Some of the new barometers for Training and Development in 2010 are starting to show signs of improvement. It sounds like we can expect to see old times again for training and development shortly. But I still feel that businesses sense the pressure of the economy. In my travels, I have not heard that many companies have opened up their training budgets. The economy certainly plays a major part of the decision making process to fund employee training. Most companies have reduced their workforce while also reducing or eliminating resources that provide learning opportunities like meetings, courses, etc.
Funding these programs and realizing the fact that training and development can often makes the difference between companies who are the industry leaders and others who are on a lower tier of success.
What has all this reduction in training and learning opportunities done for your workforce? The 2009-2010 U.S. Strategic Rewards Survey reported that employee engagement levels for key personnel dropped almost 25% as a result of restructuring, and employee benefit cutbacks, including professional development and training, indicating a significant slump in employee morale and productivity!
In most of the companies, a reduction in the workforce usually elevates the workload of the remaining staff while adding stress and frustration to those having to put in the extra time. Companies are put in position where they must start focusing on their key employees and start developing a Talent Management process that will enable them to retain their top producers and hopefully develop their high potentials. It certainly is a vicious cycle that creates a revolving door to top talent when the economy comes back.
Are you prepared for the exodus?
Leadership in business today needs to focus on their current staff and analyze their talent needs for the future. Funding for training compared to losing a key employee to the competition is nominal. The same is true compared to losing a high potential staff member that will be needed in the future. It is important that companies realize that people are applying for a position that leads to a better future and they feel it is the company’s responsibility to provide the opportunity for a career. Talent management is key to the future of all businesses and the funding for people development should never take a backseat to anything else.
Richard Hohmann
Senior Consultant
Innovative Leadership Business Consultation
Phone: 609.390.2830
E-mail: rhohmann@innovativeleadershipdv.com
Website: www.ILDV.org
Showing posts with label economy. Show all posts
Showing posts with label economy. Show all posts
Monday, April 19, 2010
Thursday, November 19, 2009
Communication Process to Drive Growth
Most companies are focused today on driving growth, as I’m sure you are with your business. Many don’t realize that to drive growth you have to start at the beginning with interviewing the candidate and end it with the exit interview or retirement dinner.
Your company needs to focus on hiring the people that will perform better and stay longer. Then, you must identify the high achievers at a very early point in their careers and the retention of these high achievers must be considered paramount to the organization. How do you do this? Employee retention starts with the on-boarding process or orientation. This is best opportunity to start the communication line, explaining the business strategy of the organization and how their role and responsibility provides value to that equation. Communication is the key ingredient for any leadership team to articulate where the company is heading and how they plan to get there. This is the best time to align your employees appropriately but most companies do not spend the time to do such.
The next step in the process is make sure the capabilities of your people can support your company’s strategy and create a competitive advantage; a slight edge as we like to call it. Last but not least, we have to hold our people accountable and in most cases we assign that role to our middle management team. It is their responsibility to structure reporting relationships and evaluate individual performance to ensure the desired business results. They are the ones that execute the strategy.
Companies need to construct a training and development process that enhances communication between the employee and management, improves individual productivity, enhances performance and makes a more effective organization that achieves its revenue goals. Human Resource executives must take responsibility for administering this training process and utilize this process to shorten the learning curve and make employees much more productive and engaged earlier. This will allow companies to achieve sustained growth during these difficult economic times.
Innovative Leadership helps companies connect their people success strategies with their business objectives to drive growth. It's time to get that process into place, we can help.
Your company needs to focus on hiring the people that will perform better and stay longer. Then, you must identify the high achievers at a very early point in their careers and the retention of these high achievers must be considered paramount to the organization. How do you do this? Employee retention starts with the on-boarding process or orientation. This is best opportunity to start the communication line, explaining the business strategy of the organization and how their role and responsibility provides value to that equation. Communication is the key ingredient for any leadership team to articulate where the company is heading and how they plan to get there. This is the best time to align your employees appropriately but most companies do not spend the time to do such.
