Global
Leadership
Forecast
2011
Delaware SHRM
April 10, 2012
The Talent Management Expert
Leadership
Development
Effectiveness
33%
2006
34%
2011
29%
2009
HR
37% 38%
HR
2011
25%
2009
Leadership
Quality
Future Bench
Strength
18%
HR
Leadership Quality Impacts…
66%
Confidence
of Future Business Success
4%
Low Leadership Quality
High Leadership Quality
70%
Retention
24%
Low Leadership Quality
High Leadership Quality
Engagement
50%
9%
Low Leadership Quality
High Leadership Quality
Financial performance
Customer satisfaction
Productivity
Quality of services
The bottom line
2.8x
4.6x
4.7x
4.4x
52%
13%
Low Leadership Quality
High Leadership Quality
Passion
53%
7%
Low Leadership Quality
High Leadership Quality
50%
better
Performance:
Top vs. Average
Time for a
(R)evolution!
About the
Global
Leadership
Forecast
1,897 HR Professionals
12,423 Leaders
2,679 Organizations
74 Countries
Leadership
Development
Talent
Systems &
Practices
Management
Culture
Quality
of
Leadership
Enhanced
People
Outcomes
Enhanced
Business
Impact
Leadership
Development
Talent
Systems &
Practices
Management
Culture
Development
Matters
Effective
Development =
Quality Leadership
62%
13%
Low Development Effectiveness
High Development Effectiveness
Leadership Development:
What works today, may
not work tomorrow
Top Five
Past
Critical Skills
1.
2.
3.
4.
5.
Driving & managing change
Executing organizational strategy
Coaching & developing others
Making difficult decisions
Improving employee engagement
Top Five
Future
Critical Skills
1.
2.
3.
4.
5.
Driving & managing change
Identifying/developing future talent
Fostering creativity & innovation
Coaching & developing others
Executing organizational strategy
Leadership Skill Effectiveness:
50 / 50
Value Proposition
“Our CEO coined how we need to think
about innovation. He said, ‘I’d rather be
8 and 2 than 2 and 0 in terms of willingness
to try out something new’”.
Up The
Value Chain
Innovation
Important
Budget
Increases
95%
80%
90%
82%
89%
73%
72%
49%
Boston Consulting Group 2010
(R)Evolution Point 1
A Leaders Role in Innovation
The Leader’s Role in Innovation
Innovation Challenges
Culture of Innovation
Lack of Understanding
Stakeholders
Inspire Curiosity
Question
Assumptions
Lackluster Ideas
Challenge Current
Perspectives
Think Differently
Aversion to Risk
Create Freedom
Experiment
Failure to Execute
Drive Discipline
Get Things Done
Leader
Team Members
Effectiveness of
Development Methods
Formal classroom training
Special projects or assignments
Coaching from your manager
Moving positions
Coaching from internal coaches
Web-based learning
Coaching from external coaches
Virtual classroom
Organizations that
have effective
programs use
32%
more methods.
HR
(R)Evolution Point 2
Learning: From Event to Journey
10~20~70
FORMAL
COACHING
ON-THE-JOB
Learning Mash-Up
Manager/Sr.
Leader KickOff Webinar
October-December
Core Curriculum 1
Core Curriculum 2
Core Curriculum 3
Challenges of
Transitions
Cultivating Networks &
Partnerships
Mastering EQ
Making Change Happen
Building High-Performing
Teams
Driving Innovation
Influencing
Learning through
Transitions
3 days
• Assessment: 360
and personality
Inventories
• Prework
• Action Learning
Kickoff
Coaching
Courage
3 days
Development
Planning
Meetings
Supporting Leadership
Development
2 days
Action
Learning
Action
Learning
(DDI Coach, Boss,
Mentor)
Discussion Board:
Participants seek
feedback from BU
leaders on ideas,
best practices
Leader Blog: What
leadership means to
participant, how they
will use new skills
Repeat 360
to Assess
Behavior
Change
Development
Planning
Meetings
(DDI Coach, Boss,
Mentor)
Coaching
Coaching
Action
Learning
January-March
Formal Learning
Orientation
Kick Off
July-September
Wikis: Tying leadership
Job Growth
Experiences
skills to business
outcomes – how do they
link together?
