1. Strategic HR Management
Focus on People Development
Julie Chu / Oct. 2010

2. Purpose
Share the vision on why people development is so important to an organization
Understand the key steps on people development
Be aware of some key challenges organization will face in people development

3. Outlines
Issues
Actions
Challenges

4. Companies are lacking of talented people to support their strategic growth
Managers complain that the people inside the organization are not capable for new responsibilities
Employees with potential complain that they got no development opportunities, and leave the company
Recruiting needs increased with huge cost up, yet
Many new managers’ from outside fail in the new organization
Employee may be a good individual contributor, but can’t foresee their ability to manage a team;
Gap between employees’ self perception v.s. assessment from the management team, no relevant tools to help to improve self awareness and continuous progress
Everybody is looking for opportunities outside, talented people are hunted and cost increased without rationality
Failure of new managers’ (high salary, high expectation, cultural difference, internal stress……)

5. Organizational capability differentiate companies’ capabilities
Technological
Capability
Financial
Strategic
Organizational

6. Outlines Issues Actions Challenges
People issue has become one of the top priorities for many CEOs
Actions
Challenges

7. Where to find talented people? Challenges
External hiring of talented people is a quick solution, but it may not solve all the problems
In local China market, short supply of qualified people
Very fierce competition from all companies
Talented people are more & more demanding
Integration success rate

8. Where to find talented people? Opportunities
In local market, abundant supply of fresh graduates or people with 2-3 years working experience provide good hiring pool
In 2009, we have Chinese overseas returnees
Asian or western talented people are more & more interested in China market
Are we sufficiently attractive to the potential talented people?

9. Start by making our hiring activity more future oriented
Not only hire to meet current needs, but also hire for future growth
Not only hire for a job need, but hire for a long term perspective
Employer’s brand
Make our offer attractive

10. Develop multiple hiring channels
Locally
Cooperate with schools
For some specific profession, sponsor good potential students for their overseas studies and offer internship opportunities before hiring
Establish link with targeted school
International outlook
Make use of worldwide hiring network
Overseas campus recruitment
Cooperation with hunters with global experience

11. Nurture people development culture inside the organization
Associate with the business strategy, develop clear HR strategies
CEOs shall have personal commitment
HR department shall be fully empowered to drive the HR processes
People development shall be included in each level manager’s performance objectives
We start by understanding our people’s potential
Here I assume that the HR process will be able to generate the annual recruitment needs, including operations needs, growth needs

12. What is potential?
Different organization may have different definition in potential
We describe it as the highest level of responsibilities that an employee can take within 5 or 10 years
Managers are the best placed to assess employees’ potential with HR’s support

13. Why do we need to assess potential?
Necessary to fulfill a role, but not sufficient
Expertise
Knowledge
Behavior
Communication
Listening
Leadership
Can predict long-term success
In order to present this slide, when the title appears, say to participants: “As you recall from earlier phases of competency training, there are 2 essential components to competencies, the first is Knowledge and Experience. Click once to display the top part of the iceberg (knowledge component). This is the visible component i.e. it can be seen by simply reviewing employee files, resumes, etc. It is necessary to fill a role, but by itself, not enough to assure that we will be successful.
Discuss with participants ‘that research has shown that the key factor in determining
superior performance is the lower part, the demonstrated behavior component, that
will have a more significant impact on long-term success’. Click again to reveal the
lower part of the iceberg. Unless we take the time to observe and evaluate these
behaviors, the true drivers for development that will lead to success will remain
hidden, just like most of the iceberg is hidden from our view.
It is these competencies (the lower section) that were examined in order to create
the managerial competency referential.

14. We need to customize development program for people with different level of potential
Normal employees
Integration
Initial training
On job learning & development
Career progress speed is relatively slow
We focus on 2 types of potentials
High potential & boosted potential
This group becomes a population to monitor for development and retention
Relatively quick career development path

15. Potential assessment approach
Next level company needs gap
assessment
Internal observation
External observation (behavior)

16. Put in place simple criteria in internal potential assessment
Performance and Values alignment are the 2 pre-requisites criteria
Potential assessment shall also take the following into consideration:
Adaptability
Determination
Management of situation
Impact and influence

17. What is the process linked with potential assessment?
Potential has been preliminary assessed at hiring stage
Potential needs to be assessed & reviewed over time
We conduct potential detection on yearly basis
HR coordinate potential validation panel
The process is kicked off at year end, validation panel is organized in Q1 of following year
The process cover whole population

18. Leadership program for high/boosted potential employees
Learning: attend a 18 months program to learn leadership skills and knowledge in business administration, and learn to work in cross function
Development: obtain feedback through 360o survey and improve self awareness through Harrison Test, form IDP associated with external coaching session
Networking: establish networking relationship through the leadership program and global integration program
Holding a post abroad to develop networking and international exposure
Oversea training for middle level management

19. Put BP/HP employee in the situation
Business department to specify the future organizational evolution & needed profiles
Vacant posts can be generated from succession planning
Create some intermediate posts if necessary
Based on validated potential, future needs and succession planning, HR to build individual career path
Put individual in situation

20. Outlines Issues Actions
We have no time to waste, every manager in the organization need to be mobilized to act now to focus on people development
Challenges

21. Key challenges organization will face on people development
Engagement of business managers on people development
Managers have no time to coach the high potential employees
Other HR processes shall follow the people develop process
Continuous training/learning support is expensive
Create a culture of learning and empowerment for BP & HP
High potential employees’ retention
KPI management, are business managers willing to release their high performer for their future development?
Time consuming process,

22. Outlines Issues Actions Challenges
Are we ready to invest in time and money on people development?

23. Thanks for your attention