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  1. 1. Career Development
  2. 2. Introduction • Restructuring of organizations makes it essential that companies reconsider the concepts of career and career management in order to retain and motivate employees. • Companies successful at managing employee growth that accompanies business expansion emphasize that employees are to be responsible for career management.
  3. 3. Introduction (continued) • These companies do provide resources supporting careers such as development opportunities, mentoring, and training managers in how to coach employees. • A major challenge is how to balance advancing current employees’ careers with simultaneously attracting and acquiring employees with new skills.
  4. 4. Top 15 Retention Drivers Retention Items % 1. Exciting work & challenge 48.4 2. Career Growth, Learning & Development 42.6 3. Working with great people & relationships 41.8 4. Fair pay 31.8 5. Supportive management/great boss 25.1 6. Being recognized, valued & respected 23.0 7. Benefits 22.0 8. Meaningful work, making a difference & contribution 17.0 9. Pride in organization, its mission & product 16.5 10. Great work environment / culture 16.0 11. Flexibility 13.6 12. Autonomy, creativity and a sense of control 12.6 13. Job security & stability 10.5 14. Location 10.3 15. Diverse, changing work assignments 7.7 Source: Career Systems International, 2005
  5. 5. Other Research Retention Items 1. Career growth, learning and development 2. Exciting work and challenge 3. Meaningful work, making a difference and a contribution 4. Great people 5. Being part of a team 6. Good boss 7. Recognition for work well done 8. Fun on the job 9. Autonomy, sense of control over work 10. Flexibility – for example, in work hours and dress code 11. Fair pay and benefits 12. Inspiring leadership 13. Pride in organization, its mission and quality of product 14. Great work environment 15. Location Source: Love ‘Em or Lose ‘Em, 1999
  6. 6. Purpose of Human Resource Management Human Resource Management - involves attracting, developing, and maintaining a quality workforce. Basic Responsibilities of Human Resource Management 1. Attract a quality workforce—human resource planning, recruitment, and selection. 2. Develop a quality workforce—employee orientation, training, performance appraisal. 3. Maintain a quality workforce—retention and career development.
  7. 7. Linking Strategic Planning and Human Resources
  8. 8. Step One: Mission, Vision, and Values • Mission – The basic purpose of the organization as well as its scope of operations • Strategic Vision – A statement about where the company is going and what it can become in the future; clarifies the long-term direction of the company and its strategic intent • Core Values – The strong and enduring beliefs and principles that the company uses as a foundation for its decisions
  9. 9. Step Two: Environmental Scanning The systematic monitoring of the major external forces influencing the organization. 1. Economic factors: general and regional conditions 2. Competitive trends: new processes, services, and innovations 3. Technological changes: robotics and office automation 4. Political and legislative issues: laws and administrative rulings 5. Social concerns: child care and educational priorities 6. Demographic trends: age, composition,and literacy
  10. 10. Five Forces Framework
  11. 11. Step Three: Internal Analysis Composition Culture Competencies Internal Analysis
  12. 12. Scanning the Internal Environment Cultural Audits -Audits of the culture and quality of work life in an organization. How do employees spend their time? How do they interact with each other? Are employees empowered? What is the predominant leadership style of managers? How do employees advance within the organization ?
  13. 13. Competitive Advantage through People • Core Competencies – Integrated knowledge sets within an organization that distinguish it from its competitors and deliver value to customers. • Sustained competitive advantage through people is achieved if these human resources: 1. Are valuable. 2. Are rare and unavailable to competitors. 3. Are difficult to imitate. 4. Are organized for synergy.
  14. 14. Composition: The Human Capital Architecture • Core knowledge workers – Employees who have firm-specific skills that are directly linked to the company’s strategy. • Example: Senior software programmer • Traditional job-based employees – Employees with skills to perform a predefined job that are quite valuable to a company, but not unique. • Example: Security guard
  15. 15. Composition: The Human Capital Architecture (cont’d) • Contract labor – Employees whose skills are of less strategic value and generally available to all firms. • Example: General electrician • Alliance/partners – Individuals and groups with unique skills, but those skills are not directly related to a company’s core strategy. • Example: Independent product label designer
  16. 16. Human Resource Practices • Human resource planning is the process of analyzing staffing needs and identifying actions that should be taken to satisfy them over time.
