TALENT PLANNING & DEPLOYMENT

Overview

• By definition, talent planning is designed to use an organization’s existing capabilities and potential to meet current and future business needs.

• it creates a foundation on which to build and link critical talent management processes, including sourcing, succession management, leadership development and performance management.

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Strategic Talent Planning framework

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WORKFORCE PLANNING IN ACTION

Workforce Planning is a systematic process for identifying and addressing the gaps between the workforce of today and the workforce of tomorrow.

The terms workforce planning and succession planning are often used interchangeably. Many books and articles also use the terms human capital plan and talent management.

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workforce planning: 1. overall process of linking workforce strategies

to desired business outcomes; 2. staffing plans as the specific workforce

strategies for recruiting, retaining, developing, and managing employees;

3. succession programs as the specific staffing strategies designed to develop an internal pool for anticipated vacancies.

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Workforce planning is, simply stated, the

• Right number of people with the• Right competencies in the• Right jobs at the • Right time

to accomplish the agency’s goals and mission.

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• Nearly 60% of state employees are 45 or older• Helps the state compete in today’s market• Allows decision makers to determine the workforce

needed for tomorrow’s success• Gives managers the human resource information

they need to manage their programs effectively

*) Government’ case

Why do Workforce Planning?*

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Workforce Planning Steps

Define the Future

Analyze Current Workforce

Close the Gap

Monitor, Evaluate, Revise

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Step One: Define the Future

• Articulate the agency’s vision, mission, organizational values, and objectives.

• Have a defined strategic plan for the agency

• Conduct a SWOT (strengths, weaknesses, opportunities, and threats) analysis

• Prepare the Demand Forecast

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Determine Future Workforce Requirements

• Workload changes• Program initiatives• Anticipated attrition• Roles and functions• Mission/strategy changes• Distribution

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• Identify any current or pending statutory, regulatory, or legislative mandates

• Identify any current skills that are becoming obsolete due to new technologies

• Identify new skills needed to continue with the business of the agency

• Identify shifts in changing work tasks• Identify turnover rates in the current workforce

Prepare the Demand Forecast

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The Demand Forecast Generates:

• Quantitative and qualitative data on anticipated workload and workforce changes during the planning period

• Quantitative and qualitative data on future competency and skill requirements

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Step Two: Analyze Current Workforce

• Skills• Distribution• Demographics• Workload/Productivity• Staffing levels• Succession• Outsourcing

Profile Existing Workforce

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Supply Projections

• Supply projection examines the current and future composition of the workforce and workload.

– Quantitative data on current and projected workforce

– Quantitative data on current and projected competencies

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Supply Projections

• Look at trend data– Workforce Profile– Hiring Patterns– Retirement Patterns– Turnover statistics

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Identify Labor Market Influences

• Labor pool decline• Changes in labor pool• Downsizing outside State Government• Changing occupation outlook

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Start by learning about your agencyaverage age of state employees

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44.0

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45.0

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1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

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Step Three: Close the Gap

• Gap Analysis

• Action Plan

• Implementation Plan

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Gap Analysis

Use the Demand Forecast and the Supply Projections to identify differences (gaps) between where your agency is now and where it needs to be in the future

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Gap Analysis

• Identifies situations where future demand will exceed future supply

• Identifies situations where future supply will exceed future demand

• In both types of situations, your workforce plan must address eliminating these gaps

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Workforce Action Plan• Develop your plan around the most mission critical gaps• Define critical job competencies• Define and redesign jobs• Define recruiting needs• Define training and development needs• Identify restructuring opportunities• Identify a timeline for making the changes• Describe how the plan will be measured (objectives)

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Implementation Plan

• Obtain management leadership and support

• Develop change management strategy

• Communicate

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Obtain Management Leadership and Support

• Workforce Planning should be viewed as a significant piece of an agency’s strategic plan

• Senior-level management should lead the planning process

• Agency’s program managers will gain the most benefit from the plan

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Develop Change Management Strategy

• Change must be managed• Change involves all stakeholders in the agency• Objective view of the change is needed—

often agencies will contract out for some portion of the Workforce Planning process.

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Communicate

• Make the process transparent—let your employees know what’s going on

• Let your employees know what’s in it for them• Planning for future workforce needs is an

excellent time to offer career growth and opportunities to current employees

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Step Four: Monitor, Evaluate, Revise

Monitor

• Continuously monitor the plan and consider any internal or external developments that may affect the action plan.– Consider upcoming legislation, budgetary

concerns, and other external developments– Monitor projections to determine if current

conditions meet projections

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Evaluate

• Obtain feedback about the action plan and how it is working– Meetings– Surveys– Interviews– Focus groups

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Evaluate

• Measure the results of the plan– Do the gaps still exist?– Are skills being developed?– Are staffing levels adequate to perform the critical

mission of the agency?– Do new hires possess the needed competencies?– Celebrate achievements!

