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Strategic Talent Mobility
                Richard Doherty, Fusion Human Capital Management
1   |   © 2012 Oracle Corporation – Proprietary and Confidential
When there is a position to be filled in your organisation…




                                                                   When there is a position to be filled in your organisation…




2   |   © 2012 Oracle Corporation – Proprietary and Confidential
… why do managers so often decide to recruit outside talent?




3   |   © 2012 Oracle Corporation – Proprietary and Confidential
Why External?




   Its because they don’t have
  information systems that can
match the job requirements to the
 profile of someone who already
    works for the organisation.




 4   |   © 2012 Oracle Corporation – Proprietary and Confidential
It’s the Wrong Thing to DO
                       However, promoting or hiring from within is usually the better
                                          business decision.




5   |   © 2012 Oracle Corporation – Proprietary and Confidential
Why?

This is because doing so:
• Retention
• Costs the company less
  (“External hires cost more
  and perform worse”)
• Improves your reputation as
  an employer



 6   |   © 2012 Oracle Corporation – Proprietary and Confidential
Definition


            Talent mobility is the ability to rapidly and
            strategically move people from role to role
            and function to function as business needs
            change.




7   |   © 2012 Oracle Corporation – Proprietary and Confidential
The Critical Intersection
          The need is to make the most of the people already in place by
         balancing the experiences and skills that organisations need to
        drive the business forward against the capabilities and aspirations
                                of each individual.


                                                                   Organisation   Individual
                                                                      Needs         Desires
                                                                    Experiences   Capabilities
                                                                       Skills     Aspirations
                                                                   Competencies




8   |   © 2012 Oracle Corporation – Proprietary and Confidential
Recent Talent Mobility Research
           In 2011, Taleo Research commissioned a comprehensive survey
               on Talent Mobility of 500 HR decision makers in the UK.
                                                                   “UK Talent Mobility in 2011”




9   |   © 2012 Oracle Corporation – Proprietary and Confidential
UK Survey Market Breakdown




10   |   © 2012 Oracle Corporation – Proprietary and Confidential
Conclusion of the Research

           Organisations are at a talent tipping point: aware of
           the strategic importance of talent mobility but often
           held back because of data and systems
           shortcomings.




11   |   © 2012 Oracle Corporation – Proprietary and Confidential
Reasons for Retention Difficulties
                                                                Percentage of Survey Respondents
                                                                                        UK
 Better salaries / benefits packages offered by other
                      companies                                                                              48
         Better opportunities offered by other companies                                                    45
          Inability to find / create internal roles that meet
            employees’ capabilities / career aspirations                                               31
          Lack of information internally about employees’
                   capabilities / career aspirations                                              23
                                                                               Other    2
                                                                    None of the above        19


12   |   © 2012 Oracle Corporation – Proprietary and Confidential
Reasons for Retention Difficulties
                                                               Percentage of Survey Respondents
                                                                                     Australia   UK
Better salaries / benefits packages offered by other                                                                   75
                     companies                                                                                48
  Better opportunities offered by other companies                                                                       78
                                                                                                             45
   Inability to find / create internal roles that meet                                                            51
     employees’ capabilities / career aspirations                                                       31
   Lack of information internally about employees’                                                      31
            capabilities / career aspirations                                                      23
                                                                                 Other           19
                                                                                          2
                                                                      None of the above    4
                                                                                                 19
  13   |   © 2012 Oracle Corporation – Proprietary and Confidential
Talent Mobility Momentum
     In the UK…
     • 71% agree that it is important for companies to be able to pro-actively
       and strategically move people from role to role
              – 82% Retail/Wholesale
              – 81% Construction/Manufacturing
     • 57% say that the current economic climate has led to an increased
       focus on talent mobility
     • 54% say they are more focused on retaining than recruiting talent


     … the Australia survey provided similar results.

14   |   © 2012 Oracle Corporation – Proprietary and Confidential
Talent Mobility on employees’ agenda

     % who agreed that “talent mobility is increasingly on
     employees’ agendas when they choose an employer”:
     • 51% in the UK
              – 65% Hospitality/Leisure companies
              – 33% Pharmaceutical companies
     • 55% in Australia



15   |   © 2012 Oracle Corporation – Proprietary and Confidential
Organisational characteristics
                                  Percent rating their organisation a 4 or 5 on 5-scale
                                                                         UK
A culture that supports the sharing of talent
            across the company                                                            55
 Quality of leadership pipeline / successors                                               57
                             Employee engagement rates                                         59
    Processes that support the movement /
    retention of talent within the company                                          50
   Ability to drive change / business growth                                                        64
                                    Employee retention rates                                         66
Profitability compared to competitors in our
                   sector                                                                54

     16   |   © 2012 Oracle Corporation – Proprietary and Confidential
What about Technology Support?


