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Integrated Talent
Management
Critical Element for Organizational Excellence
Module
Objectives
To provide an in-depth
understanding and application on
how to design talent
management system as in line
with company vision mission
values & target business
objectives and support
succession planning program.
VISION - MISSION - VALUES

BUSINESS STRATEGY ORGANIZATION STRATEGY CULTURAL STRATEGY

Balanced Organization Career &


Scorecard Salary Knowledge
Structure Succession
Structure Management
Strategy
Job Talent   Staffing
KRA
Design
Critical
Moment of KPI
Job C&B CB HRM  Recruitment
Truth Description
(Biz People
Process) Job 
Evaluation Develop  Performance
SOP - Work -ment Appraisal
Instruction
Job Grade

Corporate Performance
Management
Workforce Organization Career & Employee Recruitment Competency
One Year Planning Succession Master File & Selection Library
Action Plan Management

Personnel Rewarding C&B Performance Talent Learning &


P-D-C-A Administration System Management Management Management Development

3
Business Model
Certified ProfessionOarlgHanuimzaaitnonCMaopditeall Management (CPHCM) -
Organizational Development & HC
Management Model Staffing
Learning
Development

Corporate Competency CBHRM


Employee Performance
value Model
relation Mgmt

C&B
SWOT
Vision Org. Job Job Job Job Salary
Mission Model & Design Description Evaluation Grading Structure
Structure
WLA Workforce Planning Salary
KRA - KPI Survey Talent
Mgmt
Strategy
HC budget Salary
Initiatives
Strategy Company Increment
Business Score & Bonus
Map Card Compensation
& Benefit

Performance Learning &


Appraisal Developmen
t
Career
Development

Certified Professional Human Capital Managem4ent


PILLARS of ORGANIZATION & PEOPLE house
OD Attract Develop Motivate Retain
VMV & Engage
RecruitmentLearning & Talent
BSC
Selection Development
PMS (Hi-Po)
KRA Placement Rewarding
Scholarship Leadership C&B
KPI Career (Coaching & (Salary
Organization Integration CBHRM Structure)
Structure KM Counseling) Industrial
Job Desc (Induction) Job Rotation Promotion
Job Eva Conducive
Assignment Relations
Succession
Job Grade Working
Manpower Environment Retirement
Planning
Change Mgt
HUMAN CAPITAL FRAMEWORK
Analyze, set direction & control organization
congruency with the demand
Maintain Corporate of the strategic business
ExpansiveStrategic Business Plan objectives &
Retrench
As response to environmental
Corp HC plan

opportunities & challenges


Organization Strategy, Organization
Development, Job Management,
HC budget, HCIS,
Manpower Planning strategy,

Integration of maintaining & retrenchment


Planning Succession & Replacement Planning

Retirement Analysis
Bench strength strategy
Recruitment & Selection,
Talent Management Strategy Placement
Strategy
Retainin Dynamic HC Cycles
Which is led by Corporate
Acquiring
g
Business Plan

Compensation & Benefits


Industrial Relation Strategy
Strategy Maintaining Developing
Corporate family Learning &Dev Strategy
Work-family life balance Performance Mgt
program Strategy Career Dev.
Strategy Competency
Dev. Strategy
1. The Need of Talent Management
2. Talent Management Framework: tools,
matrix, process
3. Four steps of Talent Management
Design
Why talent management?
• Because companies invest a tremendous amount of
money in their employees.

• The expenses associated with soliciting, acquiring,


training, promoting, and retaining staff members can
take up a huge portion of any corporate budget.

• However, as the workforce continues to be viewed as an


increasingly strategic asset, these costs are all
considered to be money well-spent.

• Talent management helps to ensure that companies


achieve maximum return on their employee investment.
Many other challenging
workforce issues confront HR
• Heightened competition for skilled workers.
• Across generations management including the
impending retirement of the baby boomers.
• Low levels of employee engagement.
• Acknowledgement of the high cost of
turnover.
• Tough demands of managing global
workforces.
• Importance of succession planning.
Evolution of HR Function to HC
GENERATION
GAP

 Optimistic, confident,  Extremely tech savvy


sociable  Biggest risk takers
 Most success driven –  Concern about environment
ambitious  Multi-taskers and fast thinkers
 Want to lead than follow  Creative and independent
 Extremely confident in thinkers
their intellectual ability  Financially smart
Introduction
• To optimize an organization’s to sustained
ability achieve
for proactive
management
excellence, and
it must
have arecognize
systematic
the waytalent
of accomplishing
need
the
activity.

