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Career Development

Introduction

• Restructuring of organizations makes it essential that companies reconsider the concepts of career and career management in order to retain and motivate employees.

• Companies successful at managing employee growth that accompanies business expansion emphasize that employees are to be responsible for career management.

Introduction (continued)

• These companies do provide resources supporting careers such as development opportunities, mentoring, and training managers in how to coach employees.

• A major challenge is how to balance advancing current employees’ careers with simultaneously attracting and acquiring employees with new skills.

Top 15 Retention Drivers

Retention Items %

1. Exciting work & challenge 48.4

2. Career Growth, Learning & Development 42.6

3. Working with great people & relationships 41.8

4. Fair pay 31.8

5. Supportive management/great boss 25.1

6. Being recognized, valued & respected 23.0

7. Benefits 22.0

8. Meaningful work, making a difference & contribution 17.0

9. Pride in organization, its mission & product 16.5

10. Great work environment / culture 16.0

11. Flexibility 13.6

12. Autonomy, creativity and a sense of control 12.6

13. Job security & stability 10.5

14. Location 10.3

15. Diverse, changing work assignments 7.7

Source: Career Systems International, 2005

Other Research

Retention Items

1. Career growth, learning and development

2. Exciting work and challenge

3. Meaningful work, making a difference and a contribution

4. Great people

5. Being part of a team

6. Good boss

7. Recognition for work well done

8. Fun on the job

9. Autonomy, sense of control over work

10. Flexibility – for example, in work hours and dress code

11. Fair pay and benefits

12. Inspiring leadership

13. Pride in organization, its mission and quality of product

14. Great work environment

15. Location

Source: Love ‘Em or Lose ‘Em, 1999

Purpose of Human Resource Management

Human Resource Management -involves attracting, developing, and maintaining a quality workforce.

Basic Responsibilities of Human Resource Management

1. Attract a quality workforce—human resource planning, recruitment, and selection.

2. Develop a quality workforce—employee orientation, training, performance appraisal.

3. Maintain a quality workforce—retention and career development.

Linking Strategic Planning and Human Resources

Step One: Mission, Vision, and Values

• Mission– The basic purpose of the organization as well as its scope of

operations

• Strategic Vision– A statement about where the company is going and what it can

become in the future; clarifies the long-term direction of the company and its strategic intent

• Core Values– The strong and enduring beliefs and principles that the company

uses as a foundation for its decisions

Step Two: Environmental Scanning

The systematic monitoring of the major external forces influencing the organization.

1. Economic factors: general and regional conditions

2. Competitive trends: new processes, services, and innovations

3. Technological changes: robotics and office automation

4. Political and legislative issues: laws and administrative rulings

5. Social concerns: child care and educational priorities

6. Demographic trends: age, composition,andliteracy

Five Forces Framework

Step Three: Internal Analysis

Composition

Culture Competencies

Internal Analysis

Scanning the Internal Environment

Cultural Audits -Audits of the culture and quality of work life in an organization.

How do employees spend their time?

How do they interact with each other?

Are employees empowered?

What is the predominant leadership style of managers?

How do employees advance within the organization ?

Competitive Advantage through People

• Core Competencies– Integrated knowledge sets within an

organization that distinguish it from its competitors and deliver value to customers.

• Sustained competitive advantage through people is achieved if these human resources:1. Are valuable.2. Are rare and unavailable to

competitors.3. Are difficult to imitate.4. Are organized for synergy.

Composition: The Human Capital Architecture

• Core knowledge workers

– Employees who have firm-specific skills that are directly linked to the company’s strategy.

• Example: Senior software programmer

• Traditional job-based employees

– Employees with skills to perform a predefined job that are quite valuable to a company, but not unique.

• Example: Security guard

Composition: The Human Capital Architecture (cont’d)• Contract labor

– Employees whose skills are of less strategic value and generally available to all firms.

• Example: General electrician

• Alliance/partners

– Individuals and groups with unique skills, but those skills are not directly related to a company’s core strategy.

• Example: Independent product label designer

Human Resource Practices• Human resource planning is the process of analyzing staffing needs and

identifying actions that should be taken to satisfy them over time.

