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Big Trends in Talent, HR
Measurement and BigData
The Convergence of HR Measurement and BigData is Here



Josh Bersin
President and CEO
March, 2012

Copyright © 2012 Bersin & Associates. All rights reserved.
Bersin & Associates
 Who We Are
•   Bersin & Associates is the leading global provider of best-practices,
    trends, and benchmarking research in talent management, learning,
    and strategic HR.
•   60% of the Fortune 100 are Bersin & Associates research
    members, with more than 17.5 million employees managed by HR
    teams using Bersin Research.
                                                                                                     Human
                                                                                                     Resources
 Broad Research Practices
     -   Human Resources
     -   Leadership Development                                                                      Leadership
     -   Learning & Development                                                                      Development
     -   Talent Acquisition
     -   Talent Management
                                                                                                     Learning &
                                                                                                     Development
 Offerings
•   WhatWorks® Membership: Research, Tools, Education,                                               Talent
    Consulting
                                                                                                     Acquisition
•   IMPACT: The industry’s premiere conference on the
    Business of Talent
•   BersinBasics®: Fundamentals of Talent Management for                                             Talent
    Business Professionals at All Levels                                                             Management




                                                                        Copyright © 2012 Bersin & Associates. All rights reserved.   Page 2
Research for this Presentation

 2012 Corporate Learning
  Factbook®

 2012 High-Impact Learning
  Organization®
  (Not yet released)

 The Training Measurement
  Book




                              Copyright © 2012 Bersin & Associates. All rights reserved.   Page 3
Agenda

   Today’s business priorities
   The state of learning measurement
   Challenges we face
   The BigData Opportunity
   Developing a Talent Analytics Function




                                  Copyright © 2012 Bersin & Associates. All rights reserved.   Page 4
2012 Business Environment
Globalization, Innovation, Cost Containment


              What Are Your Organization’s Top Business Challenges for 2012?

              Reduce Operating Expenses

                     35% of organizations see the need to
              Expansion into New Markets
                                                                                                            +60% Increase


                    accelerate growth and globalize – +10% Increase
     Launch new Products and Services
                                                        the
                       highest level in four years…. yet…
            Need to Accelerate Innovation

                Change Business Strategy


                       51% struggle to hire the right talent,
                    Acquisitions or Mergers


                                 despite high unemployment…
                New top management team

                            Global expansion                                                                +70% Increase

                                                 0%   5%   10%   15%   20%      25%      30%      35%      40%      45%
 © Bersin & Associates, Corporate TalentWatch®
 Research, Senior HR and Business Executives,                                   ■ Dec. 2011               ■   May 2011
 1/2010




                                                                   Copyright © 2012 Bersin & Associates. All rights reserved.   Page 5
Global Talent Deficit                                                        India Graduates Millions, but
                                                                             Too Few Are Fit to Hire
                                                                             75% of technical graduates and 85%
    The Cultural Revolution                                                  of general graduates in India are
      created a “missing                                                     unemployable by India’s high-growth
 generation” of talent between                                               industries, including IT and call
 40-55, so expatriates fill most                                             centers.
         jobs at the top


                                           Regional Leadership

  Young workers flooding the
  marketplace, yet most have                                                 BofA’s retail wealth management
     inferior preparation,                 Country Leadership
                                                                             arm, Merrill Lynch, plans to hire
 language skills, and technical                                              2,400 trainees in 2011, a 50 percent
             skills.                                                         increase over last year.
                                           Middle Management



                                                   Entry Level
                                                                             “We are entering the era of
                                   China                                     unparalleled talent scarcity, which
                                                                             will put a brake on economic growth
                                                                             around the world, and will
                                                                             fundamentally change the way
                                                                             we approach workforce challenges.”




                                                   Copyright © 2012 Bersin & Associates. All rights reserved.   Page 6
The Ill-Prepared Workforce
 Only 32% of college graduates
  have “excellent” skills to enter
  the workforce
 Only 16% of high school
  graduates have such skills.
  Missing are:
    •   Professionalism/work ethic

    •   Creativity and Innovation

    •   Lifelong learning/self-direction

    •   Critical thinking/problem solving

 Only 18% of workforce training
  programs raise skills from
  “deficient” to “adequate”



                                            Copyright © 2012 Bersin & Associates. All rights reserved.   Page 7
Increasing Specialization
 Expertise drives competitive
                                                                Top
  advantage                                                  Management

 Specialization improves                                         Senior
  quality and reduces cost                                      Management
                                                     The
 Deep skills developed                            Experts              Middle
                                                                      Management
  through “deliberate practice”
  and reinforcement                           Senior Specialists
                                                                            First Line
                                                                           Management
 Deep skills come from a range
                                            Functional Specialists / Front-Line Employees
  of developmental experiences
 We need career development               Back Office, Operational, Contingent Employees
  in all critical job roles


                  High Performing Organizations Understand This




                                             Copyright © 2012 Bersin & Associates. All rights reserved.   Page 8
Talent Development:
A Large and Growing Investment
                                                                            US Corporate Training
                                                                             Spending: $67 Billion
                                                                            Worldwide: $145 Billion




Source: 2012 Bersin & Associates Corporate Learning Factbook®




                                                                Copyright © 2012 Bersin & Associates. All rights reserved.   Page 9
Agenda

   Today’s business priorities
   The state of learning measurement
   Challenges we face
   The BigData Opportunity
   Developing a Talent Analytics Function




                                  Copyright © 2012 Bersin & Associates. All rights reserved.   Page 10
Talent Development Takes Place
Everywhere
                                                                                          Customer
                                                               Executive                  Education
                                                               Education
                Operational
                 Training           Leadership
                   (Process,       Development
Onboarding        Procedures,
                                    (Mid-level and Senior                              Sales
                   Systems)
 New Hire
                                  Leadership Development)                             Training
 Training                                                   Development
                                                             Planning
                                                                                          Channel
             Functional &       Management &                                              Training
    New       Technical          Supervisory
               Training              Training
                                                          Career
  Product                                              Development,
  Training                                              Coaching                      On-the
                                                                                       Job
                                       Re-skilling
                                       Retraining                                     Support


                                                  Copyright © 2012 Bersin & Associates. All rights reserved.   Page 11
Two Types of Learning Programs
                        Performance-Driven                                          Talent-Driven
                             Learning                                                 Learning
Business Drivers   Business performance in operational                Talent and leadership gaps, skills shortages,
                   functions and roles                                engagement, and culture
Goal               Develop individual capabilities and fill           Develop organizational capabilities driven
                   performance gaps                                   by competency, not performance
Examples           Sales training, customer service, field            Leadership development, onboarding,
                   service certification                              career development, career transition
Program            By job within a function                           For all or many jobs within a function
Organization
Timeline           Months or shorter                                  Quarter or Years

Complexity         Functional or Departmental                         Enterprise-wide

Integrated With    Product rollout, new service launches,             Performance management, succession
                   geographic expansion                               management
Challenges         Performance consulting, program design,            Resource allocation, patience, job
                   manager engagement                                 alignment, HR generalist support
How to measure     Business measures: sales, quality,                 Engagement, retention, employee
success            customer satisfaction, cost reduction,             performance, talent mobility and agility
                   speed of response




                                                              Copyright © 2012 Bersin & Associates. All rights reserved.   Page 12
Today’s Continuous Learning Model

Expert                           Continuous Learning
                              Career       Communities
                            Curriculum      of Practice                   Social
                Coaching                                                Networking
                Mentoring


         E-learning                                                              Mobile
          courses                                                               Learning
                      Training
                       Event
         Job
         Aids


Novice                            Traditional Training
                                   Time

                                          Copyright © 2012 Bersin & Associates. All rights reserved.   Page 13
Bersin & Associates Enterprise Learning Framework®

                                                                           Leadership            Career                                Customer        Project and    Customer
                                           Learning                       Development          Development
                                                                                                                    Onboarding
                                                                                                                                        Service          Process      Education       Systems

                                                                                                                                                                       Channel
                                           Programs
Organization, Governance, and Management
                                                                                                Technical                                               Product
                                                                          Management                                Compliance           Sales                         Training        IT Skills
                                                                                               Professional                                            Knowledge

                                           Audiences &             Jobs       Roles     Competencies     Proficiencies     Preferences         Demographics    Geographies    Business Problems
                                           Environment

                                                                                                                                    Informal




                                                                                                                                                                                                   Learning Architecture
                                           Approaches




                                                          Formal                        On-Demand                                     Social                         Embedded
                                                        Instructor Led Training                 E-Learning                         Wikis, Blogs, Forums                Performance Support
                                                          Virtual Classroom                       Search                            Expert Directories                       Feedback
                                                                Games                         Books, Articles                        Social Networks                  Rotational Assignments
                                                              Simulations                         Videos                          Communities of Practice              After Action Reviews
                                                         Testing & Evaluation                    Podcasts                        Conferences &Colloquium                  Quality Circles
                                                              E-Learning                Learning/Knowledge Portals                 Coaching & Mentoring               Development Planning