• 6 (six) Human Resources condition had to be met :


• A performance-oriented culture
• Low turn-over (particularly in premium employee groups)
• High levels of employee satisfaction
• A cadre of qualified replacements
• Effective investment in employee compensation & development
• The use of institutional competencies (success
factor) in
employee selection and performance evaluation process
Talent Management Bridge

Special Assignment
Special Trainig

Special PMS
Key Positions

Assessment
Assessment Promotion
segmenting

IDP

conditions
High Performance
Right Talent
High Potential
Right Time
Assessment

Right
Capabilities
Right Place
Effective Talent Management
Goals
• The identification, selection, development and retention of “super-
keepers”.

• The identification and development of high-quality replacement


for a small number of position designated as key to current and
future organization success.

• The classification of an investment in each employee based on


her/his actual/or potential for adding value to the organization
Goals (cont’)
Super-keepers are a very small group of individuals who
demonstrated superior accomplishment, have inspired others
have to
attain superior accomplishment and who embody the core
competencies and values of the organization.

The employee groups are :


• Super-keepers, employees who greatly
those expectations. exceed
• Keepers, those employees who exceed organization expectations.
• Solid Citizens, those employees who meet
organization expectations.
• Misfits, those employees who are below organization expectations
• Process
• Tools
• Matrix
Definition
▫ “Talent consists of those individuals who can make a difference
to organizational performance, either through their immediate
contribution or in the longer term by demonstrating the highest
levels of potential.”

▫ “Talent management is the systematic attraction,


identification, development, engagement/retention and
deployment of those individuals with high potential who are of
particular value to an organization.” (from Talent Management:
Understanding the dimensions, CIPD 2006,
www.cipd.co.uk/researchinsights)
Talent Pool/Reservoir
Its goal is to build a pool of high-talent people capable of
supporting an organization’s current and future
business requirements consistent with three goals
above.

Implement
Design & Build Capture Solution
Integrative
Process

Talent Pool/Reservoir has three major components.


1. Designing & Building a Talent Reservoir
2. Capturing the Talent Reservoir
3. Implementing an integrative Talent Reservoir
Designing & Building a Talent
Reservoir
• It should be initiated and designed by a senior executive team with
strong CEO input, accountability, and approval.
• The process is typically facilitated by the most senior human
resources executive and consultant (if necessary).
• The team required information on:
▫ Organization Structure
▫ Job Hierarchy – Job Management
▫ Employee Demographics
▫ Projected Organization & Business Plan
▫ Company Values and Core Competencies
▫ Culture Description
▫ Employee Surveys
▫ Current Human Resources Policies, Systems and Practices
▫ Industry Studies, etc.
Principle - Talent Selection

"People are not your


most important asset.
The RIGHT people
are."
(Jim Collins)
Talent Management
Tools
1. Performance appraisal
2. Potential forecast
3. Measurement scales for performance and potential
4. Core competencies
5. Competencies mapping and weighting
6. Talent segmenting
7. Employee & job demographic
Talent Management Tools

1. PERFORMANCE APPRAISSAL
• A measurement of actual results achieved within those areas which
the employee is held accountable and /or the competencies deemed
critical jobs and organization success.

2. POTENTIAL FORECAST
• A prediction of how many levels (organization/job) an employee can
progress within an organization based on his/her past/current
performance appraisal, training and development needs, career
preferences, and actual & projected competency levels.
Talent Management
Assessment Tools

3. MEASUREMENT SCALES FOR PERFORMANCE AND


POTENTIAL
• Vast majority used 5 point scale to measure performance and
potential.
• Performance : (5) greatly exceed expectation, (4) exceed
expectation, (3) meets expectation, (2) below expectation, (1)
greatly below expectation
• Potential : (5) high potential, (4) promotable, (3) lateral, (2)
marginal, (1) none
Talent Management
Assessment Tools
4. CORE COMPETENCIES
Behavioral / skill expectation that are crucial to the success of each
employee and to the success of the entire organization.

