The Changing State of High- Impact Learning in the UK and ... · Used with Permission – Originally Published in “NetDimensions: A Unique Provider of Learning and Talent Systems,”

Copyright © 2013 Deloitte Development LLC. All rights reserved. 1 Copyright © 2013 Deloitte Development LLC. All rights reserved.

The Changing State of High-Impact Learning in the UK and Europe

David Mallon Vice President for Research & L&D Practice Lead Bersin by Deloitte Deloitte Consulting LLP

Copyright © 2013 Deloitte Development LLC. All rights reserved. 2

Bersin by Deloitte §  What We Do

-  Global provider of leading practices, trends, and benchmarking research in talent management, learning, and strategic HR.

-  60% of the Fortune 100 are Bersin by Deloitte research members, with more than 19.5 million employees managed by HR teams using Bersin Research.

§  Broad Research Practices •  Human Resources •  Leadership Development •  Learning & Development •  Talent Acquisition •  Talent Management •  HR Technology and Operations

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-  WhatWorks® Membership: Research, Tools, Education, Consulting

-  IMPACT®: The industry’s leadng conference on the Business of Talent

-  Advisory Services & Consulting

Human Resources

Leadership Development

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www.bersin.com


Established in 1999, NetDimensions is committed to leadership in performance, knowledge, and learning technology. Their global solutions help organizations achieve productivity & efficiency improvements, cost reduction, risk management, and cultural & process innovation. They have worldwide offices, as well as a global reseller network that extends to over 40 countries. NetDimensions serves over 380 clients with more than 2.8 million users.

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The High-Impact Learning Organization §  Broad analysis of more than ~300

G2000 organizations worldwide

§  Quantitative and qualitative analysis of major dimensions of corporate training

§  In-depth correlation against business outcomes to identify specific areas of focus

§  Creation of the first ever High-Impact Learning Organization Maturity Model

U.S 28%

Canada 12%

Mexico 8%

Latin/South

America 9%

Western Europe /

U.K. / Ireland

13%

Eastern Europe

9%

Africa / Middle East 8%

Asia-Pacific

(including Australia

& New Zealand)

13%

Source: Bersin & Associates – Key Findings : Becoming a High-Impact Learning Organization, 2012


UK Learning Factbook 2013 Benchmarking data to assess & improve your L&D function

§  Summary of trends

§  Cases in point

§  Data tables

§  Metrics include -  Spend per learner -  Staff per learner -  Hours per learner -  Cost per student hour -  Delivery methods -  Use of tools and

technologies


Agenda

§  Changes in the Workforce and Workplace Force Changes in Training & Development

§  EMEA Responds: Trends in High Impact Learning and Global Comparisons

§  Spotlight on the UK: As Training Evolves, the Budget Falls

§  Closing Thoughts


Today’s Global Talent Challenges

§  “We have entered a global economy where talent and skills shortages challenge world economic and business growth around the world.” -  Klaus Schwab, Chairman, World Economic

Forum

§  Despite the high unemployment rates in many countries, more than 65% of global leaders cite “talent and leadership shortages” as their #1 business challenge. -  Bersin & Associates

TalentTrends®, Fall 2012


The New Workforce and New Workplace

Employee

Mentor

Peer

Partner

Candidate

Customer

W O R K P L A C E Interconnected

Dynamic

Performance-driven

New Leadership

More Specialized

New Models for HR

W O R K F O R C E Multi-Generational

Global

Interconnected

Mobile

Transient

New Models for Career

Manager


Specialization: War for Skills §  Expertise drives competitive

advantage

§  Specialization improves quality and reduces cost

§  Shelf-life of skills is shrinking

§  Deep skills are developed through “deliberate practice” and reinforcement

§  Lattice-like career development builds such skills

§  Individuals with deep skills can easily leave to another position or contingent work

§  The solution is not more education and training, but continuous, tailored professional development

Back Office, Operational, Contingent Employees

Functional Specialists / Front-Line Employees

Top Management

Senior Management

Middle Management

Senior Specialists First Line

Management

The Experts

© Bersin Career Development Model


Comparing the Top 5 Challenges by Operating Regions

US/Canada Only EMEA Only Multiple ALL Regions HILOs

Evaluating Impact Alignment Globalizing Alignment Resources

Alignment Efficiency/Cost Evaluating Impact Globalizing Informal

Resources Talent Mgmt & Informal (tied) Talent Mgmt Learning Systems

& Speed (tied) Speed

Transfer of Learning

Transfer of Learning & Evaluating

Impact (tied)

Alignment

Resources & Talent Mgmt (tied)

Evaluating Impact

Effectiveness & Talent Mgmt (tied)



Common Treads Interesting Differences



The Problem

Source: Bersin & Associates – The High Impact Learning Organization Maturity Model, 2012

§ In a world of change ‘Learning’ is an important part of an organization’s ability to thrive.

