Archive for the ‘Human Resources (HR)’ Category

Does Brutal Honesty Help?

It may not be wise to always be brutally honest with others. In most cases it helps to try to find the silver lining as well as what needs to change, but I believe it is best to be completely clear when dealing with problems you’re struggling with if you can face doing it yourself.

On CLO Magazine’s blog, the question came up, “why aren’t there more people willing to step up to front line leadership?” One commenter observed, we don’t train enough. True, but I wrote this:

“I agree that we rarely teach practical leadership skills when we promote people or prepare them for promotion. We throw them in and let them sink or swim… and then some time later we try to teach them. In fact the skills have to be learned on the job with a coach (the boss, if the boss has leadership skills, which 80% don’t according to many surveys).

“However I think a growing factor today is that we expect the leaders to make sure the work is done even if they have to do it themselves – no excuses – do it or you’re out, so taking on leadership is taking on an unbelievable workload… still with no training on how to get others cooperating in getting it done. Sound like a good deal? Here, you be leader, you do all the work,  we won’t show you how to successfully delegate… and then maybe we’ll fire you… in many states ‘at will’ with no recourse or severance… and you’ll be totally humiliated in the process most likely. Wow. I’ll take that risk. I’m exaggerating… slightly, but there are lots of organizations who do this to at least some of their promoted managers. Any wonder it scares people off?

“We desperately need to remedy this, but it seems to be one leader at a time and it starts with taking a brutally honest look at what those we promote are expected to do.”

This certainly doesn’t apply to every situation or organization, but not only is little training provided to actual managers, very few believe in trying to help potential leaders learn the skills BEFORE they are promoted. Often I see leaders who are being offered training or coaching where it is ‘too little, too late.’ They’ve already alienated their teams or at least fallen into patterns that aren’t highly productive and now have a hard time changing. It only really became clear answering this question and realizing that I was trying to be bluntly honest. If nothing else I think it illustrates the benefits of asking ourselves these questions via blogs and other means. Self-examination certainly reveals what we need to fix. I’m sure I’ve been as guilty as many when I didn’t provide training BEFORE it was needed.

How Fast Can a Behemoth Change Culture?

Giant GM is struggling to change, that much is certain. But recent reports confuse the reader about what’s really going on. Take Workforce Week for October 7 and October 19. In various ways, from the headlines to content, both articles suggest that new CEO (Fritz Henderson), named March 30 to replace the former old-style executive (Rick Wagoner), has ‘done’ the work needed to change the culture.

Depending on how you read these, the messages are puzzling. The long term HR head is replaced with a former operations executive. Layers of management have been laid off to streamline things and shake up the physical bureaucracy, but whether this shakes the bureaucratic habits of thinking and behavior that inevitably form the anchors of culture remains to be seen. HR is dropped from some key operating senior teams, but is tagged as an ‘enabler’ of the change process. Enabling from the outside?

There are suggestions that the new CEO sees the culture change as ‘done’ (or more likely sees it as having been given a momentum-driving start through his bankruptcy restructuring, which appears to have been sold to managers as ‘a gift’). There are other hints he understands it must be a continuing process. I’mSwitchpoints skeptical of calling precipitous down-sizing a gift. For sure you can try to make lemonade from such lemons and if you look at the CN restructuring (in Les Dakens excellent new book, Switchpoints) that preceded the sort of culture change GM is talking about, you can see it is possible to make necessity work more for you than against you, but it’s still a wrenching process with some uncertainty as to what it produces.

You can also see with the CN example that it took 10 years in various stages to evolve something like the full impact on culture that GM almost certainly needs. Yes, you can make early gains, but if you assume that’s all, you will certainly fall short of what’s possible and perhaps even create a situation where culture falls back toward what it used to be. Habits take time and repetition to change.

It’s very hard to tell from reports such as this whether the people managing the new structure really understand that it takes years of stable and continuing reinforcement of consistent practices to actually change culture. Are reporters putting their interpretations on things – that change is ‘done’ or that it is ‘in progress?’ We won’t know for some time, but the reporting is worrisome.

A friend forwarded a really interesting New York Times Op Ed link (In Praise of Dullness) with the comment the author may or may not be making similar points to my last post. In fact, it could be taken either way because the author talks about several opposing things as if they were somehow one.

Author, David Brooks, cites interesting research showing that CEOs of today’s successful companies lack people skills, extraversion, openness and social agreeableness in study after study. that what distinguishes most is emotional stability and conscientiousnessDavid Brooks NYT OpEd (these are ‘the Big Five’ that psychologists generally agree define personalities). He suggests charisma isn’t valuable, as Jim Collins showed in Good to Great, but in doing so he mixes apples and oranges.

