Episode 1 - Assessing Your Leadership Pipeline VFINAL

Powering Up Your Leadership Pipeline
Webinar Series Episode 1:

Assessing Your Leadership Pipeline
Aon Hewitt
Performance, Reward & Talent | Leadership Assessment and Development
Webinar Series
March 25 Assessing your Leadership Pipeline
April 30 Self-Awareness as a Prerequisite to Leadership Effectiveness
May 27 Engaging Leaders
June 30 Assessing and Developing Resilience
July 22 Sustaining the Leadership Pipeline
aon.com/leadership-pipeline
Aon Hewitt | Performance, Reward & Talent | Leadership Assessment and Development 2
Objectives for Today
1 Welcome and Introductions
2 Context
 Provide a high level background on Aon Hewitt Top Companies for Leaders®
research
3 Guiding Principles
 Describe key Aon Hewitt Top Companies for Leaders results specific to leadership
assessment in the context of “guiding principles” for effective assessment
4 Leadership Assessment in Action

 Demonstration of a cutting edge leadership simulation
 Client experiences with leadership assessment
 FedEx Services
 Cargill
5 Questions & Wrap-up
Today’s Speakers
Veronica S. Harvey, Ph.D., Partner

Aon Hewitt
Performance, Rewards & Talent Practice
Raphael (Rafi) Prager, M.S., Consultant & LEADeR® Manager

Aon Hewitt
Performance, Rewards & Talent Practice
Robert (Bob) Bortz, Manager

FedEx Services
Learning and Talent Management
Michal Crespo, Ph.D.

Cargill
Assessment and Selection Lead Talent Center of Expertise
Context:
Overview of Aon Hewitt Top Companies for
Leaders Research
Aon Hewitt’s Top Companies for Leaders® Research
Longest running, most Examines the

comprehensive global link between
study on leadership leadership practices
and talent in the market and financial results
Investigates how Analyzes the execution

organizations set of leadership practices,
strategies, assess, as well as the strategy
select, develop, and that guides it
reward leaders
Aon Hewitt’s Top Companies for Leaders® Methodology
Survey Financial Selection

Over 1,500 survey Comprehensive analysis Independent panel
data points capturing on 5-year financial of judges uses
organizational program performance against inputs to select and
and practice detail industry peers rank the winners
Interview Reputation
Over 300 executive Review of all negative
and C-suite interviews publicity and litigations
capturing the execution for finalists
details surrounding
their talent
For more information on Aon Hewitt Top Companies for Leaders including a highlights
report visit our website: www.aon.com/topcompanies
What Differentiates Top Companies?
For more than a decade, the Aon Hewitt Top Companies for Leaders® research
shows what truly separates top companies from other participating organizations
Leaders lead the way Practical and aligned programs and practices
1 3
Senior leaders have Leadership strategy
a passionate and clearly reflects the
visible commitment overall business
to developing leaders strategy
2 4
An intense focus The development
on talent permeates of leaders is an
every level of the institutionalized
organization practice and mindset
Unrelenting focus on talent When leadership becomes a way of life
DNA of Aon Hewitt Top Companies for Leaders®
The Discipline of Assessment
Aon Hewitt Top Companies for Leaders® Use Assessment to Create a
Strong Leadership Pipeline
Top
companies What they do differently…. All others
100% Have formal strategies for assessing leaders 80%

Use assessment to identify deficiencies in leadership skill
100% sets 76%
Develop accelerated development plans based on
96% assessment information 71%
Use of Assessment is Related to Financial results
15%
higher relative
35%
higher relative
performance in profitability performance in profitability
when assessment when assessment
conducted at senior conducted at middle
management levels management levels
Guiding Principles for Effective Leadership
Assessment
Aon Hewitt Top Companies for Leaders® Incorporate Assessment at
Every Leadership Level
Senior Middle Front Line

96%
92% 92% 92%
84% 84%
76%
Percent of Top Companies
72% 72% 72%

68%
44% 44%
40%
36%
360 Degree Competency Based Personality Cognitive Leadership Style

