Talent Development Reporting Principles The Evolving Standard for

Talent Development Reporting Principles: The Evolving Standard for L&D Optimizing Human Capital Dave Vance May 8, 2012

Talent Development Reporting Principles (TDRp) 2 • Pronounced T. . D. . R. . P (not tee-drip) • Bring standardization and consistency to L&D (and all of talent development) for » Defining measures » Internal reporting » Demonstrating the value of talent development • Answer the common questions » What to collect and how to report it • Leveraging work done by others Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

TDR History & Timeline 3 • Effort began in 2010 by Kent Barnett (CEO of Knowledge Advisors) and Tamar Elkeles (VP of Learning & Communication at Qualcomm) • Industry thought leaders engaged • Leading industry practitioners form Executive Council to serve as steering committee • Whitepaper, written by Dave Vance, approved by Executive Council March 2011 Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Phase 1 & 2 Contributors • Executive Council 4 • Thought leaders » Tamar Elkeles, Qualcomm, Chair » Laurie Bassi » Terry Bickham, Deloitte » Josh Bersin » Cedric Coco, Lowe’s » Rob Brinkerhoff » Marilyn Figlar, Lockheed Martin » Jack Phillips » Karen Kocher, CIGNA » Frank Anderson » Sundar Nagarathnam, Net App » Jac Fitz-enz » Sandy Shaw, Sodexo » Dave Vance » Don Shoultz, BP » Tom Simon, CNA Insurance » Carrie Beckstrom, ADP Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

TDR Gaining Traction 5 • Phases 1 & 2 focused on learning and development » Phase 2 wrapping up: Q 1 2012 » Numerous organizations now using TDRp • Accomplishments in last year » Revised white paper » Created Definition of Terms and Measurements document » Incorporated public and nonprofits into framework Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Phases 3 and 4 6 • Phase 3 launched in January 2012 » Effort expands to the other HR processes (e. g. recruiting, engagement, leadership, performance management) » Employs the TDR structure developed in Phase 1 » Agreement on approach and on other HR processes to include » Just completed • Phase 4 launching next » Identify effectiveness and efficiency measures for the other HR processes » Define the new measures » Create sample statements and reports - Integrated reports as well as process-specific reports » Plan to complete draft documents by October 2012 Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Phase 3 Contributors • Executive Council 7 • Advisory Council » Carrie Beckstrom, ADP - Chairperson » Laurie Bassi, Jac Fitz-enz » Cedric Coco, Lowe’s » Josh Bersin, Jeff Higgins » Kevin Jones, Pw. C » Kevin Oakes, Frank Anderson » Karen Kocher, CIGNA » Kent Barnett, Peggy Parskey, Dave Vance » David Kuhl, First Data » Claudia Rodriguez, Motorola Solutions » Sandy Shaw, Sodexo » David Sylvester, Booz Allen Hamilton » Lou Tedrick, Verizon Wireless » Deb Tees, Lockheed Martin Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

8 Executive Reporting and TDRp Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

The Target Audience for TDRp 9 • Senior organizational leaders » CEO, CFO, EVPs, SVPs, governing boards • Senior talent leaders » SVP of HR, CLO, Head of Talent Acquisition, Heads of other talent processes (leadership development, capability management, etc. ) • Talent leaders and managers » All those responsible for programs, people, and budgets Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

What Do CEOs Want? 10 • Concise, clear high-level reports featuring » Most important measures - For most important organization and talent goals » Linkage between initiatives and organization goals » Aggregated data - Typically at enterprise level - Perhaps by unit or geography - And often for several key initiatives or programs Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

What Do CEOs Want? 11 • To answer the following questions » Are we going to make plan? » If not, what is the forecast? - What does it mean for the organization goal? - What should we do about it? » What is the trend? » Is the initiative having the intended impact? Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

What Do CLOs Want? 12 • Concise, clear mid- and high-level reports featuring » Most important measures - For key organization, L&D, and program goals » Linkage between initiatives and organization goals » Data aggregated at enterprise, geographic, unit and program levels Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

What Do CLOs Want? 13 • To answer the following questions » Are we going to make plan? » If not, what is the forecast? - What does it mean for the organization or L&D goal? - What should we do about it? » What is the trend? » Is the initiative having the intended impact? • At the following levels » Enterprise » L&D » Program Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

What Do Learning Managers Want? 14 • Concise, clear detailed and mid-level reports featuring » All the measures of interest to them » Breakout by unit, location, program, course, class, instructor • To answer the following questions » Where a goal has been set, are we going to make plan? » What is the trend? » Where are the outliers? Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

