beyondcompetencies ispi 4-6-08beyond competencies— managing employee and organization capability...

Beyond Competencies—

Managing Employee and Organization Capability

Peter R. Hybert20 Danada Square West, #102Wheaton, IL 60187ph: 630.682.1649web: www.prhconsulting.com

ISPI ConferenceApril 6, 2008

PRH Consulting, Inc.

leveraging knowleveraging know--how for performance!how for performance!


©2008 PRH Consulting, Inc. Page 1All rights reserved. May not be reproduced or published without express written consent of the author.

Beyond Competencies—Managing Employee and Organization CapabilityISPI Conference

April 6, 2008

Beyond Competencies—

Managing Employee and Organization Capability

ISPI International Conference April 6, 2008

leveraging knowleveraging know--how for performance!how for performance!


20 Danada Square West, #102Wheaton, IL 60187phone: 630.682.1649web: www.prhconsulting.com


©2008 PRH Consulting, Inc. Page 1

Overview: We Can Do a Better Job with Employee Capability…And We Should

“It is not necessary to change. Survival is not mandatory.”W. Edwards Deming



April 6, 2008


The Opportunity

Premises

1. Companies spend a great deal of effort trying to build, manage, and improve employee and organization capability

2. Currently, internal organizations work independently

3. As a result of Item 2, deliverables are not integrated, there is redundant work, and there are gaps.

4. There are opportunities to eliminate waste, improve productivity, and deliver increased benefits to the organization.

Success Factors—How We Can Realize the Opportunity

1. Use a common/sharedanalysis methodology

2. Create an integrated solutionset for the business

3. Develop/use a common data management and storage taxonomy

4. Grow communities of knowledge and practice

The key to the above is the framework of capabilities that connects needs to solutions


Session Objectives

By the end…you will be able to

Describe workforce capability from a general business leadership perspectiveSummarize where current methods for managing capability fall shortDescribe a model for linking work process, capability, and rolesDescribe how various strategies for managing capability (e.g., assessment, qualification, training, performance support) can be integrated across an organization



April 6, 2008


SITUATION: Many Stakeholders, Mostly Unsatisfied

“Your most unhappy customers are your greatest source of learning.”

Bill Gates

©2008 PRH Consulting, Inc.

What We Want is Clear…

Leaders need to know what the capability of their organization is and needs to be

Employees need to know what capabilities they need to develop for advancement

HR needs to know what capabilities are needed so they can recruit for and retain them

“Capability Providers” (e.g., performance consultants, trainers) need to know what capabilities exist and are needed so they can develop them



April 6, 2008


What We Have Can be Unclear…

Perfo

rman

ce

Appra

isal

Role Profiles

Kno

wledg

e

Man

agem

ent

Skill DictionaryTraining

Career Maps

Competency M

odels

Curriculum

Learning Objects

Corp In

itiativ

es


The Opportunity: Alignment

“Honest disagreement is often a good sign of progress.”Ghandi



April 6, 2008


Aligning Around Capability Requirements

Capability Requirements

CapabilityRequirements

Business Processes

Business Processes

Business Processes

Role Definition

Business Processes

Business Processes

Business Processes

Business Processes

Business Processes

Business Processes

Role Definition

Content and Support Development and Maintenance


Job/Role DefinitionsJob/Role Definitions

Career/Development PathsCareer/Development Paths

Organizational Capability PlanningOrganizational Capability Planning

Individual Capability Assessment and Development Planning


TRAINING, OTHERS

HR

Recruiting & SelectionRecruiting & Selection

Qualification AdminQualification Admin

WORK PROCESSES

LEADERSHIP

©2006 PRH Consulting Inc.


Example Capability Model

Manufacturing Management—Capability Model Information Confidential and Proprietary to PRH Consulting Inc. 2008Design © 2002 PRH Consulting Inc. Wheaton, IL. USA(630) 682-1649

PharmaceuticalsPharmaceuticals

ManagementManagement CAPABILITY MODEL – v08/06/08

1st Line Supervisor1st Line SupervisorP E R F O R M A N C E C A P A B I L I T I E S

S U P P O R T I N G C A P A B I L I T I E S

Implement site- and externally-driven process changesEtc.Leading

Change

Managing Relationships

with Key Stakeholders

Interface with internal stakeholders (e.g., other work centers)Operations

Planning & Management

On request, provide input to production planEtc.