First, it confirms my assertion that many of today’s large organization CEOs lack the skills they will need to lead with utmost effectiveness especially in the coming years of a new type of worker. That’s what Collins is getting at, too. He found only a handful of big company CEOs had taken their companies from Good to Great and kept them there. However, Collins’ findings reinforce that you need openness and sociability (though perhaps not extraversion) to reach the most successful CEO level – to lead effective teams. Quiet team-builders emerged as his preferred model and I agree.

What the other research confirms is what Collins also found – that most sizable company CEOs today are OK, but not superstars. It’s not their lack of charisma (Collins’ winners didn’t have it either), but more importantly lack of ability to build teams. Most are detail-oriented drivers who keep everyone’s nose to the grindstone where more open, creative solutions would be better. The grindstone approach keeps things going and creates incremental improvement, but doesn’t help things take off. Brooks notes that, but equates Collins’ top leaders with the grinders, which isn’t accurate.

All in all, as we struggle to get clarity about how top leaders should actually look, we find few companies yet understand it well enough to make the best choices. And that may be due to the fact that we have years of grinders lingering at the top choosing people like themselves. These are ’safe’ candidates, without a lot of personality actually, unlike the major characters that bring together all the right skills like Kelleher of Southwest Airlines, Walton of Wal-mart, Welch of GE and other highly individual, but interesting styles.

Just because the bulk of OK companies today are run by ‘grinders’ (if I can call them that somewhat unfairly because most bring something more than that, just not enough more), that doesn’t mean this is what companies SHOULD look for. There is a better model. Collins got it right. We need to figure out how to develop it and then we need to start hiring for those qualities.

History has lessons to show us about HR

Richard McLaughlin writing on the new Plexus community “Organizational Consultants Network quotes the venerable Marv Weisbord, expert on Organization Behavior, author of Productive Workplaces Revisited and that led me via search to the original Productive Workplaces on Amazon.

Reading their link to the “First Pages” of the older book is really worthwhile to make instantly clear the history of effective HR and OD and how early lessons apply directly today, ultimately explaining how smart financial leaders led us into the current mess.

Conclusion? McLaughlin quotes Weisbord. .from 1987! “The world is changing too fast for experts, and old-fashioned “problem-solving” no longer works. For the past forty years productive workplaces on several continents have been evolving another way entirely of thinking and acting. First, they have been moving away from problem-solving toward whole-systems improvement as the secret for solving great handfuls of problems at once. Second, they have been moving away from getting experts to fix systems toward having experts join everybody else in learning how to make improvements.”

Doesn’t that sound like social networking and The Wisdom of Crowds over command-and-control leadership? You bet! So why haven’t we arrived yet at the point where everyone understands this? I suppose double-entry bookkeeping wasn’t thoroughly accepted by 100% of business for its first hundred years either, though now you wouldn’t start into serious business management without such basic accounting.

McLaughlin goes on to link another excellent article by NYT’s Nicholas Kristof, illustrating how well-functioning groups should be able to out-do experts and ties it directly to today’s disasters. When will we finally learn these lessons and concentrate on leading in new ways?

PS: I love one of Kristof’s references to Berkeley’s Philip Tetlock (author of the 2005 book, Expert Political Judgment – which could have been subtitled ‘yeah, right’). Tetlock, he notes, uses the description “hedgehog” in a negative way. For me that illustrates balancing Jim Collins’ use of it in Good to Great to describe the positive need for focus, which in turn illustrates again the need for balance rather than too much of any one element of effective leadership. And in many cases balance only is achievable by including more people in the process of leadership.

Let’s Smack Ourselves Again

Sigh. I posted the link to Dr. Beatty’s recent condemnation of HR (my earlier post) on HRM Today without much comment to see what would come in. Nevin Adams essentially summarizes Kris Dunn’s post on the Workforce Management Human Capitalist blog. Both feel if HR simply does a good job, those who really matter see and appreciate their contributions. I wish I could believe that, but I’ve seen a ton of HR people doing great jobs these last few years and still find even people close to them don’t see it, as evidenced by Kenneth J. Nessing’s reply on HRM Today.

Kenneth is an HR systems guy who says he totally agrees with Beatty that “HR fails to understand the real link between productivity and people.” Here’s someone who, like Beatty, presumably works with HR people in large organizations blandly continuing the stereotype and broad-brushing ‘all’ HR.