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Revise

• Make necessary revisions

• Communicate changes

• Report on accomplishments

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Typical Workforce Planning Issues to Overcome

• No commitment from agency leadership to provide the necessary staff

• Doing it half-heartedly - Do it right, or not at all.

• Not including agency employees• Wanting it too quickly.• Lack of available data.

Workforce Planning Framework

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KEY POSITION MAPPING

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“I need a report just likethis, only with everyone’s

previous manager.”

Change RequestGets Queued

HR & Business Managers

Business Analysts & IT

Time

UnderstandHR Source

Build Report

Make DataAccessible

Rebuild DataWarehouse

Get SourceData

RequirementsDefinition

ReportRequest

Many, Sequential, Very Technical StepsA Long, Error-Prone Process

WORKFORCES ANALYTICS

Workforce Analytics

• Headcount and Turnover Analysis– Headcounts, Workforce Demographics, Hires, Transfers, Terminations– Detailed granularity with Calendar (e.g. weekly) and Fiscal (e.g. monthly)

Snapshot Summaries– HR Budget

• Compensation and Incentive Analysis– All Earnings and Withholdings of All Employees– Regular pay, overtime pay, incentives, bonus, regular hours, overtime

hours– By Pay Group, Pay Date, Company, Business Unit, Organization, Earnings

Type, Withholding Type, Dates• Performance Review Analysis

– Employee Reviews, Ratings, Review Points, Total Points– By Review Type, Employee, Review Status, Review Type, Organization,

Dates,

Workforce Analytics Helps Improve Profitability

Acquire Deploy Optimize Retain

Which Skills Are Key?

Where is our Top Talent Located?

What is the Right Compensation for Open Positions?

Where do we Need to Hire to Meet the Corporate Goals?

How Do We Reward Top Performers?

Where Do We Have Excessive Sickness?

Are Employees Aligned to the Business Goals?

What Affects Performance of Top Performers?

Are Performance Reviews Timely?

How Many Employees Are Ready for Promotion?

How Many Employees were Promoted Last Year?

Where Do We Have High Turnover?

Which Separations are Avoidable?

Are We Motivating Top Performers?

Are Top Performers Leaving? Where? Why?

MEASURES MONITOR PLAN OUTCOMES With Supported Analysis

Completion, attendance ratiosProgram, certification expensesActivity profitabilityPerformance outcome ratiosSatisfaction ratings...

Workforce Analytics – Process FlowROI per employeeHeadcount costHeadcount variance Requisition fulfillment cycle timeTermination cost per employeeTermination costTurnover rate

Absence rateAccident rateExposure hoursAccept ratioAgency effectivenessCost to hireVacation days balanceVacation days entitlement

Performance review resultContribution factorMaintained qualification countReview resultScarcity levelSuccession percentageTraining % of revenue….

Company

Organization

Location

Responsibility Center

Job Position

Job Category

Vendor

Assignment

Salary Plan Grade Step

Calendar Month

Fiscal Period

Employee

Hiring Manager

HR agent

Annual compensationBenefit plan enrollment Compensation % increase Increase Variance]Customer service award varianceDependant countEmployee, Employer contributionEmployee opt out ratio Incentive awardHourly pay rate ….

Absence days countAccident Severity RateAccident Lost time Rate

High Performance ratioLow Performance ratioEmployee Development cost Development cost per employeeHigh Performance turnover rate

Incentive Pool varianceBenefit cost per employeeMerit Pool Varianceincrease variance count

termination rateFTE count Human capital ROITime to hireTurnover rate....

Headcount, Planning

Compensation & Salary Planning

Improve Growth

and Profitability

Headcount & Turnover

Compensation, Incentive

Performance, Succession

Recruiting , Absence & Accident Analysis

Learning Management

Benefits Planning

Restructuringplanning

Payroll & Reconciliation Analysis

Payroll Liability Planning

Recruitment Planning

Trained, certified headcountInvestment factorsTraining cost factorsRevenue/expense ratios

ENVIRONMENTAL SCANNING

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SOURCES OF INFORMATION

• Documentary or secondary sources- Magazines, newspaper, journals, books, trade &industry Assn. publication, Govt. Publication, Annual report of competitor company

• Mass media• Internal sources - employees, files, MIS, documents

SOURCES OF INFORMATION

• EXTERNAL AGENCIES - Customers, marketing intermediaries, suppliers, trade Assn., Govt. Agencies

• FORMAL STUDIES - Consultants, Educational Institutions, in-house

• Spying & Surveillance thro’ ex employees of competitor or planting ‘moles’ in competitor company

COMPETITIVE ENVIRONMENT SCANNING

•ENVIRONMENT TURBULENCE Hyper competition - Competitive intensity is high “In hyper competition, the frequency, boldness & aggressiveness of dynamic movement by the players accelerates to create a condition of constant disequilibrium and change.

