Technology Council Update October 3, 2012 The ITT Engineering Career Framework
Agenda 1.Quick Review: Career Frameworks – what are we building and why, how does it work 2.Project Update 3.Findings So Far
3 - Experiences build functional and leadership competencies Copyright 2011 ONTOS Global, LLC 3 Optimal Talent Management is Based on Career Frameworks (aka career models) Differentiate outstanding vs. typical performance Define expected results Based on functions (related jobs /job families) A typical career path with progressively increasing SCOPE and IMPACT Career shifts between stages Roles or experiences leaders need to build competencies (may be within a job) career stage Tools 2 - Career stages define career paths based on mastery of competencies 1 - Competencies define functional success in terms of business strategy
Why do This? 12 2 2 4 Need for a common and consistent worldwide platform to manage, attract, develop, and retain people State of the art
We are unified by… Our DNA Highly engineered solutions for critical applications Leaders in attractive defensible niches Global and Highly Diversified Long standing brands and operating history Recurring revenue streams Our Values: Respect. Responsibility. Integrity The ITT Way differentiates us… Differentiate with customers Optimize our work Lead with technology Our People And enables us to create Enduring Impact… Customer Success Engaged employees Proud partners Enhanced communities Shareholder value Sustainable Growth and Premier Performance These are reinforced by the career framework How do you engage employees? 1 –Make clear what is expected 2- Provide career opportunities 3- Respect 4- Manager quality Knowing what capabilities are needed – and where they reside across the company means talent can be more efficiently deployed to niches and core business, globally. Why do This?, cont’d
Behavior (competencies, career paths and experiences) Current Business Model Strategic Intent Market & Technology Trends Talent Management Processes & Practices Employees care because (1)Professional success is defined (2)Career progression is clear Managers care because (1)Easier conversations (2)Better hiring and development Sr. executives and HR care because (1)Differentiating high performance (2)Better workforce deployment (3)Alignment to business strategy Behavioral Standards Align the Future State with Individual Performance Standards that are meaningful to the employee and relevant to the business “ITT Way” “Customer intimacy market leader” “Develop adjacencies for our technology” Live order vs. R&D driven, or a mix? Vertically or horizontally integrated? Global distribution? Integrated electronics Environmental regulation
Copyright 2012 ONTOS Global, LLC 7 Career Frameworks Anchor Talent Process and Ensure Strategic Alignment Recruitment & Selection Competencies for selection Interview questions Scope anchors for job descriptions and posting Performance calibration & management Scope and impact from career stages frames goal setting Performance calibration based on function and career stages (apples-to- apples comparisons) Competency- based assessment Career Planning & Development Career stages frame career paths Competencies enable lateral progression across functions Career stages contain multiple related jobs, making movement within a job family easier Competency based feedback, gap analysis and development Feedback and coaching A common, global language for managers and employees grounded in objective standards HiPo ID, Leadership Development & Succession Planning Career stages frame leadership pipeline through sequential competency development Early-in career (career stage) focused development Functional leadership development Broad-banding & Global Leveling Career stages anchor broad bands and provide global functional framework for pay Workforce capability analysis & planning Capability-based workforce analytics (i.e. forward looking) combined with traditional headcount measures Workforce segmentation by function, stage, competency, etc. Behavior (competencies and career paths) Business Imperatives Strategic Intent Process / Technology
Career stage 1 Supervisor Career stage 2 Manager of Managers Career stage 3 Site / Function Leader Career stage 4 General Manager Scope & Impact of Roles Competency Growth over Time Key Shift: what needs to be mastered to achieve success at the next stage Scope & Impact People develop competencies when the scope and impact of their roles increase over time as work become broader and more complex. This is why career stages are good anchor-points for developing leaders, as well as for driving employee engagement, because what is expected at each stage is transparent and logically connected to career progression. The Simple and Elegant Idea Behind Career Frameworks
