where will they come from? creating a business case for wr involvement in your organization phyllis...
TRANSCRIPT
Where Will They Come From?
Creating a Business Case for WR Involvement
in Your Organization Phyllis G. Hartman, SPHR
PGHR Consulting, Inc.
Pittsburgh, PA
www.pghrconsulting.com
Agenda
• Introduction• Voting Activity• Background – The Facts/The Future• Who’s Responsible• 8 Steps in Making a Business Case• Examples of Initiatives• Success Stories• Questions/discussion
Alan Greenspan, ChairmanAlan Greenspan, ChairmanUS Federal Reserve Board, July 2000US Federal Reserve Board, July 2000
A Look at the Future…
““Workers must be equipped… Workers must be equipped… with technical know-how… the ability with technical know-how… the ability
to create, analyze and transform to create, analyze and transform information and to interact effectively information and to interact effectively
with others… learning will increasingly with others… learning will increasingly be a lifelong activity.” be a lifelong activity.”
The Present The Facts:
– only 1 out of 5 HR professionals say all of
their employees have the competencies they
need
– 54 percent say some of their workers have
the competencies they need
– 8 percent say almost none of their workers
have the right competencies (Source: SHRM 2005 Future of the Labor Force study)
The Facts
Top 5 missing competencies:
– Overall professionalism– Written communication skills– Analytical skills – Business knowledge – Verbal communication skills
(Source: SHRM 2005 Future of the Labor Force study)
Workforce Entrants w/HS Diploma -- Deficient
10.8%
45.6%
70.1%
64.5%
10.3%
23.9%
42.4%
8.7%
0.2%
11.7%
8.8%
2.8%
0% 20% 40% 60% 80% 100%
High schoolgraduates or G.E.D
equivalency
Two-year college ortechnical school
graduates
Four-year collegegraduates
Deficient Adequate Excellent N.A.
Rating of Overall Preparation
The Conference Board; Partnership for 21st Century Workforce; Corporate Voices for Working Families; & SHRM; Are They Really Ready to Work? 2006
Next 5 yrs skills importance Increasing
* Applied Skill
63.3%
64.0%
64.0%
64.4%
65.9%
66.9%
67.1%
73.6%
74.2%
77.4%
77.8%
64.3%
48.8%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Mathematics
Foreign Languages
Life Long Learning/ Self Direction *
Written Communications *
Ethics/Social Responsibility *
Professionalism/ Work Ethic *
Oral Communications *
Leadership *
Diversity *
Creativity/ Innovation *
Teamwork *
Information Technology *
Crticial Thinking/ Problem Solving *
The Conference Board; Partnership for 21st Century Workforce; Corporate Voices for Working Families; & SHRM; Are They Really Ready to Work? 2006
Business sees Education & Entrants ResponsibleWho has primary responsibility for workforce readiness?
Check all that apply. N= 431
75.6%68.4%
49.7% 45.2%
19.0% 13.7% 11.4% 8.1% 7.0% 6.7% 4.4% 1.2%
K-12
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The Conference Board; Partnership for 21st Century Workforce; Corporate Voices for Working Families; & SHRM; Are They Really Ready to Work? 2006
Education Issues
• 1 out of 3 adults in their mid-20’s started college, but didn’t finish
• Only 26 percent of U.S. adults have a college degree; all but 2 of 50 highest paying occupations require one
• Only 7% of US grads are in science & engineering
• The fastest growing demographic groups have the worst history of HS and post-secondary education
• The digital divide is more extreme – est. 40% of jobs today require technical/computer literacy
The Silent Epidemic
Almost one third of all public high school students – and nearly one half of all blacks, Hispanics and Native Americans – fail to graduate from public high school with their class.
The Silent EpidemicPerspectives of High School DropoutsA report by Civic Enterprises in association withPeter D. Hart Research Associatesfor the Bill & Melinda Gates Foundation
March 2006
Demographic Issues
• 82 million Baby Boomers will retire
• 45 million Gen Xers are available to replace them
• Fewer International Workers are available:– Visa challenges– On-line education– More opportunities for workers in home
countries
Quick Changing Skill Needs
Demand for new skills will be driven by:– Technology– Globalization– Diversity
Speed of change
is unlikely to decrease!
