FY17-19 People Strategy

Report to the Board from the

Human Resources Committee*

Meeting of October 26, 2016

1.Management presented the People Strategy, noting the extensive consultation with stakeholdersto help inform the work and support the collective responsibility in implementing it. Management explained that the "Forward Look" provided the direction to the strategy, and important elements from it were embedded in the strategy, including, harnessing the World Bank Group's unique combination of global and regional expertise; deep local knowledge; building capacity to serve fragile, conflict and violent situations; and enhancing operational speed and agility. This reference point provided the foundation for the five Areas of Focus and three Cross-Cutting Themes. The detailed implementation planwill provide the prioritization, sequencing, timeline and accountability -- a Roadmap to ensure urgent needs are met, and manage absorptive capacity of HR initiatives. Management noted that the high-priority themes that emerged from the consultative process and addressed in the strategy were: (i) around Management development and accountability; (ii) the need for robust career management, particularly in country offices; (iii) greater flexibility in differentiating performance through rewards and incentives; and (iv) the need for HR to engage with staff and Management and to ensure quality and consistency in delivering HR's core services. Management plans to actively engage with the Board and other stakeholders during the three year strategy implementation. IFC and MIGA management concurred with the consultative process, and noted the strategy fits well with their business priorities, outlining upcoming and ongoing initiatives, such as rotations and presence in IDA/FCS. Management explained accountability rests with all business management, but the implementation plan will also have leaders and teams to help ensure accountability.

2.The committee was pleased with the People Strategy, recognizing its integration and link with the business strategy, agile Bank and budget, and that it is responsive to the "Forward Look" and scaling up IDA and fragile countries. They commented on the comprehensiveness and consultative nature of the strategy internally, appreciating the determination of the way forward is shared among staff and drawing best practice from external practices. They felt it also responded to areas identified in the Employment Engagement Survey as needing particular attention. The committee appreciated the plan to shift from a headcount approach to managing staffing within budget envelopes, and supported Management’s intention to move from a rules-based system to a principles-based approach, focusing more on actions, behavior and results. They emphasized the importance of a strong Employment Value Proposition, underpinned by appropriate resources to ensure successful implementation. They welcomed the five strategic Areas of Focus, and looked forward to discussing the detailed Implementation Plan with milestones, results and indicators, budget implications, and clear accountability lines with prioritizing the actions being key. The ownership of Senior Management and their compliance with the Strategy were considered essential for success, as well as ensuring accountability and ownership by the business units. Members recognized that while important steps have been taken within the last strategy, there is still much more to be done in providing stronger support and attention to country offices especially scaling up work in FCV, leadership and management capacity, diversity and inclusion, values (where the efforts are led by Ethics, in collaboration with HR), career planning, short term consultants, business processes, strategic staffing, and work life balance. Since communication will be key for the success of the strategy, they underscored the need for good communication across the WBG.

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*This report is not an approved record.