TALENT MANAGEMENT STRATEGY

Transcription

1 TALENT MANAGEMENT STRATEGY ETHEKWINI MUNICIPALITY 30 March 2010: Draft: Version 10 (Note: Once finalised, this strategy would replace the existing Talent Management/Succession Planning Strategy adopted in May 2007)

2 CONTENTS 1. The Strategic Imperative For Talent Management Purpose of this document The Strategic Imperative for Talent Management The Business Case for Talent Management in ethekwini Benefits of Talent Management for ethekwini Talent Management Definition and integration with human resources processes Talent Vision Talent objectives Principles Goals and Measures Success Criteria Talent Management Framework and Process Talent Management Framework Talent Management Process and Tools Talent Identification and Succession Planning Identification of mission critical and scarce skills positions and workforce analysis Workforce analysis in defined posts Talent identification and differentiation Succession Planning and Talent Pool Development Talent Recruitment Strategic recruitment Talent Development and applied learning Competency profiles and gap analyses Individual learning plans (ILP) Applied Learning Strategic talent development Talent Retention and Release Retention Conducive culture Retention Review Talent Release PAGE 2 OF 45

3 9. Talent Management Committee (TMC) Purpose Structure Roles Inputs TMC Outputs Talent Management and Alignment TM accountabilities TM processes, tools and systems and alignment Building capacity Monitoring and reporting Talent management summary Glossary of terms PAGE 3 OF 45

4 1. THE STRATEGIC IMPERATIVE FOR TALENT MANAGEMENT 1.1 Purpose of this document This document provides the strategic framework for the management of talent within ethekwini in order to ensure the right people with the right skills are in the right roles at the right time to deliver the ethekwini 2020 vision and IDP. The document covers the strategic imperative and outcomes required for talent management, as well as outlining talent definitions, approaches and principles. The talent framework, processes and tools are explained to ensure effective talent identification, succession planning, attraction and sourcing, development, retention and release. Also included are the measures, roles and accountabilities to ensure successful implementation and sustainable management of talent over time. Additional information and guidelines are included in the TMC Toolkit. 1.2 The Strategic Imperative for Talent Management With organisations today operating under unprecedented conditions of competition and turbulence, it is increasingly difficult to attract and retain talented employees and scarce skills positions. It is therefore imperative that during these times, organisations develop a purposeful process for sourcing, attracting, engaging, managing, developing and retaining key talent. People have become the key differentiator in today s knowledge-based economy. Critical talent is becoming increasingly scarce due to rapid economic growth on the one hand and a growing skills shortage on the other. In order to achieve the objectives of the IDP, the ethekwini Municipality must cultivate and retain existing talent and grow new talent rather than rely on recruitment alone. A Talent Management Strategy must be employed in order to provide a pool of managers/leaders and technical specialists in all fields and in particular in fields where there is a critical shortage of skills. 1.3 The Business Case for Talent Management in ethekwini EThekwini has identified the following key reasons for embarking on a Talent Management Strategy: 1 Enterprise Risk Management Attraction and retention of critical skills was identified as the number 1 risk out of 19 top enterprise risks 2 Employment Equity There are still significant imbalances in employment equity figures. Targeted talent management will ensure the identification and accelerated development of successors for Senior Management and technical specialist positions 3 Internal Perception Survey Talent Management and Succession Planning was identified as the number 1 item of concern in the leadership section of the recent Internal Perception Study 4 Management & Technical Skills A shortage of management and technical skills requires an organisation wide Talent Management framework and Competency Management process to address leadership and scarce technical skills PAGE 4 OF 45

5 5 Delivery & Performance There is a need for a talent mindset and culture of high performance to improve project management and service delivery 6 Vision & IDP The ultimate outcome of talent management is to build organisation capability to achieve the 2020 vision & IDP goals In addition, ethekwini faces other challenges including: Slow response to change due to well-entrenched culture, leadership style and strong unions Critical skills shortage Ageing workforce loss of corporate knowledge, retirement Still some gaps in aligning business strategy to people capacity No clear value proposition to retain key technical and leadership talent Limited opportunities for job enlargement, enrichment, mobility and broadening of experience Lack of clear competency frameworks to identify skills needs Time delays between identification of skills gaps and implementation of learning interventions No clear differentiation in development of high flyers and key players Untapped potential across individual performance, opportunity and innovation Inconsistent application of processes for developing succession plans and talent pools Challenge of harnessing and optimising employment equity and diversity 1.4 Benefits of Talent Management for ethekwini Benefits of an integrated talent management system are the following: Delivery - Talented individuals find innovative solutions to Municipality challenges, develop improved processes and services, build strategic customer relationships and optimise efficiencies to manage costs Cost - If talent is managed effectively, many costly risks and expenses of replacing key talent or finding scarce skills are minimised. These costs are significant and include recruitment costs, relocation costs, re-training costs, lost production/ performance, lost productivity In addition, talent management has the following benefits for the Municipality and employees: Decrease in on-boarding and new hire training spend; Pools of trained successors ready to compete for vacancies; Lower attrition levels; Higher retention rate of talent; Higher morale of working in a high performance culture PAGE 5 OF 45

6 Motivated and inspired employees following a progressive career path Opportunities for skills development Fairness and consistency Increased competence of employees Clearer career paths and what it takes to advance Career development plans All HR processes using common framework Less subjectivity for reviewing talent (TMCs) More objective recruitment processes Improved leadership skills PAGE 6 OF 45

7 Strategic HR planning Recruitment Skills Development Performance Management Remuneration Release 2. TALENT MANAGEMENT DEFINITION AND INTEGRATION WITH HUMAN RESOURCES PROCESSES Talent Management is the holistic and integrated management practice of balancing the demand for critical skills with the supply of critical skills in both the short-term and the long term. TM includes the proactive identification, planning, attraction, development, retention and monitoring of both the supply and demand of critical positions and key talent. The demand side of TM focuses on positions and includes the identification and filling of mission critical positions (MCPs) and scarce skills positions that are critical to the ongoing operations of the business. This impacts on productivity, delivery and cost. The supply side of TM focuses on people and includes the identification, sourcing, development and retention of key individuals who are considered to be of such critical importance to an organisation, that the risk of turnover warrants targeted activities to engage and retain them. TM complements the existing HR processes such as recruitment, skills development and performance management. TM assists with more focussed development activities for people in mission critical and scarce skills positions and ensures proper succession planning for these positions. Employee wellness Benchmarking Career development S T R Vision A Mission T Values E G Y Organisational Culture, Development and Effectiveness Employee Relationship Management Talent Management Human Resources Administration & Reporting Risk management Information Systems Competencies Delivery & Measures Talent Management Integration With HR Processes 3. Strategic approach and objectives PAGE 7 OF 45

8 A comprehensive talent management strategy includes a review and analysis of 3 areas: 1. Current and Future Business Priorities/Challenges 2. Organisational Capability Review 3. People Capability Review 4. Objectives, measures & principles These are further outlined in the diagram below. All three sides of the triangle must be in alignment. Each year, these talent strategy areas are presented and discussed at talent management committees (TMCs) to ensure talent management is addressing the strategic challenges and risks of the business. Current & future business priorities/challenges: What are the most important business challenges for the Clusters and their impact on structures and jobs What business process/technological capabilities are needed to respond to these challenges now and in future? What is the realistic capacity of the Cluster to deliver its mandate? People Capability Review: Biggest leadership/technical capability challenges Succession challenges scarce skills & MCPs Retention risks of critical skills & key talent Performance & potential assessment Plans to address poor performers Developmental opportunities for succession TMC Organization Capability Review: Total employees & contractors Average span of control Number of levels from Cluster Heads to lowest level Ratios of support versus technical functions Number of developmental posts Cross functional collaboration After careful review, discussion and alignment with the business strategy, the talent strategy, goals, and measures can be revised depending on the outcomes of these discussions. The strategic approach and objectives includes a talent vision, talent outcomes, talent principles, talent goals, talent measures and success criteria. 3.1 Talent Vision EThekwini s Talent Vision is developing talent for service excellence. This vision drives all talent related initiatives within the organisation. The vision will be translated into measurable means of achieving growth in organisational talent. 3.2 Talent objectives To develop a strategic approach to balance the demand for talent (positions/competencies) and supply of talent (people) aligned to the long-term goals and strategic objectives of the Municipality To implement a shared framework, process and common language throughout the Municipality for the proactive addressing of strategic talent issues To develop a culture and mindset of strategic talent management as a key success factor to the Municipality perceived as a credible, sustainable strategic business process that adds value to the business To implement a coordinated and integrated approach to the management of identified talent PAGE 8 OF 45