  17. 17. Traditional Versus Career Development Focus Source: Adapted from Fred L. Otte and Peggy G. Hutcheson, Helping Employees Manage Careers (Upper Saddle River, NJ: Prentice Hall, 1992), p. 10.
  18. 18. HR is growing in importance, if… …we envision and manage HR as a business Human Capital Strategy to Achieve the Enterprise Strategy Dependable HR Controls High Performance Talent High Performance Organization Competitive HR Services Human Capital Strategy to Achieve the Enterprise Strategy Dependable HR Controls High Performance Talent High Performance Organization Competitive HR Services Enterprise Strategy and Objectives Financial Markets Returns in excess of alternatives Financial Markets Returns in excess of alternatives Public Policy and Reputation Conformity with expectations Public Policy and Reputation Conformity with expectations Talent Markets Employer of choice – Employees of choice Talent Markets Employer of choice – Employees of choice Consumer Markets Value delivery better than competitors Consumer Markets Value delivery better than competitorsWhat Business is HR In?
  19. 19. Performance Appraisals • Performance Appraisal – The process of formally evaluating performance and feedback to an employee Two Purposes of Performance Appraisal 1. Evaluation—document and let people know how well they are doing; judgmental role. 2. Development—identify how training and support can improve performance; counseling role.
  20. 20. Retention And Career Development • Career Development – Manages how a person grows and progresses in their career • Career Planning – The process of managing career goals and individual capabilities with opportunities for their fulfillment
  21. 21. Career and Health • High levels of career uncertainty and occupational dissatisfaction are positively correlated with high levels of psychological and physical distress (Herr, 1989). • High levels of unemployment are associated with increased rates of chemical dependency, interpersonal violence, suicide, criminal activity, and admissions to psychiatric facilities (Herr, Cramer, & Niles, 2004).
  22. 22. The Basics of Career Management • Career – The occupational positions a person has had over many years. • Career management – The process for enabling employees to better understand and develop their career skills and interests, and to use these skills and interests more effectively. • Career development – The lifelong series of activities that contribute to a person’s career exploration, establishment, success, and fulfillment.
  23. 23. The Basics of Career Management • Career planning – The deliberate process through which someone becomes aware of personal skills, interests, knowledge, motivations, and other characteristics; and establishes action plans to attain specific goals. • Careers today – Careers are no simple progressions of employment in one or two firms with a single profession. – Employees now want to exchange performance for training, learning, and development that keep them marketable.
  24. 24. 26 The Meaning of “WORK” “Work is undeniably one of the most essential of all human activities. For a start, it is the basis of economic survival of individuals… and society. Beyond this, an individual’s job structures much of her or his time and, one hopes, provides a source of personal fulfillment. An occupation also shapes one’s identity and, in the eyes of others, largely determines an individual’s status or position in society” Work, Industry, and Canadian Society, Krahn & Lowe. 1996
  25. 25. Why Is Career Management Important? From the company’s perspective, the failure to motivate employees to plan their careers can result in: – A shortage of employees to fill open positions – Lower employee commitment – Inappropriate use of monies allocated for training and development programs
  26. 26. Why Is Career Management Important? (continued) • From the employees’ perspective, lack of career management can result in: – Frustration – Feelings of not being valued by the company – Being unable to find suitable employment should a job change be necessary due to mergers, acquisitions, restructuring, or downsizing.
