creating a strong talent pipeline how ready are you23072014
TRANSCRIPT
74th NHRDN Webinar: 23.07.2014
Creating a strong talent pipeline How ready are you?Creating a strong talent pipeline How ready are you?Creating a strong talent pipeline: How ready are you?Creating a strong talent pipeline: How ready are you?
A KrishnaA KrishnaSr. Vice President - HR
Bosch LimitedBosch Limited
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.1
Creating a strong talent pipeline
Presentation overview
Introduction
Presentation overview
Four dimensions of talent management
How ready are you?
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.2
Creating a strong talent pipeline
Presentation overview
Introduction
Presentation overview
Four dimensions of talent management
How ready are you?
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.3
Creating a strong talent pipeline
Talent Management – most critical HR topic!Talent Management most critical HR topic!
As per BCG’s preport ‘Creating People Advantage 2013’,Advantage 2013 ,talent management and leadership are the most criticalthe most critical topics for HR
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.4
Creating a strong talent pipeline
Talent Management has a low ROE!!??Talent Management has a low ROE!!??
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.5
From BCG’s report ‘Creating People Advantage 2013’
Creating a strong talent pipeline
Other Global TrendsOther Global Trends
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.6
From Deloitte’s Report: “Global Human Capital Trends 2014 – Engaging the 21st Century workforce”
Creating a strong Talent Pipeline
Other Global Trends: Key Focus areas for HROther Global Trends: Key Focus areas for HR
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.7
From Deloitte’s Report: “Global Human Capital Trends 2014 – Engaging the 21st Century workforce”
Creating a strong talent pipeline
HR at “Crossroads”HR at Crossroads
Securing the Leadership
pipeline
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.8
From PWC’s report: “ Managing in uncertain times: HR at crossroads”
Creating a strong talent pipeline
SummarySummary
Several international and national studiesSeveral international and national studies emphasise talent building as the most crucial
task for organisationsg
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.9
Creating a strong talent pipeline
Presentation overview
Introduction
Presentation overview
Four dimensions of talent management
How ready are you?
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.10
Creating a strong talent pipeline
Why? • Quantity comes before quality!Quantity comes before quality!
• Talent is needed in leadership, functional and expert roles!
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.11
Creating a strong talent pipeline
The Four dimensions of Talent ManagementThe Four dimensions of Talent Management
Performance
Creation of talent
pipelineCompetencyOrganisational
frameworkpipeline
Potential
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.12
Creating a strong talent pipeline
The Four dimensions of Talent ManagementThe Four dimensions of Talent Management
Performance
Creation of talent
pipelineCompetencyOrganisational
frameworkpipeline
Potential
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.13
Creating a strong talent pipeline
The First Dimension: PerformanceThe First Dimension: Performance
H,H • Rewards focus primarily on ‘Stars’• High differentiation could lead to widespread de-motivation
Q1
H,L H,H
ewar
ds
Q1Q2
HIG
H
widespread de motivation• Can erode talent pipeline build-up in the long run, unless engagement measures are strong
H L Att ti b k t f N tQ2
L L L Honet
ary
Re Q1Q2 H,L • Attractive basket of Non-monetary
rewards necessary• Median compensation levels would have to be kept above market levels, to avoid attrition; can make business
Q2
L,L L,H
Non
Mo
Q3Q4
LOW HIGH
LOW
attrition; can make business uncompetitive• Non-monetary rewards to focus on development of individuals, to be effective
fQ3Monetary Rewards
LOW HIGHL,H • Focus on monetary rewards is self-
limiting in the long run – promotes mercenary culture?
L L • Recipe for talent exodus!
Q3
Q4
Organisations have to make conscious, well thought out choices regarding performance management and stick to them; not be swayed b i t d
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.14
L,L pQ4by passing trends
Creating a strong talent pipeline
The Four dimensions of Talent ManagementThe Four dimensions of Talent Management
Performance
Creation of talent
pipelineCompetencyOrganisational
frameworkpipeline
Potential
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.15
Creating a strong talent pipeline
The Second Dimension: CompetencyThe Second Dimension: Competency
Two aspects of competency frameworkframework
lFunctional Organisational-role / level
Clarity needed on both aspects!
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.
Clarity needed on both aspects!
16
Creating a strong talent pipeline
Competence framework: example from BoschCompetence framework: example from Bosch
Hard skills
ConfidentialConfidential
Soft skills
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.17
Creating a strong talent pipeline
Bosch Leadership Competence frameworkBosch Leadership Competence framework
Confidential
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.18
Creating a strong Talent Pipeline
Bosch rating scale for competencies
DegreeCompetence Field Technology
Competence Field Business Administration
EntrepreneurialMindset, Leadership, Social Competence
Bosch rating scale for competencies
Competence Field Business Administration Social Competence
1 No knowledge, skills, and abilities / Not requested No Degree/Not Requested
2Basic:
A person with a low level of a competence has theoretical knowledge ith littl ti l i i l i it H h d t t
Less Developedwith little practical experience in applying it. He or she needs support to solve problems and reach goals.
3Advanced:
A person with an advanced level of a competence has a lot of experience in applying his/her knowledge. She/he is able to apply the
biliti i d h i t t
Well DevelopedConfidential
abilities in new and changing contexts.
