STRATEGIC HR ISSUES WE NEGLECT

Presentation by

Ricardo Saludo, Managing Director

July 17-19, 2018 Davao City

Presentation Outline

• A Stand-Up Survey of HR Issues

• Issues and Data

• The Top Strategic HR Task

STAND UP FOR YOUR AGENCY

• For every statement, please stand up if the issue applies to your agency.

• Feel free to talk with others also standing up.

• If there is an issue not raised, send a note to the presenter.

ASK AND BE NOT DECEIVED

• Personnel do not relate their work to agency goals and strategies.

• Crises happen with little warning or preparation by the agency.

ASK AND BE NOT DECEIVED

• When people leave, it’s often due to problems hardly ever brought up.

• In planning for their future, employees are left on their own.

ASK AND BE NOT DECEIVED

• New initiatives are decreed with little consultation.

• Our agency has had little or no discussion about federalism.

ASK AND BE NOT DECEIVED

• Our agency has a soul that we know well and cherish deeply.

Personnel do not relate their work to agency goals and strategies.

57% of Americans say they would improve at their jobs if they knew their company directions better.

Zeno Group, online survey of 1,000 Americans, 2015http://www.yourthoughtpartner.com/blog/your-employees-dont-get-

your-strategy

Personnel do not relate their work to agency goals and strategies.

60% of company budgets and 30% of

staff incentives are not linked to

strategy. Only 10% of employees say

they understand the company strategy.

Kaplan & Norton, cited byRobynne Berg in “5 Essential Steps to Strategy Implementation”

http://bergconsulting.com.au/Berg_Consulting_Blog/5-essential-steps-to-successful-

strategy-implementation

Personnel do not relate their work to agency goals and strategies.

Strategic leadership was 10 times more

important to perceived effectiveness

than other behaviors — twice as

important as communication (the No. 2

action), and almost 50 times more than

hands-on tactical behaviors.

Robert Kabakoff, “Developing Strategic Thinkers Throughout Your Organisation”, HBR.

https://hbr.org/2014/02/develop-strategic-thinkers-throughout-your-organization

Crises happen with little warning or preparation by the agency.

Only one in 10 firms is crisis-ready,

says law firm Freshfields Bruckhaus

Deringer, after talks with 102 crisis

communication specialists who

worked on 2,000 reputation risk

incidents in 80 countries.

“Being Ready for a Crisis” by Melanie Butler, Sloane Menkes, and Marissa Michel

https://www.strategy-business.com/article/Being-Ready-for-a-Crisis?gko=bbd2a

Crises happen with little warning or preparation by the agency.

• 60% of crisis managers say they face more

crises than ten years ago

• Only 17% have tested their preparedness,

although 90% believe they're ready

• Asia-Pacific, Middle East and Africa report

more crises in recent years than other

areas

Despite crises rising, firms are unprepared — Deloitte study

https://www2.deloitte.com/au/en/pages/media-releases/articles/despite-crises-rising-firms-unprepared-deloitte-study-110718.html

Crises happen with little warning or preparation by the agency.

• COA: 153 of 159 DOTr projects failed, delayed

• Only 34% of DPWH 2017 budget utilized

• NFA rice: Only 2 days’ supply left

• ‘Norwegia’ and other PCOO official

announcement blunders

• Teo: Nothing irregular in P60-M ad placement

Mon Tulfo: Probe P60-M ‘irregular’ ad deal

When people leave, it’s often due to problems hardly ever brought up.

• 70% consider higher compensation as a

key factor in leaving

• 32% cite relocation and family migration

• 29% mention relationship issues with

supervisors

Willis Towers Watson 2015 Total Rewards Survey, in “Why Filipino employees leave their companies”

http://www.bworldonline.com/content.php?section=Corporate&title=why-filipino-employees-leave-their-companies&id=123512

When people leave, it’s often due to problems hardly ever brought up.

Factors that matter most for retention:

1) Company culture

2) Employee salary

3) Stagnating for long in the same job

“Why Do Workers Quit? The Factors that Predict Employee Turnover”by Morgan Smart Data Scientist, Glassdoor;

Andrew Chamberlain, Ph.D., Chief Economist, Glassdoorhttps://www.glassdoor.com/research/app/uploads/sites/2/2018/05/GD_ResearchReport_

WhyWorkersQuit_Rebrand_Draft3.pdf

When people leave, it’s often due to problems hardly ever brought up.

Reasons Why Employees Leave

• Managers’ favoritism and discrimination

• Lack of coaching, mentoring and support

from managers

• Lack of due recognition and reward,

feedback and evaluation

“50 Reasons Why Employees Leave their Employer” by Victorino Abrugar, founder of Optixor, Inc.

When people leave, it’s often due to problems hardly ever brought up.