Traditional Versus Career Development Focus

Source: Adapted from Fred L. Otte and Peggy G. Hutcheson, Helping Employees Manage Careers (Upper Saddle River, NJ: Prentice Hall, 1992), p. 10.

HR is growing in importance, if…

…we envision and manage HR as a business

Human Capital Strategy to Achievethe Enterprise Strategy

Dependable HR Controls

HighPerformance

Talent

HighPerformanceOrganization

CompetitiveHR

Services

Human Capital Strategy to Achievethe Enterprise Strategy

Dependable HR Controls

HighPerformance

Talent

HighPerformanceOrganization

CompetitiveHR

Services

Enterprise Strategyand Objectives

Financial Markets

Returns in excess of

alternatives

Financial Markets

Returns in excess of

alternatives

Public Policy and

Reputation

Conformity with

expectations

Public Policy and

Reputation

Conformity with

expectations

Talent Markets

Employer of choice –

Employees of choice

Talent Markets

Employer of choice –

Employees of choice

Consumer Markets

Value delivery better than

competitors

Consumer Markets

Value delivery better than

competitorsWhat Business is HR In?

Performance Appraisals

• Performance Appraisal

– The process of formally evaluating performance and feedback to an employee

Two Purposes of Performance Appraisal1. Evaluation—document and let people know how well they are

doing; judgmental role. 2. Development—identify how training and support can improve

performance; counseling role.

Retention And Career Development

• Career Development– Manages how a person

grows and progresses in their career

• Career Planning– The process of managing

career goals and individual capabilities with opportunities for their fulfillment

Career and Health

• High levels of career uncertainty and occupational dissatisfaction are positively correlated with high levels of psychological and physical distress (Herr, 1989).

• High levels of unemployment are associated with increased rates of chemical dependency, interpersonal violence, suicide, criminal activity, and admissions to psychiatric facilities (Herr, Cramer, & Niles, 2004).

The Basics of Career Management

• Career– The occupational positions a person

has had over many years.

• Career management– The process for enabling employees

to better understand and develop their career skills and interests, and to use these skills and interests more effectively.

• Career development– The lifelong series of activities that

contribute to a person’s career exploration, establishment, success, and fulfillment.

The Basics of Career Management

• Career planning– The deliberate process through

which someone becomes aware of personal skills, interests, knowledge, motivations, and other characteristics; and establishes action plans to attain specific goals.

• Careers today– Careers are no simple progressions

of employment in one or two firms with a single profession.

– Employees now want to exchange performance for training, learning, and development that keep them marketable.

26

The Meaning of “WORK”

“Work is undeniably one of the most essential of all human activities. For a start,

it is the basis of economic survival of individuals… and society. Beyond this, an individual’s job structures much of her or

his time and, one hopes, provides a source of personal fulfillment. An occupation also

shapes one’s identity and, in the eyes of others, largely determines an individual’s

status or position in society”

Work, Industry, and Canadian Society, Krahn& Lowe. 1996

Why Is Career Management Important?

From the company’s perspective, the failure to motivate employees to plan their careers can result in:

– A shortage of employees to fill open positions– Lower employee commitment– Inappropriate use of monies allocated for training

and development programs

Why Is Career Management Important?(continued)

• From the employees’ perspective, lack of career management can result in:– Frustration– Feelings of not being valued

by the company– Being unable to find suitable

employment should a job change be necessary due to mergers, acquisitions, restructuring, or downsizing.

Career Management and Career Motivation

• Career motivation refers to:– Employees’ energy to invest in their

careers– Their awareness of the direction

they want their careers to take– The ability to maintain energy and

direction despite barriers they may encounter

• Career motivation has three aspects:– Career resilience– Career insight– Career identity

The Value of Career Motivation

Components of Career Motivation

Career Resilience Company Value

• Innovation

• Employees adapting to unexpected changes

• Commitment to Company

• Pride in Work

Employee Value

• Be aware of skill strengths and weaknesses

• Participate in learning activities

• Cope with less than ideal working conditions

• Avoid skill obsolescence

Career Insight

Career Identity

What Is A Career?