                                                                               Performance           Information                   Content                Change               Measurement &
                                                                                Consulting           Architecture                Development             Management               Evaluation
                                           Disciplines                         Instructional         Knowledge                    Program                Community                Business
                                                                                 Designs             Management                  Management              Management              Intelligence


                                           Tools &                            LMS, LCMS
                                                                            Learning Portals
                                                                                                     Content
                                                                                                   Development
                                                                                                                      Collaboration
                                                                                                                                          Rich
                                                                                                                                          Media
                                                                                                                                                    Assessment Performance
                                                                                                                                                                 Support
                                                                                                                                                                                  Reporting and
                                                                                                                                                                                    Analytics
                                                                              Talent Mgt.            Content             Social                       Search,     Virtual         Measurement
                                           Technology                          Systems             Management          Networking
                                                                                                                                         Mobile
                                                                                                                                                     Tagging    Classroom           Sustems

                                                                                 Executive           Development             Performance and              Innovation                Employee
                                                                                  Support              Planning             Talent Management              Programs                 Feedback
                                           Culture                         Learning integrated        Knowledge                   Customer               Mentoring and            Learning from
                                                                          With Business Planning       Sharing                    Listening            Knowledge Sharing            Mistakes




                                                                                                                                    Copyright © 2012 Bersin & Associates. All rights reserved.                             Page 14
Impact Measurement Framework                                                                                                      ®


© Bersin & Associates – Adapted for Informal Learning Environments

1
                          Satisfaction                                          2                  Learning
3                              4                              5                           6                         7
        Adoption                     Utility                    Efficiency                Alignment                  Attainment

         Did you reach the        How well do programs            How efficient and          How well were              How well did you
         desired audience?        solve the workforce’s              cost-effective        program business             meet specifically
        Did they complete or       particular problems?          How did it compare        priorities defined?            defined client
                                    How well did it align
        comply as desired?                                    to other similar programs   How well did business          (business user
                                to the specific job-related
        Who did not comply                                    or competitive programs?     units buy off on the     or customer) objectives?
                                  problems and issues?
              and why?         Would learners recommend           How well did it use     value of this program           These may be
                               this program to their peers?         learner’s time?             relative to             revenue, time to
                                                                                           other investments?         market, compliance,
                                                                                                                     time to complete, etc.

10                        Contribution                                  11                         Feedback

12                                                                Activity

    8       Individual Performance                                       9 Organizational Performance



                                                                                  Copyright © 2012 Bersin & Associates. All rights reserved.   Page 15
GE: Impact Measurement at Work
                                                                                                                                   Satisfaction
                                                                                                               Survey Satisfaction     with     Satisfaction
                                                                                              Total   Survey Response     with     content and      with                               Individual
               Name                            Date             Format       Platform       Attended Responses  Rate   Speaker(s)    delivery    Logistics Learning Utility Alignment Performance

                                                                            Corporate
      Dollarization - Aircraft              1/ 12/ 2009        Classroom     Finance           17        4       24%        75%        63%         n/ a       n/ a   75%      n/ a       n/ a
  Charlevoix Sales Leader Training
       including Dollarization          4/ 6/ 2009-4/ 9/ 2009 Classroom       Canada           43       17       40%        n/ a       76%         n/ a       n/ a   84%      n/ a       n/ a

     Customer Focused Selling             7/ 8/ 09-7/ 9/ 09    Classroom      Capital          11        5       45%       100%        100%       100%      100%     92%      90%       100%

      Sales Presentation Skills         7/ 27/ 09 - 7/ 28/ 09 Classroom        Fleet           10        2       20%       100%        100%       100%      100%     100%    100%        75%


Financial Statement Analysis - Fleet     7/ 29/ 09-7/ 30/ 09   Classroom      Fleet            11        5       45%        20%        20%         60%       45%     44%      50%        35%
           Socratic Selling              8/ 10/ 09-8/ 11/ 09   Classroom   MX + LATAM          9         0        0%        n/ a       n/ a         n/ a      n/ a    n/ a    n/ a       n/ a
                                                                            Corporate
          Results Coaching                  8/ 25/ 2009        Classroom     Finance           8         4       50%        95%        100%        50%       81%     95%     100%        88%
                                                                            Corporate
      Potter Third Level Selling        8/ 25/ 09 - 8/ 26/ 09 Classroom      Finance           17        9       53%        91%        72%         78%       78%     84%      83%        78%

                                                                            Corporate
          Results Coaching                   9/ 1/ 2009        Classroom     Finance           11        6       55%        83%        75%         50%       67%     77%      92%        67%

     Customer Focused Selling             9/ 1/ 09-9/ 2/ 09    Classroom   MX + LATAM          13        4       31%       100%        100%       100%       94%     100%    100%        94%

                                                                         Equity/ BLG/ Cor
      Potter Third Level Selling         9/ 1/ 09 - 9/ 2/ 09   Classroom porate Finance        22       10       45%        95%        100%       90%        93%     92%      90%        85%
 Situational Sales Negotiation Skills    9/ 8/ 09 - 9/ 9/ 09   Classroom     LATAM             15        5       33%       100%        100%       100%       95%     100%    100%        90%

Precall Planning Workshop w/ Jeff Fox       9/ 17/ 2009        Classroom     Canada            47       28       60%                   43%                           57%
             Dollarization                  9/ 22/ 2009        Classroom   MX + LATAM          23        8       35%        94%        81%         88%       81%     80%      88%        91%
                                                                            Corporate
        Mindset of the CEO              9/ 22/ 09 - 9/ 23/ 09 Classroom      Finance           30        8       27%        94%        81%         88%       78%     88%      88%        81%


                                                                                                                         Rating Scale:
                                                                                                                         High Performing = >80%
                                                                                                                         Average Performing = 50-79%
                                                                                                                         Low Performing = <49%

                                                                                                                Copyright © 2012 Bersin & Associates. All rights reserved.           Page 16
Impact is Defined by the Problem




                   Copyright © 2012 Bersin & Associates. All rights reserved.   Page 17
Organizations Measure what Matters
                      High-Impact HR Organization Research

                           Transformational
                                / Innovation                                                                                            Legend
                                                                                         3. LD via        7.Strategic
                                                                                         Simulations/Non- Sourcing &
HR Program Impact Driver




                                                                                         exempt P4P       Web 2.0               1.   Aramark
                                                                                                                                2.   BCBS of MA
                                                          2. WFP, Acquire   5. WFP /
                                  Strategic                                               1. LD KSAs;                           3.   Convergys
                                                          / Grow Critical   Analytics     Measurement        7. L&D
                                                          Talent                                                                4.   Honeywell
                                                                                                                                5.   Lubrizol
                                                          8. LD, PM,                    9. Targeted                             6.   Lyondell
                                                          Engagement                    TA & LD                                 7.   Novo Nordisk
                                                                                                            7. Data             8.   Spherion
                             Effectiveness     6. Management                                                Warehousing         9.   The Shaw Group
                                               Communications /                                             & Reporting
                                               Development

                                                     4. HR Restructure /
                                                                                                                               Segmented planning,
                                                     Shared Services                                                           acquisition & growth for critical
                                Efficiency           Model/ Self Service                                                       talent; driving effective leaders
                                                                                                                               & performance; and building
                                                                                                                               measurement platforms are
                                                                                                                               key priorities for organizations
                                                                                                                               across business condition
                               Major Cost                                                                                      scenarios
                               Reduction
                                               Distress      Below           Stable            Some                 High
                                                             Expectations                      Growth               Growth

                                                                  Business Conditions
                                                                                          Copyright © 2012 Bersin & Associates. All rights reserved.   Page 18
L&D Measurement Maturity Model
Building a High-Impact Learning Organization®

                                                                                             •
                                                           Integrated                        •
                                                                                                 Learning and talent practices integrated
                                                                                                 Segmentation and critical talent needs clear
                                                           Talent                            •   Executive support on an ongoing basis
                                                                                             •   Talent and leadership measures adopted
                                                           Strategies                        •   Talent segmentation, risk, predictive



                                           Business                       •   Learning and expertise a business measure
                                                                          •   Strong business leader support for L&D
 Business Alignment




                                           Integrated                     •   LMS evolved into total learning environment
                                                                          •   Performance consulting well developed
                                           L&D Function                   •   Measure against the business plan


                                                      •   Learning governance, Federated Model
                             Enterprise               •   Standard procedures, processes, tools
                                                      •   Enterprise learning plan
                             Learning                 •   Enterprise learning architecture
                             Strategy                 •
                                                      •
                                                          Programs aligned to key business initiatives
                                                          Consistent measurement program


                      Improve        •   Shared learning technology infrastructure
                                     •   Measure basics (level 1, utilization)
                      Efficiency &   •   Eliminate/reduce redundancy
                                     •   Consolidate vendor contracts
                      Utilization    •   Measure delivery efficiency and effectiveness



