The Birth of a New Workforce - Presented by Randy Hatcher
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Transcript of The Birth of a New Workforce - Presented by Randy Hatcher
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The Birth Randy Hatcher - President, MAU Workforce
Solutions
of a New Workforce
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The Birth Randy Hatcher - President, MAU Workforce
Solutions
of a New Workforce
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The Birth of a New Workforce © MAU Workforce Solutions
A crime has been committed!
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The Birth of a New Workforce © MAU Workforce Solutions
Something has been stolen.
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The Birth of a New Workforce © MAU Workforce Solutions
Something precious and limited…
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The Birth of a New Workforce © MAU Workforce Solutions
…Your Focus
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Bankruptcies
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Closings
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The Birth of a New Workforce © MAU Workforce Solutions
Hoover DamChrysler Building
Empire State BuildingAlcatraz Island
Bethlehem Steel then…
Hoover Dam Chrysler Building Empire State Building Alcatraz Island
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The Birth of a New Workforce © MAU Workforce Solutions
Bethlehem Steel now…
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The Birth of a New Workforce © MAU Workforce Solutions
It’s been a
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The Birth of a New Workforce © MAU Workforce Solutions
But you’ve survived!
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The Birth of a New Workforce © MAU Workforce Solutions
You’re not out of the woods yet!
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The Birth of a New Workforce © MAU Workforce Solutions
Length of Each Recession48
-4953
-5457
-5860
-6169
-7073
-75 1980
81-82
90-91 2001
07 to
09
02468
101214161820
M o n t h s
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The Birth of a New Workforce © MAU Workforce Solutions
% Real GDP Decline48
-4953
-5457
-5860
-6169
-7073
-75 1980
81-82
90-91 2001
07 to
09
0.0%0.5%1.0%1.5%2.0%2.5%3.0%3.5%4.0%4.5%
% Dec l ine
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The Birth of a New Workforce © MAU Workforce Solutions
Jobs Lost During Each Recession
48-49
53-54
57-58
60-61
69-70
73-75 1980
81-82
90-91 2001
07 to
09
01,0002,0003,0004,0005,0006,0007,0008,000
Thousands
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The Birth of a New Workforce © MAU Workforce Solutions
S&P 500 Max Decline During Recession
48-49
53-54
57-58
60-61
69-70
73-75 1980
81-82
90-91 2001
07 to
09
0%
10%
20%
30%
40%
50%
60%
% Dec l ine
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The Birth of a New Workforce © MAU Workforce Solutions
Going Forward: NEVER Waste a
CrisisInformation in this presentation is property of MAU Workforce Solutions
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The Birth of a New Workforce © MAU Workforce Solutions
“Private and public sector leaders believe
that a rapid escalation of complexity is the
biggest challenge confronting them…and their enterprises today are not
equipped to cope effectively.” - IBM Study
1,500+ CEOs
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Time
Corporate America
$$$
CORE FunctionsNON-CORE Functions
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Patriarchal Model
John D. Rockefeller
Andrew Carnegie
Henry Ford
“Corporate Family”
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Patriarchal Model
Executive Maintenance Secretary
“Corporate Family”
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100
200
300
400
500
600
HEA
DCO
UN
T
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Patriarchal Model
Production Headcount Full-Time Workforce
Static High CostStable
Understaffed and OvertimeOverstaffed and Layoffs
•Growing legacy costs•Couldn’t respond to market changes
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Time $$$
Patriarchal Model
CORE FunctionsNON-CORE Functions
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World War IIRise of the Temporary Help Industry
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100
200
300
400
500
600
HEA
DCO
UN
T
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Patriarchal Model
Production Headcount Full-Time Workforce
Static High CostStable
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100
200
300
400
500
600
HEA
DCO
UN
T
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Staffing Workforce Model
Production HeadcountFull-Time Workforce
Static High CostStable
Flexible Workforce
Fluid Low CostLess Stable
Risk Cost?Responsibility
LayoffRamp Up
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Time $$$
Staffing Workforce Model
CORE FunctionsNON-CORE Functions
Patriarchal Model
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The Birth of a New Workforce © MAU Workforce Solutions
The Hidden Costs of Temp Workers•Inefficiency and Waste•Two Class System•Dual Market Valuation
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Paying the Piper
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Paying the PiperSlashed Retiree Benefits Reduced Wages
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Paying the PiperShared Healthcare Costs
Cut-to-the-Bone Layoffs& Involuntary Separations
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Paying the Piper
Pensions Replaced by 401k’s Employee Buyouts
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A New Business Blueprint
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100
200
300
400
500
600
HEA
DCO
UN
T
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Patriarchal Model