                                                                    % of organisations who rate themselves
                                                                    above the sector average for technology
                                                                    to support a strong talent mobility strategy.
                                                                    … that is 10% lower than any other
                                                                    organisational characteristics.




17   |   © 2012 Oracle Corporation – Proprietary and Confidential
Impact of Talent Mobility Technology




18   |   © 2012 Oracle Corporation – Proprietary and Confidential
Technology in the UK




                   Average = 10% using dedicated talent management systems

19   |   © 2012 Oracle Corporation – Proprietary and Confidential
Vertical, Horizontal, Geographical
                                                             Percent stating to be effective at…
                                                                         UK    Australia
                                     61
                                                           49             52
                                                                                 36
                                                                                              29   27



                     Vertical movement or     Horizontal or lateral   Geographic movement of
                  promotion of people within movement of people       people into different sites,
                    departments, functions,  between departments,        regions, countries
                        into senior roles   business units, functions

20   |   © 2012 Oracle Corporation – Proprietary and Confidential
Talent Mobility Maturity Model




21   |   © 2012 Oracle Corporation – Proprietary and Confidential
Talent Mobility Maturity Model




22   |   © 2012 Oracle Corporation – Proprietary and Confidential
Talent Mobility Maturity Model




23   |   © 2012 Oracle Corporation – Proprietary and Confidential
UK Organisations – Talent Mobility

     Very few organisations rate themselves as strategic on all ten factors (or
      tactical on all ten factors). Therefore, respondents have been allocated
      to each of three segments based on their relative strategic scores.




24   |   © 2012 Oracle Corporation – Proprietary and Confidential
Breakdown for UK Organisations




25   |   © 2012 Oracle Corporation – Proprietary and Confidential
Impact of Strategic Talent Mobility

Percent in UK rating their organisation above sector average




26   |   © 2012 Oracle Corporation – Proprietary and Confidential
Barriers to Improving Talent mobility
                                                 Top three barriers to improving talent mobility (%
                                                                    respondents)
                                                                         UK      Australia
                                                        52                         52                          48
                                    31                                     30                         31




                         Lack of visibility into                    Quality and reliability of     Lack of systems /
                           talent gaps and                           employee talent data technology to support
                            opportunities                                                      talent mobility initiatives


27   |   © 2012 Oracle Corporation – Proprietary and Confidential
Talent Intelligence = Better Data/Insight

     How do you get better data and
     insight?
     By leveraging what we call talent
     intelligence – consistent, readily
     available information from Recruiting,
     Performance Management,
     Succession Planning, Compensation,
     and Learning and Development




28   |   © 2012 Oracle Corporation – Proprietary and Confidential
InterContinental Hotels Group (IHG)

• IHG operates seven hotel brands: InterContinental,
  Crowne Plaza, Hotel Indigo, Holiday Inn, Holiday Inn
  Express, Staybridge Suites, and Candlewood Suites.
• More than 650,000 rooms; over 4,400 hotels; in 100
  countries
• Employees in 2010:
    – Direct: 7,858
    – Employed under IHG estate: 335,000
• http://www.oracle.com/us/corporate/customers/customersearch/interc
  ontinental-hotels-taleo-cs-1657047.html#sf4807696
•
     29   |   © 2012 Oracle Corporation – Proprietary and Confidential
InterContinental Hotels Group (IHG)
• Growth challenges:
         – On average, opening one new location per day.
         – Need to find 400,000 people in the next 4 years
         – Must hire externally AND increase talent mobility significantly.
• “We wanted a consistent, across the board approach to managing this, and
  that meant being able to give our people the power to share their ambitions
  and career preferences with us.”