                                          HR and Talent Management Integration

                                                                      Copyright © 2012 Bersin & Associates. All rights reserved.       Page 19
Talent Management Roadmap
                                                                                                                 Recognized for developing
Leadership                                                                       Individual Development          best-in-class leadership                 Vision
                                                                                 Plans institutionalized
Development                               Leadership assessments                                                                                          Desired Future State
                                          and curriculum in                      for EMT & SLT
                                          place for senior
                                          and mid-level leadership
        Leadership competency
        framework defined                                                       Training opportunities                                                           Fully integrated and aligned
                                                                                reviewed and executed                    Viewed as                               HR function drives and
        and communicated
                                                                                against on a regular basis               destination employer                    supports business strategy
                                                                                                                         in primary markets
                                              Manager curriculum
                                              enhancements finalized                                                                   Recognized as a                   Wave 4:
              Robust Individual                                                                                                        high performance,                 Long-Term
              Development Plans in                                                                                                     results-oriented
                                                                                         Continual improvement                                                           2009+
              place for 100% of staff                                                                                                  organization Career Paths
                                                                                         against TA metrics, including
                                                                                         offer-to-accept ratio                                        developed for
Employee and                                                                                                                                          all business areas
Manager
Development                                                    Talent Acquisition                              Cross-evaluations
                                                               metrics defined                                 reinstituted
                                                                                                                                      Create and implement                Wave 3:
                                                               and implemented
                                                                                                                                      job rotation program
                           Employment Value                                                                                                                               Mid-term
                                                                                                                                      (to include cross
                           Proposition (EVP)                                                                                          business-area rotations)            < Dec 2008
                           defined and communicated
                                                                                    All managers                                                    HR processes consistently
                                                                                    complete training                                               executed across business
                           Talent Acquisition functional                            on delivering effective                                         areas with 100% compliance
                           analysis completed                                       performance discussions

Talent                                                                                                              Talent Review objectives                              Wave 2:
                                                                                                                    and desired outcomes                                  Short-term
Acquisition
                                                                                                                    re-communicated to
                                                                                                                                                                          < June 2008
                                                   Process defined to tightly                                       BUs and HR community
                                                   link organization,
                                                                                                                                                    HR service level
                                                   BU and individual goals             Gather structured                                            agreements defined
                                                                                       input from talent
                                                                                       review executors and participants
                                                                                                                                                                          Wave 1:
Current State                                    Performance                                      Succession                                    HR Service                Near-term:
                                                 Management                                       Planning                                      Delivery Model            < Dec 2007




                                                                                                        Copyright © 2012 Bersin & Associates. All rights reserved.                     Page 20
Agenda

   Today’s business priorities
   The state of learning measurement
   Challenges we face
   The BigData Opportunity
   Developing a Talent Analytics Function




                                  Copyright © 2012 Bersin & Associates. All rights reserved.   Page 21
Learning Impact Measurement:
      The #1 Challenge Facing L&D
                                      What is Your Greatest Challenge In L&D?

           Improve ability to evaluate impact                                                                                37%


                    Improve business alignment                                                                       35%


                         Gain additional resources                                                     28%


           Integrate with Talent Management                                                        26%


       Improve Informal Learning methods                                                        25%


        Implement LMS or other technology                                                 22%

                                                     0%   5%   10%      15%       20%        25%       30%        35%         40%
Source: Bersin & Associates 2012
High-Impact Learning Organization® (HILO)



                                                                Copyright © 2012 Bersin & Associates. All rights reserved.    Page 22
Talent Development is Not Measured
                            What does your organization rigorously measure?
             Employee sat/engagement                                                                          63%

                       Performance ratings                                                     52%

                         Retention, turnover                                             48%

               HIPOs and HIPO pipeline                                               45%

       % of employees w devt. Plans                                       37%

                            Readiness for job                     31%

                        Internal hire percent                   30%

               Diversity of the workforce                   27%

                            Level of expertise              27%


Source: Bersin & Associates 2012
High-Impact Learning Organization® (HILO)



                                                      Copyright © 2012 Bersin & Associates. All rights reserved.   Page 23
Learning Technology Strategy

            Many Organizations Do Not have a Learning
                        Technology Plan
50%
                                 46%
45%

40%

35%
                                                          30%
30%

25%

20%
                                                                                             16%
15%

10%         9%
5%

0%

 Clear with Mature Roadmap
                     Developing with some Maturity     Starting                             None




                                                Copyright © 2012 Bersin & Associates. All rights reserved.   Page 24
Weakness in HR Systems Solutions
 How would you rate your LMS’s ability to obtain the information you
  need to measure training programs?
3% Excellent   17% Good                63% Fair or Poor

 How would you rate your Talent Management system’s ability to
  deliver the talent measures you need?

2% Excellent   17% Good                72% Fair or Poor

 How would you rate your HRIS systems ability to deliver the
  measures you need?

1% Excellent   14% Good                82% Fair or Poor




                                      Copyright © 2012 Bersin & Associates. All rights reserved.   Page 25
Lack of L&D Business Plans
                 Do you have a business plan for L&D which specifies budgets and targets?


                                                                                              Fewer than half of
                                                                 Yes, 40%                   L&D organizations have
                                                                                            a written business plan




                                Not sure, 6%




                                                                            No, 54%

© Bersin & Associates, High Impact Learning Organizatino® 2012




                                                                       Copyright © 2012 Bersin & Associates. All rights reserved.   Page 26
State of HR and L&D Measurement
                     Only 13% of Organizations Have Strong Measurement Support in Place



                                            Strong belief in
                                           measurement with               Strong belief in
                                            resources and               measurement but not
                                               executive              enough resources, 37.7%
                                            support, 10.4%


                         World class program
                        for measuring learning
                            and talent, 2.8%


                                    No real plan for learning
                                           and talent
                                     measurement, 12.3%                                              The biggest factor
                                                                                                      which drives this
                                                                Belief in measurement                 is “do you have a
                                                                     but no plan in                 written business plan
                                                                     place, 36.8%                        for learning”.
                                                                                                     26% vs. 5% strong.
© Bersin & Associates
290 Organizations, February, 2011




                                                                   Copyright © 2012 Bersin & Associates. All rights reserved.   Page 27
Our HILO Research Shows:
Three Things Matter


                     Business and Organizational Impact



                         Program (solution) Effectiveness



             Alignment                                        Efficiency

        How well you align investments,               How well you design, build, deliver,
         programs, people, and focus                 and manage L&D programs so they
      toward the organization’s strategic,          reach the audience in an effective way
        current, local, and urgent needs                    for the minimum cost




                                             Copyright © 2012 Bersin & Associates. All rights reserved.   Page 28
The Trap of Measuring ROI
 Companies that try to measure and promote the
  ROI of their L&D investments do themselves a
  great disservice
 The concept of “ROI” assumes that the spending
  is a discretionary investment which will directly
  pay for itself in a few years
 By promoting ROI measurement you vastly
  under-represent the value of training
 Highly aligned organizations only measure ROI
  occasionally, and only to help them improve
  particular program elements
 Has anyone ever asked you to compute the ROI
  of your email system?



                                       Copyright © 2012 Bersin & Associates. All rights reserved.   Page 29
Agenda

   Today’s business priorities
   The state of learning measurement
   Challenges we face
   The BigData Opportunity
   Developing a Talent Analytics Function




                                  Copyright © 2012 Bersin & Associates. All rights reserved.   Page 30
BigData in US Business
                                     14 Exabytes of Data in US
  6 billion photos uploaded to       Corporations (1 Exabyte is
  Facebook every month               40,000X the library of congress)

                                 YouTube uploads more content
                                 each day than all networks combined

                 We are at an inflexion point:
                         Organizations
US Businesses will be short
140,000-190,000 analytic positions
          whichyears to leverage big data will far
in the next three
                  learn
                                   1.5 million more data-savvy
                 outperform those who do needed to leverage
                                   managers not.
                                          big
                                  - McKinsey     data in the United States



                                        Copyright © 2012 Bersin & Associates. All rights reserved.   Page 31
BigData




          Copyright © 2012 Bersin & Associates. All rights reserved.   Page 32
Data Analysis Skills Important to HR
 Top HR Skills | Capabilities                                                    Correlation
 Business Partner relationship management                                                 .52

 Managing and leading people                                                              .51

 Coaching and Mentoring                                                                   .49

 Change management and communications                                                     .48

 Analyzing and interpreting data                                                          .47

 Knowledge Sharing and expertise directories                                              .47

 Managing your Personal Development                                                       .45

 Top Organizational | Managerial Capabilities
 Developing a high performance culture                                                    .77

 Developing a strong learning culture                                                     .77

 Developing strong talent segmentation                                                    .74

 Developing high levels of career development and mobility                                .73

 Attracting and selecting the right talent                                                .64

 Measuring business impact of HR                                                          .64

 Developing high levels of engagement                                                     .54

 Giving people honest feedback                                                            .49

                                                    Copyright © 2012 Bersin & Associates. All rights reserved.   Page 33
HR Organizations are Not Ready
        What percentage of HR
        organizations do you believe
        feel have strong skills in data
        analysis and interpretation?


