Showing posts with label employee retention. Show all posts
Showing posts with label employee retention. Show all posts

Sunday, September 6, 2009

Training and Development - Conjured Learning

Training and Development - Conjured Learning

Simulations as more than learning tools

Key learnings:

Gaming simulations have carved a niche in training

But they also have the potential to move a little beyond that

Gaming will enable learning professionals to reinforce key learning ideas, deliver more attractive, engaging sessions and ensure higher retention levels is an irrefutable fact. Organisations are so satisfied with just this much that only few have exploited the true potential of gaming.

“Simulation games have more potential than what is currently being harnessed,” says an expert in gaming technology. The biggest discovery is using games to bolster business performance. In fact, once organisations understand the correlation between gaming and business performance, the final word in the learning world will be games!

Simulation games allow learning professionals to reproduce complex market, organisational and customer-service systems and conditions. As a result, learning interventions are better poised to support business performances. Read on to understand the link between simulation games as a learning tool and improved business performance.

Reasoning
The question, “Why simulations?” though answered a hundred times before, todayt in answering the same question, the objectives are to highlight:

1. Using simulation games is relevant in present times
2. How simulations boost business performance

The joys of simulation

Besides their high entertainment value, using simulation games can create knowledge. By modelling work-life conditions, they enable learners to understand:

1. Complex market functioning
2. Tactics that support improved business performance
3. Competencies and skills needed to achieve high performance

In short, simulation games, when well leveraged, give organisations a unique business advantage. Detailing reasons why simulation games should become a hot favourite, especially when increasing business performance is the key learning objective.

Generational preference:
With gamers representing an increasing chunk of the employees, short, intermittent online learning exposures will leave learners dissatisfied and disillusioned Simulation games offer modern learners what they expect - a wholesome online learning experience.

Equally important is for organisations to understand the importance that modern generations place on technology. To them, technologically non-savvy organisations have no future. As the head of a telecommunications company reiterates, “With the younger generation in particular, it is important to attract such employees with the kinds of technology they have come to expect, including simulation games and Web 2.0 capabilities” .

As well as to helping organisations cater to the learning needs of newer work generations, simulation games help attract and keep the young crowd! But these benefits are just the beginning.

Built-in learning:
Simulation games place learners in practical performance management situations. Here, learners play a central role in managing and controlling and gain practice in making the right moves. Learners also enjoy the luxury of making errors without suffering its outcomes. With rapidly changing trends, having learners return to classrooms or online sessions often is not possible. With this limitation, simulations provide a great learning platform and what is best is that learners are not getting short-changed in the bargain. On the contrary, they benefit more from the experience of being-in-the- moment. “Compared with traditional classroom learning, simulations help learners master content and new behaviours forty – seventy percent faster,” says an expert. Speeding learners to new learning competencies translates into quicker business results.

The differentiator
There are market simulations that allow learners to perform ‘what if’ analyses. By modelling cause and effect associations that exist in a particular market environment, these simulations allow learners to get a first-hand feel of complex market functions and human interactions. Simulations also make learners better assessors of real-life situations. Known as the ‘déjà vu factor’, a learner who has experienced something in a simulated meeting will immediately link it to what he is going through in real-time.

Simulations can also help business plans and organisational structures to enable employees to understand the complex web of their operations and functioning. Organisations have used such simulations to identify actions and interactions that act as obstacles or hamper functioning. Simulations have also helped them test the solutions. In fact, an emerging practice is using simulations for corrective and preventive measures. Customising all these simulations to the‘t’ will have the desirable impact.

As mentioned above, simulations can help gain critical skills and competencies even when individuals have had no prior experience in it. A railway company employed a cost-centre simulation solution to help their employees, who were engineers with no exposure to finance, gain financial management skills. By engaging those in complex role-playing and allowing them to plan and perform operational activities, the engineers felt as comfortable as their finance counterparts by the end of their training.
The benefits of simulation continue to charm organisations. But thinking of them as learning tools alone will prevent organisations from using them as part of performance management. Given the increasing complexities of the business world, speeding employees’ knowledge and competency gaming is a definite way to ensure better and quicker business results.
Ref: TheManageMentor.

