Cem.cefa.graz.2011.generation based staff development

CEM – Cefa Graz 17.11.2011

Britta Holert

Generation-based staff development

as a profit impact

on Human Resource Portfolio optimization

Table of Contents

1. Introduction

2. Staff Development

Definition

Components

Limits

Competence-Fields

Determinants of Human Behaviour

Types of Staff Development

Generational Approach

Learning Curve

Development Requirements

Human Resource Portfolio

Identification of Training Needs

Methods of Staff Development

3. Goals and Trade-offs

4. Staff Development Controlling

5. Conclusion & Knowledge-Profit

CEM – Cefa - 2011 Dipl.oec. Britta Holert 2

1.Introduction

"It is not enough to teach a man a specialty.

Through it he may become a kind of useful machine, but not a valuable personality.

It is essential to acquire an understanding of and a lively feeling for values.

He must acquire a vivid sense of the beautiful and of the morally good....

He must learn to understand the motives of human beings,

their illusions and their sufferings,

in order to acquire a proper relationship to individual fellow men

and to the community.” (Albert Einstein)


1.Introduction

The quotations validity is

continuous

• Numerous studies have confirmed - what most of employers and managers already know - an investment in the professional development of employees enhances employee satisfaction and emotional retention.

Employee satisfaction and

emotional retention

• Employee satisfaction is an important driver of customer satisfaction.

• Emotional retention correlates with:

• Motivation and engagement & innovation

• Loyalty & absenteeism

• Workplace change & internal termination of employment


Production factor labour/knowledge is expensive

Optimal use necessary

Development of potential needed

Prevention of deskilling

Technical progress and structural transformation changing job descriptions and requirements:

50% of the employees are affected per decade of major change

Half-life knowledge decreases steadily

Growing competition:

Products are increasingly homogeneous

Service quality generates customer satisfaction

Service quality correlates with employee satisfaction

Dipl.oec. Britta Holert 5

1. Introduction Additional reasons for the importants of staff development:

CEM – Cefa - 2011

1. Introduction Requirement for Companies and Employees


Knowledge-

intensification

Increasing

innovation

pace

Demographic

change

Company

competitive factor:

Competent & powerful employees

Employees

workability & employability

up to retirement

Staff & organizational

development

Health & competence during

their whole work life

REQUIREMENTS GOALS

1. Introduction Employability


Competence

Health

Ability to learn

Integration

Self-management

Responsibility

Common responsibility employability

Future viability today & tomorrow

1. Introduction Aging companies must cope with increasing requirements


Labour market:

Availability

of qualified

junior employees

External requirements:

Globalization

Knowledge as production factor

Acceleration & flexibilization

Movement in the services sector

Necessary internal resources:

Competence & health

Motivation & mutability

Innovation culture

Market:

Aging customers

Changing customer needs

average age

1. Introduction Summarized Goals

Competence

Employee satisfaction

Emotional retention

Employability

Humanization of work

Work-life-balance

Life-long learning

Intergenerational learning

Mutability

Withstand market pressure

Change ability

Profitability

Innovations

Learning organization

Competitiveness

Optimal utilization of human capital

Balanced age structure


2. Staff Development - Definition

Staff development is the aggregate of all employee-related measures in companies

They serve to qualify the employees taking account to their individual talent, professional inclinations and interests

Staff development is supposed to educate and train employees in all competence-fields

The key objective is to strengthen strengths and to weaken weaknesses

Staff development should be strategically, proactive and long-term oriented to secure the future of a company


2.Staff Development - Components


Know-

ledge

•Theoretical component

•Linking of information

•The more information needed to create knowledge the learning process takes exponentially more time

•It is efficient to create knowledge with minimal information (ability to interpolate information-lags)

Com-

petence

•Practical component

•When knowledge is created, it should be converted to capability “Just in time”

•Otherwise the knowledge gets lost

Behaviour

•Behaviour arises by embossing and socialization

•It is difficult to change but it can be improved if there are basics

•Adequate behaviour is turning into a “must have”

2. Staff Development – Limits

Knowledge-transfer

is limited

• by talent, intuition and experience

• by the ability to learn

• by motivation and willingness to learn

Competence-transfer

is limited

• by the ability of triple loop learning (learning without having the own experience)

• by the ability of reflective learning

Behaviour-transfer

is limited

• by embossing features, socialization, perception and values

• by the willingness to change


2.Staff Development - Competence-Fields

•Basic and special vocational knowledge

•Advanced professional skills

Professional competence

•The ability to organize work efficiently

•The ability to work efficiently in a team

Methodological

competence

•The ability for efficient interpersonal interaction

•Conflict solving, communication, empathy team capability, etc.

