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News
David Woods, 08 Jun 2011
Public sector management lack confidence in the ability of senior leaders to meet the challenges of far-reaching reform, both now and in the future, according to research published yesterday by global management consultancy, Hay Group.
The research reveals a failure across the public sector to renew and adapt talent management strategies in line with radical changes brought about by government spending cuts - despite a widespread need to develop new leadership roles and workforce capabilities.
Yesterday's report also highlights a real danger that cost cutting will impact on the capacity to develop and retain future leaders and talent. The study, Mind The Talent Gap: Dealing with the deficit, was conducted with 131 public sector leaders, ranging from board and executive level to middle management.
Against a backdrop of comprehensive reform, 56% of public sector respondents (covering all levels of leadership) do not believe their senior leaders have the skills required to manage change today. The concern is even more acute when looking to the future. Three-fifths (60%) fear that their leadership population does not possess the right skills and capabilities to successfully meet future challenges. The majority (60%) of public sector leaders have reviewed the core purpose of their organisation. Of these, 58% are 'radically changing' their long-term strategy and some 70% are adapting their operating model.
More than two-thirds (69%) of this group recognise that new types of leadership roles are required to deliver future strategy. Yet talent management is not keeping pace. Almost three-quarters (73%) of organisations have not renewed their talent management strategy or systematically addressed how to identify and retain high potentials.
Budgetary constraints are also having an impact on the development and retention of talent. Some 70% of leaders believe that planned levels of redundancies will not allow sufficient space to bring in new talent and skills to their organisation. Less than a third (32%) are confident they will retain the right talent for their future needs. More than a third (35%) believe that efficiency savings are forcing their organisation to cut the level of training available to departmental managers. This jumps to almost half in local government (41%) and more still (47%) in central government.
Hay Group's report also highlights a failure to build new capability requirements into future workforce plans. A significant majority (62%) are failing to assess people based on new capabilities required to meet the needs of reform. Over two-thirds (68%) have not incorporated these new capabilities into their recruitment plans. Less than half (48%) have clearly defined the type of talent, skills and capabilities they require. Only a third (33%) have done so for the next two years, and less than a fifth (19%) have done so for the next five years. Jody Goldsworthy, associate director at Hay Group, comments: "The report raises concerns over whether public sector leaders can steer their organisations through unprecedented reform, and whether leaders are being developed for the sector's future needs. "Many organisations are overlooking the leadership and workforce development strategies crucial to success in a changed landscape. These need to be reviewed as a matter of urgency.
"To operate in a new way, it is critical that organisations identify the new structures, roles and behaviours they will need at leadership level and across the workforce. "As the landscape shifts around them, public sector organisations realise this, but are yet to take steps to address it. "Only with the right capabilities in place will the sector meet the challenge of maintaining and improving services against a backdrop of fundamental change," said Goldsworthy.
2 comments on this article |
T Williams 08 Jun 2011
The report that well over 50% of public sector workers feel that their so called "leaders" are not up to the job of leading or capable of providing future strategy. This finding is against a background of "fat cats" in the public sector, particularly council CEO's, who justify their ridiculously high salaries because they handle as large, or larger, organisations than the private sector. They all fail to accept that they do not have to make money as a [private sector boss does who is also at the behest of shareholders. They get a budget provided by taxpayers, who have no recourse as shareholders do, and they should operate it well, just like housewives have to! Unfortunately, most public sector leaders are not up to it, nor up to the leadership skills needed. I worked in the public sector for 25 ears and "Murphy's Law" is sacrosanct - Workers are promoted to their level of their incompetence!
Stuart 08 Jun 2011
I am mildly amused by your article, and research findings that you depict. Why, oh why, should there be an expectation that within the public sector that there exists a leadership and change skill that has not exhibited itself to date? Fundamental, radical change, defining, determining and delivering a new business model - fast, dynamic, innovative, visionary, proactive and with excellent effectiveness and efficiencies as the 'norm' - is as alien to the public sector senior management I have met, as a tea-total bachelor party. The public sector has been left unchallenged by politicians and their top leaders for generations. When they talk about change, it is an entirely different language and culture to the private sector, which has to engage in order to survive. Generally, if they don't change, they wither, and die - and lose their jobs. A good example, but only one, is the slow march over 20+ years to understand what the private sector got to grips with progressively during that time, namely 'we can't afford final salary pension schemes any longer' - the world moved on, but not the public sector. Virtually all final salary schemes in the private sector have now ended, many for 10 years or more, but not the public sector! So, if change is to occur, there is a radical need to be radical, and change significant parts of the present leadership across the sector. Putting them in charge of a radical change programme is akin to turkeys voting for Christmas. It ain't going to happen! The only people who will end up paying for any kind of change administered under the present leadership and business model are the ground floor staff, who will be expected to continue the same business model with less staff and resources, and the end customer - the taxpayer - who will pay more for less services. Some change, some neck! They will call this change, cost reduction, and everyone being in the same boat to address the deficit. In fact, it won't be the change needed, it will be cost cutting (not reduction), and the senior people will not suffer too much. So, don't be surprised at your findings, after all the public sector has been doing the same for hundreds of years. And, they intend being around to continue inflicting the same kind of leadership, values and limited, reactive (small) change for the forseeable future.
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