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Building a Workforce for 4.0
2Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
From Industry 1.0 to Industry 4.0
1800 1900 2000
First
Industrial
Revolution
Second
Industrial
Revolution
Through the introduction of
mechanical production
facilities with the help of
water and steam power
Through the introduction of a division
of labour and mass production with the
help of electrical energy
Third
Industrial
Revolution
Fourth
Industrial
Revolution
Through the use of
electronic and IT
system that further
automate production
Today
Through the use of
cyber-physical systems
Source : industry 4.0- Smart manufacturing for the future, Germany Trade & Invest, 2014
3Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Industry 4.0 framework
Source : Industry 4.0 , Building digital enterprise, PriceWaterhouseCooper, 2016
Industry
Mobile Devices
IoT Platforms
Smart Sensors
Location Detection
Technologies
Cloud Computing
Advanced Human-
Machine interfaces
Authentication &
Fraud detection
3D printing
Big Data Analytics and
Advanced Algorithms
Augmented Reality /
Wearable
Multilevel Customer Interaction
and Customer Profiling
4Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Dramatically increasing in digitalization is expected everywhere
Source : Industry 4.0 , Building digital enterprise, PwC, 2016
32%
36%
30%
74%
67%
71%
Level of digitalization 2016 2020
America
Asia Pacific
Europe, Middle East, Africa
emerging nations probably
have the most to gain
[than developed countries] as they can leverage
digitalization to gain efficiency in their horizontal value
chain, efficiently working within a global manufacturing
network to supply key component, product and system
while personnel cost will lead to above average efficiency
gains in these emerging countries
5Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Ten use cases show effects of industry 4.0 on the workforce
Source : Man and Machine in Industry 4.0, Boston Consulting Group, 2015
Robot-assisted production
Flexible, humanoid robots perform other operation such as assembly packing
Big-data-driven quality control
Algorithms based on historical data identify quality issue and reduce product failure
Self-driving logistic vehicles
Fully automated transportation system navigate intelligently within the factory
Production line simulation
Novel software enables assembly line simulation and optimization
Smart supply network
Monitoring of an entire supply network allows for better supply decisions
Predictive maintenance
Remote monitoring of equipment permits repair prior to breakdown
Machine as a services
Manufacturers sell a services, including maintenance rather than machine
Self-organizing production
Automatically coordinated machines optimize their utilization and output
Additive manufacturing
3-D printers create complex parts in one step, making assembly redundant
Augmented work and services
Fourth dimension facilitates operating guidance, remote assistance and documentation
of 7 million people in 40 job families,
23 manufacturing industries in German
From 2015 - 2025
(- 610,000)jobs that Production, Quality Control,
Maintenance, Production Planning
will be reduced
+ 960,000jobs in IT Analytics, Data Scientist
Software Development, R&D,
Robot Coordinator will be created
+ 350,000jobs as net increase due to Industry 4.0
6Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Analysis of Thailand’s GDP on a page
Source : information from World Bank(2014), NSTDA (2015)
1961 1980 1990 2000 2010 20151970
Two golden decades
7%Post crisis
5 % 3 %New normal
-7.6
13.3
2.8
-0.7
7.37.2
11.4
4.6
8.1
0.7
97-98 Asia
11-Flood
15-Drought
08-09- Global
0
67% 11%
Poverty 80% of 7.3 million poor live in rural 6.7 million
were living within 20% above national poverty line
and remained venerable to falling back into poverty.
Thailand has made remarkable progress in social and
economic development and has been one of widely cited
development success story, with sustained strong growth and
impressive poverty reduction. However, average growth has
slowed since 2005..1980 1990 2000 2010
80 Agriculture
1980 1990 2000 2010
80 Industry
Services
1980 1990 2000 2010
1980 1990 2000 2010
80Export
40%
13%
44%
75%
% contribution to GDP
30%
17%
51%
Inequality and disparities remain an issue of the country
80
06-Taksin 14-Yingluck
7Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Middle income trap--- Where are we?
