Achieve More With Less: Efficiencies and Values of Strategic Insourcing
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In today’s business environment, expectations are trending up while learning budgets are trending down. So how can L&D professionals find ways to achieve more with less? Learn from a groundbreaking benchmark study how strategic insourcing can be one of the more effective resourcing approaches to reach your corporate learning objectives. This recent HCM Advisory Group study explored whether strategic insourcing can serve as a strategy to more effectively allocate resources to L&D projects and initiatives. Flexible human capital resource models such as strategic insourcing appear to deliver high quality results in a very cost effective manner. The study is the result of an in-depth market analysis on the topic which employed focus groups and surveys of senior learning and development professionals. What you will learn: What strategic insourcing is, and how it can support your departmental objectives The benefits and values of flexible human capital models such as strategic insourcing Where and how they can be most effectively applied The economic impact of strategic insourcing Insights into trends/adoption of the model by L&D practitioners How this resourcing model aligns with the demands and requirements of the workforce of the future
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Achieve More With Less: Efficiencies and Values of Strategic Insourcing
- 1. Achieve More With Less: Efficiencies and Values of Strategic Insourcing Speaker: Stacey L.T. Boyle, Ph.D. Vice President, HCM Advisory Group Human Capital Media Moderator: Daniel Margolis Managing Editor Chief Learning Officer magazine #CLOwebinar
- 2. Tools You Can Use • Q&A – Click on the Q&A panel (?) in the bottom right corner – Type in your question in the space provided – Click on “Send.” #CLOwebinar
- 3. Tools You Can Use • Polling – The poll will appear on the right side of your screen – Select the best option for each question – Click on “Submit” #CLOwebinar
- 4. Frequently Asked Questions 1. Will I receive a copy of the slides after the webinar? YES 2. Will I receive a copy of the webinar recording? YES Please allow up to 2 business days to receive these materials #CLOwebinar
- 5. Achieve More With Less: Efficiencies and Values of Strategic Insourcing Daniel Margolis Managing Editor Chief Learning Officer magazine #CLOwebinar
- 6. Achieve More With Less: Efficiencies and Values of Strategic Insourcing Stacey L.T. Boyle, Ph.D. Vice President, HCM Advisory Group Human Capital Media #CLOwebinar
- 7. HCM Advisory Group Webinar October 20, 2011 Achieving More with Less Through Strategic Insourcing
- 8. Stacey Boyle, Ph.D. Vice President, HCM Advisory Group Chief Learning Officer Magazine
- 9. What we will cover ! ! Definition of terms/overview of resource models! ! Review of HCM research project! !Research Method" "Survey demographics" " Presentation of main findings! !Current L&D resource model" "Perceptions about insourcing model" "Where and how it is deployed" "Reasons to deploy or NOT to deploy" "Perspectives on the L&D workforce of the future" "" ! !
- 10. Itʼs a terminology jungle out there…! OUTSO U RCING STRATEGIC INSOURCING G OUT- TASKIN
- 11. Straightening out the terminology jungle! Definition criteria! ! What is outsourced – function, job, task, process, project! Length of time of the assignment" Assimilation of the resource into the organization" Work location: on-site, off-site, virtual, local, global" Degree in which client directs the third party" Integration of intellectual capital into the clientʼs knowledge base" "
- 12. Straightening out the terminology jungle! Outsourcing! Business Process Outsourcing! ! Third party resource is hired to take over ongoing functions over longer time frames, sometimes years" In the case of BPO, itʼs entire business functions that are taken over by the third party" This third party is generally not assimilated into the existing full time employee team, and generally works off-site" Activities of the third party are partially directed by the client" Intellectual capital employed on behalf of the client not directly shared or fully integrated into the clientʼs knowledge base"
- 13. Straightening out the terminology jungle! Off-shoring! " Similar to outsourcing, but the entire business function or process is relocated from one country to another " "
- 14. Straightening out the terminology jungle! Temporary staffing! ! Third party resource is hired to temporarily take over specific job – often of a tactical nature" Length of time of the assignment is typically weeks or months" Resource is typically assimilated into the employee team – to the degree that is practical and/or desirable " Activities of the third party are directed by the client" Any intellectual capital employed on behalf of the client is generally not integrated into the clientʼs knowledge base" "
- 15. Straightening out the terminology jungle! Strategic insourcing! ! Third party resource (e.g. a contractor, consultant) is deployed on-demand to take on specific function, project or assignment. Projects are of a strategic nature, requiring specific knowledge and skills" Resource is hired for projects of relatively short duration (months or weeks)" Resource is assimilated into the existing full time employee team, working with them on a day-to-day basis, either onsite or virtually " Activities of the third party are directed by the client" Intellectual capital employed on behalf of the client is directly shared and fully integrated into the clientʼs knowledge base" "
- 16. The increasing need to manage a ʻblended workforceʼ! ‘As of Q4 2010, consultants, independent contractors and other contingent workers accounted for nearly 68% of new private sector jobsʼ " "" " ""US Dept. of Labor" "
- 17. ! ! ! Research Project !