On request, participate in an emergency management team

Participate in emergency management responses and drills as needed

Recognize need for and implement emergency management (e.g., “command and control”) in your area

Managing Emergencies

Strategic Planning

On request, provide input to a long-range plan

Etc.

Provide input to the team vision/purpose

Production Management and Process Improvement

Assess exceptions (e.g., process adjustments, deviations, or changes)Resolve and/or negotiate solutions with up/downstream stakeholdersEtc.

Collect data for operational performance metrics for your area

Production Planning and Scheduling

Manage work group capacity and throughput Manage employee qualification and training

Translate the production plan into a work plan and schedule for your areaMonitor the flow of work between your work group and internal suppliers/customers

O N G O I N G

Develop a succession plan for your work groupSelect and develop employees for work group(from internal and external candidates) Etc.

Etc.Etc.Etc.

Coach and provide performance feedback to direct reports and other employees

Managing People

Etc.Design and implement recognition systems for your work group

Managing Facilities

Maintain reliable equipment Etc.Etc.

Business Skills

Etc.

QualityLeadership Models

Budgeting and AccountingEtc. Etc.

Etc.Team CommunicationsProblem-Solving

Etc.

RxP Leadership Behaviors

Etc.Etc.

Personal Skills and Values

Absence/Attendance Compensation/Merit Development PlanningEtc.Etc.Etc.Etc.

Confidentiality/ Intellectual Property

HR Policies/ Processes

Assessment & Coaching

Implementing Change

Decision-Making

Facilitation/ Teaching

Team Development

Delegation

Business / Management

Motivating Others

Management/ Leadership Skills

External Regulatory Processes

Health, Safety, Environment

Quality Systems

RxP Compliance Policies and Procedures

Regulatory

Process Capability Supply Chain

Business PlanningInformation systems

RxP Business Processes & Tools

Applied Science Engineering

Chemistry

Microbiology

Statistics/Math

BiotechnologyPharmaceutics

Product Manufacturing Processes

Production Processes, e.g.,

Your Product

-Manufacturing-Granulation-Tablet Filling-Packaging

Equipment, e.g.,-Lab-Production

Pharmaceutical Industry

Drug Development StagesCompetitive Landscape

-RxP-Your Product/FunctionValue Chain

-Healthcare Marketplace

Manufacturing Organization/Network

Materials Management

Etc.Etc.

Etc.

HRAccounting/Finance

LegalEtc.

Maintenance

Quality

Manufacturing ScienceEngineering

Production

Utilities/Facilities

Process Automation

LEADERSHIP/ INTERPERSONALINDUSTRY/ DISCIPLINECOMPANY-SPECIFIC

P L A N N I N GThe top section defines the job performance.

The bottom section defines the knowledge, skills, etc. needed to perform the job.

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April 6, 2008


Success Factors: Necessary Technologies

Analysis11 Integrated Solution Set22

Data-Management33 Communities44


Technology Analysis

“Frame by frame. Death by drowning in your own analysis.”

Adrian Belew

11

Analysis consists of taking apart and examining something to find patterns, the internal logic, so you can better understand it.



April 6, 2008


Greeting and IntroGreeting and Intro SecuritySecurity Explore

Initial Needs

Explore Initial

NeedsPropose SolutionsPropose Solutions

Enter OrderEnter Order

Steps/Tasks Output

Security Policy

Account #, Password

Handling Objections/ Questions

Two-handed typing

Navigating Accounts

Account RecordsKnowledge

Item

Information Item

Skill Item

Pre-requisite Knowledge/ Skills

Skill Item

Knowledge Item

The Elements of Performance—Remember the Learning Hierarchy?

Performance

Supporting Capabilities

Pre-Requisites


All information describing performance, including outputs, tasks, and measures can be categorized as “the work.”

In addition, there are “supportingsupporting knowledge/ skills/ characteristics/ values” (what you need in your behavioral repertoire to do the work).

Key Principle: Performance vs. Supporting Capabilities

Greeting and IntroGreeting and Intro PreliminaryPreliminary

Explore Initial

Needs

Explore Initial

Needs

Identify Actionable

Issues

Identify Actionable

Issues

Summarize Next Steps and Close

Summarize Next Steps and Close

Other NeedsOther Needs

N

Sales SkillsTechnical

Knowledge

Customer Industry

KnowledgeEtc.