Source : World Bank (Atlas method) 2015, quoted in Wikipedia
GNI per Capita
Norway 93,820
USA 54,960
Singapore 52,090
Japan 36,710
South Korea 27,440
Russia 11,400
Malaysia 10,570
China 7,820
6,550
5,620
Iran
Thailand
Philippines 3,540
Indonesia 3,440
Vietnam 1,980
Lao PDR 1,730
Cambodia 1,070
Nepal 730
USD
High
Upper
Middle
Lower
Middle
Low
57
12,745
4,125
1,045
56
53
31
Middle Class* Spread
Source : Penn World Table, 2013, quoted in What’s middle-income-trap, Akira Kondo,Economic Universe, 2015
1960 1970 1980 1990 2000 2010
100%
20% Thailand
Malaysia
KoreaTaiwan
Japan
China
IndonesiaPhilippine
GDP per Capita of Asian Countries as % of US
*3,000 annual household disposable income
million
20142009
2004
Source : World Bank, CEIC, 2014
50 100 150
9,280
4,730
4,380
3,620Vietnam
Philippines
Indonesia
Thailand
USD
GDP per Capita
Source : IMF, 2013
8Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
From Thailand 1.0 to Thailand 4.0
Agriculture Light industry Heavy industry
Deal effectively with disparities
and the imbalance between
environment and society
Continued economic growthHelped upgrade Thai economy
from low to middle income
Built strong fundament for
Thai economy
Creativity + Innovation
Today
9Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Food, Agriculture, Bio Technology
Thailand 4.0 framework
Thailand
Health, Wellness, and
Medical technology
Robotics, Smart Devices,
Mechatronics
Digital Technology, Artificial
Intelligence, Embedded Technology
Creativity, Culture and
High value services
Source : based on Dr. Suwit Masincee, Deputy Minister of Commerce’s interview decryption, BrandAge , 2016
5 First S-Curve
Next generation automotive
Smart electronics
Affluent, medical and wellness tourism
Agriculture and biotechnology
Food for the future
5 New S-Curve
Robotics
Aviation and logistics
Biofuels and bio-chemicals
Digital
Medical hub
10Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Is Thailand workforce ready for industrial revolution
20132007200119951989
20%
30%
Source : SCB Economic Intelligence Center, 2014
Thailand’s informal sector has grown fast since 1997 crisis and 2004
840
Thailand
Malaysia
Philippines
China
S.Korea
Indonesia
India
Vietnam
Thai businesses face difficulty hiring professional level employee which could take up to 8-10 weeks
12%
GDP (%YoY)
0%
-2%
Annual growth of work age population
4%
2%
0%
81-85 86-90 91-95 96-00 01-05 06-10 11-15 16-201961-65 66-70 71-75 76-80
Source : SCB EIC analysis base on data from US Census, 2014 Source : SCB EIC analysis base on data from US Census, 2014
Quality of education as perceived by countries business community
7
Indonesia Malaysia Singapore Philippines Thailand Vietnam
Source : World Economic Forum, 2016
Training Primary educationEducation system
11Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Thailand faces double challenges in preparing its workforce
Demands for an upgrade and reskill
Demands for structural change
Aging society
Shrinking population
Language Proficiency
Long-term competitiveness
Income Inequity
Environmental Deterioration
Infrastructure and logistics
Digital skills
Creative & critical thinking
12Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
How globally competitive are we?
Efficiency driven
GCI score : 4.6 / 7
34th out of 138
Source : Global Competitiveness Report, 2016-2017, World Economic Forum
Institution
Infrastructure
Macroeconomic
Environment
Health &
Primary
Education
Higher Education
and Training
Goods Market
EfficiencyLabour Market
Efficiency
Financial Market
Development
Innovation
2016
32nd31st
2015201420132012
39th 38th37th
2017
34th
25th
28th
34th
41st
57th
60h
71th
93rd
89th
98th
106thBangladesh
Nepal
Cambodia
Sri Lanka
Vietnam
India
Philippines
Indonesia
Thailand
China
Malaysia
Lao PDR
39th
49th
13th
86thMarket Size
Business
Sophistication84nd
18th
43th
54th
Technological
Readiness37th
71th
39th
62th
63th
13Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
How globally competitive are we?