Tuesday, June 23, 2009


Improving Returns on Talent

How should companies approach and formulate a talent strategy focused on better returns.

Organisations have worked over the years towards efficiently managing and monitoring returns on capital and assets. This has been an important role for the CEO and top management in years of boom and downturns.

However, there remains a great deal of ambiguity over the idea of managing talent as an asset. While organisations commit huge investments in talent and incur heavy costs on it, rarely do CEOs have visibility on the returns on talent employed (ROTE).

Investments in talent

An organisation makes multiple investments in acquiring and utilising its talent effectively. These are:

Time and effort: The man-hours spent by HR managers and others in an organisation in recruiting and managing talent adds up to quite a lot. And this has a cost attached to it.

Operating costs: The largest human resource costs in a company are in the areas of recruitment, training, staff welfare, travel for HR-related processes and so on.

Overall employee costs: This is an aggregation of cost to the company (compensation and benefits) of all employees. These costs are a part of the profit and loss statement of companies and normally tend to increase over time.

These spends directly hit the bottom line of the company. In times of downturns, organisations look at cutting down these spends to reduce costs. Although obvious and intuitive, this approach to improve ROTE has limited benefits and could prove counterproductive in the long run. Considering that any recessionary or slow growth phase is likely to be followed by a phase of rapid growth and expansion, a reduction in talent investment has to strike a balance between short-term pressures and long-term imperatives.

An alternative approach

Companies’ top management have always, knowingly or unknowingly, strived towards improving returns from talent. Their concern and need is to find more comprehensive ways of doing so. But what comes in the way is the absence of a common understanding of what constitutes talent, what kind of returns to expect and what levers must be used to improve ROTE.

Talent constitutes not merely employee numbers but also their capabilities. Hence, ROTE may be defined as the value gained in terms of contribution to business results through effective utilisation of talent and its capabilities while optimally managing talent costs.

The concept of "talent value chain" provides a comprehensive model to view the processes through which talent is employed and utilised

An organisation’s strategic goals along with a well-defined organisational structure are the starting point of the talent value chain. Each link in the talent value chain is a talent lever. Specific actions and initiatives under these talent levers are identified and planned leading to development of a "talent strategy".

Like business strategy, talent strategy addresses the key challenges a company is facing and hence, necessitates a careful examination of business challenges and objectives. It also needs to be adapted and changed to suit changing business environments and goals. Such a talent strategy ensures optimal and appropriate utilisation of talent and hence leads to an improved ROTE.

However, an appropriate and well-articulated talent strategy is rarely found to exist in organisations and hence improved returns on talent seem to constantly elude them. Let us examine three different business scenarios to illustrate the approach that an organisation can use to develop its talent strategy.

Downturn/low growth: An organisation struggling with a downturn or slow growth in its industry is faced with the challenge of optimally managing its assets and costs. Such an organisation should, therefore, employ its talent levers in a manner such that they address this strategic challenge.

In workforce planning, the organisation’s focus should be on optimal utilisation of talent through re-deployment or reducing existing manpower. Similarly, recruitment should either be frozen or highly selective. High performing, valuable employees should be identified from the less productive ones based on performance differentiation. This would help identify both talent which the company must strive to retain and manpower which can be released without a significant impact on company productivity.

Rewards too can be selective. Only those who contribute significantly should be rewarded. Policies should be reviewed to enhance centralisation, wherever possible. Potential development and retention should be geared towards the best-performing talent. Thus, this approach helps improve ROTE through managing costs, optimal utilisation of talent and high involvement of top management.

Rapid growth: Any organisation operating in an environment of rapid growth will look to capture a large share of business. This obviously translates into a key strategic challenge — talent acquisition and development.