Related to the specific job/role.

More likely to be “shareable.”



April 6, 2008


Practice: Performance vs. Supporting

• Policy about credit for returns• Clarify the caller’s initial question• How to navigate the customer account

data systems

Customer Service Agent

• Competitive product capabilities• How to use the CAD system• Materials characteristics (e.g., melting

point)• Design a cruise control switch

Engineer

• Sterile environment practices• Suturing skills• Executing a specific procedure (e.g.,

angioplasty)• Principles of malpractice claims

Doctor

SupportingPerformanceExample CapabilitiesRole

“Litmus Test” Questions• Are you on the payroll to do this?• Is it something you do or something you use to do

something else?


Capabilities Needed

Technical SkillsProbably Unique to Company—Must Be Learned at Company

•Computer system•ACD system•Etc.

Product KnowledgeUnique to Company—Must Be Learned at Company

•Product A•Service B•Etc.

Customer Service SkillsUnique to Role—Must Be Learned in Equivalent or Actual Role

• Participant calling for information

• Angry participant complaint• Impaired participant (e.g.,

hard of hearing, confused)• Ex-spouse of participant

requesting information• Etc.

Traits/CharacteristicsUnique to Individual—Must Be Part of Selection Criteria

•Energetic•Patient•Able to multi-task•Etc.

Process/Task PerformanceUnique to Role at Company—Must Be Learned at Company

•Greet callers•Access account data•Provide information•Etc.

(Company) Industry Knowledge Unique to Industry—May Be “Selected For” or Learned at Company

•Legal/regulatory•Standards•Marketplace•Etc.

Example: Call Center Agent

Performance

Supporting Supporting

Supporting

Supporting



April 6, 2008


Example: Section of Engineer Capability List

Raw analysis data has to eventually be converted to an organized set of capabilities.

Qualification Catalog

04 Tools/Equipment/Machinery04.01 Tools/Equipment/Machinery (General)04.02 Analysis/Design Tools04.03 Requirements Tracing Tools04.04 Defect Tracking Tools04.05 Configuration Management Tools04.06 Loaders04.07 Software Development Tools04.08 Hardware Development Tools

04.08.01 Mechanical Design/Development04.08.02 Electrical Design/Development

04.08.02.01 DSP Tools04.08.02.02 Viewdraw04.08.02.03 View Sim04.08.02.04 Mentor Graphics

Category

Parent2nd Level

Individual Qualification Items

Parent1st Level

User assesses his/her

capability at this level


Activity: You Own a Cleaner/Laundry Business!

Diagram of the business

Worksheet

Three to four other participants and your imaginations

Supporting Materials:

Break a simple performance into capabilities

Identify as either “performance” or “supporting”

Classify supporting capabilities

Purpose:

The Clothes Pin



April 6, 2008


Activity: The Business

You are the majority stockholder of a privately held laundry/ cleaning business. Overall, revenue is $2.6M/yr.

Central Plant• Services

- Customer service- Laundry and pressing- Dry cleaning- Drapery cleaning- Fur storage

• Labor: Mostly full-time• Hours:

- Open to public from 6:30am to 8pm, M-Sat

- Operations 24 hours

Storefront (x3)• Services

- Laundry and pressing- Customer service

• Labor: Mix of part-time and full-time

• Hours: - Open to public from

6:30am to 8pm, M-Sat- Operations 24 hours

Clothes may be processed at either location, depending on workload and type of processing

The Clothes Pin

The Clothes Pin


Activity: Your (Business) Goal

You would like to deliver consistent customer service at all locations and be able to move employees from site to site as needed. For that to work, you will need to be more systematic about the way you manage the capabilities of your workers.

Your first priority is customer service. Your current situation includes the following:The cash register/ order processing system at the plant is different (more complex and newer) than at the three sites.Sites 1 and 2 use the same equipment. Site 3 uses an older system that is mostly manual. (You purchased the third site last year from a competitor that retired.)Most of your labor at Site 2 are students from a nearby college. However, the majority of your labor force is made up of late/ middle-age, lower education workers. Many speak only minimal English.