4
Specialist:A person with a high level of a competence is able to work independently, solve problems intuitively and find new solutions. She/he can coach and instruct others to come to a specific solution. The depth
f h /hi k l d ll h /hi l l d k
Very Well Developed
of her/his knowledge allows her/him to solve complex and new tasks.
5Champion:
The depth and breadth of his competence is outstanding. He/she has a technical and methodological overview and sets technical/methodological standards for companies and industry.
Excellently Developed
19 A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.
Creating a strong talent pipeline
The Four dimensions of Talent ManagementThe Four dimensions of Talent Management
Performance
Creation of talent
pipelineCompetencyOrganisational
frameworkpipeline
Potential
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.20
Creating a strong Talent Pipeline
The Third Dimension: PotentialThe Third Dimension: Potential
Does the organisation have a clear written definition of potential?
Is this definition of potential only “vertical” oriented or is it broad based ?
A clear definition of ‘Potential’ is essential to get the right results!
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.21
A clear definition of Potential is essential to get the right results!
Definition of “Potential” in Bosch
Creating a strong talent pipeline
Definition of Potential in Bosch
Therefore, potential is: a forecast on the strength of previous job performance (“projected reserves”)Confidentiala o ecast o t e st e gt o p e ous job pe o a ce ( p ojected ese es ) an anticipated predisposition (manifestation of “key and meta-competencies”) always an aptitude relating to a particular set of demands, not a value in itself (e.g. potential
for leadership of a particular group or for management of a particular project) subject to change, just as demands are subject to change:
potential e.g. through learning, experience, motivation
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.
demands e.g. through new tasks, organization, environment
22
Creating a strong talent pipeline
The Four dimensions of Talent ManagementThe Four dimensions of Talent Management
Performance
Creation of talent
pipelineCompetencyOrganisational
frameworkpipeline
Potential
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.23
Creating a strong talent pipeline
Organisational frameworkOrganisational framework
Clearly articulated overall framework for HR policies is essential
Talent pipeline creation is a sub-set of such framework
Key elements of talent development to be clearly spelt out
Talent pipeline to be matched to needs arising from current and f t i ti t tfuture organisation structures
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.24
Creating a strong talent pipeline
HRM Guidelines at BoschHRM Guidelines at Bosch
Promotion of managers from within Deployment of associates according
to their abilities Job-related training opportunities
Promotion of managers from within our own ranks
Continuity of employment (not necessarily in same position)g pp
Advancement of associates willing to take on greater responsibilities
Job opportunities worldwide
in same position) Pay for position and performance
Fair treatment of associates by Confidential
Job opportunities worldwide
Priority of corporate interests over divisional and local
supervisors
Good working conditions
Good working relations to Works Councils
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.
gand unions
25
Creating a strong Talent Pipeline
Influence of salary levels on performance standardsInfluence of salary levels on performance standards
Confidential
Assessment standards depend on salary level!
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.
Assessment standards depend on salary level!
26
Creating a strong Talent Pipeline
Career paths in Bosch: 3 routes are available…
LeadershipHead of Department
Executive Management
p
Manager, Group Leader… in line mgt.
Project Leader (A projects)
Projekt-leiter
Project Leader (C projects)
… in projects Project Leader (B projects)
Confidentialleiter
Expert, Specialist with GB-wide impact
with RB-wide impact
within division
Top mgtSenior mgtMiddle MgtJunior Mgt.
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.27
It is possible to switch between career paths
Creating a strong talent pipeline
Bosch Career elements for line and project management
Required Experience GM/SGM VP
Cross Divisional move
Sr. VP
Bosch Career elements for line and project management
Cross Divisional move(GB-GB, GB-C) Cross Function Move I t ti l E i
thereof
1thereof
2
International Experience (> 2 years)
Employee Leadership Experience
thereof thereof thereof
Confidential
Project Leadership Experience*
Minimum Criteria met 2 3 4
thereof
1
thereof
1
thereof
1
Minimum Criteria met 2 3 4
Criterion must be met to reach respective Salary level (with promotion at the latest); experiences made in other companies will be considered. Cross Divisional Move, Cross Function Move and International Experience may be acquired before taking on a leadership position
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.28
position.
Creating a strong talent pipeline
Presentation overview
Introduction
Presentation overview
Four dimensions of talent management
How ready are you?
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.29
Creating a strong talent pipeline
How ready are you?How ready are you?
Clear metrics necessary to keep organisation on track!
Examples of metrics: N b f f h iti Number of successors for each position Readiness of talent pipeline Attrition among high performers Versatility of talent pipe-line Versatility of talent pipe line
Periodical measurement and review
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.30
Creating a strong talent pipeline
Building leaders for future: KPIs@ BoschDefine Number :
Talent pipeline = % gap of > Middle management positions v/s potential
Building leaders for future: KPIs@ Bosch
successors identified (horizon : 24 months for Middle Mgt, 36 months for Senior Mgt)
KPI _1a : % gap 2014 2015 2016YearPosition_ g p
Mid.Mgt.
SeniorMgt.
SL2 Xx %
SL3 Yy %
KPI_1b : Just identified / Development started(Readiness beyond 12 months)
Development in progress
g g
a% b%
Development in progress(Readiness < 12months)
Development completed
c% d%
e% f%
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(Ready to take up immediately)
31
Creating a strong talent pipeline
Th k f tt ti !Thank you for your attention!
A Krishna | Sr. Vice President - HR | 23.07.2014 | © Bosch Limited 2014. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.32