Invited presentation KPMG, February 1 st , 2011

1. Meta-competencies & their links to talent management Dr. Nicky Dries Invited presentation KPMG, February 1st, 2011

2. * Tour de table * Why are you here today? What are you hoping to learn? How are you confronted with meta-competencies in your professional life? (Are there ideas you hope to see confirmed?) (Are there misconceptions you hope to see tackled?)

3. General introduction Ever-changing economic landscape ▼ Increases in marketplace complexity and dynamism ▼ Organizational agility is crucial ▼ Organizational agility depends on its human capital ▼ Core human capital = ‘high potentials’ ▼ Importance of high potentials’ meta-competencies

4. Talent management is… … the differential management of employees based on their relative potential to contribute to the competitive advantage of their organizations (adapted from Lepak & Snell, 1999)

5. Workforce segmentation (adapted from Lepak & Snell, 1999)

6. Selection vs. developmental perspective Selection perspective: “You either have it, or you don’t” Developmental perspective: “The ability to learn from experience is the most important predictor of potential”

7. What are “competencies”? … the composite of human knowledge, skills and aptitudes that may serve productive purposes in organizations (adapted from Nordhaug, 1993)

8. Then… what are “meta-competencies”? … competencies that are so powerful that they affect an individual’s ability to develop the competencies they will need in the (unpredictable) future (adapted from Briscoe & Hall, 1999)

9. From specific to general competencies specific competencies firm specific task specific industry specific general competencies general cognitive competencies meta-competencies key competencies (adapted from Allen & Ramaekers, 2008)

10. An employee typology (adapted from Hall, 2004; see Verbruggen & Sels, 2008)

11. Related concepts Intelligence/general mental ability (IQ) Experiential learning Practical intelligence/tacit knowledge Versatility Emotional intelligence (EQ) Ability to learn from experience Learning potential Continuous learning Role flexibility/behavioral flexibility Adaptability Learning agility (LQ) Adaptive performance/adaptive competence

12. Let’s take a short break!

13. Study 1: LQ Research question: Is learning agility (LQ) a good predictor of employee potential (and, if so, can we develop it)?

14. Tested model Career variety Learning agility (LQ) On-the-job learning Job performance Identification as high potential

15. 3 key findings (I) 1. Learning agility predicts employee potential to a larger extent than job performance (high performers are 3 times more likely to be identified as high potentials; but high learners are 18 times more likely to be identified as high potentials!) however… 2. On-the-job learning of technical skills fully “explained” the first finding – which means that organizations tend to focus mostly on this type of skills when identifying high potentials (more about this later)

16. 3 key findings (II) and… 3. People who have had more varied careers (both in terms of the number of organizations they had worked for and the number of job domains they had experience with) were also higher in learning agility.

17. Implications >> Incorporate some form of learning agility assessment in talent management procedures >> Avoid Halo bias! For example: use end-state competencies in performance appraisals, and LQ in assessments of employee potential >> Use objective, quantifiable tools to assess employee potential >> Allow HR to take the lead in the process >> Encourage career variety in (junior) staff

18. Study 2: EQ Research question: Is emotional intelligence (EQ) a good predictor of employee potential?

19. The EQ concept (I) … an array of noncognitive capabilities, competencies and skills that influence one’s ability to succeed in coping with environmental demands and pressures (adapted from Bar-On, 1997)

20. Five-factor structure • Intrapersonal functioning: • Emotional self-awareness, assertiveness, self-regard, and self-actualization • 2. Interpersonal skills: • Independence, empathy, interpersonal relationships, and social responsibility • 3. Adaptability: • Problem solving, reality testing, and flexibility • 4. Stress management: • Stress tolerance, and impulse control • 5. General mood: • Happiness, and optimism

21. Back to the research question Is emotional intelligence (EQ) a good predictor of employee potential?

22. Findings (I)

23. Findings (II) 1. High potentials at higher functional levels display the highest (and above-average) EQ scores 2. In general, the high potentials scored higher in terms of assertiveness, independence, optimism, and flexibility 3. However, they scored much lower on social responsibility, which implies “Machiavellism” 4. They also scored lower on happiness… an indication of “hipo loneliness”?

24. 5 must-reads* (I) 1. Briscoe, J.P. and Hall, D.T. (1999), “Grooming and picking leaders using competency frameworks: do they work? An alternative approach and new guidelines for practice”, Organizational Dynamics, Vol. 28 No. 4, pp. 37-52. 2. Dries, N. and Pepermans, R. (2007), “Using emotional intelligence to identify high potential: a metacompetency perspective”, Leadership and Organization Development Journal, Vol. 28 No. 8, pp. 749-70. * I can send you the full papers if you cannot get free access!

25. 5 must-reads (II) 3. Lombardo, M.M. and Eichinger, R.W. (2000), “High potentials as high learners”, Human Resource Management, Vol. 39 No. 4, pp. 321-30. 4. McCall, M.W., Lombardo, M.M. and Morrison, A.M. (1988), The lessons of experience: How successful executives develop on the job, Free Press, New York, NY. 5. Spreitzer, G.M., McCall, M.W. and Mahoney, J.D. (1997), “Early identification of international executive potential”, Journal of Applied Psychology, Vol. 82 No. 1, pp. 6-29.

26. Any questions? Feel free to contact me at: nicky.dries@econ.kuleuven.be