strategic skills management in a vuca world

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VOLATILE

UNCERTAIN

COMPLEX

AMBIGUOUS

Global ageing

(Speed of) technological innovation

Knowledge economy

Global rebalancing of strategic assets Population Water and energy Personal wealth and consumer spending

Social and economical rise of women

Value shift Individual empowerment Work-life balance Social responsibility Indulgence over restraint

Value creation models Peer-to-peer business models Sharing economy

Organizational architectures

Management paradigms

Nature of work Jobs Career patterns

Work-life integration (or amalgamation?)

Growing inequality

63%

40% 40%

24%

.de .cn .br .us

30-50% of the working age

population is inactive, unemployed or working part-time…

…yet large shares of employers say they can’t fill positions

Source: McKinsey Global Institute (June 2015). A Labour Market That Works: Connecting Talent With Opportunity in the Digital Age

The average “half-life” of a skill contracted approximately five times in the course of a few decades.

½

½

15 years

3 years

1975

2015

Nikolai Kondratiev 1892-1938

% who agree that youth are adequately prepared for the workforce

Less than half of employers and young people believe graduates are adequately prepared…

…in sharp contrast to what educational providers believe.

42% employers

45% youth

72% providers

A third or more of employers believe new hires do not measure up in terms of skills, while educational providers rate students more highly

Source: McKinsey Center for Government (December 2012). Education to

employment: Designing a system that works (online infographic)

Teamwork

Spoken communications

Hand-on training in skill

Written communications

Problem solving

Selected skills, in order of importance to employers Share who rate youth as competent (%)

Employers Providers

0 10 20 30 40 50 60 70 80 90 100

Source: McKinsey Center for Government (December 2012). Education to employment: Designing a system that works (online infographic)

(a) We´re using the wrong method

(b) It’s not easy!

What were you expected to achieve?

How much did you do?

What gaps were there?

What will you have to achieve?

How much can you do now?

Where will the gaps be?

─ Ney, our infantry has been performing disappointingly against the Brits along that ridge. I want you to kick their butts and send them up there again to beat the hell off those bloody redcoats once and for all!

─ But Sire, the Prussian cavalry are coming in on our right! Shouldn’t we send the infantry to make a stand against them before they outflank us?!

─ No, no, no. Let’s deal with the performance gaps first. Move the infantry back up that slope, I told you! And send the Old Guard on their heels. I bet that will improve their attacking skills!

SKILLS BASE

Advanced statistics

CORE CAPABILITY

Big Data Analytics

COMPETITIVE ADVANTAGE

Superior predictive modelling

BUY

or

DEVELOP

Year Year-1 Year-2

Execution challenges (Year+n): just-in-time skill acquisition, ‘pull’ better than ‘push’

Individual actors

Collaborative groups

Leve

l of

inte

rdep

ence

COLLABORATION MODE Improvisational work

Highly reliant on deep expertise across functions

Dependent on fluid deployment of flexible teams

INTEGRATION MODE Systematic, repeatable work Reliant on formal processes,

methodologies or standards Dependent on tight integration

across functional boundaries

Routine Interpretation / judgement

Complexity of work

EXPERT MODE Judgement oriented work

Highly reliant on individual expertise and experience

Dependent on star performance

TRANSACTION MODE Routine work Reliant on formal rules,

procedures and training Dependent on low-discretion

workforce or information

Automation and A.I. are taking over all tasks but the most complex and interdependent ones. The remit of humans will be reduced to a narrower but more demanding skillset.

Source: Davenport, T. (2005). Thinking for a Living: How to get better performance and results from knowlegde

workers. Boston, MA: Harvard Business School Press

Business & Technical Fast and continuous change Require permanent forecasting Just-in-time

Interpersonal Work is becoming

increasingly project- and team-oriented

Virtual teams, remote interaction

Intercultural context

Outer personal

Iniciative, positive outlook, ambition, information processing…

Inner personal Self-knowledge, self-

criticism, learning, decision making, risk taking, emotional resilience…

Adapted from Cardona P. and García-Lombardía, P. (2005). Como desarrollar las competencias de liderazgo.

Pamplona: EUNSA

These two take a much longer time and far more effort to develop…

“For every job, though, the No. 1 thing we look for is general cognitive ability, and it’s not I.Q. It’s learning ability. It’s the ability to process on the fly. It’s the ability to pull together disparate bits of information.”

− Laszlo Bock, Senior VP of People Operations, Google

“Ultimately, our ability to continuously learn and adapt will determine the extent to which we thrive in today’s turbulent times.”

− Center for Creative Leadership

Source: CCL and Columbia University (2012). Learning About Learning Agility: A White Paper

Innovating Defending

Performing

Reflecting

Risking

4 ENABLERS 1 DERAILER

(IRRELEVANT)

“CREATIVE DESTRUCTION”

OF SURPLUS:

retrain / rotate / outplace

BUY

RETAIN & DEPLOY

TRACK & ATTRACT

DEVELOP

Own resources

scarce

abundant

Declining Growing Importance for business strategy

immediate medium to long term

“The company helps transform the employee’s career and the employee helps transform the

company”

INDIVIDUAL INTERESTS

“I’d like to work and gain experience

on business analytics, because I believe this will be a valuable skill

in the future.”

COMPANY INTERESTS

“We have an issue with changing customer behaviour patterns. We need to understand them better.”

TOUR OF DUTY

Study the issue and recommend

the solution.

Type of tour

(rotational, transformational, foundational)

Measurable outcome

for company

1

4

Mission objective

Measurable outcome

for employee

2

5

Tour duration

Next steps

3

6

Source: Masie Alliance. The Alliance: transforming careeres at LinekdIn

Source: Wharton Folly: A Playground of Lifelong Learning

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