Efficiency driven
GCI score : 4.6 / 7
34th out of 138
Source : Global Competitiveness Report, 2016-2017, World Economic Forum
Institution
Infrastructure
Macroeconomic
Environment
Health &
Primary
Education
Higher Education
and Training
Goods Market
EfficiencyLabour Market
Efficiency
Financial Market
Development
Innovation
2016
32nd31st
2015201420132012
39th 38th37th
2017
34th
25th
28th
34th
41st
57th
60h
71th
93rd
89th
98th
106thBangladesh
Nepal
Cambodia
Sri Lanka
Vietnam
India
Philippines
Indonesia
Thailand
China
Malaysia
Lao PDR
39th
49th
13th
86thMarket Size
Business
Sophistication84nd
18th
43th
54th
Technological
Readiness37th
71th
39th
62th
63th
14Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Thailand - the old man of Southeast Asia
Source : Population (% of total by age group) United Nation, 2015
Average age as of 2016
SingaporeIndonesiaPhilippines VietnamMalaysia
65+
55-59
45-49
35-39
25-29
15-19
5-9
38
41
28
31
40
43
31
33
28
29
23
24
2016
2020
68.1
68.5
261.4
271.8
102.6
108.4
30.8
32.3
94.4
98.1
5.7
6.0
Thailand
20502000 2010 2020 2030 2040
45%Singapore
Thailand
Vietnam
Malaysia
Indonesia
Philippines
Population aged over 60
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Golden era of Thailand as manufacturing hub is fading
Global Manufacturing Competitiveness
2020
Poland
Malaysia
Mexico
Japan
Singapore
Indonesia
Australia
UK
Vietnam
20162013
Czech Republic
9
10
11
12
13
14
15
16
17
18
19
9
10
11
12
13
14
15
16
17
18
19
9
10
11
12
13
14
15
16
17
18
19
11th out of 81
Source : Global Manufacturing Competitiveness Index, Deloittle, 2016
3
2005 2010 2015e
Manufacturing Labour Cost (USD) per hour
Thailand
Malaysia
Vietnam
India
Indonesia
5.3%
6.1%
5.9%
5.5%
2.9%
Real GDP Growth
2011-15
44%
42%
43%
41%
36%
Working population
2014
41
60
56
70
55
Regulation
Risk
2013
7.0
4.6
4.9
5.0
5.8
Infrastructure
Rating
2013
Malaysia
India
Vietnam
Indonesia
Thailand
Thailand
16Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
OECD : Organization of Economic Cooperation and Development
We are highly susceptible to expanding scope of automation
Risk : 72%
10th out of 41
Job at Risk of Automation
China
77%
72%
Ethiopia
85%
India
69%
South Africa
67%OECD*
57%
Nepal 80%
Cambodia 79%
Thailand
Source : Technology at Work v2.0, Oxford Martin School & Citi, 2016
2013 2014 2015e 2016e 2017e
5
4
3
2
1
China
Payback period for robot systemYear
Current payback period for typical arc welder
1 2 3 4 5 Year
Thailand
China
Japan
UK
US
Germany
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How linguistically proficient are we?