Comparing Alternative Approaches 8 Traditional Competency Models (Generic or leadership competencies without career stages functional career paths) By now familiar to most employees Behavioral Either too generic or too tactical = confusion No real career path guidance - hard to drive employee development Hard to differentiate levels of expectation in a given role Not able to anchor to other HR systems like compensation Career Models (Functional competencies defined in sequential career stages to form vertically integrated career paths) Engages employees through transparent career standards More precise definition of expectations – a better lever More targeted learning and development Lynchpin for HR system integration because role- based Develops communities of practice: functional leaders own the standards Take longer to develop Perceived as more complex unless deployed through apps Job Ladders or Sequenced Job Descriptions (Skill, task, or competency descriptions linked to specific jobs) Job/role specific The ocean is boiling: Almost impossible to keep up to date Too granular Hard to use as accurate measure: often a mish-mash of skills, tasks, and behavior. Pros: Cons: 123 Copyright 2011 ONTOS Global, LLC
FunctionalFunctional Core/LeadershipCore/Leadership FunctionalFunctional Core/LeadershipCore/Leadership FunctionalFunctional Core/LeadershipCore/Leadership Executive Career Stages Functional Career Stages Vice President President General Manager/ Director Manager Supervisor Consulting Engineer Senior Engineer Engineer II Engineer Design/Development Engineering (R&D) Application Engineering (Services) Manufacturing Engineering (Operations) How Career Frameworks Rationalize Individual Career Navigation Example Only – Actual path taxonomy TBD Competencies CEO Management PathTechnical Path Competencies common to all functions including executive leadership Core/Leadership competencies bridge functional paths Career stages are common across functions
Example Operations Management Competencies, Career Stages & Key Experiences 11 Career Stages General Manager Site / Function Leader Manager of Managers Supervisor Competencies Key Experiences Customer Facing Total Quality or Lean Engineering P&L Responsibility Shop Floor Accountability Change Management Business Unit Management Global Perspective Stretch Assignment
Industrial Process ICS Motion Technologies Control Technologies Unique Competencies Developing Unique and Common Competencies...Inductively Research Process Developing Unique and Common Competencies...Inductively Core & Leadership Competencies Behavioral values common to all engineers Enable: career and talent movement strategic alignment common workforce management and development Unique Competencies Unique capabilities of the function within the business Enable: better local management and development hiring PfP Etc.
Engineering Career Framework Project Outline 13 Scope: All Engineers worldwide Research Develop & Validate PublishImplement Maintain A.Establish and brief project leadership team (LT) B.Conduct incumbent 1:1 interviews, proportional to all levels and functions C.# of career paths (functions) and career stages determined and approved by LT A.Leader led implementation B.Training to managers/ supervisors C.Connect to PFP D.Connect to succession planning, HiPo ID and other leadership development processes A.Create User Guide(s) and/or cards (as desired) B.Create Interview Guide (as desired) C.Create Learning & Development Guide (as desired) D.Publish to Web Portal (?) A.LT reviews working drafts of competencies, career stages and experience B.Drafts validated with focus groups and select incumbents C.Final drafts reviewed and approved by LT Aug-Sep-OctOct-NovDecDec -Jan
Who Has Been Interviewed? LocationCount% of all Eng in VC% of all EngTargetInterviewed Intvwd % of All Eng Total CONTROL TECHNOLOGIES OP 3038%8%671.8% Valencia 2531%6%441.0% MA 34%1%000.0% Charleston 1215%3%000.0% Westminster, SC 79%2%000.0% India 34%1%000.0% TOTAL 80 20%9.6112.8% INDUSTRIAL PROCESS SFalls 8979%22%0174.3% Lancaster & Amory 1211%3%000.0% India 1110%3%100.0% Korea 22%1%1 TOTAL 112 28.1%13.4174.3% MOTION TECHNOLOGIES Barge 4254%11%551.3% Oud-Beijerland 2836%7%541.0% China - Wuxi 11%0%000.0% USA-Novi 56%1%000.0% Unspecified 23%1%000.0% TOTAL 78 20%9.692.3% ICS Santa Ana 3930%10%982.0% Nogales 1915%5%10 0.0% Japan 129%3%00 0.0% BIW 54%1%00 0.0% UK 11%0%00 0.0% Italy 86%2%00 0.0% China 3023%8%40 0.0% Germany 1512%4%20 0.0% TOTAL 129 32.4% 15.382.0% 4511.3% Total Eng398