9 To create the conditions to harness the potential and creativity of all employees To identify mission critical positions and scarce skills positions and ensure succession planning for these To create talent pools in all key disciplines in order to continuously fulfil the staffing needs and ensure high-impact people are placed in high-impact positions To attract and retain those individuals who are key to the continuity and sustainability of the business. To determine the Municipality s projected skills and competency needs To identify high flyers and key talent, as well as underperformers for targeted development and actions To attract and develop employees with a transparent career path framework with performance and competence standards 3.3 Principles The following guiding principles underpin TM at ethekwini: Principle TM is a strategic business driver to build people capability in response to organisational needs Principle Description TM is a strategic driver and one of the top 5 strategic business processes after strategic reviews, business planning, budget reviews and performance reviews. The primary objective of TM is to build people capability in response to organisational needs. There is a consistent, customised TM framework to enable talent planning and movement across the Municipality. Talent is managed according to an integrated framework and approach across the Municipality Talent is managed at cluster and unit level although certain high mobility or strategic positions will be managed across ethekwini by the DCM TMC to ensure continuity and sustainability across clusters. The leadership and technical pipeline with the associated performance and competence standards informs talent recruitment, assessment, performance, skills development, career development and managing transitions. TM includes seamless interventions and activities across the people management value chain from strategic HR planning and sourcing to capacity building, performance management, reward and exit. PAGE 9 OF 45

10 Principle Principle Description Talent management requires a differentiated approach for key talent to ensure high quality people in critical positions using applicable tools and criteria. TM requires a differentiated approach for key talent to ensure high quality people in critical positions The primary criteria for assessing potential is evidence of performance and potential An annual Talent Management Committee (TMC) process is the mechanism to identify and review key talent across the Municipality An effective performance management system is critical to effective TM The focus on talent management will be on top and senior management posts, scarce skills positions and mission critical posts. Talent will be identified and differentiated according to agreed performance and potential criteria and succession planning requirements with objectivity being applied throughout the process. Potential is defined as the capacity for transition to a higher level post or move into a larger job (geography, budget, complexity, people) using criteria (and evidence) for potential such as ability, behaviour, attributes, engagement, track record, aspiration and competency measurement against higher level posts. Validated by TMC review processes. The use of assessments supports decision making in the recruitment, selection and placement of individuals where required. TMCs provide the holistic process for reviewing performance evidence & potential diagnostic evidence, development needs and interventions, career pathing and succession management to assess, grow and move talent. The consistent application of a performance management process that ensures work outputs are aligned to a measurable performance standard supports effective Talent Management. Under-performers will be managed through continuous monitoring, opportunities for improvement, final review and resolution. Succession planning is an integral part of the talent management process and ensures a pool of suitably competent individuals who are available to compete for leadership and other mission critical positions. Succession planning and the creation of talent pools is a fundamental component of talent management The talent pool might change on an annual basis as identified by employee performance and the outcome of the TMC process. Factors such as career preferences, personal life choices and changing business needs will influence who will be selected as part of the pool. Being identified as a successor is not a guarantee to the position that one is linked to. The right skills, behaviours, qualifications and experience will be the determiner of who will be appointed to the position when it becomes vacant in PAGE 10 OF 45

11 Principle Principle Description accordance with the recruitment policy. Priority will be given to developing talent from within Development and applied learning opportunities in line with succession plans are critical for key talent development and retention Wherever possible, talent is grown from within. Where no skills exists internally, sourcing of appropriate external talent will take place. Ensuring high flyers, key talent and people in mission critical and scarce skill posts are exposed to applied learning opportunities in different work environments. Career planning and capability development is based on continuous dialogue. Talent management must be prioritised to support EE plans, actions and targets Accelerated development initiatives will be prioritised for potential EE candidates to achieve EE plans, actions and targets. Leadership competency profiles will be developed for all management levels. Technical competency profiles will be developed for key technical functions. Competency frameworks and standards will drive the building of capacity to meet demand A competency gap analysis can be undertaken to assist with development needs where required by the business. Competency profiles must be simple, practical, relevant and appropriate with consistent processes across the Municipality except where unique technical skills are required. Competency profiles must support the development of competence across levels rather than for specific jobs. Strategic Retention initiatives are required for at risk employees Strategic Retention initiatives are required for scarce and critical skills with rigorous assessment processes and criteria. Line managers are accountable for managing talent and for the successful implementation of TM. TM is the accountability of line management supported by HR and Skills Development Management of information will take place in a transparent, respectful and consistent manner The HR and Skills Development units are the custodian of effective processes and tools that support line managers. Employees are the drivers of their own personal and career development supported by the organisation, through career discussions and development plans agreed with their managers. In keeping with the values of Integrity and transparency, information must be managed in a fair, ethical, honest and respectful manner. Information pertinent to an employee s development and growth is shared with the individual in an open, honest and PAGE 11 OF 45

12 Principle Principle Description constructive manner. Employee information is only used for the purposes required. The establishment of TMCs in the business will aim to achieve greater degrees of openness and transparency over the implementation period. Employee information pertaining to the preparation for TMCs, the TMC discussions and the actions resulting from TMCs, is deemed confidential. To ensure the sustainability of talent management, the HR IT system will support the management of Talent and allow information to be stored and be readily available for review. Embedded TM is a mindset a way of life Embedded TM is a way of doing business a way of life. The whole organisation must support TM i.e. the leadership style and values/behaviours, the company culture, infrastructure, processes and people. 3.4 Goals and Measures The purpose of talent measures is to track progress on key talent related challenges as well as the effectiveness of solutions that have been implemented. It will also serve to highlight critical areas that need to be addressed. Specific talent measures must be monitored and reported on quarterly. Typical talent measures are outlined below: Goal Succession Reduce the risk of mission critical positions being vacant or unable to be filled within 3 months. Bench depth of at least 50% of succession plan candidates ready within 1 year and 75% within 2 years Measure Succession plans per unit/cluster Succession pools per level Number of employees ready now to move to new position Number of employees ready later to move to new position Headcount - % permanent temporary bursars, trainees, etc Recruitment To ensure full complement of jobs and reduce number of vacancies to below x% % of vacancies % of vacant MCPs & scarce skills positions Time to fill vacancies Scarce skills positions as per criteria Scarce skills positions monitoring media used, # of times advertised, # respondents, other interventions Retention To retain scarce skills and MCPs and contain turnover of Planned retirements Employees per generation PAGE 12 OF 45

13 critical talent to less than x% % of years of employment Total turnover vs. scarce skills positions and MCPs turnover (x%) Total turnover vs. high flyer turnover (x%) Exit interviews Talent surveys/perception studies Development To ensure development of talent investing x% of salaries into talent development for high flyers, MCPs and scarce skills positions Internal promotions, High flyer promotions, external appointments, transfers Number of talent on development programs Progress on implementation of ILPs Competency gap analysis comparison year on year 3.5 Success Criteria There are a number of success factors which contribute to the effective implementation of an integrated Talent Management System which include: The development of a future focus in which the organisations environment and future strategy inform the type of leadership capacity required in the future. There are effective processes for organisational diagnosis (to determine the current situation) and development (to create the desired future). There are effective processes to diagnose individual potential and build future competence. The process is owned and driven by top management. It is a living process, not something attended to once a year in a mechanistic manner. Roles of different role players are clear and performance managed. The process is considered transparent and legitimate by all stakeholders. The processes align with other systems such as the recruitment and selection, skills development, employment equity and performance management systems. Human Resources information must be comprehensive, current and in a usable format, both in terms of individual portfolios and organisation-wide profiles. Succession Planning should happen within the context of a broader talent management and enhancements process. The ethos of the system should be developmental rather than punitive in nature. Funding must be made available to implement the required TMC actions PAGE 13 OF 45

