TheEssentialsof Talent Management

Talent Management: What is it? Alignment of employees with business priorities to deliver greater performance and results Alignment of employees with business priorities to deliver greater performance and results Keeping “the end in mind”: performance management, competency, leadership development, and succession planning Keeping “the end in mind”: performance management, competency, leadership development, and succession planning As agencies strive to meet strategic goals, they must ensure that they have a continuous process for recruiting, training, managing, supporting, and compensating their employees As agencies strive to meet strategic goals, they must ensure that they have a continuous process for recruiting, training, managing, supporting, and compensating their employees

What’s Driving the Current Emphasis on Talent Management? The context in which we do business is more complex and more competitive The context in which we do business is more complex and more competitive Employee expectations are changing with a desire for work-life balance and meaningful jobs Employee expectations are changing with a desire for work-life balance and meaningful jobs “The War on Talent”: workforce demographics are evolving as retirees leave “The War on Talent”: workforce demographics are evolving as retirees leave Emerging technologies are changing the employee competencies needed in organizations Emerging technologies are changing the employee competencies needed in organizations

Evolution of Talent Management Personnel Department – 1970s-80s role of HR served more of a business function in hiring people, paying them, and making sure they had necessary benefits. Personnel Department – 1970s-80s role of HR served more of a business function in hiring people, paying them, and making sure they had necessary benefits. Strategic HR – 1980s-90s HR had larger role of a business partner reaching out to support lines in recruiting, training, and communicating for employees. Strategic HR – 1980s-90s HR had larger role of a business partner reaching out to support lines in recruiting, training, and communicating for employees. Talent Management – Today’s HR functions are becoming integrated with the business with a focus on management processes. Talent Management – Today’s HR functions are becoming integrated with the business with a focus on management processes.

Evolution of Talent Management Old Mindset about Employees New Talent Mindset A vague notion that “people are our most important asset” A deep conviction that better talent leads to better corporate performance HR is responsible for people management All managers are accountable for strengthening their talent pool We have a two-day succession planning exercise once a year Talent management is a central part of how we run the company I work with the people I inherit I take bold actions to build the talent pool I need Ed Michaels, Helen Handfield – Jones, Beth Axelrod, The War for Talent, 2001 Ed Michaels, Helen Handfield – Jones, Beth Axelrod, The War for Talent, 2001.

The Process of Talent Management RecruitDevelopDeployRetain Assessment and Evaluation Compensation Performance Learning Succession Plan Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004.

A Focus on Key Talent Issues Rather than focusing just on recruiting and retaining talent, talent savvy organizations support their employees on issues they care about most: Doing work that engages them Doing work that engages them Encountering fresh challenges Encountering fresh challenges The number one reason employees leave comes down to their relationship with their boss; therefore, organizations should focus on examining the deployment and development of the supervisors tasked with leading others The number one reason employees leave comes down to their relationship with their boss; therefore, organizations should focus on examining the deployment and development of the supervisors tasked with leading others Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004

The Process of Talent Management Recruit DevelopDeployRetain Assessment and Evaluation Compensation Performance Learning Succession Plan Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004.

Recruiting Employees Be proactive, not just reactive Be proactive, not just reactive Focus on Strategic Recruitment Focus on Strategic Recruitment Include Generational Recruitment Include Generational Recruitment

The Process of Talent Management RecruitDevelop Deploy Retain Assessment and Evaluation Compensation Performance Learning Succession Plan

Deploying Employees “Deploy”: Working with key individuals to identify their interests, find their best fit in the organization, and craft the job design and conditions that help them to perform “Deploy”: Working with key individuals to identify their interests, find their best fit in the organization, and craft the job design and conditions that help them to perform Deployment is about matching the correct employee to a critical job or project Deployment is about matching the correct employee to a critical job or project Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004

The Process of Talent Management RecruitDevelopDeployRetain Assessment and Evaluation Compensation Performance Learning Succession Plan

Deploying Employees: Compensation Consider a compensation plan Consider a compensation plan Key positions should have a career plan Key positions should have a career plan Supervisors and employees should communicate and foster the employee’s individual career goals, including compensation as a component Supervisors and employees should communicate and foster the employee’s individual career goals, including compensation as a component

The Process of Talent Management RecruitDevelopDeployRetain Assessment and Evaluation Compensation Performance Learning Succession Plan

Deploying Employees: Performance Management Deployment does not stop once employees are assigned to a specific job Deployment does not stop once employees are assigned to a specific job Agencies must continuously focus on their critical talent to ensure that their skills, interests, and capabilities evolve in line with strategic objectives Agencies must continuously focus on their critical talent to ensure that their skills, interests, and capabilities evolve in line with strategic objectives Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004

The Process of Talent Management RecruitDevelopDeployRetain Assessment and Evaluation Compensation Performance Learning Succession Plan

Developing Employees: Learning “Develop”: Providing real-life learning employees need to master a job. Experiences that stretch their capabilities and the lessons they learn from those experiences are important. “Develop”: Providing real-life learning employees need to master a job. Experiences that stretch their capabilities and the lessons they learn from those experiences are important. Rather than push more information through training, it is more important that they “learn how to learn” Rather than push more information through training, it is more important that they “learn how to learn” Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004

The Process of Talent Management RecruitDevelopDeployRetain Assessment and Evaluation Compensation Performance Learning Succession Plan

Develop Employees: Succession Planning In a recent poll, 67% of employees said they learned the most in situations where they were working together with a colleague on a task In a recent poll, 67% of employees said they learned the most in situations where they were working together with a colleague on a task “Peer assist programs” such as mentoring and coaching are important aspects of succession planning “Peer assist programs” such as mentoring and coaching are important aspects of succession planning Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004

The Process of Talent Management RecruitDevelopDeploy Retain Assessment and Evaluation Compensation Performance Learning Succession Plan

Retaining Employees The average cost to replace an employee is one and half times her average salary. New candidates can take a year or more to master their jobs. The average cost to replace an employee is one and half times her average salary. New candidates can take a year or more to master their jobs. Common retention approaches look at turnover rates, but turnover does not measure people’s commitment to a company. When jobs are scarce, it is easy to retain a non-committed workforce. Common retention approaches look at turnover rates, but turnover does not measure people’s commitment to a company. When jobs are scarce, it is easy to retain a non-committed workforce. Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004

The Process of Talent Management RecruitDevelopDeploy Retain Assessment and Evaluation Compensation Performance Learning Succession Plan

Assessment and Evaluation: How Do You Identify Your Critical Talent? Critical talent are the people who create the value an organization needs to succeed. Which strategies, skills, and capabilities are crucial to your current and future success? Which strategies, skills, and capabilities are crucial to your current and future success? What emerging workforce trends will impact your ability to deliver value? What emerging workforce trends will impact your ability to deliver value? Who possesses the greatest current and future potential? Who possesses the greatest current and future potential? Wall, James and Ainar Aijala. “It’s 2008: Do You Know Where your Talent Is?” Deloitte Research Series, 2004

HR Spring Forum’s Talent Management Series Recruitment – Acquiring Talent Deployment - Compensation and Performance Management Development – Learning and Succession Planning Retention – Engaging Employees Assessment and Evaluation – HR Metrics