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Building a Global, Multigenerational Talent Culture From the Ground UP

Sony Pictures Entertainment

ODN Conference 2011

Sonia Narang, Director, Leadership & OD Christi Olson, VP, Leadership & OD Agenda Our Amazing Race:

• Setting and background

• Start up

• Rollout Intertwined with:

• Cultural accelerators, challenges

• OD processes & tools

• Lessons learned Pictures Entertainment – Overview

Sir Howard Stringer President, Chairman & CEO Sony Corporation of America SPE Senior Co-Chairman, SPE & Executives Chairman & CEO, SPE Chairman, Motion Picture Group

Motion Pictures SPE Divisions Digital Productions Home Entertainment

Corporate SPE Technologies HQ: Culver City, CA Functions Employees: 6000 Locations: 36+ countries Geographic reach: 142 countries Some Entertainment Facts….

• One billion: Number of SPE movies and TV shows sold or rented via movie theatres, and Blu-rays and online transactions last year.

• 225 million: Number of (more than two out of three) who saw a show in January 2011.

•142: Sony Pictures Television networks reach more than one billion people in their homes in 22 languages and 142 countries.

•44.5: Number of acres at SPE’s working studio lot, including 18 sound stages, world- leading sound mixing and recording and state-of-the-art post production facilities.

•178: Number of water coolers installed in place of the traditional five-gallon bottled water coolers throughout the pantries on the lot resulting in an annual savings of about $80,000 and eliminating approximately 32,000 bottles.

• 145,000: Number of used prints recycled in North America eliminating 3,200 tons of potential landfill waste.

•250 million: 25,000 prints were rejuvenated eliminating the need for 250 million feet of new film. Topline Goals

• Achieving SPE goal to “strengthen our approach to people development to effectively prepare for future challenges”

• Enhancing SPE’s infrastructure to support learning, performance management and talent management

• Developing global leaders for a diverse and inclusive world and as a crucial step to remaining competitive

• Maximizing business success by focusing talent development on what the business needs Shift in Approach – Transactional to Strategic HRCustomers

Greater Performance Financial Management Enhanced Success Organizational Performance Regular Top Down Goal Increased Performance Setting Productivity & Feedback Engagement

Attraction &Retention Process of Valued Improvement Employees Key Initiatives To-Date: Clear Development Transparent Planning Communication • HR Strategic Review • Employee Engagement Survey • Infrastructure Development

Talent Management Current Focus Areas:

Competitive & Learning/ Aligned Reward • Goal Setting/Performance Training Systems & Opportunities Benefits Management Rewards • Talent Management • Pay for Performance Overall Framework

Learning Performance Talent Development Management Planning

Rolling Implementation - myCareer Strategic HR Approach to Performance & Talent Management

Actions Simple Rules • Connections back to • Live in constant readiness Energy Project • Be credible change • Seeded activity on several activists fronts at same time • Everyone can engage in • Offered up multiple different ways connection points • Design with flexibility in • Focus on engaging in mind conversations Tribal Networks SPE Culture •Highly Relational •Consumer oriented •Talent driven (creatives) HE •Project orientation •Iterative, up to the last minute TV •Tribal leaders •Feedback averse • focus SPDP •Sustainability focus MP •Demographics distribution •High tech, high touch, high push •Emerging global mindset Generational Mix

Baby Boomer Gen X Gen Y Traditionalist

•Gen Y: 1980 - 1996 •Gen X: 1965 - 1979 •Baby Boomers: 1946 – 1964 •Traditionalist: before 1946 Data-Driven Insights to Action

Employee Feedback Survey • Completed in November 2010 • Overall high scores in most areas • Identified some opportunities

Key results that help drive Performance & Talent • Over 50 percent of employees in big middle not satisfied with career development, manager feedback • Over 50 percent of employees with 2-5 years tenure least engaged Our Cornerstones for Change….the “push”

•Senior level champions SPE – P&O P&O Mission: Leadership Credible Change Activists •Culture change agenda SPE Employees & Managers •Goal Setting & Perf Mgmt

•Infrastructure tools SPEED myCareer Performance Management All built around…… •Conversations between employees & managers …..And our employee “pull”

•To start, we activated •Employee Engagement employees through education Survey and awareness…… •Career Development •Now they are asking us to work with them! •Asking for Feedback

All built around…… •Owning my career •Conversations between employees & managers Table Talk

• What one to three next steps would you suggest?

• How would you engage or inspire employees and managers across the demographics….old Hollywood and new Hollywood?

