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Page 1: Getting Back to Human - EY - USfile/... · 2017-09-26 · Getting Back to Human. Maintaining our human connection in the midst of the digital era. May 16, 2017. 2 ... Millennial’s

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Getting Back to HumanMaintaining our human connection in the midst of the digital era

May 16, 2017

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More than 83,000,000 babies will be born this year.They will be born into a data economy.

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Nearly 4 exabytes (4x1018)

of new information will be created worldwide this year.

Just 1 exabyte is equivalent to DID YOU KNOW?

25 billion DVDs

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5,000 years.That’s more information than was created in the previous

DID YOU KNOW?

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It’s estimated that one week’s worth of The New York Times …

Monday Tuesday Wednesday Thursday Friday Saturday Sunday

DID YOU KNOW?

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… contains more information than the average 18th-century person could expect to encounter in a lifetime.

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doublingThe amount of new technical information is

every two years. Which means …

DID YOU KNOW?

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of what college students learn in their freshman year will be outdated by their third year of study.

50%

DID YOU KNOW?

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It’s estimated that by 2049, the computational capabilities of the entire human species …… may be exceeded by a $1,000 computer.

DID YOU KNOW?

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DID YOU KNOW?

The U.S. Department of Labor estimates that today’s learner will have 10 to 14 jobs …

by age 38. 1413121110090807060504030201

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DID YOU KNOW?

One out of four workers has been with the same company less than one year ...… and one out of two has been with the

same company less than five years.

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“Write me” “Call me” “Email me” “Text me”

DID YOU KNOW?

MillennialBoomer Gen XTraditionalist

For the first time in history, we have four generations leveraging multiple technologies simultaneously:

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… but it also createsefficiencyproductivityspeedconnectivitypredictabilitydecision supportimproved collaboration

Technology enables …anxietyoverworkisolationdistractions

DID YOU KNOW?

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On one hand, Social media interaction is the new norm,

especially for American teens ages 13 to 17.71%

52%

41%

33% 33%

24%

14% 11%

Facebook Instagram Snapchat Twitter Google+ Vine Tumblr Other

Source: pewinternet.org/2015/04/09/teens-social-media-technology-2015/

DID YOU KNOW?

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53% of participants in a recent study said that social media sites had changed their behavior ...

On the other,

DID YOU KNOW?

Source: Anxiety UK

… and 51% of those said the change had been negative.

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On one hand, On the other,9 in 10 people sleep within arm’s

reach of their mobile phones.

Source: Kensington Stress and Technology in the Workplace Survey

the primary sources of workplace stress include things like email information overload and a

constant need to “remain connected.”

87

DID YOU KNOW?

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1 out of 6 couples married in the US last year met online.

On one hand,On the other,Social media is now a

factor in 1 in 7 divorces.

DID YOU KNOW?

Source: dailymail.co.uk/news/article-3061616/Facebook-Twitter-factor-one-seven-divorces.html#ixzz45w55eb23 /

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DID YOU KNOW?

3000 Photos 47k Apps 100k Tweets

In 2013, every minute on the internet had

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The rate of technology adoption is increasing…

DID YOU KNOW?

3000Photos 47kapps 100ktweets

Constant connectivity Productivity demands Change capacity

Lost work

Decreased human contactPrivacy infringement

… yet could have far-reaching consequences.

2016: 1 min on the internet

38k Photos 194k Apps 350k Tweets

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How do we retain our human connection in the

midst of all these changes?

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403 trillionGigabytes of data per year will be created

by Internet of Things devices by 2018

2billionGlobal jobs could be

impacted as a result of technology and automation

72%of Americans have used the Gig economy

for services

31 millionNumber of contingent workers in US economy

by 2020 (1 in 5 workers)

64%of millennials say they want their job to make

the world a better place

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Rate of change and business disruption1

Source: Richard Foster, Yale University

of 2006’s Fortune 500 companies no longer exist.

50%

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“When it comes to the future of work, a late adopter is the same as out of business.” – Jacob Morgan

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Convergence and the Sharing Economy

The sharing economy has unlocked tremendous value in our economy and has disrupted a variety of industries.

Some projections put the sharing economy’s revenues at $335 billion globally by 2025

Source: Sophy Moffat, Industry Disrupted: The Sharing Economy

These industries have had to rethink the way they operate, resulting in a net benefit to the industry as well as the consumer.

