We make ICT strategies work

Future Skills & Talents

Impact on HRM

Björn Menden

Zurich

September 2015

Introduction – Who is Detecon?

Introduction: Deutsche Telekom and Detecon

Detecon’s strategy and management consulting services enhance the value creation

chain at Deutsche Telekom.

© D

ete

co

n

– 3 –

Present in 50 countries and employing 230,000 worldwide

No. 1 on the German market: TC, mobile, IT

Own computer centers and networks worldwide

€62.7bn in turnover

About 2m marketed workplace systems

> 141m mobile services customers

> 32m fixed network customers

> 17m broadband customers

About 3m TV customers (IPTV)

Deutsche Telekom in Numbers

Deutsche Telekom: your first choice for networked living and working.

ICT solutions for the Deutsche Telekom key accounts

Detecon, the management consulting unit of the DTAG Group

Experienced, international, competent!

Consulting from the strategy to realization – seamlessly, in collaboration with our clients,

worldwide.

Introduction: Deutsche Telekom and Detecon

Our success: global sharing of knowledge and experience.

© D

ete

co

n

– 4 –

> 11,000 projectsrealized worldwide

55 yearsof market experience

1,100 associates in our offices from Beijing to San Francisco

Clients in more than 165 countries

Colleagues from over 40 countries

Detecon Branch Offices Data & Facts

The Challenge

The Challenge

The rapidly changing ICT market requires corresponding continuous updates of the skill

portfolio in order to address new customer needs.

© D

ete

co

n

– 7 –

1991World WideWeb (WWW)

1993Pentium

1994

1995

1995

1998

1997IEEE 802.11

2007iPhone

2010iPad

2003

2004

2001

1990GSM

Standard

1999

2006

1996

2009Launch

19921998

1st MP3Player

1997IEEE 802.11

20001 GHz

19912002

1 BillionPCs shipped

2004Firefox 1.0

20011st UMTSNetwork

2006

2008

1996 2010MobilePhoneUsers

>4bn.

2008Internet

User

1.4bn.

Due to its complexity and pace of change the ICT industry is one of the most challenged in terms of skill management.

The growing scarcity of ICT key skills and people requires skill management to become top priority.

1992

1990 2000 2010 2020 2030

The Challenge

In order to become and to stay competitive it is vital for ICT companies to proactively

manage their required skill base.

© D

ete

co

n

– 8 –

Challenges

Expanding Telco market, growing competition

Lack of transparency with regard to required and available

skills

Lack of skilled resources

High fluctuation of skilled resources

– 8 –

What skills/people do I need? Definition and management of required skills/people!1

How do I get the people / skills? Obtaining and developing required people/skills!2

How do I keep the people/skills I need it? Retention of required people/skills!3

The Challenge

The business challenges the ICT industry is facing require an update of the skill

portfolio; skill gaps have to be identified and closed in order to stay competitive.

© D

ete

co

n

– 9 –

Business Demands

Services as competitive factor

Micro segmented target groups / mass customizing

Flexible design of service processes / partner management

Customer service as competitive factor

Skill Requirements

Customer- and service-orientation

Flexibility with respect to operation

Creativity for a high rate of innovation

Readiness for learning and for personal development

Self-determined daily business

Business Demands

Technology as basis of business model

Unspecific mass business

Mastery of mass processes

Ensure basic service

Skill Requirements

Technology-affinity with deep and detailed specific know-how

Past Future

Strategic Priorities

Cultural Priorities

The Challenge

Detecon‘s model encompasses all of the major steps, processes, and activities required

to systematically manage an organization’s talent and its skills.

© D

ete

co

n

– 10 –

+ Workforce Performance

+ Business Impact

Business Landscape Talent Implications Growth Engine Outcomes

Success Profile

Capacity Gaps

People Trends

CapacityProjections

Organisation Situation

Business Drivers

Selection Development

Talent Strategy

Communication:: Accountability::Skills::Alignment:: Metrics

Technology Enablers

Sustainability

Performance Management

Succession &RetentionManagement

Use Case HR Deutsche Telekom

Use Case HR Deutsche Telekom

Encourage leadership and performance development is one of the pillars in the overall

DT Group strategy.

© D

ete

co

n

– 12 –

LEADING TELCO

INTEGRATED IP NETWORKS

WIN WITH PARTNERS

BEST CUSTOMER

EXPERIENCE

LEAD INBUSINESS

TRANSFORM PORTFOLIO

EVOLVE FINANCIAL TARGETS & EFFICIENCY

ENCOURAGE LEADERSHIP & PERFORMANCE DEVELOPMENT

Use Case HR Deutsche Telekom

Group strategy, global trends and contextual factors are governing the HR activities

within DTAG.

© D

ete

co

n

– 13 –

DT facts & figures

approx. 230,000 employees 50 countries Ø age: D 44.7/int. 36.0 Regulation Competition Cost pressure

Internal and external contextual factors define DT’s scope of action

The Group strategy provides the framework and concretizes company objectives

Global developments and trends are changing our living environment and impacting our company

Global trends

Digitization Globalization Changing values Demographic change Knowledge society

Leading Telco

Tasks & Challenges for HR Strategy

Use Case HR Deutsche Telekom

HR is supporting overall leading European telco strategy by development and alignment

of activities with distinctive impact on leadership and talent management.

