Talent Optimization at GE Aviation

1GE Aviation

ROSS M. SPARKMANGLOBAL SWP LEADER

GE Works

our purpose

At GE Aviation, we invent the future of flight, lift people up and bring them home safely.

2GE Aviation

3GE Aviation

A Global Provider of engines, systems and services

Segments• Commercial• Military• Business &

General Aviation

4GE Aviation

GE Aviation Portfolio… $20B Commercial engines $6.1–a)

Commercial engineservices $7.0–a)

Military engines and services $3.9–a)

Systems $2.7 Business and general aviation/other $0.4

Largest provider of jet engines in the world ~40,000

employees ~85 sites

globally(a- Includes GE’s share of revenue from CFM and EA

enginesCFM is a 50/50 JV between GE and Snecma

EA is a 50/50 JV between GE and Pratt & Whitney

5GE Aviation

Problem Statement:

The current workforce planning process takes the current talent mix and plans for the future –

How do we create a workforce planning process that takes the current talent mix and creates an optimal future workforce?“The best way to predict your future is to

create it.” -Abraham Lincoln

6 FY_13 SWP Training Course

05/02/2023

The Burning Platform

The Federal Reserve faults Citigroup for lacking effective systems of governance and internal controls to adequately oversee their activity.

Business Day March 26, 2013

Banks Get a C+ in Postcrisis Risk Management American Banker August 21, 2013

Amazon to Hire 70,000 Workers for the Holidays Retailer's Plans Suggest Upbeat Expectations for Crucial Selling Season

Wall Street Journal Oct 1, 2013

What happens when we don’t have the talent we need?

Operational Risk Missed Revenue Financial Risk

7GE Aviation

Traditional Workforce Planning at

GE Aviation1. Define the

talent segments

2. Forecast supply and demand

3. Assess the gaps4. Take action

8GE Aviation

The Current ProcessStep 2a: Supply

ProjectionsVisualize the

organization down to the individual level

and calculate “inflow” and

“outflow” trends (i.e., attrition, hires,

mobility)

Step 2b: Demand

ProjectionsIncorporate macro economic data and drivers to project

workforce demand for the organization

Industry Specific

Finance

Operations

Macro Economic

Data

HR

Internal Benchmarks

Data Sources

External

Labor Market

Internal

Benchmarks

Pipeline

Step 1:

Step 3: Scenario Planning

Allows for “what if” planning

Step 4: Report & Monitor

Provide real-time data, enterprise

data to leadership, HR, Finance,

Operations, and other stakeholders

Iterative Data Generation• Generate more robust data

through iterative testing and real-time feedback

• Capture increased reporting value from more frequent reporting processes

• Influence cross-functional business decisions

9GE Aviation

The Pitfall…

10GE Aviation

Optimizing the workforce today…REQUIRED

SKILLSthat drive company

performance

OPTIMIZED MIX

of people, skills,

experience

CURRENT INVENTORYof skills exist

in organization

today

FUTURE HEADCOUNTrequirements

based on business drivers

FUTURE SKILLS

requirements based on business drivers

…to deliver maximum performance tomorrow.

11GE Aviation

A new approach starts with asking the right questions:

What are the most important trends that are impacting your Growth Playbook strategy?

What’s the range of potential future scenarios that your business strategy must address?

What is your principal goal that will indicate success of your strategy?

How will our strategy enable you to achieve these goals?

In which regions will you need to grow or contract to meet your business objectives?

How will you change the business mix of products, software and services to meet your challenges?

What will be the biggest challenge to meeting the goals you have for the business?

What is going to be our key differentiator that will give us a strategic advantage over our competitors?What are the metrics we will use to assess your performance against plan?

12GE Aviation

The Approach

Creating the optimal mix of people, skills and experience to drive performance

13GE Aviation

Optimization LeversGMEs

Retention

Training Courses

Leadership Programs

External Hiring Contingent WorkersWhich partners/ resources will be used to fill the gaps?

How will you use CWs to fill temporary needs? Transition to permanent role options?

For the incumbents, which realistic actions will make this role more attractive?

How will you develop talent to fill the needs? What is the desired mix of Leadership Program to other promotions?

How will you use GMEs to fill the gap? …bring in country? ….send to other countries?

Which new skills need to be added? New behaviors?

14GE Aviation

The ROI from Future-State Talent Optimization

MORE EFFICIENT

WORKFORCE

Integrated Talent Management System to build & grow an optimized workforce

STRATEGIC, PROACTIVE

TALENT MANAGEMENT

DECISIONS MORE FOCUSED TRAINING &

DEVELOPMENT

CROSS POLLINATION OF

TALENT

INCREASED JOB SATISFACTION

15GE Aviation

The challenges we facedUnderstanding the vision

• Paradigm shift in talent management

• Complex methodology

• How does it benefit me?

Speaking the same

language• Different

definitions of talent management and workforce planning

• Difference across functions and locations

Resistance to change

• Senior level buy-in

• New way of thinking

• Tenured workforce

16GE Aviation

Executive supportPersistence

Start smallCelebrate small wins

Lessons Learned

Proof of Concept Scope

Strategy Alignme

ntChange Mgmt

Questions?