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Solving the Challenges of Talent
Management
Penny Bongato, Exec Director, IBPAP
Agenda
• Growth of the Philippine IT-BPM industry
• Talent Management challenges and industry initiatives
• Global trends in talent management
1
Philippine
IT-BPM industry
OVERVIEW
by the numbers
number
voiceOutsourcing Destination
by the numbers
ranked
ndGlobal Outsourcing
Destination
by the numbers
impact
jobs
largest private
sector job creator
2013 employment*
*estimate
by the numbers
US$
billion
2013 IT/BPM Revenue*
*estimate
by the numbers
economics
%of Gross
Domestic
Product
by 2014 year end*
One
Million
*estimate
what we do
Scalable Educated Talent Pool
Cost Competiveness
Excellent Infrastructure
Government Support & Public-Private
Partnership
Proven Track Record
Why The Philippines
12
Source: CHED 2012; CIA World Factbook
2012-2013; NSO 2013;
indexmundi.com
Number of college degree graduates 2013
Projection
2016
Projection
Medical and natural sciences, allied
fields
158,159 183,459
Business, accounting, and related
fields
119,526 129,168
Social and behavioral sciences,
education
67,474 65,558
Engineering and architecture 57,799 63,191
IT-related and mathematics 57,921 65,420
Fine arts, masscom, humanities 13,549 14,673
TOTAL Tertiary level 533,273 584,474
Pop Labor force Unemp rate Literacy
World 7,111M 3,302M 6.0% 83.7%
India 1,221M 487M 8.5% 61.0%
China 1,350M 799M 6.5% 92.2%
Brazil 201M 106M 5.5% 88.6%
Philippines 105M 41M 7.0% 92.6%
 500,000+ college graduates per year
 3,000+ CPAs
 English proficiency & other languages
 Affinity with Western culture
 Customer service orientation
 Highly trainable
 Cost effective
 High level of commitment and loyalty
The Philippine Talent Pool
Philippine IT-BPM industry size
2006–2012; US$ billion
x% YoY Growth
Philippines IT-BPM market as percentage of global offshore services market, in revenue terms
Sources: IBPAP, ACPI, CCAP, GDAP, HIMOAP, PSIA
# FTEs
(~‘000)
236 383 424 527
Global
share1 5% 6% 6% 7% 8%
3.4
4.5
6.1
7.1
8.9
11.0
13.2
2006 2007 2008 2009 2010 2011 2012
34%
17%
25%
24%
Copyright ©2012: IBPAP. All rights reserved.
FTEs Revenue
(US$M)
Rev %
inc.
fr ’11
Voice BPM 497,000 8,697 18%
Non-voice
BPM/KPO
154,380 2,470 20%
ITO 57,078 1,160 17%
Health Info
Mgt & Care
45,000 460 66%
Engineering
Services
10,836 206 20%
Animation 9,000 132 3%
Game
Development
3,500 50 251%
TOTAL FTEs 776,794 13,174 19%
19%
284 640
9.5%
777
Philippine IT-BPM 2012
Performance
31%
45%
10.4%
1
Philippines IT-BPM market as percentage of global offshore services market, in revenue terms
Sources: IBPAP, ACPI, CCAP, GDAP, HIMOAP, PSIA
Copyright ©2014: IBPAP. All rights reserved.
Philippine IT-BPM 2013-2014
Preliminary Estimates
Philippine IT-BPM industry size
2008–2014e; US$ billion
x% YoY Growth
# FTEs
(~’000)
383 424 527
Global
share1
6% 7% 8%
6.1
7.1
8.9
11.0
13.2
15.5
18.0
2008 2009 2010 2011 2012 2013e 2014e
34%
17%
25%
24%
19%
640
9.5%
777
10.4%
17%
16%
900 1,040
1
industry
challenges
What are the challenges?
16
Roadmap 2016 Talent Gap
Walk-in applicants Job fairs
School/campus fairs
Applicants responding to
Advertisement in
newspapers
Applicants responding to
Advertisement online
Paper Screening
Initial Interview
Testing
Final Interview
Job Offer
Hire
100 Applicants
7-10 Hires*
What is
Talent Management
and...
raise the
standards?
and how do we
industry
talent development
initiatives
Talent Development Programs
Global
Competitiveness
Assessment Tool
(GCAT)
An industry developed test to assess competencies in basic
skills for employment in the IT-BPO and GIC and other
service industries
Key Programs to Raise Standards
Average Scores Per School for Cognitive Ability Vis-a-Vis Industry Score
Average Scores – Total Cognitive Ability
Average Scores Per School for English Proficiency Vis-a-Vis Industry Scores
Average Scores – English Proficiency
Average Scores Per School for Computer Literacy Vis-a-Vis Industry Scores
Average Scores – Computer Literacy
Average Scores Per School for Perceptual Speed and Accuracy Vis-a-Vis Industry Scores
Average Scores – Perceptual Speed and Accuracy
Service Management
Specialization Track
(in Undergraduate
Education)
A 21-unit minor course or specialization track taken by
business and IT majors in college intending to go into IT-
BPO and GIC or other service industries.