14 4. TALENT MANAGEMENT FRAMEWORK AND PROCESS 4.1 Talent Management Framework EThekwini Municipality had adopted a talent management framework that addresses the following key areas which are briefly described below: Talent Management Committee (TMC) Talent will be managed through a series of talent management committees that will meet on a regular basis to discuss and make strategic decisions regarding talent. The talent management committees will be responsible for giving input and validating the identification and categorisation of talent, succession plans and development plans for mission critical positions and scarce skills positions. The TMCs will also discuss and make decisions on strategic recruitment, development or retention requirements impacting the business. The TMCs will work together with line managers and Human Resource Practitioners to ensure agreed decisions and actions are implemented. TMCs will be held at different levels of the business ensuring talent pools and critical staffing issues are identified at each level and communicated upward ultimately to the DCM TMC Talent Management Talent management includes the on-going co-ordination, management and monitoring of all talent management activities. This is the role of HR and Skills Development Units. Talent management activities include setting talent goals and measures, clarifying roles and accountabilities, ensuring processes and tools are in place that are aligned with other HR and skills development policies and processes, building capacity for implementation and monitoring and reporting on talent management activities and statistics Strategic Approach Talent management requires a strategic approach to balancing business challenges, organisational capability and people capability. The strategic imperative, objectives, principles and measures must be reviewed annually to ensure alignment with the business. Every few years, the talent strategy should be reviewed to ensure alignment with the business strategy and that there are plans to ensure organisation has sufficient capability to meet demand in the long term Talent identification and succession planning PAGE 14 OF 45

15 Talent identification includes the identification of mission critical positions and scarce skills positions and the categorization of high flyers, key players and under-performers using the 9 box matrix and the Leadership Pipeline. Succession planning involves matching the identified individuals with future potential positions and creating talent pools for certain key levels and disciplines. The succession plans will drive the differentiated development and retention of talent to ensure readiness when a position becomes vacant. Underperformers need to be managed, moved or released to ensure fully performing people in all positions Talent recruitment Talent recruitment involves a strategic approach to attracting and recruiting talent both internally and within the external labour market to address the gaps that may be identified in the succession planning process and TMCs. The strategic activities will focus on communicating an attractive employee value proposition to entice talent into the organisation and building strategic sources of scarce skills positions and future competencies. On a more operational level, job and competency profiles need to be kept up to date and recruitment processes optimised for fast turn-around on vacancies. Once a person has joined the Municipality, the on-boarding process is critical to ensure engagement and rapid integration with the Municipality for maintaining performance standards Talent development Development includes the various development actions for the talent pool to address the talent gap, including performance development (developing skills for their current jobs) and career development (career planning and developing skills for future potential jobs). A career management system (the leadership pipeline) with defined performance and competency standards at each level will facilitate individual and organisational competence gap analyses for accurate development planning. Development also includes applied learning, where opportunities are created for key talent to learn on the job through new appointments, project roles, secondments or exchanges. Employees will be afforded an opportunity to discuss career aspirations and development needs during career discussions Talent retention Retention includes the retention of the existing talent pool and broad category of employees, through the perception that ethekwini is viewed as an employer of choice with a sound value proposition. The value proposition must reflect a respected organisation, challenging jobs, effective leaders, motivating rewards and a conducive culture. The creation of the value proposition requires accountability at all levels, infusing the right behaviours and leadership style, instilling a talent mindset, rewarding talent financially and recognising talent through various non-financial means such as mentoring, job rotation, role challenge, work life balance and recognition schemes. Release includes the release of employees from the organisation, either through individually initiated movement to another career opportunity in another company or through a company initiated process of release due to poor performance, incapacity, disciplinary issues or retirement These aspects are outlines in more detail in the rest of this document. PAGE 15 OF 45

16 Outputs by KRA Financial Uses resources efficiently and effectively Plans and sets own/team targets (products/services/volumes etc) Contributes to budget setting & control of costs Awareness of impact on business of financial decisions People Coaches and mentors others in field of expertise Communicates and collaborates effectively with others Proactively builds professional relationships within and across teams Business Processes Ensures professional activities meet HSEQ standards Drives out own work in alignment with team objectives Follows company policies and procedures efficiently and effectively Leverages internal and external networks to identify optimisation opportunities Customers Achieves results in a way that builds and maintains constructive working relationships with managers, peers, clients and other service providers Demonstrates understanding of internal and external customer needs, expectations and delivers accordingly Collaborates effectively with internal and external service providers Catalyst Consulting 2009 Role Behaviours Spends time delivering work within own area or area of professional expertise and proactively seeks out feedback Lives organisation values Displays professional conduct Manages own time to ensure working relationships with peers and customers Asks questions to clarify objectives and provides support to others seeking clarification in area of expertise Sustains high level of focus effort and energy Approaches and resolves problems in a systematic way Actively pursues own development Communicates with others clearly and considerately Recognises when issues need to be resolved and with whom Manages delivery of medium/long term goals effectively Embraces change and implements it in own areas of work Applies knowledge and expertise for results Lives organisation values and brand when interacting with internal and external customers Warning signs of leading at the wrong level Fails to meet HSEQ standards Does not meet objectives timeously Fails to build effective working relationships within the team Poor professional discipline (e.g. time management) Allows problems to fester rather than address them timeously and constructively Fails to undertake preventative action in professional areas of responsibility St rat egi cleadershi p Del i vering Results Engagement & Di al ogue Personal Ef fecti veness Vi si on & St rategic Di rect ion Et hi cal & Inspi rati onal Leadershi p Change Leadership Ent repreneurial & commercial t hi nki ng Concept ual Thinking St rat egi crelati onship management Proj ect & Program M anagement management Busi ness Performance & improvement Fi nanci al Management Compl i anceand risk management Peopl e management Cust omer f ocus Probl emsolving & decision maki ng Coachi ng and developing ot hers I mpact and i nfluence Communi cat ion Bui l d col aborative rel at i onships Team l eadership Conf l i ct management Sel f management Sel f devel opment Emot i onal Intel igence Resi l i ence Techni cal ski ls & knowledge Results Focused Potential Mastery Growth Turn 4.2 Talent Management Process and Tools The talent management process is a series of activities leading up to and flowing from the annual TMC. These activities include preparation, career discussions, TMC, outputs & actions and feedback & monitoring which are described briefly below. The talent cycle will follow the performance management cycle as a critical input into talent decisions. The performance measures are agreed in July each year and reviewed formally in July the following year. TMCs will thus be held in August/Sept each year with quarterly reviews of outputs and actions. Preparation Career Discussion TMC Outputs & Actions Feedback & Monitoring Collect evidence of performance, competence & potential Performance Review Competence Audit & gap analysis Career Discussion Template & Guidelines Performance Record Competence Gaps Developmental needs Accomplishments Aspirations 9-Box position Retention issues Present your team: Strategic Talent Issues 9-Box Succession Plan Development Plans Talent Action Plans Succession Plan Talent Action Plans: HR role Line role Individual Learning Plans WSP Feedback to individuals Reporting and monitoring the talent action plan at management meetings TOOLS # 6 # 4 Enterprise Manager Group Manager Business Manager Functional Manager # 5 Manage Self Professional Not yet full (1/2) Performance Full (3) Exceptional (4) Criteria for Talent: High Flyers Key Players Underperformers # 2 Manage Managers Manage Others Manage Self Integrated Pipeline # 3 # 1 Performance Standards / Job Descriptions Technical Competency Standards Leadership Competency Standards 9-Box Matrix Criteria for Potential: Attributes Behaviour Track Record Engagement Aspiration Preparation Throughout the year, line managers collect evidence of performance, competence & potential of their direct reports. In July each year, there is a formal Performance Review and rating. There is also a competence gap analysis to identify development needs to improve performance or build readiness for next level positions. Tools include the leadership pipeline, performance and competence standards, performance contracts, TM strategy, TMC toolkit, skills development prospectus, development plan template Career discussions Before the TMC, it is important that there is a career discussion between managers and direct reports to assess career aspirations, options, development needs and retention issues. Prior to the discussion, the employee completes the individual career discussion template. The manager gathers the necessary information and evidence required for the career discussion. This is to guide the discussion. The aim is to reach consensus on the final discussion templates to be presented at the TMC, including where the employee sits on the 9-Box matrix. After the career discussion the manager finalises the Managers Career Discussion Templates for all direct reports and forwards them to the TMC co-ordinator at least 1 week before the TMC meeting. Tools include the career discussion templates, 9 box matrix, TM toolkit with career discussion process checklist TMC PAGE 16 OF 45