§ Despite learning’s high profile, few training departments are seen as strategic by the business.


So What’s the Answer?


Agenda






Level 1: Incidental Training Source of Ad-hoc Job Support | Mentoring & Apprenticeship | Emerging Need for Professional Training | SME Focused

Level 2: Training & Development Excellence Source of Designed Instruction | Evolving Governance & Operations Improving L&D Core Processes | Program Focused

Level 3: Talent & Performance Improvement Source of Talent Development & Performance. Consulting | Integrated with HR/TM Development Planning | Career Models | Leadership vs. Professional

Level 4: Organizational Capability Source of Business Performance Capability & Learning Agility Executive Driven | Cultural & Systemic Focus

From T&D to Capability Development High-Impact Learning Organization® Maturity Model

Organization Value of Learning

Utilitarian

Programmatic

Cultural

Strategic

What ‘Learning’ Means to

Leadership

Training & Job

Shadowing

Programs & LMS’s

Agility

Leadership & Talent

Pipeline

What ‘Learning’

Means to the Individual

Trial & Error on My Job

Going to Workshops

Continuous Improvement

/ Career Growth

Preparing for My Next Job



High Impact Depends on a Clear Definition of Talent

COMPETENCIES & PROFILES

CAREER PATHS DEVELOPMENT PLANNING

Q: How successful are you at driving strategic value from? High Impact vs Low

70%

43%

64%

23% 7%

26%



Driving Impact from Learning + Talent Regional Differences

40%

38%

23%

54%

8%

48%

44%

27%

30%

26%

60%

46%

37%

37%

24%

56%

57%

38%

42%

23%

Individual development planning

Job profiles and/or job-skill-competency mappings

Career development paths

Tuition reimbursement programs

Custom degree programs

ALL Regions Multiple Regions Other Regions ONLY US/Canada Only



HILOs Know Their Audiences What You Don’t Know About Your Learners Can Hurt You

11%

8%

13%

20%

17%

19%

24%

19%

43%

14%

17%

21%

19%

21%

28%

25%

28%

29%

23%

38%

33%

27%

33%

35%

31%

34%

19%

27%

31%

26%

20%

24%

17%

15%

17%

7%

25%

5%

7%

13%

4%

2%

5%

1%

1%

Demographics

Current knowledge/skill/competency level relevant to the

Current work priorities / directives

Resume/CV Material

Current work conditions / environmental constraints

IT literacy / skill level

Cultural background, cultural norms held

Career interests

Social media literacy / skill level

1 - Poor 2 3 4 5 - Excellent HILO organizations are 3X more likely to understand their audience well! Audience analysis has become a critical success factor in capability development.

Collection of this intelligence is a continuous process, not just the A in ADDIE.



Audience Intelligence Regional Differences

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

100%

US/Canada Only

Other Regions ONLY

Multiple Regions

ALL Regions

% of Orgs with Level of Capability

STRONG

MODERATE

WEAK



Nuffield Health Compliance – The Impact of Analytics

§  CLIENT -  Nuffield Health is one of UK’s largest not for profit healthcare organisation -  32 private hospitals, as well as a chain of fitness and well-being gyms in 200 locations in

the UK -  Over 10,000 employees -  Each year Nuffield treats 171,000 patients, works with 130,000 fitness members, and

supports the well-being needs of staff in 1,600 corporate companies.

§  CHALLENGE -  Enterprise-wide risk management -  Actionable compliance analytics based on individual employee risk profile

•  Automatically generated training plan custom to each employee •  Automatically generated risk alerts and reports •  Ongoing risk reporting to governance subcommittees and board stakeholders

§  RESULTS -  Solution: NetDimensions Talent Suite -  Differentiators: Configurability, continuous innovation, overall TCO -  De-facto risk & compliance management platform -  Four-fold increase in auto-enrolments in compliance training, 91% of employees fully

compliant on average, cost savings of £465,000 yearly (based on streamlining learning)

Used with Permission – Originally Published in “NetDimensions: A Unique Provider of Learning and Talent Systems,” Bersin & Associates, 2012



Changing Mixes of Approaches UK firms increase use of online delivery

§  ILT dropped from 77% of hours in 2009 to 53% in 2012

§ Online learning increased from 14% in 2009 to 21%

§ US firms use more online delivery – 34% of hours

Source: UK Learning Factbook 2013


New Roles & Skills Letting go of the “Content Design and Delivery” Role

Employee

Content Manager (Media)

Community Manager

(Interactions)

Connection Manager

(Directories)

Content Standards Authoring Tools Content System(s) Publishing Tools Information Architecture

Community Management Sharing Guidelines Cultural Reinforcement Rewards and Feedback Monitoring and Standards

Systems Integration Interface to IT standards Expert Directories

Portfolio Manager

Performance Consultant

Talent

Management Expert

Knowledge Management

Information Architecture

Business Intelligence

Rich Media / Info Visual.

