Executive Onboarding Process at John Deere Mindy Moye, Ph.D. Manager, Employee Engagement 12 May 2010 Agenda – Key Topics to be Covered • Online onboarding before day one • Paced learning for new leaders and transitioning internal leaders • New Employee Integration roadmaps for new employees, hiring managers, Unit HR, and peer advisors • Talent and manager surveys to confirm effectiveness 2 | Executive Onboarding John Deere • John Deere, a Fortune 500 Company, founded in 1837 • Approximately 53,000 employees globally • World’s leading provider of advanced products and services for agriculture & forestry • Also a major provider of: • Advanced products & services for construction • Lawn & turf care • Landscaping & irrigation • In addition, Deere provides financial services worldwide and manufactures & markets engines used in heavy equipment 3 | Executive Onboarding Executive Onboarding Executive Onboarding (also know as assimilation, orientation, and transitioning): • A support process that accelerates the integration of leadership hires into the organization. • Research indicates the most important differentiator of performance of leadership hires is the experiences they go through during their first few weeks and months on the job. 4 | Executive Onboarding Derailers for New Executives According to the Corporate Leadership Council there are 6 common derailers for new executives: • Failure to establish key connections & partnerships • Lack of political savvy or support to navigate the organization effectively • Failure to establish a cultural fit • Confusion about role expectations • Lack of feedback & coaching • Ineffective people management/team building skills 5 | Executive Onboarding Business Case • 40% of leadership hires under perform in the first 18 months • On average, direct reports of a new leader who is transitioning effectively outperform direct reports of a struggling new leader by 15% • Factors that inhibit a new manager’s integration have little to do with “technical competence” • Onboarding provides a competitive advantage (Not many organizations onboard effectively) • Promotes retention, employee engagement, & long-term organizational success • Less than 1/3 of executives worldwide were positive about their onboarding experience (Korn/Ferry, 2006) 6 | Executive Onboarding Business Case Workforce demographics are expected to put even greater pressure on organizations to get new managers/executives up to speed • As baby boomers begin retiring, organizations will need to cultivate a large number of managers to replace them Corning Glass Works Study: • Employees who participated in a structured onboarding program were 69% more likely to stay with their company after 3 years than those that did not go through the program Capital One (2003) • Executives cited lack of support during transitioning to their new role as a significant reason for leaving 7 | Executive Onboarding Global Talent Management Delivering world class talent Integrity John Deere Values Quality Commitment Business Strategy We aspire to distinctively serve through a great business, a business as great as our products Team Enrichment Attract, develop and retain the best global talent, from all backgrounds, that will enable us to build the strongest John Deere team to support our SVA-growth goals Strategic Workforce Planning Identify, understand, and plan for the talent needs to successfully execute the business strategy 8 | Executive Onboarding Can do Sourcing and Recruiting Talent Create a talent pipeline John Deere Learning and Career Development Develop the right capabilities Innovation Know what to do Effective Manager/ Employee Dialogue Set objectives Review Performance Want to do Employee Engagement Select and Onboard Talent Ensure the success of new employees Performance Management Reward Performance Engage people to perform at their best Leadership Development Ensure Quality Leaders Talent Results Attract Talent Engage Talent Leadership Education & Developmental Experience Exceptional Operating Performance Disciplined SVA Growth Build Talent Leverage Talent Succession Planning Talent Review Organization Results Retain Talent Aligned HighPerformance Teamwork Employee Engagement Organizational Results: • Exceptional Operating Performance • Disciplined SVA Growth • Aligned High Performance Teamwork 9 | Executive Onboarding New Employee Integration (NEI) Process NEI process is for all new salaried employees Goals of NEI • Implemented to ensure new hires have information and tools needed to succeed in the workplace. • Integrate employees within the first 12 months of employment in an exceptional way so they understand and value the company and its culture 10 | Executive Onboarding New Employee Integration (NEI) Process Components of NEI Process: • New Employee Website: Designed to communicate