Talent Management
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© Catalyst Consulting
The Perfect Talent Storm
Skills shortage
- Cost cutting vs
closing the skills
gap
The economic
crisis
Different
expectations -
generation gap,
making space
Identify & develop
talent early
Restructuring,
downsizing, cost
management vs
retention
Globalisation and
access to
information
Employer of
choice –
EVP?
Manage
succession risk
Ageing
workforce
High turnover of
key talent
Employment
equity & diversity
Engagement
studies
With organisations today operating under unprecedented conditions of competition and
turbulence, it is increasingly difficult to attract and retain talented employees and scarce skills
positions. It is therefore imperative that during these times, organisations develop a purposeful
process for sourcing, attracting, engaging, managing, developing and retaining key talent.
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© Catalyst Consulting
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The sports analogy helps us understand how important talent management is for high performance and winning in a competitive
world. Each of these aspects are required to build a successful sports team. Early identification of young talent through watching for
ability & attitude. Training and development to full potential and teamwork. Paying enough to retain but building commitment through
relationships. Ensuing sufficient bench depth. Create opportunities to stretch & shine. Right skills in right positions to balance team
strength. Good managers and great coaches. Making tough decisions when individuals lose their edge
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© Catalyst Consulting
What we typically experience when we ask staff about
talent management
Not credible
Not
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© Catalyst Consulting
Talent management objectives
Understand and develop the required
standards of performance and behaviour
at each level
Understand the
mission critical positions and skills
required now and in the future
Identify and develop
high potential employees
.
Grow competent
future leaders
able to deal adeptly with complex business issues.
Meet current and
future technical and professional skills
requirements.
Retain and engage
key staff with critical or core skills.
Attain
employment equity
targets and avert skills shortages.
Ensure effective organisational
resource planning
.
Harness the potential and creativity
of all employees and
empower every individual
to optimise their
career and learning potential
Effective Talent Management ensures operational continuity and sustainability by ensuring
that t
he
right people
, with the
right skills
, are in the
right job
, at the
right time
to ensure
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© Catalyst Consulting
Talent Demand and Supply
“Talent Management” is the holistic and integrated management practice of balancing the demand for critical skills with the
supply of critical skills in both the short-term and the long term. TM includes the proactive identification, planning, attraction,
development, retention and monitoring of both the supply and demand of critical positions and key talent.
Positions (Demand)
Identification and filling of mission critical
positions (MCPs) that are critical to the on-going
operations of the business. This impacts on
productivity, delivery and cost.
Supply
Finance
Operations
CEO
Mission Critical Positions
Scarce Skills
Talent Pool Population Broader Employee Group High Potential LowLow Performance High Differentiation of Talent
High flyers
Key players
Underperformers
TM complements the existing HR processes such as recruitment, skills development and performance management. TM assists with more
focussed development activities for key talent, mission critical positions and ensures proper succession planning for these positions.
People (Supply)
Identification, sourcing, development and retention
of key individuals who are considered to be of
such critical importance to an organisation, that
the risk of turnover warrants targeted activities to
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© Catalyst Consulting 2007
Talent management needs to be seen as one of the
5 major Strategic Business Imperatives
2. Business Plan
1. Strategic Management
3. Budget Review
5. Talent Reviews
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© Catalyst Consulting
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Talent Management Framework
Effective Talent Management ensures operational continuity and sustainability by
ensuring that
t
he right people, with the right skills, are in the right job, at the right time to
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© Catalyst Consulting
Talent Strategy
Talent management requires a strategic approach to balancing business challenges, organisational capability and people capability. Annual reviews need to take place w.r.t Strategic skills sourcing, Mission Critical Positions, Scarce Skills and well as identification of any additional strategic talent challenges. Every few years, the talent strategy should be reviewed to ensure alignment with the business strategy and that there are plans to ensure organisation has sufficient capability to meet demand in the long term
Talent Management
Talent management includes the on-going co-ordination, management and monitoring of all talent management activities. This is the role of HR. Talent management activities include setting talent goals and measures, clarifying roles and accountabilities, ensuring processes and tools are in place that are aligned with other HR policies and processes, building capacity for implementation and monitoring and reporting on talent management activities and statistics
Talent Forum
Talent is best managed through a series of talent forums that meet at least annually to discuss and make strategic decisions regarding talent. The talent forums are responsible for giving input and validating the identification and categorisation of talent, succession plans and development plans for mission critical positions . The talent forums also discuss and make decisions on strategic recruitment, development or retention requirements impacting the business. The talent forums work together with line managers and Human Resources to ensure agreed decisions and actions are implemented. Talent forums are held at different levels of the business ensuring talent pools and critical staffing issues are identified at each critical level and communicated upward ultimately to the most senior talent forum.
