Professor XXXX XXXXX
HRM 532 – Talent Management
May 27, 2012
Southern Company is an electric utility company headquartered in Atlanta, GA. The company owns electric utilities in Alabama, Florida, Georgia, and Mississippi and services roughly 4.4 million customers. Southern Company also provides fiber optics and wireless communications. Southern Company brands are known for excellent customer service, high reliability and retail electric prices that are below the national average. Historically, Southern Company hired at the entry level and promoted individuals internally to fill leadership positions. The company typically had a very low turnover rate which resulted in an older and more tenured workforce. Over the years, Southern Company developed a group of leaders that possessed a profound level of business knowledge and aligned with the organization and culture. Southern Company hired a large number of people in the late 1970s and 1980s, so by 2003, most of those individuals that had remained with the company were beginning to retire. At Southern Company employees are eligible to retire at 50 years old, so many executives began to retire in large numbers, and their successors would also leave shortly after. Southern Company decided that it was time to review and revamp their succession planning and leadership development efforts to guarantee that they had a sustainable source of effective leaders to meet future business needs.
Evaluate the effectiveness of the roles that the strategic leaders played in the formation of the performance management strategy. Southern Company’s leadership teams played a significant role in the formation of their performance management strategy. Once performance standards were identified, leaders were able to better understand what was expected of them at each leadership level. The performance standards also formed a universal definition of leadership across Southern Company. Partnering with the human resources personnel, leaders at the company were also able to incorporate performance management into succession planning and leadership development. HR personnel determined an individual’s performance relative to the performance standards based on behavioral interviews. Managers were able to use the results of those valuations in talent review sessions. Managers also used the performance standards during succession planning to assist them in identifying high-potential individuals. Performance standards illustrate the outcomes individual contributors and leaders are expected to exhibit. Leaders used the performance standards to identify essential leadership competencies and those competencies that best aligned with and supported the performance standards were evaluated. Southern Company’s Leadership Action Council, a council made up of senior line executives representing each operating company and business unit and the senior VP of human resources, validated the competencies to confirm that they were significant to the success of the business. Since Southern Company’s strategic leaders have effectively formulated a performance management strategy, the performance standards and the accompanying leadership competencies are now used as the foundation for all succession planning and leadership development within the organization. Develop a five (5) point criteria for evaluating the effectiveness of the talent management strategy and how the data could be collected. The effectiveness of the talent management strategy can be evaluated in several ways. Four of the most distinct criteria for evaluating an effective talent management strategy are described as the DIME Model of talent management success. They include: •Driven by business strategy
•Integrated with other processes
•Managed as a core business practice
•Engrained as a talent mindset
These are the design...