HUMAN CAPITAL
Note about nature of the Human Capital Cases: A Human Capital Case contains
an approach much different from the usual ―Strategy‖ case. However the
candidate should not abandon the use of a framework. Here the focus isn‘t so
much on the bottom line as it is on the approach needed to manage the proposed
changes in the organization. The case should be carried out in a conversational
format with hints and clues to push the candidate alongside the case prompt.
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Case 15: KGF’s Learning Management
Human Capital Deloitte Round 1
Your client is faced with dramatic changes in the industry. As your client adjusts their strategy and
reacts to changes while anticipating future changes, they are concerned about their ability to keep
their employees prepared for the challenges they will face. The client is also concerned about their
traditional approach to learning and development and has questions about the return on investment
of their current programs.
Your team was retained to help assess the effectiveness of the organizations learning center,
develop a go forward learning strategy, and to select and implement an ―appropriate‖ enterprise
learning management system (LMS) solution that will allow the client‘s learning center to
successfully execute its learning strategy while simplifying its operational processes and allowing it
to scale for future growth.
Prompt
Please consider the following questions: What approach would you take to assessing the client‘s
current learning capabilities and developing the go forward strategy? What issues would you
consider regarding the selection and implementation of the Learning Management System?
Note about nature of the Case: This is a Human Capital Case and thus contains an approach much
different from the usual ―Strategy‖ case. However the candidate should not abandon the use of a
framework. Here the focus isn‘t so much on the bottom line as it is on the approach needed to
manage the proposed changes in the organization. The case should be carried out in a
conversational format with hints and clues to push the candidate alongside the case prompt.
Make sure that the candidate understands that you are looking for a qualitative analysis and not a
quantitative analysis.
Guidance
Look for a good framework that is logical and sound.
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Case 15: KGF’s Learning Management
Human Capital Deloitte Round 1
Review current learning activities - balance of instructor-led training, e-Learning, and
other learning methods
Degree of learning assessment used (Reaction, Learning, Transfer, Results)
Meet with leadership to determine requirements of new strategy
Review individual learning plans
Skill gap analysis
Assess ability of existing programs to address needs, identify needs for additional
Analysis learning programs
Specific system selection and implementation components candidate may consider:
Integration with HRIS system
Data migration, system configuration, and interface development
Self-service registration
Degree of network vs. remote access
Scalability
Expected: The candidate will touch on most of the major points listed in the analysis section, such
as skill gap analysis, assess current program‘s ability to address needs, integration with HRIS
system, scalability.
Good: A good candidate will complete all of the above, as well as bring in a few creative concerns
Performance and solutions. For example, the candidate could express concern with employee compliance with
the new system or talk about the benefits of the new system and the impact it will have on
Evaluation complexity within the organization.
Excellent: An excellent candidate will address all of the major points listed in the analysis section
while also bringing in creative insight.
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Case 16: Strugandt & Losen Merger
Human Capital: IT M&A Deloitte Round 1
The merger of two major technology companies forged a team of 140,000 employees with
capabilities in 160 countries, doing business in 43 currencies and 15 languages. Contested by key
members of the board until the final hours of the transaction, the merger had a media ―fishbowl‖
Effect creating a myriad of rumors regarding layoffs heightening internal anxiety. The client needed
to quickly formulate a strategy to deal with the rumors, stabilize the workforce, and set the
strategic agenda for change.
As a member of the project team can you please answer how you would structure an approach for
Prompt the company‘s executives to successfully address the potential issues and realize the full value of
the acquisition?
Note about nature of the Case: This is a Human Capital Case and thus contains an approach much
different from the usual ―Strategy‖ case. However the candidate should not abandon the use of a
framework. Here the focus isn‘t so much on the bottom line as it is on the approach needed to
manage the proposed changes in the organization. The case should be carried out in a
conversational format with hints and clues to push the candidate alongside the case prompt.
Please make sure the candidate focuses on how this approach will be structured and delivered for
Guidance the executive team, therefore they should stay high level with their approach.
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Case 16: Strugandt & Losen Merger
Human Capital: IT M&A Deloitte Round 1
Expected:
Short Term:
1) Develop and deliver internal and external communications to all stakeholders
(shareholders, Board, the Street, acquired employees, legacy employees)
2) Deliver honest, detailed communications as soon as possible to stop rumors (Key
leadership from both companies should deliver these messages)
3) Review both organizations ―as is‖: culture, shared services at both organizations (i.e., HR,
Finance, etc.), talent (what kind of skills/people need to be retained at both organizations)
Good: Good candidates will also mention:
Short Term:
1) Conduct a gap analysis between current state and desired future state
Long Term:
Performance 1) Solicit feedback: Talk to the employees to find out the rumors/ concerns/ fears/ etc.