© D

ete

co

n

– 14 –

Leading EUROPEAN Telco

Live new leadership culture

Foster internal job rotation

Ensure clear end-to-end responsibility

Link incentive schemes to performance & share price

Push for cross functional, cross segment careers

Invest in training, up-skilling on all levels

More…

Leadership ...collaborate, innovate and empower to perform.

Diversity ...international mindset.

Responsibility …clear leadership and ownership.

Incentivation …rising the bar for overall success.

Talent Management …international leaders & experts.

Qualification …skill development for future business.

Use Case International Career

Management

Use Case International Career Management

International career management’s five step approach builds a bridge between

internationalization, business needs and talent management.

© D

ete

co

n

– 16 –

Approach

1

2

3

4

5

Example: Strategic Area to meet PanNet 2020

Identification of Talents

People with required set of skills and international career ambitionsIdentification

of Business Needs

Positions Announcements

Creates visibility and awareness of the available opportunities

International Career Rounds

Placement enables and gives visibility on the talents within organization

Assignment / Placement

Execution of the placement

International Career Paths @ DTAG

Use Case International Career Management

Various international assignment types have been developed as a solutions to facilitate

various business needs.

© D

ete

co

n

– 17 –

Assignment with clear personnel development focus

For high performers and high potentials

Telekom X-change1

Duration 3-6 months

Regular work in two different countries

No disciplinary leadership function

Not fully integrated into NatCo org.

Commuter Assignment3

Duration > 3 months

Line manager or line function

Cost center responsibility (P&L)

Organizational integration in NatCo

Mainly strategic tasks

Expat Assignment4

Duration 3 months up to 5 years

Line manager or line function

Organizational integration in NatCo

No return guarantee

Employment contract under local conditions5

Duration unlimited

Timely flexible project management Internal or customer project No cost center responsibility No disciplinary leadership function Not fully integrated into NatCo org.

Project Assignment2

Duration < 12 months

Use Case TPS (Vivento)

Use Case TPS (Vivento)

TPS is the central point of contact for staff restructuring. They support the business

units and employees affected by workforce restructuring or want to change voluntary.

© D

ete

co

n

– 19 –

Case Study – Deutsche Telekom – Telekom Placement Services Example

Staff Restructuring Advisory and Placement

Interim Services

Customer Services

TELEKOM PLACEMENT SERVICES

Manage restructuring and placement

Bridging temporary

employment gaps

Innovative and fully integrated

customer service

Creates employment opportunities and secure the know-how within DT Group

The aim is to make the staff restructuring in a socially acceptable and also taking into account the demographic development

Counseling and support for business units and employees

Advises DT Group in projects that make staff restructuring measures required

Develops and evaluates solutions that meet the requirements of DT Group and are also socially acceptable

Combines the staff restructuring with offers on internal and external labor markets

Advices, support and develop new opportunities for the employees affected by workforce restructuring

Use Case Workforce Management

Use Case Workforce Management

Total workforce management drives the evolution of HR work towards a more analytical

approach linked to business strategy.

© D

ete

co

n

– 21 –

Strategic Perspective

Strong link to strategy and business planning

Analysis beyond annual planning process

Total workforce view (internal / external)

Addition of qualitative dimension:

Breakdown by job clusters

Mapping of necessary skills shifts

Scenario capability:

Demand driver logic

Tool-based simulations

Overview of HR planning changes Difference from previous HR planning

Risk

Productivity

Costs/FTE

Qualifications

Capacities

MetricsFrom traditional

HR… …to TWM

From emergency-plumbing….

From volume-planning...

From cost tracking….

From filling vacancies…

From head counting…

… to activate risk mitigation

…to output optimization

… to cost management

…to skill portfolio management

… to workforce shaping

Use Case Workforce Management

The differences out of the supply and demand simulation are consolidated in a gap

analysis that helps to design HR measures.

© D

ete

co

n

– 22 –

Internal Supply vs. Internal Demand Gap in FTE

Some Takeaways

Some Takeaways

Skills need to be actively managed; monitoring continuously employee performance and

ensuring employees‘ commitment ensure to keep skill base up to date.

© D

ete

co

n

– 24 –

Employee Engagement

Future Job Orientation

Continuous Dialogue

People Growth

Competence Framework

Talent Assessment& Development

Talent & Career

Management

SuccessionPanning

Retention Management

Reward Strategy

Recruitment Processes

Tool Selection

Thank you!

Q&A

© D

ete

co

n

– 26 –

Björn MendenManaging PartnerDetecon International GmbH

Alfred-Herrhausen-Allee 765760 Eschborn, GermanyPhone: +49 6196 903 369Mobile: +49 160 97265750e-Mail: Bjoern.Menden@detecon.com

Contact