Self-competence

•Intrinsic motivation, ability to learn, willingness to learn, own initiative, positive thinking

•Responsibility, reliability, stress-resistance, innovation-readiness, etc.

Leading-competence

•Social- & self-competence, social intelligence, self- reflection, being a role model

•Decision-making ability, assessment & team-development capability, etc.

Social competence


2. Staff Development - Competence-Fields


Leading-competence

Professional competence

Social competence

Self-competence

Methodological

competence

The competence portfolio

has to be balanced

Staff development should

take care of that

Especially important is

to sustain the

learning ability &

willingness

but the

operational

circumstances

also must fit

The organizational structure &

and the leadership capacity

influences the development

success significantly

2. Staff Development- Determinants of Human Behaviour

15 Dipl.oec. Britta Holert CEM – Cefa - 2011

Behaviour

behavioural performance

...social behaviour

...absenteeism behaviour

...innovation behaviour

Individual

competence

…individual attainments

...skills

Individual

motivation

…expectation

...needs

Social

permission

...leadership

...culture

Objective

possibility

…technology

...organization

2. Staff Development- Determinants of Human Behaviour

16 Dipl.oec. Britta Holert CEM – Cefa - 2011

Competence

Motivation

P

Permission

Possibility

“walk your talk”

Have efficient leadership-competence

Be technologically up to date

Build-up an efficient organisation-structure

Respect the individual expectations and needs of

your employees

Do not deactivate intrinsic motivation of your

employees inactive

Make sure that your employees adapt the change

Activate the potential of your employees

2. Staff Development - Types of Staff Development

• Basic vocational training (stable)

• Special vocational training (variable)

• GEN Y & Z

Vocational education

• Adaptive (horizontally)development -> all GEN’s but especially GEN BB and X

• Advanced (vertical) development -> GEN X&Y In-service training

• Languages, PC-knowledge, social skills

• Intercultural competence, general knowledge, methodological competence

• GEN Y, X & Z

Supplementary

education

• New basic vocational training, because the old profession is no longer needed

• Change of economical structure

• GEN BB & X

Changing

professional

education


2.Staff Development - Types of Staff Development

• Junior procurement

• Taking account of the development of need structures relative to the generations Y and Z and the demographic trends

Vocational education

• Employability-> all GEN’s but especially

• GEN BB and X

• Employee-retention> especially GEN Y In-service training

• Employability-> all GEN’s but especially

• GEN Y, X & Z Supplementary

education

• To master structural change

• Retraining for a part of the workforce

• GEN BB & X

Changing

professional

education


2.Staff Development - Generation-based


Employee surveys

for options & functions

Analyze results

Communicate findings

Set priorities & action plans

Communicate action plans

Take action & communicate results

Generations have common embossed features, specific need- structures, learning behaviour and experience. These parameters have to be identified in order to develop a staff-development concept.

Generation 68 War children until the early-50s Have initiated the social change Baby-boomers Early-50s up to the mid-60s Large cohorts, who had to live with competition early on Generation X Mid-60s up to the end of the 70s

Carry the protective posture of their education through life Generation Y End of the 70s up to the early 90s Breaking labour market rules Generation Z Early 90s up to ? Live change self-evident


2.Staff Development - Generation-based

2. Staff Development - Generation-based

Staff development should be based on following findings:

• Each generation has common embossed features, which shape the learning behaviour

• The learning elasticity is decreasing over a lifetime, which means that the possible learning amount per time unit is getting smaller

• The goal is to use the potential of all age classes

• Intergenerational learning creates added value

• A balanced age structure is a strategic target

• Different age groups have other learning possibilities and needs



•Aged persons have a lot of experience

•This is an advantage, if the experience is valid new knowledge can be added on

•This is a disadvantage, if the experience is not valid anymore it has to be deleted > “unlearn” and new knowledge must be learned

•They are used to storage knowledge for a lifetime

•They have to learn to filter information adequate to the situation

•The decrease of the learn elasticity demands increasing time to adapt the change in requirements

•They need their learning capacity to adapt change

•Time to convert knowledge by exercising into competence is increasing (compare to “learning how to drive”)

•Residue potential for advanced education decreases (compare to “cash cow”)

•Increasing differences in performance and learningability depend on the living situation