- 18. ! Working hypothesis! Strategic insourcing is the future supplemental learning & development resource model" "
- 19. ! Research method! In-depth analysis of L&D outsourcing and insourcing data" " Focus group with insourcing partners" " Survey of senior learning practitioners"
- 20. ! Survey demographics! Number of Employees 488 completed surveys" " Variety of industries and state, local and federal Large Small Less Greater than government" 10,000 than 5,000 " 39% 47% Medium 5,000-10,000 14%
- 21. ! Survey demographics! Very 43% insource dissatisfied, Dissatisfied, 2.9% 3.9% Neither L&D resources" dissatisfied or satisfied, Very 14.6% satisfied, 20.5% " " 57% do not " Satisfied, insource L&D 58.0% resources" "
- 22. ! POLL! How do you currently resource your L&D projects and initiatives?! (select all that apply) ! • Employ full time L&D staff • Outsource some project work • Outsource some L&D roles • Insource some projects • Insource some L&D roles • Employ part time L&D staff
- 23. ! Current L&D resource model ! Survey data! Employ full-time L&D staff 78.4% Outsource some project work 35.5% Outsource some L&D roles 29.8% Insource some projects 27.3% Insource some L&D roles 22.3% Employ part-time L&D staff 12.0%
- 24. Perceptions about insourcing! 66% agree strategic insourcing is a great way to supplement traditional resource models" " 53% agree that insourcing provides greater flexibility in meeting its staffing needs" " 46% agree an insourcing resource can help generate greater productivity from full-time employees - as third-party experts they share expertise with the full-time team" " 22% believe that strategic insourcing will eventually replace traditional resourcing models"
- 25. Perceptions about insourcing! 59% agree that insourced resources represent a proven talent pool from which permanent positions could be filled if needed (i.e. a trial period prior to hiring) 54% agree that insourced L&D resources represent ‘on- demand’ human capital 40% believe that the insourcing resource model fits better with the incoming millennial workforce 31% state that insourcing saves their L&D department money
- 26. Where are insourced resources deployed?! Business skills 47.6% Leadership and executive development 42.0% IT skills 37.2% Project management /process 36.1% Technical 28.2% Compliance 27.3% Career development 25.5%
- 27. Representation by L&D roles! E-learning consultant 51.1% Instructional designer 48.9% Audio/video expertise 41.3% Classroom instructor 39.6% Curriculum development consultant 34.3% Technical writing and documentation 30.9% consultant Leadership development consultant 28.2% Learning management systems 26.3% consultant Change management consultant 26.1%
- 28. Perspectives on the L&D workforce of the future! In the near future, my L&D workforce will need to become 5% 15% 19% 30% 26% 5% more global. In the near future, my L&D workforce will need to become 1%7% 14% 40% 36% 1% more virtual. In the near future, my L&D workforce will need to be staffed based on skill set with less concern on working 2%11% 15% 42% 27% 2% location. I see a great benefit in strategic insourcing as a resource 1%12% 33% 39% 14% 1% model for my L&D function in the near future. Strongly disagree Disagree Neither agree nor disagree Agree Strongly agree N/A
- 29. ! POLL ! Identify which of the following resourcing options you plan to use LESS of in the near future… ! (select all that apply) ! • Employ full time L&D staff • Outsource some project work • Outsource some L&D roles • Insource some projects • Insource some L&D roles • Employ part time L&D staff
- 30. ! POLL ! Identify which of the following resourcing options you plan to use MORE of in the near future… ! (select all that apply) ! • Employ full time L&D staff • Outsource some project work • Outsource some L&D roles • Insource some projects • Insource some L&D roles • Employ part time L&D staff
- 31. ! POLL ! Identify where you think usage will remain THE SAME in the near future… ! (select all that apply) ! • Employ full time L&D staff • Outsource some project work • Outsource some L&D roles • Insource some projects • Insource some L&D roles • Employ part time L&D staff
- 32. Perspectives on the L&D workforce of the future! Survey data! 2015 L&D resource model Employ full-time L&D staff 10% 38% 52% Employ part-time L&D staff 14% 64% 22% Outsource some project work 12% 55% 34% Outsource some L&D roles 13% 58% 29% Insource some projects 14% 58% 28% Insource some L&D roles 13% 59% 27% Fewer Than Now Same As Now More than now
- 33. Main reasons to employ insourcing model!
- 34. Main reasons NOT to employ insourcing model !
- 35. Main conclusions! The insourcing resource models will play a greater role in the L&D workforce of the future – more than 86% of respondents plan to increase the use of insourced resources to meet future business needs" L&D resource deployment will focus on skills and will be increasingly virtual and global" Main benefits of the model are: access to specific skills and expertise, and cost control" Use of insourced resources will focus on business skills, leadership & executive development, and project management"
- 36. Q&A! " Any questions?"
- 37. ! Thank You! ! ! @sboyle Stacey Boyle, Ph.D. sboyle@mediatecpub.com Stephen Debruyn Director of Marketing sdebruyn@clarityconsultants.com www.clarityconsultants.com
- 38. Join Our Next CLO Webinar Learning & Talent Analytics: Integrating Business Metrics to Show the Value of HR & Learning Initiatives Thursday, November 3, 2011 CLO Webinars start at 2 p.m. Eastern / 11 a.m. Pacific www.clomedia.com/events http://network.clomedia.com/ #CLOwebinar