very low proficiency
EPI score : 43 / 100
62nd out of 70
Thailand
China
Indonesia
Hong Kong
Malaysia
Taiwan
Japan
Cambodia
South Korea
Singapore
Sri Lanka
Vietnam
Kazakhstan
India
Thailand is the only country
that declined significantly,
while India, Kazakhstan, and
Vietnam all showed
significant improvements
Comparing
2014 vs. 2015
very lowlowmoderatehigh
Source : EF English Proficiency Index, 2015
ColumbiaVenezuela Morocco
Algeria
Libya
Egypt
Saudi Arabia Jordan
Iraq
Kuwait
Iran
Oman
Yemen
Jordan
Kazakhstan
Hong Kong
IndonesiaJapan
South Korea
Taiwan
Vietnam
China
Pakistan
India
Malaysia
Singapore
Cambodia
Kazakhstan
Mongolia
Sri Lanka
Thailand
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Better English, higher income, better quality of life, more innovation
0
United Nation, 2014
1 R=0.58
Human Development Index
0
United Nation, 2014
60,000 R=0.72
Net Income per Capita
0World Bank, 2014
Hard
easyR=0.61
Ease of Doing Business
0
World Bank, 2012
4.5 R=0.75
R&D Expenditure
Source : EF English Proficiency Index, 2015
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Low enrolment in higher education
Mismatch between topics studied and skills needed
Lack of college graduates to fill middle-management
positions
Insufficient road, airport and power grid capacity
Lack of broadband access nationwide
Big gap between needed infrastructure investment
and public capital
Inconsistent governance
Bureaucratic overlap and outdated process
Inability to keep up with new business models
Companies in Asia must cope with three big structural challenges
Source : Overcoming Asia’s obstacles to growth, BCG, 2015
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Global challengers from Thailand have stood the test of time
Attributes of Success
Source : Global Challenger, BCG,2016
Continued success100
Become global leaders19
Unable to deliver on promise shrinking and losing money4
Source of success have shifted*70
193
the company was acquire, it adopted a local strategy
or still growing but less so than its successors
Indorama Ventures
Thai Bev
PTT
China
Thai Union Group
CP Foods
2
Philippines
Brazil India
Indonesia
5
Malaysia
Mexico
11
28
16
4
3
Turkey
Chile 3
South Africa
Vision and Culture
Ambitious global vision
Global culture & commitment to global standard
Innovation and Reinvention
Continuous innovation for global markets
Reinventions and recovery after a major
disruption or crisis
Talent and Organization
Globally competent leadership, global talent acquisition and development
Strong global organization model & governance
Go-to-Market Model
Clear globalization master strategy
Successful international M&A and partnerships
Localization and adaptation to different markets
Operating Model
Globally scalable model with optimized footprint
Global risk management and process excellence
*
5
5
5
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Thai government kick-started its efforts to improve nation’s competitiveness
brainstorm
present prototype
Tackle root cause of corruption
and increase transparency by
making information public
Current initiative and efforts
Invest in internet infrastructure
aiming for Thailand to become
an internet center
Enhance education system at
all levels particularly vocation
Incentivize private sector to
invest on Research and
Development (R&D)
Accelerate plan to improve
Thailand transportation system
Establish melting-pot for innovation
and creative idea which lead to
generation of value to product
and services
Improve bureaucratic efficiency
by adopting electronic process.
On January 18–20, 2016, Thailand’s
Ministry of Commerce, partnered with
the IMD for an event aimed at
improving Thailand’s competitiveness.
The three-day event included several
interrelated activities and culminated
in a highly dynamic and interactive
workshop – a Mega Dive.
Source : Thailand Mega Dive workshop, Thailand’s Ministry of Commerce and IMD , 2016
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Further efforts must focus on structural level
Establish independent cross-
functional task force for policy
coordination, implementation etc.
Adopt innovation –supportive attitude
and values within organizations
Strive to strengthen public sector
by promoting transparency and anti
corruption practice
Strengthen agricultural sector aim
to take Thai agriculture to the next
level of development
Thing to start and/or enhance
Develop available talent pool
necessary for enterprise and the
economy
Fully adopt e-government process
by adhering to best practice and
adopting the centralized platform
Establish an overarching
national program of innovation
Establish a national CEO program
for the next generation of senior
executive
Reduce competitive gap between
large enterprise and SMEs
brainstorm
present prototype
Source : Thailand Mega Dive workshop, Thailand’s Ministry of Commerce and IMD , 2016
On January 18–20, 2016, Thailand’s
Ministry of Commerce, partnered with
the IMD for an event aimed at
improving Thailand’s competitiveness.
The three-day event included several
interrelated activities and culminated
in a highly dynamic and interactive
workshop – a Mega Dive.
23Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Disruption is an industry phenomenon
Source : Adapted from Challenging Convention Workshop (@ Siam City Cement) , Bill Fischer, 2016
for
Kodak Digital
Nokia Apple
Borders Amazon
Blockbuster Netflix
It was
Taxis Uber
Marriott Airbnb
MaterializeExploreUnderstand
Design Thinking is a hands-on, user centric approach to problem
solving that can lead to innovation, and innovation can lead to
differentiation and competitive advantage.
source : Design Thinking 101, Nielsen Norman Group, 2016
empathize define ideate prototype test implement
Our future will look like
We know what to do and
how to do it?