     “We need people who are brand aware – what we call ‘brand-hearted’ – who
     can deliver our vision to our customers and our team so that our hotels are
     successful.”
                                                                    - Claire Guberg, IHG’s Global Talent Systems Manager

30   |   © 2012 Oracle Corporation – Proprietary and Confidential
InterContinental Hotels Group (IHG)
• Oracle Taleo Recruiting used by IHG since 2004
  (Asia, then globally)
• Biannual Careers Week encourages all IHG
  employees to create a profile in Taleo Recruiting,
  to share where they want to work and in what function.
• Talent Intelligence  Talent Pools  Talent Mobility
• Source of hire rates:
         – General Manager: from 61% (2010) to 84%
         – Corporate: from 10% to 26%
         – Hotel vacancies: from 7% to 8% (huge base)

31   |   © 2012 Oracle Corporation – Proprietary and Confidential
InterContinental Hotels Group (IHG)

     Talent Intelligence  Better Data and Insights  Talent Mobility




     “It helps us make better informed decisions about
     what we need to prioritise and where.”
     - Claire Guberg, IHG’s Global Talent Systems Manager
32   |   © 2012 Oracle Corporation – Proprietary and Confidential
Key Takeaways

Benefits of strong talent mobility include:
• Shorter time to productivity
• Greater employee engagement & retention
• Lower talent acquisition costs
• Streamlined information flow
• Limited competitive intelligence leakage
• Stronger leadership teams
• Better financial performance


33   |   © 2012 Oracle Corporation – Proprietary and Confidential
Oracle Delivers the Most Complete
Cloud-based HCM and Talent Management Suite



                                       Oracle Fusion                                                          Oracle Fusion and Taleo
                                  Human Capital Management                                                      Talent Management
                                                                                                   Recruitment and    Learning and    Performance
                                                                    Global Payroll
                                      Global HR
                                                                                             +      On-boarding       Development     Management


                                                      Workforce                                     Engagement       Compensation
                                                                                                                                     Talent Review
                                                     Management                                    and Retention     and Rewards


                                  Social                        Mobile               Integration   Analytics         Reliable        Secure




34   |   © 2012 Oracle Corporation – Proprietary and Confidential
Any Questions?