          6% Rate themselves “High”
           56% - “Poor”
Bersin & Associates
High-Impact HR Organization® 2011
and 2010, n=741 organizations



                                     Copyright © 2012 Bersin & Associates. All rights reserved.   Page 34
The Lowest Rated HR Skill
                                    Relative Strengths of HR Skills and Capabilities
                           Attracting and selecting the right talent                                                            17%
                                     Promoting health and wellness                                                      15%
                                             Onboarding new talent                          7%
                                     Fairly allocating compensation                     6%
                               Understanding skills needed by role               4%
                       Encouraging innovation and collaboration         1%
                               Creating a high-performance culture      -4%                  Measurement, analytics, and
                                    Enabling a learning organization    -5%                  segmentation are the lowest
                                                                                               rated skills in HR teams
                        Identifying and developing future leaders       -6%                              today
                                            Driving internal mobility   -11%
               Developing workforce analytics for management            -12%
                              Measuring HR program effectiveness        -18%


Bersin & Associates
High-Impact HR Organization® 2011
and 2010, n=741 organizations



                                                                        Copyright © 2012 Bersin & Associates. All rights reserved.   Page 35
And this is true throughout business…




                     Copyright © 2012 Bersin & Associates. All rights reserved.   Page 36
BigData Working Group




                 Copyright © 2012 Bersin & Associates. All rights reserved.   Page 37
Talent Analytics Maturity Model (beta)
    Where do you think you are?



                 Level                            Focus of measurement at that level                       Requirements to Succeed


                                   Predictions of future problems, ways to use data to improve hiring,     3-5 Years of experience
                                                                                                           in levels 1-3
                                   promotion, leadership, performance, new insights into drivers of
                                                                                                           Senior analytics expertise
4    Predictive Analytics          value and performance
                                                                                                           Integrated data warehouse
                                                                                                           or analytics server
                                   Measures which help “transform the business”                            Advanced dashboards



                                   Core vs. context measures, strategic talent pools, HIPO analysis,   Direct involvement of line
     Segmentation &                                                                                    Execs and TM leaders
                                   executive and leadership investments
3                                                                                                      Strategic alignment with
     Strategic Measurement                                                                             Business goals
                                   Measures which tell “where we can dramatically improve the business”Analytics expertise



                                   Revenue, engagement, turnover, risk of loss, actual skills, mobility,   Dashboards
     Operational Measurement for   HR efficiency per headcount, L&D efficiency per headcount,              Analytics tools
2                                                                                                          Business leader support
     Benchmarking & Improvement
                                   Measures which tell “how we compare and can improve”                    Governance and feedback



                                   Training hours, completions, time to hire, cost to hire,
                                                                                                           HRMS integration
                                   depth of leadership pipeline, demographics, tenure, certification
     Operational Measurement for                                                                           Data consistency
1                                  levels, Compa ratios, performance distribution, etc.
                                                                                                           Reporting tools
     Efficiency & Compliance                                                                               Strong data management
                                   Measures which tell “how we are allocating resources today”




                                                                Copyright © 2012 Bersin & Associates. All rights reserved.    Page 38
People-Measurement Business Solutions

 Major Retailer developed integrated “people model” to correlate
  relationship between engagement, rewards, leadership
  capabilities, tenure, skills and revenue.

 Major Insurance Company statistically validated 30+ factors in
  recruiting which led to 20%+ improvement in sales performance and
  completely revamped recruiting process

 Major Food Service Company identified key drivers of account
  renewal and upgrade and developed statistically valid measures which
  have been used to create company-wide dashboard which measure
  risk on a weekly basis

 Major Retail Bank correlated dozens of workforce measures against
  engagement and branch financials to develop risk management
  dashboard for small and large branches


                                          Copyright © 2012 Bersin & Associates. All rights reserved.   Page 39
TALENT MANAGEMENT SCORECARD (Q2 2011)
  1                   Diversity Representation
                                                                     2                    Pipeline Readiness
                                                                                                                                           3               Manager Effectiveness Index
                          (As of 6/17/2011)                                    (2010 Succession Planning: VPs and Above)
      100%                                                           100%                                                                      VPs/Equivalent by Title                  2.7
       90%                                                            80%
       80%
       70%                                                            60%                                                                              SVP and above                    2.7
       60%                                   TBS-Non-Minority         40%
       50%                                                            20%
       40%
       30%                                                             0%                                                                            Mgr/Equiv by Title                             3.0
       20%                                   TBS-Minority
       10%                                                                     Ready Ready in Ready in Ready in Ready in Ready in Too
        0%                                                                                                                                     Dirs/Equivalent by Title                             3.2
                                                                                Now     6       12       18      2 years 3 years New To
                                             DiversityInc-                           months months months                        Rate or
                                             Minority                                                                             N/A                                      0.0   1.0   2.0    3.0         4.0    5.0
                                             DiversityInc-Non-
                                             Minority
                                                                            Too New To Rate    Under-Performing     Well-Placed                                  Average of EE Engagement, Perf.
                                                                                                                                                           Ratings, Promos Out of Hierarchy, and Num. of
                                   Percentages may not add to 100%          Growth Potential   Highly Promotable
                                   due to rounding                                                                                                                         Terminations


  4           Gender/Ethnicity Representation in LDPs                5          Executive Leadership Development
                                                                                                                                           6         1st Qtr 2011 - Training Expense per FTE
                            (YTD 2011)
                                                                                            Outcomes
  100%                            100%                                                                                                         200
                                   90%
                                                                                           (YTD 2011)
   90%
                                                                                                                                               150
   80%                             80%                                                                    New
                      51%                                                                            Promotion                                 100
                                   70%             66%                                                  Position
   70%                                                                                                  20%
                                   60%                                                                    4%                                    50
   60%                                                                                                             Suspensio
                                   50%                                                                                                           0
   50%                             40%                                                                                 n
   40%                                                    1%                                                          1%
                                   30%             8%
   30%                             20%                                               No
                      49%                          18%
   20%                             10%                                             Change                          Job Title
                                    0%             6%                               74%
   10%                                                                                                             Change
    0%                                                                                                               1%
                                     ASIAN    BLACK      HISPA
             Female    Male          PACIF    WHITE                                                                                                      Dollars per FTE           ASTD/Bersin Benchmark


  7                                                                  1.     Disparity in minority population amongst leadership; non-managers and other positions split approximately
                                                                            50/50
                                                                     2.     On average, over half of VP+ talent assessed during 2010’s Succession Planning process are ready to
                                                                            assume a new role within the next 12 months
                                                                     3.     Manager effectiveness: SVP & above below current 3.0 average- most likely due to rating scale difference
                                                                            (VPs and above receive either a 1, 2, or 3 numeric rating value whereas ratings for Directors and below can
                                                                            include a decimal value)
                                                                     4.     Males/females represented almost equally in leadership development programs, however, non-minorities
                                                                            still represent more than half of 2011 YTD participants
                                                                     5.     The majority of leadership development program participants experienced no change in job role after
                                                                            participating in one or more programs
                                                                     6.     Turner overall has spent less on training per employee during Q1 as compared to the ASTD/Bersin
                                                                            combined average benchmark (average $81.94/employee across Turner vs. $147/employee)
                                                                     7.     Turner is currently spending .02% of its YTD profit on learning & development; the ASTD benchmark is
                                                                            approximately .4% of quarterly profits

                                                                                                                   Copyright © 2012 Bersin & Associates. All rights reserved.                                   Page 40
Retailer
TEAM SKILLS & COMPETENCIES: AN EVOLUTION…

                                                        2007 - 2008
        Solid Understanding of HR; I/O Psychology Degree;
                                                                         Strong Communication & Interpersonal Skills;
                   Employee Research Background;
                                                                             Detail Oriented ; Project Management
        Qualitative Research Design & Analysis; HRIS; SPSS




                                                        2009 - 2010
        Business Acumen; HR, Finance, Economics Degree;                        Consulting & Presentation Skills;
             Quantitative Research Design & Analysis                        Analytical Curiosity; Problem Solving;
        Passion for Data & Analytics; Strong Technical skills             Collaborative; Teamwork; Networking Skills




                                                        2011 - 2012
                                                                                          Critical Thinking;
   Advanced Statistics & Social Research Acumen; Engineering Degree;
                                                                                 Story Telling; Data Visualization;
    Customer Research Background; Statistics & Data Mining Expertise
                                                                             Ability to see data, and decipher insights




                                                                       Copyright © 2012 Bersin & Associates. All rights reserved.   Page 41
Retailer



  Organization: 2011 - 2012
                                   VP Human Capital
                                       Analytics