Talent
identification & succession
Talent identification includes the identification of mission critical positions and the categorization of high flyers, key players and under-performers using the 9 box matrix and the Leadership Pipeline. Additional segments can be specified depending on business requirements.
Succession planning involves matching the identified individuals with future potential positions and creating talent pools for certain key levels and disciplines. The succession plans will drive the differentiated development and retention of talent to ensure readiness when a position becomes vacant. Underperformers need to be managed, moved or released to ensure fully performing people in all positions.
Talent sourcing
Talent sourcing involves a strategic approach to attracting and recruiting talent both internally and within the external labour market to address the gaps that may be identified in the succession planning process and talent forums. The strategic activities will focus on communicating an attractive employee value proposition to entice talent into the organisation and building strategic sources of scarce skills positions and future competencies.
On a more operational level, job and competency profiles need to be kept up to date and recruitment processes optimised for fast turn-around on vacancies. Once a person has joined the company, the on-boarding process is critical to ensure engagement and rapid integration with the company for maintaining performance standards.
Talent Development
Development includes the various development actions for the talent pool to address the talent gap, including performance development (developing skills for their current jobs) and career development (career planning and developing skills for future potential jobs). A career management system (the
leadership pipeline/career matrix) with defined performance and competency standards at each level will facilitate individual and organisational competence gap analyses for accurate development planning.
Development also includes applied learning, where opportunities are created for key talent to learn on the job through new appointments, project roles, secondments or exchanges. Employees can be afforded an opportunity to discuss career aspirations and development needs during career discussions. Talent
engagement & retention
This includes the engagement and retention of the existing talent pool and broad category of employees, through the perception that the company is viewed as an employer of choice with a sound value proposition. The value proposition must reflect a respected organisation, challenging jobs, effective leaders, motivating rewards and a conducive culture. The creation of the value proposition requires accountability at all levels, infusing the right behaviours and leadership style, instilling a talent mind-set, rewarding talent financially and recognising talent through various non-financial means such as mentoring, job rotation, role challenge, work life balance and recognition schemes.
Release includes the release of employees from the organisation, either through individually initiated movement to another career opportunity in another the company or through a the company initiated process of release due to poor performance, incapacity, disciplinary issues or retirement.
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© Catalyst Consulting
Talent Management Process
Preparation
Career Discussion
Talent
Review
Outputs & Actions
Feedback &
Monitoring
• Collect portfolio of
evidence for:
• Performance
(review plus
criteria)
• Competence (gap
analysis)
• Potential – criteria
• Career Discussion
Guide:
• Realistic
aspirations
• Development
priorities & plans
• Engagement &
retention
• Present direct
reports:
− 9-Box
placements
− Portfolio of
evidence
− Succession
Plans
− Talent action
plans
• Succession Plans
& pools per MCP
• Talent
development and
action plans
• Collation of all
outputs into
master plan (HC)
• Feedback to
individuals
• Quarterly reporting
and monitoring of
talent action plans
and measures
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© Catalyst Consulting
Preparation
Throughout the year, managers collect evidence of performance, competence & potential of their direct reports culminating in a formal
Performance Review. There is also a competence profiling exercise to identify development needs to improve performance or build
readiness for next level positions.
Tools include performance and competence standards, performance contract and individual development plan
Career
discussions
Before the talent forum, it is important that there is a career discussion between managers and direct reports to assess realistic career
aspirations and options, development needs and retention issues. Prior to the discussion, both the employee and the manager prepare
using the career discussion template. The aim is to reach consensus on the information and actions to be presented to the talent forum.
