The New Business of Business Leaders: Talent Management, Filios Papastylianou, Oracle @ SaaS Day, 15.10.2014, Warsaw

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The New Business of Business Leaders: Talent Management

Filios Papastylianou HCM Sales Dev & Strategy Leader - CEE SaaS Day Warsaw October 15th , 2014


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The Business Landscape

The Role of HR in Service Centric Economy – Importance of Talent

21st Century HR

Talent Practices That Fuel Business Success

Q & A


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21st Century HR


Q & A


Service Centric Economy 21st Century

Your company’s value is driven by people

Take Care of Your Employees

Take Care of Your Customers


How Does a Services Centric Market Drive Business Transformation?

• Changes in Portfolio?

• From Product to Service

• From point solutions to one stop shop

• Changes in Delivery?

• From product shipping to services delivery

• From local for local to global for local

• Changes in Market?

• From shops to web

• From direct channels to agencies/partners


Speed of Business is Increasing

SKILL GAP

TIME

RECESSION

INNOVATION

GLOBAL

EXPANSION


And the Workforce Is Changing

10K people will turn 65 every day for the next 16 years, many leaving the workforce with critical skills and knowledge

Source: Pew Research, 2013

?


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21st Century HR


Q & A


The percentage of CEOs and CFOs want HR to be a key part of strategic planning.

“Organizations characterized by a tight alignment between human resources (HR) departments and lines of business earn more than twice the revenue per employee as those organizations where HR and business run separately.” *

How important is your role?

* Bersin & Associates, Karen O’Leonard, “The HR Factbook 2011: Benchmarks and Trends in HR Spending, Staffing and Resource Allocations,”


CxOs Major Concern

53% Insufficient talent within the organization

as a whole

49% Insufficient leadership talent

48% Lack of alignment of individual

and business objectives

42% Low employee satisfaction

23% Poor decisions related to global sourcing

22% HR costs

8% Low level of diversity

9% None of the above


The right talent enables you to capitalize on new market opportunities

Talent is the #1 Priority of CEOs Worldwide

The right talent drives strategic initiatives

The right talent boosts innovation Executives who focus on their

“talent management strategies … generate as much as a 7 percent boost in revenue and profit performance over their less talent-focused peers.” *

* Corporate Executive Board, “Becoming a Talent Champion: Refocusing Executives on the Five Talent Activities That Matter,” March 28, 2011.


Why Talent Matters: Value and Money • Value of Top Performers – Two, three times even 12 times the performance

of average employees (Ulrich and Smallwood)

• Cost of Losing Talent – 1 ½ times burdened salary. Cisco estimates losses of $250K for each talented engineer it loses. Bristol Meyers Squibb loses $500K for each senior leader lost (HCI).

• Cost of Poor Hire – $300K average impact in knowledge-economy firm (Sullivan)

• Impact of “bad fit” executive hires – 40% fail within the first 18 months (Charan)


• Engagement Levels – Only approximately 25% to 55% of employees are engaged (Watson Wyatt and CLC)

• Breakeven Point – 6.2 months for a manager to become productive in a new job (Watkins).

• Manager Ripple Impact – On average, a manager’s actions impact 12.4 people in a company (Watkins)

• Deployment – Only about 20% of employees do what they do best at work (Buckingham)

Why Talent Matters: Productivity


• Performance Expectations – Less than 50% of employees know what is expected of them at work (Stolovich)

• Performance Management – Employees who understand what is expected of them and how that contributes to the goals of the business are 68% more productive than employees that don’t. (Towers Perrin)

Why Talent Matters: Productivity – Cont.


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21st Century HR


Q & A


Talent Complexity 01

Social Changes Everything 02

Impactful Data and Analytics 03

Employees Want a Customer Experience 04

Four Major Forces Behind 21st Century HR


What is Modernizing HR all about? Powering HR’s business contribution

Simplify Managing Your People

Leverage leading technology to accelerate business performance on your terms—on-premise or in the Cloud

Manage global growth and local compliance with the right information at the right cost

Accelerate Business Transformation

Drive end-to-end talent strategy that’s built for your people, your business, your future

Build the Best Talent


Where are you today, where do you want to be in X years? The 4 maturity stages of HR

Empowering HR

Empowering the Workforce

Empowering the People

Empowering the Business


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21st Century HR


Q & A


Three Talent Imperatives

Align People With The Business

Build Talent Pipelines

Develop Their Leaders

Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | 24

“the team with the best players wins.”

Jack Welch

Filling Talent Pipelines

Identify the right groups to fill future positions and leadership roles


Hiring and Onboarding Difference between success and failure, and between mediocrity and greatness.

Balancing quality of hire with the speed of hiring is a key issue

for line-of-business leaders


Learning and Development Create specialized development programs, career plans & compensation structures

“The most significant contribution leaders make is not simply to today’s bottom line, (but) to the long-term development of people and institutions, so they can adapt, change, prosper, and grow.”*

* Barry Z. Posner and James M. Kouzes, The Leadership Challenge


Career Planning

Succession and Career Planning

Have a ready supply of successors groomed by strong talent development efforts.

Balance business objectives with talent mobility strategies

Succession Talent Mobility


Goal Aligment Performance Review & Coaching

Compensation & Reward

Performance Management and Compensation Can your talent support your business goals?

High-performing teams have been shown to

generate as much as 30 percent more revenue

per full-time employee than average teams.*

* Mark E. Van Buren and Jon M. Werner, “High Performance Work Systems” Business and Economic Review, October-November-December 1996.


Key Enablers to Support Talent Management for Business

Insight: Connecting the dots

Data: capture, aggregation, consolidation

Decision Support: presented on leaders terms


The fact

Many employees have more comprehensive profiles in LinkedIn than they do in their corporate HR system. That must change.

Oracle Confidential – Internal/Restricted/Highly Restricted 31


Mark Hurd President Oracle

“Strategic talent management is no longer a nice-to have investment….it's a key driver of business success and financial performance. In fact, it's the number one issue for CEOs today.”


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