Accelerating Leadership Performance: Lessons from Bank of America's On-boarding Process

1. Accelerating Leadership Performance at the Top:Lessons from Bank of America’s Executive On-Boarding Process Brian Fishel Senior Vice President Executive & Leadership Pipeline Development Bank of America brian.fishel@bankofamerica.com Jay Conger Henry R. Kravis Chair in Leadership Studies Claremont, McKenna College jay.conger@cmc.edu

2. Your Career Start On-Boarding Retirement The Challenge of On-Boarding 12 of the Hardest Months …

3. A Classic On-Boarding Experience … ? ? ? ? ?

4. Why is structured on-boarding so important? • Accelerate performance results • Jump start relationships • Clarify leadership & delivery expectations • Clarify short and medium – term objectives • Inoculate against “derailment” • Expedite understanding of the business and culture… ‘how things get done’ • Provide support through feedback, coaching, and follow-up • Facilitate smooth integration into new company/new role • Learn how the team operates • Establish the new executive as the team leader

5. Facts and Figures Benchmarking Data • 64% of new executives hired from the outside won’t make it in their current jobs 1 • 40% will fail within the first 18 months 2 1 Right From the Start, by Dan Ciampa and Michael Watkins; Harvard Business School Press, 1999 2 The Center for Creative Leadership, cited in Fortune Magazine, June 22, 1998

6. Facts and Figures … Bank of America Between Jan. ‘01 – Dec ‘07… • 195 hired • 7% annualizedturnover vs. 13% turnover of general population for same level 3-deep from CEO 100 650 5,000 Senior Leaders Total: 190,000 Managers, Supervisors, Individual Contributors Approximate Headcount

7. Bank of America On-boarding Philosophy • Successful on-boarding occurs over time during the first year in new role. • It requires multiple interventions vs. a single event. • It must be supported by multiple resources, especially the hiring manger. • The power is in the interaction … not in the paper! • It must provide useful and accurate feedback • It is not just for externally hired / acquired talent … it is applicable to internal “leaders in transition” as well.

8. New Leader On-Boarding is Part of BAC’s Broader Development Game Plan Prepare for the Future Next Generation Leaders Forum College / Early Career Pipeline Accelerated High Potential Development Program Individual Coaching and Development Leader Forum II Leading & Managing for BAC Leaders in Transition Program Sr. Leader Assignment Management TalentPlanning Individualized Enterprise 360 feedback External Executive Education Leader Forum IIIPersonal Leadership External Executive Recruiting Front-line Supervisory Training New Leader On-Boarding Perform Today

9. Bank of America On-Boarding Framework Successful on-boarding is the result of several distinct elements working together… Selection Business Culture Leadership Organization Successful On- Boarding = + + + + Select candidate with potential to succeed Learn customer and financial information specific to new role Set goals & objectives Learn written & unwritten rules Establish leadership expectations Learn networks, build stakeholder relationships,

10. Bank of America On-Boarding Framework Successful on-boarding is the result of several distinct elements working together… and supported by the right tools & processes On-Boarding Events (e.g., CEO Executive Networking, Leader in Transition Program) Executive Recruiting Process On-Boarding Mtgs/Process (e.g., New Leader-Team Integration, Key Stakeholder Check-In, etc.) Selection Business Culture Leadership Organization Successful On- Boarding = + + + + Leadership Model Tools (e.g., 360º Feedback, Orientation Guide) On-Going Support (Leadership Development / Human Resources / Peer Coach., etc.)

11. BAC On-Boarding: Time-Line of Key Activities Phase 2: Execute and deliver Phase 1: Build key relationships, learn the business and culture, and become established as a leader Day 0 - 120 Day 121+ Conduct New Leader / Peer Assimilation [Within 1st 60 days] Attend New Executive Orientation Program (NEOP) B1/2 External Hired & Acquired [Within 150 - 180 days] Receive written onboarding plan Meet with Peer Coach & Senior Advisor [Days 1 – 60, ongoing] Review 1st 180 day Accomplishments Day 1 Day 180+ Attend Senior Leaders in Transition Program Internal Promotes [Approx. @ 90 days] Conduct Web-based 360° Feedback [12 months after Stakeholder Review] Multi-rater feedback refreshed at least every 18-24 mos thereafter Start Date Initiate key stakeholder networking meetings [Week 1] Participate in Key Stakeholder Review [Delivered Days 100 – 150]

12. Bank of America On-boarding: Key Tools On-Boarding Plan Key Stakeholder Check-In • Strengths & Development Areas • Potential Derailer(s) / Critical Advice • “Things I Need” and Key Questions • Clear objectives, timeline, roles & responsibilities • 30 – 60 – 90 – 180 Day Milestones • Key stakeholder meetings

13. BAC On-Boarding: Key Support Resources

14. In the End, There is No Silver BulletMultiple interventions, supported by multiple resources … On-Boarding Plan Hiring Manager Tools & Processes Coaching & Support New Leader / New Peer Integration HR Generalist Successful On- Boarding LD Specialist Key Stakeholder Check-in Other LOB Events New Executive Orientation Program Development / Orientation Forums

15. Lessons Learned… • Most executives will “hit the wall”…a good on-boarding process serves as an early warning and support system and a commitment builder • Each business unit needs an embedded “CTO”…i.e., a chief talent officer who “owns” leaders success in that unit • Both internal and external hires benefit from on-boarding processes • The value is in the process, not in the amount of details in the written plan and in the candor of the feedback • Build in tollgates to monitor progress (45, 90, 180, 365) • Responsibility for success must be a shared commitment among the individual, the boss, key stakeholders, colleagues, etc.

16. Questions to ponder: • What are the typical dilemmas that a new executive faces in your organization as they step into the role? • What are the top derailing factors for your executives? • What would the ideal on-boarding experience provide for a new executive? • How could your organization build deeper commitment to the organization through an on-boarding experience at the executive level?