• What are you curious about at this stage? Summary: Phased Rollout with Full Integration

Phase Timing Key Actions Start Up 2008-2010 •Internal talent assessments •Kicked off Workstreams to •Competency certification upskill internal P&O •Talent Planning – Nine Box •Mission to be and act as credible change activists for culture shift Initial Rollout – LMS Oct. 2010 – April 2011 •SPEED learning goes online in •Learning Mgmt myCareer •Goal Setting •Goal setting begins company-wide •Development Planning

2nd Phase – May 2011 – March 2012 •Performance design •Performance Management •Performance goes live –> mid year + annual reviews

3rd Phase June 2011 – Dec 2011 •Succession Planning & talent •Talent Management Continuous pools OD Tools: Landscape Diagram (what is it?)

Far From

Random Zone No constraints Unpredictability Self-Organizing Create Agreement Zone Blips - Trends Emergence – coming into view In Transition Organized Diverse Trial and error Zone Stickiness Policies Predictability Reliability Close To Certainty Far From

From Glenda Eoyang, HSDI

4 OD Tools: Landscape Diagram (how we used it)

Far From

Random Talent Planning Zone Workstreams BP Role Change Self-Organizing Activist Agreement Zone Self development myCareer goal setting SPEED learning Organized Zone Performance Review Consultative BP Process - global Transactional BP

Close To Certainty Far From

From Glenda Eoyang, HSDI

4 Step 1: Getting Managers Ready Focus on Performance Management

•Took a complete view of Performance Management

•Delivered f2f globally

•Socialized the culture shift around performance and development around the globe Step 2: Getting People Ready Focus on Learning Development

•70-20-10 learning approach Harvard •SPEED manager and SPEED employee classes Elearning •Harvard ManageMentor eLearning for global employees 70-20-10 myCareer Tool Step 3: Focus on Talent Planning & Leader Development

SPE Leadership Difficult Traits and Conversations Competencies Global Focus

Emotional Cultural Intelligence Intelligence Our Approach: Take a new look at how we evaluate performance and potential for development • Cultivate a mix: develop and buy talent • Develop global leaders across the enterprise • Create consistent and systematic way to identify, assess and grow talent across the enterprise • Segment talent based on two dimensions • Succession planning • High potentials – business leaders and creatives • Nurture talent in key areas • Critical positions • Racial / ethnic minorities, women • Technical creatives • Engage executives in conversations and process for managing talent FY 12: Talent & Succession Planning Focus

Internal Talent Review of Senior Org Levels

High Potential Succession Planning

SPE Leadership Traits: Competencies and Level Specific Behaviors

Talent Planning Guide for HRBPs Talent Tool: Nine Box Performance – Potential Matrix

(4) (7) (9) High (4-5)

(2) (5) (8)

Medium (3)

(1) (3) (6)

Based on PerformanceonBased Review Results Performance Track Record Track Performance

Low (1-2)

Potential for More (advance and/or broaden career)

Low Medium High (1) (2) (3) 24 Additional OD Tools

•Upskill HR Business Partners Positive •Change management Deviance •Lominger •Stakeholder analysis •Talent Planning Nine-Box Change Mgmt •Lominger Competencies •SPE People Measures Building Adaptive •SPE Leadership Traits Capacity •360 assessment •Client early adopters •Pilots and short timeframes OD Tools: CDE for Managing through Change & Building Adaptive Capacity

Self-Organizing Systems Container HRBP global webinars •Multiple Employee learning & Identify and set patterns! types development (SPEED) Client all hands meetings myCareer (tool) C: Holds people together until Leadership videos system-wide patterns can form Difference P&O skill sets D: Provides the potential for •What’s Manager skill sets change and engagement among relevant? Not a mandatory culture people E: Establishes connections Exchange P&O annual global meeting among people, and between •Two way Pay for performance guides individuals and the whole, e.g. transfer Employee speaker series department, organization

CDE From Glenda Eoyang, HSDI Marketing Campaigns Success Metrics: Setting Baseline for Year One Learning: Number of users completing courses (SPEED) Goal Setting: Percentage of goals written myCareer usage: Number of unique users logged into myCareer Talent metrics include:  Percentage of top talent retained, promoted  Percentage of top talent promoted with specific time period  Percentage of diverse talent retained and promoted  Percentage of critical positions filled by internal talent  Reduction in external hires for key positions Key Learnings

• Be a partner with HR Business Partners for global rollout • Be a willow in the wind yet stand strong • Live adaptively, take a best practices approach • Leverage adoption metrics to drive action • Big Bang approach • Consider capacity, energy and timing of a prolonged rollout • Absolute pull campaign (goal setting not mandatory) • Approach it as a consumer campaign – what excites our employees and managers to take action • Identify and leverage tribal leaders (positive deviance) to amplify • Enlisted power to get it started, reinforced, sustained If We Did It Again, We Would….

• Have eyes wide open implementing a new integrated system / tool

• Take more time explaining directionally accurate is a good thing

• Doing a better job of managing internal coordination of efforts to avoid bottlenecks

• Create a single focus brand campaign; anchor initiatives under larger umbrella vs. different aspects of PM and TM Thank you!

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