What if,
somebody disrupt everything
Our business today
24Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Key trends reshaping HR organization
Insight
Driven HR
Talent management meet the sciences of human behaviors
Navigate risk and privacy in a more complex world
HR in The
Digital Age
Digital radically disrupt HR
Social media drives the democratization of work
Global
Scale of HR
The global talent map loses its borders
Tapping skills anywhere anytime
Agile HR HR Drives the agile organization
The rise of the extended workforce
Evolution of
Talent Work
Deliver seamless employee experiences
Managing your people as a workforce of one
Sources : Future of HR, Accenture, 2014
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Digitalization is not merely incorporating technology – but people
Source : Digital Transformation ; What is it & What does it mean for human capital, The Conference Board, 2016
Organization
Design
Performance
Management
Leadership
Learning &
Development
Talent
Acquisition
Optimal Mix of
Technology & People
Culture
Employee
Engagement
Structure
of Job
Compensation
& Benefit
Talent
Management
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The future of work
remain
untouched
Unable to be replaced by machine
are in
collaboration
with machine/
algorithms
Run with the machine
Source : Digital Transformation of Industries, World Economic Forum in collaboration with Accenture, 2016
are
completely
new
Run faster than the machine
all
disappear
Lost the race against the machine
27Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
How should companies respond?
Source : based on Man and Machine in Industry 4.0, Boston Consulting Group, 2015
Upgrade and re-skill
current employee
Projected the skills/capabilities needed
Retain , re-skills current workforce to keep pace with technology
used blended approach for on-the-job training
Train for broader set of skill for employee to perform variety of tasks
Adopt new work and
organization model
Introduce network of team
Rethink decision making authority , flatter organization
Revise regulation to enable use of technology for work and innovation
Redefine leadership development, career path, performance management
Recruit for
industry 4.0
Focus on capability instead of degree and qualification
Look for learning agility, creativity and adaptability
Balance between digital, soft and leadership skills
Engage in strategic
workforce planning
Use analytic to produce comprehensive gap analysis of supply vs. demands
Optimize extended workforce
Properly balance manpower planning approach
i.e. buy – build – boost – borrow -man/machine
28Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
HR Breakathon – in 24 hours, HR will never be the same
On February 18, 2016, Cisco HR
ran the 1st global HR Breakathon–
an event dedicated to hack those
“little-big thins” hindering HR from
providing people experience they
want to deliver at Cisco
116cities, 39 countries,
16 timezones encompassed
120teams cross global
locations included
821participants from HR as well
as other functions involved
65 percentage of HR
population covered
105 ideas submitted
It starts with having everyone at
Cisco believe they are empowered
to make change and even for issue
that they do not have control.
Design thinking focuses on
creating and employee experience
that is intuitive, engaging and
mirrors a customer experience..
Provide participants with
guidance on how to identify
a problem and work with small
team to create solution..
Entire process was
24 hours and in the end
generating 105 new HR solutions
covering across HR disciplines
29Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Strategic Partner
Functional Expert
Services Provider
HR as a Transformation enabler and Strategic partner
Focus on reliable and efficient
execution of core HR services
including
• Payroll
• Employee data
• Record keeping
• Training administration
• Time management
Be “at the table” for senior leadership discussion and help shape transformation strategy
Understand the business
transformation requirement and
how they will affect people and
the organization
Assess HR’s capability and
capacity to response in each
HR disciplines and address
any gap
Mobilize HR resources and
operate in an agile mode to
support the transformation
Transformation Enabler
Focus on providing expertise in and advice on core HR disciplines
• Recruiting
• Compensation & benefit
• Learning and development
• Performance management
• Labour relation
• Mobility
Frame and raise strategic
people and organization issue
and priorities
Adapt the HR operating model to
enable HR to engage with the
business transformation as a
strategic partner
Share perspectives on how to
set up transformation initiatives
for success
Source : Transformation, the imperative to change, BCG, 2014
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Source : What’s next for HR ?, CEB Corporate Leadership Council, 2016
Key priority and trend for HR leaders
Next Generation Functional
Effectiveness
Workforce of the Future
The Collaborative Enterprise
Analytic Transformation
of Talent
Work has become
increasingly horizontal,
yet HR technology ,
capabilities and workflow are
still designed to support
vertical organizations
Workforce is more diverse
than ever, and traditional
career paths and other
employment offerings are
not keeping up with the
needs of top talents
Despite years of focus and
investment in HR strategy
and structure, 80% of
business leaders rate the
HR functions as
ineffective. In particular
traditional HR models
struggle with change
Despite enormous
promise of increased
data availability, analysis
