Workforce Management: from the Outside-In€¦ · Collaboration Unlimited R. John Miner, President & Principal Consultant. Forty-five+ years of experience in the utility industry

Copyright 2017 Collaborative Learning, Inc. Reproduction is Strictly Prohibited

Workforce Management: from the Outside-In

2 Copyright 2018 Collaborative Learning, Inc. ~ Reproduction is Strictly Prohibited

Collaboration Unlimited R. John Miner, President & Principal Consultant

Forty-five+ years of experience in the utility industry Present:

Management consultant in governance, business strategy, organization development, & performance management

Seminar leader and short-course instructor for UW Madison, American Public Power Association, and others President: Association for Utility Line Design Professionals

Past: Transmission & substation engineer with the Toledo Edison Company Assistant Professor at the University of Houston College of Technology General Manager of Rochester (MN) Public Utilities Board member and President of Southern Minnesota Municipal Power Agency Chief Operating Officer with Austin Energy (Texas) Management consultant with Resource Management International & R. W. Beck.

Credentials: University of Toledo (B.S. Electrical Engineering and M.S. Engineering Science) Registered Professional Engineer (Texas & Minnesota) Member Tau Beta Pi and Eta Kappa Nu engineering honorary societies Senior Life Member Institute of Electrical and Electronics Engineers (IEEE)


Workforce Management Is… …a process through which management strives to continuously

improve the competencies and performance levels of the workforce enabling achievement of the changing organizational results (products and services) that define success.

Competencies are the human capabilities to perform specific tasks, using requisite knowledge and skills, and exemplifying specific behaviors.

A competent workforce is made up of people with high levels of individual competency who proficiently produce (individually and collectively) the results that management has marked as “critical” to achieving corporate strategies.


Workforce Management is a Process… The workforce management process includes all the activities

needed to plan for, develop and sustain a productive workforce.

Strategic direction

Recruiting and hiring

Compensation and benefits

Training and development

Performance monitoring, evaluation, and feedback

Workload forecasting

Work standards/methods analysis and development

Workforce technologies, tools, and equipment

Work scheduling and quality control

Others???


Presentation Purpose

Look at prevailing hiring practices and patterns

Explore the link between hiring and a strategic workforce plan for the future

Address current barriers and challenges in finding needed talent

Explore the trap of inside-out thinking and the benefits of outside-in thinking when it comes to managing your organization’s workforce.


Presentation Takeaways Workforce Management is a business imperative for

organizational success

It is a strategic management function that should be a priority for all managers in all levels of the organization

The outside-in approach focuses on knowledge, skills, and employment objectives of people who can change your workforce management paradigm in ways that your organization needs but may not recognize.


Presentation Takeaways Changing your paradigm may be just what is needed to

effectively transform your organization so that it can compete for the best available talent in today’s employment market(s). Acquiring, developing and retaining human talent is the focus. From that focus, we pay attention to questions like: Where do we find the talented people? What are they looking for? How must we evolve our current structure, culture, and staffing to attract,

integrate, and allow them to thrive?


What if…… You could hire 5 new

people? From anywhere To do anything With competencies you are

currently missing in your organization

What Would You Do?


You might think about your organization… New business or service opportunities

beyond the current scope of your organization

Ways to expand or improve current services offered by your organization

…or ways you’ve been wanting to change your organization for other reasons


You might think about… The many ways the utility industry is changing


You Might Think About New People…

How to find good people currently working in the industry

How to connect with those people who have the talents and skills your organization really needs

How to attract good people to your organization in a competitive hiring market


You Might Even Imagine….

A highly effective multi-generational workforce that Is committed to sustaining the organization

Is consistently engaged

Leads the organization in new directions


But What We Often Tend To Do….


Instead We …. Do what we have done in

the past…and boil the frog More accurately, we

approach the hiring process from an outdated paradigm


Paradeigma The word “paradigm” comes from the Greek work

paradeigma, which simply means a model or pattern. A paradigm is a shared set of assumptions that

have to do with how we perceive the world. Paradigms are very helpful because they allow us

to develop expectations about what will probably occur based on these assumptions.

We use these expectations to determine what it takes to be successful…but when observations and data falls outside our paradigm, we find it hard to see and accept.


