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Deloitte Shared Services Conference 2018 Focus 21: Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change Ad Bourgonje and Edgy, Deloitte

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Page 1: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Deloitte Shared Services Conference 2018Focus 21: Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change Ad Bourgonje and Edgy, Deloitte

Page 2: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Providing and sharing theoretical and practical insights on …

What will be covered today

1… how new technologies will

impact the way we work and the skills we need to work

2… how robotics and cognitive

automation will change the way we approach future workforce

transitions

3… how to approach and maintain employee engagement when your

organization is transitioning towards new ways of working

Page 3: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Some examples

Artificial intelligence: science fiction becoming science fact

Video Games1997DeepBlue vs. Kasparov

Watson vs. Ken & Brad2011

2016Rembrandt Painting

AlphaGo vs Je Kie2017

Self driving cars

Ongoing

Robotics

Page 4: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Famous scientists and high tech entrepreneurs are feeding uncertainty about our relationship with machines and even thefate of humanity

Robotics is gaining momentum, however …

Bill Joy

(co-founder Sun Microsystems)“Why The Future Doesn't Need Us"

Stephen Hawking (scientist):

The development of full AI could spell

the end of the human race

Elon Musk

(founder and CEO Tesla)“AI is our biggest existential threat"”

Page 5: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Pockets of resistance in society to protect human rights are emerging too!

Robotics is gaining momentum, however …

The Telegraph News“Jeremy Corbyn plans to 'tax robots'

because automation is a 'threat' to

workers”

The Korea Times“Korea takes first step to

introduce 'robot tax‘”

Bill Gates“The robot that takes your job

should pay taxes”

Robotics open letter to EU

On AI and Robotics“EU-wide rules needed to

garantuee safety and security”

Page 6: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Myth no. 1. the main use of cognitive technologies is automating work that people do

Dispelling myths about cognitive technology on work

Three categories of AI applications: What survey respondents indicate:

Use of AI is important or very

important for automation of

internal businesses processes93%

Similar importance to the

products and services they

sell88%

Cutting jobs through

automation is at the bottom of

the list

Enhancing products or

creating new ones and making

better decisions rank higher

Page 7: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Myth No. 2. cognitive technologies lead to substantial loss of jobs

Dispelling myths about cognitive technology on work

AI predicted to cause both gains and losses

Machines Will Do More Tasks Than Humans by 2025 but Robot Revolution Will Still

Create 58 Million Net New Jobs in Next Five Years

The future of jobs report 2018, September 2018

Page 8: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Why would that suddenly stop?

In the last centuries, we have seen occupations come and go…

MilkmanPetrol station attendant

Town crierLamppost installer

Printing press operatorCoal miner

Servant

TelemarketerCashier

Taxi driverBus driver

Administrative employeeFinancial analysts

AccountantGarbage man

Secretary

PostmanBridge operatorPhone operator

FarmerFactory worker

CashiersTicket clerks

Robot intermediaryDisorganizer

Identity auditorCo2 accountantBitcoin trader

Innovation professionals People & Culture specialists

Service & Solution DesignersCrowd funder

Privacy consultantMemory surgeonUrban shepherdOnline influencer

VR designer

?

Page 9: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

© 2018 Deloitte The Netherlands Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change

How new technologies will impact the way we work and the skills we need to work

Page 10: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

The adoption of automation, robotics and artificial intelligence is accelerating dramatically,yet the reality still requires human skills

AI, robotics and automation: put humans in the loop

72%72%see this area as important

42%42%of executives believe that AI will be widely deployed in their organizations in the next three to five years

still predict a tremendous future demand for human skills such as complex problem solving

63%63%

31%31%are ready to address it

yet only

Page 11: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Towards a symbiotic relationship between man and machine

Future of work - the augmented workforce

Page 12: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Jobs will shift to essential human skills

AI, robotics and automation: put humans in the loop

COMMUNICATION

Listen, respond and express ideas effectively in different contexts, influencing others

STRATEGIC

Exercise judgement and leadership to decide the way forward in complex environments

