<Insert Picture Here> How to Start a Workforce Planning Initiative Brian Gaspar-Director of HCM Product Strategy brian.gaspar@oracle.com Agenda • Workforce Planning Defined • How to Start • What do you Need • Workforce Planning Scenarios – Adjusting Plans that are not Working – Improving Plans that are Working – Identifying New Plans • Next Steps © 2009 Oracle Corporation – Proprietary and Confidential How do you know if... these people are underpaid and is not an issue right now? the competition is hiring and these type of people are at risk to leave? the poor performance of this employee negatively impacts these 2 teams? this VP’s span of control an issue? this person will miss their sales quota next quarter? this new hire is unhappy and likely to leave? What is the right decision? Re-Org New Skills Leadership Acquisition Compensation Promote Layoff Compliance Involuntary Termination Do Nothing How do you implement that decision? Workforce Planning Analyze and model the organization by various Human Capital dimensions in order to determine how best to accomplish an objective. Analyze Alert workers to problems and/or provide, in an ad hoc manner, context sensitive indicators that will be used in modeling different plans. • External • Internal • Benchmarks • Predictive Model & Plan Modify controllable indicators thru “what if” to determine how best to accomplish an objective. Implement & Monitor Guide the worker thru the execution of the chosen best course of action and then monitor it’s progress. • Location • Dashboards • Organization • Warehouse • Patterns • Alerts HCM Capabilities Productivity Predict Plan Managing the Business Managing Human Resources Connect Transact Business Impact How to Start 1. Start Small 2. Don’t Buy an Application 3. Use Stated Corporate Goals & Plans 4. Discover things Previously Not Known 5. Focus on Repeatability What do you Need Must Have • Minimum 400 Workers • Access to Basic Company Information • Excel • Management Support • Corporate Goals Optional • Lightweight Charting Tool • Patience Disclaimer 1. 2. 3. 4. 5. All Information Used is Publically Available All Information is from February, 2011 Information May Not be 100% Accurate Views Do Not Reflect the Companies being Discussed Companies Analyzed – Amazon, Apple, Google, IBM, Hewlett-Packard, Microsoft What does a Workforce Plan Look Like? Google’s 10 Things 1. Focus on the user and all else will follow. 2. It’s best to do one thing really, really well. 3. Fast is better than slow. 4. Democracy on the web works. 5. You don’t need to be at your desk to need an answer. 6. You can make money without doing evil. 7. There’s always more information out there. 8. The need for information crosses all borders. 9. You can be serious without a suit. 10. Great just isn’t good enough. http://www.google.com/corporate/tenthings.html Organizational Information Information Needs • Headcount • Jobs • Financial • Costs • Social • Competitors • External © 2009 Oracle Corporation – Proprietary and Confidential Scenario #1-Adjusting Plans that are Not Working © 2009 Oracle Corporation – Proprietary and Confidential 1) Focus on the user and all else will follow Information Needs • Staffing Key Measures • 44%-Customer Support 1) Focus on the user and all else will follow-External Information Needs • Staffing Adjust Plan Added • Unemployment • Compensation • Location Hire from Competition 2) Focus on the user and all else will follow-Competitors Adjust Plan Information Needs • Staffing • Unemployment • Compensation • Hire from Competition • Hire from New Locations • Find new Sources & Locations of Hires Added • Competitors Scenario #2-Improving on Working Plans © 2009 Oracle Corporation – Proprietary and Confidential 9) You Can be Serious Without a Suit Information Needs • Worker Survey’s • Financials • External Improve Plan • Google is #2 in Profit per Employee • Google is #1 in CEO Satisfaction • Google is #2 in Worker Satisfaction 9) You Can be Serious Without a Suit Information Needs • Worker Survey’s • Financials • External Added • Jobs • Compensation Improve Plan-Compensation • Google is 5th for Compensation • Google is 4th for YoY Stock Increase (2.8%) • Competitors Hiring 22k Workers • Google’s Workforce Increasing by 11% Scenario #3-Identifying New Plans © 2009 Oracle Corporation – Proprietary and Confidential 3) Fast is Better than Slow Information Needs • Patents • Capabilities • Competitors Possible Challenge • 4th in Delivering Monthly Capabilities • 3rd in Creation of Monthly Patents 3) Fast is Better than Slow Information Needs • Patents • Capabilities • Competitors Added • Workforce Cost • Positions • Headcount New Plan : How to be fast when Small • Google is the smallest of the 6 Companies • Google is 5th in Open Positions • Google is 4th in Workforce Spend as % of Revenue Summary of Scenarios 1. Adjust Plans that are Not Working – Hire Customer Support workers from competition in new locations. 2. Improve Plans that are Working: – Improve Compensation required to retain & hire workers. 3. New Plan: – Determine how to be faster while being the smallest. Next Steps 1. Validate Changes to Plans 2. Propose Changes to Senior Management 3. Improve Methodology 4. Make Repeatable 5. Now you know how to do…Buy a Tool Places to Learn about Analytics Certifications & Standards • hr.com-Workforce Planning & Analytics Certification • SHRM-U.S. ANSI standard for HR Mertrics Blogs • measuringtalent.wordpress.com • www.hcmanalytics.com Linkedin Groups: • Business Intelligence Group • Measuring Human Capital © 2009 Oracle Corporation – Proprietary and Confidential