Feedback Assessments Assessments Assessments Inventories
Assessments Tools
Guiding Principal #1:
Assess Potential to “Make the Curve” at Each Leadership Level
Assess
Guiding Principle #2:
Align Assessment Practices with Organizational Strategy and Context
 Leadership behavior and styles are differentially effective depending on the situation (Vroom and
Jargon, 1980)
 Overlooking context is one of the four key reasons that leadership development programs fail
(McKinsey, 2014)
Top
companies What they do differently…. All others
Explicitly align assessment practices with organizational
88% strategy 41%
Use a Variety of Valid, Objective Assessment Techniques
Global top companies All others
100%
96%
88%
Percent of Companies
85% 84%
77% 80%
71%
64%
51%
360 degree Competency based Personality Cognitive Leadership style

Feedback assessments assessments assessments inventories
Assessments Tools
Assessment Centers that Integrate Multiple Techniques are
Particularly Valid
Cognitive Ability Tests 0.51
Assessment Centers 0.39
Structured Interviews 0.37
Situational Judgment Test 0.37
Telephone-based Role Plays 0.32
Simulations 0.3
Personality Tests 0.27
Reference Checks 0.25
360 Degree Feedback 0.24
Training & Experience Exam 0.17
Integrity Tests 0.15
0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8
Operational Validity Estimates

(Relationship Between Assessment and Performance)
* Please note that the validity data comes from a wide range of different empirical, review, and meta-analytic articles.
Integrate Assessments Across Talent Practices
Global top companies All other companies
100% 100%
96% 96%
76% 76%
Percent of Companies
64% 66% 64%

56%
51%
43%
Developing Identifying high Rewarding Employee Talent mobility Retaining leaders

leaders potential/critical leaders engagement
talent
Types of Talent Practices
Competencies Provide a Common Denominator
Leadership development High potential development Coaching
96%
92%
88% 88%
84%
Percent of Top Companies
80%
72% 72% 72%
64%
60%
56%
32% 32%
24%
360 Degree Competency Based Personality Cognitive Leadership Style

Feedback Assessments Assessments Assessments Inventories
Assessments Tools
Data reflects practices of the Global Top Companies for Leaders
Aim to Make Assessments Realistic and Engaging
 Reflect the values and culture of

the organization
 Viewed as fair and impartial
 Clearly related to the work of

leadership (“high-fidelity”)
 Entertaining and engaging
Ensure Assessment Processes are Practical and Sustainable
 Is there sufficient stakeholder buy-in?

 Can the assessment process be tailored?
 Will the process be scalable?
 Can assessments be implemented virtually?
 Are administrative processes efficient?
 Is the process globally relevant?
 Can different types of assessments be integrated?
 How quickly can feedback reports be received?
 Are feedback reports easily understood?
 Do feedback reports reflect the organizations
competencies?
 Is feedback linked to development resources?
Summary of Guiding Principles
1 Assess potential to "make the curve” at each leadership level
2 Align assessment practices with organizational strategy and context
3 Use a variety of valid, objective assessment techniques
4 Integrate assessments across talent management practices, with competencies

as the common denominator
5 Aim to make assessments realistic and engaging
6 Ensure assessment processes are practical and sustainable
Leadership Assessment in Action
Demo: LEADeR® - An Integrated Assessment Toolkit
Assessment in Action: Interview with Robert Bortz
 We know that FedEx has a number of highly effective programs in place to ensure a
strong leadership pipeline. How are you using assessment to accelerate leadership
development?
 Can you provide an example of the types of assessments are used and how they are
integrated into a leadership development program ?
 What have been the benefits of incorporating assessment?
 What types of reactions have you gotten from participants in regard to the assessment
process and the information received?
 Based on your experience using assessment as part of leadership development, are

there any tips or learnings you could share?
Assessment in Action: Interview with Michael Crespo
 We know that Cargill is implementing leadership assessment processes on a global

basis. What caused Cargill to focus on leadership assessment?
 How will you be using leadership assessment to strengthen your leadership pipeline?
 What were some of your considerations when selecting an assessment process?
 How did you get internal stakeholders buy-in to using assessments?
 Based on your experience using assessment are there any tips or learnings you could
share?
Questions
Webinar Series
March 25 Assessing your Leadership Pipeline
April 30 Self-Awareness as a Prerequisite to Leadership Effectiveness
May 27 Engaging Leaders
June 30 Assessing and Developing Resilience
July 22 Sustaining the Leadership Pipeline
aon.com/leadership-pipeline
humancapitalconsulting@aonhewitt.com
Contact Us
Veronica S. Harvey, Ph.D.