Evaluation 2) Create a website with all the information about the merger (include a place to post
questions/concerns/issues to make sure these are addressed so people don‘t feel like it‘s a black
hole)
Excellent: Excellent candidates will also consider:
Long Term: Execution: Move new organization towards ―future‖ state
1) Develop new job roles/functions
2) Talent management (prevent intellectual capital drain)
3) Rationalize redundant services (e.g., HR, finance, benefits, etc) - maybe employ Total Rewards
practice
4) Establish the culture of the new organization (not a merger of equals, but the acquired company
should not feel like they are losing their identity/culture) through leadership, training,
communications, etc.
5) Develop and implement appropriate incentives.
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Case 17: Edoceo
Human Capital: Outsourcing Deloitte
Edoceo is a leading global provider of integrated information solutions to business and professional
customers. Customers depend on Edoceo for the information and information applications they need
to make the right decisions to run their businesses. Edoceo provides information solutions for
professionals across a broad range of industries and disciplines.
Edoceo decided to outsource select HR processes including: Recruiting, Benefits Admin, HRIS, HR
Admin, L&D, Compensation, Domestic Relocation, Expatriate Admin, Payroll, HR Contact Center.
Edoceo is working with one of Deloitte‘s competitors to implement the outsourcing transition. The
initiative‘s objective is to realize cost savings of 10%-20% of total current annual costs over five
years, while maintaining equivalent levels of service.
In parallel, Edoceo intends to transform the retained HR organization, creating internal Centers of
Prompt Excellence (COE) and developing HR Business Partners to support with outsourced services.
Edoceo has hired your team to provide best practice guidance and implementation leadership. How
would you design and implement optimal COEs and HR business partner capability for this
organization and how would you structure the project? How would you describe a successful
outcome for this project?
Note about nature of the Case: This is a Human Capital Case and thus contains an approach much
different from the usual ―Strategy‖ case. However the candidate should not abandon the use of a
framework. Here the focus isn‘t so much on the bottom line as it is on the approach needed to
manage the proposed changes in the organization. The case should be carried out in a
conversational format with hints and clues to push the candidate alongside the case prompt.
There was a cost reduction effort that the organization was undergoing that required an evaluation
and shift in HR support. Finance and IT were to follow.
Guidance Inefficiency and complexity of the existing HR organization were the driving forces of the
outsourcing.
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Case 17: Edoceo
Human Capital: Outsourcing Deloitte
The functions intended for COEs are: Benefits, Compensation, Recruiting, Talent Management, HR
Decision Support, L&D, Org Development, Diversity, and Policy, Compliance and M&A.
There is no current assessment of the HRBP role today, and each Market Group runs its own
entity. The vision for the HRBP is to be: provide business unit specific and consultative services to
executives and line managers for the people-related issues
Impacting their business unit. Business Partners ―broker‖ technical talent from the COEs to deliver
Guidance HR solutions.
Considerable job redesign and capability assessment will be conducted for retained positions
There is significant concern among staff in retained functions about the long term safety of their
jobs
Candidate should discuss the business perspective and specifically the role of retained HR in an
outsourced environment.
How to structure project: Follow some type of Plan, Build, Run approach, for example:
Plan & Assess
As-Is Inventory
Define staffing strategy COE & Business Partner strategy
Reporting & metrics strategy
Stakeholder analysis
Change readiness assessment
Communication and change strategy
Analysis Design
Process design, COE and Business Partner development
Build communication, change and training materials and implementation plan
Build & Implement
Build out process designs and COE structure
Deliver training materials for the new positions and processes
Support & Integrate
Ensure effective interactions with outsourced functions and larger organization 82
Case 17: Edoceo
Human Capital: Outsourcing Deloitte
Ask the candidate following question:
Prompt—
Part II What else should Edoceo be considering as it implements the outsourcing and development of the
COEs?
Let the candidate deliberate and answer this question. There is not much information to be given to
Guidance the candidate.
Apart from other considerations the candidate should touch upon these:
Analysis How to prevent/deal with: Service disruption, Performance/morale issues, Attrition (loss of key
talent), Links to other initiatives
Expected:
The candidate touches upon all the major points recognized in this case.
Good:
The candidate not only touches upon all the major points but also provides his/her analysis and
Performance reasoning behind those considerations in a structured way with use of a framework.
Evaluation Excellent:
The candidate explains all the scenarios in a well-planned, structured and thoughtful manner
providing logical reasoning behind his/her statements. The candidate also provides good
explanation for the question in Part II and shows in-depth understanding of the change management
process and human capital concepts.