After the career discussion, the manager finalises the career discussion information for all direct reports and forwards them to the talent
forum co-ordinator before the talent forum.
Tools include a career discussion guide
Talent Forum
Before the talent forum, managers will prepare their input including their strategic talent issues, 9-Box placement, succession plan and
talent action plans for their Business Units and functions. They will then present these to the talent forum for input, discussion, challenge
and validation. The aim is to improve objectivity and reach consensus on the talent outputs.
Tools include strategic talent issues, 9-Box matrix, succession plan and talent action plans
Outputs &
actions
The talent outputs and actions will be documented by the talent forum administrator and circulated to all members and captured
electronically. Responsible individuals will be expected to report back on progress at quarterly talent reviews. Individual development plans
are to be updated post the talent forum to reflect any changes.
Tools include the individual development plan and the talent action plan progress report
Feedback &
monitoring
It is important that managers feedback to individuals any changes to the career discussion proposals or any other pertinent information from
the talent forums. Face to face feedback sessions are important to build engagement and thereby reduce mismatched expectations and
retention risk.
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© Catalyst Consulting
Talent Management Tools
Preparation
Career
Discussion
Talent
Review
Outputs &
Actions
Feedback &
Monitoring
# 1 # 1 # 3 # 3 # 5 # 5 # 6 # 6 # 4 # 4 # 2 # 2 Manage Sel f Manage Others Functional Manager
Group Manager Manage Managers Enterprise Manager Business Manager # 1 # 1 # 3 # 3 # 5 # 5 # 6 # 6 # 4 # 4 # 2 # 2 Manage Sel f Manage Others Funct
ional Manager
Group Manager Manage Managers Enterprise Manager Business Manager Exceptional (4) Full (3)
Not yet full (1/2)
Performance
Exceptional (4) Full (3)
Not yet full (1/2)
Performance Pot ential G row th Master y Tu rn
Integrated
Pipeline
Performance Standards /
Role Profiles
9-Box Matrix
6 -© Catalyst Consulting 2009
Manage Self Professional
Outputs by KRA
Financial
• Uses resources efficiently and effectively • Plans and sets own/team targets (products/services/volumes
etc) • Contributes to budget setting & control of costs • Awareness of impact on business of financial decisions
People
• Coaches and mentors others in field of expertise • Communicates and collaborates effectively with others • Proactively builds professional relationships within and across
teams
Business Processes
• Ensures professional activities meet HSEQ standards • Drives out own work in alignment with team objectives • Follows company policies and procedures efficiently and
effectively • Leverages internal and external networks to identify
optimisation opportunities
Customers
• Achieves results in a way that builds and maintains constructive working relationships with managers, peers, clients and other service providers • Demonstrates understanding of internal and external customer
needs, expectations and delivers accordingly • Collaborates effectively with internal and external service
providers
Role Behaviours
• Spends time delivering work within own area or area of professional expertise and proactively seeks out feedback • Lives organisation values • Displays professional conduct
• Manages own time to ensure working relationships with peers and customers • Asks questions to clarify objectives and provides support to others seeking
clarification in area of expertise • Sustains high level of focus effort and energy • Approaches and resolves problems in a systematic way • Actively pursues own development • Communicates with others clearly and considerately • Recognises when issues need to be resolved and with whom • Manages delivery of medium/long term goals effectively • Embraces change and implements it in own areas of work • Applies knowledge and expertise for results • Lives organisation values and brand when interacting with internal and external
customers
Warning signs of leading at the wrong level…
• Fails to meet HSEQ standards • Does not meet objectives timeously • Fails to build effective working relationships within the team • Poor professional discipline (e.g. time management) • Allows problems to fester rather than address them timeously and constructively • Fails to undertake preventative action in professional areas of responsibility
Talent Action Plan Succession Plan
Competency
Profiles
Portfolio of evidence
Career Discussion
Personal Profiles
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© Catalyst Consulting
13
Talent Forum Review – 3 tiers
Process
Level 1 Talent Review
Directors to review direct reports (function heads)
and consolidated talent reviews (levels 2&3)
Level 2 Talent Review Function heads to review direct
reports and consolidated talent reviews (level 3)
Level 3 Talent Review
Operation/function management teams to review MCPs, core skills and emerging talent for operation/function
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© Catalyst Consulting
Identifying readiness for future roles
Performance Standards
what level of performance is
required to be successful in the
role (Outputs)
Tasks
Activity
Results
Outputs
Competency Standards
what capabilities are required to
achieve the required standard of
performance (Inputs)
Knowledge
Skills
Behaviours
Values
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© Catalyst Consulting
Leadership and technical specialist career matrix
Leadership Level Criteria L 4 Executive Manage Business (Business leadership)Heads up an operation or a business comprising multiple operations
E.g.. Managing Director, Financial Director, HR Director, Marketing Director
L 3 Strategic Manage Function (Functional leadership)
Heads up a function comprising multiple departments
E.g. General Managers, Div procurement manager, Ops support manager
L 2 Operational Manage Managers (Results leadership)
Heads up a department. More than one layer of direct reports
Eg. Senior Manager, Manager, Works manager L 1 Team Manage Others (Team-leadership)
Heads up a team, only one layer of direct reports.