Utility Paradigms Have Already Changed

OLD UTILITY Full Regulation

Exclusive right to serve customer

Guaranteed reasonable rate of return

Product/service provider meets an essential public need

Obligation to serve everyone in service territory

Provide a product: electricity

NEW UTILITY Utility 2.0: Regulation/Competition/Cooperation

Customer choice (and/or DER)

Limited or no guarantees

Product/service must meet customers’ needs

Obligation to serve and need to serve profitable new markets

Provide a service: quality of life

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Paradigm Shifts “When a paradigm shifts, everyone goes back to zero.” In other words, our strengths and what we’re good at mean little or nothing when a paradigm shifts.

“The person most likely to shift your paradigm will be an outsider.” Paradigm shifters have nothing to lose and everything to gain by creating the new paradigm because they are not invested in the present paradigm.

From: Paradigm Principles by Joel A. Barker


Paradigm Shifts “Your old paradigms make it difficult for you to see the new paradigms.”


Paradigm Shifts


In Someone Else’s Words “A fundamental shift is taking place all around us. The old paradigm has flipped. More and more, today’s businesses find that, rather than asking or forcing individuals to step into line with the organization’s needs, they must adapt and transform themselves to attract the right people, keep them, and inspire them to do their best work.” Adapted from Why Should Anyone Work Here? What It Takes to Create an Authentic Organization

by Rob Goffee and Gareth Jones (Harvard Business Review Press, November 2015)


Our Ingrained Paradigm for Hiring…. Define our hiring

opportunities in terms of existing open positions to be refilled or new positions that are only incrementally different

Approach hiring from the inside-out (i.e. fitting people to our jobs)


Our Ingrained Paradigm for Hiring…. Looking first (maybe exclusively) within our work group or the

organization for needed talent Assume that the talent we need isn’t available to us Allow existing HR policies, procedures, and practices to be a barrier

Hire the best person from a pool of marginally qualified candidates

Promote from within (maybe the most senior person) even if it isn’t a good fit


Why Do We Do This? We are a highly regulated industry, historically rewarded for conformance

with standards and stability

We are risk averse, not accustomed to early adoption of new technologies & trends, especially those from outside our industry

We are a capital intensive industry, traditionally focused more on the infrastructure itself, than on the people who create, operate and maintain it

We have a history of being insular, more focused on improving what we already have than on bringing in something new from the “outside”


In Addition….We May Have HR or regulatory requirements that impact the ability

to change job descriptions and postings

Be constrained by our relationships with unions and labor agreements that require preferential hiring and promotion from within

Have a compensation practice that makes it difficult to compete for qualified employees externally

Have made a commitment to develop the current workforce for future jobs (which may be interpreted as an exclusive commitment)

Want to create a sense of stability for our current employees to encourage retention


Other Factors….

The current hiring pool is not deep, with a national unemployment rate of less than 4% nation-wide

There a scarcity of available technical and skilled craft employees

There may be political pressure to hire and promote from within

Executive management and boards may see outside hires with different knowledge, skills, and attitudes as too risky


But The Status Quo Is Risky Too….

New, more collaborative ways of working are demanded by tasks and problems that go beyond traditional functional boundaries

Technology is changing in ways that require new skills and knowledge…and at a rapid pace

A new generation is entering the workforce with new expectations about work and the work environment

Without bringing paradigm shifters into our organization, we may not continue to compete effectively

So, How Do We Change the Paradigm? We look at our organizations from the outside-in

What kinds of people are looking at our industry for business and career opportunities?

What kinds of people are being hired and in

greatest demand by organizations that are similar to ours?

What kinds of people are being hired by the consultants and other service providers to our industry?

What kinds of people are being hired by the product vendors to our industry?


Have You Hired Into These Positions? VP of Misc. Stuff - does a little of everything

- Quicken Loans Genius - service technician - Apple (retail

stores) Director of First Impressions - receptionist

- Houghton Mifflin Harcourt Sous chef - Product development technician

- Method Director, Ethical Hacking - helps financial

institutions identify the vulnerabilities of their Web applications and networks - Predictive Systems, Inc.

