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AT&T The Organization 23 Operating telephone companies Managed cooperatively, not coercively Individual Board of Directors Each company runs autonomously Company Organization Each company comprised of 6 major functional units Business Residential Network (operations) Finance Regulatory Personnel Management Structure 10-level pyramid pattern Level 1 Managers: Foremen Level 2 Managers: Supervisors Level 3 Managers: Middle Management Level 4 Managers: Division Heads Level 5 Managers: Top Management (bottom rung) Level 6 Managers: VPs and Policy Makers Level 7-10 Managers: Presidents and Top Executives What each level mgmt. does Each level is a distinct step towards increased managerial responsibility Titles are tools used to differentiate between each individual level AT&Ts Manpower and Development High corporate priority HR department develops programs specifically designed to promote employees internally Inception of the Assessment Center Assessment Center Tool used to predict management potential Goals include identifying strengths and weaknesses of individual employees ASSESSMENT CENTER History of Assessment Centers World War II Office of Strategic Services of the U.S. government Misfits Great Need AT&T 1956 Longitudinal Management Research Study Purpose: to find characteristics that were associated with upward mobility in management or which were developed as a result of movement up the management ladder. Findings: the method has validity and reliability over time as an aid in management selection Application of the Technique 1958 Length: 2 days Aimed at hourly workers with 10-12 yrs of company experience Purpose: to identify individuals for level 1 managerial assignments 1968 Length: 2 days Used level 1 personnel to identify potential for level 2 and 3 positions 1978: AMPA Length: 3 days Purpose: Development of middle level management Recruitment Candidates Phone company VP(personnel) identified and nominated candidates for AMPA Applicants filled out applications for AMPA & participants were selected Walt: loyal, intelligent, and articulate Donna: intelligent, drive, desire Assessors Drawn from the population of fifth level managers in the 7 Bell companies participating in the assessment that year Assessor Training Length: 6 days Major Design elements Extensive practice in actually rating behavior

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Feedback and critique from very experienced assessors from AT&Ts corporate HR staff AMPA Orientation Conducted by center director --Moses Review of goals Goal #1: Identify individuals for placement in a pool as potential officers of the company Goal #2: Examine the individuals in existing pools as potential officers of the company Goal#3: Identify individual developmental needs Goal#4: closely examine managers to understand more clearly the company's human resource strengths and weaknesses. ASSESSMENT TOOLS Group Assessment Activity Each group will be given 10 minutes to build the highest, most stable structure Groups will be evaluated on: End result Strategy Teamwork Individuals in each group will be evaluated on their participation and role in the group activity. The Rules: Safety first! Group Assessment Activity How well did you live up to the challenge? What if your career depended upon your performance? What if your career depended upon your groups performance? GROUP DISCUSSION Roleplay (Riverview City Council) 3 hour exercise, consisting of preparation, oral presentation, and oral discussion Group members are Riverview city council members, trying to obtain grant funds for their district Primary source of information for evaluating interpersonal and communication skills

GROUP DISCUSSION RESULTS Donnas performance Participated consistently Walts performance Had done her homework, and had firm grasp Relaxed, commanding presentation style of issue and problems as presented Used visual aids well Lacked strong presentation skills, referring to Walts presentation strategy was to offer notes and not making eye contact compromise and logic, with an emotional Donnas unofficial role in her group was to plea, How much is life worth? summarize others positions Walt was clearly the unofficial chairman of the group

COMPLEX BUSINESS GAME(Investment problem) (Investment Problem) 2 hour exercise where 6 group members act as Board of Directors for mutual fund investment company(Ajax) Objective of the group is to maximize profits Activity is another primary source of information on interpersonal skills COMPLEX BUSINESS GAME RESULTS

Walts Performance (Investment Problem) Team first discussed strategy, however team lacked focus later on No clear roles in group, however Walt attempted to assume role of leader Walt did succeed in getting his recommendations accepted, through persistence, timing, and determination

Donnas Performance (Investment Problem) Team was friendly and social, often with two members talking at once Group was disorganized and independent, however one member did succeed in taking on role of chairman Donna did not contribute much to discussion, however she kept records and was a quiet, attentive observer

IN-BASKET(Role Play) 3 hour exercise in which participants role-play as assistant VP(Tfc gen & Ops-Midland Central Railroad company).