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Case 18: Smith Financial CRM
Human Capital: CRM Deloitte
A major U.S. financial services company has just implemented a Client Relationship Management
(CRM) system. The goal: To give leadership a real time view into the organization‘s sales channel.
For years, sales teams have maintained client sales information in separate excel spreadsheets.
This prevented leadership from having visibility into and a holistic view of sales opportunities,
which meant sending multiple requests to sales teams for the latest and greatest information.
By the end of fiscal year, all sales teams are expected to migrate their sales data onto this new
system, and use it to manage all sales information.
Prompt
You are the change management lead for this project. How would you get everyone on the
system? Who are the various stakeholders? How would you communicate to these stakeholders?
Note about nature of the Case: This is a Human Capital Case and thus contains an approach much
different from the usual ―Strategy‖ case. However the candidate should not abandon the use of a
framework. Here the focus isn‘t so much on the bottom line as it is on the approach needed to
manage the proposed changes in the organization. The case should be carried out in a
conversational format with hints and clues to push the candidate alongside the case prompt.
Here are some guiding questions that will help the candidate analyze the situation:
1) Who will be affected by this change?
Guidance 2) What are some ways that you can think of to best announce/communicate this change? Is it a
single person‘s role, or should multiple individuals of different capacities be involved?
3) Do you think everyone will be happy with this change? How will you handle dissention?
84
Case 18: Smith Financial CRM
Human Capital: CRM Deloitte
Definition of Stakeholders: Leadership, Sales teams, & the rest of the organization
Find out how people in organization like to receive communications
Identify a change champion (leads one-on-one sessions)
Technical support/training: how to contact the help desk
Analysis Create a central place for feedback/comments
Create honest communications (share both the bad and the good)
Generate excitement/ engagement through a fun and well- branded communications campaign (all
communications/ marketing should use this brand/identity)
CEO Webcast (announcing the change initiative)
Do you see any other change issues? How would you address them?
Prompt—
Part II
Here are some guiding questions that will help the candidate analyze the situation:
1) How do you think on-boarding will work? Will people automatically know how to use the system?
Guidance 2) How will we keep people using this new system? What is the benefit to them? (if candidate
struggles, mention the word ‗incentivize‘ or ‗benefit‘)
3) How do we know we made the right decision in making these changes?
Training (web based and classroom based) for sales team and technical support
Design and implement incentives/ tie to Performance Management
Analysis Create success metrics
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Case 18: Smith Financial’s CRM
Human Capital: CRM Deloitte
How do you measure success? What do you do if leadership digs in their heels and resists the
change?
(After the candidate answers that question, please follow-up with the following question and change
Prompt— the direction of the case)
Part III Now, let‘s change things up. Say the system was implemented - without the help of change
management - and it failed (i.e., the people have not adopted the new technology). The team
brings you on to salvage the project. What would you do?
1) When/how will you set goals for the outcome of this project?
2) How would you respond if senior management calls you into a meeting to tell you that they refuse
Guidance to use this new system?
Set measurable goals at the onset of the project: ex. 75% usage by the end of the project,
reduce number of manual excel reports by 50% within the first 3mo of the CRM launch
Analysis Share with management the other projects that can now be tackled to improve company
performance, now that less time is being spent on maintaining excel spreadsheets.
Ask the candidate to synthesize all information analyzed in case
Performance Expected: The candidate will recognize that this change affects employees at all levels of the
organization and will plan the change accordingly.
Evaluation Good: The candidate will touch on the major points mentioned.
Excellent: The candidate will acknowledge and preemptively address and lay out a contingency
plan in the event that the CRM rollout does not go as planned.
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Case 19: F2D Electronics
Human Capital Deloitte Round 1
Problem Definition: Your client is the nation‘s largest distributor of electrical and communications
products. The 150-year old company distributes more than one and a half-million products (1.5
million SKUs) made by multiple manufacturer/suppliers through 256 branches and warehouses in
the US. Given that they are the middle-men, margins in the distribution industry are very thin. F2D
has been generally decentralized with a high degree of branch autonomy (branch and district
managers are kings of their own domain). Each branch has its own processes with considerable off-
system accounting and record keeping on Excel spreadsheets, etc. Given growth over the last
decade, the home-grown mainframe computer system can no longer effectively handle the volume
of transactions. In addition, the time required to reconcile and report sales, inventory, and financial
information from the branches to corporate is hindering senior management‘s ability to make timely
business decisions. To address these issues, the client is undertaking a major business
transformation program. They will reengineer most business processes (sales, marketing,
forecasting, logistics, finance, customer service) and are implementing one system for everyone in
Prompt the company that will provide real-time information and a 360 degree view of the business. Senior
management anticipates a high degree of resistance from the branches. Branch leadership feels the
system and processes from corporate will not understand their needs and threatens their autonomy.
