14/02/2017 1 MBA401 People, Culture and Contemporary Leadership Workshop Week 5 Talent Management and Leadership Development 14/02/2017 2 COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969 WARNING This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (the Act). The material in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection under the Act. Do not remove this notice. 2 14/02/2017 3 • To understand the process of reflective learning and how to keep a learning journal. • To understand the different ways in which talent can be managed and retained. • To understand the role of learning within the organisation. • To be able to identify the processes within succession planning and how it should be used to maintain and develop key talent. • To be able to clearly distinguish between performance and potential. • To understand how the process of leadership succession can be managed within organisations. • LO1 - Explain the key concepts in managing the human resources inherent in an organisational system. • LO2 - Apply human resource considerations to business decision making and in meeting organisational strategic goals. Workshop Objectives 14/02/2017 4 Reflective Learning Source: Gibbs, G 1988, Learning by doing: A guide to teaching and learning methods. London, England: Further Education Unit. 14/02/2017 5 Learning Journal Week 5 Week 6 A collection of notes, observations, thoughts and other relevant materials built-up over a period of time that usually accompanies a period of study, a placement experience or fieldwork. • What did I read for this week’s topic and what did I learn? • What was the most interesting/ uninteresting thing I experienced in this week’s workshop? • What did I previously think was true, but now know to be wrong? • What did I learn about myself? • How does what I learned inform my knowledge about my own leadership? • What have I changed my mind about as a result of this week? • Complete this every week from Week 5. It is a requirement for Assignment 2. 14/02/2017 6 To help a person perform their current role and To enable advancement to the next role Managing Talent Source: Nankervis et al (2014) 14/02/2017 7 Performance Gap Source: Nankervis et al (2014) 14/02/2017 8 • 70% On the job • 20% Relationships • 10% Formal training Learning Comes From Source: McCall, Lombardo and Eichinger (1996) 14/02/2017 9 Ease of organising and administering training Lower costs associated with training Timely planning and implementation Emerging performance problems quickly recognised and addressed Benefits of OTJ 14/02/2017 10 • You have just been appointed to the position of Regional Manager for McDonald’s with overall responsibility for 250 restaurants. • In pairs, come up with a list of 10 ways you may learn from OTJ training. Activity – OTJ Learning 14/02/2017 11 • An increasing need for commitment and loyalty of permanent employees due to current skill shortages. • Employee expertise, organisational experience and customer relationships are important in knowledge economies. • Staffing processes must be designed to ensure retention of these employees through alignment of organisational and personal goals. Retention 14/02/2017 12 • Emphasis was on attracting talent but now also on retention. • Retention involves redesigning a range of HR activities to provide increased job satisfaction. • Increasingly important area in time of skills-shortage because: – 60% of newly placed executives fail in first 18 months. – Honest portrayal of organisational culture is important for expectation alignment. – Importance of employee/organisational culture fit. – Workforce demographics. Retention 14/02/2017 13 • With the person next to you, answer the following question: • What do you think research tells us are the top 3 reasons why people leave organisations? • What has been the main reason you have left a job in the past? Activity - Retention 14/02/2017 14 • Training can be internally developed or externally bought. • Training aims to provide for or maintain an effective level of job performance to achieve organisational as well as personal employee goals. • Training provides opportunities to acquire new knowledge, skills and abilities (KSAs). • Training can be for current job or accommodate changes to jobs. • Training can contribute to organisational performance. • Training can contribute to culture and strategy change. Learning and Development 14/02/2017 15 • Conference or discussion method. • Classroom and laboratory training. • E-learning. • Simulation method. • Apprenticeship and internships. • Conferences, seminars and workshops. • Case studies. • In-basket training. • Leaderless group discussions. • Role-playing. • Management games. • Outdoor learning. • University and TAFE education. Examples of Training 14/02/2017 16 • https://www.youtube.com/watch?v=zNz7MpVtJJg Video – Leadership Development 14/02/2017 17 • Succession planning is the process of identifying highpotential employees, evaluating and honing their skills and abilities, and preparing them for advancement into positions which are key to the success of business operations and objectives. • Succession planning involves: – Understanding the organisation's long-term goals and objectives. – Identifying the high-potential candidates and their respective developmental needs. – Determining workforce trends and predictions. Succession Planning Source: Nankervis et al (2014) 14/02/2017 18 1. Assessment of Key Positions: • What are the competencies and experiences needed to qualify for each key position? 2. Identification of Key Talent: • Typically people at the top two levels of the organisation and high potential employees one level below. • Identified by their management’s assessment of their performance and potential for advancement. 