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94% of human resources professionals do not feel their personnel are adequately prepared to meet their companies’ future goals according to the State of the Global Talent Nation.  That number was 86% in 2007 and 64% in 2006…so it’s moving in the wrong direction.  The study was conducted by Softscape and discussed in CLO (Chief Learning Officer) Magazine.  A copy of the report is available by request through Softscape’s site.

The report looks at a variety of areas relating to human capital management.  I grabbed the following notable quotes that IMO reinforce the sense of urgency for reform in how learning and development is executed by most organizations:

1. Many HR professionals (35%) indicate that the majority of their employees have complex multi-function roles. This is also driving the need for more real-time employee development.
2. Most HR professionals (81%) say the lack of regular employee development opportunities is impacting overall employee retention.
3. Strategic HR functions are becoming more integrated and increasingly outsourced (41%). This includes functions for performance, compensation, succession, learning, and recruiting.

My thoughts…

#1  In an age of “complex multi-function roles” things change fast and formal training can’t carry the entire load.  With the pace that many organizations run and adapt, content is often obsolete upon receipt if it’s produced and distributed within the traditional timeline. 

This supports my belief that a change in how we define learning and development is needed before we can make significant strides in improving them.  First and foremost I see the two (learning and development) as two separate strategies with different definitions and distinct methodologies for executing successfully.

In the age of the knowledge worker, learning is more about providing easy access to necessary information than it is presenting content and hoping that it sticks around until the time it’s needed.  This is accomplished through incorporating social network analyses, communities of practice, a learning supply chain that can quickly distribute content on-demand (i.e. rapid elearning + SME), etc. into a diversified learning portfolio.  These more informal approaches better mimic how today’s workforce gets what they need - through their network and at the moment they need it. 

Development defined below…

#2  Development is long-term changes in mindset and/or behavior.  Many companies fall short of acheiving true development in their workforce because their tools consist of workshops and not much else.  Some companies tack on a personality assessment (i.e. DiSC, MBTI) but usually without any direct connection to how that information can be applied.  For true development to occur people must be given the opportunity to play with concepts, make decisions according to their new learning…they have to see the impact of their decisions and actions in order to drive new behavior.

Development programs rooted in action learning contain the elements needed for lasting change but they’re rare.  For the organizations that do leverage the power of action learning, they are not only exposing their teams to the best type of development possible, they’re also grooming leaders to perform at their best within the unique conditions of that organization and none other.

It’s these types of projects where participants feel real value and development - and therefore are more inclined to stick around.  If they feel the development they’re getting at your organization is better than what they would get elsewhere, you have a powerful retention tool.

#3  Another item mentioned in the report was the rise in learning outsourcing.  I take this as a sign that organizations are more and more seeing learning and development as strategic imperatives for success.  Expectations of learning and development have changed to the degree that traditional, formal training programs are no longer adequate on their own. 

Of course I’m biased but I do believe deeply that partnering with an external organization that is an expert in a service that isn’t your core function is a good idea in many scenarios.  This includes payroll, benefits, IT and of course…learning and development.  Outsourcing allows an organization to focus on their strengths while leveraging the core strengths of experts in fields that support their operation. 

Finally… 

The great news is that we’re watching an industry evolve.  Learning and development programs will look drastically different in just 10 years.  As workers that grew up on Facebook and MySpace enter the workforce they’ll have unique demands as we transition even further into becoming a knowledge workforce.     But we’re not there yet.

When I read that 94% of HR professionals felt they’re workforce wasn’t prepared to meet the company’s goals I was shocked at how high the number truly had gotten but, ultimately, wasn’t phased for too long.  We’re addressing 21st century challenges with a 20th century method and it’s not a fair fight.  The pace of business isn’t predicted to slow or revert anytime soon so guess who gets to adapt?

Corporate University Xchange has released a video interview of two OD practitioners from Health Net talking about their experience implementing a talent management system and process. 