advance information about benefits, culture, and of points of interest prior to employee’s first day • Electronic HR Forms: Enables employees to complete their personnel record, direct deposit, & W-4 form prior to their first day • New Employee Orientation E-Learning Module: Provides information on the company, its policies, and employee development • On-site Orientation Programs: On-site orientations available at all of our locations 11 | Executive Onboarding New Employee Integration (NEI) Process Components of NEI Process: NEI Roadmaps Tool: Includes a series of roadmaps or action items to help assimilate new employees into the JD business and organization Roadmaps exist for: • New Employee • Hiring Manager • NEI Advisor • Unit HR Measure effectiveness of NEI process: • Survey new employees at 1 month, 6 months, and 1 year • Survey managers of new employees after 90 days 12 | Executive Onboarding Executive Onboarding at John Deere Target Audience • External new hires – senior manager level Goals • Accelerate integration and shorten the learning curve • Enhance awareness of company culture • Enable relationship building essential for future success 13 | Executive Onboarding Executive Onboarding Process External New Hires at John Deere • Goal was to “bullet proof the process” • Complement New Employee Integration (NEI) process for all employees • Weekly reports identify new senior managers/executives • Set up meeting with hiring manager • Set up 16 weekly meetings with employee • Set up follow-up meeting with employee • Send on-line survey to get feedback on the process 14 | Executive Onboarding Meeting with Hiring Manager Familiarize Hiring Manager with process Discuss Hiring Manager’s Role: • Stakeholder Analysis • Emphasize importance of Performance Management • Helping set stretch goals, identify job responsibilities, and define developmental goals • Match employee with mentor (Mentor provides insight & advice on culture, team, & other guidance as needed) • Emphasize importance of Manager/Employee relationship in driving employee engagement 15 | Executive Onboarding Stakeholder Analysis Complete Stakeholders Analysis with Hiring Manager Key Stakeholder’s List includes: • Senior Leadership Team • Direct Reports • Peers • Key Internal Stakeholders • External Stakeholders (i.e. customers, partners, suppliers) Hiring Manager then requests stakeholders to set up meetings with new hire within the next month 16 | Executive Onboarding External Executive Onboarding Topics Overview of Process & Employee Engagement Global Talent Management Topics (covered in 3 meetings) • Performance Management • Career Development • Open Mentoring • Succession Planning • Leadership Education • Coaching • John Deere Learning • Staffing & Recruiting 17 | Executive Onboarding External Executive Onboarding Topics Corporate Compliance Public Relations & Crisis Communications Compensation & Benefits Legal Finance Team Enrichment Environment/Engineering Standards/Product Safety JD Lean 6 Sigma/Quality Engineering Product Development John Deere Credit Corporate Citizenship Follow-up 18 | Executive Onboarding Follow-up Executive Onboarding Survey Items • The executive onboarding process helped me to successfully transition into the organization. • The executive onboarding process enabled me to begin building my network across the company. • The executive onboarding meetings provided a good foundation on a broad spectrum of topics. • My manager has provided strong support in helping me integrate into the organization. • Overall, how satisfied were you with the executive onboarding process? What specific suggestions do you have to improve the executive onboarding process? (open-ended item) 19 | Executive Onboarding Executive Onboarding Program for Internal Transitioning Employees • Designed an onboarding program for internal employees who are transitioning to a higher leadership level (director level & above) • 13 weekly meetings • Follow-up survey at the end of the process 20 | Executive Onboarding Internal Executive Onboarding Topics Overview of Executive Onboarding Program Corporate Compliance Crisis Management Public Relations & Crisis Communications Work & Life Safety Environment/Engineering Standards/Product Safety Enterprise Health & Medical Services Legal Building Leadership Talent/Leadership Presence Public Affairs Investor Relations Finance Corporate Citizenship 21 | Executive Onboarding Internal Executive Onboarding Survey Items • The executive onboarding meetings provided good information on a broad spectrum of topics. • My manager has provided strong support in helping me transition into my new position. • The following meetings provided valuable information that I will use or reference in my new role: • Include list of topics in a table • Overall, how satisfied were you with the