Understanding the results your talent and learning programs have on your organization’s top and bottom line often define success of the programs. So having effective tools to track and analyze learning and talent management programs together is key. Learn how integrated analytics can make your organization’s learning and talent management programs more effective and demonstrate the impact on the top and bottom line.

1. Learning & Talent
Analytics
Integrating Business Metrics to
Show the Value of HR & Learning
Initiatives
Co-Presenters:
Hardeep Gulati - EVP Product Management
Kim Lennon - Sr. Product Manager

2. Session Agenda
■ Market Driver for Analytics
■ SumTotal’s Solution
■ Q&A
Page 2 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

3. Market Trends
“If you can’t measure it, you
can’t manage it.”
■ Focus on efficiencies and productivity Nolan & Norton Consultants
■ Improve business impact of HR initiatives “The holy grail of training
measurement has always
■ Significant pressure on cost cutting
been the dream to directly
■ Enforcement of compliance to changing correlate training to business
impact: sales revenue,
global regulations critical productivity, turnover,
■ Mitigate proactively risks and exposure in product quality.”
Bersin & Associates
talent pool
“When BI and analytic
■ Global workforce with demand driven capabilities are integrated into
organization models business processes, decisions
are more repeatable, scalable,
traceable and accurate.”
Gartner
Page 3 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

4. Human Resources Maturity Model
Level 4: Business-Integrated HR
HR strategy part of the business strategy.
HR helps to drive business decisions through people, data and insights.
Business and HR systems integrated and advanced.
Level 3: Strategic HR Department
HR aligned with business strategy.
HR functions supporting business needs.
Initiatives split between HR process improvements and talent needs.
Level 2: Fundamental HR Services
HR strategy partially or fully defined. Siloed HR functions.
Some standardized processes and policies; core services managed well.
Some automated talent systems, but little integration of data.
Level 1: Compliance-Driven HR Services
No HR strategy.
Personnel function, mostly separate from business and talent needs.
Line managers perform HR activities as they see best.
Bersin & Associates, 2010
Page 4 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

5. HR Maturity Has Direct Impact on Business
HR’s Relationship to
Business Strategy
40%
30%
20%
10%
0%
HR is a full partner in
developing and
implementing the
business strategy
Low Market Performers
High Market Performers
Bersin & Associates Institute for Corporate Productivity
Page 5 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

6. Further Opportunity to focus on Strategic
Initiatives
■ Strategic services drive real Spending By HR Service Area
business impact in 2011
■ Strategic services drive
employee engagement and
better top-line and bottom-line 8%
results
■ These are often seen as the 32%
most dispensable – They are 60%
not!
■ HR budgets are higher for
companies that engage more
in Strategic HR Services Strategic HR Services Talent Management
Core Services
Bersin & Associates
Page 6 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

7. How to Transform Your HR?
Source – Adapted from Bersin & Associates 2010
Page 7 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

8. Business Problem
■ Difficult to timely enforce
Problem adherence of compliance
across divisions
Cannot Get Integrated Data for HCM
■ Lack of global view of talent
■ Lack of business alignment
GOAL OPERATIONAL ■ Low predictability in
SETTING PLANNING
MONITOR
performance
RESULTS
■ Inconsistency in business
ANALYZE
MODELING decisions
PERFORMANCE
Manual & ■ Inability to quickly pinpoint
Inconsistent leading and lagging parts of the
HRMS Succession
business
■ Time wasted gathering
Recruiting LMS information – cycle time to pull
data together
■ Low data quality of data and
Perf. Comp. gathered results
Page 8 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

9. Poll #1: Are you spending any part of your
day measuring your workforce in relation to
moving the needle forward?
1. Yes
2. No
3. Partial – some but not enough
Page 9 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

10. Learning Measurement Objectives
■ Effectiveness
o Are we achieving the business goals for a program?
o Are we reaching the right audience?
■ Efficiency
o Which of our programs are most cost-efficient?
o How can we reduce the cost per hour for a program?
■ Compliance
o Are we meeting our compliance goals? Where? Where not?
o How do we increase compliance quickly?
Page 10 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

11. Top 5 Learning & Development / Business
Priorities Entering 2012
Tie
Need to
Aligning Attracting,
increase
operations, engaging, and
productivity,
practices and Aligning L&D retaining
reduce costs
Budget systems with business employees
and still
across goals with critical
provide
different skills and
superior
business units competencies
service
IDC, 2011
Page 11 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

12. Who Needs What…
Audience What They Care About
CLO and training leaders Efficiency, effectiveness, resource utilization and on-
time delivery
VP of HR Training volumes, compliance and spending per
employee
Line-of-business How much training was consumed, which employees
executives are and are not taking training courses, and how well
the employees and managers feel their needs are being
met
First-line managers Detailed results from their employees to help with
development and performance planning
Specific information on completion (exception
reporting), utility and learning results
Trainers and Specific comments and feedback from learners on the
instructional designers quality and value of their particular programs
Page 12 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

13. Levels of Analysis Required
Visibility Analysis Strategy Excellence
• Pre-built reports • Dashboards • Target and • Management
• Self service & • Key benchmarking and operational
Configurable Ad- performance • Top & bottom excellence
hoc reporting indicators performers • Actionable
• Guided (prebuilt & • Proactive intelligence
Navigation adhoc) strategy and • Continuous
• Alerts • Trend Analysis planning Improvement
Page 13 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