The video is brief and high-level but shows an inside look at some of the discoveries, challenges and successes of such an approach.  If you are a fellow practitioner you will probably be modding your head in agreement with many of the messages - if you’re new to the field you may learn a few nuggets without having to endure the pain normally associated with those lessons.

LCB is at it again this month with another great big question - or is it a great, big question?  And…has it been a month already???

The question for March is:

 What would you do to support new managers?

Ray Sims was the first to post and proposed utilizing audio self-paced learning, coaching and a community of practice.  Ray is targeting two areas that have been proven to speed someone’s integration into a new role:

1. Quickly becoming part of a network
2. Relevant knowledge is distributed through-out a long period time

There is too much stuff for people to remember; especially when starting a new role.  Learning to me is about providing easy access to information at the time people need it.  Audio learning, coaching and a thriving community will certainly go a long way in providing muliple access points to the information a new manager will need.

I feel there is also room for another piece here as well.  If learning is about access to information, how do you ensure new managers will experience lasting change in skills, mindset or behavior?  Just as they develop at anything else…practice.

An integration period is a prime time for new managers to participate in an action learning project.  In an ideal world their groups would consist of other managers at various stages of their management career.  The initial sessions would immerse the new manager in activities to heighten self-awareness (i.e. a 360 degree assessment conducted in their former position, a Myers-Briggs or DISC report, a natural abilities test, etc.) after which participants list which areas in which they would like to develop.  Next, the managers are exposed to some foundational content (my favorites are Appreciative Inquiry and systems thinking) that will be the concepts to which they’ll be held accountable throughout the program.

A relevant, timely business challenge is presented to the participants and they are responsible for all data collection, solution design and execution.  All the while a learning coach acts as an embedded reminder to participants of their individual development goals as well as referring them back to concepts from the initial workshops.  Over the course of a few months participants present a solution to the business challenge.  Throughout the time they have been forced to reflect on their own behavior and new concepts via the action learning coach.

It is only through being made to apply the concepts that participants will be quicker to adopt any new behaviors, mindsets and skills needed to be a manager.  Along the way a cross-functional network of managers of varying tenure will be formed and provide a solid foundation for knowledge transfer and knowledge management.  This will also serve to support the overall company-wide community that Ray suggested.  As the grayer managers move on, relationships have formed and developed the infrastructure for the insights, experience and stories to be passed on to the newer managers.

This combination of learning and development create a killer combo for the rapid on-boarding of managers.  It’s not successful because the new-comers are going in to management roles, though.  It’s successful because the new-comers are human and that’s the way we learn and develop.

The beauty is that this is a foundation that can be tweaked for positions all throughout the organization - not just managers.

I recently returned from my honeymoon in New Zealand.  Everywhere we went the toilets I encountered had two buttons on the top of them to instigate flushing instead of the one lever I am accustomed to seeing in the USA.  The two buttons were always distinct by way of some type of unique drawing or design on them - I didn’t know what they meant but someone was trying to tell me something.

Having ample opportunities for experimentation on a three week trip I tried them both on various occasions.  Sometimes the left one and sometimes the right.  Both flushed the toilet and without a noticeable difference.  My new wife and I had a couple quick conversations about the differences but, not being the ideal honeymoon conversation, I didn’t pursue it in much depth.  I did intend to ask natives about the differences, though, and never remembered at an appropriate time.

After three weeks you can imagine that I returned to a substantial mail pile.  After sorting through the requisite bills and junkmail, I was able to relax with my coveted arrivals…my magazines.  One of these was the Dec/Jan issue of Fast Company.

In an article titled “Feeding the Beast:  Sustainability is about more than eco-friendly burger boxes” John Ehrenfeld writes the following:

Such products exist today. My favorite example is the two-button toilet, still a rarity in the United States but increasingly popular in Northern Europe and New Zealand. In place of the usual single lever or button, the toilet offers two buttons or levers, one small and one large, actuating a smaller or larger flush volume. Beyond its obvious “green” credentials, this toilet actually forces users to engage with it on more than a utilitarian level, and to make a choice. It creates presence in place of mindlessness.