from HR remains among
the least trusted by
business leaders across
functions
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Organization isAn aggregation of individuals System of interacting elements
Deficiencies of individual
Organizational effectiveness and performance will be enhanced by
Improving employee
knowledge, skills and attitude
So. the prime target for development is
The organization – followed
by training for individualThe invidual
Source : Why leadership training fails, Michael Beer (published in Havard Business Review), October 2016
Innovation needs “fertile soil ” before the “seed ”
From To
Problem of organizational behaviors and
performance stem from
Poorly designed and
ineffectively managed system
Changing the systems to both support and
demand new behaviors that enable learning
Unclear direction on strategy and value
Senior executive who doesn’t work as a team and have not committed to a new direction
A top-down laissez-faire style which prevents honest conversation about problem
Lack of coordination across functions and company
Inadequate leadership time and attention given to talent issues
Employee’s fear of telling senior team about obstacle to organization effectiveness
Barriers to organizational excellence
Senior team clearly define vision & strategic direction
After receiving insight, team diagnose barrier, then design system to overcome the barriers
Day-to-Day coaching and consultation help people become more effective in the new design
Provide training where needed
Use metric of individual and organizational performance to gauge success
Adjust talent management system to sustain change.
Enabler to organizational excellence
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STAR model – the hardware of organization
Source : The STAR model, Jay R. Galbraith, 1995
Structure
ProcessReward
People
Strategy
Different strategies = Different organization
There is no one-size-fits-all organization design that
companies regardless of their particular strategy
needs- should subscribe to.
Organization is more than structure
Most design effort invest far too much time drawing
organization structure which is only one facet of
organization design and far too little on process and
reward.
Alignment = Effectiveness
An alignment of all policies will communicate a clear
and consistent message to the employee
STAR model consists of five components that leader can
control and that will affect employee behavior.
The manager can influence performance and culture, but
only acting through the design policies that affect behavior
33Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Enhancing speed and agility through Network of team
E 1 SVP
E 5
E 8
E 2
E 6
E 3
Cole
E 4
E 7
D 1D 2
D 3
P 3
E 0
D 0
P 0
E 9
Source (1) : The Hidden power of social network, Robert L. Cross and Andrew Parker, HBS press, 2004
Formal Structure
Informal Structure
Source (2) : The Rise of Team, Global Human Capital Trends 2016, Deloitte University Press, 2016
The Rise of Teams
Move people into customer-product or market and mission-
focus team led by team leader who are expert in their domain
Enable people to move from team to team as needed and then
ensure that people have a home to return once project done
Teach and encourage people to work across team using
techniques like “hackathons” open office space that
promote collaboration and job rotation
Empower team to set own goals and make own decision
within context of overarching strategy or business plan.
Replace silos with information and operation centers to
share integrated information
Organize team around mission, product, market, customer
needs rather than business functions.
Shift senior leaders into roles focus on planning, strategy,
vision, culture and cross-team collaboration
P1
P 2
Exploration
E 0Drilling
D 0Production
P 0
E 1 E 5
E 2 E 6
E 3 Cole
E 4 E 7
E 8
E 9
D 1
D 2
D 3
P 3
SVP
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Optimizing network of team as a solution to resource constraintB
usin
ess P
rio
rity
Current HR capacity and capability levelModerate Strong
H
L
Increase capacity
and improve capability
Possibility to
scalable capacity or
improve capability
Maintain
current capacity
and capability
Possibility to
scalable capacity or
improve capability
Maintain
current capacity
and capability
Possibility to allocate
capacity to higher priority
and maintain capability
Maintain
current capacity
and capability
Possibility to allocate
capacity to higher priority
and improve capability
Re-allocate
capacity to
higher-priority
35Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Managing performance is being challenged big time
Annual Cycle
Numerical Rating
Forced Curve
Backward looking
Complication Simplification
Forward looking
On-going
No-rating
Manager’s Discretion
Improve quality
of conversation
Give more time for
informal feedback
Differentiate
pay accurately
Improve employee
engagement
Provide ongoing, not episodic,
performance feedback
Make performance reviews forward looking,
not backward looking
Include other not just manager, feedback in
evaluating performance
From To So, we will
Source : The Real Impact of eliminating performance rating, CEB, 2016
Performance Review Cycle after removing rating
Em
plo
yee P
erc
eptio
n
( + )
( - )
It was initial huge boost in morale,
employee felt good that we were
removing the process they thought
they hate most
Initial euphoria
our performance and pay systems began
to look like black box. Without visible
symbol of rating, employee don’t
understand the process behind them
Reality set in
n = 9,686
Here is the reality
Managers’ time spent
36 hrs.
