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Perceived Employee Value Propositionand Organizational Culture quick check

- Employee Value Proposition: Rationale of a Pilot;- Employee Value proposition: Highlights;- Employee Value Proposition and Unit’s Culture;- BACK UP: Structure of the BPHR Internal Know Your Customer Program

BPHR– D.Famà, July 2015

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A clear understanding of the Value Proposition perceived by the employees of a unit / organization could increase the capability to retain/ attract “A-People”: this is a critical organizational capability in our competitive environment. At the same time, this analysis provide useful elements to start to mark the unit’s culture we would like to reinforce.

We define the Implicit Employee Value Proposition: the perceived value to stay in aunit against the competitors’ perceived value as employer.

To this purpose, the method used to identify it has been a very short Stay Interview (3 questions), involving the unit’s “A-People”. The “A – People” are the employees that , due to their contribution to the business and to the colleagues (performance, potential, behaviors), are the kind of person we would like are more represented in our organization. To identify this target population, the useful Talent mapping methods (potential / performance) could be used.Usually this sub population amounts to the 5-10% of the overall employee population.

•Three questions had been used for the Stay Interview (*):1. What are the key aspects of working into the unit now, that have for you the most effective retention

effect? In other words, what are the key factors that make you say: <<this is one of the most important things that make me happy to continue to work here now >>

2. What could increase for you the retention effect to work into the unit? What can make for you more enjoyable and attractive being working and continue to work into the unit?

3. What kind of events, conditions etc can otherwise push you to consider possible market opportunities more attractive?

(*) Reference: “Rethinking Retention in Good Times and Bad”, R.P.Finnegan, 2009

Employee Value Proposition: Rationale of a Pilot

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International environment that, notwithstanding is profiling us as a niche in Italy, make us more open to the changes, avoiding traditionalist mind set, able to measure the success on the base of the delivered effort and capabilities (no “unearned income” due to the dominant market position)

Challenging and excitant work environment , continuously evolving, where a continuous learning is possible and promoted/ recognized

Autonomy and promotion of the individual contribution (in the context of the assigned role and the required controls)

Work environment that facilitate a professional growth faster than in other local competitors(for example, here is possible to have the opportunity to manage relevant customers having less formal seniority than required into greater competitors)

Diffused mutual trust and open collaboration

Concrete possibility to meet a right work – life balance level

Increase the opportunities for more responsibilities (business and managerial)

Translate in concrete opportunities the being part of an International organization (for example: participation to projects, temporary or permanent job rotations in other countries)

Continuously assure the coherence between internal recognition system and local market (role/ performance)

Lack of autonomy and promotion of the personal contribution

Unclear or no challenging local strategy/ project, reduced openness to innovation

Work environment becoming relationally tiring

Lack of coherence of the recognition system against role/ performance/ market

1. Factors supporting the retention of “A –people” (what we have to continue to do)

2. Opportunities, able to increase the retention of “A –people” (what we have to do better)

3. Risk Factors, able to jeopardize the retention of “A –people” (what we have to avoid to do)

Employee Value Proposition: Highlights

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Employee Value Proposition and Unit’s Culture (1/2)

The key words that make specific and attractive the analyzed unit to our best employees are:• international• challenging, stimulating• open to innovation and change• open to the personal contribution• facilitating relevant experiences , fast professional growth and continuous learning• based on mutual trust and collaboration• caring the work life balance of best performers

The resulting image is: “young, dynamic, challenging”.Something worth to work for, due to its impressive and continuous opportunities to learn from experience and experienced people.