Taxis Hotels Consumer Products Automotive

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A career made up of somewhat

disparate projects or roles

The changing nature of jobs3

of children entering school today will end up in jobs that do not

yet exist

Portfolio Careers

Creative problem-solving, people

management, and social intelligence will increase in value as AI matures

65%Most will have That require

“Soft Skills”

Source: World Economic Forum, The Future of Jobs Report

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4 The new connected consumer

Consumers and employees have higher expectations than ever

70% of consumers agree technology has made it easier than ever to take their business elsewhere2

2/3 of consumers say they’re likely to switch brands if they’re treated like a number instead of an individual2

56% of employees would stay with a company that emphasized their needs3

91% of Millennials say that a company’s social impact is a factor when considering which companies to work for1

f

1 Rob Asghar, Millennial’s Work Ethic is in the Eye of the Beholder2Salesforce, State of the Connected Consumer Report3Time, Top Reasons Why Americans Stay at Their Jobs

It used to be that employers selected employees, but today, employees select employers

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Companies in many industries are transitioning through technology – yet keeping a focus on people

Ford transitioned from an automotive to a technology company, declaring its employees are no long building cars, they are improving customers’ lives 1

Southwest Airlines uses data analytics to increase customer satisfaction and to improve the customer and employee experience – to have fun! 2

Alltech invests in agricultural technology start-ups with employees that understand how to innovate and apply technology to solve problems around production, distribution, food waste, nutrition, etc. 3

Hospitals use artificial intelligence and new software to diagnose diseases, giving doctors have more time to focus on patient relationship while technicians are still needed for more complex diagnoses 4

Sources:1. CA Technologies, Automotive Companies are Embracing Digital Transformation, 20162. SITA, Passenger IT Trends Survey, 2016

3. SAP, Value Creation in the Digital Agribusiness Network, 20164. MDConnect, The Consumer-Driven, Digital Disruption in Healthcare, 2015

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So what’s next?

These trends are changing nearly everythingabout employment today:

Business models How we work together

How we define and design our workspaces

Organizational design and structure

Role and job design

Where and how work is done

The way we manage people

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FWN is a component of a larger transformation ecosystem that sits at the intersection of the new talent and new HR function

Future Work Now

New Organization

Design

Thinking

New learning and change programs

New alignment of rewards programs, performance goals and career paths

New Workforce & Leadership/Talent

New Work Environment

CEO

HR IT

FinanceReal

Estate

New HR / Experience Function

Transformation Drivers

Transactions / Carve-Outs

Operational Model Redesign

Robotic Process Automation

Customer Experience

Cost Transformation

Culture Transformation

Leadership / Talent

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FWN moves quickly to designing your employee experience based on a variety of inputs, using the Readiness Index and Workshop results as frame of reference

Surveys – Uncover known needs from employees

Assessments –Discover unspoken and unconscious needs for individual and team interactions

Analytics –Understand communication and collaboration networks

Research –Apply research-based principles to identify personas

Inputs Employee Experience Map

Future Work Now

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The Future of Work Readiness Index is used to calibrate existing activities and start the engagement

Future Work Now

Get clarity on your strengths and design options to accelerate your readiness for the future of work

03

Understand your current state and desired future state across a framework of critical future work employee experiences

Begin with your leaders’ views on the forces driving change at your organization

►A digital dashboard is delivered, including (a) the context for your future of work transformation, (b) your benchmarked Future of Work Readiness Index score and (c) your prioritized design options.

►The digital dashboard can also serve as a living dashboard for progress, as you drive your design solution (e.g., ongoing employee and customer engagement and ROI metrics).

02

Begin with your leaders’ views on the forces driving change at your organization

01

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We define employee experience simply as seeing the world through the eyes of our employees, staying connected, and being aware of their major milestones. In the last year we have appointed a Head of Employee Experience and we are developing a strategy to create an employee experience which takes into account the physical environment our employees work in, the tools and technologies that enable their productivity, and learning to achieve their best at work.All of this is part of continuously evolving our HR capabilities.”

Focus On Creating A Compelling Employee Experience

- Susan PetersSenior Vice President, Human Resources at General Electric

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A renewed focus on seven core areas can positively impact the employee experience:

Mind ClarityManaging stress and technology overload

Physical EnvironmentDesigning physical space to reinforce collaboration and accommodate employees

PurposeBecoming purpose-driven toinspire employees to innovate

LeadershipIdentifying and training the next generation of leaders for the digital age

Teaming AbilityDriving for innovation through more effective collaboration, teaming and diversity

Performance & RewardsRecognizing the need for flexible systems and structures

Technology ExperienceFacilitating collaboration and interaction across boundaries and borders

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In a survey of 200,000 job-seekers, the top four job preferences all revolved around culture:

1. Being appreciated for your work

2. Having good relationships with colleagues

3. Having a good work-life balance

4. Having a good relationship with the boss

An attractive, fixed salary came in eighth.Source: TED Talk (October 2014), Rainer Strack: The workforce crisis of 2030 — and how to solve it

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Purpose

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LeadershipEmbracing Disruption

Mind Clarity

Resilience

Super Connector

Culturally Connected Intellectual

Innovation

Balancing Technology & Human

Virtual Leadership

360° thinking

Inspiration

Empathy

Leading With Purpose

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74% of millennials prefer to collaborate in

small groups1

Teaming

Relationship accelerators

Measurement and feedback

Team models Role identification

What are the rules of the game and how do we enforce them?

How do I establish my value?

