drive transformational change through learning and development · the learning and development...

Drive Transformational Change Through Learning

and Development

DRIVE TRANSFORMATIONAL CHANGE THROUGH LEARNING AND DEVELOPMENT | 2

TABLE OF CONTENTS

Executive Summary 3

Introduction 4

Make Learning and Development a Key Driver for Change 7

Cultivate a Change Mindset 9

Develop Your (Future) Leaders 12

Build Predictive Power 14

Personalize Content and Diversify Delivery 17

Monitor and Measure Learning Programs 21

Conclusions and Recommendations 24

About the Research 26

Endnotes 28

About the Research Partners 31


EXECUTIVE SUMMARY Today’s organizations are encountering a level of change that demands a complete transformation, from the products and services they offer, to their technology, processes, and even their business model and strategy. Understandably, many organizations find it difficult to sustain themselves in these circumstances. Yet others are growing, if not thriving, by purposefully driving transformational change.

The success of this transformation ultimately depends on the people within an organization and their capacity to learn and innovate. Nurturing this talent with opportunities for development not only provides them with new skills, but it also it fuels creativity and collaboration, allowing organizations to more effectively direct change. This elevates the importance of employee learning and development (L&D) programs, making them vital for enhancing the agility of the entire organization. But is the L&D function receiving the attention and resources it needs to accomplish its goals? How can L&D programs be enhanced to help organizations to not only respond to change, but to create and lead transformation?

To learn more, HCI partnered with Cornerstone to examine the traits and practices that organizations can adopt to successfully navigate change. We found that high-performing organizations are more likely to see their HR and L&D programs as important to leading change, and they combine this perspective with the following actions:

Make L&D programs a key driver for change by aligning and integrating development opportunities with the needs of both the organization and its people

Cultivate a change mindset by merging an emphasis on both technical skills and so-called soft or professional skills with a shared understanding of the organization’s plans and expectations for change

Develop current and future leaders to support employees through change and enhance their ability to craft a change strategy

Build the predictive power of the organization to understand the direction of change and prepare plans

Provide personalized content across multiple modes of delivery to increase the accessibility and applicability of learning and development

Monitor L&D outcomes and measure them against the success of change initiatives


The Imperative for L&D Functions

Most of us recognize that the pace of change is accelerating. In fact, 83% of HR practitioners and leaders indicate that their organization is in a state of constant change.1 The frequency of change, however, doesn’t necessarily reflect its scale or scope. Although many organizations may feel prepared for the changes brought by incremental growth, far fewer are ready for transitions in their processes, operations, or strategies as they merge, expand, or innovate.2 Fewer still are prepared to take on radical, unanticipated changes that require organizational transformation, and yet, changes at this level are becoming so common they touch nearly everyone. In one recent study, as many as 86% of organizations reported recent experience with transformation, with just more than half (54%) indicating that they are currently undergoing a transformation initiative.3 Large and multi-national organizations were even more likely to agree, with 96% in some phase of transformation.4

So, what does it take to stay ahead of radical change? It is essential to craft a strategic vision for change that offers a flexible framework for responding to fluctuations in business and market factors, but it also takes talent—talent with the right skills and abilities—to enact and manage organizational transformation. In today’s tight labor market, developing, engaging, supporting, and retaining this talent is paramount.

The learning and development (L&D) function can be especially important in this effort. More than simply reacting to changing needs, it can help drive transformation by aligning leadership and the workforce to a new business model and strategy, developing new skills and capabilities, creating flexibility for innovation within existing roles, and supporting internal talent mobility.5 To do this, the L&D function itself must transform, expanding its efforts to both personalize and integrate development efforts across the organization.

INTRODUCTION

“As people transform, organizations transform along

with them—that’s where it starts.”

—Tom Tonkin, Ph.D., Senior Principal, Thought-

Leadership and Advisory Services, Cornerstone OnDemand


How to Drive Transformational Change Through Learning and Development

Understanding the practices of high-performing organizations (HPOs) can offer insights into how L&D efforts could be leveraged to facilitate change. HPOs are those organizations that outperform their peers on HCI’s index of business and talent outcomes.6 In most other respects however, HPOs have much in common with other organizations. They belong to the same sectors and industries. They are small, medium, and large in size. They have HR departments of one, a few, or many. And, they are no more or less likely to agree that their organization is experiencing constant change.