     Director                                            Director
                                                        Workforce                     Manager HR Brand
Org Diagnostics &
                                                        Analytics &                       Content
     Design
                                                         Research


            (2)        Manager              Manager                      Manager                    Business
      Sr. Consultant   Workforce            Employee                     Learning                   Operations
           ODD         Analytics            Research                     Analytics                  Specialist



    Program Manager                                                              Consultant
                             (2)             Analyst Employee
                                                                                  Learning
                       Sr. WFA Analyst           Research
                                                                                Measurement


                                                                                 Analyst
                                                                            Learning Analytics



                                                      Copyright © 2012 Bersin & Associates. All rights reserved.   Page 42
Retailer


COLLABORATION IS KEY…
  Going Beyond the Org Chart

  INTERNAL PARTNERS          EXTERNAL PARTNERS                                             TOOLS, TECH, METHODS

                                      Mayflower                             Statistics &
Consumer                                                                                       Data Sources         Data Viz
                Legal                  Group                                Data Mining
Research
                                      Networks &
 HRIS           FP&A                  Affiliations                             SAS             People Soft HR     MicroStrategy

                                      Vendor
   IT            LP                Relationships                               KXEN            PeopleSoft FIN    Best Practices

                                                                                                                   Xcelsius
 Safety      Labor Mgmt.     CURRENT CUSTOMERS                                 SPSS              Teradata
                                                                                                                  Dashboards

               Biz Intel    Human                                                                 Kronos          Story Telling
                                                     Business
                           Resources

                            HRVP’S             Sr. Executives                                     Kenexa


                             L&D                 Corp Areas                                       Surveys


                            HRBP’S                    Stores


                           Field HR                   DC’s




                                                                Copyright © 2012 Bersin & Associates. All rights reserved.     Page 43
Retailer
OUR ANALYTICAL JOURNEY…
         Employee       Employee
 2008   Engagement
          Model
                       Segmentation
                           LVI
                                                    Learning




 2009    Diversity &
          Inclusion
                        Leadership




         Learning &     Employee
 2010   Professional
        Development
                        Lifecycle
                        Research
                                                     HR
                                                  Scorecards
                                                                                Reactive
                                                                                Analytics



                                                    Human
         Company        Employee                                               Proactive &
 2011      Health
         Pentagram
                        Research
                         Cohorts
                                                    Capital
                                                   Executive
                                                   Dashboard
                                                                               Exploratory
                                                                                Analytics



         Enterprise
 2012   Measures of
          Success
                          Talent
                                                    Change
                                                    Adoption
                                                                                Predictive
                                                                                Analytics

                                                                                                44

                                   Copyright © 2012 Bersin & Associates. All rights reserved.   Page 44
Insurance
                                                                          Company
Belief Centric Measurement


        Beliefs



                                                               Measures
                  Behaviors
                                                               & Metrics




      Outcomes                        Results




                       Copyright © 2012 Bersin & Associates. All rights reserved.   Page 45
Talent Analytics
Framework for Action
                                                      Deliver simple dashboards for action
                                                      Embed analytics in business reviews
                 4. Results                             Test and iterate again to Stage 2
                                                     Train HR generalists and management



                               Validate data carefully
                            Test findings with leadership
           3. Insights      Socialize findings for action                                          Typically a
                           Develop actionable dashboards                                             3-5 year
                               Iterate back to stage 2                                           program which
                                                                                                 becomes more
                             Analytics and statistics team                                       strategic every
      2. Analytics         Share analytics across company                                              year
                            Fully integrate business data
                     Performance consulting with business leaders
                              Build the “People Models”

                              Strong relationship with IT
                                   “unsilo the data”
  1. Reporting                  Tools and dashboards
                                   Reporting team
                                    Data dictionary
                                      Build skills




                                                  Copyright © 2012 Bersin & Associates. All rights reserved.   Page 46
Join Us – April 10-12, 2012




                    Copyright © 2012 Bersin & Associates. All rights reserved.   Page 47

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Big Data in HR: The Opportunity