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Must review documentation and materials in order to make decisions Exercise ends with a meeting with supervisor, to review decisions and explanations Primary source of information for administrative skills

IN-BASKET RESULTS Donnas Performance Donna worked through the items in the inWalts Performance: basket in their existing sequence. Walt systematically reviewed items in the inWas able to provide details on most items, basket for relevance and critical dates however missed a couple of key Had good recall of the items he read, and relationships and interrelated documents was able to explain decisions reached Donna was nervous at the start of the Walts written material was not as well meeting but later relaxed and was able thought-out and thorough as his verbal to answer most questions presentation Donna also expressed concern about the time Walt expressed frustration at the time limitations in the exercise constraints presented by the in-basket exercise PROBLEM SOLVING 3 hour exercise in which participants must select, analyze, and recommend a program of stress management to meet company presidents objective Consists of an initial preparation period, fact-finding interview, final preparation period, and oral presentation(4 parts) Primary source of information for analytical skills PROBLEM SOLVING -RESULTS

Walts Performance: Came to the interview very organized and in control Walts strong presentation skills were observed during this exercise; good use of visual aids and minimal use of notes Presentation was logical, and when challenged, Walt defended his position well

Donnas Performance: Started out well during preparation phase and during fact-finding interview; asked logical, probing questions Donna was nervous during oral presentation and seemed unsure of herself Kept asking for opinions and wouldnt commit herself to a course of action

THE PERSONAL INTERVIEW The Personal Interview Only formal opportunity for participants to discuss themselves Early academic and career background Greater depth about feelings toward career at Bell System Perceptions on self-development related areas (hobbies, interests, long term and short term goals, etc.) Employee Development Donna Lawrence Satisfied with her career progress and is THE PERSONAL INTERVIEW advancing quicker than her peers RESULTSWalt Jacksons Interview Is interested in advancement and hopes to be Self-assured individual and in touch with his promoted in the next 2 years feelings Enjoys learning new things and supervising Self confident and content with career Enjoys working with people but is reserved Articulate and well spoken and private Not achievement oriented and feels Is very organized opportunities are limited because of his Is pleased with her accomplishments but is her own age worst critic Very active with outside interests and manages and owns apartment building Pleased with his accomplishments

PAPER AND PENCIL TESTS Projective Tools Psychometric tests used to evaluate personality. The responses are believed to provide indications of attitudes, beliefs, motivations, or other mental states. Sentence Completion Tests (SCT) Few words given to participants to stimulate the formation of a sentence

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Thematic Apperception Test (TAT) Shown a series of pictures and asked to write a story about what is happening in the picture Bell System Qualifying Test (BSQT) An in-house instrument that measures mental ability Consists of verbal and quantitative sections Paper and Pencil Tests Not as significant as other assessment tools Only used if they support behavioral data based on performance during the exercises, otherwise is ignored Why arent the paper and pencil tests always used as part of the assessment results? Psychometric Tests There is debate over whether or not these tests elicit responses from conscious thought rather than unconscious states. This affects whether they can be categorized as projective tests. The TAT is based on the Freudian principle of repression, which is criticized as false and outdated by most psychologists. Mental Ability Tests There is a seeming gap between the simple skills measured in these tests and the complex skills needed, such as interpersonal skills, believed to be critical for managers and executives. THE PAPER AND PENCIL TESTS RESULTS Walt Jacksons Performance Donna Lawrences Performance Neither driven nor complacent but instead Very analytical and organized established a comfortable balance Relies on others heavily for support between doing his best and living up to Perfectionist who values excellence in herself his potential and others Comfortable with competition, but not highly Works hard to increase competence and competitive working opportunities Views failure positively as a growth Verbal 95 opportunity Quantitative 97 Realistic and down-to-earth Verbal 78 Quantitative - 10 EVALUATION Evaluation After 3.5 day sessions, Assessors divided into 2 teams headed by the center director or one of the psychologists to evaluate the participants performance Evaluation took approximately 2 hours and was divided into 3 phases Dimension Ratings Overall Raings Developmental Recommendations Dimension Ratings Each assessor wrote a 1-2 page descriptive narrative report about the participants behavior during the assessment activity Read aloud and rated the 24 dimensions of behavior divided into 6 categories Behaviorally Anchored Rating Scale each numerical point on the scale is defined by a description of the behavior an individual must display to receive that numerical score Such scales increase the reliability (consistency over time) and therefore increases their predictive validity Overall Ratings The rating most often given is the final assigned rating, however, if there is a two-point spread, a discussion must happen to eliminate the spread Based on the overall rating, participants receive an EXCELLENT, GOOD, MODERATE, OR LOW rating to indicate the level of assessed promotability to fifth level management Developmental Recommendations Based upon AMPA, the VPs nomination form, and the candidates application Shared with the VP of HR and the candidate as feedback FEEDBACK MECHANISMS(2) Written Report Sent only to the VP(Personnel) to be used as only part of staffing decisions. Comprised of:-