Partner
Aon Hewitt
Performance, Rewards and Talent Practice
+1.281.610.2049
veronica.harvey@aonhewitt.com
Raphael (Rafi) Prager, M.S

Consultant & LEADeR Manager
Aon Hewitt
Performance, Rewards and Talent Practice
+1.212.441.2153
rafi.prager@aonhewitt.com
About Aon Hewitt
Aon Hewitt empowers organizations and individuals to secure a better future through
innovative talent, retirement and health solutions. We advise, design and execute a wide
range of solutions that enable clients to cultivate talent to drive organizational and personal
performance and growth, navigate retirement risk while providing new levels of financial
security, and redefine health solutions for greater choice, affordability and wellness. Aon
Hewitt is the global leader in human resource solutions, with over 30,000 professionals in
90 countries serving more than 20,000 clients worldwide. For more information on Aon
Hewitt, please visit www.aonhewitt.com.
© 2015 Aon plc

This document is intended for general information purposes only and should not be construed as advice or opinions on
any specific facts or circumstances. The comments in this summary are based upon Aon Hewitt's preliminary analysis of
publicly available information. The content of this document is made available on an “as is” basis, without warranty of any
kind. Aon Hewitt disclaims any legal liability to any person or organization for loss or damage caused by or resulting from
any reliance placed on that content. Aon Hewitt reserves all rights to the content of this document.

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Powering Up Your Leadership Pipeline

Webinar Series Episode 1:

1 Welcome and Introductions

4 Leadership Assessment in Action

Veronica S. Harvey, Ph.D., Partner

Raphael (Rafi) Prager, M.S., Consultant & LEADeR® Manager

Robert (Bob) Bortz, Manager

Michal Crespo, Ph.D.

Longest running, most Examines the

Investigates how Analyzes the execution

Survey Financial Selection

Unrelenting focus on talent When leadership becomes a way of life

100% Have formal strategies for assessing leaders 80%

Senior Middle Front Line

72% 72% 72%

360 Degree Competency Based Personality Cognitive Leadership Style

Global top companies All others

360 degree Competency based Personality Cognitive Leadership style

Cognitive Ability Tests 0.51

Assessment Centers 0.39

Structured Interviews 0.37

Situational Judgment Test 0.37

Telephone-based Role Plays 0.32

Personality Tests 0.27

Reference Checks 0.25

360 Degree Feedback 0.24

Training & Experience Exam 0.17

Integrity Tests 0.15

0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8

Operational Validity Estimates

Global top companies All other companies

64% 66% 64%

Developing Identifying high Rewarding Employee Talent mobility Retaining leaders

Leadership development High potential development Coaching

360 Degree Competency Based Personality Cognitive Leadership Style

 Reflect the values and culture of

 Viewed as fair and impartial

 Clearly related to the work of

 Entertaining and engaging

 Is there sufficient stakeholder buy-in?

1 Assess potential to "make the curve” at each leadership level

2 Align assessment practices with organizational strategy and context

3 Use a variety of valid, objective assessment techniques

4 Integrate assessments across talent management practices, with competencies

5 Aim to make assessments realistic and engaging

6 Ensure assessment processes are practical and sustainable

 What have been the benefits of incorporating assessment?

 Based on your experience using assessment as part of leadership development, are

 We know that Cargill is implementing leadership assessment processes on a global

 What were some of your considerations when selecting an assessment process?

 How did you get internal stakeholders buy-in to using assessments?

Veronica S. Harvey, Ph.D.

Raphael (Rafi) Prager, M.S

© 2015 Aon plc

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