5. COMPETENCIES MAPPING & WEIGHTING


Mapping of competencies is the process used to further differentiate
competency definition into glossaries of behavior associated with
each level of an organization.
Talent Management
Assessment Tools
6. TALENT SEGMENTING

HIGH STAR (A Type)


 - Plan multiple moves
- Assign special projects

 CANDIDATE STAR (B1 Type)


- Identify next development opportunities
- Plan for bigger challenge in
assignments

 CANDIDATE STAR (B2 Type)


- Plan next move
Performanc

- Provide extra coaching

 CAREER PERSON (C Type)


- Keep in place
e

PROBLEM EMPLOYEE (D Type)

 - Give warning
- Performance Improvement Plan
- Consider if in a wrong placement
 DEADWOOD (E Type)
- Manage out
LOW HIGH
Potential
Sample HAV Talent Matrix
Implementation
7. Capturing the Talent
Name : ID # : Position :
Location :. Job Class : Key Position :

Assessor : Assessment Date :


Potential:
Performance :
Core Competencies
Action Orientation : Interpersonal Skill :
Leadership :
Creativity/Innovation :
Communication Teamwork
Critical Judgment : Technical/Functional Expertise :

Customer Orientation :
Next Position 2.

Next Position 3.
Next Position 1. Next Position 4.

Action Plans (training, education, development, coaching, etc.)


Implementing the Integrated
Talent Management
Actual
Position Incumbents
Replacement Pool

Executive VP 2 1

VP & CFO 1 1

VP,HR 1 2

VP, R&D 1 0

Total 5 4

Replacement Summary (Implementation)


Example of Segmenting The Talent
- Employee Ranking Grid
PERFORMANCE
1 2 3 4 5

1 0 2 7 5 2
P

2 0 3 8 3 1
0

T 3 0 1 18 12 6

E 0 0 21 27 18
4

N
5 0 0 0 4 8
T
I Grid Key
Lower Middle Superior Top
A anomalie
s group group group group
Talent Management Matrix
Career
Compensation Training & Development Visibility
Paths

Accelerate much
Very high
Super-keeper faster than pay Major investment Very rapid
recognition
markets

Accelerate faster High


Keeper Substantial investment Rapid
than pay Recognition
markets
Accelerate Investment only to
moderately until enhance competencies for Moderate
Solid Citizen Recognition
competitive level is current/future business to none
reached situation

Only to improve fit now


or for next job if it
Misfit No increase None None
has a reasonable
probability of success
Obstacles
The infrastructure of Human Resources systems and processes for
the failed organizations is typically an incoherent mosaic of
unconnected, incomplete, missing and inconsistent assessment,
planning & development tools & methods.

This means that performance appraisal, assessment of potential,


competency evaluation, career planning, replacement &
succession planning, training & development, compensation and
selection (the core elements of human resources management)
are unlikely and largely irreconcilable.

- Low credibility
- Employee dissatisfaction
- Time expenditure was high
- Low return on cost / investment
Human Resource Planning
Five major situational that must be addressed in Human Resource
Planning :

1. SURPLUSES : more than one replacement for an incumbent


2. VOIDS : no replacement for an incumbent
3. BLOCKAGES : non-promotable incumbents in the path of one or
more
high-potential or promotable employees
4. PROBLEM EMPLOYEES : those not meeting expectation
5. SUPERKEEPERS : employees whose performance greatly exceed
expectation, who inspire others to greatly exceed expectations and who
embody institutional competencies
Human Resource Planning with
action plan
• SURPLUS SITUATION (no blockage)
• More than one candidate for job where incumbent is promotable.

ACTION / COMMENTS
- ensure rank ordering of candidates is accurate so that best-qualified
candidates gets position when available.
- If promotion time is too long, move a Super-keeper to another job or a
special assignment or take some other interim action quickly.
- Secondary candidates should be considered for filling voids or being
added to other replacement lists.
Human Resource Planning with
action plan
• SURPLUS / BLOCKAGE
• More than one candidate for a job where the incumbent is not promotable or
can be moved laterally or rotated to a comparable job. (this situation is likely to
create morale problems and potential turnover issues)

ACTION / COMMENTS
- If incumbent to be greatly exceeds job expectations or exceeds job expectations,
one or more of the replacements will have to be moved and/or developed for
other positions (particularly Super-keepers). Interim solutions such as job
rotation, special assignments, and task forces are in order.