They also know change can be difficult. When asked about their top challenges in creating, managing, or responding to change, there was no significant difference in response between HPOs and other organizations (Figure 1). Many organizations face their share of difficulty in winning the support of their leadership or other internal stakeholders for change initiatives. Similarly, it’s not uncommon to experience resistance to change from managers and employees alike.

If they experience the same changes, and the same challenges, then what makes HPOs different? They are nearly eight times more likely to rate themselves as above average or as one of the best in coping with large-scale strategic change.7 These organizations share at least six characteristics that help them create this advantage. Building these traits can substantially improve the success of change efforts.


What are the top challenges your organization faces when creating, managing, or responding to change? (Select no more than 3.)

FIGURE 1

Resistance to change from managers and employees

Lack of support and buy-in from business leaders and other

stakeholders

Other issues are given priority over the solution/initiative

Inability to sustain adoption over time

Poor cross-functional collaboration and contributions

A lack of technical solutions

A lack of resources or budget to support change initiatives

Talent shortages/skills gaps in our workforce

Lack of change management skills in the HR function

Poor communication/internal marketing of change initiatives

Insufficient investment in L&D for employees

Poor integration of learning development with other HR

change initiatives

The solution/initiative itself is poorly designed

40%

32%

31%

27%

14%

27%

25%

25%

14%

11%

10%

10%

7%


MAKE LEARNING AND DEVELOPMENT A KEY DRIVER FOR CHANGE

An emphasis on HR and talent management strategies that nurture and develop employees is fundamental not just to sustaining change but to transforming an organization through its people.

HPOs already recognize this and are more likely to agree that they drive change through people rather than people through change (57% HPO vs. 44% Other).8 As a result, they are much more likely than other organizations to see HR and talent management programs as either “very” or “extremely” important in their change efforts (Figure 2).9

“Learning and development isn’t just a response to the

change. It also helps to drive change by giving people

information and the ability to innovate and move with

need and demand.”—Jill Kilroy,

AVP Talent Management,Horace Mann Companies

Over the past two years, how important are the following HR/talent management programs to your organization’s change efforts? (Very and Extremely Important)

FIGURE 2

Talent acquisition98%

65%

88%49%

Learning and development (L&D), training

81%52%

74%49%

Leadership development and succession planning

Workforce planning and analytics

Total rewards

95%60%

Engagement, culture, and inclusion

81%65%

75%49%

Compliance and legal agreements

High-Performing Organizations

All Other Organizations


In fact, when it comes to direct support for change efforts, it is the L&D function that plays a central role (Figure 3). Nearly three-quarters (74%) of HPOs indicate their HR and L&D functions provide significant support for their major change initiatives.10 Perhaps most importantly, their work isn’t siloed—L&D programs are instead integrated throughout HR initiatives to maximize their impact.11 This in turn raises confidence in L&D’s ability to provide learning opportunities that support change efforts (61% of HPOs vs. 22% of other organizations are “very” or “extremely confident”).12

Percentage of somewhat and strongly agreeFIGURE 3

At my organization, the HR/L&D function is responsible for providing

significant support for most major change initiatives

74%60%

72%39%

Our L&D programs are fully integrated with other HR

initiatives to successfully support organizational change



Integrating learning across HR initiatives may require a transformation of the L&D function itself and a re-orientation in development priorities. The L&D programs that are often most effective in creating and supporting change move beyond functional training for select roles or systems and foster the growth of change mindsets.

“We completely transformed how we train and develop

our employees. Our training is now more experiential with employees taking what they

learned in the classroom and living it, making connections and forming relationships to the work they do every day.”

—Jill Kilroy,AVP Talent Management,Horace Mann Companies


CULTIVATE A CHANGE MINDSET

Access to development opportunities that are integrated with and reinforce other initiatives is key, but content that stimulates skills sets and capabilities critical for envisioning transformation is just as important. Content that fuses technical skill training, with change management techniques and professional skills development can encourage the growth of change mindset. A person with a change mindset views change not as a barrier, but as a vehicle for personal transformation as well as that of their organization.

Most organizations (64%) agree that developing technical expertise and task proficiency is necessary for driving transformational change, but nearly all organizations (90%) prioritize the development of so-called “soft” skills in this effort. These professional skills include the ability to communicate and collaborate, but they also extend to behaviors and mindsets that embrace, adopt, and create change.