Key Programs to Raise Standards
29
Technical
Behavioral
Domain
IT
Business
Business
Communication
Internship
Process
Fundamentals of
IT-BPO 101
Fundamentals of
IT-BPO 102
Service Culture
Systems
Thinking
How does Service Management address the
competencies identified in GCAT?
Committee members include :
• Core industry representatives from IBM., Accenture, HP,
Stream Global, Philippine Software Industry Association (PSIA),
Health Information Management Outsourcing Association of
the Philippines (HIMOAP)
• Academe representatives from Asia Pacific College, Jose Rizal
University, Our Lady of Fatima and member schools of Phil.
Assoc. of Collegiate Schools of Business
• Other industry and academe representatives
Service Management Specialization Track under CMO
No. 6 and 34, Series of 2012
BPAP Specialization Track
• Business Communications for the Global Workspace
• Service Culture
• Principles of Systems Thinking
• Fundamentals of IT-Business Processes of Outsourcing 101
• Fundamentals of IT-Business Processes of Outsourcing 102
• OJT/ Internship Program 600 hours
• 21 units (including OJT)
• Approved for Business and IT courses
Service Management Specialization Track under CMO
No. 6 and 34, Series of 2012
THUS CMO 6 and 34, Series of 2012
32
Industry Academe Partnership
• Strategic alliance with the IT-BPM companies
– In discussions with more than 20 IT-BPM companies to
partner with the 17 SUCs
Success Story
Success Story
• Integrated Content
• Standard methods design
for scale deployment
• Certification and QA of
Master Trainers
• Standards and scale
deployment to HEIs
• Academe-Industry
Interventions
• Assessment and QA of
Faculty
PROJECT FRAMEWORK:
ACADEME-INDUSTRY ALIGNMENT
MODEL: CHED-IBPAP PROJECT
Enabling Partners
(Training institutions,
Solutions providers)
Industry Associations
IBPAP with ACPI, GDAP,
CCAP, HIMOAP, PSIA
Academe, HEI Industry Partner
Company
• Standards: Development,
Assessment/
Industry Certification, QA &
Continuing Development
• Over-All Governance
• Industry/Career Marketing
• Academe Leaders
• Co develop standards
• Supply Graduates to
Industry Partner
• Promote Industry &
Industry Standards
• HEI Strategic Partner
• Industry Branding
• OJT/Practicum
• Recruiting
• Incentives to HEI
Partner
Enabler
Training &
Certification
Even at the Middle Management Level
by 2016 year end*
*estimate
Requirements at the team leads and up
30k26k –
Additional
40
More than ever, the question is being asked...
41
The engagement imperative; the new norm of employee-driven
development
• An engaged workforce is essential to drive growth and
innovation
• Thus employee retention is everyone’s concern due to
the rapid growth of the industry
Global Trends in Talent Acquisition and Talent
Management
42
Focus on internal mobility
• Greater focus on internal mobility and up skilling employees.
• Tighter budgets, the requirement for specific talent areas and
increased complexity in global workforce planning will mean that many
businesses look internally to solve their staffing issues, rather than
externally.
Global Trends in Talent Acquisition and Talent
Management
43
The rise of talent communities
• The use of talent communities to build a sustainable
strategy for engaging internal and external talent
• How to keep candidates (now and in the future) “warm”
Global Trends in Talent Acquisition and Talent
Management
Global Trends in Talent Acquisition and Talent
Management
Global complexity in workforce planning
• The trend continues
Consumer-grade employer branding
• Businesses will start to treat candidates like true
consumers
• Strategies and tactics used by consumer brands to
attract and maintain a relationship with customers can
be applied to the candidate experience.
.
45
The new talent battlefields
• The drive for growth they will be focused on hiring
critical talent emergence of some new, fiercely fought,
areas such as the fight for talent in emerging markets.
Global Trends in Talent Acquisition and Talent
Management
46
Balancing short-term challenges with long-term positioning
• The need to balance shorter term financial challenges with
longer term strategic needs – such as the imperative to build
a brand that can attract talent over the longer term.
Global Trends in Talent Acquisition and Talent
Management
Our Goal
47
2016 Goal
growth
milliondirect employment
2016 Goal
US$
billion2016 IT/BPM Revenue
2016 Goal
economics
%of Gross
Domestic
Product
by the numbers
number
BPM Destination
Long Term Goal
Thank you!
