The Talent Challenge

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The Talent Challenge
Bernadette Kenny SVP Human Resources Chief Career
Officer March 4, 2008
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Why we know people

• The worlds largest workforce solutions provider
• we know companies, employees and organizational
  challenges
• Weve consulted with organizations on all aspects
  of their human capital management strategies
• recruitment, outplacement, training and
  development
• We enjoy seeing companies and their employees
  achieve success!

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Integrated suite of workforce solutions

• Professional staffing
• Talent management solutions
• Workforce consulting
• Managed services programs
• Large-scale staffing solutions
• Recruitment process outsourcing
• Vendor management

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Trends in human resources

• ChangeDemographics, cultural and political
  change require new skill sets and leadership
  agility
• ScarcityKey characteristic for today and
  tomorrows talent market as age, immigration, and
  educational system misalignments produce
  shortages
• PlaceLifestyle and place expectations gaining
  momentum. Global firms recruit and retain under
  local conditions
• RelationshipsIntegrating the three active
  workplace generations require new workplace
  organizations and systems to support different
  and emerging communities
• These trends were identified in a recent
  executive dialogue with senior HR leaders from
  Xerox, Pitney Bowes, The Thompson Corporation,
  Purdue Pharma, Gen Re, Arch Chemicals, Gartner,
  Korn/Ferry, Towers Perrin

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Human capital management challenges
organizations face
Productivity pressure
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Description
Implications

• Outsourcing of non core functions
• Focus on strategic mgmt. of Human Capital/
  business partner for mgmt.
• Ongoing restructuring work
• Continuing commoditization of servicesand
  becoming vendor managers

• Need for productive and flexible workforce
  management
• New value proposition as change managers
• Need to become business partner
• Heightened tension and focus on cost reduction
  and quantifying value

HR departments
Companies

• Cross-border relocation/off-shoring
• Outsourcing of non-strategic processes
• Mgmt. of diversity in workforce
• Demand for bench strength sooner
• Successful workforce management becomes a market
  differentiation

• Continuous restructuring
• Talent management (recruiting, development and
  retention)
• War for talent
• Increasing ethnic diversity, share of women and
  aging of working population

Demographic pressure
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What employees want..what can you impact?

• 85 health insurance
• 83 job security
• 82 clear policies and procedures
• 76 retirement/pension plans
• 71 flexible, family-friendly workplace
• 69 quick decisions on work issues
• 68 working with talented managers
• 66 creative work, intellectual stimulation
• 66 potential for promotion
• 65 pay
• Poll by Center for State and Local Government
  Excellence, polling 1,200 adults, published
• in HR Executive, February 2008

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New Ways of Thinking
McKinsey Company The War for Talent
Harvard Business School Press, 2001
Ed Michaels, Helen
Handfield-Jones Beth Axelrod

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General guidelines

• Separate what you can control
• from what you cannot control

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Hiring great employeesTips and strategies for
todays competitive job market
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• ?Only a handful of companies understand that all
  successful
• Business operations come down to 3 basic
  principles
• people product profit
• Without top people, you cannot do much with the
  other two.
• Malcolm Forbes

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?Understand your needs - really

• ?Develop a comprehensive needs analysis for the
  open position
• List the 5 major responsibilities of the job
• Detail critical skills for each responsibility
• Review your performance requirements
• Determine educational background necessary for
  the job
• Decide what depth of experience you need
• List other key traits you feel are necessary for
  the job (i.e., personality)
• Explore and understand the conflicts to a
  successful hire
  (i.e., turnover in the department, or
  management issues)

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?Always be recruiting

• ?Even if you dont currently have an open
  position to fill.
• Locating top talent once the need arises will be
  much easier!
• Sources include
• ?Recruiting from within
• Company web site
• Employee referrals
• Passive candidate recruiting
• Classified, Radio/TV and Internet advertising
• College campuses, professional associations and
  community groups
• Professional network
• Career Fairs
• Recruiters/staffing agencies
• Auditioning a temporary employee for a full-time
  position

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Should your organization adopt a passive
candidate strategy?

• It is time and cost intensive, but does pay off
  over the long term
• The Inquisitive PassiveNot actively looking for
  a new role, but may display occasional interest
  (e.g., looking at company career Web sites when
  visiting Web sites for other reasons, or asking
  about what it is like to work at a company when
  engaging in social conversation).
• The Attainable PassiveDoes not engage in job
  seeking behavior, but would be open to speaking
  with a recruiter
• The Loyal PassiveMay be open to speaking with
  known contact unlikely to consider new position
  unless it offered significant advantages over
  current position
• The Unattainable PassiveHigh performing and
  excellent fit at current organization
  organization most likely has retention plan in
  place highly unlikely to entertain even a
  conversation about other opportunities
• Corporate Leadership Council Creating a
  Passive Recruitment Strategy, February, 2006

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Recent/innovative recruitment trends

• Use Social Media Consumer product and
  entertainment companies have caught on, and now
  so is the HR profession. Social media sites like
  MySpace and Facebook house millions of people,
  thus millions of potential employees. New
  capabilities include customized placement of job
  ads i.e. Verizon recently customized their job
  ads with Facebook to only pop up on the pages of
  college seniors and also added a Work with Me
  link to their employees personal pages, which
  led users to their career site.
• Seek Out Talent Waiting for candidates to come
  to you isnt going to cut it anymore. More and
  more, job seekers are creating their own online
  resumes, which can be viewed by the mass public,
  and are being sought after directly by employers.
  One such site, LinkedIn, allows users to
  illustrate their professional background and
  enables recruiters and employers to easily reach
  out and network with potential employees.

