1. BUILDING In-house
SEARCH CAPABILITY
Simon Hallett
Head of Talent Acquisition Centre of Excellence
Lloyds Banking Group
FIRM Conference
November 2013
1

2. Introduction
Simon Hallett
Head of Talent Acquisition, Lloyds Banking Group
PreviousLY:
Head of Executive Resourcing & Head of Talent Change Delivery,
Lloyds Banking Group
EMEA Head Of Recruitment, State Street Bank
In-house assignments: BP, Abbey, Accenture HR Services, Royal Mail
Managed Services: SchlumbergerSema, Diageo, IBM
The Dark side: Alexander Mann, Michael Page
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3. Lloyds Banking Group
formed in 2009, with 300+ years of history
the UK’s largest retail and commercial bank
with more than 30m customers
20+ customer brands
1 in 3
a presence on every high street
in the UK with 2,500 branches
current account customers
in the UK bank with
Lloyds Banking Group.
a major UK employer
with 90,000 colleagues
Lloyds Banking Group’s
history dates back as far as
1695
In 2012,
Lloyds Banking Group
invested
£85m
in local charities
and communities.
3

4. Today’s Presentation
Building In-house Search
Capability
Insights from two previous roles
Building an In-house search
proposition and capability
– External candidate focus
Developing an alternative approach –
proactive talent and search methods
– Internal talent focus
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5. In-house Search
Background
State Street in 2007
Circa 2,500
external hires
per year
Organisational
cost focus
Search spend
circa £1.4m
Investment
Services, Global
Markets, Asset
Management,
Corporate
The idea
Demand market
– aggressive
competition
Pay restrictions /
challenges
Time to market
Search firm
delivery issues
Limited
recognition of
State Street as an
employer
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6. Set up Of Internal Search Function
Need for resource
Approached Search Researcher
From Search Supplier
Agreed To Take On Search
Consultant On Contract To Perm
Agreement If They Delivered
Business case required
Develop the proposition
Proposal For An Eight Month Trial
Support Business Case
Average Search Fee Of £40K
Facilitate The Sell To The Business
Managers
Assumption Of 6 Direct Placements
In 8 Months (1 Per Month Allowing
For 2M Setup) : Saving £240K
Design The Process
Cost Assumptions: £7K Mapping
Per Assignment Plus Search
Consultant Employment Costs:
Total £102K
Trial Business Case: £138K For 6M,
Annual Forecast £291K
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7. The proposition
Business heads & heads of HR engaged with
service proposition & new service offering
Service offering
External executive search for senior roles
Job and candidate specification
Research / Sourcing
Process and candidate relationship
management
Screening
Offer negotiation
Candidate closing
Onboarding
Approvals
Competitor intelligence / research
Mapping
Structures
Products / strategy
Compensation benchmarking
Benefits of using
the search function
Timeframes. External search firm
up to 8 weeks for a shortlist
Internal approach drip feed candidates in /
shortlist within 4 weeks
Targets in market receptive to approach
direct from employer
Very few off limits restrictions apply
to in-house function
Cost
Low risk approach
Initial research from in-house
10 working days
If quality not right – proceed
to external search
Option to use partner mapping
firm to help deliver full map
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8. Execution
1
Initial focus on identifying
“straight forwards” roles
Critical to develop advocacy
and early success
2
3
Importance of initial briefing
meeting
Critical to have hiring team
updates
Short weekly update to keep
search on track
Identify potential issues,
enable early and proactive
issue resolution
Agree requirements of Role
and person specification
Identify target organisations
and sources / contacts
Define interview process
Set expectations and commit
to delivery milestones
Points to note:
Roles at variety of stages
Internal service provider
Leverage range of research /
sourcing options
Linked in
Recommendations from
business, teams, other
managers, contacts
4
On line searching
Business systems
e.g. Bloomberg
Counter offer preparation and resignation coaching
Alumini
Engagement maintained through the noticed
period and ensuring the business is engaged
in the candidate relationship
Historic search /
research material
Effective management of research and market
intelligence information
Cap roles being worked at
10 - 12 maximum
Customer focus is key
Importance of qualifying and closing the candidate
Recommendations and referrals at candidate
start point
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6
Equip your search recruiter
to perform
Market maps
Be better, more responsive
than external search
partners and add value
Candidate communications
Ongoing, frequency of
updates, act in candidates
and organisations best
interests
Be seen to go the extra mile
for the candidate and build
relationships and trust with
them – it will benefit the
perception the candidate
has of your organisation
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9. Results
Key challenge became prioritising and managing
demand for the service
2nd search recruiter hired after 10 months
Over 25 direct placements in first year £1m+
cost benefit
of
Delivery of confidential data / insight to business
Search recruiters used to further upskill wider
recruitment team on direct hiring
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10. In-house Search for Internal Talent
Background
Lloyds Banking Group 2011
Review conducted
2010 and 2011 circa £8.5m spend on search for
the group (executive and non executive positions)
Internal and external recommendations
60% executive hires external
Strengthen governance around external
role sign off and search initiation
Executive population of circa 450 leaders plus
internal feeder population (level below) of 2000
Internal and external sourcing frequently
commence simultaneously leading to incomplete
searches and spend
Create new search PSL with revised terms
Complete internal recruitment first
Set target of internal / external placements
at 70 / 30
Mindset of some leaders that external hires
must be best…
Common features of LBG executive roles:
strategy, people leadership on large scale,
complexity – challenge for newly hired
leaders to be successful
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11. Development of Internal Search
Talent Executive Resourcing CoE’s worked together
1
2
3
4
5
6
Identified the talent system had search functionaility
Mandated regular updates of internal CV’s and uploaded alongside talent
ratings into the talent system
Identified internal resource to conduct internal searches and help
internal talent brokering
Advertise some roles internally
Redesigned the executive resourcing process:
Build in talent brokering and internal search
Introduce increased signoff for external search
(prove internal options exhausted)
Relaunch of executive resourcing process:
HR Directors and leadership update
RecrUiter workshops
Search firm livemeet
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12. internal SearcH proceSS
internal search
candidates current
Td partner/
manager to confirm
if appropriate
go-to role
advertise
internal
talent data
vacancy aTr
cross-divisional
succession plans
redeployment
initial longlist:
candidates
engaged
longlist
submitted to
hiring manager
shortlist
candidates current
line manager
notified
Talent Brokering
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13. talent deployment Brokering
• Improve the breadth and depth of Executive Talent Talent Pipeline
key drivers
• Create proactive movement of Executive Talent Talent Pipeline
• Introduce transparency of the internal search process to stakeholders, improving the quality of long lists for vacancies
regularity
purpose
monthly senior leaders’
scenario planning
fortnightly group wide
Executive Talent Brokering
weekly group wide
Talent Brokering
divisional Talent
Brokering
scenario planning,
proactive talent moves
validation of long lists
for current grade H+
vacancies based on
holistic talent data
cross-divisional grade g
talent movement.
