Leadership for the Future: Do You Know
Where Your Next CEO is Coming From?
Eric Magnussen, Vice President, Talent, CTCA
Susan Hirt, PhD, Director of Education, Talent Plus
September 30, 2013
Private and Confidential
All materials constituting this presentation (the “Materials”) are confidential and
proprietary property solely owned and copyrighted by Talent Plus ®, Inc. (“Talent
Plus”). The Materials are intended for use only by the individual or entity that
receives the Materials directly from Talent Plus (the “Recipient”) and such individuals
associated with the Recipient on a “need to know” basis. The Materials shall not be
copied, modified or otherwise reproduced by Recipient without the express written
permission of Talent Plus.
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Challenge the Myths of Selecting Leaders
If it isn’t broken, don’t fix it.
But…
Good is the enemy of GREAT.
- Jim Collins
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Lessons Learned
Jim Collins, Good to Great, 2001:
Studied 1,435 companies
11 achieved greatness
10 of 11 good-to-great CEOs came from inside
the company
“Larger-than-life, celebrity leaders who ride in from the
outside are negatively correlated with going from good to
great.” Page 40
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Traditional Criteria for Selection
Education
Experience
Training
Tenure
Top Performers
What is missing?
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Would you select this person?
Would you select this person today to
become your CEO in 10 years?
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What about now?
Select Curriculum Vitae:
Caught stealing in 8th grade
…because he was a masterful computer “hacker”
Dropped out of university after only two years
…it was Harvard, and he wanted to found a company
Arrested for running a red light and driving
without a license
…sometimes even smart people make mistakes…
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Recognize him now? On the left…
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Cancer Treatment Centers of America ®
The Mother Standard ® of care
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Unique Culture - Patient Empowered Care
Patient-Centered
Places the patient at the
center of consideration and
care
“Patient Empowerment”
Thoroughly informed and
therefore able to express
what they value as a
component of their care
Hear from a patient:
Jeana Churchill
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Hire to CTCA Values
Hopeful
Ethical
Responsive
Innovative
Team-Spirited
Empowering
Compassionate
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Cancer Treatment Centers of America
Significant growth creates challenges for the future:
30% YOY growth over the last five years; 3X growth strategy
2,490 stakeholders as of November 2008; grown to 5,200 stakeholders to date
Current locations:
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Zion, Illinois (near Chicago)
Tulsa, Oklahoma
Philadelphia, Pennsylvania
Phoenix, Arizona
Atlanta, Georgia
Seattle, Washington (Clinic)
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How to create sustainable growth?
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CTCA Leadership Solution:
Create a program that:
Brings young professionals into the company
Measures their future leadership potential
Provides them with an intensive business orientation
Offers them a long-term career path
Ensures the company will have leaders for future growth
Fosters the entrepreneurial spirit
Management Fellows Program
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Management Fellows Program
Recruitment strategy
Create a framework to sustain a year-long presence on
targeted college/university campuses
Position CTCA as an employer of choice within
undergraduate audiences
Expand CTCA’s reach within the academic community’s
student body to offer CTCA a more diverse look at rising
high-potentials
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Management Fellows Program
Build relationships with various colleges
Participate in career fairs and information sessions
Recruit in the Fall for students graduating in the Spring
Filter: Review candidates’ resumes
Filter: Interview candidates on campus
Filter: Measure leadership potential through structured interview
Filter: Invite final candidates to visit CTCA headquarters
Of the 31 fellows selected in the last five years, all have served in a leadership position,
participated in global and/or community efforts and received academic recognition.
Select approximately 5 new fellows each year
2-year rotation through different positions and locations
At the end, typically a permanent position acquired
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Recruitment of Management Fellows
Campus Recruitment
Resume Review
In-person Interview is structured
Theme-based Screening Questions Focus Areas
Ego Drive
Intelligence
Relationship
Persuasion
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Selection of Management Fellows
Structured Interview for Leadership
Standardized Questions
Measures 9 Leadership Characteristics
Additional Interview for Individual Contribution
Examples of Leadership Questions
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Can Be Acquired or Cannot Be Acquired?
An M.B.A.
A Ph.D.