COMPETITIVE ENVIRONMENT SCANNING

• Market stability is threatened by short product life cycles, short product design cycles, new technologies, frequent entry by unexpected outsiders, repositioning by incumbents and tactical redefinition market boundaries as divers industries merge.

• The environment escalates toward higher & higher levels of uncertainty, dynamism, heterogeneity of players & hostility.

COMPETITIVE ENVIRONMENT SCANNING

•ENVIRONMENTAL THREAT- Challenges posed by an unfortunate trend - lead to erosion of company’s position

•ENVIRONMENTAL OPPORTUNITY - an attractive arena - that company enjoys a competitive advantage

INDUSTRIAL ENVIRONMENT

Firm

Relevantenvironment

Microenvironment

MacroEnvironment

InternalEnvironment

COMPONENTS OF MEGA ENVIRONMENT

Regulatory EconomicPolitical

Technological Social

Mega Environment

CHARACTERISTICS OF VARIOUS ENVIRONMENT

TECHNOLOGICAL• Transportation

capability• Mastery over energy• Ability to alter

character of material• Mechanization of

physical activities• telecommunication

network

SOCIAL• Population,

demographic data• Spread of literacy• Income distribution• Social Values• Ethical standards• Concern for health

CHARACTERISTICS OF VARIOUS ENVIRONMENT

ECONOMIC• GDP, Growth rate• Money supply• Policies and

regulations

POLITICAL• Regulatory• Legal provisions• Stability of

Government

Suppliers

MarketingIntermediaries

Market Types

Market demand Competition

MICRO ENVIRONMENT

Financial Institutions

Regulatory Provisions

Industrial relation climate

Availability of skilled

manpower

SWOT CONCEPT

•STRENGTH - Inherent capacity which an organization an use to gain strategic advantage over it competitors•WEAKNESS - Inherent limitations or constraint which creates a strategic disadvantage•OPPORTUNITY - a favorable condition in the organization’s environment which enables it to consolidate and strengthen its position•THREAT - an unfavorable condition in organization’s environment which creates a risk or causes damage to the organization

OPPORTUNITY MATRIX

High Very Moderately Attractive Attractive

Attractiveness Moderately Least

Low Attractive Attractive

High LowProbability of occurrence

THREAT MATRIX

High Major Moderate Threat Threat

Seriousness Moderate Minor

Low Threat Threat

High Low Probability of occurrence

SWOT in Talent Planning

• Application in Workforce Planning• Developing Talent Needs Analysis• Aligning Market and Internal Supply &

Demand

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Talent Gap Analysis & solution

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Identify the Needed Skills

• What is the agency’s mission?• What are the agency’s business goals?• What processes and procedures are currently

in place?• What critical skills are needed to be able to

perform the mission and meet the goals?

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What is a critical skill?

• A critical skill is one that, if not present, results in a task not being completed satisfactorily, if at all.

• The lack of a critical skill causes problems, but the possession of it allows work to continue.

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Analysis and data collection

• Develop job profiles and identify critical skills needed for the job role

• Conduct an inventory of current skills

• Identify employees’ competencies and skill levels

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Develop job profiles and identify critical skills needed for the job role

• Review current position descriptions for future needs

• Consider the impact of upcoming statutory or regulatory changes on the work

• Take the time to develop a list of competencies that most clearly and accurately describe what is needed to do the work

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Conduct an inventory of existing skills

• Position descriptions

• Job class specifications

• Performance evaluations and employee assessments

• Interviews/focus group meetings with supervisors, managers, and employees

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Identify individual employees’ competencies and skill levels

• Put information gathered from competency assessments into one searchable database – Database of all employees and their existing competencies– Crosswalk with identified necessary critical skills for now and the

future• Create agency skills inventories databases

– Interagency cooperation

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Skill Gap Analysis

• Helps you refine and define skills the agency needs, now and in the future

• Helps your employees know what critical skills they’ll need to grow

• Helps you in recruiting efforts when current employees don’t have the skills or the interest