- If the incumbent’s job performance meets expectations, the organization is


not likely to move him/her. Difficulty arises when a replacement’s level of
performance is perceived to exceed the incumbent’s.

- The actions for surplus situations above apply. However, when the perceived
level of performance of replacements exceeds that of the incumbent, then the
incumbent should be moved to another position or the existing role should
be redefined.
Human Resource Planning with
action plan
• VOIDS
• Positions with no replacements.

ACTION / COMMENTS
- Voids are excellent opportunities to recruit super-keepers
from outside the organization. This may require flexibility in
compensation practices as well as mandating a sound entry
and orientation process. Accelerate replacement process for
key positions.
Identifying the High Potential
• High Potential applies to people able to move a position two
levels above their present position in less than 36 months.

• Promising - Potential people are those who could take a


position two levels above in 36 – 60 months.

• Promotable people are those who can move one step, but
perhaps not further.

What is your company criteria on Potential ?


Critical attributes of High Potential
1. Walk the talk with company values
2.Consistency on outstanding work/job
performance
3.How person thinks
4.How a person works with other
people
5. How resilient a person is
6.How adaptive a person is
7. How fast a person learning
Talent Criteria (sample)
• Administrative requirement
• Competency Requirement
• Performance Requirement
• Potential Requirement
Administrative Requirement
(sample)
• Maximum age : 47 years old
• Minimum Education : bachelor
degree (S1)
• No warning letter in the last 5 (five)
service years
• No indication fraud or audit
clearance
Competency Requirement
(sample)
• Core competencies has to meet
requirement
• Leadership competencies (12 items)
have to meet requirement (BUMN),
to be prioritized (max 6 items)
Core Competencies
(company values - sample)
• Ka Div – Ka Dept, minimum
profisiensi level ?
• Ka Biro, minimum
profisiensi ?
• Ka Sie, minimum
profisiensi ?
• Ka Regu, minimum
profisiensi ?
Performance Requirement
(sample)
• Outstanding performance in the last
3 (three) years
• Human Asset Value Matrix for
Performance rating (alternative
approach)
Potential Requirement (sample)
• Geographical mobility
• Historical promotion record (under 3
or 4 years with one level
promotion)
Talent Strategic Decision
• Talent Committee
▫ Talent Committee member criteria
▫ Talent Committee Charter
Talent - Remuneration
• Much faster or above than pay
market
Talent – possible place of
assignment
• Geographical consideration
▫ Regional
▫ Domestic
• Size of business consideration
▫ Small
▫ Medium
▫ Large
• Nature of business consideration
Remuneration Strategy for
geographical
• Local part (place of assignment
follow local currency) and home
country part (Rupiah)
▫ Stay with Basic Salary & Position
Allowance in Rupiah
▫ Local part to cover better living cost
and incentive or additional allowance
for International Assignment

48
Summary
The Talent Management process will fuel organization excellence by :

1. Identifying and creating a set of career paths, development, and reward


plans for Super-keepers. This will ensure that high-quality role models
will enable the organization to achieve and maintain superiority.

2. Identifying key positions and ensuring that associated voids are


immediately addressed and that the quality of replacements is affirmed.
This will ensure that organization continuity is not disrupted because of
the loss of any individual.

3. Segmenting the talent pool into each investment category (Super-


keeper, Keeper, Solid Citizen, and Misfit) and managing the investment
in each category appropriately.
FOUR STEPS

TO DESIGN A TALENT
MANAGEMENT SYSTEM
FOUR STEPS TO CREATING A
TALENT MANAGEMENT SYSTEM
STEP 1 – DEVELOP A LIST OF YOUR ORGANIZATION’S CORE
COMPETENCIES AND ASSESMENT TOOLS FOR MEASURING
THEM

• Develop competency definitions & measurement scales


• Establish a performance appraisal definition & measurement
scales
• Establish a “talent potential forecast” definition & measurement
scales
• Apply the measurement scales to each job
Sample of Core / Institutional Competencies
Competency Competency Definition

Action Orientation Targets and achieves results, overcomes obstacles, accepts responsibility, establishes standards and responsibilities,
creates a results-oriented environment, and follows through on actions.

Communication Communicates well both verbally and in writing. Effectively conveys and shares information and ideas with others.
Listens carefully and understands various viewpoints. Presents ideas clearly and concisely and understands relevant
detail in presented information.