17 Before the TMC, managers will prepare their TMC templates including strategic talent issues, 9-Box matrix, succession plan, talent development and action plans. They will then present these to the TMC for input, discussion, challenge and validation. The aim is to improve objectivity and reach consensus on the talent outputs. Tools include the TMC templates and TM toolkit with TMC guide Outputs & actions The talent outputs and actions will be documented by the TMC administrator and circulated to all members and captured electronically. Responsible individuals will be expected to report back on progress at quarterly talent reviews. Individual development plans are to be updated post the TMC to reflect any changes. Tools include the talent development and action plan and the TM IT system Feedback & monitoring It is important that managers feedback to individuals any changes to the career discussion proposals or any other pertinent information from the TMCs. Face to face feedback sessions are important to build engagement and thereby reduce mismatched expectations and retention risk. Responsible managers report back on progress and talent scorecard measures at the quarterly talent reviews. Tools include the talent development and action plan and the talent scorecard. PAGE 17 OF 45

18 5. TALENT IDENTIFICATION AND SUCCESSION PLANNING In order to effectively attract, manage, develop and retain talent, a differentiated approach is recommended. Whilst there is talent throughout ethekwini, there are certain individuals and positions that require additional focus and investment to reduce the risk of losing such marketable mobiles and critical skills and to leverage their contribution and capability to business goals and solutions. The focus of talent identification in ethekwini Municipality is on senior and top management as well as mission critical posts and scarce skills positions which pose a risk to the business. 5.1 Identification of mission critical and scarce skills positions and workforce analysis Talent identification requires identifying talent demand (positions and skills) and talent supply (people). It is important to identify the mission critical positions and scarce skills positions in the organisation. Once you have these, then people can be identified and matched to these positions or planned for the future Mission critical positions Mission Critical Positions are those positions that are critical to the ongoing sustainability and operations of the business, which impact substantially on productivity, delivery and cost. Mission critical positions can occur at senior levels and at other levels in an organisation. Mission critical positions would need to satisfy at least half (5 out of 10) of the following criteria, as authorised by the relevant Unit Head and Deputy City Manager: 1 Strategic risk - Key leadership, managerial and strategic positions 2 Business processes risk - Technical and professional specialist positions that are key to current business processes 3 Knowledge risk Positions that require deep knowledge/experience 4 Customer interface Positions with key customer interface relationships 5 Financial risk Financial impact of decisions taken or of a position being vacant 6 People risk Positions with high impact on productivity and morale 7 Legislative risk Positions which ensure legislative compliance 8 Replacement risk - Availability of suitable replacements in the internal/external market 9 Training/Proficiency requirements - Length of time on the job to attain required level of proficiency 10 Decision making risk - Impact of decisions on the operations of the business PAGE 18 OF 45

19 Scarce skills positions It is also important to identify scarce skills positions that require specific focus to ensure they continue to be present and developed in the organisation or sourced externally. Scarce skills are those skills that are critical to the business and in short supply either internally in the company or externally in the labour market. EThekwini Municipality has criteria to determine scarce skills positions including success of advertising, number and suitability of candidates, evidence of a shortage in the national market, reasons why these employees are being lost by the Municipality, evidence of recruitment strategies, special programs and activities used to source staff for these posts. For more information refer to the Scarce Skills policy Workforce analysis in defined posts When business requires it, there will be a workforce analysis as input to the TMC s. This will involve the following: Defining the required skills/competency profiles for the defined MCP and scarce skills posts. Gaining a thorough understanding of the labour market in terms of the external demand and supply of key skills in the defined levels/post e.g. analyse the number of graduates leaving universities, universities of technology and trade schools, the number of registered professionals from various professional bodies, etc. Gaining a thorough understanding of internal workforce profiles in the defined posts, turnover rates and projected retirements in the next 5 years. 5.2 Talent identification and differentiation The two primary tools for the identification and differentiation of talent are the 9 box matrix and the integrated pipeline containing performance and competence standards The Performance and Competence Standards Talent management requires an effective leadership and technical career development architecture to identify and measure performance and potential. The Leadership and Technical Pipeline describes the natural hierarchy of leadership in any business organisation. Each passage in the leadership pipeline represents a shift to different level and complexity of leadership, for example, the shift from managing self, to managing others, to managing managers, to managing a function, to managing a business unit, to managing a business enterprise. Each level is described using performance standards and competency descriptions. These will assist with developing key performance areas at the right level for Performance Management, with assessing competence at each level of the Pipeline and with coaching leaders to greater performance and competence. More details of the performance and competence standards per level are referenced in the Performance and Competence Standards Toolkit. PAGE 19 OF 45

20 Consolidate & Contribute Potential (Stretch and personal orientation) Develop & Apply Move & retain # 6 # 4 # 2 Manage Self Operational Manage Business Manage Group Manage Operation Manage Function Manage Managers Manage Others Manage (Specialist) Others (Operational) Manage Self Technical # 5 # 3 Manage Self Professional # 1 Manage Self Expert Integrated Leadership and Technical Pipeline Job Competency Profiles Job Competency Profiles for specific jobs are developed and include leadership, personal competencies and technical competencies. Employees are reviewed against the competency profile for the relevant position to determine individual competency gaps. These competency profiles feed into the Performance Agreement and the gap analysis feeds into the ILP The 9 box performance and potential matrix The 9 Box Matrix is tool which categorises people according to performance and potential against specified criteria. Performance (Track record and behaviors) Falls Short (1,0 to 2,99) Meets (3,0 3,99) Exceeds (4,0 5,0) Ready Later coach and develop, need intensive support Ready now for additional responsibility e.g. short term assignment Ready now for new level job Develop skills or identify mismatch for release Stretch and test e.g. projects / new assignments Ready now for bigger job Correct or manage release Maximise productivity and upgrade skills or move Retain, recognise and utilise as coaches High Flyers: Focus on accelerated development Key Players: Focus on performance to ensure continued value is added Underperformers: Rigorous performance management required PAGE 20 OF 45

21 The 9 box matrix assists to differentiate between high flyers, key players and underperformers each of which require different strategies for performance management and development The key measure of assessment is evidence based i.e. tangible examples of results and behaviours which demonstrate the ability to perform or operate at the same or higher levels of complexity or leadership in the organisation. One needs to look for the full package of ability, attributes, track record, behaviour, engagement and aspiration Criteria for performance and potential The criteria for performance are based on the. Performance management system. Performance targets and measures are set and reviewed annually, the result of which would be either meet, exceed, or fall short of the targets. Exceeds Performance standard (4,0 5,0) Meets Performance standard (3,0 3,99) Falls short of performance standard (1,0 2,99) Criteria for Performance Performance consistently exceeds requirements. All performance requirements fully met, and occasionally exceeded Performance falls short of agreed requirements The criteria for potential follows the levels of the Leadership Pipeline. At any one moment in time, a person has the potential to consolidate, develop or move up. Retain and Move Develop and Apply Consolidate and Contribute Ready to move to a higher level on the pipeline, i.e. move when a position becomes available and retain through interesting and challenging projects Take on greater responsibility and complexity at the same level, i.e. develop and test ability and skills Stay where they are and continue to improve performance in the current role, i.e. consolidate and find ways to contribute in meaningful ways PAGE 21 OF 45