Targeting these skills may require building or refreshing L&D programs to include an emphasis on both technical and professional skills together with a shared understanding of the organization’s evolving plans and expectations for change. This approach is reflected in the experiences shared by our survey participants. When asked what their organization is doing differently in response to change efforts, many described programs that offered situational and interpersonal support, and have integrated these with learning around both technical skills and change management techniques (Figure 4).

“When we work to increase cognitive abilities and skills

like being investigative or persistent, having desire,

initiative, or resourcefulness, then people are able to

gravitate to new things and transform their organizations.”



“Change is inevitable and often stressful. We provide

methods to cope with change including excellent resources

and tools to help our employees develop the skills

to navigate change more successfully.”

—Jill Kilroy,AVP Talent Management,Horace Mann Companies


Thinking about the training, learning, and development of your workforce, what is your organization doing differently in response to recent change efforts? (A sample of survey responses.)

FIGURE 4

“We have launched a Lean team to help employees

streamline work and fix road blocks. We also have a learning

platform for elective courses as well as required courses for career development.”

“More interpersonal skills training is being offered,

and technology training is also available.”

“We’re retooling the way we do things—supporting our talent to get on top of the change and drive it themselves.”

“We’ve instituted performance coaching to help employees understand the change and what is needed to manage and move with change. We’ve also added learning around healthy lifestyle approaches to help employees manage the stress of change, and we host career discussions about opportunities that develop as part of the change.”

“We offer a program for all employees that includes ten key courses such as Change

Management, Managing Time and Email, Problem-Solving/Innovative Thinking, etc. to help them cope

with change and to be effective in their work environment.”

“We run change management workshops based on personal response to change, and we also provide counseling and coaching support.”

“We’re building programs that are

market-relevant and more advanced that allow

employees to be future-ready”

“Our strong career development program is re-emerging and we are adding mentorship programs and

leadership cohorts.”

DRIVE TRANSFORMATIONAL CHANGE THROUGH LEARNING AND DEVELOPMENT | 1 1

5%7%

Integrative change in which one company acquires or

merges with another

By developing the skills and capabilities connected to a change mindset, L&D can help organizations pivot from simply reacting to change to creating it. HPOs lead this charge. They are significantly more likely to agree that they are intentionally working to transform their organization to disrupt or create new markets (79% HPO vs. 63% Other).13 They are much more likely than other organizations to embrace radical structural and transformational change (Figure 5).14

Over the past two years and looking at all your different change initiatives, how would you characterize the changes your organization has experienced?

FIGURE 5

Transformational, radical change in which a new business model,

organizational principles, and strategy is adopted

37%21%

12%15%

Developmental or incremental changes that accompany the

growth of an organization

0%12%

Remedial change to address financial distress or shortcomings

in performance

0%5%

Relatively stable or consistent— no significant change

35%15%

Structural change to align processes and people with new technology

or other infrastructure

9%14%

Transitional change in which old products or services are phased out

and replaced with something new

2%11%

Localized or fragmentary change within specific departments or units




DEVELOP YOUR (FUTURE) LEADERS

Effective leadership is vital to sustaining an organization through change. Most organizations recognize this and focus a considerable share of their development efforts on managers. This helps simultaneously build a pipeline of future leaders while empowering talent to serve the organization’s changing needs (Figure 6).

In response to the changes your organization is experiencing, what is the talent strategy for the following levels? (Percent reporting build/develop existing talent)

FIGURE 6

“We need to develop our leaders to be able to lead through our change efforts, to recognize successes, and to foster some level of predictability and understanding, while having the

conviction to stick through a difficult process…and role-model the change.”—Pattie Grimm, Author, Trainer, Coach, and Speaker; former Global Head of Leadership Effectiveness

and Performance Management for Johnson & Johnson Surgical Division

Senior leaders/Executives/C-Suite

Individual contributors

Directors/Vice President

Entry-level employees

Mid-level managers

Front-line managers/Supervisors

36%

40%

62%

69%

54%

25%


What is your current level of confidence in the following? (Very and Extremely Confident)

FIGURE 7

Our senior leaders’ ability to define strategy

66%36%

54%21%

Our senior leaders’ ability to connect the importance of human capital

management to managing change

52%30%

Our senior leaders’ ability to anticipate or respond to change



This shared pattern in development across different organizations suggests that it’s not just the quantity of learning at these levels that matters. It is the quality and approach to leadership development that builds the capacity for change and provides the organization with the leaders it needs to guide its transformation. A number of survey respondents, for instance, emphasized the need to shift their development emphasis beyond traditional managerial training and skills, to developing leadership abilities that facilitate team interaction, creative problem solving, and strategic thinking.