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Recent/innovative recruitment trends

• Join Their Community Looking for a comeback mom
  or recently retired worker? There are hundreds
  of blogs and online communities that are directly
  geared towards these audiences. Recruiters can
  engage directly with these individuals by
  becoming an active participant in these groups
  and monitoring the dialogues that take place in
  order to best approach and tailor new job
  opportunities.
• Marketing Your Company More and more, companies
  are moving beyond traditional advertising efforts
  to market themselves to potential clients and
  employees. Maintaining blogs, creating podcasts
  and offering web videos are now highly effective
  ways for employers to reach job seekers. Moving
  a step further, Google recently hosted an open
  house inviting job seekers over for lunch so they
  could meet their staff and experience their
  culture first hand.
• Be Kind To Recruiters With the average American
  switching jobs every 2-3 years and working at
  8-10 companies throughout their career,
  oftentimes, job seekers build long lasting
  relationships with their recruiters who have
  placed them time and time again. These
  individuals have consistently delivered for them,
  and job seekers will learn to trust their counsel
  and insight, so employers should do the same!

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Web trends were distinctive in 2007, with many
ground breaking developments truly characterizing
the evolution to Web 2.0

• General trends
• Social networking, blogging and local
  information as key traffic boosters for websites
  
• Rich media as the ultimate tool for impact and
  engagement
• Emerging mobile content
• Interactive and user-generated content
• Global presence with local customization
• Free WIFI access used as a promoter with
  outstanding success in conversion rates
• Trends specific to online job seekers
• Users prefer specialized job boards based on
  demographics
• 6 decline in Monsters user base

Source Internettrends.org ClickZ.com
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Social computing is an efficient and effective
vehicle to charge the recruitment drive now
Social computing is an integral part of daily
routine for professionals, high earners and
recent graduates across the generations

• Older users dominate web 1.0 destinations and are
  slow in transitioning to the web 2.0 state
  destinations
• Although older users dominate professional
  networks gen Y is quickly catching up
• A mixed theme networking site like Facebook shows
  a balanced proportion of both age groups implying
  a good platform for interaction with the two
  groups

of site users by age group
Source comScore 2007 Media Metrix
Social Computing Moves into Recruitment (Oct
2007) Forrester Research
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Online presence must expand to niche boards and
aggregators
Candidate sourcing channel
Traditional channels
Emerging channels
BU web sites
Job aggregators
3rd party job boards
Online communities
Traditional large
Niche
Professional
Social
Virtual
Blogs
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?Conduct phone interviews

• ?Save time and money by screening out unqualified
  candidates
• Phone skills can be as important as job skills
• Group phone interviews together in a day so you
  can compare candidates objectively
• Ask candidate to send you an e mail summarizing
  their interest and fit is it well written?
• Utilize a staffing agency to assist with
  screening and skill testing
• Ask yourself - if they dont inspire you on the
  phone, will they be inspirational once employed?

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?Control the interview they can do the job, but
will they fit in?

• ?Take detailed notes so you can compare
  candidates
• Remember the 80/20 ruleListen 80 of the
  timeAsk questions 20 of the time
• Keep the candidate on track
• Be consistent with the questions you ask each
  candidate
• Insist that they hiring manager spend at least
  twohours with Director level and above managers
  insures better culture fit

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?Pursue your 1 candidate aggressively

• ?Select a candidate that has the right mix of
  experience, skills, personality, and work ethic
• Verify references
• Remember, theres not always a perfect
  candidate
• Once you identify your top choice, go after
  them!

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Retaining great employeesTips and strategies
to make you the employer of choice
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Todays retention strategies

• Segment your retention efforts
• Encourage manager and employee retention
  relationships
• Create realistic workforce solutions and
  communicate them

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Segment your retention efforts

• Invest in your A players
• Do you know who they are? What programs,
  mentoring or development is available and
  rigorously supported?
• Develop your B players They could become As,
  you cant function without them, they need
  support, motivation and constant praise
• Improve or remove your C players Another 80 20
  rule you spend more time trying to make a C
  an A move on aggressively

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Engagement and retention...what works?

• Missions that inspire, attract and give meaning
  to the sacrifices of work
• Leadership and leaders in the industry and core
  technologies
• Work that is challenging, meaningful and provides
  career opportunities
• Social responsibility and philanthropy for
  employees and communities
• Great managers, who build strong partnerships
  with their employees, supporting their career and
  life needs
• Five Critical Conditions for Employee Engagement
• by Caela Farren, Ph.D., MasteryWorks, Inc.

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A retention relationship what does that look
like?

• Functional understanding
• We talk the same language about our jobs and
  goals
• Productive
• We work together to mutual goals and hold each
  other accountable to commitments
• Meaningful
• Maintain distance with mutual respect
• Profitable
• You are in this together and will together
  benefit
• Transitional
• You understand that this is a moment in time and
  not forever
• Transforming
• Goal is to leave each other having learned and
  benefited, and remember, losing someone to a
  promotion or transfer is a good thing

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What can you do now about retention?

• Have a retention discussion
• Understand the value of the training and other
  Company X resources that are available
• Prepare a career development plan
• Prepare for a management succession process

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Elements of a good retention conversation

• Ask employee why they joined Company X
• Ask employee why they stay at Company X
• Tell stories of people who have moved within
  Company X
• Educate employees on the value of retention to
  them personally
• Teach employees how to coach others to stay

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Realistic observations and solutions

• Knowledge retention and knowledge sharing are key
• Demographics will grow in importance in
  recruiting and retaining
• One size fits all policies replaced with new
  policies
• Life/work programs will be in demand
• Managers need to be skilled in communicating with
  and leading different generations
• Learning opportunities and career development
  will have greater importance
• Team oriented endeavors need to include both
  young and older leaders