Economic Outlook — The Conference Board Managing Human Capital Risk

Global Importance-adjusted Strategies for Managing Operational Excellence

ASIAN = 291

EUROPEN = 103

USAN = 108

1 Raise employee engagement & productivity 1 2 12 Focus on reduction of baseline costs 13 3 33 Break down internal silos T10 1 T44 Continual improvement (six sigma, total quality, etc.) 5 7 2

5 Seek better alignment between strategy, objectives & organizational capabilities 7 6 T4

6 Invest more in new technologies 2 8 97 Redesign business processes T10 4 68 Improve speed to market 12 9 79 Improve cash management 9 18 T2010 Ensure supply chain integrity 8 T12 1211 Deeper integration of global operations 3 T10 14

12 Improve performance & accountability of middle management 4 22 10

13 Improve performance & accountability of senior management 6 16 13

14 Better align IT with business goals 14 T12 8

15 Achieve economies of scale through organic business growth 18 17 11

• Gallup (2013) found that 13 percent of employees globally are engaged, 63 percent are not engaged, and 24 percent are actively disengaged.

• Organizations with high engaged /disengaged ratios (9:1) experienced a 147% higher EPS than their competition.

“”

Employee engagement is the extent to which employees are willing to expend discretionary effort to achieve an organization’s objectives, which translates into measurable performance.

– Saratoga Institute

1 – Raise Employee Engagement and Productivity

5 – Seek Better Alignment Strategy Organization

12 – Improve Performance of Middle Management

13 – Improve Performance of Senior Management

CEO CHALLENGE 2013: LOOKING AT STRATEGIES FOR OPERATIONAL EXCELLENCE

OPERATIONAL EXCELLENCE: Raising Employee Engagement & Productivity


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Why Unify Talent Management NOW?Be Clear in the WHY!

• Tracking with Spreadsheets• Engagement Levels• Employment Brand• Consistency of Experience• Organizational Transformation• Reduce Data Entry Mistakes• Accountability• Take Action on Performance

Results• Quick Access to Data

IMPROVEMENT OBJECTIVES

• Attrition• Time-to-Productivity• Level of Productivity• Increased Trust• Ability to Meet Talent Needs• Retain Top Talent• Competitive Position• On Boarding Administrative

Cost

ORGANIZATIONAL IMPACT


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Talent Management StrategyWhile facing significant financial and HR challenges, including shrinking budgets and the impending wave of “Baby Boom” retirements, organizations must adopt a talent management strategy that aligns individual and organizational goals to drive results

Performance Managemen

t

Learning & Developme

nt

Workforce Analytics

Key Areas of Focus

Action(s) Required Description

2

1

3

Drive Business Results

Put processes and tools in place to accomplish goals

Be goal oriented Transform the

performance management process

Align individual (SMART) goals with organization’s mission Make performance management an ongoing

process and critical business activity

Create a learning culture Leverage resources Share knowledge

Emphasize the importance of personal development Expand talent management activities to create and find

untapped pockets of knowledge, skills, and abilities Encourage and facilitate both formal and informal

collaboration and mentoring

Collect and analyze key data

Build meaningful metrics

Identify organizational gaps Assess potential risks Reward performance


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Employing an Unified Talent Management approach will allow organizations to execute strategic initiatives efficiently and optimize the use of human capital resources

Current Performance No integration with other systems Limited goal alignment, goal tracking, and

data analysis capabilities No real-time status information No ongoing feedback support

Current LMS Frequent patches and costly upgrades

required Unstable applications and declining

service levels Limited reporting capabilities

Other No common system for succession

management, social networking, and knowledge management

Current State: Disparate Systems*

UTM Federalized and configurable Software as a

Service platform Integrated and interactive modules

• Performance Management − Organization-wide goal

alignment, tracking, and transparency

− Multi-rater, ongoing feedback tools and competency assessments

• Learning Management• Standard and Custom Reporting with

data collection and analysis built into the system

• Career and Succession Planning• Compensation Management• Social Networking

Intuitive end user interface and processes

Desired State: Single System

*Note: This example refers specifically to one agency, and is for illustrative purposes

The Vision: Unified Talent Management


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UTM Implementation Strategy

Implementation Strategy

Configure a base platform for UTM• Performance Management (most

needed, more difficult to implement)

• Learning Management (easier lift, easier first experience for the end user, first data set up, more end user access opportunities)

Add other UTM modules in sequence• Succession Planning• Connect• Compensation Management

Implement UTM pilots and releases in successive rollouts

• Make improvements based on lessons learned

• Start small, and increase the number of modules as necessary

Success Requirements

To implement the UTM strategy successfully, an organization will need…

A logical and defensible reason for adopting UTM (a “Burning Issue”)

Strong leadership engagement and stakeholders with decision making and approval authority

Adaptable and cross-functional planning and execution

• CIO• CHCO• CLO• CPO

Strong change management initiative

Strong user engagement to ensure adoption


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Indicators of a Successful Implementation

Saves time and resources Aligns individual and

organizational goals Provides robust reporting

tools and reliable data Helps evaluate

development programs

PerformanceEase of Use2 4

Meets applicable regulatory requirements

• SF-182• EHRI• OMB• OPM

Compliance1

Simple structure Provides quick access to

information Has professional look and

feel End user adoption rates

Offers more value per dollar spent

Increased cost avoidance by greater efficiencies

Effective and efficient governance procedures for upgrades

Cost3

Meeting these conditions will help future implementations succeed

Configuration of each module in the implementation must meet key performance require-ments. Best practices and lessons learned will be incorporated into future implementations.


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Decision Points

Decision Points Next Steps

Define change management strategy

Focus on improving strategic planning

Train executive POCs

Complete UTM system technical training

Union Consultations

Should modules be added in order?• Learning Management• Succession Planning• Compensation Management

Implementation strategy: “Big Bang” vs. phased approach

Funding and staffing requirements• Implementation• Future growth

Who will own the system?• Governance• Administration• Maximize existing and new

functionality

The following items need to be addressed in order to implement UTM efficiently and successfully


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Lessons Learned1. A strong change management program driven from senior management levels

offers the best opportunity for implementing real change(s).2. Clear and agreed upon decisions must be documented and centrally stored to

avoid confusion.3. HR data integrity (accuracy of data in the HR system feeding UTM) will

ultimately determine project success.4. Routing individual performance documents is an antiquated process. The new

performance process incorporates regular documented feedback and goal alignment. Adopting this new method into your organization is critical to the project’s success.

5. Customers must be involved and ready to make key decisions. Appraisal forms are not a performance management process.

6. The activity of identifying best business practices is organization-specific.


Thank You!


An Agency's Journey to Unified Talent Management

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