  • 1. Big Trends in Talent, HR Measurement and BigData The Convergence of HR Measurement and BigData is Here Josh Bersin President and CEO March, 2012 Copyright © 2012 Bersin & Associates. All rights reserved.
  • 2. Bersin & Associates  Who We Are • Bersin & Associates is the leading global provider of best-practices, trends, and benchmarking research in talent management, learning, and strategic HR. • 60% of the Fortune 100 are Bersin & Associates research members, with more than 17.5 million employees managed by HR teams using Bersin Research. Human Resources  Broad Research Practices - Human Resources - Leadership Development Leadership - Learning & Development Development - Talent Acquisition - Talent Management Learning & Development  Offerings • WhatWorks® Membership: Research, Tools, Education, Talent Consulting Acquisition • IMPACT: The industry’s premiere conference on the Business of Talent • BersinBasics®: Fundamentals of Talent Management for Talent Business Professionals at All Levels Management Copyright © 2012 Bersin & Associates. All rights reserved. Page 2
  • 3. Research for this Presentation  2012 Corporate Learning Factbook®  2012 High-Impact Learning Organization® (Not yet released)  The Training Measurement Book Copyright © 2012 Bersin & Associates. All rights reserved. Page 3
  • 4. Agenda  Today’s business priorities  The state of learning measurement  Challenges we face  The BigData Opportunity  Developing a Talent Analytics Function Copyright © 2012 Bersin & Associates. All rights reserved. Page 4
  • 5. 2012 Business Environment Globalization, Innovation, Cost Containment What Are Your Organization’s Top Business Challenges for 2012? Reduce Operating Expenses 35% of organizations see the need to Expansion into New Markets +60% Increase accelerate growth and globalize – +10% Increase Launch new Products and Services the highest level in four years…. yet… Need to Accelerate Innovation Change Business Strategy 51% struggle to hire the right talent, Acquisitions or Mergers despite high unemployment… New top management team Global expansion +70% Increase 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% © Bersin & Associates, Corporate TalentWatch® Research, Senior HR and Business Executives, ■ Dec. 2011 ■ May 2011 1/2010 Copyright © 2012 Bersin & Associates. All rights reserved. Page 5
  • 6. Global Talent Deficit India Graduates Millions, but Too Few Are Fit to Hire 75% of technical graduates and 85% The Cultural Revolution of general graduates in India are created a “missing unemployable by India’s high-growth generation” of talent between industries, including IT and call 40-55, so expatriates fill most centers. jobs at the top Regional Leadership Young workers flooding the marketplace, yet most have BofA’s retail wealth management inferior preparation, Country Leadership arm, Merrill Lynch, plans to hire language skills, and technical 2,400 trainees in 2011, a 50 percent skills. increase over last year. Middle Management Entry Level “We are entering the era of China unparalleled talent scarcity, which will put a brake on economic growth around the world, and will fundamentally change the way we approach workforce challenges.” Copyright © 2012 Bersin & Associates. All rights reserved. Page 6
  • 7. The Ill-Prepared Workforce  Only 32% of college graduates have “excellent” skills to enter the workforce  Only 16% of high school graduates have such skills. Missing are: • Professionalism/work ethic • Creativity and Innovation • Lifelong learning/self-direction • Critical thinking/problem solving  Only 18% of workforce training programs raise skills from “deficient” to “adequate” Copyright © 2012 Bersin & Associates. All rights reserved. Page 7
  • 8. Increasing Specialization  Expertise drives competitive Top advantage Management  Specialization improves Senior quality and reduces cost Management The  Deep skills developed Experts Middle Management through “deliberate practice” and reinforcement Senior Specialists First Line Management  Deep skills come from a range Functional Specialists / Front-Line Employees of developmental experiences  We need career development Back Office, Operational, Contingent Employees in all critical job roles High Performing Organizations Understand This Copyright © 2012 Bersin & Associates. All rights reserved. Page 8
  • 9. Talent Development: A Large and Growing Investment US Corporate Training Spending: $67 Billion Worldwide: $145 Billion Source: 2012 Bersin & Associates Corporate Learning Factbook® Copyright © 2012 Bersin & Associates. All rights reserved. Page 9
  • 10. Agenda  Today’s business priorities  The state of learning measurement  Challenges we face  The BigData Opportunity  Developing a Talent Analytics Function Copyright © 2012 Bersin & Associates. All rights reserved. Page 10
  • 11. Talent Development Takes Place Everywhere Customer Executive Education Education Operational Training Leadership (Process, Development Onboarding Procedures, (Mid-level and Senior Sales Systems) New Hire Leadership Development) Training Training Development Planning Channel Functional & Management & Training New Technical Supervisory Training Training Career Product Development, Training Coaching On-the Job Re-skilling Retraining Support Copyright © 2012 Bersin & Associates. All rights reserved. Page 11
  • 12. Two Types of Learning Programs Performance-Driven Talent-Driven Learning Learning Business Drivers Business performance in operational Talent and leadership gaps, skills shortages, functions and roles engagement, and culture Goal Develop individual capabilities and fill Develop organizational capabilities driven performance gaps by competency, not performance Examples Sales training, customer service, field Leadership development, onboarding, service certification career development, career transition Program By job within a function For all or many jobs within a function Organization Timeline Months or shorter Quarter or Years Complexity Functional or Departmental Enterprise-wide Integrated With Product rollout, new service launches, Performance management, succession geographic expansion management Challenges Performance consulting, program design, Resource allocation, patience, job manager engagement alignment, HR generalist support How to measure Business measures: sales, quality, Engagement, retention, employee success customer satisfaction, cost reduction, performance, talent mobility and agility speed of response Copyright © 2012 Bersin & Associates. All rights reserved. Page 12
  • 13. Today’s Continuous Learning Model Expert Continuous Learning Career Communities Curriculum of Practice Social Coaching Networking Mentoring E-learning Mobile courses Learning Training Event Job Aids Novice Traditional Training Time Copyright © 2012 Bersin & Associates. All rights reserved. Page 13
  • 14. Bersin & Associates Enterprise Learning Framework® Leadership Career Customer Project and Customer Learning Development Development Onboarding Service Process Education Systems Channel Programs Organization, Governance, and Management Technical Product Management Compliance Sales Training IT Skills Professional Knowledge Audiences & Jobs Roles Competencies Proficiencies Preferences Demographics Geographies Business Problems Environment Informal Learning Architecture Approaches Formal On-Demand Social Embedded Instructor Led Training E-Learning Wikis, Blogs, Forums Performance Support Virtual Classroom Search Expert Directories Feedback Games Books, Articles Social Networks Rotational Assignments Simulations Videos Communities of Practice After Action Reviews Testing & Evaluation Podcasts Conferences &Colloquium Quality Circles E-Learning Learning/Knowledge Portals Coaching & Mentoring Development Planning Performance Information Content Change Measurement & Consulting Architecture Development Management Evaluation Disciplines Instructional Knowledge Program Community Business Designs Management Management Management Intelligence Tools & LMS, LCMS Learning Portals Content Development Collaboration Rich Media Assessment Performance Support Reporting and Analytics Talent Mgt. Content Social Search, Virtual Measurement Technology Systems Management Networking Mobile Tagging Classroom Sustems Executive Development Performance and Innovation Employee Support Planning Talent Management Programs Feedback Culture Learning integrated Knowledge Customer Mentoring and Learning from With Business Planning Sharing Listening Knowledge Sharing Mistakes Copyright © 2012 Bersin & Associates. All rights reserved. Page 14
  • 15. Impact Measurement Framework ® © Bersin & Associates – Adapted for Informal Learning Environments 1 Satisfaction 2 Learning 3 4 5 6 7 Adoption Utility Efficiency Alignment Attainment Did you reach the How well do programs How efficient and How well were How well did you desired audience? solve the workforce’s cost-effective program business meet specifically Did they complete or particular problems? How did it compare priorities defined? defined client How well did it align comply as desired? to other similar programs How well did business (business user to the specific job-related Who did not comply or competitive programs? units buy off on the or customer) objectives? problems and issues? and why? Would learners recommend How well did it use value of this program These may be this program to their peers? learner’s time? relative to revenue, time to other investments? market, compliance, time to complete, etc. 10 Contribution 11 Feedback 12 Activity 8 Individual Performance 9 Organizational Performance Copyright © 2012 Bersin & Associates. All rights reserved. Page 15
  • 16. GE: Impact Measurement at Work Satisfaction Survey Satisfaction with Satisfaction Total Survey Response with content and with Individual Name Date Format Platform Attended Responses Rate Speaker(s) delivery Logistics Learning Utility Alignment Performance Corporate Dollarization - Aircraft 1/ 12/ 2009 Classroom Finance 17 4 24% 75% 63% n/ a n/ a 75% n/ a n/ a Charlevoix Sales Leader Training including Dollarization 4/ 6/ 2009-4/ 9/ 2009 Classroom Canada 43 17 40% n/ a 76% n/ a n/ a 84% n/ a n/ a Customer Focused Selling 7/ 8/ 09-7/ 9/ 09 Classroom Capital 11 5 45% 100% 100% 100% 100% 92% 90% 100% Sales Presentation Skills 7/ 27/ 09 - 7/ 28/ 09 Classroom Fleet 10 2 20% 100% 100% 100% 100% 100% 100% 75% Financial Statement Analysis - Fleet 7/ 29/ 09-7/ 30/ 09 Classroom Fleet 11 5 45% 20% 20% 60% 45% 44% 50% 35% Socratic Selling 8/ 10/ 09-8/ 11/ 09 Classroom MX + LATAM 9 0 0% n/ a n/ a n/ a n/ a n/ a n/ a n/ a Corporate Results Coaching 8/ 25/ 2009 Classroom Finance 8 4 50% 95% 100% 50% 81% 95% 100% 88% Corporate Potter Third Level Selling 8/ 25/ 09 - 8/ 26/ 09 Classroom Finance 17 9 53% 91% 72% 78% 78% 84% 83% 78% Corporate Results Coaching 9/ 1/ 2009 Classroom Finance 11 6 55% 83% 75% 50% 67% 77% 92% 67% Customer Focused Selling 9/ 1/ 09-9/ 2/ 09 Classroom MX + LATAM 13 4 31% 100% 100% 100% 94% 100% 100% 94% Equity/ BLG/ Cor Potter Third Level Selling 9/ 1/ 09 - 9/ 2/ 09 Classroom porate Finance 22 10 45% 95% 100% 90% 93% 92% 90% 85% Situational Sales Negotiation Skills 9/ 8/ 09 - 9/ 9/ 09 Classroom LATAM 15 5 33% 100% 100% 100% 95% 100% 100% 90% Precall Planning Workshop w/ Jeff Fox 9/ 17/ 2009 Classroom Canada 47 28 60% 43% 57% Dollarization 9/ 22/ 2009 Classroom MX + LATAM 23 8 35% 94% 81% 88% 81% 80% 88% 91% Corporate Mindset of the CEO 9/ 22/ 09 - 9/ 23/ 09 Classroom Finance 30 8 27% 94% 81% 88% 78% 88% 88% 81% Rating Scale: High Performing = >80% Average Performing = 50-79% Low Performing = <49% Copyright © 2012 Bersin & Associates. All rights reserved. Page 16
  • 17. Impact is Defined by the Problem Copyright © 2012 Bersin & Associates. All rights reserved. Page 17
  • 18. Organizations Measure what Matters High-Impact HR Organization Research Transformational / Innovation Legend 3. LD via 7.Strategic Simulations/Non- Sourcing & HR Program Impact Driver exempt P4P Web 2.0 1. Aramark 2. BCBS of MA 2. WFP, Acquire 5. WFP / Strategic 1. LD KSAs; 3. Convergys / Grow Critical Analytics Measurement 7. L&D Talent 4. Honeywell 5. Lubrizol 8. LD, PM, 9. Targeted 6. Lyondell Engagement TA & LD 7. Novo Nordisk 7. Data 8. Spherion Effectiveness 6. Management Warehousing 9. The Shaw Group Communications / & Reporting Development 4. HR Restructure / Segmented planning, Shared Services acquisition & growth for critical Efficiency Model/ Self Service talent; driving effective leaders & performance; and building measurement platforms are key priorities for organizations across business condition Major Cost scenarios Reduction Distress Below Stable Some High Expectations Growth Growth Business Conditions Copyright © 2012 Bersin & Associates. All rights reserved. Page 18
  • 19. L&D Measurement Maturity Model Building a High-Impact Learning Organization® • Integrated • Learning and talent practices integrated Segmentation and critical talent needs clear Talent • Executive support on an ongoing basis • Talent and leadership measures adopted Strategies • Talent segmentation, risk, predictive Business • Learning and expertise a business measure • Strong business leader support for L&D Business Alignment Integrated • LMS evolved into total learning environment • Performance consulting well developed L&D Function • Measure against the business plan • Learning governance, Federated Model Enterprise • Standard procedures, processes, tools • Enterprise learning plan Learning • Enterprise learning architecture Strategy • • Programs aligned to key business initiatives Consistent measurement program Improve • Shared learning technology infrastructure • Measure basics (level 1, utilization) Efficiency & • Eliminate/reduce redundancy • Consolidate vendor contracts Utilization • Measure delivery efficiency and effectiveness HR and Talent Management Integration Copyright © 2012 Bersin & Associates. All rights reserved. Page 19
  • 20. Talent Management Roadmap Recognized for developing Leadership Individual Development best-in-class leadership Vision Plans institutionalized Development Leadership assessments Desired Future State and curriculum in for EMT & SLT place for senior and mid-level leadership Leadership competency framework defined Training opportunities Fully integrated and aligned reviewed and executed Viewed as HR function drives and and communicated against on a regular basis destination employer supports business strategy in primary markets Manager curriculum enhancements finalized Recognized as a Wave 4: Robust Individual high performance, Long-Term Development Plans in results-oriented Continual improvement 2009+ place for 100% of staff organization Career Paths against TA metrics, including offer-to-accept ratio developed for Employee and all business areas Manager Development Talent Acquisition Cross-evaluations metrics defined reinstituted Create and implement Wave 3: and implemented job rotation program Employment Value Mid-term (to include cross Proposition (EVP) business-area rotations) < Dec 2008 defined and communicated All managers HR processes consistently complete training executed across business Talent Acquisition functional on delivering effective areas with 100% compliance analysis completed performance discussions Talent Talent Review objectives Wave 2: and desired outcomes Short-term Acquisition re-communicated to < June 2008 Process defined to tightly BUs and HR community link organization, HR service level BU and individual goals Gather structured agreements defined input from talent review executors and participants Wave 1: Current State Performance Succession HR Service Near-term: Management Planning Delivery Model < Dec 2007 Copyright © 2012 Bersin & Associates. All rights reserved. Page 20
