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Copyright © Best Practices®, LLC BEST PRACTICES, ® LLC Building Global Capability Creating and Maintaining Effective Global Teams Strategic Benchmarking Research, Analysis & Recommendations

Best Practices in Building Global Capacity for Corporate Teams Report Summary

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Page 1: Best Practices in Building Global Capacity for Corporate Teams Report Summary

Copyright © Best Practices®, LLC BEST PRACTICES,®

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Building Global Capability Creating and Maintaining Effective Global Teams

Strategic Benchmarking Research, Analysis & Recommendations

Page 2: Best Practices in Building Global Capacity for Corporate Teams Report Summary

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Project Overview

Key Insights

Detailed Findings

Appendix

Why companies establish global teamsHow companies measure progress toward globalizationTools and practices that accelerate progressPractices that facilitate working with other cultures, time zones and workplacesHow progress of individual global teams is measuredTop improvement objectives for global teamsKey lessons learned for managing global teamsThe biggest pitfalls to avoid

Table of Contents

Page 3: Best Practices in Building Global Capacity for Corporate Teams Report Summary

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Project Methodology and Study Objectives

Primary research was conducted through an online survey instrument.

This benchmarking study aims to explore tools and techniques that companies use to function effectively on a global basis and to improve the performance of their global teams and networks.

Building a Global Organization

Tools & Techniques to Help People Work Together

Innovative Practices & Insights

As the building blocks of global organizations, virtual teams can provide a company access to diverse skill sets and expertise, knowledge and wisdom about emerging markets, and round-the-clock business hours for efficiency. However, effectively managing these dispersed teams requires overcoming difficult hurdles.

Page 4: Best Practices in Building Global Capacity for Corporate Teams Report Summary

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Fifty-nine representatives from 56 companies participated in this research. Respondents have an average of 11 years of experience in working with global teams or in helping people work better together globally.

Participating Companies

Amos Laycock Consulting

Ansell Services (Asia) Sdn Bhd

Maruti Udyog Ltd

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One-Third of Employees Work on a Global Team

Q5. What percentage of the total number of employees work on at least one global team?

75th Percentile 50%

Mean 34%

Median 20%

25th Percentile 10%

(n=53)

Employees

On average, more than one-third of employees work on at least one global team. At 25 percent of companies surveyed, 60 to 100 percent of employees work on global teams.

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11%

10%

6%

49%

25%

Global Operational Excellence

Improve Global Collaboration/Integration

Establish Global Customer Focus

Facilitate Corporate Growth

Other

Global Teams Help Achieve Operational Excellence

Q7. Please describe the top three goals or objectives in setting up global teams at your company.

(n=171)% of Responses

“By establishing global teams, we can ensure the 'voice' of the geographic region is accounted for. We depend on this global resource to help us understand the implications of change from a global perspective.” - Manager, Organizational Development

“By establishing global teams, we can ensure the 'voice' of the geographic region is accounted for. We depend on this global resource to help us understand the implications of change from a global perspective.” - Manager, Organizational Development

Other:• Global innovation• Response to

government initiatives• Safety• Sustainability

Nearly half of participants' goals or objectives in setting up global teams involve achieving global operational excellence. Improving global integration and collaboration, establishing a global customer focus, and facilitating corporate growth are additional goals of beginning global teams initiatives.

1.2.

3.

*Respondents shared up to three goals. The total n reflects number of responses.

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Lack of Common Processes Sets Back Effort

Q12. What are three practices, tools, or techniques, if any, that did not work to accelerate yourprogress or that set back the effort toward becoming a global organization?

(n=110)

22%

22%

5%

29%

23%

Complicated, DisparateProcesses

Poor Leadership/Buy-in

Lack of CulturalOrientation/Training

OrganizationalDesign/Accountability/Alignment

Other

% of Responses

“We talked about being a global organization and did not act it for way too long. As a result, there is a lot of pessimism and distrust that hold global teams back from operating more effectively.” - Manager, Organizational Development

“We talked about being a global organization and did not act it for way too long. As a result, there is a lot of pessimism and distrust that hold global teams back from operating more effectively.”- Manager, Organizational Development

Other:• Country P&L• Explore the opportunity• FDA audits• Financial constraints• Internal company information

No dominant front-runner emerges for practices or tools that impede progress toward becoming global, suggesting there are many places to misstep. Processes, cultural training, and leadership are key areas to monitor for issues that set back efforts.

1.

2.

3.

*Respondents shared up to three tools. The total n reflects number of responses.

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Global Teams Achieving Successes in Many Areas

Q24. Given your progress in achieving your improvement objectives, where have you had the greatest success?

Greatest Success

More Engagement/

Motivation

More Engagement/

Motivation

Goals/ Objectives Alignment

Goals/ Objectives Alignment

Increased Productivity Increased

Productivity

Building Competencies

Building Competencies

Better Comm./ Knowledge

Sharing

Better Comm./ Knowledge

Sharing

• Entire global teams following same process• Genuinely implementing a global best practice• Improved quality levels in the manufacturing organization• Meeting goals and objectives on time, on budget • Service delivery and service capability expansion• Understanding customer and speed of response

• Fostering relationships with global execution unit employees

• Global teams using same language• Integrated schedule• One system of operation • Tools implemented globally to

ensure sharing, collaboration

• Establishing solid objectives tied to business performance goals

• Formation of cross-functional leadership team of the VPs responsible for global SG&A functions

• Development, delivery of training programs• Recognition by international professional association • Sharing practices within similar industries

• Engaging staff and entry level positions

• Joining teams together behind common goal

• Talent management breaking down traditional barriers

In addition to productivity, communication and alignment successes, participants celebrate achievements in building competencies through development and increasing engagement through talent management and team building.

*Summary of verbatim responses

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About Best Practices, LLC

Best Practices, LLC is a research and consulting firm that conducts work based on the simple yet profound principle that organizations can chart a course to superior economic performance by studying the best business practices, operating tactics, and winning strategies of world-class companies.