22 The criteria for performance in the 9 box matrix is aligned with the Performance Management Policy as follows: 9 box Score Description Exceeds 5 Outstanding performance Performance far exceeds the standard expected of an employee at this level. The appraisal indicates that the Employee has achieved above fully effective results against all performance criteria and indicators as specified in the Performance Agreement (PA) and Performance plan, and maintained this in all areas of responsibility throughout the year. 4 Performance significantly above expectations Performance is significantly higher than the standard expected in the job. The appraisal indicates that the Employee has achieved above fully effective results against more than half of the performance criteria and indicators and fully achieved all others throughout the year. Meets 3 Fully effective Performance fully meets the standards expected in all areas of the job. The appraisal indicates that the Employee has fully achieved effective results against all significant performance criteria and indicators as specified in the PA and Performance Plan. Falls short 2 Performance not fully effective Performance is below the standard required for the job in key areas. Performance meets some of the standards expected for the job. The review/assessment indicates that the employee has achieved below fully effective results against more than half the key performance criteria and indicators as specified in the PA and Performance Plan 1 Unacceptable performance Performance does not meet the standard expected for the job. The review/assessment indicates that the employee has achieved below fully effective results against almost all of the performance criteria and indicators as specified in the PA and Performance Plan. The employee has failed to demonstrated the commitment or ability to bring performance up to the level expected in the job despite management efforts to encourage improvement. Performance scores are taken as a given, unless there is serious doubt as to the performance result which impacts the person s talent positioning. This will be considered in exceptional cases only. PAGE 22 OF 45

23 Criteria for potential Potential in ethekwini is defined as the capacity to move to a higher level post or move into a larger job (geography, budget, complexity, people) using criteria (and evidence) for potential. This criteria includes ability, behaviour, attributes, engagement, track record and aspiration (see diagram below). There needs to be a certain level of cognitive, technical and emotional ability to perform well in a role. The individual also needs to possess certain key attributes to come out on top such as energy, drive, curiosity, resilience and a willingness to learn and change. Alignment with organisational values and leadership behaviours are important too. Your future leaders need to be people who build a positive organisational culture that gets results in a sustainable manner. Track record is usually a good indicator that the person is a consistent high performer, not just in technical fields, but also having a good track record in relationships and strong credibility in the organisation. The last 2 elements are important from a return on investment perspective. You want to invest in people that are engaged with the organisation, show loyalty and intent to stay. You also want to spend time and effort developing people that have the aspiration to be a future leader and do what it takes to get there. In addition to the above, individuals need to be measured against the agreed leadership, personal and technical competencies ( job competency profile ) for their current posts and for the higher level posts in their logical career paths. Manager s input will be discussed and validated by TMC reviews to ensure a more objective view. Cognitive and psychometric assessments can be used in support of decision making in the recruitment, selection and placement of individuals where required and where return on investment is justified. Such assessments should not be used as the primary means of assessing and making decisions regarding an individual s career potential. PAGE 23 OF 45

24 5.2.4 Differentiation of talent Once individuals are placed in the 9 box matrix using the criteria for performance and evidence of potential, they can then be classified as high flyers, key players and underperformers (the general trend for these classifications is %). Criteria are described below to confirm these classifications. Identifying Talent Criteria High Flyers (Green Blocks) High flyers are the talented individuals that demonstrate high performance and high potential Criteria for High Flyers include: consistently high performers their performance and accomplishments demonstrates their potential to play a greater role in the organisation in the future display a close match with the identified leadership competencies display a leadership style that supports the values/behaviours of the organisation innovators and initiators (self starters) of positive change in the organisation - early adopters results oriented - have personal drive and presence and can adapt to get things done High Flyers (Green Blocks) Additional Characteristics of high flyers includes: hungry for learning, experiences and challenges and willing to take risks adapt and learn to perform better in a variety of first time situations learn and develop best through on- thejob challenges mentally agile and curious. They find root-cause solutions amidst complexity and ambiguity High levels of energy and tenacity found at all levels in the organisation at greater risk of being head-hunted and leaving if frustrated or under-utilized flexible and tend to move faster through organisations than their peers The loss of these high flyers would negatively impact the business by the amount time and cost it would take to replace and develop them to full performance and to rebuild important relationships with customers and staff. Key Players (Yellow Blocks) Key players are good to high performers who meet their role requirements and are the backbone of the organisation Criteria includes: a history of good to high performance potential for mastery of their current role or perhaps growth to a larger or more complex role at the same level unlikely to move to a different level in the Key Players (Yellow Blocks) Additional Characteristics of Key Players includes: often long tenure within the organisation loyal to the business and live the values capacity for coping with large scale organisational change, but require support and full engagement more stable, conservative and strive for improvement and personal growth at a PAGE 24 OF 45

25 near future stable, reliable, knowledgeable extensive technical and functional knowledge and skills expertise extensive industry and business knowledge and experience good networks and relationships which are difficult to replace display appropriate leadership behaviours manager will be disappointed if the person leaves, but will be able to replace them manageable pace choose to value and invest in work life balance (e.g. family and other personal interests) learn best through structured learning processes have the capacity to make good coaches and mentors Have resilience and tenacity More cautious about taking risks Greater need for information and validation The loss of these people would negatively impact the business by the amount of business/specialist knowledge, corporate memory and important alliances and established relationships that could be lost. Underperformers (Red Blocks) Underperformers are those people that are not yet fully performing in their current role. The response to underperformers will depend on the underlying reasons for the underperformance Not willing don t have the right attitude to go the extra mile Attitudes are extremely difficult to change. Coaching or counselling may assist, alternatively poor performance counselling with consequences is necessary Not able don t have the skills or experience This may be a skills or experience gap that can be closed through development, or a role that the person is not ready for or a misalignment of skills that may require redeployment Not allowed (compatibility) don t have the authority or support of their manager, their team or the organisation This needs intervention at a manager, team or organisational level Criteria includes: Not currently performing fully in their current role (KPA ratings of 1 or 2) Potential to either master their current role or grow into a larger role in the future Not demonstrating behaviours that indicate potential to operate at a higher organisational level Not demonstrating the values of the organisation Not demonstrating the required leadership behaviours Displays an attitude of disengagement and/or blame PAGE 25 OF 45

26 Continued underperformance shall not exceed a period of 12 months after appropriate, evaluation, instruction, guidance and / or counselling measures have commenced. (See Performance Management Policy and Procedure) performance, failing which an exit strategy must be initiated. The poor performance process must be applied to those falling into under-performers. The Municipality, in conjunction with the employee s commitment, will make their best effort to find opportunities for development and performance improvement. If however underperformance continues for longer than 12 months, despite continual monitoring and reviewing, then a final review and decision will need to be made in the pursuit of a high performance organisation and service delivery. The focus on performance counselling is for development rather than punitive, but there is a need to release habitual underperformers. See performance management policy 5.3 Succession Planning and Talent Pool Development Succession planning is done primarily for mission critical positions and scarce skill positions. Succession planning involves ensuring a pool of people is ready and able to fulfil certain critical roles and skills in the organisation. This is based on evidence of performance and potential, including an assessment of current individual competencies against the competencies required at the next level. Managers prepare draft succession plans for discussion and validation at the TMCs using the succession planning tool. An example is shown below. Successor/s identified ready to be placed within 1 year Successor/s identified ready to be placed within 1 2 years No successors yet identified or only ready after 2 years People in the talent pool can be ear-marked for one or more roles, however, there is no guarantee offered for specific individuals for specific roles. As an analogy being in the talent pool means being given the opportunity to get fit for the race, but when the position becomes vacant, anyone may enter the race, and the fittest person at the time, will win the race. The talent pool is not a fixed concept and changes on an annual basis in accordance with the annual TMC and performance management process. Therefore people move in and out of the talent pool. For example: Should an individual experience a significant drop in performance, they may fall out of the talent pool. PAGE 26 OF 45