In such a scenario, talent strategy is not so much focused on differentiation, as in a downturn/low growth situation, but on the speed of ramp-up for building employee numbers, their skill development and retention across levels.

Rewards and benefits are liberal and aimed at retaining a large mass of the employee base to maintain high productivity levels and build capacity. High degree of delegation for decision-making is dispersed across the management hierarchy to provide control and authority at key positions in the organisation to facilitate quick turnarounds.

ROTE is enhanced through improved skill base availability, development of skills in line with business requirements, and building and maintaining talent capacity. Hence, the talent strategy and initiatives are geared towards enabling the firm to successfully meet growth targets.

Global expansion: As organisations grow and evolve, they are likely to look at global expansion for higher growth. In such a scenario, strategic objectives change dramatically. This necessitates the redesign of the organisation structure and roles and also needs a drastic shift in talent strategy.

The talent strategy in such a scenario is focused on shifting from known practices to redefining talent practices to make them relevant to a global, geographically dispersed entity. Hence, it will focus on redefining recruitment practices to successfully recruit in new geographies, establishing a new employment brand and company identity, adoption of global practices, global standardisation of policies and practices and compliance. These become the key areas to improve ROTE in an international, multicultural context.

Formulating a talent strategy

A structured and sound methodology to formulate and deploy a talent strategy is described in figure 2. The initial phase is primarily to understand the strategic objectives and ensure that there is an appropriate organisation structure, with clearly-defined roles, to support the achievement of company goals.

This is followed by an assessment of the processes in each link of the talent value chain. During this phase, a company may discover a complete absence of a process or gaps in the processes. These constitute the areas of improvement or new initiatives which are necessary to achieve company objectives.

These improvement areas/new initiatives are then prioritised depending on the strategic challenges and goals of the company and the presence of supporting systems/processes. This leads to a talent strategy defining specific steps or initiatives along each link of the talent value chain (talent levers). Based on this, a detailed implementation schedule can be developed with specific initiatives and timelines.

This approach, while simple and easily implementable, can provide disproportionate returns on talent employed. It provides a framework that can be used to ensure that an organisation’s talent is aligned towards achieving its strategic objectives. With such alignment, companies can maximise their ROTE in any industry or economic scenario and gain an advantage over their competitors.

Reference: Business Standard ( Article by: Sona Rajesh & Amit Bajpayee)

Thursday, March 26, 2009

Counselling at work place- The Resonance Way

Counselling at work place- The Resonance Way

The Resonance Way

“I no longer have the enthusiasm, energy or creativity I once had towards my work", says Indu Jain, Fashion Designer at L'haut, a garment manufacturer.


Like Indu, employees who once derived pleasure from their work, have begun to lose interest, energy and talent. Though such employees turn in mediocre performance, increased competition and globalisation demand excellence and continuous improvement.

“We direct our efforts to help employees renew and revive the way they once felt about their jobs ", says Ravi Menon, HR Manager, La Femme. This helps the company retain some of their best talent for competitive advantage. These efforts make an employee feel that the company values his past contributions, and wants him to have a fulfilling and positive attitude towards work.

Talk ' Resonance'.

'Resonance' or 'flow' refers to the state of mind where an individual employee is deeply involved with a task, overcomes obstacles effortlessly and finds the experience more satisfying than the result. For example, in a game of tennis, the player is more satisfied with the techniques he used to overcome his opponent's moves rather than actually winning.

Identify and Rediscover.

HR needs to identify if employees ever experienced ' resonance' during their careers. Ask employees about their experiences at work or with any other activity. Ask open-ended questions like how an employee felt when he received the award for the ' best performer of the year.'

Identify and Recreate.

To prevent boredom and monotony at work, employees are eager to pursue hobbies and interests. At times, this can be given more priority and thus effect an individual's concentration at work.


Revisit a dream.

Dreams and personal aspirations play significantly influence an individual's performance at work. People tend to work better to fulfil personal aspirations rather than duty or obligation. However, obstacles like ill health or circumstances often prevent the realisation of a dream.