• Traditional Career– Sequence of positions held within

an occupation– Context of mobility is within an

organization– Characteristic of the employee

• Protean Career– Frequently changing based on

changes in the person and changes in the work environment

– Employees take major responsibility for managing their careers

Comparison of Traditional Career and Protean CareerDimension Traditional Career Protean Career

Goal Promotions

Salary increase

Psychological success

Psychological contract Security for commitment Employability for flexibility

Mobility Vertical Lateral

Responsibility for

Management

Company Employee

Pattern Linear and expert Spiral and transitory

Expertise Know how Learn how

Development Heavy reliance on formal

training

Greater reliance on relationships

and job experiences

A Model of Career Development

• Career development is the process by which employees progress through a series of stages.

• Each stage is characterized by a different set of developmental tasks, activities, and relationships.

• There are four career stages:– Exploration

– Establishment

– Maintenance

– Disengagement

A Model of Career Development (continued)

Exploration Establishment Maintenance Disengagement

Developmental

tasks

Identify interests,

skills, fit between

self and work

Advancement,

growth, security,

develop life style

Hold on to

accomplishments

, update skills

Retirement

planning, change

balance between

work and non-

work

Activities Helping

Learning

Following directions

Making

independent

contributions

TrainingSponsoringPolicy making

Phasing out of

work

Relationships

to other

employees

Apprentice Colleague Mentor Sponsor

Typical age Less than 30 30 – 45 45 – 60 61+

Years on job Less than 2 years 2 – 10 years More than 10

years

More than 10

years

Career Path on Telco Industry

The Individual

• Accept responsibility for your own career.

• Assess your interests, skills, and values.

• Seek out career information and resources.

• Establish goals and career plans.

• Utilize development opportunities.

• Talk with your manager about your career.

• Follow through on realistic career plans.

The Manager

• Provide timely performance feedback.

• Provide developmental assignments and support.

• Participate in career development discussions.

• Support employee development plans.

The Organization

• Communicate mission, policies, and procedures.

• Provide training and development opportunities.

• Provide career information and career programs.

• Offer a variety of career options.

Roles in Career Development

Source: Fred L. Otte and Peggy G. Hutcheson, Helping Employees Manage Careers (Upper Saddle River, NJ: Prentice Hall, 1992), p. 56.

Career Development Process1. Discovery

Determine Where You Want To Go

2. AssessmentIdentify strengths &development areas

3. PlanningMake a Career

Development Plan

4. PreparationGet closer to your

goal

Management Support

and Coaching

RATE THE SUCCESS OF YOUR SUCCESSION PLANNINGFor each characteristic of a best-practice succession-planning and management program appearing in the left column below, enter a number to the right to indicate how well you believe your organization manages that characteristic. Ask other decision makers in your organization to complete this form individually. Then compile the scores and compare notes.

Succession-Planning Checklist

Scores

Source: From William J. Rothwell, “Putting Success into Your Succession Planning,” The Journal of Business Strategy 23, no. 3 (May/June 2002): 32–37. Republished with permission—Thomson Media, One State Street, 26th Floor, New York, NY 10004.

Sample Agenda—Two-Day Career

Planning Workshop

Source: Fred L. Otte and Peggy Hutcheson, Helping Employees Manage Careers (Upper Saddle River, NJ: Prentice Hall, 1992), pp. 22–23. In addition to career development training and follow-up support, First USA Bank has also outfitted special career development facilities at its work sites that employees can use on company time. These contain materials such as career assessment and planning tools.

Employee Career Development Plan

Source: Reprinted with permission of the publisher, HRnext.com Copyright HRnext.com, 2003.

Design factors of Effective Career Management Systems

• System is positioned as a response to a business need.

• Employees and managers participate in development of the system.

• Employees are encouraged to take an active role in career management.

• Evaluation is ongoing and used to improve the system.

Design factors of Effective Career Management Systems (continued)

• Business units can customize the system for their own purposes.

• Employees need access to career information sources.

• Senior management supports the career system.

• Career management is linked to other human resource practices such as training, recruiting systems, and performance management.