Aged employees



•Young persons just make experience

•This is an advantage, if the knowledge is new since invalid brain links not have to be deleted

•This is a disadvantage, if the old knowledge is valid since the learning process is time-consuming

•There is a great amount of valid knowledge young people have to learn in addition to the rapidly increasing new knowledge

•By a high learn elasticity the time needed to adapt changing requirement is short

•There is learning capacity left for advanced knowledge

•Time to convert knowledge by exercising into competence is short(compare to “learning how to drive”)

•They are used to pick up knowledge if needed to solve a problem “just in time”

•Residue potential for advanced education is big (compare to “grower”)

Young employees



68th BB GEN X GEN Y GEN Z

very young

young

middle

older

old


Past

Future

time

Age wave -> Aging-workforce

Present

Retirement

2. Staff Development – Learning Curve SD = Staff Development


25 35 45

adaptive (horizontally) SDt

deskilling

personal limit

advanced (

vert

ical)

SD

t

2. Staff Development – Learning Curve Conclusion

Let them climb “the mountain” as long as they are

powerful and energetic enough to improve their competence

Encourage them to climb as high as possible

(Pygmalion effect)

Later, they can walk straight ahead on a level highest possible

using all their experience and competence

Optimal utilization of the workforce

uses the potential of all age groups perfectly

This is of important since knowledge workers

in the service sector have a big share of the value chain

Hence, unused potential is very expensive


2. Staff Development – Development Requirements

Job Design (optimization of matching)

Assignment-control

Identification

of the potential

Identification of the

learn-elasticity

Fault-tolerance

Trust-culture

Incentive-systems


wise advisers

experienced

employee

top-stars

stars

low performer

high potentials

growers

Perf

orm

ance

Potential

2. Staff Development – Development Requirements Job Design (optimization of

matchung)

Assignment-control

Identification

of the potential

Identification of the learning-elasticity

Fault-tolerance

Trust-culture

Incentive-systems

job description

“must have” (ad rem)

needs of the workplace

MbO

“nice to have” (ad personam)

individual goal for a period of time to activate potential


MbO

job description

MbO

job description

MbO

job description

MbO

job description



Assignment-control

Identification

of the potential

Identification of the learn-elasticity

Fault-tolerance

Trust-culture

Incentive-systems


deskilling

personal Limit

a

dva

nce

d (

ve

rtic

al) S

Dt

adaptive (horizontally) SDt

25 35 45

Use evaluation to locate the person on the curve

The Correlation with the age is conditional



Assignment-control

Identification

of the potential

Identification of the learning-elasticity

Fault-tolerance

Trust-culture

Incentive-systems

•Temporary concentration on important tasks

Assignment-control

•People mostly learn by making mistakes

•Need to be innovative

Fault-tolerance

•Reliability fosters trust

•“walk your talk”

Trust-culture

•They have to fit to the need structure of your workforce

•Cafeteria systems

Incentive-systems


2. Staff Development - Human Resource Portfolio


Suitable for current tasks

Well suitable for current and

expandable tasks

Conditionally suitable for current

tasks

Suitable for expandable tasks

Potential for future competence requirements and tasks

Fulfillment of the current strategic competence requirements and tasks

switcher

high performer

low performer

basic performer

top performer

high potentials

down-grading

performer

incapable

performer

wise adviser

Target-groups of development:

Typ 1: Low performer up to incapable performer

Typ 2: Growers – switcher up to high potentials

Typ 3: Stars – high performer up to top performer

Typ 4: Experienced employees – basic performer up to

downgrading performer or wise advisers

The employees have to be classified along:

Performance evaluation (all competence fields)

Eligibility diagnosis (potential and learning elasticity)

Employee survey with respect to options and perceptions

Reflection of the age and health

to find out the individually adequate way of staff development



2. Staff Development - Human Resource Portfolio Adopting treatment of employees to their type


•Low performer with no ability to learn

•Internal termination

•Try to show that input gives output

•Otherwise let them go

• A lot of potential

• Above average learning ability and speed

• A challenge is needed to prevent boredom and leaving

• They have to improve their performance

• Very good performance and additional potential

• Above average learning ability and speed

• A challenge is needed to prevent boredom and .leaving

•Decreasing adaptation capability

•Find the right way to make them able to learn again

•Otherwise they suffer from a burn out

degrading performer

top performer

high

potential

incapable

performer



Typ 4

- Adaptive training to prevent deskilling

- Use of experience

- Training to gain the ability to “unlearn” invalid knowledge

Typ 3

- Adaptive training to prevent deskilling

- Advanced training for vertical development

Typ 1

- Training on the job step by step

- Classical instruction

Typ 2

- Possibility to convert knowledge into competence

- Advanced training for vertical development

Potential for future competence

requirements and tasks

Fu

lfill

me

nt o

f th

e c

urr

en

t str

ate

gic

com

pete

nce r

equirem

ents

and tasks

2. Staff Development - Identification of Training Needs

Job design

Job description & MbO “Potential activation”