e.g. Plant Coordinators & Supervisors, Eng./Materials/QC/Prod Manager, Supervisor
Technical Level Criteria
T 4
Deep specialist
Functional advice
No direct reports, experienced graduate and registered professional, deep specialist, many years industry experience
E.g.. Senior Professional Engineer, Commodity Specialist, T 3 Knowledge worker Technical/profes sional advice
No direct reports, graduate and registered i.t.o. codes of practice
Eg. Engineer, Senior Buyer
T 2
Skilled worker
Technical application
No direct reports, some technical training required
Eg. Technician, Artisan, junior buyer
T 1
Operator/ Administrator
Task delivery
No direct reports, no formal training required E.g.. Secretaries, PA’s, administrators, driver,
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© Catalyst Consulting
Leadership and technical specialist career matrix
Leadership Level Key outputs/Performance standards Technical Level Key outputs/Performance standards
L 4
Executive
Manage Business (Business
leadership)
• Develops organisational strategy • External stakeholder management • Building effective executive team • 5 year plus plans
T 4
Deep specialist
Functional advice • Further qualifications and/or in-depth experience within area of specialty
• Application for functional improvement • Applies best practice
L 3
Strategic
Manage Function (Functional leadership)
• Developing functional strategy through multiple layers • Contribution to general management decisions • 3-5 yr functional plans translated into annual plans
T 3
Knowledge worker
Technical/professional advice
• Professional or technical qualification • Application for operational improvement • Organisational representative in field
L 2
Operational
Manage Managers (Results leadership)
• Managing more than one team and more than one level • Securing people and financial resources
• Coaching managers and technical specialists • Quarterly/annual plans
T 2
Skilled worker
Technical application
• Technical training to develop skills • Application for team improvement
• Keeps abreast of technical and technological developments L 1 Team Manage Others (Team-leadership) • Managing a team • Coaching
• Managing labour relations • Weekly/monthly planning
T 1
Operator/ Administrator
Task delivery
• Entry level skills required • Task completion
• Team player
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© Catalyst Consulting 2009
Performance and potential matrix
Performance
(Track record and behaviors)
Falls Short
Meets
Exceeds
Ready Later – coach and develop,
need intensive support
Ready now for additional responsibility
e.g. short term assignment
Ready now for new level job
Develop skills or identify mismatch for
release
Stretch and test e.g. projects / new
assignments
Ready now for bigger job
Correct or manage release
Maximise productivity and upgrade
skills or move
Retain, recognise and utilise as coaches
Underperformers:
Rigorous performance management required
High Flyers:
Focus on accelerated development
Key Players:
Focus on performance to ensure continued
value is added
Pot
ential
(Stretch
and
person
al
or
ientation)
D
ev
elop
&
Apply
C
ons
olidat
e
&
C
ontribute
M
ov
e
&
ret
ain
- 18 - © Catalyst Consulting 2009
Defining Potential
ABILITY
Mental/cognitive ability Emotional intelligence Technical/functional skills, Interpersonal skills, ability to stretch and progress quicklyTRACK RECORD
Consistent history of good to exceptional performance and
results Good relationships and reputation
BEHAVIOUR
Leadership behaviour Team player Relationship builder Contributor Values alignment Positive AttitudeASPIRATION
Desire for advancement, influence, financial rewards
Work-life balance Overall job satisfaction
ENGAGEMENT
Emotional commitment Rational commitment Intent to stayATTRIBUTES
Innate characteristics Energy, drive, passion Curiosity, willingness to learn &- 19 -
© Catalyst Consulting 2009
Portfolio of Evidence
Evidence
of
Performance
Evidence of Performance
RESULTS
quantity, quality, cost, service, surveys, deadlines, project delivery,
efficiencies, financial results (KPIs)