My point? If HR doesn’t start to stand up and correct these mistaken, but all-day-every-day, comments we will truly be the failures so many already take for granted. It’s because of such standard assumptions that HR has such an uphill battle for budget, resources, great people and ‘a seat at the table.’ It’s fine that some individuals have spectacularly overcome these, but we’re doing a disservice to other professionals in our field if we don’t speak up whenever and wherever this myth is propagated.

Alternatives to Hating HR (1)

A ping-back on my recent post introduced me to John Sumser’s very interesting blog, specifically linking more comments about Dick Beatty’s diatribe against “HR.” I believe in the value of debate so I’m happy to link both good and bad opinions out there. Jon is certainly more constructive and he’s rounded up a number who are as well. However, it’s still not enough for me.

There are currently two opinions commonly published about HR. First, that most people in it are useless, especially at understanding, justifying their cost/value or contributing to results in their organizations. Second, the growing alternative view, like much of what Jon collected, that while most HR people are useless, it’s neither entirely their fault nor true of all since some actually reach the level of valuable, measured proof of strategic contribution.

I argue there’s a third view that we should hear a lot more about. that HR is making a valuable contribution almost everywhere, but only to the extent they’re allowed, assisted and supported by the rest of the team. (Try running your organization without any.) Consider that HR is largely doing what it is told and empowered to do by more senior organization leaders who control what HR is paid (typically less than most functions), who’s appointed (qualified. or not), what it’s entitled to do (mostly essential administrative stuff with a smattering of more strategic items ‘if there’s time’) and who listens when HR has something to contribute.

Instead of solving these problems, most people seem content to stand back and blame HR for not ‘proving its value’ as if there isn’t already a mountain of scientific evidence showing that the impact of doing HR well is enormous (Pfeffer’s work offers great examples). We should be talking about how to focus what we know can be done to fit our specific organizations not blaming the guys in the middle who are striving to do what they can with the resources they’re given. Pile on is not constructive.

I’ll expand later, but for now let’s make one thing clear. Try appointing a junior accountant as CFO and then encouraging your managers to ignore what she or he ’suggests’ if they feel they have a better idea. Of course things would come crashing down in less than a fiscal year. CFO dictates aren’t ’suggestions’ and are invariably backed up by CEOs and armies of accounting staff policing the rules daily. But with HR issues, people are so adaptable they put up with and take orders from blatantly bad leaders as well as good, the former being tolerated for years, often encouraged and even promoted because they ‘get the numbers.’ Embarassed Employee

Most people continue to produce as faithfully as they can at least for a while till something better comes along and they cover poor performance of those around and above them up to a point. Financial lapses aren’t so self-repairing. Let me say for the record, if HR had similar rule-enforcing support bad managers wouldn’t be tolerated, let alone promoted. That would certainly make measurement of HR practices a lot easier, too, by enabling a much more consistent application of HR strategies than the hit or miss hodgepodge we normally see.

Now HR could never and should never strive to operate via pure enforcement. Human situations are simply too varied. By its nature HR has to work through other leaders in the organization and ideally help develop them to be the best possible. Nevertheless, clear HR values guidelines would help insist that leaders act with good will, positive reinforcement and other basic effective leadership practices. Needless to say perhaps, HR can’t be the body enforcing those values. As Archimedes said, “Give me a lever long enough and a place to stand and I’ll move the world.” Let’s help HR with the tools and measures instead of suggesting they ought to make them all up by themselves. Help make HR part of the team or spend the rest of your declining performance time questioning why they can’t perform.

What’s Wrong In Human Resources?

By now I’ve had a solid opportunity to mull over what struck me as so outrageous about Rutgers’s Dick Beatty’s comments noted in my earlier post and the “typical” HR responses to it of ‘he must have some sort of point’ (if I can say that without falling into the same trap of over-generalizing). This is a good illustration of what makes HR the toughest job in every organization and why we need and deserve better support from those close to the field like Dr. Beatty.

What I mean is HR sits in the middle of controversy by its very nature. I was fascinated yesterday to read two seemingly opposing views of using the Internet ‘for fun’ while at work. Richard Proctor of APL Borealis (who sell blocking software) argues it’s a six-hour a week productivity time-waster (seemingly confirmed by articles such as this from a Gallup study) that should be blocked while a study from University of Melbourne finds those using it at work average 9% greater productivity. The truth almost certainly blends the two points of view as you can hear in the Melbourne professor’s comments:

Notice that many of the figures are likely in the ballpark:  14% are addicted and would benefit by having at least some, maybe all, sites blocked, but on average there’s greater productivity overall from allowing people to use the Internet casually at work. Coker cites millions of dollars ‘wasted’ on blocking and appeals for understanding the ‘psychological’ factors that lead to productivity.