Overall rating of potential Description of candidate performance Overview of strengths & weaknesses in each dimension area (personal char, comm skills, adm skills, analy skills, career orientation) Suggested developmental asgs & activities
Report is stored in a private personnel file and is not part of the individuals general personnel record Difficult to ignore results from AMPA makes part of One-to-One Meeting

Between staff psychologist and participant

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Leaving AMPA Both participants had mixed feelings They were curious about their performance, looked forward to their feedback, and wondered about how such feedback would impact their careers The assessors had a tough job ahead of them. Both candidates demonstrated a variety of strengths and weaknesses. They were viewed positively by some and negatively by others THE OVERALLL RESULTS Walt Jacksons Results Promoted 5 months later AMPA wasnt a big deal for him. He wasnt expecting a promotion nor striving for one Felt it was a very competitive situation and it was obvious that everyone was there to do well for themselves Received a GOOD rating, which was 2nd from the top Little motivation for advancement, too cautious when making decisions, needs to take more risk Walt Jacksons Opinion of AMPA Felt like a guinea pig during the paper and pencil tests. Didnt feel they were applicable Felt AMPA was a good measure of certain skills but not entirely convinced it can predict how well you can perform on the job Felt that those who did poorly took it hard He said they were depressed and talked of resigning Walt did not feel it was right if the assessment ruins someones career or their selfimage Donna Lawrences Opinion of AMPA Donna felt intruded by the experience Thought it measured more on how she responded to anxiety rather than how capable she would perform as a level 5 manager In a work environment, you know what youre dealing with and everyone is working toward a common goal At AMPA, its short term and everyone has diverse motives

Donna Lawrences Results Donna felt it was very competitive and felt everyone was only there for themselves She had an unpleasant encounter with the backbiter which set the tone of the program and flared her anxiety She received a MODERATE rating and the assessor stressed how intelligent she was Assessor stated she needed to work on her written communication skills Principles Focus on the big picture Give managers the freedom to take action School managers in the art of influence, not issuing orders Discourage self-promotion Find the right home for talent Development according to Noe Definition: formal education, job experiences, relationships, and assessments of personality and abilities that help employees perform effectively in their current or future job and company Training and Development are NOT one in the same Training: focused on helping improve employees performance in their current jobs Development: focused on helping employees prepare for other positions within the company and increases their ability to move into jobs that may not yet exist Development as a tool to reduce turnover Shows employees that the company is invested in their skill and development Contributes to a positive work environment Motivates employees to achieve company goals Approaches to Employee Development Formal Education Job Experiences Interpersonal Relationships Assessments Formal Education Programs Off-site and on-site programs Company specific training programs Short courses offered by consultants/universities Tuition Reimbursement (such as Executive MBA) Job Experiences Enlargements: adding challenges or new responsibilities to employees current job Rotations: providing employees with a series of job assignments in various functional areas of the company Transfers: employee is given a different job assignment Promotions: advancements into positions with greater challenges and more responsibility

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Downward Movement: when an employee is given a reduced level of responsibility and authority Assessments Involves collecting information regarding employee performance The goal is to provide the employee with development tools and the company with a succession plan Employers should take this information and provide feedback on the following Behavioral Communication style Values and skills Myers-Briggs Type Indicator Most popular psychological test for employee development Consists of questions about how the person feels or prefers to behave in different situations Identifies individual preferences for energy, information gathering, decision making and lifestyle Appraisal Systems Performance Appraisals: Its the process of measuring employees performance 360-Degree Feedback: employees are evaluated by their subordinates, peers, customers, their boss and themselves