HPOs develop their leaders to enhance their ability not only to define strategy, but to better anticipate and respond to change (Figure 7).15 Their leaders have a deeper understanding of the importance of effective human capital management in change efforts.16

By developing strategic capabilities in their current and future leaders, HPOs indicate that they are much more likely to have change strategies in place that help them prepare for the unexpected (77% HPO vs. 39% Other).17

“[In response to our need for change,] we developed an

Emerging Leader Academy that spends a whole year

on leading change. We also just hired a Change Manager and are working on strategy

for developing change management/leadership skills.”

—Survey respondent


BUILD PREDICTIVE POWER

When change is unplanned, unexpected, or unwanted, it can be much more difficult to cope with for individuals and the organization. The L&D function can help develop an organization’s predictive power to better anticipate change, increase planning and analytics skills, and develop new behaviors that support change management and execution.

Personnel changes are among the most common, yet most destabilizing for an organization. And yet many organizations indicate that personnel changes are the most likely to be unplanned or unanticipated (45% across all organizations). HPOs report that these changes are less likely to come as a surprise. In fact, with the exception of mission and strategy, HPOs are significantly less likely to report unplanned changes over the past two years (Figure 8).18


Which aspects of your organization have experienced significant change in the past two years? (Unplanned or unanticipated change)

FIGURE 8

Personnel (changes in turnover or hiring)

35%49%

12%14%

Locations, regions, or properties where work is performed

7%9%

5%20%

5%12%

5%6%

5%23%

Compensation and benefits practices

Mission and strategy

Products and/or services

Definitions of roles and their required skills or competencies

Internal workplace policies and legal agreements

Operating or business processes

Technological infrastructure (software, equipment, machines)

14%21%

Reporting structures or administrative relationships between units/departments

7%16%

9%27%

7%14%

Workplace culture and employee engagement




This is not because HPOs are less likely to experience change; it is because they are actively upskilling their workforce to predict the kinds of changes with potentially large or broad impacts to the business. Developing people analytics and workforce planning capabilities can be especially helpful in recognizing trends in personnel changes, resulting in significantly higher levels of confidence to predict the strategic roles and skill sets that will be needed for the future (Figure 9).19


FIGURE 9

Our ability to identify the skill sets or competencies needed

in the next 2 to 5 years 17%

44%15%

Our ability to identify the critical, strategic roles needed

5 years from now



44%

When an organization develops their predictive capabilities, they not only better understand changing trends in their workforce, but they can use this information to improve the alignment of their L&D programs with future needs of the organization and its people.


PERSONALIZE CONTENT AND DIVERSIFY DELIVERY

Learning and development opportunities aren’t only important to the organization—they are also important to that organization’s talent. HPOs are more likely to recognize this and are significantly more likely to agree that development opportunities are an important part of their employee value proposition (81% HPO vs. 60% Other).20

Personalized learning can require considerable effort and resources, yet it is often the preferred solution because it can quickly resolve skills gaps while it makes content more relevant and engaging for individual employees. HPOs are more likely to find value in personalized learning for select roles, or even individual employees (72% HPO vs. 50% Other),21 and they are able to achieve this by drawing on a wide range of sources for content.

Like many other organizations, HPOs are creating or customizing more of their offerings in-house, but they are not necessarily building this content from the ground up. More than other organizations, HPOs rely on partnerships with educational institutions, community-based organizations, and external vendors. They weave together information from these sources to target the skills needed for business-critical positions within their organization (Figure 10).22

“We need to go back to the how, not the what,

of learning. We need to prepare our people to be

self-directed, autonomous learners.”



“We engage in constant communication and offer

readily available materials/ libraries.”



In addition, they are putting more effort behind communicating the development opportunities they already have and articulating the alignment between learning content and their organization’s change efforts. For instance, when asked what the organization is doing to help employees develop themselves in times of change, our survey respondents made it clear that information about development opportunities should be part and parcel of communication around change.

Finding the best way to deliver these personalized learnings can present another layer of complexity. An organization’s talent can have limited time available for learning and development, especially in an organization in the throes of radical transformation. That’s why diversifying the delivery of learning content is critical to the success of L&D programs and the change efforts they direct.