People who were successful and were excellent performers may never have had a dream to work towards. Despite success and fame, such employees never have anything more to look forward to. They do not put in the time, energy and talent that they once used to. Resonance makes them reflect on work and how they can make it more meaningful.

Reference: TheManageMentor

Thursday, March 12, 2009

Talent Acquisition: Quality of Hire and Passive Candidates Reign Supreme

Talent Acquisition: Quality of Hire and Passive Candidates Reign Supreme

The growing shortage of desired skills is compounded by an increasingly competitive global marketplace and an uncertain economy - all of which combine to force organizations to get more from the same, or less. It's critical that organizations find and lure best-fit talent and increase workforce productivity and retention. While each of these has pre- and post-hire implications, they also can be impacted by an organization's talent acquisition strategy. However, according to recent data from Aberdeen Group, the ability to identify and attract top talent continues to challenge most organizations.

The Shortage and Misalignment of Skills

Aberdeen Group's July benchmark report, "Talent Acquisition Strategies: Employer Branding and Quality of Hire Take Center Stage," revealed the two predominant factors driving talent acquisition at more than 80 percent of organizations surveyed revolves around the competition for skills, the limited supply of skills or both.

In addition to these external pressures, organizations face internal struggles when it comes to effective talent acquisition. Some 46 percent of all organizations - including 56 percent of those that achieved Aberdeen's best-in-class designation (top 20 percent) - cited workforce planning as their top challenge.

The second-highest ranked internal talent acquisition challenge facing best-in-class organizations focuses on the organization's ability to identify, recruit and validate better hires. In fact, 41 percent of best-in-class organizations cite quality of hire as an internal talent acquisition challenge, compared to only 23 percent that rank ability to reach ideal job candidates and time to fill job vacancies as key internal challenges. Laggard organizations (bottom 30 percent) place relatively equal weight on quality of hire, reaching ideal candidates and filling vacancies in a timely fashion.

Best-in-Class Talent Acquisition Strategies

To overcome the aforementioned macro pressures and internal organizational challenges, best-in-class organizations look longer term and focus on enhancing their employer brands, engaging and attracting passive candidates and targeting those who are best fit for their organizations and available job roles.

Best-in-class organizations distinguish themselves in talent acquisition through a mix of processes and technologies that force organizational collaboration, engage existing workers and target their collective efforts on what matters most to the organization. These work collectively to enable best-in-class organizations to achieve extraordinarily average year-over-year performance gains against the key performance indicators.

Key Differentiator: Recruiting Passive Candidates

Aberdeen's research shows talent acquisition in 2009 will be as much internal as it is external to the organization. But both must focus on heightening the organization's employer brand.

Internal strategies will focus on identifying and developing high-potential workers to fill anticipated higher-level vacancies. Best-in-class organizations place greater emphasis on career development, leadership training and flexible work environments to be more attractive to potential hires and more caring of existing staff. Some 68 percent of best-in-class organizations cite promoting career development and professional growth opportunities in recruiting campaigns as a top priority.

Progress against development plans for individuals designated high potential will be measured against the organization's needs to determine if, or when, the position must be filled externally.

External strategies will focus on finding and engaging talented professionals who are not actively seeking new employment. Passive job seekers are not easy to locate, but they represent an important part of a successful talent acquisition strategy. Aberdeen's research found 62 percent of best-in-class organizations are focused on creating or improving a data repository of desirable active and passive job candidates - versus only 46 percent and 35 percent of industry average (middle 50 percent) and laggard companies, respectively.