The timing was unbelievable.  After I got over the shock of coincidence, I was able to fully absorb John’s message.  Companies that simply give us ‘green’, although well intentioned, may not be having the impact they appear to be having.  Take cars that are more fuel-efficient - they’ve been shown to promote more consumption.  In order to make real progress we must involve people in the process.

Providing products that themselves are more efficient is only addressing one part of the problem - we must create points for interaction that force people to participate, allow them to make decisions and show them the impact of their choice.  This is a systems issue, where addressing one part of the problem won’t make it go away - the entire system that it operates in must be addressed.

This is the value of including elements of systems thinking and action learning in leadership/employee development programs.  In many development courses participants are just given tools - tools that have been successful with their peers or with other companies as ‘best practices.’

Programs that provide tools and then force participants to analyze the situation, scrutinize the tools, predict their impact and monitor results (a la action learning) are proven to make sustainable changes in people’s behavior and mindsets.  Including pieces on systems thinking forces participants to think through the potential results of a variety of actions.

It is only through these comprehensive methods that companies will enjoy lasting development.  So whether you’re trying to save the world or just improve the abilities of your workforce keep in mind that giving people the tools to do it isn’t enough - they need the chance to interact, make choices and see the impact of their choice - whether it’s a flush or a change in strategy.

I just realized that I tend to favor topics around learning in my posts when in my role I focus just as much on development.  For us at Orbital RPM we see learning and development as related but distinct.  Development is about changing mindsets and behaviors while learning is giving people access to the information they need to perform.

Years ago I was a ‘Leadership Development Consultant’ with a national consulting firm.  Our services offered to clients were basically workshops on various topics and our flagship ‘Leadership Institute.’ 

Once a month, the Leadership Institute hosted approximately 35 leaders for a 5-day retreat in the mountains of Colorado.  The participants that attended were usually very high-level and accomplished in their roles.  It was not uncommon for their expressions and body-language on Day 1 to be screaming, “You can’t change me.”

By the end of Day 5 it was often these initial nay-sayers that were crying in the closing circle about how powerful the week was for them.  After conducting countless follow-ups with participants when they returned to their role, though, it was apparent to me that their first reaction was accurate - we didn’t change them.

This is not a reflection on the design of the Leadership Institute.  I really do believe it was a powerful event for participants.  The problem was that it was just an event.  Without a process to sustain the learning, most new concepts will dissipate within a few days or maybe even weeks if the person was really moved.

Enter the concept of action learning.  Developed by Reg Revans back in the 1940’s, Action Learning begins with exposing participants to some fundamental concepts (as the Leadership Institute did) but that is just the beginning of a process.  Small groups of cross-functional participants are then charged with solving issues in their own organization.  As the workgroups go through the process of their assigned issue, a coach is present to ask questions and guide them back to the concepts they learned in the initial workshop or event.  It is through this process of application and reflection that the concepts in the intial workshop are embedded in participants.

General Electric uses action learning extensively at it’s famed Crotonville but why hasn’t it caught on to the masses?  I still see companies that take people on rafts, ropes and racecars in an attempt at leadership development.  I advise clients to see these activities as what they are…fun.  Nothing wrong with that but don’t expect people to come back a better leader. 

Where I believe there is value in these fun activities is as the kick-off to an action learning project.  It congeals participants and lets them get to know each other before embarking on their problem-solving and personal growth journey.

Don’t have the money for this much fun?  No problem.  Any group activity will do.  A conservation expert in Leadville, CO I met over the weekend told me that companies are starting to send groups to him that tackle a restoration project for a couple days.  It’s win-win because CO is that much more beautiful, the participants get the feeling of accomplishment and they’re tighter as a group.  The perfect ingredients to tackle a project back at the office.

If you’re in the market for a development program, do your homework.  The term ‘action learning’ has become diluted in much of the marketing literature that makes its way to my desk.  It seems that if an activity involves physical movement of any kind, someone will label it action learning.  Know what you’re buying - if it’s conducted all in a classroom and is over in a few days, there may be lots of action but expect little learning.

