Ajilon Professional Staffing - A leader in specialized recruiting and project consulting services

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1 Welcome to our webinar! Developing human capital strategies in turbulent times Ajilon Professional Staffing - A leader in specialized recruiting and project consulting services Thursday, December 10, , LHH

2 About the moderator Janette Marx, Senior Vice President for Ajilon Professional Staffing Janette is a ten-year veteran of the staffing industry She joined Ajilon as a Branch Manager for the City of Industry grew by over 100% three years in a row Janette was promoted to Area Vice President for Ajilon Office and then RVP role for Ajilon Finance. She is now a Senior Vice President overseeing the entire East Coast for Ajilon She has contributed her talents to various local and regional training sessions, sits on a number of company-wide task forces and is a key member of Ajilon s new training team as the company continues to change and evolve to remain competitive 2

3 Our topic today Developing leaders in challenging times for competitive advantage tomorrow Whether your firm is currently thinking about or already investing in leadership development initiatives, this event will provide you with some valuable insights in your decision-making process. Understand how the current economic environment is impacting leaders and the workforce. Examine best practices for aligning your firm s leadership program with its organizational and business strategies. Explore the key components of an effective development program to develop leaders at all levels. 3

4 Today s webinar agenda Introduction of webinar topic and speaker Overview of the whitepaper Developing leaders in challenging times for competitive advantage tomorrow Questions & answers Conclusion 4

5 About the speaker John L. Bennett, Ph.D. Senior Vice President, Talent Solutions Director, Lee Hecht Harrison John is responsible for leading and managing the leadership consulting and work solutions practices in the Mid-Atlantic States for Lee Hecht Harrison. He has worked with Fortune 1000 companies and not-for-profit organizations to provide human capital solutions to meet business needs. He was also a key contributor to the design, development and delivery of LHH s Leaders at all Levels program. John earned a MPA degree from the University of North Carolina at Greensboro and MA and Ph.D. degrees in human and organizational systems from Fielding Graduate University. He also earned the Professional Certified Coach (PCC) credential through the International Coach Federation (ICF). He is actively involved in key professional organizations including the Academy of Management, American Psychological Association, ICF, International Consortium for Coaching in Organizations (ICCO), Organization Development Network, and the Society of Industrial and Organizational Psychology (SIOP). 5

6 Today s webinar agenda Introduction of webinar topic and speaker Overview of the whitepaper Developing leaders in challenging times for competitive advantage tomorrow Questions & answers Conclusion 6

7 Today s reality - Restructuring. Reengineering. Reorganizing. Recovering. Preparing for post-recession. U.S. unemployment rate is at 10% in November 09 U.S. economy lost another 11,000 jobs in November 09 All major U.S. financial indices up for the year - Dow Jones Industrial = +18.3% (as of December 7, 2009) - NASDAQ = +38.8% (as of December 7, 2009) - S&P = +22.1% (as of December 7, 2009) Employers slowing hiring or are planning for potential restructuring 7

8 Why is Talent Management So Important? Strong correlation between effective talent management and higher performance - Organizations with strong leadership bench strength have approximately 10% higher returns (Corporate Leadership Council, 2003) - Organizations with more comprehensive succession planning processes and are developing future leaders have above average financial returns (Hewitt, 2003) - Organizations with a significant improvement in recruiting and retention excellence had an incremental 8% improvement in market value compared with those who remained static or declined (Watson Wyatt, 2001) Talent management is a source of advantage which is within the control of the organization - Southwest Airlines - PepsiCo - Girl Scouts - US Army - Johnson & Johnson - Marriott - Tampa Bay Rays - Proctor & Gamble - Your Organization 8

