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31 With the identification and modeling of DNA, scientists and average percentage of payroll that public and private orga- scholars are now beginning to speak of the Biological Age, nizations invest in learning. This metric showed an increase which they estimate may last 35 years. Another way to from 2.2% in 2002 to 2.5% in 2005, and then disaggregates understand the rate of change is that more information has these data by its three categories. For example, BMF orga- been created in the last 30 years than in all of the rest of nizations also decreased their percentage of payroll expen- mankind's recorded history. diture from 2.47% in 2002 to 1.99% in 2005. The report also provides useful comparisons about the sources of training-- It is within this context that Amy Whitten, a Principle of internal versus external. For example, some 25% to 30% of the Whitten Group based in Jackson, Mississippi, discussed expenditures were for outsourced learning. It also has an successful practices for managing organizational change at excellent section on the use of technology in learning. Inter- the 2005 National Transportation Training Directors Confer- esting data from the 2005 report show that nearly 30% of ence. She identified four types of reaction to change: learning is now delivered by means of technology and that more than 50% of that was online. Of the online learning, Entrenched individuals who want minimal change, 75% or more was self-paced. Overwhelmed individuals who withdraw and avoid changing, The WatsonWyatt Worldwide Human Capital Index is a The learner who embraces change who is engaged and second source of comparative data for training, development, growing, and and other human capital programs (see http://www.watson The individual who simply makes it up as he or she goes wyatt.com/research/resrender.asp?id=W-488&page=1). As along. ASTD does with its BEST award winners, WatsonWyatt's Human Capital Index develops metrics that demonstrate the Understanding these types and their approach to and impact values, or lack thereof, that flow from various human capital on change is essential to developing strategies and plans for investments. This database has multiyear information from designing and implementing successful change. Keys to 750 corporations and a growing number of public-sector reducing resistance to change include powerful communi- organizations. cation of the vision for change (which means that a vision was developed), a realistic implementation plan and time- A third source is the comparative data that can be found frame supported by an appropriate level of resources, a at the Saratoga Institute, a subsidiary of PriceWaterhouse sense of humor to get through the tough times, strong Coopers. This database contains workforce diagnostics that expectations of success and of employee and managerial can provide insights on issues where training and develop- contribution and participation, tough love, and calculated ment may be the solution (see http://www.pwc.com/extweb/ wins (ensuring that there are visible, measurable successes service.nsf/docid/623831886DE2BC6A85256EBA0058B along the way and that those are both recognized and cele- C4). NAPA worked with the Saratoga Institute in the late brated). Those interested in learning more about this 1990s and early 2000s to incorporate public organization approach to change can contact Ms. Whitten at www.the data in the databases. whittengroup.com. SUCCESSION PLANNING TRAINING METRICS Jack Welch, former CEO of GE, was famous for his attention to succession planning for key leadership positions within Although each state DOT must establish its own set of met- GE. He believed that succession planning was the key to rics that reflect the quality, quantity, and timeliness of its organizational success. The following except from a 1998 training and development efforts and their contributions to Business Week article about Welch demonstrates his partici- improving individual and organizational performance and to pation in and commitment to succession planning. He was achieving the organization's strategic goals and objectives, never "too busy." Selecting and grooming the next genera- there are a few measures that can be compared with national tion of leaders was his job (Byrne 1998). figures. For example, the ASTD 2005 State of the Industry Report contains 9 years of data about such issues as the aver- Welch knows by sight the names and responsibilities of at least age training expenditures and other relevant metrics. For the top 1,000 people at GE. `He knows their names. He knows example, according to the 2005 report, the average annual what they do. That's an incredible reinforcement to the individ- expenditure was $820 per employee, an amount that has ual that he or she counts,' says Dunham of GE's Medical Systems business. . . . That message has been consistently hammered remained stable since 2002. The report further disaggregates home by Welch since he became CEO in 1981. Nowhere does the data for three major groups. For example, Benchmark- Welch put greater focus on people and performance than in the ing Forum (BMF) (Fortune 500 and large public sector) company's annual Session C reviews that begin in April and last through May. With three of his senior executives, Welch travels organizations spent $1,190 per employee, which is a reduc- into the field to each of his 12 businesses to review the progress tion from the average expenditure of $1,366 in 2002. of the company's top 3,000 executives and keeps closest tabs on Another useful comparative metric in this report is the the upper 500.

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32 . . . . These are intensive reviews that force those running the developmental needs, and short- and long-term goals, together units to identify their future leaders, make bets on early-career with their supervisor's analysis. Photos of the employees being `'stretch'' assignments, develop succession plans for all key tracked and reviewed accompany the package. jobs, and decide which high-potential executives should be sent to Croton-on-Hudson for leadership training. . . . How can Welch possibly weigh in with intelligent comments about so many In every potential leader, Welch is looking for what he now diverse managers and executives? Largely, it's because he has calls `'E to the fourth power,'' his term for people who have met so many of them. In an average year, Welch directly meets enormous personal energy; the ability to motivate and energize and interacts with several thousand GE employees. At the session, moreover, he sits behind a briefing book that contains others; "edge"--the GE code word for being instinctively every employee's assessment of their strengths and weaknesses, competitive--and the skill to execute on those attributes.