Technology Adoption Rate
713
1522
2630
3435
444654Airplane
Household Electricity
Automobile
Telephone
VCR
Microwave Oven
Television
Radio
PC
Cellular Phone
Internet 713
1522
2630
3435
444654Airplane
Household Electricity
Automobile
Telephone
VCR
Microwave Oven
Television
Radio
PC
Cellular Phone
Internet
Yrs to Attain 25% Market ShareYrs to Attain 25% Market Share
Carlene Ellis, Intel, NAWB, 3/2003
Whose Responsibility?
• Parents• Government• Students• Schools• Business
Discuss with your partner
Share with group
Whose Responsibility?Are They Really Ready to Work 2005 Survey:
“Educational institutions and entrants themselves are considered to have primary responsibility for Workforce Readiness.”
The Conference Board, Partnership for 21st Century Skills, Corp Voices for Working Families & SHRM
WR is Everyone’s Issue!
• It is as simple as realizing the value of a prepared workforce
• Helping others, students, parents, teachers, the community to understand the needs of the future workplace is the key
But How Can HR Professionals Convince Their Organizations to Get Involved?
Step 1 – Understand the Situation
Educate yourself about the challenges you will face:
Do a workforce audit:• Who do you have? • What are their skills?• How long will you have them?• What is their potential?• What motivates them?
Educate yourself about the challenges you will face.
Learn your business:• What is your
organization’s real business?
– Make people happy
• What is the mission/vision/values?
• What is the “market/business strategy”?
• What does the Strategic Plan say about where you are going?
• What’s the competition?
Educate yourself about the challenges you will face.
Compare the now and the need:
• Who (what talents) will you need going into the future?
• When will you need them?
• Can you train/develop them from the inside?
Educate yourself about the challenges you will face.
Do an external environmental scan for talent:
• Review Census data• Look at educational programs in your area• Look at what other employers are doing
Step 2 – Develop Internal Credibility
• Develop an understanding of the perspective of Management by educating yourself about their areas of responsibility– Learn about their functions, Marketing/Sales,
Production, etc.– Learn about their goals– Meet with them to ask about what they think they
will need in the future workforce
• Learn to speak their language: “Investing” and ROI
Step 3 – Prove the Problem
0
10
20
30
40
50
60
70
80
90
Engrs Mgt
Boomers
Gen X
Gen Y
Use information gathered in Step 1:
• Current Population• Future needs• External information• Gaps
Make sure everything is expressed in business terms.
Use HR Metrics
• Cost per Hire
• Labor Cost as % of Revenue
• Job Offer Yield Ratio
• Turnover of Key Talent
• Training Cost per Hire
• Time to Fill
See: http://www.shrm.org/hrtools/spreadsheets_published/HR%20Metrics
Step 4 - Identify the Benefits to Business
• More talented/skilled employees recruited
• Better prepared workforce• Skills for future learning/development• Educators more in tune with employer
needs• Reduced training $’s -- 25% to 50%
– Lower initial training– Lower turnover & re-training
Putting the right people with the right skills in the right jobs pays off in
profits
Total returns to shareholders, 2002-2004
Cos that fill positions within 2 weeks: 59%
Cos that fill positions in 7+weeks: 11%
(Source: Watson Wyatt 2005 Human Capital Index)
Step 5 – Engage Others in finding Solutions/Support
Though it might seem easier to provide the answer, getting them to own the problem too has a major impact.
Getting a powerful ally goes a long way to being successful – find a management advocate whenever possible.
Step 6 - Be prepared with ideas• Look for programs that are already in place, i.e..,
JA, Ground Hog Job Shadow, SHRM – www.shrm.org Volunteer Leaders Resources
• Gather measures and numbers to prove success good ROI from these programs
• Talk to others HR/WIBs/Associations
• Start small, pilot programs
• Ideas that directly relate to your business goals
• Be willing to be the glue
Even Small Companies CAN take a role in Workforce Readiness
• Use interns or externs• Speak in local high/middle school classes • Connect companies/organizations
initiatives: Junior Achievement; America’s Promise; Chamber of Commerce; Business Council
• Form coalitions – large & small co. prepare/recruit entry candidates for small; later good candidates for larger co.