Education & training needs

Performance evaluation & eligibility diagnosis

Potential analysis “Internal potential”

Analysis of the learning elasticity

Expert survey/scenario

Labour market analysis “Make or by“decision

External qualification requirements

Corporate strategy

Internal requirement analysis “Needs”

Internal qualification requirements planning


2. Staff Development - Identification of Training Needs

Company needs

new technology new products

new markets

expansion of production

Employee needs

qualification gaps

converting qualification into

competence

activating potential personal evolution

development

Methods

performance evaluation

observation

eligibility diagnosis

assessments

employee surveys


2. Staff Development - Methods of Staff Development

Type of SD

organizer

Internal organizer

External organizer

On-the job

“learning by doing” training

X

Off-the-job

internal education

external education

Near-the-job

internal training

external training

Into-the job

vertical internal

education & training

vertical external

education


2. Staff Development - Methods of Staff Development


•Step by step job enrichment

•Qualifying & training

•Internal & external

•Training in simulated working places

•Competence


•Knowledge transfer

•Education

•Qualifying


•Classical instruction

•Training

•Competence

•Internal

On-the-job

Off-the-job

Into-the-job

Near-the-job

2. Staff Development - Methods of Staff Development Target-

groups

Incapable performer

Low performer

Switcher

High potentials

High performer

Top performer

Wise advisers

Basic performer

Degrading performer


methods

termination

classical instruction, training on the job step by step

education, training, instructive conversation, “blended learning”, mentoring, coaching, assistantship, etc

aforementioned, job rotation & loading, “problem-based learning”, etc.

mentoring, workshop, delegation, coaching, etc.

workshop, delegation, coaching, “problem-based learning” etc.

self-development

adaptive education & training, mentoring

aforementioned, training to learn & unlearn, memory training

3. Goals and Trade-offs

Company goals

ensure the future production

competitiveness

learning organisation

ensuring procurement

employee retention return on invest

Workforce goals

market-value preservation

ensuring the existence

lifelong learning self-development inter-company

mobility

Goal conflicts

inter-company mobility enhances using opportunities

ROI requires ensuring retention


3. Goals and Trade-offs Especially young well educated people have good opportunities

Generally well educated & trained employees are in demand

Retention is important in order to have a ROI

without development many will leave anyway, with development

some leave if they are not satisfied or have better opportunities

others will stay but terminate internally which means they do not work

efficiently and are not innovative

Aged employees

have more loyalty and prefer a secure working-place

by sustaining their workability and learning-ability, training their mind, and using their experience, an innovative future can be lived with them

without development they will be deskilled soon and loose their motivation

Goal

employee satisfaction and emotional retention for customer

satisfaction and profitability



Cost controlling

budget in relation to spent funds

spent funds in relation to added value

Result controlling

Satisfaction-success

- satisfaction with methods

- presumed benefits

Learning-success

-knowledge-testing

- employee survey

Transfer-success

-employee & leader survey

- performance evaluation

Profit impact

-review of financial results

- customer survey


Dipl.oec. Britta Holert 43


Cybernetic loop

Development strategy, goal-state-

comparison, ideas, decisions of

the management

Stimulus

Goal

Planning

Decision

Actions

Controlling Correction

CEM – Cefa - 2011

5. Conclusion & Findings Staff

development has a long-term impact on overall business performance

•find out by understanding the future, which job requirement are needed

•employability Management 2.0 means to interact with the employees

Future will be different, therefore, experience is not enough; insight is requested

•changing market parameters

•aging workforce

•there are less younger people

• innovation with the aging workforce

“Nothing is more unjust than equal treatment of unequal”

•therefore you can not create a staff development concept which treats all employees the same

Service quality depends on staff quality and customer satisfaction depends on service

•profitability correlates with the customer satisfaction

• learning is a state

•staff development does not have to be expensive



Thank you for your Attention!

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Cem.cefa.graz.2011.generation based staff development