Social Exclusion Social The emerging business and exclusion social context Geoff Glover VP HR Talent Management 11/11/2011 Geoff Glover Vice President Human Resources, Talent Management Page 1
agenda Social „ Global Business and Social Developments exclusion „ Consequences / Responses at Company Level Geoff Glover „ Consequences / Suggested approaches at society level VP HR Talent Management „ Closing Remarks 11/11/2011 Page 2
Volvo in the World Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 19 650 Page 3
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 4 Population
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Physical economic activity Page 5
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Patent Page 6
The Evolving Global Reality Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Brazil 3% of world population 198 m people 2,5 of world GDP Page 7
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 8 Source: Frost & Sullivan
Social exclusion Geoff Glover 150 million VP HR Talent 88 million Management 53 million 134 million 750 million 462 million 484 million 550 million 600 million Source: Booz & Company
The Current Competition Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 10
The New Competition? Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 11
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 12
Global knowledge economy Knowledge Social exclusion 20th century Industrial 21st century Geoff Glover Capital Land Economy Global knowledge VP HR Talent Management economy -Land -Labour -Capital 11/11/2011 Labour Driving forces • Globalisation • Information/knowledge intensity • Networking and connectivity Form • Goods and services can be: • Developed, marketed, bought, sold, delivered over electronic network Result • ”Knowledge is King” Page 13
The Business Dynamics The Basis for our Competitiveness To compete successfully in the global economy, Social exclusion we will need to compete on the basis of: Geoff Glover VP HR Talent Management ‟ Being a truly global corporation ‟ Passion for our customers globally ‟ Strong brand identity 11/11/2011 ‟ Luxury products ‟ Creativity & Innovation ‟ Smart / Rapid development ‟ bring to market first ‟ Lean mindset - high productivity to offset cost/ scale disadvantages ‟ Sustainable development solutions ‟ Superior service dimension High Value Add Page 14
Competence is the Key to High Value Add Social exclusion Geoff Glover VP HR Talent Management Competence 11/11/2011 Competence is: Knowledge Experience Skills Behaviours We must ensure it’s supply Attitude Page 15
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Source: Deloitte Research Page 16
Changing demographics Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 17
Changing Attitudes Attitudes in Europe threatening the Social Competence supply exclusion Geoff Glover VP HR Talent Management
Changing Attitudes Attitudes in Europe threatening the Social Competence supply Supply development indicator exclusion Indicating trends in the supply of human resources in MST (accounting for demography, educational attainment and choice of MST education) Geoff Glover VP HR Talent 3 Extremely positive Management Very positive USA 2 Finland Poland Positive 1 Ireland Insignificant 0 Belgium Netherlands -1 Negative Italy France Germany Kingdom United -2 Very negative Europe Sweden Japan -3 Extremely negative Källa: ERT
Changing Attitudes Attitudes in Europe threatening the Social Competence supply exclusion Geoff Glover - to new Graduates VP HR Talent Management 11/11/2011 Source: Talent and Organisation Perfomance 2008 Accenture Page 20
Changing Attitudes Attitudes in Europe threatening the Competence supply Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 21
Competence supply under threat in the “West” Decreased volume of talent supply – Demographics Social exclusion Decreased interest in technical education and career choice Geoff Glover VP HR Talent Management Diversity – female employment rate needs to increase 11/11/2011 Less female interest for the industrial sectors Less motivation to achieve higher level positions Page 22
Drivers of Change Diversification Social Offshoring Global of products & Business to outsourcing corporations services exclusion business Equality of partnerships Opportunity Mergers & Diverse Geoff Glover Diversity Relationships Innovative Acquisitions VP HR Talent Communication Employer of Management Leadership Positive Asset Utilisation Choice Global Integrity to change Employer Branding perspective Learning Org. Team Players Flexible/Versatile Win the war Capable and Excellence in Compliance Strategies commited for Talent Durability 11/11/2011 people organised for execution Lean Think Business Continuously Worklife blend success Systemic Learning Quality Systems Courage Flexible Work Thinker Task Orientated Product and technology Business Practices entrepreneur shifts Empowered People Acumen Customer Development Brand Management Corporate social Focused Customer centricity responsibility Well being agenda Able to “add value” E-Commerce Global E- Communication Life Long learning perspective E-Learning change mngt Innovation Work design drives Page 23
agenda Social „ Global Business and Social Developments exclusion „ Consequences / Responses at Company Level Geoff Glover „ Consequences / Suggested approaches at society level VP HR Talent Management „ Closing Remarks 11/11/2011 Page 24
Global Corporations Social Highest quality product/service to exclusion most profitable Worldwide market at Geoff Glover lowest cost under VP HR Talent Management changing market and competitive conditions through Global sourcing of: 11/11/2011 • Raw materials • Technology • Capital • Facilities • Human Resources Page 25
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Source: Frost & Sullivan Page 26
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Employer of Choice Criteria „ People want to join „ People appreciate working for „ People want to stay with or return „ You recommend to friends Page 27
Diversity Agenda Social „ Embracing ”Manyness” exclusion ‟ Countries, economies, markets, locations, employees, customers, products, languages, generations, attitudes and beliefs. Geoff Glover VP HR Talent „ Polycentric rather than monolithic organisations Management „ Diverse employees: 11/11/2011 ‟ Act as ”bridges” ‟ Offer different perspectives ‟ Challenge norms and enhance creativity „ Employer of Choice: ‟ A Home for Diverse Talent Page 28
The Growth of Values Social exclusion Sustainable Geoff Glover development Brand VP HR Talent Management 11/11/2011 Values Organisational Dispersion Employer brand, Increased transparency CSR agenda Page 29
Value and Values Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 30
agenda Social „ Global Business and Social Developments exclusion „ Consequences / Responses at Company Level Geoff Glover „ Consequences / Suggested approaches at society level VP HR Talent Management „ Closing Remarks 11/11/2011 Page 31
Supply and Demand ‟ the ideal Scenario for every business Social • Low risk of attrition exclusion •Low investment in ”employability” • Ready for growth Geoff Glover • Region attracting inward investment VP HR Talent Management due to skills availability 11/11/2011 High availability Low availability of competence Company of competence in Region in Region • High risk of attrition. •High investment in ”employability” • Risk of stalled growth • Outflow of companies Page 32
Creating An Explosion Of Lifelong and Lifewide Learning Validation Recognition Assessment Accreditation Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 The Region • Champions learning • Provides enabling infrastructure • Co-ordinates research • Encourages non traditional partnerships • Establishes targets • Helps spread best practice • Set standards • Recognises Excellence Page 33
Social exclusion Geoff Glover VP HR Talent Management 11/11/2011 Page 34
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