ey human capital conference 2012: talent management challenges in today’s global markets
TRANSCRIPT
2012 Human Capital Conference23–26 October
Talent management challenges in today’s global
k tmarkets
Disclaimer
► Ernst & Young refers to the global organization of member firms of E t & Y Gl b l Li it d h f hi h i t l l titErnst & Young Global Limited, each of which is a separate legal entity. Ernst & Young LLP is a client-serving member firm of Ernst & Young Global Limited located in the US.Thi t ti i ©2012 E t & Y LLP All i ht d N► This presentation is ©2012 Ernst & Young LLP. All rights reserved. No part of this document may be reproduced, transmitted or otherwise distributed in any form or by any means, electronic or mechanical, including by photocopying facsimile transmission recording rekeyingincluding by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP. Any reproduction, transmission or distribution of this form or any of the material herein is prohibited and is d st but o o t s o o a y o t e ate a e e s p o b ted a d sin violation of US and international law. Ernst & Young LLP expressly disclaims any liability in connection with use of this presentation or its contents by any third party.
► The views expressed by panelists in this session are not necessarily those of Ernst & Young LLP.
Talent management challenges in today’s global marketsPage 2
Presenters
► Bill Leisy ► Bill McClainy► Ernst & Young LLP► Global Market Leader, Talent
Management
► Bunge EMEA ► Vice President Human
ResourcesManagement► [email protected]
Resources ► [email protected]
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Our discussion today
► Talent management: A point of viewg p► Global mobility: a strategic component of your global
talent managementg► Discussion around Ernst & Young’s 2012 global talent
management surveys: (rapid growth markets, talent management in high-performing organizations)
► Talent 2020: the next chapter► Questions and answers
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Talent management is all about your people
The ability to execute business strategy is directly related to effectively attracting, retaining, developing and engaging your key talent. If done well, talent management creates a sustainable competitive advantage for businesses and a strong employer brand in theadvantage for businesses and a strong employer brand in the marketplace.
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Talent management is all about your people
► A key business issue (Number three global business y ( gissue – Ernst & Young survey 2012; CEOs spend more than 70% of their time)
► Simply, the people issues in your organization – not just an HR issue
► A Point of view:► Alignment to business strategy
I t ti ithi b i ti► Integration within your business operation
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Must be aligned to your business strategy and supported by HRand supported by HR
Talent management
Business strategy
g
HR programsHR programs
HR processesp ocessesand
service delivery
HR complianceand
governance
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Helps execute your business strategy
Talent strategy/
Workforce analytics (internal and external) Performance metricsBusiness strategy
Employee life
cycle
Talent management
Global mobility
HR strategy
Company/HRoperating model
Company/HR p yorganization structure
20 5% 38.0%20.5%greater financial return when companies aligntheir business strategy
greater financial return when integrating key components of talent management programs and processes together and
and talent management
Talent management alignment and integration drives ROI.
throughout the organization
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Highlights from our 2012 global talent management surveys: rapid growth marketsmanagement surveys: rapid growth markets
► 810 global executives:g► 53% C-suite (CEO, CFO, others)► 35 rapid growth markets; 21 industry groups► 44% more than US$1 billion revenues
► Four key talent management global challenges: ► Top management teams lack international experience.► The lack of an internal management pipeline forces companies to
recruit from rivals.recruit from rivals.► Companies are unable to effectively retain and reward high
performers.► C-suite leaders and operational managers hold conflicting views
on talent management.
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Key talent management challenges
► Top teams lack international experience.p pFigure 1: International experience of top management team
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Key talent management challenges
► The lack of an internal management pipeline forces g p pcompanies to recruit from rivals.
Figure 2: Building an international management teamg g g
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Key talent management challenges
► Companies are unable to effectively retain and reward p yhigh performers.
Figure 3: Effective team managementFigure 3: Effective team management
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Key talent management challenges
► C-suite leaders and operational managers hold conflicting p g gviews on talent management.Figure 4: Building an international management teamg g g
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Talent management in high-performing organizations (survey to be released December 2012)( y )
► Talent management characteristics in high-performing g g p gorganizations:► A greater investment in talent management focused on meeting
strategic and financial objectives (global mobility to leadership development)
► Unrelenting focus on developing and sustaining a strong ► U e e t g ocus o de e op g a d susta g a st o gleadership pipeline (succession planning No. 1 difference)
► Developing leaders early in their careers and getting them the key diverse international experiencesdiverse, international experiences
► Using the same talent management outcomes as all organizations to measure success (employee satisfaction, retention), however putting more emphasis on external employer brand
► Greater alignment of performance and paying for performance
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Strategies and best practices in talent managementmanagement
►Define the capability framework, i l di j b f ili l fil
Best practice results:Identify the right
including job families, roles profiles, skills and competencies
►Estimate and forecast workforce requirements by skills and competencies
►Prioritize the critical skill sets and roles
►Develop the hiring strategy
► Strong ER brand
► Attraction and retention of the “right” employees
need
Optimize hiring ►Develop the hiring strategy►Articulate the employee value proposition►Evaluate skills and competencies►Develop on-boarding mechanisms that
enhance productivity
right employees
► Improved employee satisfaction and engagement
Optimize hiring and on-boarding
►Understand key levers for engagement at each location
►Track and respond to data►Personalize interventions based on
EVP
► Higher employee productivity
► Great HR efficiency
Engage to retain
►Develop total rewards that reflect the EVP, engagement plan, etc.
►Align total rewards strategy with labor cost model
► Improved HR effectiveness
► Financial returns
Develop and grow
►Leverage sub-functions across operations to develop skills and capabilities
►Link individual objectives to improvements in performance measures
► Best companies to work for/best employers
Reward broadly
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How to get started
► Align and integrate talent management and global mobility objectives (work together)
► Review the effectiveness between talent management and global mobility (e.g., career development, succession planning, leadership development, performance management, workforce planning)
► Review how effectively you are in recruiting, retaining, developing, engaging top talent p
► Questions you need to be able to say yes to:► Do you know the jobs that need international experiences, the type of experiences
and how employees will get it?p y g► Is your leadership pipeline in critical positions three levels deep?► Can you measure meaningful outcomes from your talent management and global
mobility programs?► Have you aligned performance measures from the organization, region/division,
business units/functions and individual employees?► Have you created a strong employer brand that is consistent with your talent
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management and employee life cycle commitments?
Talent management 2020
Business strategyBusiness strategy
Business strategy
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Questions
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