9 Demographics - a Generational Seismic Shift is Underway US workforce peaks in 2010 at approximately 208 million, then declines by 2015 to approximately 200 million (Cheese, Thomas, Craig, 2008) 30% of the entire workforce within the US government will be eligible to retire in five years (Cheese, Thomas, Craig, 2008) The number of people 55 or older in the workforce will increase by more than 49% by 2010, the number between the ages of 35 and 54 will increase by only 5% (Rueff, Stringer, 2006) The Generation X workforce is 36% smaller than the Boomer workforce - almost 28 million fewer people in the pool as successors to middle and upper management roles (SHRM 2008) Companies with strategic leadership development programs have 62% lower turnover among high performers - the best and the brightest will not work for substandard leaders (Bersin & Associates, 2009, Talent Management Factbook) Organizations need to assess their exposure to loss of knowledge and skills due to boomer retirements, and to a fundamentally constrained supply of talent, especially at middle and upper management levels. 9

10 The perfect storm Percent growth in U.S. population by age, In the next 10 years, there will be a relative shortage of workers in the age range. This will occur at a time when organizations shift from cost-reduction toward growth, emphasizing innovation and excellence in customer service. 80% 60% 48% 40% 20% 0% 5% 5% -9% 18% 15% -20% Few younger workers entering Declining number of mid-career workers Talent pipeline Rapid growth in the over-55 workforce Retain and revitalize Source: US Census Bureau International Data Base 10

11 To what degree do the following factors drive the need to manage talent in your organization today and in 10 years? A total of 524 national, multinational, and global organizations responded to the Talent Management Survey

12 How are Organizations Responding to These Changes? 50-60% of organizations surveyed have succession planning in place - > 70% report concerns around having enough talent to meet their future needs. - <20% reported having an integrated approach to talent management fully in place. (CPP, 2009) Improving Leadership Development and Creating Integrated Talent Management were the top 2 HR priorities in a Winter 2009 survey of 264 organizations. (Bersin & Associates, 2009) Managing Talent and Improving Leadership Development are ranked as the #1 and #2 priorities in a BCG survey of over 4000 executives (BCG, 2008) 12

13 Benefits of Leadership Development Benefits of leadership development Builds organizational capability and strength Enables organizations to outperform competition Drives organization s leadership bench strength Improves efficiency and effectiveness of leaders Increases successful execution of business strategies Improves management communication and alignment Attracts and retains talent The most common actions planned to improve leadership development: - 62% plan to measure skills through 360-degree feedback - 56% plan to develop leadership seminars with external assistance - 52% plan to employ external coaches (BCG, 2008) Based on 2009 Bersin & Associates study 13

14 Trends Impacting Leaders Old 1-2 generations in the workplace One language Homogeneous workforce Independence National Teams and business practices are centralized Individual performance rewards Training Internal processes and resources Hierarchy and silos Office space Rapid change Individual contributors 3-4 generations in the workplace Multiple languages spoken Diverse workforce Independence, collaboration, and cooperation Global Teams members and business practices are geographically dispersed Team/organization performance reward Coaching and developing Outsourcing and shared services Cross-functional teams, alliances, partnerships, and networks Virtual work environment Continuous and more complex change Teams and networks New/Emerging 14

15 Polling Question #1 How has your organization s level of commitment to Leadership Development programs changed since last year (July 2008)? - Stayed the same - Decreased the commitment - Increased the commitment 15

16 Leading in Today s Economy Leaders must simultaneously lead change, develop talent, address complex issues rapidly and prepare for a different kind of future Leaders are forced to adapt to a new order that demands both strategic skills and tactical talent Leaders must also have a strong moral compass to guide them through decisions that require complex thinking and that balance profitability and responsibility Leadership challenges: - Globalization - Restructuring, mergers and acquisitions - Rapidly changing business environment - Increase in complexity and risk - Economic uncertainty - Regulation - Technology - Shifting workforce demographics Diverse and multi-generational workforce Baby boom generation retirements - Growth and productivity pressures 16

17 Key HR Issues/Questions in the next five years 1. Talent management Finding and keeping top performers (attracting, motivating, developing and retaining employees) Generational differences 2. Changes in the HR profession 3. Possible changes in government, laws and regulations 4. Influence of technology on the workplace 5. Total rewards/compensation and benefits 6. Operating as a global company Source: SHRM s 2007 poll of HR leaders 17

