Automatic Data Processing, Inc. · NASDAQ:ADP

Automatic Data Processing — Conference Presentation (2011)

19 slides from Automatic Data Processing's conference presentation, 2011

1. Slide 1: Pay for Talent

   Pay for Talent Jan Brockway Robert Mattson © Copyright 2011 ADP, Inc. Proprietary and Confidential Information.

2. Slide 2: The Lever and the Rock

   The Lever and the Rock HR Employees 2 © Copyright 2011 ADP, Inc. Proprietary and Confidential Information.

3. Slide 3: Top 10 Challenges for Achieving Business Goals

   Top 10 Challenges for Achieving Business Goals  Of the top 10, 6 were HR related  Ability to execute strategy  Retaining key employees  Improving employee engagement  Shortage of key skills available in the market  Ability to identify key employees  Workforce productivity  How does HR integr

4. Slide 4: Scarcity of Talent VS Unemployment

   Scarcity of Talent VS Unemployment As of Dec 2 report, National Unemployment Rate is still 8.6% And yet on the other hand, there is a shortage of people with key skills needed to move organizations forward “… We are entering a new era of unparalleled talent scarcity, which will put a brake on econom

5. Slide 5: Are Your Associates Engaged?

   Are Your Associates Engaged?  According to a 2011 Mercer Report, 32% of employees are planning to leave  Hi Performing staff contribute up to 25% more than an average performer  Employee Engagement is at the lowest levels in years, at least 1 in 4 are actively disengaged, another 1 in 4 are moder

6. Slide 6: Poll Question

   Poll Question  How many of you believe you have at least one of these challenges? Two of the challenges? All Three?  Employees looking to leave the Organization  High Performers Contribute significantly more than average  Employee Engagement is lower than ever 6 © Copyright 2011 ADP, Inc. Propri

7. Slide 7: Keys to Retaining the Key Associates

   Keys to Retaining the Key Associates  Focus on mobility and development  Managers manage – set goals, provide feedback, help associates with new opportunities  Use Compensation as one of the levers 7 © Copyright 2011 ADP, Inc. Proprietary and Confidential Information.

8. Slide 8: How to Use Your Compensation Lever

   How to Use Your Compensation Lever  Reward for past performance  Merit increase  Bonus for overall performance  Bonus for specific achievement  Stock allotment  Improve compensation fairness  Market or peer equity  Promotion adjustment  Incentives for the future  Retention  Critical skill

9. Slide 9: Reward Vs Incent

   Reward Vs Incent  Reward  Incent  Awards given for past  Awards given to incent performance future actions 9 © Copyright 2011 ADP, Inc. Proprietary and Confidential Information.

10. Slide 10: Pay for Performance Vs Pay for Talent

    Pay for Performance Vs Pay for Talent  Pay for Performance:  Pay for Talent  Process to drive  Process to drive differentiation in differentiation in compensation to ensure compensation to ensure the highest performing the organization rewards members of the those with the most value organizatio

11. Slide 11: Integrating Talent Management with Compensation Strategy

    Integrating Talent Management with Compensation Strategy  Pay for Performance is a bit narrow and only addresses one component of retaining top talent  Pay for Talent broadens the discussion to include:  Talent Assessment process  Succession and Potential  Performance  Development Get the Most

12. Slide 12: Pay for Talent: Talent Assessment

    Pay for Talent: Talent Assessment  Create a talent assessment process, including a calibration discussion that assess factors important to driving your organization’s strategies. These might include items such as :  A critical skill or experience  Risk of loss and or impact of loss  Key customer

13. Slide 13: Pay for Talent: Succession and Potential

    Pay for Talent: Succession and Potential  Develop a succession process that provides the opportunity to drive the conversation:  Who are the people we can’t afford to lose and why?  Who could add more value to the organization by taking a new opportunity?  Where are our next leaders? Who are tho

14. Slide 14: Is the Organization Ready?

    Is the Organization Ready?  Out of the 410 enterprises surveyed that identify and track high potential employees, only 213 reward these employees for their contributions  Only six out of ten large U.S. enterprises (those with 500+ employees) identify and track high potential employees within their

15. Slide 15: Is the Organization Ready?

    Is the Organization Ready?  Do you have defined, consistent criteria?  Do you know which attributes your organization values most?  Does your organization has a culture of open and frank discussion?  Which attributes of Pay for Talent best fit your culture? 15 © Copyright 2011 ADP, Inc. Propriet

16. Slide 16: Organizational Process

    Organizational Process  Will the process be an open process, discussed with the identified employees?  Or do the organization executives keep that information closely held?  There is no right or wrong – assess what works in the culture of your organization, but think about the Gen Y generations –

17. Slide 17: Are Your Managers Ready?

    Are Your Managers Ready?  Do you have managers that are blockers? Are they aware they are blockers?  Do your managers have the skills needed to manage the entire process?  Setting realistic goals and providing feedback  Assessing potential and other criteria  Do you have support for them?  A c

18. Slide 18: Summary

    Summary  Understanding how the different talent management processes impact each of the different processes is key to long term success  A key lever to extend across all talent management processes is compensation – PAY FOR TALENT  Understanding the impact across the entire organization is critic

19. Slide 19: Thank You

    Thank You www.adp.com/talent_management © Copyright 2011 ADP, Inc. Proprietary and Confidential Information.

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