  • 21. Agenda  Today’s business priorities  The state of learning measurement  Challenges we face  The BigData Opportunity  Developing a Talent Analytics Function Copyright © 2012 Bersin & Associates. All rights reserved. Page 21
  • 22. Learning Impact Measurement: The #1 Challenge Facing L&D What is Your Greatest Challenge In L&D? Improve ability to evaluate impact 37% Improve business alignment 35% Gain additional resources 28% Integrate with Talent Management 26% Improve Informal Learning methods 25% Implement LMS or other technology 22% 0% 5% 10% 15% 20% 25% 30% 35% 40% Source: Bersin & Associates 2012 High-Impact Learning Organization® (HILO) Copyright © 2012 Bersin & Associates. All rights reserved. Page 22
  • 23. Talent Development is Not Measured What does your organization rigorously measure? Employee sat/engagement 63% Performance ratings 52% Retention, turnover 48% HIPOs and HIPO pipeline 45% % of employees w devt. Plans 37% Readiness for job 31% Internal hire percent 30% Diversity of the workforce 27% Level of expertise 27% Source: Bersin & Associates 2012 High-Impact Learning Organization® (HILO) Copyright © 2012 Bersin & Associates. All rights reserved. Page 23
  • 24. Learning Technology Strategy Many Organizations Do Not have a Learning Technology Plan 50% 46% 45% 40% 35% 30% 30% 25% 20% 16% 15% 10% 9% 5% 0% Clear with Mature Roadmap Developing with some Maturity Starting None Copyright © 2012 Bersin & Associates. All rights reserved. Page 24
  • 25. Weakness in HR Systems Solutions  How would you rate your LMS’s ability to obtain the information you need to measure training programs? 3% Excellent 17% Good 63% Fair or Poor  How would you rate your Talent Management system’s ability to deliver the talent measures you need? 2% Excellent 17% Good 72% Fair or Poor  How would you rate your HRIS systems ability to deliver the measures you need? 1% Excellent 14% Good 82% Fair or Poor Copyright © 2012 Bersin & Associates. All rights reserved. Page 25
  • 26. Lack of L&D Business Plans Do you have a business plan for L&D which specifies budgets and targets? Fewer than half of Yes, 40% L&D organizations have a written business plan Not sure, 6% No, 54% © Bersin & Associates, High Impact Learning Organizatino® 2012 Copyright © 2012 Bersin & Associates. All rights reserved. Page 26
  • 27. State of HR and L&D Measurement Only 13% of Organizations Have Strong Measurement Support in Place Strong belief in measurement with Strong belief in resources and measurement but not executive enough resources, 37.7% support, 10.4% World class program for measuring learning and talent, 2.8% No real plan for learning and talent measurement, 12.3% The biggest factor which drives this Belief in measurement is “do you have a but no plan in written business plan place, 36.8% for learning”. 26% vs. 5% strong. © Bersin & Associates 290 Organizations, February, 2011 Copyright © 2012 Bersin & Associates. All rights reserved. Page 27
  • 28. Our HILO Research Shows: Three Things Matter Business and Organizational Impact Program (solution) Effectiveness Alignment Efficiency How well you align investments, How well you design, build, deliver, programs, people, and focus and manage L&D programs so they toward the organization’s strategic, reach the audience in an effective way current, local, and urgent needs for the minimum cost Copyright © 2012 Bersin & Associates. All rights reserved. Page 28
  • 29. The Trap of Measuring ROI  Companies that try to measure and promote the ROI of their L&D investments do themselves a great disservice  The concept of “ROI” assumes that the spending is a discretionary investment which will directly pay for itself in a few years  By promoting ROI measurement you vastly under-represent the value of training  Highly aligned organizations only measure ROI occasionally, and only to help them improve particular program elements  Has anyone ever asked you to compute the ROI of your email system? Copyright © 2012 Bersin & Associates. All rights reserved. Page 29
  • 30. Agenda  Today’s business priorities  The state of learning measurement  Challenges we face  The BigData Opportunity  Developing a Talent Analytics Function Copyright © 2012 Bersin & Associates. All rights reserved. Page 30
  • 31. BigData in US Business 14 Exabytes of Data in US 6 billion photos uploaded to Corporations (1 Exabyte is Facebook every month 40,000X the library of congress) YouTube uploads more content each day than all networks combined We are at an inflexion point: Organizations US Businesses will be short 140,000-190,000 analytic positions whichyears to leverage big data will far in the next three learn 1.5 million more data-savvy outperform those who do needed to leverage managers not. big - McKinsey data in the United States Copyright © 2012 Bersin & Associates. All rights reserved. Page 31
  • 32. BigData Copyright © 2012 Bersin & Associates. All rights reserved. Page 32
  • 33. Data Analysis Skills Important to HR Top HR Skills | Capabilities Correlation Business Partner relationship management .52 Managing and leading people .51 Coaching and Mentoring .49 Change management and communications .48 Analyzing and interpreting data .47 Knowledge Sharing and expertise directories .47 Managing your Personal Development .45 Top Organizational | Managerial Capabilities Developing a high performance culture .77 Developing a strong learning culture .77 Developing strong talent segmentation .74 Developing high levels of career development and mobility .73 Attracting and selecting the right talent .64 Measuring business impact of HR .64 Developing high levels of engagement .54 Giving people honest feedback .49 Copyright © 2012 Bersin & Associates. All rights reserved. Page 33
  • 34. HR Organizations are Not Ready What percentage of HR organizations do you believe feel have strong skills in data analysis and interpretation? 6% Rate themselves “High” 56% - “Poor” Bersin & Associates High-Impact HR Organization® 2011 and 2010, n=741 organizations Copyright © 2012 Bersin & Associates. All rights reserved. Page 34
  • 35. The Lowest Rated HR Skill Relative Strengths of HR Skills and Capabilities Attracting and selecting the right talent 17% Promoting health and wellness 15% Onboarding new talent 7% Fairly allocating compensation 6% Understanding skills needed by role 4% Encouraging innovation and collaboration 1% Creating a high-performance culture -4% Measurement, analytics, and Enabling a learning organization -5% segmentation are the lowest rated skills in HR teams Identifying and developing future leaders -6% today Driving internal mobility -11% Developing workforce analytics for management -12% Measuring HR program effectiveness -18% Bersin & Associates High-Impact HR Organization® 2011 and 2010, n=741 organizations Copyright © 2012 Bersin & Associates. All rights reserved. Page 35
  • 36. And this is true throughout business… Copyright © 2012 Bersin & Associates. All rights reserved. Page 36
  • 37. BigData Working Group Copyright © 2012 Bersin & Associates. All rights reserved. Page 37
  • 38. Talent Analytics Maturity Model (beta) Where do you think you are? Level Focus of measurement at that level Requirements to Succeed Predictions of future problems, ways to use data to improve hiring, 3-5 Years of experience in levels 1-3 promotion, leadership, performance, new insights into drivers of Senior analytics expertise 4 Predictive Analytics value and performance Integrated data warehouse or analytics server Measures which help “transform the business” Advanced dashboards Core vs. context measures, strategic talent pools, HIPO analysis, Direct involvement of line Segmentation & Execs and TM leaders executive and leadership investments 3 Strategic alignment with Strategic Measurement Business goals Measures which tell “where we can dramatically improve the business”Analytics expertise Revenue, engagement, turnover, risk of loss, actual skills, mobility, Dashboards Operational Measurement for HR efficiency per headcount, L&D efficiency per headcount, Analytics tools 2 Business leader support Benchmarking & Improvement Measures which tell “how we compare and can improve” Governance and feedback Training hours, completions, time to hire, cost to hire, HRMS integration depth of leadership pipeline, demographics, tenure, certification Operational Measurement for Data consistency 1 levels, Compa ratios, performance distribution, etc. Reporting tools Efficiency & Compliance Strong data management Measures which tell “how we are allocating resources today” Copyright © 2012 Bersin & Associates. All rights reserved. Page 38
  • 39. People-Measurement Business Solutions  Major Retailer developed integrated “people model” to correlate relationship between engagement, rewards, leadership capabilities, tenure, skills and revenue.  Major Insurance Company statistically validated 30+ factors in recruiting which led to 20%+ improvement in sales performance and completely revamped recruiting process  Major Food Service Company identified key drivers of account renewal and upgrade and developed statistically valid measures which have been used to create company-wide dashboard which measure risk on a weekly basis  Major Retail Bank correlated dozens of workforce measures against engagement and branch financials to develop risk management dashboard for small and large branches Copyright © 2012 Bersin & Associates. All rights reserved. Page 39
  • 40. TALENT MANAGEMENT SCORECARD (Q2 2011) 1 Diversity Representation 2 Pipeline Readiness 3 Manager Effectiveness Index (As of 6/17/2011) (2010 Succession Planning: VPs and Above) 100% 100% VPs/Equivalent by Title 2.7 90% 80% 80% 70% 60% SVP and above 2.7 60% TBS-Non-Minority 40% 50% 20% 40% 30% 0% Mgr/Equiv by Title 3.0 20% TBS-Minority 10% Ready Ready in Ready in Ready in Ready in Ready in Too 0% Dirs/Equivalent by Title 3.2 Now 6 12 18 2 years 3 years New To DiversityInc- months months months Rate or Minority N/A 0.0 1.0 2.0 3.0 4.0 5.0 DiversityInc-Non- Minority Too New To Rate Under-Performing Well-Placed Average of EE Engagement, Perf. Ratings, Promos Out of Hierarchy, and Num. of Percentages may not add to 100% Growth Potential Highly Promotable due to rounding Terminations 4 Gender/Ethnicity Representation in LDPs 5 Executive Leadership Development 6 1st Qtr 2011 - Training Expense per FTE (YTD 2011) Outcomes 100% 100% 200 90% (YTD 2011) 90% 150 80% 80% New 51% Promotion 100 70% 66% Position 70% 20% 60% 4% 50 60% Suspensio 50% 0 50% 40% n 40% 1% 1% 30% 8% 30% 20% No 49% 18% 20% 10% Change Job Title 0% 6% 74% 10% Change 0% 1% ASIAN BLACK HISPA Female Male PACIF WHITE Dollars per FTE ASTD/Bersin Benchmark 7 1. Disparity in minority population amongst leadership; non-managers and other positions split approximately 50/50 2. On average, over half of VP+ talent assessed during 2010’s Succession Planning process are ready to assume a new role within the next 12 months 3. Manager effectiveness: SVP & above below current 3.0 average- most likely due to rating scale difference (VPs and above receive either a 1, 2, or 3 numeric rating value whereas ratings for Directors and below can include a decimal value) 4. Males/females represented almost equally in leadership development programs, however, non-minorities still represent more than half of 2011 YTD participants 5. The majority of leadership development program participants experienced no change in job role after participating in one or more programs 6. Turner overall has spent less on training per employee during Q1 as compared to the ASTD/Bersin combined average benchmark (average $81.94/employee across Turner vs. $147/employee) 7. Turner is currently spending .02% of its YTD profit on learning & development; the ASTD benchmark is approximately .4% of quarterly profits Copyright © 2012 Bersin & Associates. All rights reserved. Page 40
  • 41. Retailer TEAM SKILLS & COMPETENCIES: AN EVOLUTION… 2007 - 2008 Solid Understanding of HR; I/O Psychology Degree; Strong Communication & Interpersonal Skills; Employee Research Background; Detail Oriented ; Project Management Qualitative Research Design & Analysis; HRIS; SPSS 2009 - 2010 Business Acumen; HR, Finance, Economics Degree; Consulting & Presentation Skills; Quantitative Research Design & Analysis Analytical Curiosity; Problem Solving; Passion for Data & Analytics; Strong Technical skills Collaborative; Teamwork; Networking Skills 2011 - 2012 Critical Thinking; Advanced Statistics & Social Research Acumen; Engineering Degree; Story Telling; Data Visualization; Customer Research Background; Statistics & Data Mining Expertise Ability to see data, and decipher insights Copyright © 2012 Bersin & Associates. All rights reserved. Page 41
  • 42. Retailer Organization: 2011 - 2012 VP Human Capital Analytics Director Director Workforce Manager HR Brand Org Diagnostics & Analytics & Content Design Research (2) Manager Manager Manager Business Sr. Consultant Workforce Employee Learning Operations ODD Analytics Research Analytics Specialist Program Manager Consultant (2) Analyst Employee Learning Sr. WFA Analyst Research Measurement Analyst Learning Analytics Copyright © 2012 Bersin & Associates. All rights reserved. Page 42
  • 43. Retailer COLLABORATION IS KEY… Going Beyond the Org Chart INTERNAL PARTNERS EXTERNAL PARTNERS TOOLS, TECH, METHODS Mayflower Statistics & Consumer Data Sources Data Viz Legal Group Data Mining Research Networks & HRIS FP&A Affiliations SAS People Soft HR MicroStrategy Vendor IT LP Relationships KXEN PeopleSoft FIN Best Practices Xcelsius Safety Labor Mgmt. CURRENT CUSTOMERS SPSS Teradata Dashboards Biz Intel Human Kronos Story Telling Business Resources HRVP’S Sr. Executives Kenexa L&D Corp Areas Surveys HRBP’S Stores Field HR DC’s Copyright © 2012 Bersin & Associates. All rights reserved. Page 43
  • 44. Retailer OUR ANALYTICAL JOURNEY… Employee Employee 2008 Engagement Model Segmentation LVI Learning 2009 Diversity & Inclusion Leadership Learning & Employee 2010 Professional Development Lifecycle Research HR Scorecards Reactive Analytics Human Company Employee Proactive & 2011 Health Pentagram Research Cohorts Capital Executive Dashboard Exploratory Analytics Enterprise 2012 Measures of Success Talent Change Adoption Predictive Analytics 44 Copyright © 2012 Bersin & Associates. All rights reserved. Page 44
  • 45. Insurance Company Belief Centric Measurement Beliefs Measures Behaviors & Metrics Outcomes Results Copyright © 2012 Bersin & Associates. All rights reserved. Page 45
  • 46. Talent Analytics Framework for Action Deliver simple dashboards for action Embed analytics in business reviews 4. Results Test and iterate again to Stage 2 Train HR generalists and management Validate data carefully Test findings with leadership 3. Insights Socialize findings for action Typically a Develop actionable dashboards 3-5 year Iterate back to stage 2 program which becomes more Analytics and statistics team strategic every 2. Analytics Share analytics across company year Fully integrate business data Performance consulting with business leaders Build the “People Models” Strong relationship with IT “unsilo the data” 1. Reporting Tools and dashboards Reporting team Data dictionary Build skills Copyright © 2012 Bersin & Associates. All rights reserved. Page 46
  • 47. Join Us – April 10-12, 2012 Copyright © 2012 Bersin & Associates. All rights reserved. Page 47