  27. 27. Career Management and Career Motivation • Career motivation refers to: – Employees’ energy to invest in their careers – Their awareness of the direction they want their careers to take – The ability to maintain energy and direction despite barriers they may encounter • Career motivation has three aspects: – Career resilience – Career insight – Career identity
  28. 28. The Value of Career Motivation Components of Career Motivation Career Resilience Company Value • Innovation • Employees adapting to unexpected changes • Commitment to Company • Pride in Work Employee Value • Be aware of skill strengths and weaknesses • Participate in learning activities • Cope with less than ideal working conditions • Avoid skill obsolescence Career Insight Career Identity
  29. 29. What Is A Career? • Traditional Career – Sequence of positions held within an occupation – Context of mobility is within an organization – Characteristic of the employee • Protean Career – Frequently changing based on changes in the person and changes in the work environment – Employees take major responsibility for managing their careers
  30. 30. Comparison of Traditional Career and Protean Career Dimension Traditional Career Protean Career Goal Promotions Salary increase Psychological success Psychological contract Security for commitment Employability for flexibility Mobility Vertical Lateral Responsibility for Management Company Employee Pattern Linear and expert Spiral and transitory Expertise Know how Learn how Development Heavy reliance on formal training Greater reliance on relationships and job experiences
  31. 31. A Model of Career Development • Career development is the process by which employees progress through a series of stages. • Each stage is characterized by a different set of developmental tasks, activities, and relationships. • There are four career stages: – Exploration – Establishment – Maintenance – Disengagement
  32. 32. A Model of Career Development (continued) Exploration Establishment Maintenance Disengagement Developmental tasks Identify interests, skills, fit between self and work Advancement, growth, security, develop life style Hold on to accomplishments , update skills Retirement planning, change balance between work and non- work Activities Helping Learning Following directions Making independent contributions Training Sponsoring Policy making Phasing out of work Relationships to other employees Apprentice Colleague Mentor Sponsor Typical age Less than 30 30 – 45 45 – 60 61+ Years on job Less than 2 years 2 – 10 years More than 10 years More than 10 years
  33. 33. Career Path on Telco Industry
  34. 34. The Individual • Accept responsibility for your own career. • Assess your interests, skills, and values. • Seek out career information and resources. • Establish goals and career plans. • Utilize development opportunities. • Talk with your manager about your career. • Follow through on realistic career plans. The Manager • Provide timely performance feedback. • Provide developmental assignments and support. • Participate in career development discussions. • Support employee development plans. The Organization • Communicate mission, policies, and procedures. • Provide training and development opportunities. • Provide career information and career programs. • Offer a variety of career options. Roles in Career Development Source: Fred L. Otte and Peggy G. Hutcheson, Helping Employees Manage Careers (Upper Saddle River, NJ: Prentice Hall, 1992), p. 56.
  35. 35. Career Development Process 1. Discovery Determine Where You Want To Go 2. Assessment Identify strengths & development areas 3. Planning Make a Career Development Plan 4. Preparation Get closer to your goal Management Support and Coaching
  36. 36. RATE THE SUCCESS OF YOUR SUCCESSION PLANNING For each characteristic of a best- practice succession-planning and management program appearing in the left column below, enter a number to the right to indicate how well you believe your organization manages that characteristic. Ask other decision makers in your organization to complete this form individually. Then compile the scores and compare notes. Succession-Planning Checklist Scores Source: From William J. Rothwell, “Putting Success into Your Succession Planning,” The Journal of Business Strategy 23, no. 3 (May/June 2002): 32–37. Republished with permission— Thomson Media, One State Street, 26th Floor, New York, NY 10004.
  37. 37. Sample Agenda— Two-Day Career Planning Workshop Source: Fred L. Otte and Peggy Hutcheson, Helping Employees Manage Careers (Upper Saddle River, NJ: Prentice Hall, 1992), pp. 22–23. In addition to career development training and follow-up support, First USA Bank has also outfitted special career development facilities at its work sites that employees can use on company time. These contain materials such as career assessment and planning tools.
  38. 38. Employee Career Development Plan Source: Reprinted with permission of the publisher, Copyright, 2003.
  39. 39. Design factors of Effective Career Management Systems • System is positioned as a response to a business need. • Employees and managers participate in development of the system. • Employees are encouraged to take an active role in career management. • Evaluation is ongoing and used to improve the system.
  40. 40. Design factors of Effective Career Management Systems (continued) • Business units can customize the system for their own purposes. • Employees need access to career information sources. • Senior management supports the career system. • Career management is linked to other human resource practices such as training, recruiting systems, and performance management.