You decide to analyze the process for receiving an order, from greeting the customer to transferring the order to operations. (This includes entering the order, sorting and bagging the clothes, and tagging the bag. The order is transferred when the bag is dropped in the “in” basket and the order is forwarded in the system.)

The Clothes Pin

The Clothes Pin



April 6, 2008


PRH Consulting Inc.PRH Consulting Inc.20 Danada Square West, #10220 Danada Square West, #102Wheaton, IL 60187Wheaton, IL 60187phone:phone: 630.682.1649630.682.1649web:web: www.prhconsulting.comwww.prhconsulting.comleveraging know-how for performance! ISPI 08_Beyond Competencies Contents © 2008 PRH Consulting Inc.

Performance—Customer Service

T A S K S

Sub-

Task

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abili

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O U T P U T (S)

• Tools• Software

• Procedures• Reference Docs Prompt/Job Aid

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• asd ;ke rj• ke i kj f l k ll \• m 3o , e oc .• oe 3. f04 , ;;• .m erp ke kf

• asd ;ke rj• ke i kj f l k ll \• m 3o , e oc .• oe 3. f04 , ;;• .m erp ke kf

• Training• Qualification

DO

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Activity: Your (Activity) Goal

Work in groups of four to six people.

Break the customer service work into a set of capabilities. Go into as much (or as little) detail as you need to be able to

The Clothes Pin

The Clothes Pin

Identify process steps and job tasks.

Tip: Don’t worry about getting the supporting capabilities organized or linked to the performance at this point.

Identify the supporting capabilities needed to perform the process steps and job tasks.



April 6, 2008


Technology Integrated Solution Set

“For a successful technology, reality must take precedence over public relations, for Nature cannot be fooled. ”

Richard Feynman

22

Solutions are specific ways of meeting a need—more than one will often work but there are always trade-offs.


Overall System View



Business Processes

Business Processes

Business Processes

Role Definition

Business Processes

Business Processes

Business Processes

Business Processes

Business Processes

Business Processes

Role Definition








TRAINING, OTHERS

HR



WORK PROCESSES

LEADERSHIP




April 6, 2008


Start from Capability Requirements…

…then design an integrated set of solutions.

Requirements

•Capability A•Subcap 1•Subcap 2•Subcap 3

•Capability B•Subcap 1•Subcap 2•Subcap 3

•Etc.

Capability-Related Interventions

Capability-Related Objects

A

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Selection Instruments

Knowledge Management

Career Path

Training

Qualification Test(s)

Selection Instruments

Knowledge Management

Capability-Related Interventions

…OR define a library of components that can be shared across the organization.


Activity Part 2: You Still Own a Cleaner/Laundry Business!

Starter capability model diagram

Four to six other participants and your imaginations

Supporting Materials:

Consolidate/ clarify capabilities for communication

Distill wording/ consolidate to manageable level of detail

Identifying categories to help with communication and sharing

Purpose:

The Clothes Pin

The Clothes Pin



April 6, 2008


Technology Data-Management and Storage Taxonomies

33

“Not afraid?? You will be…You will be.”

Yoda

An effective approach requires an intuitive interface (for the user) but the ability to handle the necessary complexity.




Business Processes

Business Processes

Business Processes

Role Definition

Business Processes

Business Processes

Business Processes

Business Processes

Business Processes

Business Processes

Role Definition








TRAINING, OTHERS

HR



WORK PROCESSES

LEADERSHIP


Overall System View



April 6, 2008


Key: Managing Lots of Small Components

From the “Supplier” Perspective

From the Business User Perspective

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Interpersonal Technical Legal/Regulatory Etc.


“Complex” and “Complicated” are Two Different Things



April 6, 2008


There are basic components in a number of disciplines.

Cooking uses recipes…

Manufacturing uses the Bill of Materials…

Chemistry uses the Periodic Table…

Taxomony

“Categories, which designate rank in a hierarchy, and taxa(plural for taxon), which designates named groupings of organisms, are thus two very different kinds of phenomena.

Controversy usually reigns supreme [emphasis added]over whether or not a particular group is truly distinct enough to be a new taxon. If it is a new taxon, taxonomists then determine which category the taxon will be placed in…”

Taxomony

“Categories, which designate rank in a hierarchy, and taxa(plural for taxon), which designates named groupings of organisms, are thus two very different kinds of phenomena.