“We do much more communication to employees about changes and offerings,

and we are implementing processes requiring more manager conversations.”


Internal learning offerings (created in-house)

Partnerships with educational institutions

External learning offerings purchased from a vendor

(off-the-shelf)

Custom learning offerings developed through a third-party

Reskilling parts of your workforce for business-critical positions

Partnerships with community-based organizations (office of workforce

development)

In the next two years, please indicate your plans for the following. Will each of the following decrease, increase, or stay the same?

FIGURE 10



Decrease Increase

60%9%90%6%

8% 51%3% 78%

7% 58%0% 74%

33%21%13% 61%

30%17%6% 58%

37%8%3% 56%


How does your organization deliver learning to its workforce? (Select all that apply.)

FIGURE 11

On-the-job training/learning as you work

Conferences and events

Mentoring

Traditional classroom learning/training on-site

Online content (webinars, podcasts)

Peer instruction

Online learning “modules” (often between 30 and 60 minutes)

Independent, self-selected learning opportunities

Traditional classroom learning/training off-site

Formal course work off-site through an educational institution

Online “micro-learnings” (brief instructional modules)

Online synchronous/ real-time courses

Hybrid courses (part online and part classroom)

Management games/experiential modeling/role playing

Planned reading/guided discussion groups

Flipped courses (combine brief lectures with workshops)

MOOCs (Massive Open Online Courses)

Simulator training

Coaching

Online asynchronous/ self-paced courses

86%

46%

69%

44%

67%

42%

65%

37%

62%

36%

52%

27%

12%

57%

28%

19%

50%

20%

7%

11%


Most organizations rely on a combination of delivery tactics, but organizations that embrace change have the most diverse patterns of learning delivery. They are not only more likely to leverage experiential/on-the-job training and on-line courses, but they supplement this with newer learning modalities including management games and simulator trainings (Figure 12).23

How does your organization deliver learning to its workforce? (Select all that apply.)

FIGURE 12

On-the-job training/ learn as you work 83%

Simulator training14%

5%

35%13%

Management games/experiential modeling/role-playing

21%9%

Flipped courses (combine brief lectures wtih workshops for

synthesizing information and solving problems

21%9%

MOOCs (Massive Open Online Courses)

47%23%

Online synchronous/ real-time courses

33%14%

Planned reading/guided discussion groups



95%

“Employees are encouraged to take responsibility for their career and we work with them to meet their needs. Whether it’s thousands of online resources or dozens of industry

certification and designation programs from leading associations, we ensure every employee has the opportunity to develop themselves, 24 hours a day, seven days

a week from any computer anywhere in the world, at no cost to them.”—Jill Kilroy, AVP Talent Management, Horace Mann Companies


MONITOR AND MEASURE LEARNING PROGRAMS

To ensure that learning content is aligned with changing needs, and to understand the reach and effectiveness of development opportunities and their delivery, L&D programs and initiatives need to be monitored alongside the success of the organization’s transformation efforts.

This often starts with quantifying participation rates and evaluating learning outcomes. Many of these metrics are commonly accessible through most L&D software packages or online platforms. Currently, most organizations rely on some form of learning technology to track completion of activities and offer reminders for task completion (Figure 13).

What features does your organization’s technology solution offer to deliver and manage learning and development? (Select all that apply.)

FIGURE 13

Tracks internal completion of learning elements

Tracks external credits for professional development

or continuous education

Supports social learning

Provides reminders for learning task completion

Mobile-enabled

Artificial intelligence is used to construct learning paths/agendas

Employees can personalize their learning experience

Learning paths can be customized for individual roles

60%

45%

34%

31%

24%

15%

20%

4%

Not every organization shares the same need for a technology solution. Just more than a quarter of organizations (26%) report that they do not rely on specialized technology to meet their L&D needs. But for those who do, maximizing the functionality of this technology can be important for tracking their L&D initiatives.


Items with statistical significance in response to the question: What features does your organization’s technology solution offer to deliver and manage learning and development? (Select all that apply.)