I have just returned to my room after the first day of the CLO Academy in Lansdowne, VA.  The sessions started at 5pm so I’ve only seen a glimpse of what we’re we will be experiencing but so far so good.

At the orientation session we were told that our time here will largely be playing the role of consultant’s with a fictitious firm.  I don’t know much more about it yet but if I did I wouldn’t write about it - you’ll have to experience it for yourself. 

Following orientation we were introduced to Frank J. Anderson who is the President of Defense Acquisition University.  Frank talked about his experience at DAU and how he has guided this organization (with a budget of $120 billion - yes billion) to be a world-class learning organization.  His stories and examples were amazing yet somehow easily understandable to an audience that cannot comprehend overseeing a budget, staff and responsibility the size of Frank’s.  I was thilled to hear Frank mention terms such as Communities of Practice and Action Learning - he told the group he had not come from a learning and development background but had surrounded himself with people that were experts in it - he clearly selected a talented team.

CLO Academy is really taking advantage of the informal learning opportunities here.  During dinner I ate at a small table with other participants and with a faculty member that is also a learning executive with Microsoft. 

The final activity was a ‘Fireside Chat.’  A voluntary session where we sat in a circle, drank wine and did a freeform exchange of ideas from all of our different sets of experience.  Frank Anderson loosely led the discussion but the group largely set the course of what we talked about. 

More to come from me - but not tonight.  It’s late and I still have my consulting homework to do…

Training Outsourcing recently added forums to its website, allowing visitors to “find solutions…exchange ideas.”  It looks like the first posts were only about two weeks ago so don’t expect much content just yet but they’re definitely worth keeping an eye on.

Their first guest was Tracy Cox, Director of Performance Consulting for Raytheon Professional Services.  He led a webinar titled “Creating Business Value Through Social Network Analysis” for TrainingOutsourcing.com recently.  (A free registration is required to view the webinar or participate in the forums mentioned above.)  Since the webinar, Tracy has been visiting the Training Outsourcing.com forums and discussing social network analysis and how it can help with communities of practice, knowledge transfer, informal learning and the overall corporate learning function.

A recent report in Chief Learning Officer magazine stated that 90% of all sales training programs resulted in only moderate increases in sales and those increases lasted for just a very brief period of time (90-120 days). 

The report was compiled by ES Research (ESR) Group and it lists some specific findings; the main message, though, is that most sales training doesn’t stick.

For organizations looking for sales training, ESR’s report confirms that many vendors can fill the need of a training event that will boost sales for a brief period.  I encourage people to look at how a training vendor will sustain the momentum created in training. 

Can the vendor cultivate a community of practice for the sales positions?  Will they seed a knowledge management repository to capture the best practices of participants as they take the foundational concepts and make them their own?  How about action learning assignments for sales managers that have them optimize the sales function within the operation of the rest of the company?  How can the networks of informal learning be supported around the initial sales training?

There are countless things that could be done that would extend the effectiveness of a sales training initiative.  I believe that the selection of a training supplier takes a back seat to exploring some of the options that can be implemented that would complement the content that is delivered.

P.S. Sales training certainly has a high profile due to its direct link to organizational performance but the lessons learned from this report could be applied to any area of learning.

I was born and raised in St. Petersburg, FL and now I call Denver, CO home.

I actually just returned from FL last night; just ahead of the impending Tropical Storm Ernesto.  During my years in FL I saw my fair share of heavy rain storms.  They typically came in quickly and often resulted in flash floods through the streets in my neighborhood.  As a child it was always fun to ride your bike through flooded streets and look for the high water marks on homes and trees. 

As an adult I learned that these downpours were little fun and little benefit for much of anything, though.  Sewers couldn’t handle the volume of water, hence the flooding and runoff.  Plants weren’t able to do much with it either; many of them wound up washed away or damaged as a result of the current or the sheer volume of water. 