Controversy usually reigns supreme [emphasis added]over whether or not a particular group is truly distinct enough to be a new taxon. If it is a new taxon, taxonomists then determine which category the taxon will be placed in…”


What Would a “Human Performance Capability Taxonomy” Look Like?

It would describe content vs. type (e.g., rather than “concepts” it would contain the actual intended concepts)Organized in a way that fits the business (e.g., roles, technologies, functions, processes)Can be “rolled up” or “drilled down” but, ultimately able to go to small components (like Bill of Materials)Discrete, definable, specific—can be developed independentlyRelational—some are subordinate to one or many others

Capability: Ability to “do stuff”—kind of like objectivesCapability: Ability to “do stuff”—kind of like objectives



April 6, 2008


Example: Engineer Performance

“Assignable Chunk”

Tasks/ Components


Example Supporting Capabilities: Engineer

Certain capabilities support the performance of tasks

02.01.03 Computer interfaces (I/O)02.01.03.01 RS232/423

02.01.03.02 Interconnect board design

02.01.03.03 Bus technology

02.01.03.04 Fiber optics

02.01.03.05 Digital I/O

The capability for each in this category may be• Knowledge of what it is• Knowledge of how it works• Knowledge of its strengths and

limitations• Information sources for more detail



April 6, 2008


Technology Communities of Knowledge and Practice

“In the great cult of behavior, knowledge is given the place of honor—knowledge for its own sake.”

Thomas Gilbert

44

To build, implement, and improve integrated solutions requires cross-functional participation and ownership.


What Type of Communities Do We Need?

Providers

Leadership/champions to • Support the integration• “Referee” difficult

decisions

Cross-functional teams to • Analyze work, • Define the capabilities• Design solution elements

“Subject area” liaisons

End-Users

“Subject area owners” to provide know-how and content to provider teams on performance and/or supporting capability areas

Application users (i.e., managers and individual contributors)

Leaders/champions



April 6, 2008


So What? Potential Next Steps

“Sooner or later, every good idea degenerates into work.”

Peter Drucker


How to Make This Work Without Trying to “Boil the Ocean”

Set up the structure—create prototypes of• The various deliverables (e.g., career path, capability

model, etc.)• Simple data management plan

Find toward a manageable “end to end” application (or even a focused pilot)

Expand to other areas on a strategic need basis



April 6, 2008


Summary and Q & A

The business needs capable performersCompetencies, skill dictionaries, and training curriculum alone are too static or unstructured to meet the business need—things change constantlyInstead of continuous churn

• Analyze work down to the components of capability• Construct an integrated HR solution set based on the

components of capability• Build and manage the components of the system to keep

them in alignment with the design

Plan for upcoming business changes to get ahead of the impact on capability requirements


For More Information . . .

Contact See Also

Peter R. HybertPRH Consulting, Inc.20 Danada Square West, #102Wheaton, IL 60187phone: 630.682.1649email: [email protected]: www.prhconsulting.com

Articles available on the website (or by request)

• Systems that Help People Get Work Done*• Give the Customer What He Meant to Ask

For (published in Performance Improvement, Vol. 40, #9)*

• Training versus Non-training Solutions• Performance-Based Training is (a Little)

Harder to Do• Simulations for Corporate Training• Curriculum architecture design for retail site

managers • Qualification system for engineers• And more…

* Available here as supplies last. Other topics also available.



April 6, 2008


Session Presenter

Peter R. Hybert

Pete has been in the human performance improvement field since 1984 and has been a consultant since 1989.

His clients include many Fortune 500 firms. He has analyzed, designed, and developed training and development for almost every type of business function and process.

Pete is the author of more than twenty articles and has presented more than twenty times at international conferences and local chapters of ISPI, ASQ, and ASTD. He has also served as the chairperson for ISPI’s Awards of Excellence Committee and a President of the Chicago Chapter of ISPI.

Analyzed over 100 jobs and work processes

Designed over 40 modular curriculum architectures and developed over 50 training and performance support solutions

Designed, developed, and implemented qualification systems and instruments for engineers, technicians, validation specialists, project managers, and service engineers

Designed, developed, and implemented performance-based competency systems, including assessment tools, coaching tools, and links to curriculum


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