FIGURE 14



Learning paths can be customized for individual roles 27%

37%15%

Mobile-enabled

40%21%

Tracks external credits for professional development or

continuous education

28%11%

Supports social learning

56%

Because technology solutions make it easier to monitor, measure, and deliver L&D programs, the organizations that are more likely to rely on them are much more confident in their ability to demonstrate the outcomes of both learning and change initiatives (Figure 15).26

A robust technology solution does not only monitor participation in L&D programs but also assist with the learning personalization and delivery efforts that are vital to an organization’s transformation. HPOs are more likely to deploy L&D systems that help them both to deliver personalized content (Figure 14).24 They also tend to favor additional features that support diverse delivery, including mobile-enabled and social learning options.25


FIGURE 15

Our ability to analyze data to demonstrate the outcomes of our

L&D initiatives

45%15%

Our ability to analyze data to demonstrate the outcomes of our

change management initiatives



13%47%


Using an L&D technology solution yields other benefits as well. The availability of information that demonstrates learning achievement throughout the organization may encourage greater internal mobility, and in fact, HPOs are more likely to source internal talent for open positions.27 Furthermore, because these tools provide them with the metrics they need to prove the value of their programs, HPOs can make the business case for increasing their L&D budget and resources (Figure 16).28

In the next two years, please indicate your plans for the following. Will each of the following decrease, increase, or stay the same?

FIGURE 16

“What L&D can do to really proactively partner with the leadership team is to show them how you can lead a change through some very predictable steps. You’re

going to have unpredictability along the way, but you can both create a sense of urgency, momentum, and buy-in for the change effort….and then be honest with

leadership about how long it’s going to take, how hard it’s going to be.”—Pattie Grimm, Author, Trainer, Coach, and Speaker; former Global Head of Leadership

Effectiveness and Performance Management for Johnson & Johnson Surgical Division



Decrease Increase

Sourcing internal talent for open positions

L&D budget

L&D staff

Sourcing under-utilized talent pools (retirees, underemployed, long-term

unemployed, etc.)

Investments in learning technologies

Budgets for teams or individuals to use for their professional

development

52%6%78%3%

17% 35%5% 76%

10% 47%8% 74%

23% 28%8% 67%

19% 30%13% 47%

17% 27%11% 43%


The organizations that are most successful in coping with large-scale change don’t simply respond to it. They create an environment where change can be successful by driving organizational transformation through employee learning and development. They understand that it’s their people that make change happen and they work to extend opportunities for development to nurture and sustain their workforce.

Creating a more agile organization that can better predict, adopt, and create change begins with efforts to strengthen these skills and behaviors.

Integrate L&D efforts throughout HR and talent management initiatives to reinforce and maximize their impact

Extend and embed learning across the organizations to maintain consistent communication around change efforts and connect learning opportunities to emerging needs

Offer content that targets both technical and professional skills and offers interpersonal supports to sustain the adoption of new behaviors.

Provide broad exposure to change management techniques in the context of other learning and development

Emphasize leadership development for current and future leaders that enhances their ability to define strategy and respond to change.

Incorporate learnings that offer a closer look at the role of HR initiatives in successfully managing change efforts.

Offer development opportunities that promote analytics and planning skills.

Use predictive data to target areas of greatest change with L&D programs that can speed the adoption of new behaviors.

CONCLUSION AND RECOMMENDATIONS

Cultivate a Change Mindset

Make Learning and Development a Key Driver

for Change

Develop Your (Future) Leaders

Build Predictive Power


To conserve L&D resources while extending personalized learnings, incorporate content from a wide variety of both internal and external sources.

Provide learning resources and experiences through multiple delivery mechanisms to more effectively leverage the limited time available to employees, especially during change initiatives.

Track participation in L&D programs and monitor learning outcomes alongside the success of change initiatives.

Leverage analytics features of L&D technology solutions to evaluate program effectiveness and build a business case for additional support of L&D initiatives.

Monitor and Measure Learning Programs

Personalize Content and Diversify Delivery


ABOUT THE RESEARCH

Information was gathered from a combination of secondary research, survey, and interviews. Insights on transformational change, learning, and development, were offered by the following subject-matter experts:

Pattie Grimm, Author, Trainer, Coach, and Speaker; former Global Head of Leadership Effectiveness and Performance Management for Johnson & Johnson Surgical Division

Jill Kilroy, AVP Talent Management, Horace Mann Companies

Tom Tonkin, Ph.D., Senior Principal, Thought-Leadership and Advisory Services, Cornerstone OnDemand

In addition, from July 31st to September 2nd, 2019, a survey link was distributed via e-mail to opt-in members of HCI’s Survey Panel and electronic mailings. The results of this questionnaire, subject-matter expert interviews, and secondary sources form the basis of this research.