If you’re HR, working for a CEO or CFO with a clear point of view on this, you’re likely not going to waste much energy debating beyond tabling both sides of the argument. Many knee-jerk reactions will go one way or the other absolutely and we know which level of the organization chart dictates which way wins.

And yet this, of course, is an HR problem, right? This is about people and productivity. Once decided, no one’s going to argue with the CEO, but they’ll blame “HR” for not standing up for what’s ‘right’ (their opposing view, whichever that is). Both will have ‘numbers’ on their side and accuse HR of being oblivious to facts and incapable with measurement. We’re a convenient whipping boy for frustrated human beings.

HR on the other hand will do its best to mediate, to argue for compromise. and turn the issue back where it belongs – onto managers who are on the spot, who can lead productivity by getting people effectively engaged in getting results and dealing with slackers whatever it takes (and sometimes, yes, it does take offering distractions to clear the mind where in others it requires a strong management hand). Managers alone are in the best position to observe who’s addicted and slipping into a productivity-wasting pattern versus those who are really producing and need the distractions. No HR solution ‘fixes’ this challenge once and for all. It requires day-to-day leadership from every manager at every level.

Is it any wonder HR is criticized by managers who’d rather have an easy solution of blocking rather than have to manage addicted employees and employees who resent big brother cutting them off from Facebook and Twitter? That’s a lot of people who probably realize at some level HR is in an no-win position, but still rationalize their need to blame someone.

A Revival of “Why We Hate HR”

This objectionable view of HR was pointed out by a widely-read consultant/speaker colleague, Jan van der Hoop a day or so ago. Frankly I would have expected a different approach from Rutgers University’s Richard Beatty. Talk about RichardBeattypandering to your audience’s prejudices instead of trying to educate or solve  the problem.. Even allowing for editorial liberties with the message, inadvertent or otherwise, this speech is unacceptable.

I’ll ignore the obvious confusion of the terms ‘employee satisfaction,’ which we pretty much all know by now doesn’t relate directly to performance and ‘engagement,’ which does. I’ll even ignore the fact that he contradicts himself in several statements, some on this very issue.

However, if this was actually said as quoted, Beatty is making a ridiculous generalization: "HR wants to treat most employees the same way, and they spend considerable time trying to defend or fix poor performers, taking on the St. Bernard role," he said. "Low turnover isn’t necessarily a good thing. Think about where you might want to disinvest." Well, Dr. Beatty, there isn’t any “HR” in this sense. There are a whole lot of individuals with varying ranges of skills and opinions. And in case you haven’t looked, there are tons of HR practitioners out there who do not fit this stereotype.

I’m first to agree that HR departments need to invest more and bring in more people to work as HR staff who can develop better analytics and metrics. I certainly support rotating a percentage of other executives through the HR function both to learn and bring in new ideas and approaches – not a bad idea for most functions. To suggest that HR isn’t making an effort at the transition to a modern understanding of what’s required of it is just patently missing what’s happening in the field. Maybe it isn’t happening fast enough, but not for lack of discussion or attention from HR. Insults aren’t likely to help as any good coach knows and practices. Apparently your program doesn’t follow the path of ‘find what’s right and encourage more of it.’ I realize that doesn’t make for as good press coverage, but really..

Maybe this is a speech you hope will be a further wake-up call to HR. or maybe, as another of my colleagues suggested, it’s an “Ann Coulter-type attempt” to garner attention by being insultingly outrageous. Whichever, one has to ask, isn’t it remarkable that someone who’s been training HR leaders for years finds they are so entirely hopeless? Whose fault would that be really – your students. or their professor?

Anyway, I’m pleased you answered my email suggesting we could debate with a response of basically ‘bring it on.’ But I also note you haven’t responded to my request for more details, including what you actually said. If I’ve misconstrued, please feel free to enlighten me. While waiting I’ve read several more polite responses suggesting you must have a point somewhere, that where there’s smoke there’s fire. I’m not so accepting. If professionals in the field, in particular, continue to bad-mouth it in such a blanket, unthinking way, how can we ever expect to raise HR to the status it deserves? I’m not sure an unbalanced attack deserves any less in return.

HR Paradoxes Stand Out in Tough Times

Prepping for several presentations this week reminded me again of some of the painful paradoxes we routinely witness in human resources (HR) areas that are specifically highlighted in tough times. Here are some in no particular order.