Whether internally or externally focused, an organization's talent acquisition strategy must create or validate candidates' and employees' perceptions of the organization as a great place to work. Fifty-three percent of best-in-class organizations focus on having corporate marketing and recruiting work together to improve employment branding. An additional 30 percent of best-in-class plan to have this collaboration in place during the next year. The importance of an internal talent acquisition strategy focused on making existing employees feel positive about the organization is highlighted by the following statistics:

a) Employee referrals are cited by all organizations - and 82 percent of best in class - as the top source to find desirable talent.

b) Some 74 percent of best-in-class organizations rank employee contacts and networks in their top three ways to recruit passive candidates, followed by attending conferences, industry events or tradeshows (60 percent) and visiting social networking sites (30 percent).

Best-in-class organizations are more aggressive at communicating job openings and job-role needs to current staff, and 79 percent are more likely to use the corporate Web to showcase the company's culture and opportunities.

Key Differentiator: Collaboration Between Recruiters and Hiring Managers

Collaboration between recruiters and hiring managers is critical to ensure they get the right candidates within an agreed-to time frame. This collaboration is in place at 89 percent of best-in-class organizations, resulting in a mutual understanding of expectations around the process, skills, attributes and attitudes in a desired candidate.


Aberdeen's research revealed a significant disconnect between human resources professionals and the hiring managers they serve. Non-HR managers are more likely than their HR counterparts to rank quality of hire as a critical success metric for talent acquisition. The same data also shows HR professionals are more likely than non-HR managers to rank time to hire as a critical success metric.

While HR and non-HR managers place relatively equal weight on the importance of overall hiring manager satisfaction, the difference in priority they place on quality of hire, quality of candidate and time to fill suggests a lack of understanding on what it takes to satisfy a hiring manager.

The importance of this collaboration is more pronounced when considering that organizations plan to increase hiring managers' involvement in the recruitment process. For example, 48 percent of best-in-class organizations get line managers involved in candidate follow-up calls, but some 75 percent plan to do so within the next year. Only 32 percent of best-in-class organizations train hiring managers on passive recruiting, but an additional 41 percent plan to do so during the next 12 months.

Key Differentiator: Measuring and Validating Quality of Hire

Seventy-four percent of best-in-class organizations said they have an "understanding of which applicant sources provide the best quality job candidates," compared to only 52 percent of lagged organizations.

When asked for the top four indicators their organizations uses to determine quality of hire, best-in-class organizations' responses focused on two areas: how quickly new employees got up to a desired level of competence and how long they lasted in their role during the first 12 months of employment.

To measure the quality of recent hires, organizations need to have processes in place to determine what level of performance the new employee should be at in three-month, six-month and nine-month time frames; to measure the candidate against those milestones; and to evaluate any performance gaps that need to be addressed. How well an organization can measure new hires job performance and use that information to improve the recruiting process plays a major role in a successful talent acquisition program.

Yet, according to Aberdeen's research, organizations ability to clearly articulate what quality of hire actually is still has a long way to go. Research revealed that quality of hire at most organizations is based largely on loose definitions. In fact, establishing "clearly defined metrics pertaining to quality of hire" is the most common plan related to talent acquisition that organizations will put in place in the next 12 months.

Recommendations

1. Gain clarity on skills gaps. Clearly define the common behaviors and skills of the organization's top performers or key contributors. Use this or the organization's core values as a general competency framework to identify skills gaps. This enables an organization to ascertain where gaps can be filled internally and which require more targeted recruiting efforts.

2. Seek feedback. New hires should be interviewed after the job offer to obtain feedback on the recruiting and hiring process. Make improvements as needed.

3. Define success metrics. Clearly defined metrics should be in place to measure the success of talent acquisition efforts. These metrics should be agreed on by HR and hiring managers and should address the organization's specific business issues.

4. Involve hiring managers. Hiring managers and recruiters need to be trained to use new technologies to find passive job candidates. Such workers can be a vital source of talent and expertise but have traditionally been invisible in recruiting efforts.

5. Focus on internal and external employer brand. The entire organization should work together to collectively brand the company a best place to work. Recruiting should be seen as an enterprise-wide function, not the role of human resources.