sharing roles and
colleagues suitable for
cross divisional movement
group wide candidates
raised (import/export)
other colleagues long
listed from within
division/function
capaBiliTy engagemenT (cenTral) responsiBiliTy
TalenT pools:
divisional
responsiBiliTy
• GENERAL BANKING
• INSURANCE
• SPECIALIST
• SERVICE AND OPERATIONS
• QUANTATIVE
• PROFESSIONAL
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14. Example Pen Portrait
SIMON HALLETT
Head of Talent Acquisition
Simon’s career to date has seen him develop a broad range of leadership and transferrable strategic, operational, commercial change
skills. His experience has been gained in resourcing/talent and has seen him build and lead in-house recruiting functions across the UK,
Europe, Middle East and Africa. Simon has developed and implemented resourcing strategies for graduate, volume, niche, temporary/
contract and executive hires. He has also implemented and managed outsourced recruitment models, developed in-house direct
candidate sourcing strategies and integrated resourcing elements of corporate acquisitions.
Following a Law degree Simon joined a market leading recruitment business as a graduate trainee. He quickly progressed into
recruitment before recognising an opportunity to utilise his skills and knowledge to improve the effectiveness of organisations
resourcing activity.
Through his career Simon has held a mix of consulting and permanent positions which has allowed him to develop strategic, leadership, operational and
implementation/change skills. Key achievements include: – Royal Mail Group, Head of IT Recruitment/Project Manager: Established centre to handle 3,500
positions per annum – Elan ReSource, Head of Recruitment Diageo/Schlumberger: PL responsibility for £28m, £1m cost saving through supplier rationalisation
and rate reductions – Accenture HR Services, Channel Programme Manager: £2m savings achieved by implementing a direct sourcing model – Abbey, Resourcing
Delivery Manager: Strategy development for 7,500 hires per year – BP, Recruitment Programme Manager: £4.5m of cost savings through reducing contractor use
and increasing permanent hire numbers – State Street Corporation, VP EMEA Head of Resourcing: Delivery of circa 1,500 hires annually through his EMEA
teams, successfully completed 4 acquisition integrations, reduced agency use from over 60% to 6% of placements in a 3 year period, saved £2.2m through
outsourcing temporary recruitment and setting up an in-house executive search function.
Simon joined LBG in 2011. Since May 2013 as Head of Talent Acquisition Simon has built out a new Centre of Excellence function. Simon’s role and team is now
responsible for developing the Groups Recruitment Strategy, policy, frameworks and tools. Prior to May 2013 Simon was Head of Executive Resourcing and was
instrumental in launching internal talent search at executive levels for the group to increase internal hiring to over 70% of filled positions. He also implemented
a new group wide executive search PSL, increased governance and control over the executive resourcing process, enhanced the approach to assessing and
registering SIF approved persons and enabled enhanced use of data allowing insight and alignment to the groups talent strategies.
Simon’s capabilities and ambition are demonstrated through taking leadership and technical roles. Simon took on a second grade G leadership role 7 months
leading not only Executive Resourcing but also the change delivery team (30 people) which he led through a restructure whilst continuing to deliver key group
programmes and transition work to new teams. Simon has implemented innovative resourcing strategies to deliver improved results and cost benefit through
his teams. This strategy, improvement and change background has allowed him to develop strong influencing and presentation skills. His knowledge of a broad
range of resourcing areas, taking on broader non resourcing roles and the commercial capability this has developed provide Simon with a skill set wider than
pure operational resourcing management and delivery.
Simon is driven to deliver outstanding results and transformation in the Resourcing and Talent areas and has ambitions to progress into bigger strategic and/or
operational roles in the future. In the past Simon has worked with the Princes Trust to deliver employability coaching. He is married with 2 young children and
is a keen golfer.
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15. Benefits
Deepened and more visible Talent pipelines
Increase in internal placement numbers
2011 from 40% to 73%
2012 achieved 77%
Progress on increasing numbers of internal female
leadership moves
40% increase in placement of High Potential talent
for both lateral and promotional moves at
Executive levels in 2012 vs 2011
25% Reduction in cancelled and incomplete search fees
Addressing engagement survey feedback about creating
internal career and development opportunities
Next Steps
Development of lighter touch more automated approach
to internal mobility for roles lower in the organisation
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16. Thanks for listening
Questions
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