Project Meanie - her job is to keep her coworkers on schedule - InsightShare LLC

Creator of opportunities - SVP of business development - Allen & Gerritsen

Ambassador of buzz - corporate communications associate – Grasshopper

Digital prophet - attempts to predict trends - AOL

Chief Cheerleader - CEO who supports the whole team's efforts - Mid America Motorworks

Chief Amazement Officer - founder - Shephard Presentations

Chief Troublemaker - CEO - Matrix Group


How About These?

DER Guru. Researches DER impacts and develops standards and practices for customer-owned DER installations

Chief of Skunkworks. Provides assistance to employees who have ideas that they believe can bring about positive and lasting improvements in terms of service quality, timeliness, and costs for both internal and external customers

Master of Disaster. Works with federal, state, and local authorities to plan for and facilitate recovery operations following severe weather events and other disasters.


What We Know About The Workforce Of The Future… It will be intergenerational The use of technology will be continuously

evolving and integral to all jobs Work will require on-going learning in many areas It will be multi-racial, multi-ethnic, multi-gendered People will expect more from the organization Communication methods will be different, multiple Employment commitments will be of shorter duration


What Do Millennials Want From Utilities?

Social Responsibility Organizations that do not look and act like BIG companies Government regulation Services that are cheap…convenient…cool Ability to collaborate and share (social media, Uber, etc.)

As customers or potential employees


What Would Attract Next-Gen Employees? A complete digital transformation at your utility (either done or

playing a role in getting it done) A collaborative approach with regulators (acknowledgement that

regulation can be beneficial and working toward that end) Opportunities to collaborate with other employees and contractors

on the job in creative ways to solve important problems A corporate culture that makes the organization look and act

small…one that supports collaboration and sharing with flexible boundaries

Lots of support for professional and career development


What Would Attract Next-Gen Employees? Commitments…not lip service… to: Energy efficiency Renewable energy Distributed energy resources Energy storage Vehicle electrification Customer services that are cheap, convenient, cool Societal benefits


What Will Your Organization Need From Its Future Workforce? Creative ideas for new businesses or services

Quick adoption of new technology

Commitment to changing the work culture

Focus on customer interests and perspectives

Comfort with continuous learning & change

Comfort with ambiguity about individual and group work roles

Desire to work collaboratively and flexibly across organizational boundaries

Attention to outside competition and pressures


Begin with a vision and a plan …

You may already have a strategic plan for the business OF your organization ….

But you may need to build a

strategic plan FOR the organization structure, processes, culture and workforce


Benefits of Workforce Planning 1. Supports accomplishment of the strategic business plan 2. Identifies organizational functions that are critical to

success 3. Identifies organizational talents that are critical to success 4. Identifies gaps between needed and missing workforce

capabilities 5. Identifies gaps between projected workload and available

staffing levels


Benefits of Workforce Planning

6. Provides a sound basis for determining appropriate use of contract services

7. Provides a sound basis for human resource budgeting

8. Provides a sound basis for managing workforce performance


Challenges of Workforce Planning 1. Demographic changes in the present workforce 2. Demographic changes in the employment market(s) 3. Competition in the employment market(s) 4. Changing organizational strategies and priorities 5. Rapidly changing technologies 6. Uncertainty in projecting future workload 7. Impacts of regulatory change


Challenges of Workforce Planning 8. Limited information about the capabilities of the present

workforce 9. Competition between organizational units 10. Rigid structures, policies, and practices 11. Changes in employment expectations and career

preferences among employees and potential employees 12. Inconsistent financial and other resource support for

workforce development (training, technologies, compensation)


Create a Workforce “MAP” to the Future Step 1: Clearly describe vision for the future and identify

structure, culture, knowledge, skills and other capabilities needed

Step 2: Quantify the current workforce and organization structure, culture, knowledge, skills and other capabilities, turnover rate, expected retirements, latent talents

Step 3: Identify steps to close the gap What structures need to change What tasks and capabilities need to be added, increased, decreased,

or eliminated



Create a Workforce Map- Sample

STRATEGIC PLAN

VISION

MISSION

VALUES

PRIORITIES

1. Water Supply 2. Power Supply 3. Customer

Service 4. Rates 5. Aging Infra-

structure 6. Workforce 7. Systems 8. City of Glendale 9. Regulations /

Legislation

ORGANIZATION & WORKFORCE

CURRENT STATE

• Leadership

• Culture & Values

• Structure

• Workforce Capabilities

• Policies & Processes

• Technology

ORGANIZATION & WORKFORCE

FUTURE STATE

• Leadership

• Culture & Values

• Structure

• Workforce Capabilities

• Policies & Processes

• Technology

INTERNAL ISSUES/RESPONSE • Future Leaders Plan

• Culture & Values Development

• Organization Structure Plan

• Workforce & Capabilities Plan

• Policies & Processes Strategies

• Organization/Workforce Technologies Strategies

EXTERNAL FACTORS/ISSUES • Customer & External

Stakeholder Interests • Regional Characteristics • Legislation & Regulation • Emerging Technologies