Who am I on this team?

How are we pushing ourselves to be better?

38%of millennials feel that outdated collaboration processes hinder their company's innovation2

1Forbes 10 Ways Millennial’s Are Creating the Future of Work 2Forbes, Why Millennials Don’t Want to Work For You

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Mind ClarityA Mindfulness program:

60%of Americans report

experiencing emotional symptoms

of stress2 clarity and focus mental agility

foresight to make better decisions

present compassionate connected

of companies have mindfulness

training programs already in place3

plan to add a mindfulness

training component in 20173

22%

21%

3National Business Group on Health1Harvard College2American Psychological Association, Stress in America

1) Enables people to cultivate a mental state of

2) Equips people with an improved ability to be

with other people.

$190bnAdditional healthcare

costs created annually as a result of workplace stress1

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Performance Management

1.8xMore likely to be in top third of

financial performers

1% to 20%Increase in customer retention,

revenue and engagement

14xMore likely to have high-

leadership strength

Source: Bob Rogers, “Performance Rankings are Immoral,” DDI website, 13 November 2015.

The new performance management systems:

Removal of performance ratings

Increased feedback

Coaches vs managers

The art of the check-in

Continuous/immediate feedback

360-degree feedback

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► Pay for sleep – Aetna provides compensation to employees who are able to highlight that they regularly receive enough sleep1

► REI encourages its employees to get outside by offering two paid days off a year (called “Yay Days”) to enjoy their

favorite outside activity3

Time offHealth

VolunteerInnovation

New Types of Rewards

01 02

03 04

Rewards

► Salesforce employees receive six days of paid volunteer time

► Researchers at 3M can spend 15% of their time exploring new ideas in whatever way they like, while playing ping pong, going for a walk or lying on a couch2

off a year, as well as $1,000 a year to donate to a charity of their choice3

1CNBC, Why Aetna’s CEO Pays Workers to Sleep2Harvard Business Review, Best Practices for Leading Via Innovation

3Entrepreneur, 10 Examples of Companies With Fantastic Cultures

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Technology Experience

2 Design to improve the employee experience

3 Expect employee behavior to lag adoption

1 Observe employees like you do your customers

60% of people would choose a device

other than a laptop for both work and personal use1

70% of employees feel IT decision

makers do not take their opinions into consideration when selecting

business technology1

1Cisco, Connected Technology Reports

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Air quality

Nourishment

Light

Fitness

Program ElementsWhat determines the state of your

health?

40%

15%

15%

30%

You control 70% of your well-being

Physical and social

Genetics

Medical

Lifestyle and behavior

Physical Environment

“Workspaces remind staff that they are choosing not just an employer, but a way of life”

Reducing footprint

Flexible working

Purpose-built spaces

Collision spaces

Biophilia

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Any one of these levers provides value – however the integration of all can redefine the employee value proposition

Harnessing technology to create persona-based experiences to influence engagement, adoption and productivity

Collective Purpose

Mind clarity

Global digital leadership

Teaming ability

Physical environment

Technology experience

Performance and rewards

Creating synergy between people’s work experience and physical environment

Identifying and developing new competencies necessary to effectively lead in the digital age

Understanding role and team fit in an effort to customize techniques by employee type and maximize overall performance

Helping employees bring their best self to work by increasing individual mindfulness and removing internal stressors in response to external stimuli

Identifying an aspirational reason for being, serving as the backbone of the FWN experience

Setting the ideal motivations and rewards to create an inspired individual, team and organization

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These levers complement the traditional elements of the corporate operating model.

BusinessModel

Operating model

Operating environment

Strategy

Structure

Process

Technology

Governance

PurposeCollectivepurpose

Leadership/Talent

Global digital leadership

TeamabilityTeaming ability

Mind ClarityMind clarity

Performance& Rewards

Performance and rewards

Employee Experience

Tech experience

Real EstatePhysical environment

Running the company

Creating the experience

Being the best run company is not the same as being the best company to work for.

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With such a heavy emphasis on technology, research into high performing companies suggests “getting back to human” can be a competitive edge

Future Work Now

Sources:1. The Energy Project, What Is Your Quality of Life at Work, 20132. Edelman, The goodpurpose study, 2013

3. Raj Sisodia, Firms of Endearment, 20074. Havas, Meaningful Brands Index, 2013

Get (and keep) the best employees Attract, retain and engage customers Increase returns for shareholders

Of clients believe a purpose-driven company will

deliver the highest quality products/services

89 %

Of global consumers would recommend a

company with a purpose, a 39% increase from 20082

72 %

Purpose-led companies outperformed the S&P 500 by

10 times between 1996 and 20113

$10x

‘Meaningful brands’ connected to human well-being outperformed the

stock market by 120% in 20134

$120%

1.4 times more engaged and 1.7 times more satisfied1

1.4x

3 times more likely to stay1

3 x

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“We can’t solve our problems with the same thinking we used when

we created them.”

Albert Einstein