35   |   © 2012 Oracle Corporation – Proprietary and Confidential

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Strategic Talent Mobility

  • 1. Strategic Talent Mobility Richard Doherty, Fusion Human Capital Management 1 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 2. When there is a position to be filled in your organisation… When there is a position to be filled in your organisation… 2 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 3. … why do managers so often decide to recruit outside talent? 3 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 4. Why External? Its because they don’t have information systems that can match the job requirements to the profile of someone who already works for the organisation. 4 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 5. It’s the Wrong Thing to DO However, promoting or hiring from within is usually the better business decision. 5 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 6. Why? This is because doing so: • Retention • Costs the company less (“External hires cost more and perform worse”) • Improves your reputation as an employer 6 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 7. Definition Talent mobility is the ability to rapidly and strategically move people from role to role and function to function as business needs change. 7 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 8. The Critical Intersection The need is to make the most of the people already in place by balancing the experiences and skills that organisations need to drive the business forward against the capabilities and aspirations of each individual. Organisation Individual Needs Desires Experiences Capabilities Skills Aspirations Competencies 8 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 9. Recent Talent Mobility Research In 2011, Taleo Research commissioned a comprehensive survey on Talent Mobility of 500 HR decision makers in the UK. “UK Talent Mobility in 2011” 9 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 10. UK Survey Market Breakdown 10 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 11. Conclusion of the Research Organisations are at a talent tipping point: aware of the strategic importance of talent mobility but often held back because of data and systems shortcomings. 11 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 12. Reasons for Retention Difficulties Percentage of Survey Respondents UK Better salaries / benefits packages offered by other companies 48 Better opportunities offered by other companies 45 Inability to find / create internal roles that meet employees’ capabilities / career aspirations 31 Lack of information internally about employees’ capabilities / career aspirations 23 Other 2 None of the above 19 12 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 13. Reasons for Retention Difficulties Percentage of Survey Respondents Australia UK Better salaries / benefits packages offered by other 75 companies 48 Better opportunities offered by other companies 78 45 Inability to find / create internal roles that meet 51 employees’ capabilities / career aspirations 31 Lack of information internally about employees’ 31 capabilities / career aspirations 23 Other 19 2 None of the above 4 19 13 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 14. Talent Mobility Momentum In the UK… • 71% agree that it is important for companies to be able to pro-actively and strategically move people from role to role – 82% Retail/Wholesale – 81% Construction/Manufacturing • 57% say that the current economic climate has led to an increased focus on talent mobility • 54% say they are more focused on retaining than recruiting talent … the Australia survey provided similar results. 14 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 15. Talent Mobility on employees’ agenda % who agreed that “talent mobility is increasingly on employees’ agendas when they choose an employer”: • 51% in the UK – 65% Hospitality/Leisure companies – 33% Pharmaceutical companies • 55% in Australia 15 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 16. Organisational characteristics Percent rating their organisation a 4 or 5 on 5-scale UK A culture that supports the sharing of talent across the company 55 Quality of leadership pipeline / successors 57 Employee engagement rates 59 Processes that support the movement / retention of talent within the company 50 Ability to drive change / business growth 64 Employee retention rates 66 Profitability compared to competitors in our sector 54 16 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 17. What about Technology Support? % of organisations who rate themselves above the sector average for technology to support a strong talent mobility strategy. … that is 10% lower than any other organisational characteristics. 17 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 18. Impact of Talent Mobility Technology 18 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 19. Technology in the UK Average = 10% using dedicated talent management systems 19 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 20. Vertical, Horizontal, Geographical Percent stating to be effective at… UK Australia 61 49 52 36 29 27 Vertical movement or Horizontal or lateral Geographic movement of promotion of people within movement of people people into different sites, departments, functions, between departments, regions, countries into senior roles business units, functions 20 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 21. Talent Mobility Maturity Model 21 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 22. Talent Mobility Maturity Model 22 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 23. Talent Mobility Maturity Model 23 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 24. UK Organisations – Talent Mobility Very few organisations rate themselves as strategic on all ten factors (or tactical on all ten factors). Therefore, respondents have been allocated to each of three segments based on their relative strategic scores. 24 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 25. Breakdown for UK Organisations 25 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 26. Impact of Strategic Talent Mobility Percent in UK rating their organisation above sector average 26 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 27. Barriers to Improving Talent mobility Top three barriers to improving talent mobility (% respondents) UK Australia 52 52 48 31 30 31 Lack of visibility into Quality and reliability of Lack of systems / talent gaps and employee talent data technology to support opportunities talent mobility initiatives 27 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 28. Talent Intelligence = Better Data/Insight How do you get better data and insight? By leveraging what we call talent intelligence – consistent, readily available information from Recruiting, Performance Management, Succession Planning, Compensation, and Learning and Development 28 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 29. InterContinental Hotels Group (IHG) • IHG operates seven hotel brands: InterContinental, Crowne Plaza, Hotel Indigo, Holiday Inn, Holiday Inn Express, Staybridge Suites, and Candlewood Suites. • More than 650,000 rooms; over 4,400 hotels; in 100 countries • Employees in 2010: – Direct: 7,858 – Employed under IHG estate: 335,000 • http://www.oracle.com/us/corporate/customers/customersearch/interc ontinental-hotels-taleo-cs-1657047.html#sf4807696 • 29 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 30. InterContinental Hotels Group (IHG) • Growth challenges: – On average, opening one new location per day. – Need to find 400,000 people in the next 4 years – Must hire externally AND increase talent mobility significantly. • “We wanted a consistent, across the board approach to managing this, and that meant being able to give our people the power to share their ambitions and career preferences with us.” “We need people who are brand aware – what we call ‘brand-hearted’ – who can deliver our vision to our customers and our team so that our hotels are successful.” - Claire Guberg, IHG’s Global Talent Systems Manager 30 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 31. InterContinental Hotels Group (IHG) • Oracle Taleo Recruiting used by IHG since 2004 (Asia, then globally) • Biannual Careers Week encourages all IHG employees to create a profile in Taleo Recruiting, to share where they want to work and in what function. • Talent Intelligence  Talent Pools  Talent Mobility • Source of hire rates: – General Manager: from 61% (2010) to 84% – Corporate: from 10% to 26% – Hotel vacancies: from 7% to 8% (huge base) 31 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 32. InterContinental Hotels Group (IHG) Talent Intelligence  Better Data and Insights  Talent Mobility “It helps us make better informed decisions about what we need to prioritise and where.” - Claire Guberg, IHG’s Global Talent Systems Manager 32 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 33. Key Takeaways Benefits of strong talent mobility include: • Shorter time to productivity • Greater employee engagement & retention • Lower talent acquisition costs • Streamlined information flow • Limited competitive intelligence leakage • Stronger leadership teams • Better financial performance 33 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 34. Oracle Delivers the Most Complete Cloud-based HCM and Talent Management Suite Oracle Fusion Oracle Fusion and Taleo Human Capital Management Talent Management Recruitment and Learning and Performance Global Payroll Global HR + On-boarding Development Management Workforce Engagement Compensation Talent Review Management and Retention and Rewards Social Mobile Integration Analytics Reliable Secure 34 | © 2012 Oracle Corporation – Proprietary and Confidential
  • 35. Any Questions? 35 | © 2012 Oracle Corporation – Proprietary and Confidential