Business & Financial Acumen Definition: Demonstrates adeptness in analyzing income statements and balance sheets as well as internal performance drivers (e.g. inventory, overtime, outsourcing), and the interaction between each to accurately estimate their effect on financial results, and uses analysis to present clear strategies and business cases. DevelopingProficientExcels Uses one dimension of business performance (e.g. inventory, or overtime) to form incomplete judgments about business drivers Believes site/product line financial performance is beyond own sphere of control or influence Demonstrates an understanding of internal performance drivers (e.g. inventory, overtime, outsourcing) and the interaction between each to accurately estimate their effect on profit and loss. Fully Proficient AND Demonstrates understanding of income statements and balance sheets related to own cost center or department RESULTS IN clear strategies and business cases that meet business and operational objectives. Result describes expected outcome of Proficient behavior Each competency has 3 levels of proficiency for each stage. “Developing” is NOT failing! Supervisor Understanding OMCF competencies:
Career Stages: Scope Definitions Career Stage Title:Supervisor Typical Job Titles Supervisor, Area Manager, Project Manager, Senior Project Manager Typical Grade Levels12, 13, 14 SCOPE PEOPLE: Manages individual contributors PRODUCTION: Executes single or multiple projects/programs of moderate complexity within one discipline or step in the value chain (e.g. single cell, or Purchasing or Documentation). CUSTOMER (end user): Minimal interface COMMUNI-CATION: Within department and one level up GEOGRAPHY: Local BUDGET: Owns single cost center budget Usually more than one job in a stage career stage
Career Stage Title:Supervisor Typical Job Titles Supervisor, Area Manager, Project Manager, Senior Project Manager Typical Grade Levels 12, 13, 14 IMPACT PRODUCTION: Actions impact metrics of a single project/program within one discipline (e.g. Purchasing) or product line (e.g. ANSI) TIME HORIZON: < 1 year KEY CAREER SHIFT: (i.e. what needs to be mastered) (1) Learning how to lead and motivate people and get work done through direct reports (2) Learning how to manage a budget (2) Learning how to achieve results on metrics (safety, quality, time, etc.) Career Stages: Impact & Shifts career stage
ITT Operations Management Key Experiences Key Experience Description Learning Provided Competencies Developed Customer Facing A role with direct and sustained communication with customers where customer issues, and urgency is experienced and solved Understanding impact of operations processes and decisions on the customer Understanding how customers perceive value (1)CROSS- BOUNDARY/CROSS- CULTURAL COMMUNICATION (2)STRATEGIC PROBLEM SOLVING Total Quality or Lean Engineering A role where the ‘before and after’ of a lean transformation project is experienced first-hand and the business benefit is tangible How to drive transformation or improvement Strategic project management; experience How to engage others at all levels of the organization in change (1)CONTINUOUS IMPROVEMENT/ LEAN ORIENTATION (2)CROSS- BOUNDARY/CROSS- CULTURAL COMMUNICATION P&L Responsibility A role where one has to make P&L forecasts, budgets, and trade-offs, and experience the results of own decisions Understanding total cost and profit and loss drivers Accountability for an entire business (1)BUSINESS & FINANCIAL ACUMEN (2)DRIVE FOR RESULTS Shop Floor Accountability A role on the floor directly managing hourly union workforce Managing individuals older than self and gaining respect and trust from a diverse workforce (1)TEAMWORK (2)TECHNICAL DECISION-MAKING Change Management A visible role in the organization leading change (e.g. a turnaround, or a new product launch) across diverse departments, functions, and geographies. May involve influencing without role authority. Learning formal change management methodologies Accountability for visible or strategic project Learning how and when to enroll appropriate resources (HR, etc.) (1)CROSS- BOUNDARY/CROSS- CULTURAL COMMUNICATION (2)FORESIGHT
OK, but, what’s in it for me? Fairness 1 – Fairness The OMCF describes what success looks like. Knowing what success is for each role means discussions between managers and employees about hiring, performance, and personal learning and development now have an objective foundation. Transparency 2 - Transparency The OMCF describes stages on a career path and as such make clear what it takes for an individual to progress from one stage to another in their career. Transparency aids career mobility. Mobility 3- Mobility By making clear what it takes to move up (or across) functions, and because these competencies are functionally-based rather than applicable only to select value centers, an employee’s potential for career mobility across ITT is greatly enhanced.
CF Tools User Guide Learning Guide Interview Guide FAQs (in all guides) Web Portal - TBD Online, competency- based Assessments 360
Group acts as decision-making body for function Group acts as decision-making body for function Reviews and ultimately “owns” content Reviews and ultimately “owns” content 15-20 hrs per member total 15-20 hrs per member total 2 hr meetings every other week (Oct-Nov) 2 hr meetings every other week (Oct-Nov) Homework Homework LT Commitment
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