Penny S. Bongato, FPM, MBA, TM
Executive Director, IBPAP
pennybongato@ibpap.org
http://www.facebook.com/penny.bongato
www.linkedin.com/in/pennybongato
https://twitter.com/pennybongato

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17th Learning EB: solving the challenges of talent management

  • 1. Solving the Challenges of Talent Management Penny Bongato, Exec Director, IBPAP
  • 2. Agenda • Growth of the Philippine IT-BPM industry • Talent Management challenges and industry initiatives • Global trends in talent management 1
  • 5. by the numbers ranked ndGlobal Outsourcing Destination
  • 6. by the numbers impact jobs largest private sector job creator 2013 employment* *estimate
  • 7. by the numbers US$ billion 2013 IT/BPM Revenue* *estimate
  • 8. by the numbers economics %of Gross Domestic Product
  • 9. by 2014 year end* One Million *estimate
  • 11. Scalable Educated Talent Pool Cost Competiveness Excellent Infrastructure Government Support & Public-Private Partnership Proven Track Record Why The Philippines
  • 12. 12 Source: CHED 2012; CIA World Factbook 2012-2013; NSO 2013; indexmundi.com Number of college degree graduates 2013 Projection 2016 Projection Medical and natural sciences, allied fields 158,159 183,459 Business, accounting, and related fields 119,526 129,168 Social and behavioral sciences, education 67,474 65,558 Engineering and architecture 57,799 63,191 IT-related and mathematics 57,921 65,420 Fine arts, masscom, humanities 13,549 14,673 TOTAL Tertiary level 533,273 584,474 Pop Labor force Unemp rate Literacy World 7,111M 3,302M 6.0% 83.7% India 1,221M 487M 8.5% 61.0% China 1,350M 799M 6.5% 92.2% Brazil 201M 106M 5.5% 88.6% Philippines 105M 41M 7.0% 92.6%  500,000+ college graduates per year  3,000+ CPAs  English proficiency & other languages  Affinity with Western culture  Customer service orientation  Highly trainable  Cost effective  High level of commitment and loyalty The Philippine Talent Pool
  • 13. Philippine IT-BPM industry size 2006–2012; US$ billion x% YoY Growth Philippines IT-BPM market as percentage of global offshore services market, in revenue terms Sources: IBPAP, ACPI, CCAP, GDAP, HIMOAP, PSIA # FTEs (~‘000) 236 383 424 527 Global share1 5% 6% 6% 7% 8% 3.4 4.5 6.1 7.1 8.9 11.0 13.2 2006 2007 2008 2009 2010 2011 2012 34% 17% 25% 24% Copyright ©2012: IBPAP. All rights reserved. FTEs Revenue (US$M) Rev % inc. fr ’11 Voice BPM 497,000 8,697 18% Non-voice BPM/KPO 154,380 2,470 20% ITO 57,078 1,160 17% Health Info Mgt & Care 45,000 460 66% Engineering Services 10,836 206 20% Animation 9,000 132 3% Game Development 3,500 50 251% TOTAL FTEs 776,794 13,174 19% 19% 284 640 9.5% 777 Philippine IT-BPM 2012 Performance 31% 45% 10.4% 1
  • 14. Philippines IT-BPM market as percentage of global offshore services market, in revenue terms Sources: IBPAP, ACPI, CCAP, GDAP, HIMOAP, PSIA Copyright ©2014: IBPAP. All rights reserved. Philippine IT-BPM 2013-2014 Preliminary Estimates Philippine IT-BPM industry size 2008–2014e; US$ billion x% YoY Growth # FTEs (~’000) 383 424 527 Global share1 6% 7% 8% 6.1 7.1 8.9 11.0 13.2 15.5 18.0 2008 2009 2010 2011 2012 2013e 2014e 34% 17% 25% 24% 19% 640 9.5% 777 10.4% 17% 16% 900 1,040 1
  • 16. What are the challenges? 16
  • 18. Walk-in applicants Job fairs School/campus fairs Applicants responding to Advertisement in newspapers Applicants responding to Advertisement online Paper Screening Initial Interview Testing Final Interview Job Offer Hire 100 Applicants 7-10 Hires*
  • 23. Global Competitiveness Assessment Tool (GCAT) An industry developed test to assess competencies in basic skills for employment in the IT-BPO and GIC and other service industries Key Programs to Raise Standards
  • 24. Average Scores Per School for Cognitive Ability Vis-a-Vis Industry Score Average Scores – Total Cognitive Ability
  • 25. Average Scores Per School for English Proficiency Vis-a-Vis Industry Scores Average Scores – English Proficiency
  • 26. Average Scores Per School for Computer Literacy Vis-a-Vis Industry Scores Average Scores – Computer Literacy
  • 27. Average Scores Per School for Perceptual Speed and Accuracy Vis-a-Vis Industry Scores Average Scores – Perceptual Speed and Accuracy
  • 28. Service Management Specialization Track (in Undergraduate Education) A 21-unit minor course or specialization track taken by business and IT majors in college intending to go into IT- BPO and GIC or other service industries. Key Programs to Raise Standards
  • 29. 29 Technical Behavioral Domain IT Business Business Communication Internship Process Fundamentals of IT-BPO 101 Fundamentals of IT-BPO 102 Service Culture Systems Thinking How does Service Management address the competencies identified in GCAT?