7 hrs.
6 hrs.
24 hrs.
newexisting
14%
14%
newexisting
Quality of conversation
8%
newexisting
Employee perception of
Pay Differentiation
1 2 3 4
36Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Increasing utilization of extended workforce – an robotics
source : The rise of the Extended Workforce, Accenture, 2015
Percentage to workforce
Small percentage
Type of work performed
Primarily low-skilled, low-value
Location of work performed
At the office
Large percentage
Increasingly high-skilled, high value knowledge work
Perform task remotely from anywhere
Reason for becoming extended worker
Involuntary –difficulties finding a job
Voluntary – attraction to flexible work schedules , roles and access to interesting work
Why company need them?
Address an immediate need Gain agility and access to top talent
Who manage them? Procurement with a cost orientation or line manager individually
HR with a strategic orientation and input from the function
Corporate perception
Asset to be managed at cost Individual to be managed for value
How to recruit them?
Through temp agencies Through a variety of sources – e.g. platform of freelancer, on-line social networks, alumni/retiree networks, outsourcing providers
Talent management practice
none Strategized and applied
New RealityOld RealityRedefine HR customers
Not only employee but extended workers and probably robotics or cognitive technology as well
Collaborate among expertise
Everyone from procurement, legal, finance and HR
Use analytic to decide needs
When to use, from which pools, for which tasks , at which cost
Forge new relationship with
partnering organizations
Evaluate their talent management
practice and include that into service
agreement
Rethink HR practices
To enhance experience of extended workforce.
37Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
15
1419
Association Specific
General Job Boards78
78
70
3333
38
Company Specific
Source : Global Workforce Index, Kelly, 2014
Rise of social media trends impacting talent acquision
85% 31
19General Job Boards
Association specific
Company specific
10 Aggregator
Preferred online job boards Preferred way to apply for job? Digital / electronic resume81
82
76
1513
19
Tradition
Gen Y
Gen X
Boomers
Use social media network when
making employment decisions?
search for jobs via social media
than traditional methods?
67
27
29
33
36
38
45
45
52
53
53
53
60
66
66
Malaysia
Indonesia
India
China
Singapore
South Africa
France
Netherlands
Hong Kong
Brazil
UK
US
Switzerland
Germany
70
30
32
33
37
38
40
41
43
47
49
51
57
60
64
Indonesia
India
China
Malaysia
Netherlands
Hong Kong
Norway
Canada
Switzerland
Germany
Brazil
UK
New Zealand
US
64
3VDO resume
Gen Y
Gen X
Boomers
84% 9
7Electronic resume
Tradition
VDO resume
Thailand
Thailand
38Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Source (2) : Recruiting talent in the digital age, The Conference Board, 2014
It requires new thinking on relationship btw. employee and employer
37 million
1
Number of Thai users2016
Articulating mobile strategy
Simplify application process , rethink design, navigation the use of text and video and experience.
Use it to connect, interact and engage with candidates
Creating meaningful candidate experience
Aim to build and nature a net work of talent than to fill a particular requisitions. This include sharing company social story in an organized manner and lastly, manage “black hole” experience in personalized and timely manner
Transforming employee into recruiter
Leverage employee social network to actively connect with and engage pools of talent and ultimately recruit on the company’s behalf
Measuring what matters
Focus more on how engaged prospective candidate are with the company - what they see and do - than number of followers.