ABILITY
cognitive processing ability (CPP), emotional intelligence (EQi), technical
competence
ACCOMPLISHMENTS
awards, special achievements, going the extra mile, customer feedback,
management recognition, special assignments
ATTRIBUTES
energy, drive, positive attitude, passion, curiosity, fast learner, openness
to change, resilience, willing to go the extra mile
RELATIONSHIPS
relationships built and maintained, networks, conflict resolution, teamwork
LEADERSHIP COMPETENCIES
self-leadership, leadership of others, team player, relationship builder,
influencer, communicator, innovator, problem solver
PROJECT/TEAM CONTRIBUTION
ideas, commitment,
delivery, support, accountability, ownership
ASPIRATION
desire for advancement and financial rewards, ambition, sense of
purpose
CULTURE
leadership brand, RMB principles
ENGAGEMENT
intent to stay, discretionary effort, enthusiasm, loyalty, responsive to
change
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© Catalyst Consulting 2009
What is required for next level readiness
Competencies and proficiency levels
Technical Competencies
Research
Design
Planning
Maintenance
Process Mgt
Leadership & Personal
Competencies
Strategic Thinking
Communication
People Management
Performance Mgt
Resilience
Job Competency Profile
5
4
3
3
4
4
2
3
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© Catalyst Consulting
Competency Gap Analysis
Competency
HR Manager –
required
proficiency level
HR Manager-
actual
proficiency level
Gap for
development
HR Strategy
4 4 0HR legislation
5 4 1HR Policies & Procedures
5 3 2HR Measures
4 2 2Organisational Design - structure
3 2 1Organisational Development - culture
3 3 0Diagnostics – data, analysis, reporting
3 3 0Recruitment
4 4 0Performance
4 5 0Training and Development
3 4 0Talent Management
5 3 2HR information systems
3 2 1Employee relations
5 4 1Employee Wellness
3 3 0Consulting skills
4 4 0Project Management skills
4 3 1IDP
IDP
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© Catalyst Consulting 2009
Talent Action Plan
Individual
Action Item
By Who
By When
Stephanie Day
Coaching and stretch assignments to build readiness for
Senior Manager position or similar
John
30/6/12
General Items
Action Item
By Who
By When
Retention
Arrange market survey for all professional posts in Unit
and pay market allowance as applicable in terms of
Scarce Skills Policy.
Stephen
30/7/12
Resourcing
Build a graduate programme and pipeline for artisans and
engineers to ensure supply.
Jenny
30/10/12
Development
Source project mgt course for managers
Khosi
30/11/12
NB: give feedback to the candidates on the outcomes of the talent forum using the feedback guidelines.
Ensure all action plans are integrated into management agendas, actions and tracking processes
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© Catalyst Consulting 2009
Development options
Self-study
Formal
programmes
Group learning
Coaching
Action learning
Reflection
Internet
Discovery
Trial and error
Assessment
Soliciting feedback
eLearning
Business school
programme
Public courses
Seminars
Conferences
Company training
programmes
External supplier
programmes
Strategy sessions
Team development
Leadership
programmes with
peers
Networking forums
External coach
Coach
Manager
Peers
Setting goals, creating
learning opportunities,
sharing information,
experience and tools,
feedback
Special projects
Secondment
Job rotation
Acting role
Graduate
programmes
Leadership
assignments i.e..new
job, new locality, new
team
Exposure/visits
Delegating aspects of
next level role
Behaviour change =
lowest
Behaviour change =
low
Behaviour change =
medium
Behaviour change =
high
Behaviour change =
highest
- 24 - © Catalyst Consulting
Succession Plan
Position &
Incumbent
# of years in Position
Potential
Successors
Readiness
Comments
Deputy Head
Operations
Stephen Mhlangu
(3yrs)
Bheki Khumalo
Siya Makhaye
Stephen Mhlangu retiring in May 2007
Professional Engineer
Joe Dean
(18mnths)
Nondumiso Ntuli
Ravika Pillay
Ongoing coaching & development
underway
Rotational acting appointment
Finance Manager
Max Khumalo
(5 yrs.)
