TALENT MANAGEMENT IN PUBLIC

PROCUREMENT

Barbara R. Johnson MPA CPPO CPPB

Talent Management in Public Procurement

YOU will be experiencing the effects of the search,

development and demand for MORE professional

procurement talent.

Talent Management

• SOURCES• DEFINITION• ENVIRONMENTAL

FACTORS• IDEA SHARING

Talent Management - Sources• Accenture• Deloitte• KPMG• CEO Magazine• CIPS, The Chartered Institute of Purchasing and Supply

• Government Procurement Magazine• Governing Magazine

Talent Management – Sources (continued)

• Harvard Business Review• International City/County Management Association

• McKinsey & Company• National Association of State Procurement Officials (WSCA)

• National Council for Public Procurement & Contacting

• NIGP, The Institute for Public Procurement

Talent Management – Sources (continued)

• Talentmap, Ontario CA• spendmatters.co.uk• Wikipedia• ODesk.com• The Lisboncouncil • US Office of Federal Procurement Policy• US Office of Personnel Management

Talent Management – Definition

Talent management is the science of using strategic human resource planning to improve business value and to make it possible for companies and organizations to reach their goals. Everything done to recruit, retain, develop, reward and make people perform forms a part of talent management as well as strategic workforce planning.

Source: Wikipedia

Talent ManagementRecognize and act on the principle that a public entity is only as good as its people;

• their ideas, • their experience, • the way they do things and • their attitude as they do them

Talent Management – NASPO Research

• The procurement professional needs skills to support the new reality:• Strategic Thinking: no longer just processing

transactions• Look Deeper: analyze many elements for decision

making• Deal with new challenges: legal, ethical, social,

technological • Taking on more tasks and documenting for future

generations

Governing Magazine July 2014 Reported on:

The Center for State and Local Government Excellence's latest annual

workforce survey

Talent Managementgovernment human-resources

managers cited: •staff development, •succession planning, •employee morale, and •retaining staff for core services

as their top issues

Talent Management

•The WAR for Talent:1997 McKinsey & Company

(reprised as late as 2009 by others) -Refers to an increasingly competitive landscape for recruiting and retaining

talented employees

Environmental Factors

• DEMAND

• SUPPLY

DEMAND: UPWARD MOBILITY• Enabling the viability of entities and their leadership

• More Strategic Procurement and Planning in the Public Sector

• Engaging as a Partner in Risk Management• Higher Status in the Organization

SUPPLY: “THE PERFECT STORM”• AGING PUBLIC WORKFORCE

• One out of every three federal US employees is expected to retire by 2018

• The number of workers 55 and older is going to jump from 17% to 23% by 2015.

• 35% of Canadian public procurement employees indicated they were leaving their job within the next 12 months (9/2007)

• Shrinking availability of younger workforce• “Exodus” was slowed by recession….

SUPPLY: SOURCES OF TALENT• 50% will come from colleges and universities….

Business grads are in high demand… and it will outstrip supply in the coming years.

• 38% will come from elsewhere in the organization…

• 12% will come from various other sources – temps, temp to hire, etc.

Talent Management Subject Matter Areas

•Recruit•Retain •Develop •Reward•Encourage Performance and•Ensure Accountability

RECRUITNCPPC Report on Standardized Job

Descriptions for the Profession called for the following KSA areas:

• Procurement Administration• Sourcing• Negotiation Process• Contract Administration• Supply Management• Strategic Procurement Planning

RECRUITNCPPC Report on Standardized Job

Descriptions for the Profession; called for the following Compensation:

• Chief Procurement Officer: $90,000 - $124,999

• Procurement Manager: $60,000 - $124,999 • Procurement Analyst: $40,000 - $79,000 • Buyer: $30,000 - $100,000 • Procurement Assistant: $20,000 - $69,999

Recruit:Check out the Ideas Sheet!

“Re-recruitment involves engaging employees in conversations and dialogues about the vision and goals of the organization; conducting “stay interviews” with employees. Re-recruitment helps retain talented employees even though they could go elsewhere.”

Source: ICMA

RETAIN

To gain and retain top talent for your procurement organization, each procurement-leader must embrace change, continuous improvement, technology, and continuous learning and advancement.

Source: Government Procurement Magazine

RETAIN

Retain: Check out the Ideas Sheet!

DEVELOP – Formally!

“With face to face, webinar and on-line learning formats, NIGP: The Institute for Public Procurement enables you to meet your need to learn or sharpen the skills you’ll need to excel!”

DEVELOP – Formally!The Institute’s “Learning Central” web page indicates that it has been “Developing, supporting and promoting the public procurement profession through premier educational and research programs, professional support, technical services and advocacy initiatives that benefit members and constituents since 1944.”