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E’ bello quel che piace - Gli elementi che emergono come qualificanti dalle Stay Interview assumono questo carattere positivo a causa delle attitudini personali e dei valori degli intervistati.Gli stessi elementi, agendo su caratteri differenti, possono generare reazioni opposte e quindi trasformarsi in fattori negativi, demotivanti.Un caso tipico è quello delle reazioni ad un fattore come la continua evoluzione degli assetti e degli scenari.Durante le Stay Interview, la target population ha indicato questo fattore come motivante (favorisce un apprendimento continuo, rende il contesto lavorativo sfidante, mette alla prova le tue capacità, stimola al raggiungimento di nuovi obiettivi, ecc.).Del resto, da alcuni della restante popolazione della medesima unit, durante le interviste dell’Internal Know Your Customer Program (vedere Back Up) sono state raccolte reazioni diametralmente opposte: rende il contesto operativo instabile, non permette di capire se si sta operando bene, fa cambiare continuamente i parametri di successo, ecc.

L’engagement inizia dall’hiring match - In questo preciso senso, per ogni organizzazione, è importante assicurare l’allineamento fra la propria cultura e quella del suo personale, sin dal momento della selezione (“Hire Hard, Manage Easy”): questa è la base per ogni successivo risultato (positivo o negativo) in termini di engagement!

Inevitabilità delle crisi di engagement - Naturalmente permane, per tutte le organizzazioni, la sfida del cambiamento di strategia: ad ogni turnaround si pone il problema di come ridurre l’inevitabile gap fra il nuovo Se dell’organizzazione e quello per cui erano stati selezionati e cresciuti i suoi vecchi collaboratori.In questo processo di adattamento è questione che necessita ulteriori approfondimenti se sia inevitabile (anzi auspicabile) un turnover elevato, che porti ad un ricambio della popolazione, o in quale misura e con quale economia sia possibile lavorare ad un cambiamento culturale della popolazione aziendale.

Il fattore trascurato - In tutti i casi, di gestione quotidiana dell’engagement o di adattamento al turnaround, il problema della evoluzione delle competenze è in genere il meno rilevante (nel senso di più facilmente risolvibile). Il vero ostacolo è in generale l’adattamento culturale, ma raramente questo corrisponde al vero focus dei programmi aziendali intesi ad accompagnare/ facilitare/ supportare il cambiamento e l’eventuale (vedi il paragrafo precedente) adattamento.

Employee Value Proposition and Unit’s Culture (2/2)

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BACK UP

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Internal Know Your Customer (KYC) Program - Concept

“Yearly One2One with 100% of Origination employees”

Std Agenda:• Role related activities• Business Vision (1 year): strategy and target understanding, customers, competitors, company portfolio, growth

perspectives, ….• Professional Development Expectations• Career Expectations• Engagement level• Perceptions about: organization, business process, management style• Q&A vs the Business Partner HR (BPHR)

Purpose:• Periodic monitoring of the team dynamic at every level;• Proactive People Risk management;• Consolidation of an independent BPHR view about any individual employee and the teams’ dynamic.

To be used during the usual People Management process (just to mention: PD, Payround, Promotions, Org Changes, Succession Plans, Difficult Conversations, etc.), to the benefit of the company, the business and the employees.

8Yearly Internal KYC Program

Phase1: LineManager Interviews

1QBPHR Target setting with

Business Head

Org Changes

Training Plan

Internal Comm

Employee Surveys

Phase 2: Employee Interviews

2-3Q

People Risk Monitoring

Performance

Payround

Promotions

Talent Review

Engagement:Improvement Plan

Internal KYC Program = the detailed info source (foundation) for the People Management SystemBusiness/ BPHR Weekly = the engine of the People Management System

Weekly Business / BPHR

Internal KYC Program – Process Sketch

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Internal KYC Program – Main October 2014/15 Outcomes

All are shared Line/ BPHR outcomes:

• Periodic Talent Mapping• Main People Risk mapping and related risk reduction actions (or risk acceptance decision)• Related Rewarding plans• Continuous engagement monitoring• Development needs identification and related Plans (Training, Role activity profile fine

adjustments, Job rotations, etc.)• Internal Communication improvement actions• Line/ HR alignment about difficult conversations management• Highlight of the implicit Employee Value Proposition