Service Orientation

Cultural Fluency

Emotional Judgement

Decision-Making

End to End / Big Picture Thinking

Professional Ethics

COLLABORATION

Effectively work with others, team with others, and lead others

PROBLEM SOLVING

Find creative solutions to difficult or complex issues

Design Thinking

Agile Thinking

Innovative Thinking / Creativity

Teamwork

Leading Teams

ANALYTICAL

Acquire new knowledge, process information and draw accurate conclusions

SELF DEVELOPMENT

Continuously evolve and upskill oneself

Critical Thinking

Data Fluency

Digital Fluency

Technical Fluency

Intellectual Curiosity

Self-Management

Page 13: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

It’s the application of a new mindset that enables you to leverage the new technologies to their fullest potential

Human skills and technology alone does not lead to a successful digital transformation

TECHNOLOGY

• Robotics process automation (RPA)

• Cognitive

• Artificial intelligence

• Analytics

• Social & mobile

MINDSET

• Agile

• Collaborative

• Nimble

• Risk taking

• Challenging

DIGITAL

HUMAN SKILLS

Page 14: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

© 2018 Deloitte The Netherlands Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change

How robotics and cognitive automation will change the way we approach future workforce transitions

Page 15: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Those new rules challenge how we…

redesign the organization and its leadership for the future

cultivate the employee experience for engagement, productivity & growth

build a new management system to empower & engage teams

build a culture of continuous learning, adaptability & career growth

leverage data, cognitive and AI to improve business outcomes and team productivity and engagement

leverage digital technology to design and improve the work, the workplace, and the workforce

Page 16: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

90% of companies are redesigning their organizations to be more dynamic, team-centric, and connected

The organization of the future requires us to transform the way things work today

A

C D E

B

How things were How things are How things work

• Shared values and

culture

• Transparent goals and

projects

• Free flow of information

and feedback

• People rewarded for

their skills and

abilities, not position

Page 17: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Cognitive transformation(THINK differently)

Behavioral transformation(ACT differently)

Emotional transformation(REACT differently)

Conceptualizing possibilitiesin a virtual world

Adapting to constantly shifting power and influence

Tolerating an environmentof risk and ambiguity

Handling ever-increasingcognitive complexity

Collaborating with easeacross many different teams

Showing resiliencein the face of constant change

Thinking divergently aboutnew ways of doing things

Valuing the contribution of new work partners and different

interest groups

Being brave in challenginghow things are being done

Making decisions quicklywithout all of the information

Investing huge amounts ofenergy into getting things right;

try, fail, try again

Having the confidenceto take the lead in driving

change

Push the boundaries: Leaders need to think, act and react differently to drive organizational success in a digital worldLeaders need to think, act and react differently to drive organizational success in a

digital world

Push the boundaries

Page 18: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Avoid oversimplification: Designing a differentiated and integrated employee experience in the future of work must go beyond the traditional Designing a differentiated and integrated employee experience in the future of work

must go beyond the traditional

Avoid oversimplification

Simply irresistable organizationTM

Meaningful workSupportive

managementPositive workenvironment

Growth opportunity Trust in leadership

AutonomyClear and transparent

goalsFlexible workenvironment

Training and support on the job

Mission and purpose

Select to fit Coaching Humanistic workplaceFacilitated talent

mobilityContinuous investment

in people

Small, empowered teams

Investment in development of

managersCulture of recognition

Self-directed, dynamiclearning

Transparency and honesty

Time for slackAgile performance

managementFair, inclusive, diverse

work environmentHigh-impact learning

cultureInspiration

Cross-organization collaboration and communication

Page 19: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

© 2018 Deloitte The Netherlands Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change

How to approach and maintain employee engagement when your organisation is transitioning towards new ways of working

Page 20: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

An effective transition starts with a impact assessment on organization and employee level to create cost optimization or value creation

Impact on the organization and employees

Current domain of activities covered by workers

Potential new domain of activities

Activities that could be automated with robots

AUTOMATEDACTIVITIES

Low VA activities Medium VA activities

Exp

ert

tech

nic

al

kn

ow

led

ge

Basic

kn

ow

led

ge

Em

oti

on

al

inte

llig

en

ce

kn

ow

led

ge

High VA activities

Value creation

Cost optimisation

Redeploy employeesProgressive transition out of these core activities towards new or other jobs

4

EXPERTS

1

1 Develop expert roles• Formalise the expert role and its organisation

• Develop some experts to deal with specifics and exception cases

ENHANCED ACTIVITIES

2

2

Develop employees with potential• Identify people with potential and the willingness to learn

• Establish a transition path and a pedagogic approach

• Develop employees with potential through formal training, coaching and on the job development (stretch assignments, difficult cases...)

