By Katie O’Neill, director of HR, EMC Corporation
EMC moved to a global business services (GBS) model over four years ago, incorporating transactional finance processes such as accounts payable, revenue accounting, credit and collection, licensing and general accounting on a global basis. This step was part of an evolutionary process to increase scalability and efficiency; at implementation of the GBS model, the finance organisations’ shared services operations were aligned regionally and by business units, reporting to a host of management structures, which resulted in redundant operations.
The governing principal for our approach to talent management is simple – to convince our employees that GBS is a good place to grow a career by staying close to the business and continuously evolving our programmes as both the team and business needs change. As our organisation is global, and both insourced (operations in North and South America, China, Ireland and Costa Rica) and outsourced (operations in Dalian, Manila and Bangalore), that is a significant challenge. EMC’s GBS is fully aware of its talent ‘pain points’ and implements programmes accordingly. The organisation has found that the largest category of talent at risk is comprised of subject matter experts. In a GBS context, subject matter experts often do not have the management skills necessary to advance their careers, and find that the path to progression is not obvious. Similarly, GBS has identified first line managerial and supervisory talent bench strength also as an issue. Though significant progress is being made, we recognise effective finance talent management remains a work in progress
Solutions – know where you are at, build from within and create visibility in career options
- Measuring the effectiveness of talent management approaches. There are several proof points that EMC monitors to ascertain whether talent management approaches are effective. For example, we use annual attrition percentages as a top-level indicator. Over the last few years, gross attrition across GBS has averaged 10%, with voluntary attrition maintained at 8%.
- Building from within. The organisation believes that building, as opposed to buying strategic skills and capabilities, is a plus for existing staff, but also ensures that projects and programmes have a better success rate. Take, as an example, the company’s recent implementation of SAP across its finance processes. We determined that a deep understanding of the way in which the companies’ culture and processes operate was more important than specialist SAP skills, so there was a concerted effort to upskill staff that understood current business rules rather than bringing in new team members or contracting for a large number of consultants.
- An emphasis on individual responsibility. Individuals are empowered to take responsibility for their own career progression. Programmes such as GBS ‘Rising Star’ list are designed with the sole purpose of surfacing good talent and making them free agents within the organisation. GBS also has a rotation programme, designed on the same principles as EMC’s college hire rotational programme.
- Recognise that more can be done. With stability in its employment base, GBS is now looking at better linkage into the business. End-to-end career paths have been designed for, and implemented, linking GBS finance roles to that of the business, but the organisation is just now stepping back to determine how to path careers back from the business through GBS. As yet, there is no rotation programme moving business talent through GBS as a recommended career progression but it is something we are looking at.
This case study appeared in an ACCA report on Talent and capability in global finance functions. As part of ACCA’s qualitative research leading organisations shared their approaches.