Ongoing Feedback and Support
= Assessments, Targeted Personal
Development Focus
= Core Curriculum
= Action Learning
& Ongoing Development
= Learning 2.0 components
Informal Learning, Feedback, and
On-the-job Experience
April-June
Leadership
Development
Talent
Systems &
Practices
Management
Culture
Talent Management
Matters
Leadership
Selection
31%
42%
Performance
Management
Firing on all
cylinders
Leadership
Succession
Programs & learning
for mid-level leaders
Programs & learning
for senior leaders
Programs & learning
for frontline leaders
79%
77%
22%
77%
30%
76%
33%
31%
74%
68%
Future Importance
Current Effectiveness
HR
Development Can’t Fix Everything
Select
Develop
Low
Moderate
High
• Arrogance
•
Risk-taker
•
• Inquisitive
•
Letting go
Customer
focus
• Ambitious
•
Making
sound
decisions
•
Developing
strong teams
•
Executing
strategy
•
Building
future talent
•
Communicating
with impact
• Volatile
• Learning
Orientation
• Results
Driven
External
Hiring
Failures:
1 in 3
63%
37%
Internal
72%
Success
28%
Failure
HR
81%
Tied to corporate goals
Performance
Management
69%
Balanced between
“whats” and “hows”
56%
Discussions provide
clear direction for
development
Succession
18%
Rate Bench Strength Strong
HR
64%
of leaders made a leadership transition in the past 5 years
BUT ONLY
26%
of organizations have effective programs
to ensure smooth leadership transitions
(R)evolution Point 3
Get it Right: Identifying Potential
There’s a
Difference
Performance
How one is performing
now in current role
Potential
One’s likelihood of
leadership growth
Readiness
One’s fit with a specific
role, job or job family
50%
Leadership
Potential
44%
Identification of
High Potentials
39%
37%
Growth of High
Potentials
2009
2011
HR
88%
19%
87%
19%
Best
Practices
60%
13%
48%
8%
46%
3%
43%
3%
Organizations with effective talent management systems
Organizations with ineffective talent management systems
HR
Leadership
Development
Talent
Systems &
Practices
Management
Culture
Culture Matters
“Right now, your company has 21st
century Internet-enabled business
processes, mid-20th-century management
processes, all built atop 19th-century
management principles.”
Gary Hamel
• Bureaucracy of management processes
• Values that are not meaningful
• Influence based on position power
Management
Culture Killers
• Innovation opportunities for select few
• Decisions are held closely by those in power
• Rigid structure
• Power held by those who value status quo
• Goals only focus on bottom-line growth
81%
Culture Impacts
Passion
57%
29%
Low effectiveness of management culture
Medium effectiveness of management culture
High effectiveness of management culture
51%
31%
17%
Culture Impacts
The bottom line
Low
effectiveness
of management
culture
Medium
effectiveness
of management
culture
High
effectiveness
of management
culture
(R)evolution Point 4
Innovating the Way We Manage
• Management processes are a
competitive advantage
• Values are shared and meaningful
Management
Culture
Revolutionized
• Merit-based influence
• Innovation opportunities for all
• Strategic decisions open for discussion
• Flexible, nimble structure
• Power held by those who value innovation
• Goals of growth, sustainability, and
social significance
Reflection
Leadership
Development
Talent
Systems &
Practices
Management
Culture
Quality
of
Leadership
Enhanced
People
Outcomes
Enhanced
Business
Impact
The Bottom Line
68th Percentile
35th Percentile
24th Percentile
 Leadership Development
 Talent Management
 Management Culture
 Leadership Development
 Talent Management
 Management Culture
 Leadership Development
 Talent Management
 Management Culture
from
NO!
to
GO!