Caring
Work Ethic
Responsibility
10 Years of Experience
Industry understanding
A Developer
Drive to Achieve
Positivity
Professional network
Integrity
Computer skills
Focus
Problem-solving ability
Persuasion
Empathy
Vision
What is a natural ability vs. something acquired?
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Excellence
Speed readers – words per minute
90 135
50 percent improvement
225
2000
790 percent improvement
More talent = Greater potential
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Definition of Talent
A natural ability not acquired through effort.
Training refines talent but does not create it.
Hire people as they are; if you get a change,
it is a bonus.
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Predictive Validity of Various
Assessments
Age
(-.01)
Interests
Assessment Tools
Education
Job Experience (years)
Reference Checks
Unstructured Interview
Biographical Data
Job Tryout
Job Knowledge Tests
Structured Interview
0.0
0.2
0.4
0.6
0.8
1.0
Validity Coefficient
Sources:
Hunter, J.E., & Hunter, R.F. (1984). Validity and utility of alternate predictors of job performance. Psychological Bulletin, 96, 72-98.
McDaniel, M.A., Whetzel, D.L., Schmidt, F.L., & Maurer, S.D. (1994). The validity of employment interviews: A comprehensive review and meta-analysis. Journal of Applied Psychology, 79, 599-616.
Wiesner, W.H., & Cronshaw, S.F. (1988). A meta-analysis investigation of the impact of interview format and degree of structure on the validity of the employment interview. Journal of Occupational
Psychology, 61, 275-290.
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Structured vs. Traditional Assessment
Traditional assessment gives you…
Structured assessment gives you…
STUDY AND UNDERSTAND YOUR BEST
PERFORMERS, NOT YOUR AVERAGE!
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What you see
Education
First Impression
Interview Skills
Clothing
Work Experience
What you don’t see
Curiosity
Ambition
Positive Attitude
Persuasive Ability
Honesty
Goal Orientation
Caring
Work Ethic
Team Work
Wednesday, August 09,
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2006
Talent Plus &Quality Selection Process
(QSP)
| Lincoln, Nebraska
23
Structured Assessment Methodology
Founded in the work of Carl Rogers
Understand spontaneous behaviors
Sample questions:
Measure individual talent
Measure leadership talent
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Theme Predictability
Stimulus
Stimulus
Stimulus
Always
Consistent
Reaction
Situational
Reaction
No Reaction
Sometimes
I Don’t Know
Negative
Reaction
Never
Questions = Stimulus
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Compare Candidates with the Best
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Compared to Current Leaders
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Compared to Current Leaders
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Management Fellowship 2-Year Program
Orientation
Feedback on Leadership Talent Profile
Networking with Current Executives
Participation in Board Meetings
Formal Mentor Program with Executives
Accelerated Development Program
3-Month Rotations at five hospital locations, Corporate
office, CTCA-partner companies:
Rising Tide
Center For Learning
International Management & Investment Company
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Fellows’ Success Stories
Since 1998, 51 Fellows have started the program
39 matriculated through the two-year program
25 are still with CTCA or a related entity (66% retention rate)
14 departed post-program
28 currently hold leadership roles (72% of graduates); 15
director-and-above roles, 13 manager-and-above roles
10 are currently in-program
2 departed mid-program
Chief Operating Officer
Hospital AVP of Marketing
Hospital CEO
Co-Founder of Investment Venture
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Ideas to Consider
Evaluate your selection criteria – Do they correlate to
best performance?
Make natural talent the top selection priority
Alternative to traditional interview methods
Succession Planning – Make it a discipline
Enrich your internal leadership pool
Copyright © 2013 Talent Plus | Lincoln, Nebraska
How Do You Select?
The “right person” has more to do with character
traits and innate abilities than specific knowledge,
background or skills.
+ Jim Collins
“Good to Great”
The organization will never be what the people
are not.
+ Price Pritchett
“The Ethics of Excellence”
Copyright © 2013 Talent Plus | Lincoln, Nebraska
What are you wondering about?
For additional questions, contact:
Eric Magnussen, Vice President, Talent
Cancer Treatment Centers of America
eric.magnussen@ctca-hope.com
+1.847.342.7452
@CTCACareers
Susan Hirt, Director of Education
Talent Plus
shirt@talentplus.com
+1.312.375.1989
Copyright © 2013 Talent Plus | Lincoln, Nebraska
Companies are
Known by the People
They Keep
®