Using social media
for recruitment
EU ASIA US
Recruiter
Job seeker
Distribute CV/resume
Professional networking
Search for advertisement
Submit applications
Research recruiters
Research employer’s page
Personal branding
What other say about company
Job seekers use them for
Source (1) : Work Trend Study- Discover future of social recruitment and smartworking Adecco, 2015
40
39Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Emancipated employee -a new type of workforce
Work anytime, anywhere
Share Information
Expect
democratized learning
Create own career ladders
Specialization
Collaboration
Flexibility
Decentralization
Well informed
Intellectually autonomous
Unresponsive to claims of compliance & hierarchy
Part of the leadership process
ValuesWork Habits
Source :Future of leadership in a changing workplace, Bersin by Deloitte, 2016
40Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
R-E-A-L - the future of leadership in a changing workplace
Source :Future of leadership in a changing workplace, and Leadership awakened, Bersin by Deloitte, 2016
Resolve
Engagement
Authenticity
Limitlessness
Determination
Involvement, Commitment
Ethics, Transparency
Thinking beyond boundaries
Share purpose
Communicate a vision
Make decision confidently
Solve problem
Demonstrate mental presence
Listen, ask, support, guide
Show genuine interest
Exhibit approachability and responsiveness
Follow high ethical standards
Act according to moral code
Communicate honesty and transparently
Encourage open debate
See the big picture
Challenge status quo
Question established principle
Recognize blind spots
Focus on renewal and change
Broaden and deepen capability
Today’s leaders need both traditional leadership capability and new skills. Rotation across business may be effective
Focus on young , diverse leaders
Identifying future leaders as early as possible
Take a fresh, hard look of
leadership development strategy
Is the current strategy delivering the impact, results, leadership pipeline and caliber for the future
Build program on data & analytic
Rigorous analysis and evidence should inform every step of the leadership development process
Rethink leadership investment
Spending more and spending more wisely, with focus on evidence and result is very important
41Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.Source : Global Human Capital Trends 2016, Deloitte University Press, 2016
Digital HR - a revolutionary opportunity
New Social
Contact
Digital
Technology
Challenge HR to start with a digital first
Redesigning, delivering, operating HR base on mobile and cloud solution
Embrace design thinking and leverage agile
approach to its delivery
Understanding employee experience before adopting SMAC then integrating team to deliver prototype and solution
Imagine employee experience in real time
Digital will enable real-time access, decision making and result. HR team should adopt more real-time and digital first operation rather than process, forms and transactions
Learn, share and enable digital experience
Learn from early digital adaptors e.g. Marketing and in turn help develop enterprise’s digital mind-set and capability
Integrate analytics and reporting as part of
digital platform, not add on
HR process should provide manager real-time information could provide good analysis for a practical solutions
Demographic
Upheavals
Rate of
Change
42Siam City Cement Public Company Limited ©SCCC | All Rights Reserved.
Time to reimagine HR capability development
Speak business language
Get insight of stakeholder experience
Strengthen stakeholder relationship
Provide sound and practical solution
Maximize technology integration
Secure support for Recommendations
Influence key Business Decision
From
HR Functional
Expert
Reactive
Process Focused
Problem Solver
Strategic Business Partner
To
Proactive
Business Driver
Challenger
Building
Analytical
Foundation
Understanding
Business Drivers
and behavioral
economies
Identifying &
Diagnosing
Challenges
Leveraging
Analytics for
impact solution
Understanding
Financial
Statements
Understanding
Financial MetricsBuilding the
Economics of a
Business Case
Improving
Financial
Acumen
Understanding
Stakeholder
needs
Communicating
the narrative of
a business
cases
Sourcing
stakeholder
agreement
Obtaining
Stakeholder
Commitment
Developing
Digital
Competence
Have worked across HR
and with multiple BU69%
Have worked overseas36%
Have advised other firms
as a consultant28%
Have research experience28%
Source : What successful HR professional do and( adapted from ) Developing HR Business Partnership, CEB 2015
How to develop
THANK YOU
All information contained in this presentation
has been produced base on publicly available
information from various sources.
Should you have any comment to make regarding
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https://th.linkedin.com/company/siam-city-cement
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