Get access to the exclusive HR Resources you need to succeed in 2018.
Sign up for free email newsletters and get more SHRM content delivered to your inbox.
Is your employee handbook keeping up with the changing world of work? With SHRM's Employee Handbook Builder get peace of mind that your handbook is up-to-date.
Build competencies, establish credibility and advance your career—while earning PDCs—at SHRM Seminars in 14 cities across the U.S. this fall.
Gain the skills you need to rise to the next level in your career. Jon us at SHRM's Leadership Development Forum, October 2-3 in Boston.
Fidelity tracks its employees’ potential using talent portfolios
Members may download one copy of our sample forms and templates for your personal use within your organization. Please note that all such forms and policies should be reviewed by your legal counsel for compliance with applicable law, and should be modified to suit your organization’s culture, industry, and practices. Neither members nor non-members may reproduce such samples in any other way (e.g., to republish in a book or use for a commercial purpose) without SHRM’s permission. To request permission for specific items, click on the “reuse permissions” button on the page where you find the item.
NEW YORK—Talent management strategy needs to be customized and aligned with an organization’s business challenges and unique operating environment to ensure its positive impact on the bottom line, said several experts speaking at a conference here Feb. 13, 2013.
“There really is not a cookie-cutter approach to installing a workforce strategy,” said Michael Haid, Right Management’s executive vice president for talent management, at The Conference Board’s Talent Management Strategies Conference.
But HR professionals and their organizations often struggle to develop a talent management strategy, he said, citing data from Right Management’s research. For example, only 12 percent of 628 North American companies that Right Management surveyed reported having a fully implemented talent management strategy, according to the company’s September 2012 report,
The Struggle Over Talent Management Strategy.
The survey included responses from senior leaders and HR practitioners. Twenty-five percent of those surveyed said they have a talent management strategy but can’t call it “fully implemented” because of corporate barriers or challenges. In addition, 44 percent reported that they have a series of separate HR initiatives, but they aren’t connected and there’s little alignment.
“So they can’t really call that a strategy,” Haid noted.
The study found little consensus about what’s getting in the way of implementation. Top reasons cited by respondents included:
Haid said organizations often run into problems when strategies lack clarity, aren’t actionable or measurable, and aren’t communicated properly. Strategies should take into account unique business challenges such as the economic climate, as well as regulatory and geo-political environments, to ensure executive buy-in and to be most effective, Haid said.
Fidelity’s Talent Portfolios
Three years ago, Fidelity Investment’s corporate operations division began evolving its talent practices to do just that.
Faced with a changing business environment and complex organizational structure, the group moved beyond just gathering data and thinking about individuals and replacements by adopting a talent portfolio mindset that helps support broader business strategies while monitoring and protecting its critical workforce assets.
“We’re in an evolution, trying to move from binder production to actually having meaningful dialogue that results in meaningful action that sustains the health of our firm and manages risk,” explained Monty Stepura, vice president of talent management and development for Fidelity.
Fidelity’s corporate operations division oversees operations and IT functions and segments talent into categories that executives want to know more about. Because Fidelity is a financial services firm, she said it uses the language of the business to describe the talent process.
“Talent segmentation enables us to do some analysis and to manage the health of the talent portfolio because we’re able to see where we have risks, where we have gaps and where we’ve got core capability that can be leveraged,” Stepura said. “We also do this so we know where to invest in the portfolio.”
Mitigating risk is key. When it comes to talent, Stepura said Fidelity looks at six potential risks and asks the following questions:
Working with company leaders, Fidelity decided to segment key talent into six categories. Using a
9-box grid, each person’s potential and current performance are evaluated on a scale of high, medium or low. Each person also is designated as either business critical and/or a subject matter expert, Stepura said.
High-potentials receive one more layer of segmentation using a 9-box grid to determine whether they’re an emerging leader (that is, a mid-level leader beginning to lead effectively and stand out from peers) or enterprise talent (that is, a higher-level employee who can lead across functions and who wants to move around the business), Stepura said.
When reporting this data, Fidelity also asks leaders to provide information about their direct reports and to answer questions about current and future business challenges and talent implications. The company then analyzes all the information recorded and produces summaries that include “heat maps” that help to determine when to begin tracking high-potential employees or emerging leaders.
“We get the data, we crunch it, we tell the story, we present this back,” said Patti Wallace, Fidelity’s director of corporate operations talent practices, who conducted the session with Stepura. “Some stories begin to emerge,” when reviewing these reports. “Leaders really like these things.”
In the future, Fidelity hopes to set targets for various segments to see if they’re consistent with industry benchmarks, she added.
Measuring Talent Risk
The company overlays its data with another 9-box model that measures five potential risks for various employees:
Individual talent profiles look somewhat like large, detailed baseball cards and provide a snapshot of each leader’s education and work history, pertinent work and performance information, as well as plans that can address development or onboarding opportunities, Wallace said.
Pamela Babcock is a freelance writer based in the New York City area.
You have successfully saved this page as a bookmark.
Please confirm that you want to proceed with deleting bookmark.
You have successfully removed bookmark.
Please log in as a SHRM member before saving bookmarks.
Please sign in as a SHRM member before saving bookmarks.
Please purchase a SHRM membership before saving bookmarks.
An error has occurred
Recommended for you
SHRM Seminars are coming to cities across the US this fall.
SHRM’s HR Vendor Directory contains over 10,000 companies