27 An individual who exhibits previously unnoticed high potential may be included in the upcoming year s talent pool Market conditions may deem a particular skill scarce and people exhibiting this skill may be included in the talent pool. Beware the unintended consequences of creating a talent pool - primarily the risk of alienating those employees who do not make the grade. Schisms may develop between those who are in and those who are out, resulting in resentment and damaged team relations. People may feel demotivated and performance may drop off for those not categorised as talent. Placement in the 9 box or talent pools are considered confidential information relevant only to the incumbent. Employment Equity needs to be considered when doing succession planning to ensure the EE policy is being upheld and EE plans and targets are being achieved. After talent has been identified and placed on the 9 box matrix and succession planning completed in the usual way, the following questions should be asked: Do we have sufficient demographic representation in the 9 box matrix and in the succession plan for the future? Is there a balance between EE candidates and others throughout the 9 box? Are there any EE candidates that may have been overlooked or not given the opportunity for demonstrating evidence? Which candidates require accelerated development for greater exposure? PAGE 27 OF 45

28 6. TALENT RECRUITMENT 6.1 Strategic recruitment The purpose of strategic talent recruitment is to ensure sufficient supply of talent and skills in the short- and the long-term to meet the strategic goals Attracting talent One of the key factors of attracting talent into the Municipality is an employee value proposition that entices talent into the organisation. A value proposition is concise description of what you as an organisation have to offer potential employees. It needs to be inspirational, motivational, attractive and distinctive and express your core identity. It is the ultimate company pitch to persuade and entice highly sought after professional and technical skills to join your company. The value proposition can be used in company speeches, external advertising and internal communication and is often encapsulated in a by-line such as Standard Bank s inspired, motivated, involved or Nedbank s Great things begin with great people. When you are building the value proposition, ensure you address and communicate your ability to deliver on the 5 GREATS: great company, great jobs, great culture, great leadership, great rewards. What is communicated in the media and interviews, must be matched when new employees begin their employment. In addition to the employer value proposition and addressing the Great drivers, there is the intangible feel and environment of a workplace. The Great Place to Work institute defines the concept as one in which you trust the people you work for, have pride in what you do, and enjoy the people you work with. Note: The value proposition still needs to be developed for ethekwini Municipality Strategic Sourcing Strategic sourcing includes building alliances and partnerships with schools, learning institutions, such as universities and Technicon s, specialist companies involved with bursary and scholarship management, recruitment agencies, head-hunters and consulting firms. It also involves sponsorships of career marketing initiatives such as career exhibitions, university career days, advertising in career publications, sponsoring technical facilities and Chairs at universities, as well as academic awards for excellence. It can also include entering into joint ventures with government, industry or other organisations. Strategic sourcing also involves the decision to build skills internally vs. outsource, sub-contract, use part-timers or import skills from abroad. In the Municipality, preference is on growing our own timber except where critical or scarce skills are needed or to meet EE targets. Current Strategic Recruitment Activities include graduate days at schools, colleges and universities, relationships with employment agencies (preferred suppliers & international), learnerships, graduate trainees and loan student schemes Additional opportunities exist to expand strategic sourcing activities such as referral allowances, recruitment campaigns and to update recruitment profiles with competency gap analyses. PAGE 28 OF 45

29 6.1.3 Future competencies It is important to identify future competencies required and start building those skills now. Competency profiles need to be kept up to date for current and future needs. 6.2 Operational Recruitment The purpose of operational recruitment is to optimise recruitment processes for fast turn-around on vacancies to minimise cost and productivity losses and ensure best-fit selection for performance and delivery. This includes the management of vacancies, updating of job descriptions and competency profiles, grading of posts, internal and external advertisement and the interviewing and selection process for potential candidates Recruitment processes Recruitment in the Municipality is managed according to the Employment Practices Policy and the EE Plan. Everyone has an equal opportunity to apply for a vacant position, including those in the succession pool Performance and Competency Standards All positions, internal and external must use the Performance and Competence Standards guide to ensure people are recruited at the appropriate leadership or technical level of the organisation Psychometric assessments Psychometric assessments can be used for recruitment where deemed appropriate by the Unit Head Leaders role All leaders must be encouraged to continuously hunt for talent outside the organisation. Leaders and line managers need to work proactively with HR, on an ongoing basis, to attract and source the right candidates from the external market and induct them into the organisation. 6.3 Induction and orientation Once a person has joined the Municipality, it is critical to ensure engagement and rapid integration into the organisation for maintaining performance standards during their first few weeks and months of employment. This includes understanding the business, their role, their customers, building relationships with their direct manager, integrating effectively into their teams and understanding their performance measures and developmental competency requirements to be successful. PAGE 29 OF 45

30 7. TALENT DEVELOPMENT AND APPLIED LEARNING Developing talent means going beyond statements like people are our most important asset to investing time and resources in making sure that employees are both competent and committed. Development means unleashing latent talent by focusing on a variety of creative opportunities for growing people, including formal training, mentoring or coaching, feedback, stretch assignments, talent development programs and promotions Competency profiles and gap analyses Leadership and personal competency profiles will be developed for all management levels and a gap analysis undertaken to assess development needs Technical competency profiles will be developed for key technical functions and a gap analysis undertaken to assess development needs A job competency profile is a combination of the leadership/personal and the technical competencies required for full performance. Competency profiles must be simple, practical, relevant and appropriate with consistent processes across clusters except where unique technical skills are required. Competency profiles must support the development of competence across levels rather than for specific jobs. Consistency - There will be consistent leadership & personal competencies, pipeline levels and performance standards across clusters. There will be consistent technical competency profiles for similar job families across clusters e.g. administrative, call centres, customer service centres, financial, procurement, artisans, technicians, operators, drivers, etc. There will be customised technical competency profiles for unique technical skills e.g. Nursing, policing, fire, library, etc A competency gap analysis is the process of assessing an individual against a job competency profile, using evidence of competence (knowledge, skills, experience, behaviour). This is the manager s role supported by criteria and tools and with input from the incumbent. The TMCs will act as a moderating mechanism to reduce subjectivity and manage fair access to opportunity. The individual competency gap analyses will feed into Individual and unit learning plans. These plans inform the Workplace Skills Plan for the Municipality Individual learning plans (ILP) The ILP contributes to the achievement of continuous development of employees within the Municipality. The basis of an individual development plan is a combination of the following: Performance development for current job: this requires a competency gap analysis against the competency profile for the current role or level of work. Career development in readiness for succession: this requires a competency gap analysis against the competency profiles for the possible next level jobs, as outlined in the succession plan. Competency gaps must be prioritised and the best-fit development options (for the individual and Municipality) agreed. Performance development is always the priority development need. Career development needs will be addressed once full performance has been reached. PAGE 30 OF 45