Ref: Kevin Martin
[About the Author: Kevin Martin is vice president and principal analyst of human capital management for Aberdeen Group.]

Wednesday, December 31, 2008

Villain-In-Chief-People-Management

Are you the Villain-In-Chief-People-Management?


Nothing frustrates a worker more than a bad boss!

Bad bosses are difficult and can make work treacherous for others. They are not a rarity, but are quite common in organisations. Their presence is hard to ignore and even harder to dodge. As one works hard to climb the corporate ladder, bad bosses can prove to be stumbling blocks to an otherwise smooth rise. 

What can one do to establish a cordial working equation with a bad boss? While the victims of a bad boss know that they are working under one, they still fail to understand his/her behavioural nuances. They do not analyse the psychological make up of their boss and end up being victimised. If the subordinates of a bad boss want to stay in the job, they have to be smart enough to understand the mental makeup of their boss, since without a clear understanding of the reasons behind the boss's tantrums the victimised subordinates could get unduly stressed. 

Bad vs. bully To begin with, it is important that victims understand that a 'bad boss' is different from a 'bully boss'. Bad bosses are not bullies. They are simply bad and gravely annoying. They tend to attack a person's self-esteem and pride in subtle ways, thereby alienating him from the team. They also tend to play favorites and always create unhealthy competition between team members. They do not aim to build cohesive and productive teams, but focus on preserving their command and control over teams, irrespective of the means. They also tend to get vindictive and personal with their subordinates, and take criticism as an assault on their credibility as a person. There are more such attributes of a bad boss. An understanding of these will help workers stay wary of them. It also enables bosses to introspect and assess for themselves their credibility as a boss. 

There is no consensus on the attributes that define a bad boss. Every person will have different definitions of good and bad, and therefore it is difficult to pin point the characteristics of a bad boss. However, there has been extensive study on the subject which shows that while there may be differences in the fine print the larger picture looks the same. The common attributes of a bad boss brought out by these studies are:
  1. Bad bosses typically love ego massaging. They like people who are always in agreement with them and can get extremely cranky if subjected to criticism even if it is constructive.
  2. Bad bosses use ineffective means of communication. They tend to give deadlines in a 
  3. very casual way and at times fail to follow up themselves. This may prove to be detrimental to the subordinates' work output.
  4. Bad bosses tend to go overboard with their criticism and punishment for people they do not like. They do not consider the option of soft and positive talking, and instead become unnecessarily aggressive to prove their point. Use of disproportionate disciplinary measures is common among bad bosses.
  5. Bad bosses do not give subordinates an opportunity to explain their point, and issue verdicts based solely on their perception.
  6. Bad bosses do not miss an opportunity to blame subordinates, while recognizing contribution only after a lot of effort by the staff.

Bad behavior of the boss can be very demoralizing for subordinates and can take its toll on both their professional and emotional stability. Apart from changing jobs, the only other way to handle bad bosses is to understand the reasons behind such behavior and work towards making adjustments to accommodate the negative elements.

  1. Communicate: Subordinates should talk to the boss about the way they feel when subjected to bad behavior. They also should communicate their intentions in order to clear the bad air between them.
  2. Choose a mentor: Subordinates should choose a mentor for themselves who can help them with their problems and show the 'right way' of doing things. The mentor should be neutral and in the good books of the boss.
  3. Apprise the HR team: Subordinates should apprise the HR team about their relations with the boss if the problems get serious.
  4. In case there is a credibility problem and the HR team and the boss's boss do not trust the subordinate, then the victimized subordinate must gather support from other victimized colleagues and present a united front.
  5. Seek transfer: In the worst case scenario, internal transfer must be sought by the subordinate.

The aforementioned approaches can help workers tackle their difficult bosses better. However, the onus of establishing a working professional relationship, irrespective of the differences, lies both with the boss and the subordinate. Unless both show tolerance and settle contentious issues between them the relationship only stands to lose, sabotaging individual as well as departmental performance. 


  Ref: TheManageMentor