Duplicate entries and careless or partial survey responses were filtered out of the dataset, for a total of 215 respondents. Of these, 78% are headquartered in North America. Only categories describing at least 5% of the survey sample are displayed here.

Function

Human Resources 38%

Learning and Development 18%

Talent Management/Organizational Development 13%

Other 5%

Level of Responsibility

I manage my own work and contribute to teams and projects. 34%

I manage my own work and lead a team of people. 19%

I lead and am responsible for other people managers below me. 7%

I am responsible for a business unit or function. 31%

I am responsible an entire organization. 8%


Number of Employees

Fewer than 100 16%

> 100 and ≤ 500 18%

> 500 and ≤ 1,000 11%

> 1,000 and ≤ 5,000 22%

> 5,000 and ≤ 10,000 7%

> 10,000 and ≤ 50,000 15%

> 50,000 7%

Industry

Healthcare and Social Assistance 17%

Professional, Scientific and Technical Services 16%

Other Services (except Public Administration) 11%

Finance and Insurance 11%

Public Administration 10%

Manufacturing 10%

Educational Services 6%


APPENDIX Endnotes 1. The current finding confirms the result reported in Filipkowski, J. &

Heinsch, M. (2017). Talent Pulse 4.4: Developing Sustainable Strategic HR. Retrieved June 18, 2019, from http://www.hci.org/hr-research/talent-pulse-44-developing-sustainable-strategic-hr

2. Goodman, N. (2009). The Business Transformation Revolution. Training. Retrieved June 18, 2019, from https://trainingmag.com/trgmag-article/business-transformation-revolution/

3. Harvard Business School, Corporate Learning. (2018). The 2018 State of Leadership Development Meeting the Transformation Imperative. Retrieved June 18, 2019, from https://2uzkee3eob510v4rszskfx11-wpengine.netdna-ssl.com/wp-content/uploads/2018/11/20853_CL_StateOfLeadership_Report_2018_Nov2018.pdf

4. Hasty, S. et al. (2016). Succeeding in Disruptive Times. Retrieved June 18, 2019, from https://assets.kpmg/content/dam/kpmg/pdf/2016/05/global-transformation-study-2016.pdf

5. Woolnough, R. (2018). What’s the Role of HR in Successful Business Transformation? Personnel Today. Retrieved June 18, 2019, from https://www.personneltoday.com/hr/whats-the-role-of-hr-in-successful-business-transformation/

6. HCI developed an index of 15 outcomes for evaluating the relative strength and weakness of respondents’ organizations. These include seven talent outcomes (investments in training, internal mobility, employee engagement, diversity and inclusion, quality of hire, retention, and leadership bench strength) and eight critical business dimensions (large-scale change, customer satisfaction, regulatory compliance, talent attraction, innovation, profitability, growth/market share, and productivity). These inventories are composed of items with five-point rating scales. Scores from these items are aggregated to create a composite score that reflects the overall strength of each organization in terms of its performance. For this survey, 26% of respondents represent high-performing organizations (HPOs). These HPOs are diversely represented across industry and number of employees.

7. In response to “Compared to your industry competitors, how has your organization fared in the following business dimensions over the past two years?”—Large-scale strategic change (Above average or One of the Best): 72% HPO vs. 25% other. Composite response—binary HPO and change variables: (Risk 7.75, Fisher exact p < .01); HPO index score as compared to 5-scale likert response: (rs = 426, p < .01)

http://www.hci.org/hr-research/talent-pulse-44-developing-sustainable-strategic-hr

http://www.hci.org/hr-research/talent-pulse-44-developing-sustainable-strategic-hr

https://trainingmag.com/trgmag-article/business-transformation-revolution/

https://trainingmag.com/trgmag-article/business-transformation-revolution/

https://2uzkee3eob510v4rszskfx11-wpengine.netdna-ssl.com/wp-content/uploads/2018/11/20853_CL_StateOfLeadership_Report_2018_Nov2018.pdf



https://assets.kpmg/content/dam/kpmg/pdf/2016/05/global-transformation-study-2016.pdf

https://assets.kpmg/content/dam/kpmg/pdf/2016/05/global-transformation-study-2016.pdf

https://www.personneltoday.com/hr/whats-the-role-of-hr-in-successful-business-transformation/

https://www.personneltoday.com/hr/whats-the-role-of-hr-in-successful-business-transformation/


8. HPO index scores compared to response to “We drive change through people rather people through change (Somewhat and Strongly Agree).” rs = .398, p < .01

