Developing the Next Generation Executives

Background

The client was a player in the consumer products market in China. The CEO approached High Impact Management Consulting Limited to assist the company to develop her next generation middle to senior managers.

The CEO aimed to institute a Management Trainee Development Program (MTDP) to provide a continuous source of management talents for the company. By recruiting and developing university graduates annually, the company aimed to groom batches of capable managers to fulfill the growth and developmental needs of the business.

The Methodology

To develop managers in an accelerated manner, the consultant designed a MTDP that blended managerial training, job-rotation, mentoring, as well as work-related projects. After the two-year program, successful recruits should come out with the appropriate mindset, knowledge, and skills in being a competent manager.

Five core elements were designed into the program:

• Training workshops to enhance the competencies of the management trainees (MTs);
  
• A mentoring program that provide personal attention and guidance to the MTs;
  
• A job-rotation program that enable the MTs to gain practical experience on the various operations of the business;
  Projects that allowed MTs to demonstrate their capability as able managers; and
  
• On-the-job training that provide the MTs opportunities to learn and demonstrate their knowledge and skills in a real working context.
  

The Journey

A steering group composed of senior executives was established to oversee the whole program as well as the performance of individual MTs.

With the assistance of the consultant, the steering group defined the core set of knowledge and skills for the future executives, which was then translated into a series of training workshops. The contents of the workshops included current management concepts such as Business Progress Reengineering, Six Sigma Improvement, Strategic Planning, and hands-on skills such as time management, presentation and communication skills.

A brief orientation session was given to the MTs upon their arrival. They were then placed into job rotation (once every 3 months). The host departments had all prepared their specific agenda for the MTs to grasp the essential knowledge and skills about the departments' work.

Each MT was assigned a senior executive as personal mentor. Ideally, the mentors should meet the MTs regularly to assist them in work-related and personal issues. And once quarterly, the mentors submitted assessments of the MTs to the steering group. However, some mentors were too busy with other priorities that meeting frequency with MTs fell to a very low level at the middle of the year. This also caused frustration among the MTs. Knowing about the situation, the steering group had to "remind" the mentors of their critical role and responsibility constantly.

On a parallel track, the MTs had to attend monthly training workshops conducted by the consultant. The consultant, sometimes with guest speakers, facilitated the MTs to learn the management concepts and skills. The consultant also assessed the capabilities of the individual MTs during the workshop.

Periodically, the steering group held meetings to discuss the effectiveness of training workshops, job-rotation, and mentorship. The group also reviewed reports submitted by the MTs, as well as the performance assessment by the mentors and feedback from the consultant. When needed, the group devised specific actions to assist individual MTs in their development.

On completing the first year of MTDP, the MTs were assigned to functions of their choice. However, owing to their difference in performance and capabilities, the MTs were assigned positions of different ranks. During the second year of the program, the mentors continued to provide support and guidance to the MTs. In addition, the MTs were assessed by their superiors on job and project performance.

The Results

Although come MTs (below 30%) resigned within the first 3 months, most of the remaining MTs have demonstrated their commitment, capability, and potentials. At the end of the first year, the company had identified about 40% of these MTs to be capable and they were assigned to positions critical to the development of the company.

A 40% throughput of first-rated MTs was sought satisfactory. The company continued the program for her second and third batches of MTs.

Lessons Learned

As the CEO had pointed out that upgrading the management capability was a long-term effort. Persistence, patience, drive, and determination were all required. Overnight success would not happen. The leader also had to create the necessary internal environment for the growth and development of existing and new management staff.

More importantly, the success rate would not be very high. If you can found and retain 3 out of 10 people recruited, the program is already a success.