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IntroductionIntroduction

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The Current Candy MastersThe Current Candy Masters

Center: David Shaffer, Co-CEOCenter: David Shaffer, Co-CEO

Right: Ross Born, Co-CEORight: Ross Born, Co-CEO

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An Inventor’s Touch

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Just Born Brands

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Peeps getting bornPeeps getting born

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Where in the World is…Just Born?

Canada

U.S.

Mexico

Caribbean/ Panama

Puerto Rico

South South AfricaAfrica

Middle Middle EastEast

Israel

U.K.

Ireland

Singapore

Korea

Japan

Philippines

New ZealandAustralia

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Agenda

• Overview of Market Driven• Research methodology• Five practices of Market

Driven HR Leaders• Summary• Q&A

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Here is the foundation of the study:

• All areas and all levels of the company involved.• Likely common people practices for HR Leaders.• The purpose of this study

– identify the characteristics and advantages of market driven businesses

– define the most effective human resource practices involved.

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Defining Market Driven

Market driven organizations demonstrate superior skills in understanding, attracting, and keeping valuable customers.

• Customer Focus• Delivering superior customer value• Selectively nurturing customers with the highest

profit potential• Anticipating opportunities• Responding to, or leading the dynamics of the

industryDay, 1999

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Customer Focus

Customer

Vision & Mission

Distin

ctive Relatio

nsh

ip

Direct Contact

Company Alignm

ent

Corpora

te Cultu

re

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Eye on the competitive landscape

Competitor Product offerings

Value as defined by customers

Capabilities

Role in the market

Value proposition

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Results of being market driven

• 31% more profitable– 2% increase in customer retention has same profit impact

as cutting costs by 10%– 5% reduction in customer loss can increase profits by 25-

125% depending on industry

• Twice as fast at getting new products to market– Ability to see and respond to market opportunities

• 10-20% higher in customer satisfaction levels– Customer relationships and loyalty

Meyers 2008 Citing Pragmatic Marketing Study

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Research methodology

•Literature review

•Quantitative data collection

•Survey Monkey

•98 participants

•Business/ HR leader interviews

•10 Business & HR leaders

•Variety of industries

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Primary ResearchQuantitative Data Collection

Types of organizations participating

7%

15%

11%

60%

7%

Independant consultant Consulting company Non-Profit

For profit business Educational institution

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How market driven is your company?

Extremely market driven

32%

Not market driven at all

5%

Somewhat market driven25%

Market driven38%

Most considered market driven

2 way communication with customers

Alignment with core values which kept customers in the forefront

Nimbleness in the marketplace

Not market driven at all –Not focused or not focused on the customer

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HR’s contribution

HR process contributing to the company becoming Market Driven

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20

30

40

50

60

70

80

Recruitin

g

Onboa

rding

Perfo

rmanc

e Mgt

Career

dev

.

Succe

ssion

Plan

ning

Training

& D

ev.

Lead

ersh

ip Dev.

Organ

izatio

nal D

ev.

Org

aniz

atio

nal D

es.

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Most important thing HR can do

1. Talent Management2. Strategic HR

• HR Business Partner• HR practices aligned with strategy

3. Help employees focus on strategy4. Demonstrate business acumen

• Know the key drivers, competitive landscape and financials of the business

5. Advocate for employees• Make it a great place to work

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Business Leaders said

• Common suggestions – Remain connected with customers

• Embassy Bank customer for life• Heinz food’s diversity initiative to align with

customer affinity groups

– Keep employees focused on customer needs

– Maintain external focus– Talent management– Become a great place for your employees

to work

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Implications from research

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Five practices of Market Driven HR Leaders

Relentless attention to Talent Mgt

Deliver strategic

action

Market Driven HR

Drive alignment

Continuously improve

External Focus

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External focus starts with the business

VisionOur vision is to be the earth’s most customer centric company; to build a place were people can find and discover anything they might want to buy online.

Purpose statementSave people money so they can live better.

MissionTo inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.

Mission statementDedication to the highest quality of customer service delivered with a sense of warmth, friendliness, individual pride and company spirit.

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External Focus for HR

Learn the industry

Understand the competitive landscape– Who are the customers?

• What do they want/need?

– Who are the competitors?• What are their strengths and

weaknesses?• What is their position in the

marketplace?

– What are the trends in the market?

Identify the people practices of the customer, the competitors

Stay abreast of best practices that may apply to your business

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Deliver strategic action

• Immerse yourself in the company strategy

• Seek opportunities to create value• Concentrate on delivering business

impact • Use metrics that matter and share

them with business leaders• Align HR strategy with overall

business imperatives.

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Relentless attention to talent management

• Right people in the right roles with the right skills for the current and future needs

• Identify the talent brand and value proposition– Embassy bank approach to hiring

• Drive improved performance• Get clear about what the right competencies

are, then build or find them • Create an environment for retention

– Workplace of choice

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On becoming a workplace of choice

• Key strategic objective for Wal-Mart in 2005 is to make the company an even better place to work.• Diversity training for all supervisors• Cash registers set to shut down so people will take breaks• HR available 24 hours a day• Leadership development and mentoring for women

Allbusiness.com

• HR Business Partners.• Long term career paths for employees• Amazonians on Amazon

Amazon.com/inside careers

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More examples

• Employees are called partners• Focus on diversity• HR Theme -Love what you do!• All partners get an education in coffee from roasting to

tasting• Senior leaders hold open forums to connect with all levels

of the organization• Monthly mingle events and Partner Clubs• Best place to work 5 different years

Starbucks.com

• Power of relationship• Recognition on the website of employees by CEO• Best place to work • The southwest Way

– Warrior spirit– Servants Heart– Fun Loving attitude

• Investment in learning– University for people– Leadership development– Job shadowing– Promotion from within

Southwest.com

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Drive alignment

• Understand, interpret and clearly articulate the mission• Communicate to build alignment• Organize performance measures to align with the

market driven approach• Design the organization to respond to customer and

market needs• Reward market driven behaviors and accomplishments.

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Continuously improve

Good enough is NEVER good enough!

Plan

Do

Check

Act

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In summary

• There are some common HR practices of Market Driven companies

• HR must demonstrate the five practices of market driven businesses– External focus – Strategic HR– Relentless attention to talent management– Align people with strategy– Continuously improve

• HR has a key role to play!

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Questions & Answers

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