Performance Consulting


Performance Consulting

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

100%

US/Canada Only

Other Regions

ONLY

Multiple Regions

ALL Regions

98% of HILOs are at least above average in Performance Consulting Capability!


STRONG

MODERATE

WEAK



Able to Navigate Changing Technology Technology Transformation + Diverging Needs = Splintering LMS

Training Management System Automate the Process of Instructor-Led Training

E-Learning Platform Make e-Learning Possible, Make It Easy

Corporate Learning Application Integrated with Other Learning/HR Systems to Support Enterprise Learning

SOCIAL

MOBILE

CLOUD

SOCIAL

MOBILE

CLOUD

Specialists

Industry Vertical, Regulatory Compliance,

Extended Enterprise, High-Volume Training

Social Learning

Communities of Practice

Knowledge Sharing Continuous Learning

Talent Management

Performance Management, Career Development,

Succession Management, Competencies & Profiles



Learning Technology Adoption UK has much higher adoption of learning systems and tools since 2009




Learning Technology Budgets UK and US On Par



Fugro Group Mobile – On-the-job Performance Development

§  CLIENT -  Fugro Group, a Dutch multinational providing Survey, Geotechnics and

Subsea Services to oil, gas, mining & construction industries -  2012 revenues of €2.16bn

§  CHALLENGE -  Deliver on-the-job learning, assessments & competency-driven performance

development -  Intuitive user interface for mobile access -  Remote workforce often in locations with no connectivity -  12,000 users with at least half of them in the field and 1/4 at the same time

§  RESULTS -  Solution: NetDimensions Learning & Performance (SaaS) and mEKP -  Employee engagement for new hires is 10 percentage points higher than

average because of mobile delivery of training & access to career development -  Planning to now roll out competence assessments at the point of performance

Used with Permission – Originally Published in “NetDimensions: A Unique Provider of Learning and Talent Systems,” Bersin & Associates, 2012


Enabling Social Learning Implementing Supporting Technologies

Expertise Matching / Network Building

Social Learning Environments / Events

Blending Social into Formal

Coaching & Mentoring, Apprenticeships,

Rotations

Communities of Practice

Environmental / Multiple Needs

Tactical / Problem Solving

Programmatic / Single Need

Strategic / Capacity Building



Social Learning Capability

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

100%

US/Canada Only

Other Regions

ONLY

Multiple Regions

ALL Regions


STRONG

MODERATE

WEAK



Experimenting with Social Learning UK’s use of social tools has increased significantly over last 3 years



Agenda






The Training Department Evolves While the Budget Falls

§ % of UK organisations that cut training budgets in 2012

§ In US, budgets rose 10% in 2011 and 12% in 2012

Source: Bersin by Deloitte, The UK Learning Factbook, 2013


This Evolution Should Bring Efficiencies UK spends more per head on training, but…

As comparison, mature High-Impact Learning Organizations spend $867 per learner.



The Cost Is Higher In the UK



UK Uses More T&D Professionals


In 2006 and 2007, the US was at 6.7 staff per learner. The trend has been down ever since.



Yet, US Firms Provide Far More Training



Agenda






2%

17%

33% 34%

14%

2% 0% 3%

56%

39%

We are reactive / tactical / Our purpose is

to simply fulfill.

2 3 4 We are proactive / strategic / Our purpose

is to act as business partner.

Overall % HILO %

HILOs Drive Business Value

How do you think your leadership perceives your learning organization?

Not surprisingly, HILOs are 8.33 X more likely to be seen as strategic business partners.

95% of HILOs are well valued.

52% of overall orgs are mediocre or worse.

Between 2008 and 2011 High-Impact Learning

Organization profits grew 3X faster than the rest of

the orgs studied.



21st Century Learning: It’s Different §  Remember that Learning is a continuous process and is

always talent-driven

§  Take a marketers eye to understanding the audiences you serve in great detail, and design for needs and mobility

§  Prepare for a new role as an facilitator of learning and not only trainer or developer

§  Honor, engage and enable the front-line leader – the primary “teacher” in your organization.

§  Focus on creating a culture of learning to drive adoption and success

§  Build learning environments, not just interventions

§  Develop an architecture to leverage content and experiences across all learning programs, including social and mobile

§  Expand measurement beyond traditional L&D measures to build “Data-Driven” decisions


Questions Or Comments?

David Mallon Vice President, Research Bersin by Deloitte Deloitte Consulting LLP [email protected]

Copyright © 2013 Deloitte Development LLC. All rights reserved. 42 Copyright © 2013 Deloitte Development LLC. All rights reserved. 42

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About Deloitte As used in this document, "Deloitte" means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting.. Copyright © 2013 Deloitte Development LLC. All rights reserved. Member of Deloitte Touche Tohmatsu Limited

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The Changing State of High- Impact Learning in the UK and ... · Used with Permission – Originally Published in “NetDimensions: A Unique Provider of Learning and Talent Systems,”