Creativity/Innovation Generates novel ideas and develops or improves existing and new systems that challenge the status quo, takes risks,
and encourages innovation.
Critical Judgment Possesses the ability to define issues and focus on achieving workable solutions. Consistently does the right thing by
performing with reliability.

Customer Orientation Listens to customers, builds customer confidence, increases customer satisfaction, ensures commitments are met, sets
appropriate customer expectations, and responds to customer needs.

Interpersonal Skill Effectively and productively engages with others and establishes trust, credibility, and confidence with others.

Leadership Motivates, empowers, inspires, collaborates with, and encourages others. Develops a culture where employees feel
ownership in what they do and continually improve the business. Builds consensus when appropriate. Focuses team
members on common goals.

Teamwork Knows when and how to attract, develop, reward, and utilize teams to optimize results. Acts to build trust, inspire
enthusiasm, encourage others, and help resolve conflicts and develop consensus in creating high-performance teams.

Technical/Functiona Demonstrates strong technical/functional proficiencies and knowledge in areas of expertise. Shows knowledge of
l Expertise company business and proficiency in the strategic and financial processes, including P&L planning processes and
their implications for the company.
Talent Management Assessment
Tools
Sample Measurement Scale for the Communication Competency*

Definition of “Communication”:
Communicates well both verbally and in writing. Effectively conveys ideas and shares information and ideas with
others. Listens carefully and understands the details of difficult points of view. Presents ideas clearly and concisely.

1 2 3 6
4 5
Understands the Adapts Actively presents Promotes open Is recognized as
Clearly and importance of communications information and expression of one who
appropriately and demonstrates to audience ideas to all ideas and effectively
expresses his/her good oral, requirements to appropriate levels encourages clarifies and
desires and listening, and optimize and leads others to communication communicates
needs. writing skills. understanding. do the same. without key/strategic
retribution. information.

1: All employees
2 : Professionals
3 : Supervisors
4: Managers
5: Top Management
6 : Executive
Talent Management Assessment
Tools
Sample Competency Grid* Position EVP VP& VP VP R&D Oper Mgr Sales Clerk
Competency CFO HR

Action Orientation 6 5 5 5 4 3 1

Communications 6 6 6 5 4 3 1

Creativity/Judgment 6 6 5 6 4 2 1

Critical Judgment 6 6 6 5 4 2 1

Customer Orientation 6 5 5 5 4 3 1

Interpersonal Skill 6 5 6 5 4 3 1

Leadership 6 6 5 5 4 2 1

Teamwork 6 6 6 5 4 2 1

Technical/Functional Expertise 6 6 6 5 4 3 1
TALENT MANAGEMENT
ASSESSMENT TOOLS
PERFORMANCE APPRAISAL
• A measurement of actual results achieved within those areas for which the employee is held
accountable and/or the competencies deemed critical to job and organization success.

POTENTIAL FORECAST
• A prediction of how many levels (organization/job) an employee can progress within an
organization based on her/his past/current performance appraisals, training and
development needs, career preferences and actual projected competency level.

360-DEGREE FEEDBACK
- Validity
- Reliability
- Wording (is it positively phrased, is it put in personal terms, is it behavioral ?)
- Choosing raters
- Communication issues
- Flexibility and customization
Performance Appraisal &
Potential Forecast
Performance Appraisal and “Potential Forecast” Worksheet
Employee

Assessor

Date

Competencies
Assess the employee in each competency area defined below on the following basis: greatly
exceeds expectations (5), exceeds expectations (4), meets expectations (3), below
expectations (2), greatly below expectations (1). On the companion sheet, describe
behaviors and skills that are strengths and/or developmental needs associated with the
competencies listed below when assessments exceed and greatly exceed or are below and
greatly below expectations.
Performance Appraisal &
Potential Forecast
2. Communications
Communicates well both verbally and in writing. Effectively conveys and shares
information and ideas with others. Listens carefully and understands various viewpoints.
Presents ideas clearly and concisely and understands relevant detail in presented
information.
Assessment:

Potential:

3. Creativity/Innovation
Generates novel ideas and develops or improves existing
and new systems that
challenge the status quo, takes risks, and encourages
innovation.
Assessment:
Assessment:
Potential:
Certified Professional Human Capital Management (CPHCM) - Indonesia
Performance Appraisal & Potential Forecast
5. Customer Orientation
Listens to customers, builds customer confidence, increases customer satisfaction,
ensures commitments are met, sets appropriate customer expectations, and responds to
customer needs.
Assessment:

Potential:

6. Interpersonal Skill
Effectively and productively engages with others and establishes trust, credibility, and
confidence with others.
Assessment:

Potential:
Assessment:
Potential:
7. Leadership
Certified Professional Human Capital Management (CPHCM) - Indonesia
Motivates, empowers, inspires, collaborates with, and encourages others. Develops a
Performance Appraisal &
Potential Forecast
8. Teamwork
Knows when and how to attract, develop, reward, and utilize teams to optimize results.
Acts to build trust, inspire enthusiasm, encourage others, and help resolve conflicts and
develop consensus in creating high-performance teams.
Assessment: Potential:
9. Technical/Functional
Expertise
Demonstrates strong technical/functional proficiencies and knowledge in areas of
expertise. Shows knowledge of company business and proficiency in the strategic and
financial processes, including P&L planning processes and their implications for the
company.
Assessment:

Potential:

SUMMARY
Overall Performance (Competencies and Accomplishments) (greatly
exceeds expectations, exceeds expectations, meets expectations, below
expectations, greatly below expectations)
Performance Appraisal &
Potential Forecast
Next Position(s) Status Next Position (immediate, 0-12 months, beyond 12 months)
1.
2.

Replacement(s) for Incumbent Status Next Position (immediate, 0-12 mo, beyond 12 mo)
1
2.

Additional Comments:
FOUR STEPS TO CREATING A
TALENT MANAGEMENT SYSTEM
STEP 2 – DEVELOP LEARNING AND DEVELOPMENT
SOLUTIONS THAT SUPPORT YOUR ORGANIZATION’S
CORE COMPETENCIES

• Create a coaching guide


• Assemble a directory of the best learning & development
programs organized by competency
• Create a directory of top books associated with each
competency
Employee Development Principles

Development Factors :

Coaching,
Real Job Feed-back, Training
Assignments Mentoring etc 10 %
70 % 20 %

Key word : DIVERSIFY Jobs/Assignments !


Sample Learning & Development Guide
“Communication” Competency*

Competency Definition:
To communicate well both verbally and in writing; to effectively convey ideas and share information and
ideas with others; to listen carefully and to understand difficult points of view; to present ideas clearly and
concisely; to understand relevant detail in presented information.
Coaching Guide:
Clarify your expectations of individual achievement and your measurement criteria.
Document in writing employee achievements, shortcomings, or suggested areas for improvement and share with
the employee.
Provide vehicles for others to voice their opinions.
Keep all communications clear and concise.
Adjust words/terminology to ensure audience understanding.
Ask clear questions using oral and/or other methods of communication.
Attend to communications received from others.
Follow up on ideas and continuously encourage idea generation without retribution.
Help others to sense urgency through daily updates via memos, e-mail, or other sources of communication.
Provide clear instructions or information to others orally or through other methods of communication.
Use appropriate nonverbal communication (eye contact, gestures, posture).
Seek opportunities to give speeches through community or service organizations.
Sample Learning & Development Guide
“Communication” Competency*
Training:
Assertive Communication Skills for Professionals (CareerTrack)—audiocassettes and workbook
Better Business Writing by Carol Gelderman (Prentice Hall, 1990)—audiocassette and workbook
Communicating Non-Defensively (CRM Learning)—video with leader’s guide and participant’s
workbook
Giving and Receiving Feedback (Crisp)—self-study audio and book
Interpersonal Communication Skills (CareerTrack)—CD-ROM
The 9 Deadliest Sins of Communication (CareerTrack)—four
audiocassettes
Power Talking Skills (CareerTrack) #50218 $79.95)—six audiocassettes, workbook, reference card
You’re Not Communicating (Video Publishing House)—video