The next step in the process is make sure the capabilities of your people can support your company’s strategy and create a competitive advantage; a slight edge as we like to call it. Last but not least, we have to hold our people accountable and in most cases we assign that role to our middle management team. It is their responsibility to structure reporting relationships and evaluate individual performance to ensure the desired business results. They are the ones that execute the strategy.
Companies need to construct a training and development process that enhances communication between the employee and management, improves individual productivity, enhances performance and makes a more effective organization that achieves its revenue goals. Human Resource executives must take responsibility for administering this training process and utilize this process to shorten the learning curve and make employees much more productive and engaged earlier. This will allow companies to achieve sustained growth during these difficult economic times.
Innovative Leadership helps companies connect their people success strategies with their business objectives to drive growth. It's time to get that process into place, we can help.
Sunday, December 28, 2008
Where is your Focus? People or Process
In a recent article in the December 22nd issue of Investor’s Business Daily, Kevin Harlin points out that Employment consulting firms say it is vital to track and nurture promising leadership candidates even though the economy is sluggish. Steve Krupp, partner and leader of the executive talent management practice at Delta Organization & Leadership, asserts that if a company fails to engage and communicate its top performers, they might be inclined to depart.
Rather than focusing on your processes, focus on your people. They are your biggest asset. Remember that turnover can cost you double of just one employee’s salary. A survey from Delta found that most U.S. companies fail to monitor their best performers, even fewer communicate with these employees, and few top executives support such initiatives.
PPG Industries, a global glass, paint, and chemical firm, has been tracking its best employees for about a decade. Roughly 30 percent of workers are regarded as top talent, and just 1 percent is deemed suitable for the CEO position. Identified employees get first priority for training, special projects, and responsibilities. Executives also meet with these employees from time to time at informal settings like breakfast or lunch. Global business software firm SAP provides potential leaders with six-month fellowships in another division, typically in a different location, to ensure that these employees have adequate insight into the company.
The above synopsis of the article that appeared in Investor’s Business Daily demonstrates the need to evaluate talent from the first day of hire in terms of recognizing potential and people development as the priority for any organization. I really question whether companies today are focused on their future leadership and understand the need to develop people’s potential.
Innovative Leadership offers an Assessment Process called the Achiever Series that can not only assist not only with people development but also compliment certain aspects of succession planning, downsizing or transformation.
We are a company that is focused on helping companies develop their potential of their people that will result in organizational effectiveness. Please call us at your convenience to discuss our Assessment Processes that can make the difference in the future of your company at 609.390.2830.
Rather than focusing on your processes, focus on your people. They are your biggest asset. Remember that turnover can cost you double of just one employee’s salary. A survey from Delta found that most U.S. companies fail to monitor their best performers, even fewer communicate with these employees, and few top executives support such initiatives.
PPG Industries, a global glass, paint, and chemical firm, has been tracking its best employees for about a decade. Roughly 30 percent of workers are regarded as top talent, and just 1 percent is deemed suitable for the CEO position. Identified employees get first priority for training, special projects, and responsibilities. Executives also meet with these employees from time to time at informal settings like breakfast or lunch. Global business software firm SAP provides potential leaders with six-month fellowships in another division, typically in a different location, to ensure that these employees have adequate insight into the company.
The above synopsis of the article that appeared in Investor’s Business Daily demonstrates the need to evaluate talent from the first day of hire in terms of recognizing potential and people development as the priority for any organization. I really question whether companies today are focused on their future leadership and understand the need to develop people’s potential.
Innovative Leadership offers an Assessment Process called the Achiever Series that can not only assist not only with people development but also compliment certain aspects of succession planning, downsizing or transformation.
We are a company that is focused on helping companies develop their potential of their people that will result in organizational effectiveness. Please call us at your convenience to discuss our Assessment Processes that can make the difference in the future of your company at 609.390.2830.
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