Employer Engagement A Strategic Approach

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Presentation transcript:

Employer Engagement A Strategic Approach Tristram Hughes, Research Manager Raj Patel, Programme Manager

Outline for this afternoon What is employer engagement? What is your strategy? Knowing your market Being responsive

Our recent work in this area Developing Training Excellence (and previously TQS) Research with employers into demand for and perceptions of HE and FE, including employer survey for Linking London Supporting universities on market research and CPD strategies Evaluation of HEFCE’s Transforming Workforce Development Programme

What is employer engagement?

The importance of employer engagement Its place and priority within institutions varies Following policy trends Intrinsic link to apprenticeships and vocational provision in FE In HE it can be less central, but depends on the institution Complements wider research/KE/employability activities Valuable source of income

Employer engagement challenges Competitive market Doing more with less Institutional challenges Shifting financial burden from state to employers/individuals Less co-funding and subsidy “Taxpayers should not be involved in subsidising employers by paying for workplace activity that includes large amounts of firm-specific training” Alison Wolf

Your experience How do you define employer engagement? Has this definition changed? How important is employer engagement to your institution? What challenges are you facing?

What is your strategy?

Building blocks for strategy Define market Define business Define structure Define stakeholders

Standalone Employer engagement unit Departments/faculties

Hub and spoke Departments/faculties Employer engagement unit

Departments/faculties Distributed Departments/faculties

Leadership and governance Standalone Hub and Spoke Distributed Vehicle A wholly owned subsidiary or a separate, largely self contained division within the institution A ‘hub and spoke’ arrangement with varying levels of integration between a centrally co-ordinated business development function and the institution’s academic divisions A decentralised model with academic divisions operating independently and collaboratively (i.e. on a cross-faculty basis), when appropriate Leadership and governance Chief Executive Officer or Managing Director reporting to a Board comprising internal institutional and external (employer) representation Heads of business development and academic divisions reporting through institutional committee structures Dedicated steering or advisory group may be established with external representation Heads or assistant heads of academic divisions reporting through institutional committee structures Human resources Strong commercially experienced staff profile, employed through the wholly owned subsidiary on terms and conditions similar to the private sector Commercially and academically experienced staff profile across the institution’s individual business units, with some use of Performance Related Pay and/or revenue sharing Strong academically experienced staff profile, employed on terms and conditions which are fairly standard across the HE sector Business development Dedicated business development, marketing and sales function which is highly pro-active and sophisticated in approach, supported by a CRM system Central and distributed sector and discipline oriented business development, marketing and sales function, with varying levels of pro-activity and sophistication, generally supported by an institution-wide CRM system Distributed, discipline oriented business development, marketing and sales function with limited resource to support pro-active approaches and possibly supported by an institution-wide or locally deployed CRM system Delivery Dedicated, in-house delivery capability and capacity supplemented by individual associates and third party providers (e.g. private training providers) Delivery capability and capacity provided by academic divisions supplemented by individual associates and third party providers (e.g. FE colleges, private training providers) Delivery capability and capacity provided by academic divisions supplemented by individual associates and collaborative educational partners (e.g. other universities, FE colleges) Processes and systems Dedicated, in-house processes and systems designed to enable flexibility and responsiveness Established institutional processes and systems only used for accounting (e.g. HEFCE returns) and assurance purposes Established institutional processes and systems used, with institution-wide adaptation to improve flexibility and responsiveness Established institutional processes and systems used, with localised and institution-wide adaptation to improve flexibility and responsiveness Branding Distinct branding separate to institution with the option to use the institution’s brand, as appropriate Strong institutional branding supported by a sub-brand oriented to employers Strong institutional and/or academic division branding

Developing an effective WFD offer EMPLOYER / INDIVIDUAL MARKET FOR WfD Product development Market analysis Capability review COLLEGES AND UNIVERSITIES WfD OFFER

Capability strategy Define objectives Develop products Target customers Action improvement Analyse markets

What is your strategy? Do you have a written employer engagement strategy or strategies? How do these fit within other institutional priorities/strategies? How does your strategy inform your operating model?

Knowing your market

CPD market It is a big market It is a crowded market Individuals and employers are two distinct but related segments – will require different approaches... ...but 50% of individuals select CPD provider on behalf of their employer

Linking London employer survey – HLS (2009) Base: 211 Base: 211 Base: 223 Base: 302 Base: Employers with 50+ employees

Institutional approaches to market intelligence Using secondary data sources – Labour Force Survey, etc Coordinating with Jobcentre Plus, SSCs, professional bodies and other stakeholders Customer voice research with existing and prospective customers Satisfaction surveys Focus groups Alumni surveys (focusing on alumni as future customers) Competitor analysis

Market positioning Product Market Service Price Private provider A Flexible training Unrestricted Flexible delivery High University B World leading education Blue chip / government Mainly traditional delivery FE college C High quality accredited training Local area only Mainly traditional delivery Medium You..? ?

Market share of HLS by provider type Base: 183

How do you understand your market? Surveys? Consultations, focus groups? Consulting professional bodies? Sector skills councils? Alumni surveys? At what level? Institution wide? Faculty/Department? Specific qualifications/courses?

Coffee break?

Being responsive

Playing to your strengths What are you known for? Do you know what you’re known for? How? What makes you authoritative? Why would an employer want to buy from you? Customer satisfaction/repeat business What can you build on? Internal consultations Market positioning against competitors Can you collaborate to build a more complete offer?

Being Responsive: Basic, Performance & Excitement Characteristics Type Definition Characteristics Basic The must-haves; without these employers won’t be satisfied Teaching staff with the right knowledge Clear course objectives Accessible sales approach Performance The key elements which are typically used to determine satisfaction if the basics are in place. Low bureaucracy / usable service Competent staff Helpful and accessible attitudes Right delivery styles / techniques Good value for money Excitement The nice-to-haves; the factors that impress and employers are willing to pay for. Up-to-date course content Willingness to tailor and adapt Course content relevant to our needs Right time for delivery Right place for delivery Track record

The employer’s journey: how satisfaction evolves

Barriers to Training? “Formal training doesn’t deliver skills I need” “Previous training hasn’t delivered!” “It’s too expensive” ? “My staff may leave or start asking for more money.” “I just don’t know much about what’s available.” “It’s going to be too disruptive” 29

Barriers to Training Disruption to work patterns Financial cost Lack of knowledge about the range of provision available Concern staff will become more susceptible to poaching Lack of suitable training provision Reluctance of staff Concern acquisition of new skills will lead to higher wage demands Previous training less beneficial than hoped Formal training not the best way to develop skills Previous training not delivered in the past

Barriers to Training….

The Improvement Framework…

Five principles… Ready Communications Excellent Training Organisations communicate readily, clearly and frequently with all stakeholders about what the organisation is doing to satisfy  their needs. Rigorous Analysis Excellent Training Organisations rely on facts and rigorous analysis to make decisions on strategy and service delivery, securing impact for customers’ businesses. Responsive Service Excellent Training Organisations respond to customers’ needs and expectations with high and responsive  standards of service, driving customer satisfaction. Robust Deployment Excellent Training Organisations are robust  in deploying  their internal plans and their proposals to customers, achieving sustained business results. Rich Content Excellent Training Organisations draw on innovation and best practice to create and deliver rich content  which secures impact  for customers’ businesses.

For more information Tristram Hughes tristram.hughes@cfe.org.uk Raj Patel raj.patel@cfe.org.uk 0116 229 3300 www.cfe.org.uk www.trainingexcellence.co.uk