Introduction
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The Current Candy Masters
Center: David Shaffer, Co-CEO
Right: Ross Born, Co-CEO
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An Inventor’s Touch
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Just Born Brands
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Peeps getting born
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Where in the World is…
Just Born?
Korea
Canada
U.K.
Middle
East
Ireland
Japan
U.S.
Mexico
Israel
Puerto
Rico
Philippines
Caribbean/
Panama
South
Africa
Singapore
Australia
New Zealand
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Agenda
• Overview of Market Driven
• Research methodology
• Five practices of Market
Driven HR Leaders
• Summary
• Q&A
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Here is the foundation of the
study:
• All areas and all levels of the company involved.
• Likely common people practices for HR Leaders.
• The purpose of this study
– identify the characteristics and advantages of market
driven businesses
– define the most effective human resource practices
involved.
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Defining Market
Driven
Market driven organizations demonstrate superior
skills in understanding, attracting, and keeping
valuable customers.
• Customer Focus
• Delivering superior customer value
• Selectively nurturing customers with the highest
profit potential
• Anticipating opportunities
• Responding to, or leading the dynamics of the
industry
Day, 1999
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Customer Focus
Customer
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Eye on the competitive landscape
Competitor
Product offerings
Value as defined by
customers
Capabilities
Role in the market
Value proposition
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Results of being market driven
• 31% more profitable
– 2% increase in customer retention has same profit impact
as cutting costs by 10%
– 5% reduction in customer loss can increase profits by 25125% depending on industry
• Twice as fast at getting new products to market
– Ability to see and respond to market opportunities
• 10-20% higher in customer satisfaction levels
– Customer relationships and loyalty
Meyers 2008 Citing Pragmatic Marketing Study
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Research methodology
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Primary Research
Quantitative Data Collection
Types of organizations participating
7%
7%
15%
11%
60%
Independant consultant
Consulting company
For profit business
Educational institution
Non-Profit
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Most considered market driven
How market driven is your company?
2 way communication with
customers
Not market
driven at all
5%
Somewhat
market
driven
25%
Alignment with core values which
kept customers in the forefront
Nimbleness in the marketplace
Extremely
market
driven
Market
driven
38%
32%
Not market driven at all –Not focused or not focused on the customer
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HR’s contribution
HR process contributing to the company becoming
Market Driven
76
80
65
70
61
55
60
51
48
50
40
40
34
30
20
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Most important thing HR can do
1. Talent Management
2. Strategic HR
•
•
HR Business Partner
HR practices aligned with strategy
3. Help employees focus on strategy
4. Demonstrate business acumen
•
Know the key drivers, competitive landscape and
financials of the business
5. Advocate for employees
•
Make it a great place to work
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Business Leaders said
• Common suggestions
– Remain connected with customers
• Embassy Bank customer for life
• Heinz food’s diversity initiative to align with
customer affinity groups
– Keep employees focused on customer
needs
– Maintain external focus
– Talent management
– Become a great place for your employees
to work
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Implications
from research
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Five practices of Market
Driven HR Leaders
External
Focus
Deliver
strategic
action
Relentless
attention to
Talent Mgt
Drive
alignment
Continuously
improve
Market
Driven HR
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External focus starts with the
business
Vision
Our vision is to be the earth’s most customer centric
company; to build a place were people can find and discover
anything they might want to buy online.
Purpose statement
Save people money so they can live better.
Mission
To inspire and nurture the human spirit – one person,
one cup and one neighborhood at a time.
Mission statement
Dedication to the highest quality of customer service
delivered with a sense of warmth, friendliness,
individual pride and company spirit.
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External Focus for HR
Learn the industry
Understand the competitive
landscape
– Who are the customers?
Identify the people
practices of the
customer, the
competitors
• What do they want/need?
– Who are the competitors?
• What are their strengths and
weaknesses?
• What is their position in the
marketplace?
Stay abreast of best
practices that may
apply to your
business
– What are the trends in the
market?
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Deliver strategic action
• Immerse yourself in the company
strategy
• Seek opportunities to create value
• Concentrate on delivering busines
impact
• Use metrics that matter and share
them with business leaders
• Align HR strategy with overall
business imperatives.
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Relentless attention to talent
management
• Right people in the right roles with the right
skills for the current and future needs
• Identify the talent brand and value proposition
– Embassy bank approach to hiring
• Drive improved performance
• Get clear about what the right competencies
are, then build or find them
• Create an environment for retention
– Workplace of choice
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On becoming a workplace of
choice
•
•
•
HR Business Partners.
Long term career paths for employees
Amazonians on Amazon
Amazon.com/inside careers
•
•
•
•
•
Key strategic objective for Wal-Mart in 2005 is to make the
company an even better place to work.
Diversity training for all supervisors
Cash registers set to shut down so people will take breaks
HR available 24 hours a day
Leadership development and mentoring for women
Allbusiness.com
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More examples
•
•
•
•
•
•
•
Employees are called partners
Focus on diversity
HR Theme -Love what you do!
All partners get an education in coffee from roasting to
tasting
Senior leaders hold open forums to connect with all levels
of the organization
Monthly mingle events and Partner Clubs
Best place to work 5 different years
Starbucks.com
•
•
•
•
Power of relationship
Recognition on the website of employees by CEO
Best place to work
The southwest Way
–
–
–
•
Warrior spirit
Servants Heart
Fun Loving attitude
Investment in learning
–
–
–
–
University for people
Leadership development
Job shadowing
Promotion from within
Southwest.com
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Drive alignment
• Understand, interpret and clearly articulate the mission
• Communicate to build alignment
• Organize performance measures to align with the market
driven approach
• Design the organization to respond to customer and
market needs
• Reward market driven behaviors and accomplishments.
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Continuously improve
Good enough is NEVER good enough!
Plan
Do
Act
Check
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In summary
• There are some common HR practices of Market
Driven companies
• HR must demonstrate the five practices of market
driven businesses
–
–
–
–
–
External focus
Strategic HR
Relentless attention to talent management
Align people with strategy
Continuously improve
• HR has a key role to play!
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Questions & Answers
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