France Telecom Case Study

1. France Telecom Case Study I- Organisational evolution and best practices in managing competencies Lecture 3

2. Professional paths and resources optimisation.... The case • How to adapt the resources to the company needs and environment ? • How to warrant that the organisation will have the correct competencies to reach its vision and ambitions ? • How to conciliate individual objectives of employees ? • .......

3. Agenda • Introduction • Presentation of the case study • Evolution of the FT obligations • Organisational evolution • Evolution of job families and competencies • Internal and external mobility (tools and drivers) • Capacity Building as a strategic goal

4. A complex and iterative process at the junctionof multiple documents of guidance, transposition and implementation • It is necessary to have information of framework • Letter of policy or strategic Guidance • Planned evolution of the Business and Organisation • Competency Development Plan (CDP) • But also employees perspective • Through Individual Progress Interviews • In order to • Optimise resources in terms of quantity and quality (skills)

5. A process at the junction • Of institutional information: • Strategic Guidance Letter (General Management) • Strategic goals (Business Divisions) • Tactics (Operational Units) • Main projects (Transversal Organisations) • Legal obligations (State) • Of individual information as well as: • Individual Interview • Wishes of career evolution, of mobility, of promotion, ..

6. A process which leads either to: • Maintain an employee in his/her position • Without skills development (no modification of the activity or the performance) • With skills development (evolution of the post and/or activity, improvement of performance, ..) • Or to plan an evolution of his/her professional path • Within the local organisation (functional mobility) • Within the organisation (geographical mobility,..) • And which allows taking into consideration a personal and specific project • Internal mobility (geographical move, potential skills recognition • External mobility (spin-offs, mobility to the public admin,.) • Stop professional activity

7. Year N Year N+1 Strategic Guidance Adaptation of skills Individual Appraisal Process of Rightsizing Resources Internal Mobility Or deployment Business Evolution Evolution of organisation Recruitment External Mobility Evolution of environment laws competition, … Stop professional activity

8. Transposition In tactics Transposition in Strategic Plans and goals Letter Of Strategic Guidance Political Strategic Branch/Division Individual Tactics The process Level Organisation Documents General Management Resources Rightsizing Process Operational Unit Team/ activities Individual objectives

9. Transposition In tactics Transposition in Strategic Plans and goals Letter Of Strategic Guidance Evolution of Organisation Stop Activity Adaptation To post The process Organisation Documents Individual Mobility And/or CompetencyDevelopment Rightsizing Resources Process CompetencyDevelopment Individual objectives Coaching

10. Letter Of Strategic Guidance Transposition in Strategic Plans and goals Transposition In tactics Example of Transposition Improve performance of sub-regional and local process Improve efficiency of the intervention, supervision, management of network resources • Improve performance of intervention (activity drivers), - multiple skills of Network Technicians (TIR), • Decrease number of interventions • Develop competencies in the field of leading the activity andmanaging the Technicians (TIR) • Succeed the pilot experience of « e-nomadism » Individual objectives

11. Evolution of legal environment Obligations of France Télécom • PRA : Personnel Representative Authorities • RIT : Right to Individualised Training These two legal devices mean that the French Code of Work applies to the FT group.It implies risks of disputes, eventual prosecution against responsible employees,…

12. Personnel Representative Authorities (PRA) • The Entreprise Committee (38) for all matters concerning economic, strategic issues, organisation and training. Also looking at the future of the company (merger– acquisition) • The Personnel Delegate (#2000) is elected and is in charge of the application of rules (Objection position) • The Labour Union Delegatedesignated by his/her organisation (Claiming position)

13. R.I.T : main principles «Every employee must be able, during his/her professional life, to develop, complete or renew his/her qualifications, knowledge, skills and professional capacities » This implies a reinforcement of the node between professional evolution and capacity building to allow: • The company to face economical and demographical changes • The employees to face rapid evolution and acquire other qualifications besides their initial ones

14. The R.I.T : transposition (1/2) • This means an increased and shared effort in terms of capacity building (CB): • For the company : increase of its obligations in financing the CB • For the employees : stronger involvement in their own training path and professional development, even outside working hours • CB will be at the heart of the managerial relationship • Extension of the professional interview system to the whole organisation, under the competencies perspective • Respect of co-decision making process in terms of new training opportunities for employees • Individual career paths • Contract-based agreement with the employee before his/her departure to the training period

15. The R.I.T : transposition (2/2) • On the employee’s initiative, and with the agreement of his hierarchy, the RIT rule grants 20 training hours per year, that can be accumulated over 6 years. This duration can be increased if ever the training activity takes place during non-working hours or fits with the individual training plan. • When taking place during non-working hours, the employee receives training incentives while the company pays for the eventual training fees.