Production Headcount Full-Time WorkforceInformation in this presentation is property of MAU Workforce Solutions
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100
200
300
400
500
600
HEA
DCO
UN
T
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Staffing Workforce Model
Production HeadcountFull-Time WorkforceFlexible Workforce
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100
200
300
400
500
600
HEA
DCO
UN
T
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Innovative Workforce Model
Full-Time WorkforceFlexible Workforce
Production Headcount
Increased FocusIncreased CapabilityIncreased Capacity
Outsourced WorkforceInformation in this presentation is property of MAU Workforce Solutions
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Time $$$
Innovative Workforce Model
CORE FunctionsNON-CORE Functions
Staffing Workforce ModelPatriarchal Model
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The Birth of a New Workforce © MAU Workforce Solutions
If You Had $1.00 to Spend
EquipmentAutomation
Sales &Marketing
Mergers &Acquisitions
R&DInnovation
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Core/Noncore Analysis
JanitorialGroundsCafeteriaSecurity
Equipment and Automation
Sales and MarketingMergers and Acquisitions
R&D and Innovation
ManufacturingFinal Assembly
RecruitingSub-Assembly
Facility MaintenanceFinance & AccountingSupplier Management
IT FunctionPackaging
BenefitsLogistics
ManufacturingFinal Assembly
RecruitingSub-Assembly
Facility Maintenance
Finance & Accounting
Supplier ManagementIT FunctionPackaging
BenefitsLogisticsInformation in this presentation is property of MAU Workforce Solutions
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Outsourcing Manufacturing
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Outsourcing Manufacturing
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Outsourcing Final-Assembly
69% labor cost savingsProductivity, quality, delivery increased
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Outsourcing Recruiting
First Pass Yield: 78% to 92%
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Outsourcing Recruiting
Time to Fill: 13 to 6.7 weeks
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The Birth of a New Workforce © MAU Workforce Solutions
Kimberly Clark
Recruiter
Outsourcing Recruiting
TOTAL
2
Steps BeforeOutsourcing
42
44
12
20
32
Steps AfterOutsourcing
-30
+18
-12
Changein # of Steps
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70%$2,625
Cost Reductionin Salaries
TimeReduction
Savings Per Hire
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Outsourcing Sub-AssemblySmelting Pot Repair•30% fewer employees•Shelf life extended by 15%• Downtime decreased
by 5%
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Outsourcing Facility Maintenance• Can increase asset
productivity by 30 percent• “Maintenance groups are only
33% productive”- Terry WiremanComputerized Maintenance Management Services
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Outsourcing Facility MaintenanceOutsource to someone who eats, drinks, and sleeps maintenance…
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Outsourcing Finance & Accounting
Purchase to Pay
Finance and Accounting Strategy
Control and Risk Management
Record to Report
Order to Cash
Hire to Retire
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Outsource the non-strategy related functions…
Outsourcing Finance & Accounting
Purchase to Pay
Control and Risk Management
Record to Report
Order to Cash
Hire to Retire
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Outsourcing Finance & Accounting
Finance and Accounting Strategy
…while you focus on the business strategies.
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Obstacles
Can’t Find a Good Outsourcing Partner
Lack of Internal Expertise
Unable to Measure
Internal Cultural Issues
Too Expensive
Status Quo is Okay
0% 20% 40% 80%60%
Knowledge Level
© KellyOCG 2009
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Time $$$
Innovative Workforce ModelStaffing Workforce ModelPatriarchal Model
InnovativeWorkforce Model
CORE FunctionsNON-CORE Functions
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Core/Noncore Analysis
JanitorialGroundsCafeteriaSecurity
Employment Processes
Supplier ManagementFinance/Accounting
Program ManagementSubassembly
Final AssemblyFacility Maintenance
IT FunctionPackaging
BenefitsLogistics
Equipment and Automation
Sales and MarketingMergers and Acquisitions
R&D and InnovationInformation in this presentation is property of MAU Workforce Solutions
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10,000 Hours
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The 10,000 Hour Rule
Bill Joy1971
The BeatlesMid ‘60s
Bill Gates1968
Malcolm Gladwell’s “Outliers”
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Your Company’sUltimate Goal
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…Your Focus
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Closings
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Outside the PlantFunction
JobDepartmentProcess
UniqueDifferentiatesAdds Value
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Walk Through Your Plant
Job Title/Function Core
Noncore
Critical Noncritical
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Time $$$
Innovative Workforce Model
CORE FunctionsNON-CORE Functions
Staffing Workforce ModelPatriarchal ModelInnovative
Workforce Model
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It’s a Journey!‘99: Recruiting Process
‘99: Co-ops & Interns
‘00: Contract Professionals
‘02: Temporary Workers
‘02: Outsourced Assembly
‘05: Absenteeism PoolInformation in this presentation is property of MAU Workforce Solutions
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Get Started!Information in this presentation is property of MAU Workforce Solutions
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