  41. 41. Traditional talent management is not up to the challenge Deficiencies • Minimal alignment with business strategy • Less effective given labor market realities • Does not maximize the “yield” RetainDevelopAcquire Heavy reliance on external recruitment to meet immediate needs Driven by compensation benchmarks and surveys Largely a function of training expenditures Deploy Assignments for “A” Players
  42. 42. 3. Connect 2. Deploy1. Develop Acquire Retain Connect Create networks and high-quality relationships that maximize performance Deploy Broaden and deepen capability through stretch assignments Develop Build capability through on-the-job learning A new model focuses on develop, deploy, connect Advantages • Focused on productivity of critical talent • Creates dividends for acquisition and retention
  43. 43. In an environment of skills shortages and limited resources, the focus must shift from managing “A” players to “A” positions From “A” Players To “A” Positions How do we support our most critical positions? How do we support our top performers? A Critical Workforce Segment-Based Talent Strategy A new model focuses on develop, deploy, connect
  44. 44. A new model focuses on develop, deploy, connect Building a critical workforce segment strategy: example Business Unit Strategic Plan Build new technologies Grow Asia HR, Finance, IT, Supply Chain Sales and Marketing Business Development Global Key Account Mgr Sales Analyst Strategic Support Strategic Support Technology Platform Mgr Demand Planning Mgr Critical Position Strategic Support HR Business Partner AP Analyst Critical Position Core Support For Core Support Positions • Reduce talent investments or outsource For Strategic Support Positions • Maintain investments and buy talent For Critical Positions – regardless of level • Increase access to investments and build talent by feeding from strategic support positions
  45. 45. A new model focuses on develop, deploy, connect Workforce planning focuses HR programs levers that will most effectively meet the business demand for critical talent 1. Talent Demand Forecast 2. Talent Supply Forecast Driven by business plans and workforce attrition Internal and external labor market factors4. Talent Management Programs 3. Talent Management Objectives Serves to define: • Future business demand for critical talent • Opportunities presented by the external market • Potential to maximize existing talent
  46. 46. Connect DeployDevelop Capability Commitment Performance Alignment A new model focuses on develop, deploy, connect • Formal training helpful for meeting specific requirements • Learning is social in nature - people learn through their interactions with others, especially when tasked with real-life issues • People are more committed to the learning that occurs when they are “tested” in ways that matter, especially when they collaborate with or are accountable to others Develop: Ensuring that critical workforce segments are acquiring cutting edge skills to drive innovation
  47. 47. A new model focuses on develop, deploy, connect • People learn the most in jobs that stretch them to grow, tap their unique skills, and fuel their imaginations • The best organizations avoid pigeonholing people based on the confines of their resumes • They also employ formal systems to manage performance - And they offer frequent dialogue and feedback Deploy: Strategic deployment of critical workforce segments will enable intensified growth Connect DeployDevelop Capability Commitment Performance Alignment
  48. 48. A new model focuses on develop, deploy, connect • People-to-People: Cultivate high- performance networks of high-quality relationships (i.e., CoPs, knowledge management programs) • People-to-Purpose: Build and sustain a sense of personal and organizational mission • People-to-Resources: Manage knowledge, technology, tools, capital, time, and physical space to achieve professional and business goals Connect: Connecting talent in critical workforce segments converts knowledge into productive action Connect DeployDevelop Capability Commitment Performance Alignment
  49. 49. Employees’ Role in Career Management • Take the initiative to ask for feedback from managers and peers regarding their skill strengths and weaknesses. • Identify their stage of career development and development needs. • Seek challenges by gaining exposure to learning opportunities. • Interact with employees from different work groups inside and outside the company. • Create visibility through good performance.
  50. 50. Managers’ Role in Career Management Roles Responsibilities Coach Probe problems, interests, values, needs Listen Clarify concerns Define concerns Appraiser Give feedback Clarify company standards Clarify job responsibilities Clarify company needs Advisor Generate options, experiences, and relationships Assist in goal setting Provide recommendations Referral agent Link to career management resources Follow up on career management plan
  51. 51. HR Manager’s Role in Career Management • Provide information or advice about training and development opportunities. • Provide specialized services such as testing to determine employees’ values, interests, and skills. • Help prepare employees for job searches. • Offer counseling on career-related problems.
  52. 52. Company’s Role in Career Management Companies are responsible for providing employees with the resources needed to be successful in career planning: – Career workshops – Information on career and job opportunities – Career planning workbooks – Career counseling – Career paths
  53. 53. Evaluating Career Management Systems • Career management systems need to be evaluated to ensure that they are meeting the needs of employees and the business. • Two types of outcomes can be used to evaluate: – Reactions of the customers (employees and managers) who use the career management system – Results of the career management system • Evaluation of a career management system should be based on its objectives.