3. Assessment of Key Talent: • For each person on the radar screen, primary development needs are identified focusing on what they need in order to be ready for the next level. Succession Planning Steps Source: Effron and Ort (2010) 14/02/2017 19 • Foundational dimension (e.g. cognitive, personality and interpersonal). • Growth dimension (e.g. adaptability and learning orientation). • Career dimension (e.g. technical/functional skills, performance). • “Identifying the talent that exists in the organisation and the employees who have the potential to be effective in other future roles, usually with much broader responsibilities, and at higher levels in the hierarchy.” (p. 378) Potential Source: Silzer and Church (2009) 14/02/2017 20 High Potential Source: Corporate Executive Board (2016) Aspiration: Who will rise to more senior positions? Ability: Who will be effective in more challenging roles? Engagement: Who are committed to the organisation and will stay? 14/02/2017 21 Activity • 15 questions to judge leadership potential • http://visionroom.com/15-assessment-questionsfor-potential-leaders/ 14/02/2017 22 Not Meeting Performance Exceptional Performance Successful Performance Developing Performance Reached Potential High Potential Emerging Potential Valued Contributor PERFORMANCE POTENTIAL Activity - Talent Matrix Source: Adapted from Effron and Ort (2010) 2. Management Required or Too New 14. Consolidate in Current Role 4. Expand Current Responsibilities 15. Ready Now Talent 3. Management Required or Too New 13. Consolidate in Current Role 1. Expand Current Responsibilities 9. Expand Current Responsibilities 6. Management Required 10. Talent Well Placed 7. Talent Well Placed 5. Expand Current Responsibilities 16. Exit 12. Management Required 11. Talent Well Placed 8. Valuable Talent 14/02/2017 23 Value Complexity Curve Source: Effron and Ort (2010) 14/02/2017 24 High Low HighLow Impact of Leaving Risk of Leaving Medium Medium Risk Assessment Source: Effron and Ort (2010) 14/02/2017 25 • Orderly process of identifying and grooming people to replace managers. • Succession planning is linked to leadership development in two ways: – Being groomed as a successor is part of leadership development. – Process of choosing and fostering a successor is part of a manager’s own development. Leadership Succession Source: Dubrin (2013) 14/02/2017 26 Good Succession? 14/02/2017 27 Bad Succession? 14/02/2017 28 • Should not be regarded as a detached, objective management process. • In family firms, leadership succession is a highly emotional process. • Turnover and productivity can be impacted. • Emotional reactions can occur throughout the organisation. Leadership Succession Source: Dubrin (2013) 14/02/2017 29 • Evaluate the extent of an organisation’s pending leadership shortage. • Identify needed executive competencies. • Identify high-potential individuals for possible inclusion in the pool. • Establish an individually tailored developmental program for each potential candidate. • Select and place people into senior jobs based on their performance, experience, and potential. • Continuously monitor the program and give it top management support. Succession Pool Source: Dubrin (2013) 14/02/2017 30 Video – CEO Succession • https://www.youtube.com/watch?v=TdqYV4ALO34&list= PLyyBtAHEC-0aW2uzJtYR5Tgtfd-LmSA0g&index=2 • What is the most important factor that should be taken into account when planning CEO succession? 14/02/2017 31 • Unless top-level management assigns a high priority to developing leaders and succession planning, the company will experience a steady attrition in talent. • Leadership talent can be developed, leaders are both born AND made. • Leadership development is often perceived in terms of education and training, job experience, and coaching. Leadership Development Source: Dubrin (2013) 14/02/2017 32 • Self-Awareness – insightfully processing feedback about oneself to improve one’s effectiveness. • Self-Discipline – mobilising one’s effort and energy to stay focused on attaining an important goal. Source: Dubrin (2013) Leadership Development 14/02/2017 33 • Complete the Interpersonal Skills Checklist • What is your key reflection from doing so? Activity – You 14/02/2017 34 • Education • Experience – Challenging experiences – Broad experiences – Pivotal life experiences • Mentoring – Formal – Informal – Shadowing Source: Dubrin (2013) Leadership Development 14/02/2017 35 • Feedback-intensive programs. • Skill-based programs. • Conceptual knowledge and awareness programs. • Personal growth programs. • Socialisation programs. • Action learning programs. • Coaching and mentoring. Leadership Development Source: Dubrin (2013) 14/02/2017 36 • Form 2 teams to debate the following: • Should a company promote an insider or an outsider to a top position? • What are the advantages and disadvantages of each? Activity – Promotion Debate 14/02/2017 37 Summary • Training can take a number of different forms, some of which are more appropriate for certain employees. • Succession planning is a critical process for leadership and management. • Clear understanding and definitions of performance and potential are required for the process to be successful. • Leadership development can take different forms. 14/02/2017 38 Any Questions? 14/02/2017 39 • From today’s workshop: – What have you learned about leadership? – What has surprised you? – What have you learned about yourself? – How could you apply these learnings in the workplace? – How could these learnings be reflected in Assessment 2? Activity – Journal Reflection 14/02/2017 40 Assessment 2 Overview • Refer to subject outline. 14/02/2017 41 Any Questions?