31 Managers are encouraged to use a variety of creative developmental activities other than training courses to prepare the ILP. See additional options below. Self-study Formal Programs Group Learning Coaching Action Learning Reading Reflection Internet Discovery Trial & Error Assessment Soliciting feedback Behaviour change = lowest Business School Program Public courses Seminars Conferences Company Training Programs External Supplier Programs Behaviour change = low Strategy Sessions Team Development Leadership Programs with peers Networking forums Just In Time learning Behaviour change = medium External coach Mentor Coach Manager Peers Setting goals, creating learning opportunities, sharing information, experience and tools, feedback Behaviour change = high Special Projects (full time or part time) Secondment Job Rotation Acting role Graduate Development Programs Talent Programs Leadership assignments Behaviour change = highest It is important to align individual career aspirations with organisational needs. Employees will be afforded an opportunity to discuss career aspirations and development needs during career discussions. Managers must build competency in coaching skills, managing expectations and having crucial conversations to ensure effective career discussions Applied Learning Applied learning includes the various career opportunities available for an individual to develop skills and experience for future roles. Creative practical experiential options must be created for High flyers and critical key players such as stretch assignments that enable learning of new skills, functional rotations, role exchanges, project roles, acting positions, talent management programs, action learning project teams or internships. Outside experiences are also important including consortium learning programs, travel to key organizations for reviewing best practices and exposure to new perspectives Strategic talent development Critical development approaches and activities are required to ensure successful talent management is described below Leadership and Management Development Programs Programs should be made available at key levels of the pipeline to assist with transition to new skills, values and time horizons. Managing others: emerging managers Managing managers: middle management development program Managing function: senior managers development program Managing operation: executive managers development program These programs must include a strong element of coaching and teamwork Coaching and Mentoring It is important to build a culture of feedback and coaching. Managers must make time for regular discussions and coaching sessions to give feedback, solve problems and discuss options to gain experience and improve performance. Mentoring relationships should be established for certain high flyers. Capacity must be built in all managers to coach for performance and development and for a selected few to mentor others. External executive coaching should be made available to certain MCPs at senior levels. PAGE 31 OF 45

32 Accelerated development program for High flyers and EE candidates These are 1-2 year planned programs of development activities programs especially for high flyers, EE candidates and the talent pool (from across units and clusters). These can include executive development programs, assessments, coaching, action learning, best practice visits and exposure to different parts of the business. A key indicator of success is ensuring a balance of inputs such as personal mastery, team mastery, change mastery and business mastery for a well-rounded future leader. Another critical success factor is buy-in and commitment at all levels to the time and support required to complete the program and perform in their current role Business Driven Action Learning Programs for high flyers (BDAL) BDAL programs are high profile business challenges/projects worked on and solved by a group of high flyers (part time or full-time) supported by individual and team learning and coaching. The vital ingredient within the dynamics of the team is the appreciation that learning often comes from the sharing of experiences in an open exchange, which in turn encourages reflection and practical application Career pathing for scarce and critical skills It is important to document the possible career paths using the leadership and technical pipeline particularly in functions that have scarce and critical skills Technical specialist career paths for non-managers It is important to outline a unique career path for people that are excellent technical specialists and add significant value to the business, but do not have the aptitude or interest to manage others Training program for managing poor performance and crucial conversations It is important that managers build capacity and confidence in having tough, honest conversations around performance, potential, development and reward Space creation It is important to create space for talent to grow especially if there are a lot of long-tenure employees, not likely to move. Options include supernumerary positions, acting roles, internships, learnerships, graduate trainees as well as voluntary separation programs using agreed criteria to make space for new talent Culture of learning A culture of learning must be encouraged and leaders must be trained and rewarded to identify, develop and coach talent. Key performance targets must include developing successors for your job but also for the whole organisation. Individuals and leaders must clearly understand their roles and responsibilities in the development cycle and actively manage priorities, expectations, time off and resources for learning Identify and develop talent early The earlier you can identify talent in the business, the greater the opportunity to test, develop and hone inherent potential and skills. Beliefs and attitudes are difficult to change, but still easier at an earlier age to shape. There is also more flexibility and less risk in developing and moving young talent around. Investment in early development enhances engagement, builds loyalty and reduces retention risk. Creation of Trainee Posts Trainee posts may be created for posts that have been identified as a scarce skill or MCP, subject to funding being approved for these posts. On successful completion of PAGE 32 OF 45

33 the program the trainee should be appointed to a supernumerary post at the applicable level, until such time as a substantive vacancy arises. Appointment to the post is based on successful completion of trainee program and does not have to follow the advertising process. Learnerships These are nationally recognized, structured learning programmes which are designed to provide opportunities for employees and non-employees to acquire qualifications in certain occupations. Learnerships are contracts between an employer, a training provider and a learner for the duration of the Learnership. In addition the Municipality also offers learnerships to University of Technology students to study and then enter full-time employment with the Municipality eg. Learner technicians. Student Bursaries (Student Loan Scheme) This scheme provides for the granting of bursaries to students to qualify in areas that have been identified as scarce/critical skills where departments have experienced difficulty in recruiting and retaining staff for specific posts e.g. Architects, Professional Planners, Quantity Surveyors, Chemical Engineers, Civil Engineers, Electrical Engineers, Mechanical Engineers, Land Surveyors, Professional Valuers etc. PAGE 33 OF 45

34 8. TALENT RETENTION AND RELEASE 8.1 Retention There are 5 key drivers for retention. These are: Respected organisation Build an attractive employee value proposition that reflects all the retention drivers. This can be used in internal and external communication to the job market to build the reputation as a great employer. Treat people that leave the organisation well as they may be future employees or could be useful ambassadors for the ethekwini Municipality brand out in the market place. If exits are poorly managed, the threat of reputational risk increases Conducive culture Develop a conducive environment for learning and growth. Ensure the culture is crafted, managed and encouraged through effective accountability, performance management and teamwork. Employee perception surveys help with understanding the current climate and priority employee needs Challenging jobs Ensure roles are interesting, challenging, flexible with sufficient depth and breadth of experience. Where required, create space by creating new roles or offering voluntary separation packages to ensure young talent is not stifled with lack of movement and opportunity. Ensure role profiles are up to date and reflect the full role Effective leaders Develop and encourage a leadership style that is appropriate to the organisation and the culture and ensure sufficient engagement, coaching and growing people. Ensure a talent mindset at all levels. Offer leadership development programs that build leadership competence as per the competency profile at each level of the leadership pipeline. Measure and reward leadership behaviours that support the Municipality values and leadership style Motivating rewards and recognition Ensure an equitable reward system that motivates, recognises and differentiates rewards for superior performance and value add. Money is not the dominant motivator, but can be a factor in the decision to stay. Effective and fair performance management systems to measure performance in order to reward people are imperative. Managers must be encouraged to recognise individuals for outstanding performance and contributions. Options include public compliments or awards, senior level exposure, development programs, special assignments, flexible work arrangements, etc Retention Review On an annual basis, managers must review and rate the performance objectives that are linked to incentives and ensure reward equity and identify and manage any possible retention issues. During career discussion is important to assess motivation and retention issues. In principle, if someone from the talent pool resigns, it is good management practice to try and retain them. Help them analyse the real reasons for their decision and, where reasonable, try to find a creative way to accommodate them PAGE 34 OF 45

35 and influence their decision to stay. This should be done in accordance with each line manager s defined accountability and influence, and must clearly align with organisational requirements. 8.3 Talent Release Talent release involves the identification, management of letting go of continuous underperformers. The performance management policy must be followed to release people timeoulsy to avoid negative impact on delivery. The 9 box matrix and TMC process will assist with these decisions. Refer to Performance Management Policy. Managers must be encouraged to address and manage poor performance and be trained in these skills. The information elicited during the release process provides valuable input back into strategic planning and recruitment. Release of talented individuals is facilitated by HR, but line managers must alert HR immediately of termination of employment of a talented individual and communicate identified reasons for leaving. Line managers must also be receptive to receiving feedback from HR, in the event of critical trends emanating from exit interviews. PAGE 35 OF 45