Phase 1 Current State

Understanding and Future State

Vision

Phase 2

Critical External Factors and

External/Internal Issues

Phase 3 Organization &

Workforce Development Plan

S T R A T E G I C D I R E C T I O N

O R G A N I Z A T I O N & W O R K F O R C E E V O L U T I O N


STEP 1: Future State Data (Examples)

Strategic and business plans, direction and goals Customer expectations Descriptions of Capital Projects or other initiatives Political environment and expectations Technology adoption Growth in business or service area or type of service Obsolescence of technologies, services, associated skills, positions Workforce policy changes (e.g. work from home) Economic and growth trends for the service area Financial projections


STEP 2: Current State Data (Examples)

Size and make up of current workforce Demographics—ages, retirement trends, workforce make-up, etc. Incoming/outcoming data—turnover, positions open, time to fill positions Current skill sets and location in the organization Economic conditions that impact the service area and organization Organization structure effectiveness Current job market including trends and projections Financial condition Regional/National employment/unemployment data


STEP 3: Closing The Gap Data

Best practice reviews Recruiter, head-hunter data Local hiring avenues Input from employees Local & state workforce data


STRATEGIES LONG-TERM

Escalate the importance of building a robust workforce Clarify and communicate the vision, cultural and workforce needs of the future

Review processes for job modification and hiring to create greater flexibility and shorter time-to-hire

Establish partnerships (and engage) with educational, professional and other organizations

Build comfort with change and an emphasis on organization culture, system improvement and continuous learning

Support an HR commitment to being a business partner not just policy police


STRATEGIES: SHORT-TERM

Contracting for transition periods or fluctuating needs or for non-essential positions

Modifying background requirements in hiring to draw from other industries

Funding attendance at professional or industry groups with an eye to meeting new talent

Create linkages with business partners outside the organization

Identify employees with broad skills who can migrate to new areas

http://www.gograph.com/x-gg61818398.html


STRATEGIES: Alliances

Use contractors or consultants when: Job is short term or may go away in a short time

Want to develop skills, knowledge, capability in-house but don’t have someone to train on those skills

Want flexibility if the utility is constrained on hiring by economics or employment markets

Need skills quickly, but hiring processes are slow

Want to test out need for skills on an on-going basis

Want to test the skills/capability of individuals

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CAUTIONS…. Communicate what you are doing and why so the current

workforce does not feel destabilized and undervalued

If hiring for different skills and perspectives, ensure those are not lost by enculturation to old ways of working

Continue or increase development of the current workforce (ref. An Everyone Culture by Kegan & Lahey)

Ensure your high performers know they have developmental and career advancement potential

Work and communicate differently with younger generations of workers

Engage the workforce in finding creative ways to move into the future


Reprise - Presentation Takeaways Workforce Management is a business imperative for

organizational success

It is a strategic management function that should be a priority for all managers in all levels of the organization

The outside-in approach focuses on knowledge, skills, and employment objectives of people who can change your workforce management paradigm in ways that your organization needs but may not recognize.


Reprise - Presentation Takeaways Changing your paradigm may be just what is needed to

effectively compete for human talent in today’s employment market. Acquiring, developing and retaining human talent is the focus. From that focus, we pay attention to questions like: Where do we find the talented people? What are they looking for? How must we evolve our current structure, culture, and staffing to attract

and integrate them and allow them to thrive?


Key Questions What is impossible for your organization to do today…that

if it were possible…would fundamentally change the way you do business and improve the likelihood of future success?

Who are the people who have the talent to help you do the impossible? How do you get them into your organization?

Workforce Management: from the Outside-In€¦ · Collaboration Unlimited R. John Miner, President & Principal Consultant. Forty-five+ years of experience in the utility industry

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