TDR Designed to Meet This Need 15 • Simple, consistent approach » Use standard definitions to extract and convert data into three types of measures - Outcome, effectiveness, and efficiency » Create three standard statements with these measures - Outcome, Effectiveness, and Efficiency » Create three types of customized reports from these statements - Summary, Program (Initiative), and Operations Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Executive Reporting Focus: Standard Measures 16 Standard Measures: Reports • Efficiency measures: How much? How many? At what cost? • Effectiveness measures: How well? • Outcome measures: What is the impact on the business? Statements Program/ Initiative Analytics System Wide Analytics Standard Measures Specific methodology (e. g. Phillips, Brinkerhoff) Systems and processes for organizing data, calculating measures Data Sources and Systems Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Executive Reporting Focus: Three Statements 17 Three Statements: • Outcome Statement • Effectiveness Statement Reports • Efficiency Statement Program/ Initiative Analytics Statements System Wide Analytics Standard Measures Specific methodology (e. g. Phillips, Brinkerhoff) Systems and processes for organizing data, calculating measures Data Sources and Systems Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Executive Reporting Focus Three Reports: • Summary Report • Program Report • Operations Report Program/ Initiative Analytics 18 Reports Statements System Wide Analytics Standard Measures Specific methodology (e. g. Phillips, Brinkerhoff) Systems and processes for organizing data, calculating measures Data Sources and Systems Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Executive Reporting Focus 19 Summary Conclusions, Actionable Recommendations, Issues for Further Analysis Scope of White Paper Program/ Initiative Analytics Reports Statements System Wide Analytics Standard Measures Specific methodology (e. g. Phillips, Brinkerhoff) Systems and processes for organizing data, calculating measures Data Sources and Systems Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

20 TDR Statements Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

The Statements • Three standard statements » Outcome » Effectiveness » Efficiency • Standard measures are used but choice of measures depends on organization Talent Development Reporting principles • TDRp Update_Vance 21 • Summary statements show » Last year’s actual » Plan (or goal) for this year » Year-to-date results • Detail statements show » Monthly, quarterly, trend data » Granularity » Without plan May 8, 2012

The L&D Effectiveness Statement 22 The Question The Answer What is it? Focuses on how effectively or how well the business outcomes are achieved. Who is the audience? Senior L&D Leaders Why do it? The effectiveness statement provides insight into areas for continuous performance improvement of learning programs What reports does it feed • Quarterly L&D Summary Report • Monthly L&D Program Report Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Effectiveness Statement Effectiveness Measures 23 • Level 1: Satisfaction, Forecasts of levels 3 -5 » Participant » Sponsor • Level 2: Amount learned • Level 3: Application rate • Level 4: Impact • Level 5: Value (net benefit or ROI) Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Effectiveness Statement Talent Development Reporting principles • TDRp Update_Vance 24 May 8, 2012

The L&D Efficiency Statement 25 The Question The Answer What is it? Brings together all the activity and cost elements necessary to judge how efficiently the outcomes were achieved Who is the audience? Senior L&D Leaders Why do it? The efficiency statement helps ensure the learning function is well managed and reaching the desired audience What reports does it feed • Quarterly L&D Summary Report • Monthly L&D Operational Report Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Efficiency Statement Efficiency Measures* • Volume » Participants » Courses, classes, hours - Offered, taken » By ILT, v. ILT, WBT, etc. • Costs » Development, delivery, management » Tuition » Opportunity 26 • Utilization » Courses, classes, instructors » By ILT, v. ILT • Effort to develop and maintain • Reach • Cycle times » Performance consulting, development, delivery *See a complete list in the Definition of Terms and Measurements document Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Efficiency Statement Talent Development Reporting principles • TDRp Update_Vance 27 May 8, 2012

The L&D Outcome Statement 28 The Question The Answer What is it? Depicts the key goals / desired outcomes (results) of the organization along with the impact L&D is expected to have on achieving those outcomes Who is the audience? Senior L&D Leaders Why do it? The Business Outcome Statement depicts the value of the learning organization to the business What reports does it feed? • Quarterly L&D Summary Report • Monthly L&D Program Report Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Outcome Statement Measures of Impact 29 • Application (level 3) • Impact (level 4) » Participant’s estimate (or forecast) » Sponsor’s estimate » Statistical estimate • Proxies for impact » In some cases may be number of participants Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Outcome Statement Talent Development Reporting principles • TDRp Update_Vance 30 May 8, 2012