  • 30. Committee members include : • Core industry representatives from IBM., Accenture, HP, Stream Global, Philippine Software Industry Association (PSIA), Health Information Management Outsourcing Association of the Philippines (HIMOAP) • Academe representatives from Asia Pacific College, Jose Rizal University, Our Lady of Fatima and member schools of Phil. Assoc. of Collegiate Schools of Business • Other industry and academe representatives Service Management Specialization Track under CMO No. 6 and 34, Series of 2012
  • 31. BPAP Specialization Track • Business Communications for the Global Workspace • Service Culture • Principles of Systems Thinking • Fundamentals of IT-Business Processes of Outsourcing 101 • Fundamentals of IT-Business Processes of Outsourcing 102 • OJT/ Internship Program 600 hours • 21 units (including OJT) • Approved for Business and IT courses Service Management Specialization Track under CMO No. 6 and 34, Series of 2012
  • 32. THUS CMO 6 and 34, Series of 2012 32
  • 33. Industry Academe Partnership • Strategic alliance with the IT-BPM companies – In discussions with more than 20 IT-BPM companies to partner with the 17 SUCs
  • 36. • Integrated Content • Standard methods design for scale deployment • Certification and QA of Master Trainers • Standards and scale deployment to HEIs • Academe-Industry Interventions • Assessment and QA of Faculty PROJECT FRAMEWORK: ACADEME-INDUSTRY ALIGNMENT MODEL: CHED-IBPAP PROJECT Enabling Partners (Training institutions, Solutions providers) Industry Associations IBPAP with ACPI, GDAP, CCAP, HIMOAP, PSIA Academe, HEI Industry Partner Company • Standards: Development, Assessment/ Industry Certification, QA & Continuing Development • Over-All Governance • Industry/Career Marketing • Academe Leaders • Co develop standards • Supply Graduates to Industry Partner • Promote Industry & Industry Standards • HEI Strategic Partner • Industry Branding • OJT/Practicum • Recruiting • Incentives to HEI Partner Enabler Training & Certification
  • 37. Even at the Middle Management Level
  • 38. by 2016 year end* *estimate Requirements at the team leads and up 30k26k – Additional
  • 39. 40 More than ever, the question is being asked...
  • 40. 41 The engagement imperative; the new norm of employee-driven development • An engaged workforce is essential to drive growth and innovation • Thus employee retention is everyone’s concern due to the rapid growth of the industry Global Trends in Talent Acquisition and Talent Management
  • 41. 42 Focus on internal mobility • Greater focus on internal mobility and up skilling employees. • Tighter budgets, the requirement for specific talent areas and increased complexity in global workforce planning will mean that many businesses look internally to solve their staffing issues, rather than externally. Global Trends in Talent Acquisition and Talent Management
  • 42. 43 The rise of talent communities • The use of talent communities to build a sustainable strategy for engaging internal and external talent • How to keep candidates (now and in the future) “warm” Global Trends in Talent Acquisition and Talent Management
  • 43. Global Trends in Talent Acquisition and Talent Management Global complexity in workforce planning • The trend continues Consumer-grade employer branding • Businesses will start to treat candidates like true consumers • Strategies and tactics used by consumer brands to attract and maintain a relationship with customers can be applied to the candidate experience. .
  • 44. 45 The new talent battlefields • The drive for growth they will be focused on hiring critical talent emergence of some new, fiercely fought, areas such as the fight for talent in emerging markets. Global Trends in Talent Acquisition and Talent Management
  • 45. 46 Balancing short-term challenges with long-term positioning • The need to balance shorter term financial challenges with longer term strategic needs – such as the imperative to build a brand that can attract talent over the longer term. Global Trends in Talent Acquisition and Talent Management
  • 50. by the numbers number BPM Destination Long Term Goal
  • 51. Thank you! Penny S. Bongato, FPM, MBA, TM Executive Director, IBPAP pennybongato@ibpap.org http://www.facebook.com/penny.bongato www.linkedin.com/in/pennybongato https://twitter.com/pennybongato