16. Relative weight of Intervention Jobs among Network Technical Jobs Evolution of the organisation Intervention Jobs Other Network Jobs Example : Implementation of a centralised intervention driving system

17. Summary of 10 years fast evolution 1990 2003 25 millions lines 1000 network units 1200 Exchanges 34 millions of lines 50 network Operational units 700 electronic Exchanges

18. Evolution of technical operation (summary of 10 years) • Separation of supervision from intervention • Then, optimisation of the supervision by going from a dispatched organisation to concentrated supervision points • Then, optimisation of the intervention by going from a monotech intervention group to a multitech group type of organisation • And finally achieving team work with combined multi-skills

19. C.P.E.P P.E.M.S G.P.S.R G.P.S P.S.R G.S.N G.I.L G.I.L G.P.S G.E.T G.S.R G.E.C Evolution of supervision CPE UER URR Intervention C O N C E N T R A T I O N Raising of multitechnicity 500 Supervision WH Supervision Working Hours Supervision 24/24 18 50 Supervision NWH Supervision NWH 5 Multi-tech Supervision back and front office 20 5 Support + skill center For the group URS 5 ? 1990 1992 1998 2000 2003 2004

20. Context of Intervention • More diversity of equipment (in numbers and types) in the intervention area • More and more different customer profiles • A wider intervention area (geographically speaking) • Constraints generated by multiple and diverse interventions (real time, production, contract, ..) • Requests for interventions sometimes not justified and even redundant

21. Caller 1 Caller n Request of intervention Request of intervention Request of intervention Request of intervention IG IG IG Evolution of the organisation for troubleshooting actions 1990 2003 Regional NetworkUnit y Regional NetworkUnit x UEP IG IG IG

22. Objectives of Unique Entry Point (UEP) • To increase directly or indirectly Individual and Collective Performance by: • Proposing a unique interlocutor to all players • Decreasing the volume of activity • Decreasing the average cost of Interventions (length, travelling,...) • To allow resource saving and reduction of sub-contracting costs

23. Organisation of the UEP One principle : « Everything must go through the UEP » Clients (internal) Simple Intervention Intervention Activity Lead Reception Front office Pilot Logistic Network Supervision Analysis / Programation Back office Assigning Resources Material

24. The URP functions • Front desk for complaint/alarm registration • Supervision (time monitoring) • Diagnostic and programming • Resource allocation • Guidance of the troubleshooting actionNote:This sequence applies to ALL kinds of interventions

25. Operational stakes • Optimise interventions • By assigning the interventions • After analysing urgency (contracting,..) • After analysing the signalisation (alarm, complaint,..) • To the intervention group with necessary skills • With warranty of material availability (« maintenance set ») • Programming and organising travels • By warranting information on the follow-up and feed-back on the results

26. Adaptation of job families and competencies • Objective : consisting of evolving skills of the employees to hold their job with performance • Tool : collection of competencies • Example : reception post of one UEP

27. Excerpt of competencies dictionary • Identify different technicians and mobilise them • Build a process and organise steps of intervention • Elaborate and make a plan that will be respected • Pilot the intervention • Control execution

28. Principle of classification • Distinction : • Job description with linked activities; to operate a job, skills are necessary • « Reference job » is the closest job with 90% common expected skills • The « typical job » is a group of reference jobs presenting similar activities and skills in order to be studied and managed globally

29. Collect requests, guide them, assure global piloting the request through deadlines • Realise suitability between network events and request for intervention • Alert in case of dysfunctions • Assure updates of instructions and lists

30. Family/Job/Post Job Family Network intervention Studies & conception Construction prod Supervision maint Intervention client Typical job Piloting activity Network Intervention Management of intervention .......(19 typical jobs) Reference job Reception (in charge of) Management of resources Driving activity Resp for activity piloting ...... • Work job • Takes alarms into account • Trace alarms context • -.... • Standard Activities + • Specific Activities Table of competencies Reference posts 90% + specific skills

31. Take into account Information Systems or information requests Collect IS or information requests and obtain precise formulation. Orient IS or the information request Make a pre-analysis of the request and find the correct person to treat it NECESSARY -    Know how to communicate -    Know how to understand the level of a problem -     Know how to investigate asking the right questions -  Know how to work in teams or in networks -      Know how to regulate or optimise NECESSARY AND TO DEVELOP -    Know how to welcome a person TO DEVELOP -   Know how to feed-back on current work -      Know how to reconstitute steps of an event or succession of events. TO MAINTAIN -      Know and know how to use applications and tools of the domain Reception at the UEP ELEMENTARY ACTIVITES KEY COMPETENCIES

32. ELEMENTARY ACTIVITIES Watch the equipment functioning Get in real time, via supervision tools, information (alerts, messages,..) on the functioning status of equipments. Establish a pre-diagnosis of each dysfunction Through quick alert and received messages analysis, identify significant information of a real dysfunction Guide incidents treatment Assess incident treatment urgency, listing the priorities and guide pilot actions Participate in the incident analysis Contribute through the global vision of the dysfunctions revealed by the supervision system during a certain period and through traceability, analyse a particular incident with the other stake-holders. KEY- COMPETENCIES 1- NECESSARY Be vigilant Be rigorous Know how to apply and comply Know how to work and decide in emergency cases Know how to exchange information 2- TO DEVELOP Know how to assess event impact Know how to re-constitute events steps or events succession Know how to read technical English 3- TO MAINTAIN Know how to interpret messages and alerts (master) Know and know how to use software applications and tools (master) Know and know how to apply the rules and procedures relative to the domain (master) Know how to refer to own experience and to the technical documentation of your field. Know equipment cartography of which the group has the responsibility and its network environment Example of activities/tasks referential and associated competencies : the supervision

33. (Job mapping in the Network Area)

34. Trends for Competencies Development • Increase performance especially the behaviour component • Work on employment criteria • Optimise training by integrating the vision of the job families • Job families Cartography • Detect and maintain critical skills • On-the-job training through tutoring or e-learning