No successors internally
Successor/s identified – ready to be placed within 1 year Successor/s identified – ready to be placed within 1 – 2 years
- 25 -
© Catalyst Consulting 2007
Talent Attraction & Retention
Effective Leaders
Leadership style,
engagement, coaching,
growing
Challenging Jobs
Interesting, challenging jobs,
flexible options, space
creation
Motivating Rewards
Rewards that motivate,
recognition for value, special
initiatives for at risk people
in MCPs
Conducive Culture
Conducive environment for
learning, growth,
accountability, performance
management, teamwork
Respected
Organisation
Talent value proposition,
brand, image reputation as
employer
Retention
Drivers
Development
Self-study Coaching/mentoring Skills development Leadership DevelopmentApplied learning
New appointments Project roles Secondments/acting Space creation/VSPCareer Dev Plan ILP
Career and development discussions
Talent Management Framework
4
Measures Tools Accountabilities Build capacity ActionsRespected organisation
v
alue proposition, brand, image reputation as employerConducive culture
Conducive environment for learning, growth, accountability, performance mgt, teamwork
Challenging jobs
Interesting, challenging jobs, flexible options, space
creation
Effective leaders
Leadership style, engagement, coaching
Motivating rewards
Rewards that motivate, recognition for value
5
TM strategic overview
Career discussion
template
9 box matrix
Succession plan
Talent development
& action plans
Talent goals Monitor & report
Demand (positions)
ID mission critical positions ID scarce skillsSupply (people)
ID High potentials ID key players ID under-performers Succession Plan Except iona l (4) Full (3) Not yet full (1/2) Performance(Track record and behaviors)
Except iona l (4) Full (3) Not yet full (1/2) Performance
(Track record and behaviors)
2
7
6
Competency HR Mr Gr HR Strategy 5 5 0 HR legislat 5 4 1 HR Policies 5 3 2 HR Measure 5 2 3Competency
gap analysis
Leadership Technical Strategic T&D WSPStrategic
Value proposition Critical & scarce skill supply Future competencies Strategic sourcingOperational
Competency profiles Recruitment processes Induction processes Forum exposure Talent recruiting talent3
- 26 - Strategic Leadership Delivering Results Engagement & Dialogue Personal Effectiveness
Technical competency P ro fi c ie n c y l e v e l
Current & Future business
challenges
Organisation capability review
People capability review
Objectives, measures & principles
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© Catalyst Consulting
About Catalyst Consulting
Catalyst Consulting
is a specialised consulting and training business with extensive Southern African and international experience in the
design and implementation of organisation-wide strategic change and culture transformation journeys, leadership development, talent
management, coaching and mentoring, high performance teams and HR capability building.
Our passion
is enabling leaders and HR professionals in their quest to create high performance organisations in which people can grow
and contribute in meaningful ways to their full potential.
Our talent
is facilitating and stimulating people to shift mind-sets, change behaviours and develop skills for real sustainable results.
Our team
is experienced, creative and committed to help people address the challenges of the complex and dynamic work environment and
partner with clients to build capacity for long-term impact.
Our success
is based on rigorous project and change management, customised solutions, interactive, toolkit based learning and leaving a
legacy of confidence and competence.
Our team of experienced associates
bring with them, an integrated approach reflecting the realities of corporate life, organisational
politics and a deep understanding and experience of the complex pressures and dynamics facing leaders today. They also ensure impact and
sustainability through involvement and ownership of clients and participants and a strong change and project management approach to