31 TDR Reports Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

The Reports • Three levels of reports » Summary Report » Program Report » Operations Report » Highly customized, pulling the most important measures from the statements Talent Development Reporting principles • TDRp Update_Vance 32 • Executive-level reports show » » Last year’s actual Plan (or goal) for this year Year-to-date results Forecast for this year • Detailed reports for managers may show » Monthly, quarterly, trend data » Granularity » Without plan or fcst May 8, 2012

The L&D Summary Report 33 The Question The Answer What is it? This L&D Summary Report contains the most significant measures from the business outcome, effectiveness and efficiency statements aggregated at the highest level. This report would be generated quarterly. Who is the audience? Senior Organization Leaders & Senior L&D Leaders Why do it? The L&D Summary Report provides a holistic view of the overall impact, effectiveness and efficiency of the learning organization What statements feed it? • Outcome Statement • Learning Effectiveness Statement • Learning Efficiency Statement Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Summary Report (page 1) Talent Development Reporting principles • TDRp Update_Vance 34 May 8, 2012

L&D Summary Report (page 2) Talent Development Reporting principles • TDRp Update_Vance 35 May 8, 2012

The L&D Program Report 36 The Question The Answer What is it? This L&D Program Report highlights the connections between learning programs/ initiatives, the organizational goal and the impact of learning on those goals. Who is the audience? Senior L&D Leaders and Managers Why do it? The L&D Program Report enables Learning Leaders to manage programs and initiative What statements feed it? • Outcome Statement • Learning Effectiveness Statement • Learning Efficiency Statement Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Program Report (page 1) Talent Development Reporting principles • TDRp Update_Vance 37 May 8, 2012

L&D Program Report (page 2) Talent Development Reporting principles • TDRp Update_Vance 38 May 8, 2012

L&D Operations Report 39 The Question The Answer What is it? This L&D Operations Report include efficiency details on the costs and activities of the learning function. This report shows actuals and performance relative to plan. Who is the audience? Senior L&D Leaders and Mangers Why do it? The L&D Operations Report enables Learning Leaders to manage the efficiency of the L&D operation What statements feed it? Learning Efficiency Statement Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

L&D Operations Report Talent Development Reporting principles • TDRp Update_Vance 40 May 8, 2012

41 Conclusion Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

TDR Designed to Meet The Need 42 • Simple, consistent approach to reporting » Use standard definitions to extract and convert data into three types of measures - Outcome, effectiveness, and efficiency » Create three standard statements with these measures - Outcome, Effectiveness, and Efficiency » Create three types of customized reports from these statements - Summary, Program (Initiative), and Operations Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Executive Reporting Process Senior Executives 43 Learning Executives Executive Reports L&D Summary Report Quarterly Statements Outcome Statement Learning Effectiveness Statement Learning Efficiency Statement Outcomes Effectiveness Efficiency L&D Program Report Monthly L&D Operational Report Monthly Guiding Principles Data Sets Extract, convert and calculate Standard Measures Data Sources Financial Data Learning Management System Talent Development Reporting principles • TDRp Update_Vance Evaluation System Other Sources: HRIS, CRM, ERP May 8, 2012

Implementing TDRp Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Readiness Assessment 45 • Are you interested? » Would your organization benefit from standards? • Would your organization be interested? • Would your CLO, SVP of HR, senior leaders support it? » Provide sponsorship » Provide resources • Does your organization have specific, measurable goals and a culture of accountability? Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Next Steps 46 • Get started with TDR! » Read about it - User Guide, Definition of Terms and Measures, White Paper » Pilot it for a program or for select reports • We will extend the effort to the rest of talent development (Phases 4 and 5) » Phase 4 Draft available October 2012 • This is an open, collaborative effort; no copyrights » We want your feedback! Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

Learn More about TDRP 47 • Resources Available at TDRprinciples. org » » » Definition of terms and measures for L&D 56 -page white paper 25 -page overview 4 -page summary Power. Point Sample write-up of an L&D Summary Report for a CEO • Contact Dave Vance for more information: dave@poudrerivergroup. com Talent Development Reporting principles • TDRp Update_Vance May 8, 2012

TDRprinciples. org 48 The new TDRp website provides • Background of the initiative • Contributors • News and upcoming events • Resources » The White Paper (Summary, overview, full document) » Definition of terms and measures » Getting started with TDRp Talent Development Reporting principles • TDRp Update_Vance May 8, 2012