Managing Talent in Goldman Sachs
June 2012
A Culture Focused on Talent
Business Principle #6
“We make an unusual effort to identify and recruit the very best person for
every job. Although our activities are measured in billions of dollars, we
select our people one by one. In a service business, we know that without
the best people, we cannot be the best firm.”
Business Principle #7
“We offer our people the opportunity to move ahead more rapidly than is
possible at most other places...For us to be successful, our men and women
must reflect the diversity of the communities and cultures in which we
operate...”
2
Recruit, Integrate, Educate, Promote
Integrate/Bind
Recruit
Campus Recruiting
Experienced Hire Recruiting
Diversity
Internal Mobility Program
Summer Internship Program
Part-Time Internship Program
Experienced Hire Integration
First 100 Days
GS Symposiums
Cultural Integration Series
New Grad Orientation
GS Integration Series
Senior Leadership sessions
GS Business Series
Wellness
AEJ Women’s Network
Mentoring Programs
RETAIN
Promote & Pay
Compensation & Benefits
Career Development Committees
Succession Planning
Associate Promote Program
VP Promote Programs
MD Orientation
Educate
Leadership & Management
Self Leader/New Leader
Experienced Leader
Strategic Influencer
Managing Cross Culturally
Leadership Excellence 1
Asia Leadership Exchange
Pine Street programs
Performance Delivery Training
Diversity
Division-specific programs
GS Business Series
Talent Management Practices: Building a Leadership
Pipeline
Talent Planning /
Succession
Management
Talent
Identification
4
Talent
Development
Succession Management
What Is Succession Planning?
Organizational Assessment
Individual Talent Assessment
Succession Planning at Leadership Firms
6
Why Does Succession Management
Matter?
•
Critical success factor for all leaders
•
Essential for achievement of regional growth plans
•
Not doing it hurts the business
•
–
Vacancies are bad for business
–
Leaders not ‘ready now’ put business at risk
–
Transitions take time
–
Poor management of strong performers leads to ‘flight risk’
It affects our own careers - if we don’t have successors, we can’t
move up
7
Common Excuses Not to Do It
Cream Will Rise
Loss of Production
Who Has Time?
‘The best will develop themselves.’
‘We need commercial production, not off
line development.’
‘Development is not one of my top
priorities.’
Insufficient Critical
Mass
‘We’re too small to take people off line.’
We’re Growing
‘We can’t keep up, let alone get ahead.’
Expat Takeout
‘There is no one here, we’ll take an expat.’
Too Early to Tell
It’s Not Our Decision
‘Things move fast. No guarantees they’ll
be here.’
‘’They’ will decide anyway.’
8
Filling Talent Gaps – 3 categories
1. Skill up a person so they become ‘ready now’
• 70/20/10
• Stretch Assignments – take some risks!
2. Reorganize to support new leaders
• Restructure the job
• The co-head model
3. Import talent
• Transfers - regional, global, divisional
• Recruit - look for talent early/beyond traditional sources
THINK CREATIVELY……MINDSET IS KEY
9
Development and Retention
 On the job experience
 Expand responsibilities
70%
 Expand scope of role
Experience
 Stretch assignments
 Projects/Mobility
20%
Exposure
10%
Education
10





Mentoring
Performance/Informal feedback
Executive coaching
Committees
Sponsorship




Training
Pine Street, GSU
Conferences
Language skills
Top 16 Development Experiences
Temporary Assignments – new initiatives, cross product
experience, new divisions/regions, summer ‘swap’, niche expert
Stretch Positions – new business build out, emerging markets,
business leadership
Team Membership – taskforce, crossruffer, small team/high impact
Personal Development – mentee, mentor, regular feedback,
training
11
Talent Development
Pine Street: Our Leadership Institute
Practice Areas
Sample Programs
Leadership Acceleration
• Leadership Acceleration Initiatives (MD, VP)
• Pine Street Coaching Program
Leadership Programs
• Leadership Excellence (for new MDs)
• Master Classes
Leadership Advisory
• Individual Level: Transitions
• Team Level: Team Effectiveness
• Organization Level: Business Strategy
Culture and Networks
• MD Orientation
• Partner Orientation
• Assimilation Coaching (MD New Hires)
Client Services
• Senior Leadership Program
• Business Leadership Program
• Non-profit Leadership Program
13
• ascend Women Client Initiative
• Customized Client Programs/Meetings
Goldman Sachs University: Our Training Engine
Topic/Curriculum
Orientation & Culture
Sample Programs
• New Campus Hire Orientation
• Experienced Hire Integration
• GS Symposium
• GS Business Series
• Capital Markets Fundamentals
(including Divisional specific • Wealth Advisory Certification
Products & Markets
technical training)
Professional Skills
Leadership &
Management
Diversity & Inclusion
• VP Orientation
• Associate Orientation
• Stock Picking College
• Accounting and Valuation
• Structured Credit Products
•
•
•
•
Sales / Client Relationship Skills
Negotiation Skills
Business Writing
Presentation Skills
• Time Management
• Desktop Applications
• Language Skills
•
•
•
•
Self Leader
New Leader
Strategic Influencer
Experienced Leader
• Coaching Skills for Managers
• Manager Best Practice Exchanges
• Managing Change
• Goldman Sachs Person by Person
• Career Strategies Initiative for Women
Associates
• Diversity & Inclusion at GS
14
• Building an Inclusive Environment
• Can You Hear Me Now?
• Out in the Open
Leadership Model at GS
DRIVE BUSINESS
STRENGTHEN CULTURE
LEAD PEOPLE
15
Leadership Development: Our Approach
• Leaders at all levels
• Enhancing culture and networks
• Transition-based courses
• Single-topic programmes
• Customized, high-touch offerings
• Leadership acceleration via action learning
• Include clients and customers
• GS leadership model integrated into each programme
16
Leadership Acceleration Initiative
• Objective is to accelerate the development of high potential VPs
and MDs
• 12 month programme provides leadership development to prepare
participants to take the next step in their careers
• Components include:
> Development plans
> Coaching
> Action learning project
> Business leader briefings
> Leadership training
> Senior leader shadowing
17
Leadership Curriculum
• The core curriculum comprises transition programmes supplemented
by ‘single topic’ modules
Transition Programmes
Self
Leader
• Individual
contributors
New
Leader
• New to
managing
people
Strategic
Influencer
• Need to
influence peers
and upward
18
Experienced
Leader
Leadership
Excellence
• Managers of
• New MDs
managers
Leadership Advisory Services
• A suite of offerings to assist leaders making key transitions
Leadership
Transitions
Co-Head
Briefing
Jump Start
Vision and
Strategy
Business
Planning
Team
Effectiveness
19
Leadership Development: Success Factors
• Senior level sponsorship
• High quality experience
• Offering the most relevant content
• Reaching the right people at the right time
• Marketing the offerings
20