18 LHH s point of view on leadership Business Alignment Leadership should be aligned with the organization s strategy and objectives and with other HR learning related activities. Multiple Stakeholders Sustained Results Leadership is most successful when it contributes value to the individual, work group, manager and organization, and involves the manager, HR and other team members who can contribute to and recognize its success. Leadership is an ongoing, experiential learning process that occurs over time and is evaluated by the measurable results that can be created and sustained on the job. Leaders Develop Leaders Leadership development assists leaders to develop themselves first and then take accountability for developing other leaders. Leaders at all Levels Leadership can occur at all levels and in any position in an organization. Behavioral Many aspects of leadership are behavioral in nature and can be learned and developed. Agility Leadership development assists leaders who work in a complex environment of paradox and contradiction to become more agile. 18

19 Emerging Leadership Future: Soft Skills are the Hard Skills Thinking and acting strategically focus on opportunities Leaders developing leaders Coaching as integral competency Evolve leaders to push accountability to teams (don t be a super doer) Leaders as innovators (not managers) help some of the best ideas get support Networked leadership - tapping into social networks and take networks to the next level Sources: 2009 Leadership Study by LHH; Mary O Hara-Devereaux, Navigating the Badlands 19

20 Benefits of leadership development Builds organizational capability and strength Enables organizations to outperform competition Drives organization s leadership bench strength Improves efficiency and effectiveness of leaders Increases successful execution of business strategies Improves management communication and alignment Attracts and retains talent Based on 2009 Bersin & Associates study 20

21 Polling Question #2 Please select the most important leadership competencies required for leaders during the current economic crisis. Thinking and acting strategically Communicating intentionally Coaching for optimal performance Building the capability to lead change Developing leaders and sustaining a talent mindset 21

22 Leadership competencies lead to abilities and results Collaborative leadership Leading optimal performing teams Learning in action Thinking and acting strategically Communicating intentionally Coaching for optimal performance Innovating for business impact Building the capability to lead change Leveraging challenge and conflict Developing leaders and sustaining a talent mindset Build consensus through shared decision making while persauding others to assume leadership accountability Inspire confidence and commitment to shared goals through individual and team accountability Recognize, acknowledge, and value learning while taking action to produce results Apply a long-range view to problem solving and decision making through objective analysis and planning that leads to action Seek ideas from diverse audiences and deliver messages in a deliberate and precise way Help individuals and teams achieve and sustain top performance in ways that are linked to business results Create an environment that enables others to generate new approaches to emerging opportunities Initiate, design, and implement change at all levels: organization, team, and individual Create an environment that invites diverse viewpoints, challenges the status quo, and initiatives productive conflict that results in shared goals Continually assess and create development plans for self and others that foster learning and growth 22

23 Components of high-impact leadership development Aligned with business strategy and context Blended and integrated learning Leaders at all levels Results based learning and development Experienced and qualified delivery 23

24 Summary Today, leaders face unprecedented challenges Now is the time for leadership development Leaders should be developed at all levels 24

25 LHH s latest whitepaper Developing leaders in challenging times for competitive advantage tomorrow To obtain this whitepaper, please visit LHH.com or contact the office nearest you. 25

26 The best time to plant a tree is 20 years ago. The second best time is now. Chinese Proverb 26

27 Today s webinar agenda Introduction of webinar topic and speaker Overview of the whitepaper Developing leaders in challenging times for competitive advantage tomorrow Questions & answers Conclusion Thank you for joining our complimentary webinar! Audio Information US/Canada: Local/International: Conference ID: 27

28 Questions & answers Please feel free to ask your questions at this time. Thank you for your participation! 28

29 Today s webinar agenda Introduction of webinar topic and speaker Overview of the whitepaper Developing leaders in challenging times for competitive advantage tomorrow Questions & answers Conclusion Thank you for joining our complimentary webinar! Audio Information US/Canada: Local/International: Conference ID: 29

30 HRCI credit information This program, has been submitted for 1 (Specified - Strategic ) recertification credit hours toward PHR, SPHR and GPHR recertification through the HR Certification Institute. Please be sure to contact for the approval code in order to process the credits for recertification. For more information about certification or recertification, please visit the HR Certification Institute website at 30

31 Conclusion Thank you for joining this event. To learn more about Ajilon Professional Staffing please visit 31

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