36 9. TALENT MANAGEMENT COMMITTEE (TMC) 9.1 Purpose Talent Management Committees (TMCs) are the vehicles for strategic discussions and decisions around talent issues and challenges in the organisation and to ensure succession plans are in place for mission critical positions and scarce skills positions. Additional objectives include: Discuss available and emerging talent that is needed to meet business objectives Increase the visibility of talent in the business units and within the organisation Provide time for managers to stop and think and focus on people, giving people issues the same attention as other business issues Provide structure, standardisation and consistency across the business Bring objectivity to the review process 9.2 Structure The TMCs will be structured as follows: Tier 1: DCM Forum (City Manager and Deputy City Managers and Head: HR reviewing Unit Heads), Tier 2: Cluster Forums (Deputy City Managers and Unit Heads and Deputy Head: HR reviewing Deputy Heads in each Unit in a particular Cluster), Tier 3: Unit Forums (Unit Heads and Deputy Heads and Senior Manager: HR or nominee reviewing Senior Managers and Managers as well as scarce skills positions and MCPs in each unit) Additional forums will be held as required by business needs. City Administration will provide a Secretariat service to Tier 1 and Tier 2 TMC s. Secretariat service at Tier 3 level to be provided by the Unit or HR department concerned TMCs to be held once per annum with quarterly reviews of talent actions. Each TMC requires detailed preparation and sufficient time for the review process. An agenda is available in the TMC toolkit. 9.3 Roles TMC chairperson the most senior person in the TMC or nominated person in their absence. HR Representative - a senior trained HR/ talent practitioner to facilitate, advise and guide the TMC. TMC administrator a person to ensure all relevant information is provided to the TMC, to capture minutes and actions electronically at the TMC and to ensure the management of talent data. TMC Members other members of the TMC as mentioned in the tier structure above. It is the role of the TMC members to discuss candidly the appropriateness of proposed talent categorisation and actions and constructively challenge proposals to ensure consistency and a higher-level strategic PAGE 36 OF 45

37 view across the various Business Units and Departments. The candidate profiles assist in this process and in getting to know the details of the organisations key talent. 9.4 Inputs In line with the process documented above, prior to the TMC taking place, managers need to ensure that a number of inputs are available. These include: Performance Review: Outcomes of performance reviews as per the annual process. Performance reviews must be completed before the TMC. Portfolio of Evidence: examples of performance, competence and potential throughout the year Career Discussion Template: Template to be completed by individual (part 1) and manager (part 2). Competency profiles need to be reviewed as business and job requirements change Individual competency gap analysis: An analysis of actual vs. required competence against competency profiles is undertaken on an annual basis as an input to the career discussion and ILP. This analysis applies to current posts, as well as future posts in the employee s logical career part. Career discussion: this must be held before the TMC. Managers with incomplete information will not have an opportunity to present their teams at the TMCs. 9.5 TMC Line management must prepare and present the following: Career discussion template copy of completed templates (part 1 & part 2) Strategic talent issues: Completion of the strategic talent issues template including: What are the top 3-5 strategic areas of focus for my business unit in the upcoming year? What are my top 3-5 people priorities? What changes might there be to the current organisational structure and skill requirements this year. In the next 2-3 years? What are my MCPs and scarce skills positions? 9 box matrix positions of their direct reports Succession plan for their direct reports. This includes potential candidates to fulfil MCP s and scarce skill positions in the line managers structure. The succession plan must reflect readiness of candidates. Talent development and action plan - this must include individual actions as well as departmental/team actions for strategic resourcing, development and retention issues. 9.6 Outputs On completion of the TMC, managers are required to document a number of outputs, which include: Finalised 9 box: 9 box template which provides a summary of performance and potential for each candidate Succession Plan: Succession plan detailing pool of individuals that are ready now and ready later for specific positions. Development Plans: Actions to close development gaps and ensure that they are progressing towards the next level of the pipeline/ their chosen career path updated in the ILP which will inform the WSP and other initiatives Talent management Action Plan: Summary of all actions for individuals and the group that need to be carried out to successfully attract, develop and retain talent in the business PAGE 37 OF 45

38 Succession pool for scarce skills positions and MCPs: summary of the overall succession pools for scarce skills positions and MCPs at different levels Feedback process: to individual within 2 weeks of the TMC PAGE 38 OF 45

39 10. TALENT MANAGEMENT AND ALIGNMENT Talent management includes the on-going co-ordination, management and monitoring of all talent management activities to ensure successful implementation and attainment of talent vision and outcomes TM accountabilities Roles to ensure successful implementation of TM are defined as follows: Line is responsible for their talent HR supports and enables line Individuals are accountable for own career. A more detailed description of roles follows: Top Management Line management Human Resources Individual Own the process Provide the strategic future focus Provide a budget Approval and governance of the Municipality talent pool using the 9 box matrix, succession plans, and talent action plans Ensure Implementation of talent strategy and TM process Modelling the leadership behaviour expected of others Ensuring the performance of other players in Manage talent through a process of engagement, gathering performance and potential feedback and evidence, performance management and coaching Competency profiles, gap analyses and updating Career discussions Prepare and present at the annual TMC the 9 box matrix, succession plan and talent action plans (including sourcing development and retention) Ensure talent action plans are implemented Supporting the system Custodians of the process Set clear goals and measures to implement the talent management strategy Provide advice and support to line management Ensure processes and tools are in place Build capacity in line and HR to manage talent Monitor and report on talent activities and statistics Co-facilitating the TMCs and ensure objectivity and fairness Competency profiles Ensure own career aspirations and development needs are communicated and plans agreed that align individual and organisational needs Prepare for input into the career discussions using candidate profile and competency and performance standards and ILP PAGE 39 OF 45

40 the process Continually monitoring performance of the system Managing the politics associated with the process visibly Evaluating staff objectively Modelling the required leadership behaviour Formal assessment processes Documenting outcomes of TMC s Provide information on organisational and individual potential Act as a facilitator to the process Act as an honest broker, frequently in the face of political pressures Specific responsibilities per level are as follows: The City Manager is responsible for managing the talent of the DCMs and the Office of the CM The DCMs are responsible for managing the talent of the Unit Heads The Unit Heads are responsible for managing the talent of the Deputy Heads, Senior Managers and Managers, scarce skills positions and MCPs. The DCM TMC discusses cross cluster moves and resource sharing TM processes, tools and systems and alignment HR must ensure the Talent Management toolkit is in place and updated where necessary. TM is an umbrella process cutting across the HR value chain from recruitment to release. All TM policies, systems and processes to be integrated and aligned with other HR policies, systems and processes and integrated into the HR IT system Building capacity All managers must be trained in talent management. All participants of career discussion and TMCs must be trained in TM and career discussions. Talent management overview must be integrated into induction training. Ensure all HR and Skills Development managers and practitioners are trained in TM Monitoring and reporting Talent management measures must be monitored and reported on quarterly to ensure impact on the business. Further Information Other related documents that are key to talent management include: Performance and competence standards: This document details the performance and competence standards required to achieve full performance at each level of the pipeline Leadership, Personal and Technical Competency profiles TMC Toolkit: This document provides a summary of the tools and preparation necessary for the TMC s PAGE 40 OF 45

41 Competency Development Toolkit Further information is also available from the Senior HR Managers and on the Municipality s intranet site. PAGE 41 OF 45

42 St rat egi cleadershi p Del i vering Results Engagement & Di al ogue Personal Ef fecti veness 11. TALENT MANAGEMENT SUMMARY 5 Respected organisation value proposition, brand, image reputation as employer Conducive culture Conducive environment for learning, growth, accountability, performance mgt, teamwork Challenging jobs Interesting, challenging jobs, flexible options, space creation Effective leaders Leadership style, engagement, coaching Motivating rewards Rewards that motivate, recognition for value 1 7 Current & Future business priorities/challenges Organisation capability review People capability review Objectives, measures & principles 2 Demand (positions) ID mission critical positions ID scarce skills Succession Plan Supply (people) ID High potentials ID key players ID under-performers Performance (Track record and behaviors) Not yet full (1/2) Full (3) Exceptiona l (4) 4 Monitor & report Talent goals Competency gap analysis Leadership Technical Strategic T&D Development Self-study Coaching/mentoring Skills development Leadership Development Competency HR Mr Gr HR Strategy HR legislat HR Policies HR Measure Applied learning New appointments Project roles Secondments/acting Space creation/vsp TM strategic overview Build Career discussion capacity 6 template 9 box matrix Succession plan Talent development Actions & action plans Accountabilities Measures Tools 3 Strategic Value proposition Critical & scarce skill supply Future competencies Strategic sourcing Operational Competency profiles Recruitment processes Induction processes TMC exposure Talent recruiting talent ILP WSP Career and development discussions PAGE 42 OF 45