We don’t typically experience that kind of rain in CO.  Prior to my latest FL trip we enjoyed some (unusual) days of drizzling rain here in Denver.  Although not enough to quench the thirst of many plants in Denver’s arid climate, it got me thinking about the contrast of these two approaches of nature and how it relates to organizational learning.

Many organizations provide their employees with a downpour of learning.  Coming down in sheets, these learning downpours cause the drainage systems of participants to overflow and the majority of the learning ends up as run off.  It does little to provide the knowledge needed to grow; rather it typically floods people with too much information and can be an intimidating current.  Have you ever been prepped for a session by the words ‘firehose’ or ’slingshot’?  You probably experienced a downpour.

Just like rain, the best method for learning to be absorbed and utilized is when it is delivered as a drizzle.  Falling lightly, in small drops and over a longer period of time, a drizzle of learning ensures that participants have ample time to absorb one drop before having to consume another. 

Organizations can transition from a downpour to a drizzle of learning by investing their training dollars in things that support people’s natural tendency to learn.  Communities of Practice, informal learning, nano-learning, action learning, JIT learning, podcasting, rapid e-learning and mobile learning are just a few examples of different approaches that can be blended to create the ideal mix that can be absorbed by participants. 

A dollar today is worth more than a dollar tomorrow.

This is the basic underpinning to the concept of Net Present Value (NPV) in finance.  Given the option, businesses are going to want their money in their own hands until the last possible second.  The more time a company can hold on to their money, the more of a return the money can generate for the company. 

This is the reason for some magazines offering subcriptions that steadily reduce as the years go on if you pay for them today.  They want that money now!  Even if it’s less than the full subscription you would have paid in three years, they would rather have it today to improve cashflow, invest, etc.

We discussed NPV in the Level 6: Beyond ROI class while I was at the CLO Institute in January.  Ever since then I’ve been playing with the idea of NPV and how it relates to methods of learning that don’t fall under the category of ‘traditional.’ 

I decided to write after reading the July edition of Education Signals.  One section of the report was about the ’Top 20 Companies in the Training Outsourcing Industry’ that is compiled by TrainingOutsourcing.com.  In it, the authors share the following data points:

“The largest percentage of revenue from the leading players came from content development (35%) and training delivery (30%) services.”

Content design/development obviously comes at or near the beginning of a training outsourcing initiative.  That means that over 1/3 of the money of contracts is in the hands of the training supplier soon after the project begins.    

If I were in a position to be hiring a training outsourcing firm, I would look for a deal where the fees weren’t so front-loaded.  I would want to keep my money as long as I could and let it make more money for me. 

Enter informal learning (i.e. communities of practice, blogs, wikis, podcasts, etc.).  As illustrated in this post from Jay Cross, and as others have been preaching, much of learning doesn’t come from ‘content.’  It comes through the informal and unscheduled channels of an organization.

Informal learning may have an additional advantage.  Since there isn’t near the level of design/development required for informal methods as there is for more formal events such as workshops and e-learning modules, a company that was buying these services from an outsourcing company would pay less up front.  This allows them to keep their money longer and let it make more money for them.

Although I’ve only cited one report that I’m basing this post on, I came from the instructional design world.  We charged crazy fees (usually way more than 35% of the total contract) for design/development at my old firm and that was the first thing the client paid for.  I also realize that there is a need for some structured content in a company’s learning and development plans - I just think it should be provided in minimal chunks.

I’m suggesting services that would be a double win for companies purchasing training outsourcing.  With more informal elements in the mix to create a more diverse learning portfolio the client would not only receive more effective learning and development, they would pay less up front and get to make money from the money that they would have spent on instructional design and development fees.

Note:  I’m consciously not addressing the area where training outsourcing firms make the second most amount of money - the 30% from delivery of training services.  Informal learning, by nature, requires less delivery than its traditional counterpart.  For this post, though, I wanted to emphasize the benefits of not paying design/development fees up front.