• Tours of facility - classes/scout troops
Step 7 – Set/Use goals/objectives/measures
• Goals and objectives allow you to determine measures of success
• Make sure goals relate to business objectives
• Measure and communicate results
Set Goals
Measure Results
Revise Programs
Step 8 – Keep Evolving
• Since change is eminent – keep changing the program as needs change
• Provide flexible alternatives to meet needs of all employees so everyone can stay involved
• Stay accountable – programs that are neglected and allowed to “die” are bad publicity
Example - UPMC• UPMC – 15 hospitals & research facilities,
40,000 employees - HQ Pittsburgh, PA• Recognized need for a Strategic Diversity Plan –
targets: nursing-males; allied healthcare-females• School/student/parent involvement a natural• Goals: recruit-retain; develop current employees;
get community involvement/attention• Job shadows; school partnerships w/local hosp;
internships; loans; tuition programs• Tracking students
Example - Penn United Technologies
• Tool & Die Co.-750 employees – founder Carl Jones 35 yrs ago believed community involvement = future workers
• Core vision, values, mission include focus on the community
• Encourage employees to do outreach, join school board, support local vo-tech, visit the local schools
• Company works with a collaborative of other manufacturers – new focus is outreach to “misplaced”
• Training Dir. Is tasked with being the “drum beater” to keep everyone engaged, measure successes, look to the future.
Example – Hamill Manufacturing
• Precision machining company – 112 employees• HR manager joined the company because they were
involved with workforce readiness• Company does career day programs, job fairs,
apprenticeship programs, work w/tech schools• HR manager started a county wide school
competition “Bots IQ” (robotics) leads a committee – is the glue – that pairs schools-companies
• Results are positive image for “new
century” manufacturing
Example - Manpower• Worldwide recruiting/staffing/career
management company with 4,400 offices• Gets involved with organizations/programs like
“RealSkills” in CA for public assistance recipients teaching IT skills
• Spearheads efforts like TechReach entry-level IT training, w/partnerships of local employers; business associations; community-based organizations; educational institutions; government agencies at the local, state and federal levels; training organizations; publicly funded workforce organizations
• Payback is a better prepared workers for them to place!
Example – Little Earth Productions
• Fashion products company (license plate purses) – 45 employees
• CEO got involved because the Mon Valley Ed Consortium asked them to
• Offer tours of facility• Provide internships to HS students – “City
High”• Increased ee morale &
recognition for the company
Some Other Education/Business Partnership Examples
• Educator externships• Career Awareness• Career Days or Career
Fairs• Job Shadowing• Mentor Relationships• School-based enterprise• Work experience• Curriculum development• Education/business
exchange
Government/Service Agency Program Examples
• Lobbying for funding/programs/legislation
• JA Groundhog Job Shadow• Participation in Workforce Investment
Boards• Programs at State One-Stops• Support programs like: Homeless
Children’s Education Fund; YouthWorks; YMCA
Employee Support Examples
• Allow employees volunteer time – tutoring/mentoring
• Support/educate employee involvement in schools
• Solicit parents of children• Solicit businesses of
parents• Matching contributions for educational
programs/scholarships
Help the C-Suite Understand!
• Business, education, WD professionals must work together to share information and resources
• Our focus must be on ensuring we are preparing students/employees with skills they can adapt for the future – life-long learners
• We need to make our voices heard in the community and in legislative circles to help everyone understand the critical importance of investing in our schools
Use the Information from this Presentation
• Statistics about current education challenges
• Demographic information vs. your demography
The prediction of the 2004 Task Force on Workforce Development
doesn’t have to come true!
“The lack of basic skills… and shortages of workers… create a danger that the American economy will drift into what economists call a' low skills equilibrium’…”
Questions/Ideas
Thank You!
Phyllis G. Hartman, SPHR
PGHR Consulting
PO Box 63
Ingomar, PA 15127
412-367-7555