BROWN-FORMAN Leadership HISTORY Founded by George Garvin Forman in 1870 150 years of history One of the largest American-owned spirits and wine companies Among the top 10 largest global spirits companies CORPORATE RESPONSIBILITY “Brown-Forman’s highest purpose is to enrich the experience of life. We do this, in our own way, by responsibly building beverage alcohol brands that thrive and endure for generations. This is achieved within a broader context of corporate responsibility — promoting responsible enjoyment of our brands, protecting the environment, providing a healthy, safe, and inclusive workplace for employees, and contributing to the communities where we live and work.” COPYRIGHT © 1998-2012 BROWN-FORMAN CORPORATION Anything with this format of the slide was taken directly from Brown-Forman’s slide deck for succession planning and talent review Use has been approved by Brown-Forman contact BUILDING BENCH STRENGTH SUCCESION PLANNING AND TALENT MANAGEMENT Succession planning was always part of the BF culture As employees enter BF, they are all given the opportunity to thrive Keys to success: Strong backing by management Ingrained in BF culture Employees hired with assumption of longevity High potential are identified after two years with the company SUCCESSION PLANNING Resources to support process: Succession Management (talent reviews & key position review) Organizational Development (Performance Mgt., Career Development, Mentoring and Coaching Resources) BBU Staffing & Recruiting HR Team Leaders, managers BENCH STRENGTHS Definition: Bench Strengths Process to identify high potentials and evaluate where they may fit in critical positions within the company Financial Impact and Strategic Impact Allows management to have a “bench” of high potentials ready to fill roles as necessary 9-BOX GRID High Performer/ Well Placed High Performer/ Growth Potential High Potential/ Leadership Talent Recognize, Keep Challenged & Engaged Provide Targeted Development Provide Targeted Stretch Development or Assignment Effective Performer/ Well Placed Effective Performer/ Growth Potential Key Performer/ Leadership Potential Keep Challenged & Engaged Develop Skills Test for Potential Under Performer Marginal Performer Inconsistent Performer/ Derailment Risk Initiate Performance Improvement Plan Set Clear Goals and Focused Development Identify Support Resources or New Role Helps identify High performers Potential leaders Employees ready for new projects Those at Risk Referred to and updated before reviews and in the talent council Visual Assessment identifying potential leaders and talent that may be ready for new opportunities Mechanism that can be used to consider possible coaching interventions based on employee’s current performance and potential TALENT MANAGEMENT Employee responsibility Just as responsible to provide updated information Given time in work to Allows management to communicate with employees and vice versa Talent Management Feedback Forms Form used to the council Kept by manager Not visible to employee CAREER PLANNING Encouraged to update regularly Especially before a review Regular updates lead to more data points Other assessments Hogan Assessment 360 Assessment SUCCESION PLANNING AND TALENT MANAGEMENT Identify Key Positions Put Individuals in a Database Identify Who Can Fill It ACCELERATING DEVELOPMENT THE TALENT COUNCIL THE TALENT COUNCIL Marketing Operations Finance HR Diversity & Inclusion Business Development 9-box Performance/Potential Grid P E R F O R M A N C E 22 High Performer/ Well Placed High Performer/ Growth Potential High Potential/ Leadership Talent Recognize, Keep Challenged & Engaged Provide Targeted Development Provide Targeted Stretch Development or Assignment Effective Performer/ Well Placed Effective Performer/ Growth Potential Key Performer/ Leadership Potential Keep Challenged & Engaged Develop Skills Test for Potential Under Performer Marginal Performer Inconsistent Performer/ Derailment Risk Initiate Performance Improvement Plan Set Clear Goals and Focused Development Identify Support Resources or New Role Brown Forman Corporation POTENTIAL DEVELOPMENT ACTIONS “Case ” Opps. BBU High Potential Employee CrossFunction Teams Expand Role CASE OPPORTUNITIES Mgmt. Initiative Strategic key projects for development Sometimes international in scope Around 9 months Designed to: Increase responsibility – cross functionality Gauge employee potential BRAND BUILDING U (BBU) Outside Vendors & Executive Leadership Topics include: o o o Sales/Marketing Leadership Technology 55,000 hours in last two years o 25 hrs/employee BRAND BUILDING U (BBU) “People Build Brands” Competitive Advantage Retention & Engagement RENTENTION 11 years in US People Build Brands Employee Driven Management Buy-In Mentoring Global – web-based o 280 mentors o 498 mentees o Employee Mgmt Brown Forman EMPLOYEE RESOURCE GROUPS “Thinking About Drinking” • • • Non-Drinkers Group Recognized by Diversity Inc. for Best Practices Enhance Employee Engagement & Commitment ANALYSIS LEADERSHIP VISION Brown-Forman’s Leadership booklet provides an incomplete vision of leadership The book focuses too much on traits without addressing other aspects of leadership Would be best if they created a formal definition of leadership “ ” Dr. John Bachmann, PhD, Vanderbilt University EMOTIONAL INTELLIGENCE EMOTIONAL INTELLIGENCE According to Bar-On (2010) “Emotional-social intelligence is a cross-section of interrelated emotional and social competencies, skills and facilitators that determine how well we understand and express ourselves, understand others and relate with them, and cope with daily demands, challenges and pressures”(para. 1). Bar-On, R. (2010). A broad definition of emotional-social intelligence according to the Bar-On model. Retrieved from http://www.reuvenbaron.org/bar-onmodel/essay.php?i=2 EMOTIONAL INTELLIGENCE An additional data point to filter leaders with Training and development in EI at BBU 360 JOB REVIEW Marcus Buckingham argues 360 reviews create flawed data “The bottom line is that, when it comes to rating behavior, observers are not objective, especially when asked to make relational assumptions.” http://blogs.hbr.org/cs/2011/10/the_fatal_flaw_ with_360_survey.html 360 JOB REVIEW The effectiveness of the test erodes over time and therefore may want to tweak existing assessment or switch assessments entirely BROWN-FORMAN QUESTIONS?