Traditional talent management is not up to the challenge

Deficiencies

• Minimal alignment with business strategy

• Less effective given labor market realities

• Does not maximize the “yield”

RetainDevelopAcquire

Heavy reliance on external recruitment to meet immediate needs

Driven by compensation benchmarks and surveys

Largely a function of training expenditures

Deploy

Assignments for “A” Players

3. Connect

2. Deploy1. Develop

Acquire Retain

ConnectCreate networks and high-quality relationships that maximize performance

Deploy Broaden and deepen capability through stretch assignments

Develop Build capability through on-the-job learning

A new model focuses on develop, deploy, connect

Advantages

• Focused on productivity of critical talent

• Creates dividends for acquisition and retention

In an environment of skills shortages and limited resources, the focus must shift from managing “A” players to “A” positions

From “A” Players To “A” Positions

How do we support our most critical positions?

How do we support our top performers?

A Critical Workforce Segment-Based Talent Strategy



Building a critical workforce segment strategy: example

Business Unit Strategic PlanBuild new technologiesGrow Asia

HR, Finance, IT, Supply Chain

Sales and Marketing

Business Development

Global Key Account Mgr

Sales Analyst

Strategic Support

Strategic Support

Technology Platform Mgr

Demand Planning Mgr

Critical Position

Strategic Support

HR Business Partner

AP Analyst

Critical Position

Core Support

For Core Support Positions• Reduce talent investments or outsource

For Strategic Support Positions• Maintain investments and buy talent

For Critical Positions – regardless of level• Increase access to investments and build

talent by feeding from strategic support positions


Workforce planning focuses HR programs levers that will most effectively meet the business demand for critical talent

1. Talent Demand Forecast

2. Talent Supply Forecast

Driven by business plans and workforce attrition

Internal and external labor market factors4. Talent Management

Programs

3. Talent Management Objectives

Serves to define:

• Future business demand for critical talent

• Opportunities presented by the external market

• Potential to maximize existing talent

Connect

Deploy DevelopCapability

Commitment

Performance

Alignment


• Formal training helpful for meeting specific requirements

• Learning is social in nature - people learn through their interactions with others, especially when tasked with real-life issues

• People are more committed to the learning that occurs when they are “tested” in ways that matter, especially when they collaborate with or are accountable to others

Develop: Ensuring that critical workforce segments are acquiring cutting edge skills to drive innovation


• People learn the most in jobs that stretch them to grow, tap their unique skills, and fuel their imaginations

• The best organizations avoid pigeonholing people based on the confines of their resumes

• They also employ formal systems to manage performance - And they offer frequent dialogue and feedback

Deploy: Strategic deployment of critical workforce segments will enable intensified growth

Connect


Commitment

Performance

Alignment


• People-to-People: Cultivate high-performance networks of high-quality relationships (i.e., CoPs, knowledge management programs)

• People-to-Purpose: Build and sustain a sense of personal and organizational mission

• People-to-Resources: Manage knowledge, technology, tools, capital, time, and physical space to achieve professional and business goals

Connect: Connecting talent in critical workforce segments converts knowledge into productive action

Connect


Commitment

Performance

Alignment

Employees’ Role in Career Management

• Take the initiative to ask for feedback from managers and peers regarding their skill strengths and weaknesses.

• Identify their stage of career development and development needs.

• Seek challenges by gaining exposure to learning opportunities.

• Interact with employees from different work groups inside and outside the company.

• Create visibility through good performance.

Managers’ Role in Career Management

Roles Responsibilities

Coach Probe problems, interests, values, needsListenClarify concernsDefine concerns

Appraiser Give feedbackClarify company standardsClarify job responsibilitiesClarify company needs

Advisor Generate options, experiences, and relationships

Assist in goal setting

Provide recommendations

Referral agent Link to career management resources

Follow up on career management plan

HR Manager’s Role in Career Management

• Provide information or advice about training and development opportunities.

• Provide specialized services such as testing to determine employees’ values, interests, and skills.

• Help prepare employees for job searches.

• Offer counseling on career-related problems.

Company’s Role in Career Management

Companies are responsible for providing employees with the resources needed to be successful in career planning:

– Career workshops

– Information on career and job opportunities

– Career planning workbooks

– Career counseling

– Career paths

Evaluating Career Management Systems

• Career management systems need to be evaluated to ensure that they are meeting the needs of employees and the business.

• Two types of outcomes can be used to evaluate:– Reactions of the customers

(employees and managers) who use the career management system

– Results of the career management system

• Evaluation of a career management system should be based on its objectives.

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