9. Talent acquisition rs = .438, p < .01; Engagement, culture, and inclusion rs = .408, p < .01; Learning and development (L&D), training rs = .432, p < .01; Compliance and legal agreements rs = .187, p < .01; Leadership development and succession planning rs = .363, p < .01; Workforce planning and analytics rs = .345, p < .01; Total rewards rs = .422, p < .01

10. rs = .398, p < .01

11. rs = .498, p < .01

12. rs = .471, p < .01

13. rs = .352, p < .01

14. Transformational changes over the past two years (z = 2.89, p < .01); Structural changes over the past two years. (z = 2.12, p = .04)

15. Our senior leaders’ ability to define strategy. rs = .427, p < .01; Our senior leaders’ ability to anticipate or respond to change. rs = .411, p < .01

16. Our senior leaders’ ability to connect the importance of human capital management to managing change. rs = .457, p < .01

17. rs = .387, p < .01

18. Personnel (changes in turnover or hiring) z = 2.52, p = .01; Workplace culture and employee engagement z = 3.36, p < .01; Reporting structures or administrative relationships between units/departments z = 2.14, p = .03; Definitions of roles and their required skills or competencies z = 3.18, p < .01; Internal workplace policies and legal agreements z = 3.84, p < .01; Operating or business z = 2.21, p = .03; Compensation and benefits practices z = 2.62, p < .01; Products and/or services z = 2.40, p = .02; Technological infrastructure (software, equipment, machines) z = 3.01, p < .01

19. Our ability to identify the skill sets or competencies needed in the next 2 to 5 years rs = .403, p < .01; Our ability to identify the critical strategic roles needed 5 years from now rs = .423, p < .01

20. rs = .396, p < .01


21. rs = .421, p < .01

22. Internal learning offerings (created in-house) X2 = 13.365, p < .01; v = .291, p < .01; Partnerships with educational institutions X2 = 7.804, p = .02; v = .241, p = .02; External learning offerings purchased from a vendor (off-the-shelf) X2 = 8.989, p = .01; v = .252, p = .01; Custom learning offerings developed through a third-party X2 = 9.704, p < .01; v = .267, p < .01

23. On-the-job training/learn as you work z = 2.01, p = .04; Online synchronous/real-time courses z = 2.99, p < .01; Management games/experiential modeling/role-playing z = 3.19, p < .01; Planned reading/guided discussion groups z = 2.74, p < .01; Flipped courses (combine brief lectures with workshops for synthesizing information and solving problems) z = 2.1, p = .04; MOOCs (Massive Open Online Courses) z = 2.1, p = .04; Simulator training z = 2.0, p = .05

24. z = 3.37, p < .01

25. Mobile-enabled z = 3.18, p < .01; Supports social learning z = 2.6, p < .01

26. Our ability to analyze data to demonstrate the outcomes of our L&D initiatives. rs = .449, p < .01; Our ability to analyze data to demonstrate the outcomes of our change management initiatives. rs = .441, p < .01

27. Sourcing internal talent for open positions X2 = 8.859, p = .01; v = .241, p = .01

28. Investments in learning technologies X2 = 8.475, p = .01; v = .237, p = .01; L&D budget X2 = 19.218, p < .01; v = .357, p < . 01; Budgets for teams or individuals to use for their professional development X2 = 20.636, p < .01; v = .366, p < .01


Cornerstone OnDemand (NASDAQ: CSOD) is pioneering solutions to help organizations realize the potential of the modern workforce. As a global leader in cloud-based learning and human capital management software, Cornerstone is designed to enable a lifetime of learning and development that is fundamental to the growth of employees and organizations. From recruitment, onboarding, training and collaboration, to performance management, compensation, succession planning, people administration and analytics, Cornerstone is there at every phase of the employee lifecycle. The company’s solutions are used by nearly 3,000 clients worldwide, spanning more than 31 million users across 191 countries and 43 languages. Learn more at www.cornerstoneondemand.com.

Human Capital Institute is the first choice for HR professionals and organizations who have decided to accelerate their journey from traditional, tactical specialists to strategic, high-impact business partners. HCI seeks to educate, empower, and validate strategic talent-management professionals to impact business results through the acquisition of insights, skills, and tools that are contextualized through research, practice, expert guidance, peer learning, and self-discovery. Visit HCI.org to learn more.

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Publication date: October 17, 2019

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