14. Session Agenda
■ Market Driver for Analytics
■ SumTotal’s Solution
■ Q&A
Page 14 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

15. Strategic Workforce Analytics - Vision
■ Creating a framework for measuring and
communicating workforce efficiency and
effectiveness
■ Integrate human capital data with proprietary
data to address overall business goals
■ Understand which human capital metrics are
best suited to measure the success of
organization initiatives down to individual
team initiatives
■ Build action plans that address future gaps in
workforce supply, demand, and capabilities
■ Determine the ROI of HR initiatives (training,
retention strategies, etc)
Page 15 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

16. SumTotal Strategic Workforce Analytics
Comprehensive, Powerful, Personalized Dashboard Reporting
Integrated Strategic Talent
Data Warehouse
Out-of-the-box
Career Most Dashboards and
Development
comprehensive KPIs with
Performance Learning
Strategic HCM- flexible adhoc
Talent Data reporting for
Warehouse most industry
Hiring Succession needs
Compensation
Strategic
workforce Closed Loop
analysis Actionable
integrated with Intelligence for
business data execution
for deep excellence
business insight
Page 16 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

17. Poll #2: What workforce topic do you see
benefiting the most through analytics?
1. Performance
2. Career Development
3. Learning
4. Succession
5. Hiring
6. Compensation
Page 17 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

18. HR Analysis
Is time-to-fill positions impacting company
performance?
• % new hire retention
• % vacancies filled internally
• Average open time of positions
Do we have sufficient labor to meet next
quarter’s demand?
• Average employee tenure
• Talent retention %
• Bench strength penetration
Does compensation policies for top
performers impact retention?
• % high performing employees
• Turnover %
• % total compensation tied to performance
Page 18 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

19. Individual Program Analysis
How much money to spend on a given program?
• Spent training %
• % improvement on attendee learning rate
• Completion rate
What vendors to select for content?
• Vendor cost ratio
• Attrition rate (course/class level)
• Satisfaction rate
What blended learning mix should we use?
• Modality delivery ratio
• Modality delivery completion rate
• Satisfaction rate
Page 19 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

20. Organizational Analysis
Who consumed training by
department/customer?
• Penetration rate
• Completion rate
What was our average cost of training by
program? High, low?
• Cost per enrollment
• Average training hours per attendee
What is our aggregate corporate compliance?
• Time to expire
• Time to complete
Page 20 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

21. Compliance Analysis
How much training am I consuming? $? Hours?
• Number of training hours per employee
• Spent training %
What is my compliance by manager for a given
program?
• Time to expire
• Time to complete
What are the scores and achievement levels of
my employees?
• Average score of attendees
• % high performing
Page 21 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

22. Poll #3: What is the most important learning
measure for your management?
1. Consumption – who is taking what?
2. Efficiency – how much are we spending/saving?
3. Satisfaction – are learners getting what they want?
4. Impact – are we driving business results?
Page 22 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

23. SumTotal Strategic Workforce Analytics
Features Delivering Customer Value
■ Extensive Out of box Dashboards
o Customer editable and creatable widgets and dashboards
 Rich set of Out of Box KPI’s
■ Flexible Ad-hoc Reporting
 Actionable Analytics
Page 23 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

24. CLO – Learning Effectiveness
■ Mary – CLO
o The organization is instituting Six Sigma as we expand
globally. Monitoring learning effectiveness and its key
measures to ensure the proper programs are in place to
close skill gaps of the workforce.
Page 24 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

25. Learning Effectiveness
■ Mary reviews the competency of the Six Sigma project
■ She knows she is looking at upper tiers of her organization, to quickly
assess lower levels, she drills down
■ She notices that 1 child organization is outperforming it’s peers, Mary
will schedule meetings with the division managers for additional
insight into why the numbers are the way they are
Page 25 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

26. Learning Effectiveness
■ In addition to compliance, Six Sigma’s objective is to be lean and
efficient so Mary also reviews the productivity based on
competencies
Mary can address those users with high competency gaps through coaching, mentoring, or
assign additional training.
Page 26 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

27. At the End of the Day….
■ Companies are concerned with acquiring the right talent,
retaining top talent and developing future talent.
■ Leadership intuitively knows that the better the talent IN the
organization, the better the results FOR the organization.
■ There is no silver lining for metrics and measurement programs –
they need to align with your organization’s business initiatives
and goals – answering the most important questions.
■ Metrics should show their support for good business decisions
impact, if they don’t they are likely the wrong metrics to show
executives.
Page 27 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

28. Customers Who Have Done It
•One global learning solution to all
Driving faster time-to- employees and partners
readiness for new •Impact: Cut “time-to-sales readiness”
for new product launches by 2
products months
•Rolled out globally to sixty countries
Greater global and eight languages
organizational •Impact: Improved alignment to
corporate goals across the
effectiveness organization
•Single, integrated & global HCM
solution to meet CEO’s top three
Facilitating talent mobility priority
across the globe •Impact: Facilitated identifying key
talent in North America and Europe
to deploy to Asia and South America
•Solution helped transform the culture
Creating a performance to be completely performance driven
•Impact: All employees understand
driven culture how they will impact company
success
Page 28 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

29. You can't manage what you don't measure!
Page 29 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

30. Poll #4: When do you think your organization
will deploy actionable analytics?
1. Already using analytics to make a difference
2. Within next six months
3. From six to twelve months
4. Beyond twelve months
Page 30 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL

31. Page 31 - November 3, 2011 – PROPRIETARY AND CONFIDENTIAL