NEW ACTIVITIES

3 Recruit the right profiles• Define key profiles to complement the existing team (cultural fit & key competencies)

• Recruit people with potential to work on new activities alongside robots

2

Page 21: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

People challenges should be answered per phase to successfully initiate, implement and embed Process Robotics in the organization

Socialize Strategize Succeed Sustain

• New requirements and knowledge required for RPA support model

• Fragmented ownership of RPA innovation and continuous improvement

• Changing (RPA) skill and talent requirements leading to gaps / surpluses

• Change fatigue / resistance towards RPA adoption

• Changing roles, responsibilities and capabilities required to integrate RPA in existing business operations

• Process, organization, and job changes impacting organizational and governance structure

• Misunderstandings, unrealistic expectations and confusion about RPA creating barriers for adoption

• Active and passive resistance due to fear that existing roles will be made redundantP

eople

challenges

Clear understanding of RPA impact on workforce, organizational structure, competencies and skills required

Integrated approach to getting people engaged and aligned on the change

Strengthened accountability and RPA ownership by leadership stakeholders

Create leadership commitment (what is

the business value and what is needed to implement RPA?)

Process robotics training for PoC

Set up governance structure for RPA decision-making

Communicate and educate on the

impact, benefits, use and limitations of

RPA

Analyze the impact on workforce and

departments (e.g., resourcing, jobs,

organizational structure)

Create a compelling story case for change(what’s in it for

me?)

Demonstration sessions / road

shows Consistent leadership support on the purpose, business case, and key activities for RPA

Mutual understanding within the organization about RPA

Engaged employees embracing RPA instead of fearing it

Determine change readiness and

department specific change &

communication approach / plan

Define change journeys and communication plan per department

Page 22: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

People challenges should be answered per phase to successfully initiate, implement and embed Process Robotics in the organization

Continuous improvement and innovation for RPA is embedded in the business as usual way of working.

Support model in place for RPA related questions and issues

Execute RPA change and communication

plan

Embed RPA skills and capabilities in the business as usual way of working (e.g. launch RPA capability programs, including education/training sessions and on the job learning)

Implement new RPA roles and new ways of working. Analyze

and mitigate capability gaps or

surpluses

Coach and support the organization to

develop and run RPA itself

Execute changes required to

organizational structure to

optimize resources /

employee effectiveness

Measure commitment of the workforce and define required actions

Improved value / reduced risk of RPA implementation through an appropriate organizational model, governance, roles, responsibilities, and policies in place

The right organizational talent, capabilities, knowledge and competencies that align with the new ways of working with RPA

Proactive, guided adoption and ownership of impacted groups

Socialize Strategize Succeed Sustain

• New requirements and knowledge required for RPA support model

• Fragmented ownership of RPA innovation and continuous improvement

• Changing (RPA) skill and talent requirements leading to gaps / surpluses

• Change fatigue / resistance towards RPA adoption

• Changing roles, responsibilities and capabilities required to integrate RPA in existing business operations

• Process, organization, and job changes impacting organizational and governance structure

• Misunderstandings, unrealistic expectations and confusion about RPA creating barriers for adoption

• Active and passive resistance due to fear that existing roles will be made redundantP

eople

challenges

Execute the change journeys and communication plan

Track commitment of your workforce

Page 23: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

Any

Questions?

Page 24: Deloitte Shared Services Conference 2018 · the end of the human race ... Facilitated talent mobility Continuous investment in people Small, empowered teams Investment in development

Man and machine: the impact of robotics and cognitive automation on your workforce and how to manage people change © 2018 Deloitte The Netherlands

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