Past initiatives have struggled because people were not adequately prepared for the changes.
Employees are worried about how their jobs will change and whether they will have the skills to do
their jobs within the new system.
Question: How would you assist the client to successfully manage this large scale change
program?
Note about nature of the Case: This is a Human Capital Case and thus contains an approach much
different from the usual ―Strategy‖ case. However the candidate should not abandon the use of a
framework. Here the focus isn‘t so much on the bottom line as it is on the approach needed to
manage the proposed changes in the organization. The case should be carried out in a
conversational format with hints and clues to push the candidate alongside the case prompt.
Guidance Note: Remember that this case is intended to be carried out in a conversational manner.
87
Case 19: F2D Electronics
Human Capital Deloitte Round 1
Leadership Alignment and Visibility/Sponsorship: Facilitate leadership at corporate to ―sing from
the same page.‖ Then, enable corporate leadership to engage district and branch leaders. Clearly
explain why the changes are required in the competitive business environment, why their leadership
is needed and how they will be rewarded. In times of large scale changes, there should be a high
degree of leadership visibility.
Buy-In: Employees need to know that their leaders (at corporate and branches) are behind this
effort and they need to hear this directly from their leaders. Provide talking points and support to
make it easier for them to communicate to employees.
Communications: Develop a comprehensive communication strategy for internal and external
audiences. Explain to employees the business case for change, ―what is in it for them,‖ and how
their jobs will change. Communications should be timely and consistent to stem rumors. Similarly,
Analysis there should be a communications strategy for suppliers and customers to explain how service will
improve to assure them there will be no disruptions.
Workforce engagement: Engage employees from as many branches as possible in the design and
implementation of the new process and system. Gather input on their business requirements
throughout the lifecycle of the project. Conduct roadshows out to the branches. Use trainers from
each of the branches to train end users. Engage branches and employees so they take ownership of
the system.
Organizational Reinforcement/Incentives: Make sure those who are providing input, championing
and adopting the system are recognized, rewarded, and utilized as change agents.
Training: Profile how jobs will change and train employees thoroughly on the new process and
system. Hands-on training close to the launch and relevant to employees‘ jobs tends to be most
effective.
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Case 19: F2D Electronics
Human Capital Deloitte Round 1
Expected:
The candidate touches upon all the major points recognized in this case.
Good:
The candidate not only touches upon all the major points but also provides his/her analysis and
Performance reasoning behind those considerations in a structured way with use of a framework.
Evaluation Excellent:
The candidate explains all the scenarios in a well-planned, structured and thoughtful manner
providing logical reasoning behind his/her statements. The candidate also provides good
explanation for the question in the prompt and shows in-depth understanding of the leadership,
alignment and buy-in process as well as Human Capital concepts.
89
Case 20: Sunique Human Capital
Human Capital Deloitte Round 1
Your client is faced with dramatic changes in the industry. As it adjusts its strategy, reacts to
changes and anticipates future changes, it is concerned about its ability to keep its employees
prepared for the challenges they will face. The client is also concerned about its traditional
approach to learning and development and has questions about the return on investment of its
programs.
Your team was retained to help assess the effectiveness of the organizations learning center,
Prompt develop a go forward learning strategy, and to select and implement an ―appropriate‖ enterprise
learning management system (LMS) solution that will allow the client‘s learning center to
successfully execute its learning strategy while simplifying its operational processes and allowing it
to scale for future growth.
What approach would you take to assessing the client‘s current learning capabilities and
developing the go forward strategy? What issues would you consider regarding the selection and
implementation of the Learning Management System?
Make sure that the candidate understands that you are looking at qualitative analysis and not a
quantitative analysis.
Guidance Look for a good framework that is logical and sound.
90
Case 20: Sunique Human Capital
Human Capital Deloitte Round 1
Review current learning activities - balance of instructor-led training, e-Learning, and other learning
methods
Degree of learning assessment used (Reaction, Learning, Transfer, Results)
Meet with leadership to determine requirements of new strategy
Review individual learning plans
Skill gap analysis
Assess ability of existing programs to address needs, identify needs for additional learning
Analysis programs
Specific system selection and implementation components candidate may consider:
Integration with HRIS system
Data migration, system configuration, and interface development
Self-service registration
Degree of network vs. remote access
Scalability
Expected: At a minimum, the candidate should touch on the major points and be comfortable in
discussing other aspects of the case when gently guided by interviewer.
Performance Good: A good candidate will touch all the major points and require a small amount of guidance to
cover all aspects of the case.
Evaluation Excellent: The excellent candidate will touch all the key points with little to no guidance, be
comfortable and confident in discussing the major points of the case, and develop a framework for
implementation.
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