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
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
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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.”
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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”
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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
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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
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"
"
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
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"
37. ! Thank You!
!
!
@sboyle
Stacey Boyle, Ph.D.
sboyle@mediatecpub.com
Stephen Debruyn
Director of Marketing
sdebruyn@clarityconsultants.com
www.clarityconsultants.com
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