The first knee-jerk reaction in many companies is serious lay-offs. In good times these would generally please stock analysts because they seem to cut the cost base and therefore should increase profits, but when they’re done in tough times, they’re more of a last grasp at survival and won’t have that positive effect. Moreover, they cost a lot – a sudden cash  outflow for severance and notice pay… and you inevitably lose a number of excellent people. You can’t identify, nor can you automatically be sure you’re removing, the so-called ‘deadwood’ (lovely way to refer to staff), right?

So you end up short staffed in some areas and still over-staffed for the moment in others. You can’t simply shuffle the extras into the gaps. It never quite works out as you want or anticipate. Even before the inevitable upturn comes you have to madly try to hire great replacements just when everyone else is trying, too. Cost savings haven’t even begun by this time because you’re still paying for terminations and now you’ve got to pay more to hire. Especially this time we’re going to come out into a very tight hiring market due to boomer retirements and the massively growing need for better leadership for flatter, more dispersed organizations. And by the way, no one will trust you due to massive layoff hangover.

So what should you do? I’m all for biting the bullet in a number of ways. Beef up performance discussions and use them as a basis for carefully chosen lay-offs on a much smaller scale. Two or three months of performance focus usually identifies and justifies focused departures. Don’t be so sure a big across-the-board cut now is the answer. Focus more on performance and positioning people for better performance when things start to turn so you’re early out of the gate with better leaders and better teams revved up to succeed against weakened competitors. Spend some money on training the right people. Use the time you should have ’spare’ from lesser workloads. Don’t fill everyone’s time with scurrying to find cuts or justify not cutting in their areas. You’ll just stress them and tire them out for when you need them at full speed in the upturn.

When things start to pick up, don’t automatically start hiring. Use your improved skills to absorb the work through increased productivity – gaps that weaker companies have to fill by rapid hiring and the mistakes that they will inevitably make as a result. You can always hire when the burst of panic hiring is waning and people who took the first job that came along are becoming dissatisfied.

Does this paint a picture? Those companies that don’t react with panic either in the down- or the upturns have a much greater chance of doing things better than the competition. A recession can be a golden opportunity to position yourselves for a far more secure future. But, of course, most companies argue that this is all very logical, they just can’t. Sadly, for some that’s true, but for others, they just aren’t looking at the logical time frames that such relatively slow HR processes inevitably take. If layoffs today meant cost-savings tomorrow morning, panic might work. But in the months these things take to roll out, times will start to change. Don’t get caught like so many rolling with exactly the wrong waves at the wrong moments.

Does this sound familiar? Successful organizations don’t manage today, they manage tomorrow. A little planning and courage go a long way toward making better leadership.

Verity International hosted a great presentation and panel last month on Organizational Transformation and Engagement: an Oxymoron? It’s a great question. Can you change organizations while at the same time maintaining or even enhancing engagement of people in their work as opposed to what happens in so many cases… turning people off? VerityLogo

The answer unequivocally is yes. While it may be obvious that you ought to be able to achieve this, it clearly isn’t obvious how, since the McKinsey & Company survey presented by their head of North America (partial data here, more more data here) confirmed once again the long known fact that most mergers and significant changes fail. Only a third of all transformations succeed well or extremely well and major change tends to be even worse on average.

If you had to leave early you’d be forgiven for thinking this is old news, though always useful to know if it’s changing. And it seems to be… slightly. The study was useful in distinguishing types of change, some being harder than others, and especially for identifying what it takes to succeed and pitfalls. It was very interesting to hear these backed up by real experiences of the panelists who represented major organizations: a bank, a telco and a large hospital.

What was most interesting was to see the use of ‘complexity science’ language to describe what’s needed. Positive Deviance describes the process of looking for an example that is unusually successful and then using that to discover what works and why to replicate it. It’s a scientific advance especially in human behavior matters that again should be totally obvious, but isn’t. It’s been used with amazing results in situations as diverse as ending plagues in Africa to avoiding antibiotic resistant infections in modern hospitals (health care has been particularly active using it, but it fits in any industry).

In general what turned up was that all these organizations are using the knowledge gained from research and data more and more when it comes to managing people – again obvious, but late in developing. Many senior leaders wouldn’t think of ignoring market research or financial facts, but blithely used to toss aside scientific discoveries in the HR/people management field because "they know how people behave." After all, don’t we all. We’re people; we’ve watched people manage well and poorly for years, so of course we all think we know. Yet the success rate of keeping people engaged shows otherwise. It was gratifying to hear from such senior people in major organizations that more weight is being given to actually learning from research. I will likely find more to say over time about this particular event, which made a lot of points concretely visible. Great work!

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