Understanding People Management

Understanding People Management

Presented by: Eneni Oduwole

Eneni Oduwole – Oct. 2011

Outline

• Introduction – OpRisk & People Mgt• Our People• Challenges with People Issues• Global Trends• Questions to Ask• HR’s Areas of Focus• Rewarding People• OpRisk Challenges


OpRisk & People Management

• OpRisk Mgt is the Risk of loss resulting from failed or inadequate people management (amongst other critical aspects such as processes, systems & external events)

• People ensure the success of all business strategies and management processes

People develop strategies = People execute strategies = People determine how things are

done = People own processes = People determine results


Our people – Categories of Workers

• The Whiz Kid• Usually the source of ideas; very restless; needs

others to drive his ideas to fruition; basically an ‘Ideas Producer’; usually pioneers new ventures; gets bored and loses steam thereafter; are risk-takers and high achievers

• The Realist• Usually brings ideas to life; utilises knowledge based

on tried and tested methods; more stable; can also be fulfilment seekers


Our People (cont’d)

• The Salesperson• Usually the business connection to the outside

world; establishes the business in the outside world / within the community; encouraged by rewards; also a risk taker and high achiever

• The Organizer• Usually good at routine work; keeps the bolts and

nuts of the organization together; often stable and do not change jobs frequently; also considered as pay check cashers or ladder climbers


Challenges with People Issues

• Sourcing and retaining the right talent across worker types

• Creating a good workforce comprising all worker type categories

• Workforce planning

• Developing global leaders


Global trends

S/N

HR Parameters 2005 2010

1 Staff Engagement Scores 64.25 57.25

2 Ranking of base pay amongst other elements of EVP 1 7

3 Improvements in Performance Management 33.5 42.0

4 Career Development Support 58.0 50.3

5 Improved Snr. Mgt Comm. 46.25 49.25Mercer’s Proprietary “What’s Working survey”; examined the interests of about 30,000 workers in 17 countries

across the world

Mercer’s Proprietary “What’s Working survey”; examined the interests of about 30,000 workers in 17 countries

across the world


Staff Engagement

• In 2010, compared to 2005, more Mgrs and Senior Mgrs were considering leaving their organizations than non-managers

• The number of staff who actually leave is more among younger staff members

• More men are interested in leaving organizations than women

• 1 in 5 workers is neither interested in staying or leaving; has the lowest engagement levels


Employee Value Proposition Ranking

S/N HR Parameter 2005 Ranking 2010 Ranking

1 Base Pay 1 7

2 Being treated with respect 7 1

3 Work-life balance 6 4

4 Type of work 5 2

5 Quality of Co-workers 4 5

6 Health care benefits 2 6

7 Training 3 3


Improvements in Performance

• 2 in 3 workers felt personally motivated by the organization's incentive plans

• About 44% of all respondents felt that incentive / bonus was very important in influencing employee motivation and engagement at work

• Higher incidences of performance appraisals driving incentive / bonus benefits


Career Development Support

• Prospect for building a long term career

• Learning and development

• Job content

• Capable leadership

All these factors influence motivation and engagement at work


Senior Mgt. Communication

• Clarity of vision and purpose

• Timely intervention when issues arise

• Honest communication

• Encourages feedback from all levels of workers

• Consistency of Management behaviour with Company’s values

• Treat employees fairly with dignity and respect


The way staff are treated and managed personally and career-

wise is becoming critical for long-term sustainability and growth


Questions to Ask• How can the interests of the organization and its

employees be synchronized?

• What kinds of cost-efficient / effective strategies can the organization deploy in managing her people?

• How can HR ensure that the values, expectations and needs of the various types of workers in the organization are met?

• How can new initiatives be integrated into existing programmes to ensure optimal effectiveness and return on investment?


HR’s Focus

• HR Governance (1st line of defence for implementing people management strategies)▫ Ensures and has clear reporting structures & role clarity ▫ Institutes value-adding HR activities and decisions at each

level of the organization (facilitated by HR Consultants)▫ Establishes logical decision making boundaries and

controls (defines hiring, sanction, reward authorities)▫ Ensures integration and alignment with business priorities▫ Clarity around an organization's tolerance of duplicative or

overlapped activities▫ Transparency / consistency of HR management process and

resultant employee trust/commitment▫ Demonstrable evidence of HR's value to the business


HR’s Focus (cont’d)

• Excellent workforce planning▫ Understand Current Workforce Profile▫ Conduct Environmental Scan / monitor industry trends▫ Determine future Workforce Demands & Workforce Gap

Analysis▫ Strategy Development (Inform, Attract, Develop, and Retain)

• HR Service delivery▫ Cut costs and streamline processes▫ Reduce wastage occasioned by high turnover rates▫ Refocus / consolidate talent to transform HR and business▫ Provide higher levels of service to the workforce▫ Automate HR processes where necessary


HR’s Focus (cont’d)

• HR benchmarking and people measurement▫ Strategic HR Planning to meet emerging people

management issues ▫ Quantifying management challenges and HR impact ▫ Demonstrating the links between HR input and

organizational performance and effectiveness▫ Monitoring the effectiveness and efficiency of HR

departments ▫ Tracking workforce and HR performance over time ▫ Building robust business scenarios that would aid HR

projects, services, forecasts and planning


Rewarding Workers

• The Whiz Kid▫ Rich job content and well thought out career plan▫ EVP Strategy with emphasis on work-life balance,

good reward system and training & development; bonus; global exposure

• The Realist▫ Emphasis on personal training / development ▫ EVP Strategy with health care benefits,

commensurate basic pay; bonus; show of respect


• The Salesperson▫ Financial reward▫ Public recognition▫ EVP with emphasis on Training and Development;

networking opportunities; travel incentives

• The Organizer▫ Rich job content▫ Personal development plans▫ Enriched EVP with emphasis on health benefits,

professional growth; programmes that would assure career stability and the individual’s core interests

Rewarding Workers (cont’d)


OpRisk Challenges• People Issues

• Attracting and retaining with the right fit for the organization across all worker-type categories

• Identifying staff based on the different categories of workers discussed earlier

• Identifying and retaining key talent across worker-type categories

• Creating a robust value proposition that would appeal to all worker-type categories

• Knowledge / relationship transference

• Fleshing up people with core strengths but who lack people skills, leadership capabilities, business breadth, and global exposure / outlook required for today’s business environment


OpRisk Challenges (cont’d)• Process Issues

• Building and updating robust policies and procedures

• Maintaining simple and consistent processes

• Ensuring that HR processes are effectively communicated and understood by all

• Reviewing processes periodically to match organizational business model

• Defining processes that would achieve the organisation’s corporate goal

• Ensuring HR processes are consistent organization-wide (groups, divisions, branches, regions, subsidiaries)


OpRisk Challenges (cont’d)• System Issues

• Automating processes where necessary

• Building knowledge base and capacity on HR systems

• Appraising vendor performance periodically

• Information security issues

• Prompt disabling of access rights

• External Risk Issues• Aligning with statutory requirements and global best

practices

• Awareness of roles in the Bank’s Business Continuity Plan

• Managing outsourced job functions


Thank you...

Thank you...

Understanding People Management

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