Notes de l'éditeur

  1. But as organizations globalize, what we find is that the talent markets are very unbalanced and there is a global talent deficit. Look at demographics of China.DAVOS WORLD ECONOMIC FORUM. “WE ARE ENTERING AN ERA OF UNPARALELED TALENT SCARCITY, WHICH, IF LEFT UNADRESSED, WILL PUT A BRAKE ON ECONOMIC GROWTH AND WILL FUNDAMENTALLY CHANGE THE WAY WE APPROACH WORKFORCE CHALLENGES. In India, where millions of college grads enter the workforce each year, nearly 75% of graduates do not have the skills to enter the workforce. And despite this, there are so many jobs that the turnover rates are as high as 75% in some companies.Organizations are seeing talent shortages in Japan, China, Brazil, Singapore, and almost all developing countries – there are too many people at the younger and older parts of the age curve, but not enough in the middle. In the US, over the next 8 years the percent of population over the age of 55 is going to double, creating a talent deficit here as well.Global English, one of the largest providers of english language tools for corporations around the world, published research from Mckinsey which shows that in today’s global businesses more than 70% of the Global 1000’s employees are non-english speakers, yet only 7% believe their english is good enough to do their job!
  2. EE Engagement Model – talk about the metrics modelling linkage analysis that we startedEmployee Lifecycle Research – onboarding, engagement, exitHR Scorecards – business unit transactional metrics – one storyReactive analytics – on requestCompany Health – engagement, job sat, leadership, team, strategic direction, culture – see next slideProactive &amp; Exploratory Analytics – turnover, reorg, employee lifecycleMoS – Engagement, Culture, Leadership – People Productivity MetricTalent – talent acquisition, quality of hire, employee readiness, succession, talent inventory (gaps vs talent pool), HiPo, etcPredictive Analytics -