Books:
Cormier, Robin A. Error-Free Writing: A Lifetime Guide to Flawless Business Writing. Prentice Hall, 1995.
Daniels-Booher, Dianna. Communicate with Confidence: How to Say It Right the First Time and Every Time. McGraw-Hill, 1994.
Decker, Bert. The Art of Communicating: Achieving Interpersonal Impact in Business. Crisp #COA409-X (revised edition).
Dilenschneider, Robert L. A Briefing for Leaders: Communication as the Ultimate Exercise of Power. HarperBusiness, 1992.
Kennedy, Grace, and Ida Ramirez. Business and Management Communication: A Guide Book. Prentice Hall, 1996.
Linver, Sandy. The Leader’s Edge: How to Use Communication to Grow Your Business and Yourself. Simon & Schuster, 1994.
Olderman, Raymond M. 10 Minute Guide to Business Communication. Macmillan, 1997.
Tannen, Deborah. Talking from 9 to 5. William Morrow & Co., 1994.
Wilder, Claudyne. The Presentations Kit. John Wiley & Sons, Inc., 1994.
FOUR STEPS TO CREATING A
TALENT MANAGEMENT SYSTEM
STEP 3 – ASSESS EACH EMPLOYEE’S CORE
COMPETENCIES AND POTENTIAL FORECAST
• Evaluate each employee using competencies tools

STEP 4 – PREPARE ACTION PLANS AND REPORTS


• Create a “ bench strength” summary
• Create individual talent competency development forms
Sample of bench strength summary
(Action Plans)
Next
Position Potential Performance Status Replacements Status
Positions
Bednarik, s President &
Charle P EE Now LeClerc, John 12-24 mo
CEO
Executive VP

Mantle, Mickey President &


U GEE 12-24 mo LeClerc, John 12-24 mo
Executive VP CEO or CFO
Blocking
Maris, Roger Mantle, M Now
LR ME
VP & CFO Bednarik, C
Surplus Now
Blocking
William, Venus
Martinez, P 0-12 mo
(Female, LR EE
) Gonzales, P Now
Minority VP HR
Surplus
Martina Hingis GBE
(Female) NP (Performance Void
VP R&D Problem)
Certified Professional Human Capital Management (CPHCM) - Indonesia
Sample of bench strength summary
(Action Plans)
Definitions
Potential: P (Potential); U (Unlimited Potential); LR (Lateral Rotation); NP (No Potential)
Performance: GEE (Greatly Exceeds Expectations): EE (Exceeds Expectations); ME
(Meets Expectations); BE (Below Expectations); GBE (Greatly Below Expectations)

The Bench Strength Summary captures the key elements for aligning people with
organization needs. Five action items with recommendations are identified:
Void: Positions with no replacements. 1. Select from talent pool. 2. Add to talent pool and
accelerate development. 3. Identify backups. 4. Begin external recruitment. 5. For key
positions accelerate the process.
Surpluses: Positions with more than one replacement. 1. Redirect career paths. 2. Move
high potentials quickly. 3. Job rotation inside unit. 4. Task force assignments.
Blocking: Non-promotable managers with promotable subordinates. 1. Move incumbent or
backup within one year. 2. Job rotation outside unit. 3. Special projects.
Performance Problems: Employees not meeting expectations. 1. One more
accomplishment review. 2. Focus on results and competency improvement. 3. Terminate
(consult HR department).
Superkeeper: Very accelerated career paths and compensation growth, high development
investment. Formal mentor and sponsor arrangement.
Certified Professional Human Capital Management (CPHCM) - Indonesia
Case Study Of
PetroChemical Company