DEVELOP – Formally!

A few of the Universities with public procurement/contract management courses: •Florida Atlantic University (Florida)

•Old Dominion University (Virginia) •The Ohio State University (Ohio)

DEVELOP – Informally!“Investing in employees by helping them develop new skills not only benefits governments but also shows workers that they are valued. Offering cross-cutting assignments appeals to younger workers who are eager to gain experience and a bigger picture of organizational challenges.”

Source: Governing Magazine

DEVELOP – Informally!•SUCCESSION PLANNING:

•Growing the experiences•Supporting the stress-free vacation of co-workers

•Leave a legacy when you move on…

DEVELOP – Informally!

Chapter Treasures:•Opportunity to practice leadership

•Opportunity to share experiences•Opportunity to learn in short sprints four or five times a year!

DEVELOP - Check out the Ideas Sheet!

REWARD

REWARD - Compensation

NCPPC 2013 Study results• Chief Procurement Officer: $90,000 - $124,999

• Procurement Manager: $60,000 - $124,999

• Procurement Analyst: $40,000 - $79,000 • Buyer: $30,000 - $100,000 • Procurement Assistant: $20,000 - $69,999

REWARD - Compensation (average)2012 NIGP Compensation Study - A total of 305 individuals participated in the survey. Most of them were employed by city/municipal (23.9%) or state/provincial (23.9%) governments.

• Director, Materials Management + : $87,321• Director, Purchasing: $78,491• Manager, Contracts: $68,144• Senior Buyer: $56,700 • Buyer: $46,761 • Assistant Buyer: $42,090• Administrative Assistant: $39,164

REWARD – Compensation Northern and Central Ohio

Columbus Procurement Manager: $76,000 to $114,000

Toledo Administrative Svcs Commissioner$65,000.00 - $96,873.92

State Purchasing Administrator: $70,000 to $92,000

REWARD – Compensation Northern and Central Ohio

State Purchasing Manager: $58,000 to $83,600

Columbus Procurement Officer: $54,000 to $81,000

Cuyahoga County Sr Purchasing Administrator $57,543.43 to $80,565.05

REWARD – Compensation Northern and Central Ohio

Cuyahoga County Purchasing Administrator $49,353.25 to $69,086.07

State Purchasing Analyst: $45,000 to $66,000

REWARD – Compensation Northern and Central Ohio

Cuyahoga County Sr. Purchasing Agent: $43,878.99 to $61,426.34

Cuyahoga County Purchasing Agent: $38,425.94 to $53,787.83

Toledo Chief Buyer$44,362.24 - $52,187.20

REWARD – Compensation Northern and Central Ohio

Columbus Sr Procurement Specialist: $44,000 to $66,000

Columbus Procurement Specialist: $39,000 to $59,000Toledo Buyer $39,416.00 - $43,823.50

REWARD – Compensation Northern and Central Ohio

State Purchasing Specialist: $34,000 to $41,000

State Purchasing Assistant: $32,000 to $38,000City of Toledo Purchasing Aide$27,266.72 to $36,354.24

REWARD – “Total Rewards”•A host of benefits listed on several public sector websites included the usual:•“retirement and medical, dental, vision and life insurances at various employer and employee contribution levels.”

Source: Federal Office of Personnel Management

REWARD – “Total Rewards”•Some public sector websites also listed: • “flexibility and telecommuting for work/life balance,” “family” benefits in terms of childcare tax credits, “generous” leave allowances, and “health and wellness” programs.

Source: Federal Office of Personnel Management

Reward: Check out the Ideas Sheet!

ENCOURAGE PERFORMANCE

ENCOURAGE PERFORMANCE

How does your personal mission align with your

agency’s mission?Share it with your team &

leadership!

ENCOURAGE PERFORMANCE• Granting formal, honorary awards for significant achievements;

• Providing informal recognition items; and

• Holding ceremonies and recognition events.”Source: Federal Office of Personnel Management

ENCOURAGE PERFORMANCE –Check out the Ideas Sheet!

ENSURE ACCOUNTABILITY

“Agencies must be results-driven, citizen-centered, and

market-based.”

Source: Federal Office of Personnel Management

ENSURE ACCOUNTABILITY

“A well-developed PM program addresses individual and organizational performance matters necessary to properly create and sustain a healthy and effective results-oriented culture...”

ENSURE ACCOUNTABILITY

ENSURE ACCOUNTABILITY – Check out the Ideas Sheet!

Talent Management: WIIFM-Get Ready!

• Engage in Continuous Learning and Leadership

• Help update Position Descriptions/Pay• Plan for Succession• Engage the professionals in your

community • Require/Achieve Certification• Seek public policy or procurement

classes

Talent Management

THANK YOU!brjohnson@columbus.rr.com