executive onboarding process for internal transitioning leaders? • What specific suggestions do you have to improve the Executive Onboarding process for internal transitioning leaders? (open-ended item) 22 | Executive Onboarding Questions? Mindy Moye, Ph.D. Manager, Employee Engagement 12 May 2010 23 | Executive Onboarding John Deere Executive Onboarding Process Appendix New Employee Integration Survey – 1 Month • I felt welcomed at John Deere. • I had an active telephone number and telephone on the first day. • I was able to log into my computer on the first day. • The number of days from my start date that it took to obtain the appropriate computer access needed to perform my job was: • During my first few weeks, I was introduced to the people in my work area. • I was satisfied with the formal orientation I received to John Deere at my unit. • I was able to get my questions regarding benefits addressed. • Having a new employee advisor was useful to me during my first month at John Deere. • I found the new employee roadmap useful during my first month. • In comparison with other companies, John Deere's recruiting and interview process would rate: • Did you access the New Employee Web Site before your first day of work? • *If yes, please answer the following question: • How satisfied were you with the information you found on the web site? • What suggestions do you have that would improve our recruiting and interview process? • Additional Comments 25 | Executive Onboarding New Employee Integration Survey – 6 Months • I have been assigned challenging work. • My job matches the expectations that were set and initially described to me. • My job makes good use of my skills and abilities. • I understand the objectives and strategies of my Division. • I feel comfortable in this local community. • My manager is approachable and addresses my questions in a timely manner. • My manager is considerate of my need to balance work and personal life. • Having a new employee advisor was useful to me during my first six months at John Deere. • I work in an environment where diverse cultures, people, and ideas are respected. • I found the new employee roadmap useful during my first 6 months. • How could John Deere do a better job of integrating new employees? • Considering everything, I would rate my overall satisfaction with the company at the present time as... • Additional Comments 26 | Executive Onboarding New Employee Integration Survey – 1 Year • My job makes good use of my skills and abilities. • My work gives me a feeling of personal accomplishment. • I have the tools and resources necessary to perform quality work. • I see a clear link between my work and my unit's objectives. • I feel comfortable in the local community. • I feel connected to John Deere. • John Deere does a good job integrating new employees into the company. • How satisfied are you with the training you receive for your present job? • How satisfied are you with the recognition you receive for doing a good job? • How satisfied are you with the information you receive from management on what's going on in the company? • Considering everything, I would rate my overall satisfaction with the company at the present time as.... • My manager is approachable. 27 | Executive Onboarding New Employee Integration Survey – 1 Year: Items continued • My manager is considerate of my need to balance work and personal life. • My manager creates a work environment where diverse cultures, people and ideas are respected. • My manager coaches and supports me in my development. • My manager provides timely and useful feedback regarding my performance. • Communications from my manager are timely and effective. • My manager is available to me when I have questions or need help. • My work group has accepted me as a member of the team. • Joining John Deere was the right decision for me. • I have the resources to communicate my career goals and objectives within John Deere. • I feel it is likely that I will achieve my personal career objectives at John Deere. • I intend to stay working at John Deere for the foreseeable future. • I would recommend John Deere as a good place to work. • Additional Comments 28 | Executive Onboarding New Employee Integration Survey – Early Fit Survey Completed by Hiring Manager at 90 days • Managers Name: • Employees Name: • The new employee is a good fit for the position for which he/she was hired • The new employee has the skills and abilities to perform his/her job • The new employee demonstrates a genuine interest in being a part of John Deere • The new employee is transitioning well into his/her new position • Based on what I know about this new employee now, I would have hired him/her for the same job • If you would not hire this person again, please provide feedback as to why not: 29 | Executive Onboarding