Designing Talent
Management System
Certified Professional Human Capital Management (CPHCM) - Indonesia
Case Study
Introduction 1
• Advanced Chemical India Corporation (ACI) is founded in 1982 by
current owner & president, Mr.Gupta.
• Company Vision : “to become a leading global petrochemical
company”.
• Company Mission : “to serve all client needs with the best
product, best people, best service with latest technology with
the maximum gain to the shareholders and stakeholders”.
• Average employee’s age is 45 years old with average service per
employee is 15 years with the company ACI.
• Employee movement internal company little bit difficult.
• Last three years recruits youngsters with significant numbers.
• ACI’s corporate philosophy is Keep High Quality in products. The
culture of ACI is basically conservative.
• ACI’s overall sales turnover in 2013 hit US$800 million and profit is
US$30 million before tax. 60% of ACI’s are sold in domestic market
although overseas sales have been growing steadily.
Case Study
Introduction 2
• ACI originally started producing basic chemical products that are used
in clothes. Gradually other applications are developed such as for
automobile, home appliances. Some products for homes are sold
directly from supermarkets in India with ACI brand.
• They have three plants in India and sales offices in US, UK, Hong
Kong. Thailand and Malaysia. All plants produce basic chemicals and
modified (specialty) products based on needs of clients.
• About 2160 employees are hired. Their organization organized by
functions. There are 160 employees in HQ, 1500 in production with
production engineering, 400 in sales in various branches, and 100 in
R&D. HQ covers marketing and corporate functions as Finance, IT,
Legal, Purchasing, HR etc..
• ACI uses patents licensed by UK chemical companies. But by
developing own products for specific clients, some new patents are
developed by ACI and registered.
• They also updated the production technology from time to time with
significant number of investment.
Case Study
Business Issues
• Global competition around ACI is getting severer. Now for low cost (basic)
product, ACI is competing with Chinese companies and for high end
(modified/speciality) products competitors are US/European/Japanese
chemical companies.
• As a result of severe competition, though the sales has increased by 5%, the
profit has decreased by 20% last year. Both commodity and specialty (high
end) chemicals divisions are reducing profits.
• Mr. Gupta wants to transform ACI, review its business model and lift ACI
into
the next era of growth.
• He considered that organizational issues of ACI are followings.
▫ Since many Products introduced, profit control for each product is
getting
difficult. And the final responsibility of each product is not clear.
▫ Functional organization becomes barrier to develop/introduce products in
speedy manner.
▫ HQ seems too big and he feels difficulty to manage everything by
himself
• Therefore he decided to transform ACI from functional to business unit base
organization ( basic chemical and specialty/modified chemical units). Also he
wants to reorganize HQ and R&D to more value oriented organization
• Currently Job based pay and incentives with profit share (for total ACI profit)
Case Study (1: Petro Chemical Company)
ACI’S PREVIOUS ORGANIZATION STRUCTURE
Functional Depart
Planning
Division
HQ
Finance & Accounting
160
Research Purchasing & Logistic

Development IT
R&D

Board of CEO 100 Process Engineering HR & Labor Relations


(Gupta)
directors Legal &Intellectual Property

Production X Plants Control

1500 Y Plants Engineering


Division have
Z Plants Production 4-6 management
layers
Sales Tha Branch
MalBranch
400
HkgBranch
UK Branch
US Branch
Business Team Organization for
Chemical Company - ACI
(Virtual) Companies Division
GM 50 Manager Corporate Planning
Corporate
Service Manager Finance & Accounting
Division 50
Research 20 Manager Purchasing & Logistic

Manager Development 20 Manager IT


R&D
Board of Process Engineering 15 Manager HR & Labor Relations
Directors 100
(incl Gupta) 5 Manager Legal &Intellectual Property
Manager Planning
Control
GM Basic Manager X Plant New Management
Chemical *Divisions have teams of
Application Manager Y Plant Production 3 management layers.
*Each biz unit / team has
1000 Manager Branche3s00 own P/L
USA - UK
*Corporate service cost is
charged by number of
GM Specialty Manager Planning Control people by team.
Chemical Manager Z Plant *Professional staff of
Application Production Corporate & R&D uses
500 Manager Branches Application time charge system
THA - MAL -HK1G00 Engineering *Corporate staff shifted to
company
Case Study (Job Purpose)
Job Purpose
• GM Basic Chemical Business Unit is having main accountability to
manage two production plants with number employees around
1000 people consisting of Production department, QA/QC,
maintenance and Sales at their spreading offices. This position has
an authority to set production planning, control the quality and set
price on the marketing and sales up to their overseas offices.
Dimension of sales target is around US$300M per year.

• GM Advance or Modified Chemical Business Unit is having main


accountability to manage one production plant with number
employees around 500 people consisting of Production
department, R&D, maintenance and Sales at their spreading
offices. This position has an authority also to set production
planning, produce specific product as per customer needs, control
the quality and set price on the marketing and sales up to their
overseas offices. Dimension of sales target is around US$ 200M per
year.
Case Study – PetroChemical Company

• Based on the above people situation, please


recommend the Talent Management System
design in order to fulfil 2 (two) key GM Positions
in the organization.

▫ Performance Criteria
▫ Potential Criteria
▫ Any other criteria to produce talent candidates
good luck & success!

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