Reasons Why Employees Leave

• Lack of trust and confidence in managers

• Managers’ lack of trust/confidence in staff

• Physical abuse, and disrespect of privacy

• Too much management interference, and

lack of employee empowerment

“50 Reasons Why Employees Leave their Employer” by Victorino Abrugar, Optixor

New initiatives are decreed with little consultation.

Dunphy and Stace leadership and change models

https://www.youtube.com/watch?v=nVW70ANc-rA

New initiatives are decreed with little consultation.

New initiatives are decreed with little consultation.

McKinsey on Change Managementhttps://www.youtube.com/watch?v=k69i_yAhEcQ

Our agency has had little or no discussion about federalism.

ARTICLE XII

DISTRIBUTION OF POWERS OF THE GOVERNMENT

SECTION 1. The Federal Government shall have exclusive power over:

(a) Defense, security of land, sea, and air territory;

(b) Foreign affairs;

(c) International trade;

(d) Customs and tariffs;

(e) Citizenship, immigration and naturalization;

Our agency has had little or no discussion about federalism.

(f) National socio-economic planning;

(g) Monetary policy and federal fiscal policy, banking, currency;

(h) Competition and competition regulation bodies;

(i) Inter-regional infrastructure and public utilities, including telecommunications and broadband networks;

(j) Postal service;

Our agency has had little or no discussion about federalism.

(k) Time regulation, standards of weights and measures;

(l) Promotion and protection of human rights;

(m) Basic education;

(n) Science and technology;

(o) Regulation and licensing of professions;

(p) Social security benefits;

Our agency has had little or no discussion about federalism.

(q) Federal crimes and justice system;

(r) Law and order;

(s) Civil, family, property, and commercial laws, except as may be otherwise provided for in the Constitution;

(t) Prosecution of graft and corruption cases;

(u) Intellectual property; and

(v) Elections.

Our agency has had little or no discussion about federalism.

SECTION 2. Within their regional territory, the Federated Region shall have exclusive power over:

(a) Socio-economic development planning;

(b) Creation of sources of revenue;

(c) Financial administration and management;

(d) Tourism, investment, and trade development;

(e) Infrastructure, public utilities and public works;

(f) Economic zones;

(g) Land use and housing;

Our agency has had little or no discussion about federalism.

(h) Justice system;

(i) Local government units;

(j) Business permits and licenses;

(k) Municipal waters;

(l) Indigenous peoples’ rights and welfare;

(m) Culture and language development;

(n) Sports development; and

(o) Parks and recreation.

Our agency has a soul that we know well and cherish deeply.

The Soul of the Organization: How to Ignite Employee Engagement and Productivity at Every Level, by David B. Zenoff

Our agency has a soul that we know well and cherish deeply.

Traits and the Power of Organizations’ Souls

The soul of an organization has five essential elements that are intertwined:

1. Concerns about a group of people who need help or a societal problem that needs to be solved. These concerns engage employees’ emotions and engender in them a desire to help.

2. A determined quest and commitment to address the organization’s concerns.

Our agency has a soul that we know well and cherish deeply.

3. Understandings about how to address the organization’s concerns. These understandings consist of unique insights and proprietary know-how that the organization has about how it can successfully meet the challenges that stand in the way of helping the target group.

4. Core philosophies and beliefs about what is important and how to operate.

Our agency has a soul that we know well and cherish deeply.

5. Stories about the hopes, dreams, values, philosophies, standards, and struggles of the organization’s founders, important leaders, and contributors.

When these five elements of soul are present and active in an organization, the organization has a self-generating power to motivate, engage, and inspire employees.

Our agency has a soul that we know well and cherish deeply.

Strategic Management: Strategic Drift & Culture Web

https://www.youtube.com/watch?v=T_s7h0Ll-RQ

Which Comes First —STRATEGY OR SOUL?

The One Thing: The Surprisingly

Simple Truth Behind

Extraordinary Results

By Gary Keller and Jay Papasan

Which Comes First —STRATEGY OR SOUL?

The 7 Habits of Highly Effective Peopleby Stephen Covey

Which Comes First —STRATEGY OR SOUL?

The Purpose Driven Life, by Rick Warren

Which Comes First —STRATEGY OR SOUL?

In Search of Excellence:

Lessons from America’s

Best-Run Companies

By Tom Peters and Robert Waterman Jr.

Which Comes First —STRATEGY OR SOUL?

• 57% of Americans say they would improve at their jobs if they knew their company directions better.

• Factors that matter most for retention:1) Company culture …

• McKinsey: 70% of major change programs don’t achieve objectives, and 70% of the time, it’s because of ‘the human issues, the organizational issues, the culture issues’

The Most Successful Organization of All Time

1) It has flourished for two millennia.

2) It has two billion members and affiliates.

3) It laid the foundation of modern social

affairs, science, art and culture.

4) It runs the most schools, hospitals, and

charities, and volunteer services.

5) Its sole mission and focus is the soul.

Daghang Salamat!

Telefax +63-2-5311182report@censeisolutions.com