Workforce Development - A Good Investment?

If You Think You Have A Bad Boss, You Could Do Much Worse

A recent global survey shows that employees in the U.S. have the most positive opinions and friendliest relationships with their managers, leading them to be the least likely to disobey their supervisors’ direction compared with international workers.

Writer David R. Butcher, who published a timely article on ThomasNet, reveals to us that while there are plenty of bad bosses, that bosses as a whole in the United States too often get a bad rap — one that they simply do not deserve.

His article, "Think Your Boss is Lousy? It Could be Worse" reveals a new global survey that shows that employees in the U.S. have the most positive opinions and friendliest relationships with their managers, leading them to be the least likely to disobey their supervisors’ direction compared with international workers.

U.S. employees are also most likely to perceive their managers as competent, talented and open to feedback, according to 5,500 workers surveyed in 10 countries by European management and HR consulting firm BPI, which owns a majority interest in Chicago-based SSP-BPI Group.

The international Employees Assess Their Manager survey, conducted in October 2007, sought insights about differences in workplaces and managerial styles by asking employees to rate their relationship with their supervisors.

The key findings, released last month, determined that, overall, about two-thirds of global employees generally had a good opinion of their managers.

It's a great, well written  article, that provides a good perspective on the things that U.S. bosses are doing right!

What kind of workplace environment are you creating?

If you look at the general mood in the U.S. right now, it seems like "doom and gloom". Just look at the headlines: a lousy economy, foreclosures, high gas prices. Almost 80 percent of Americans in one poll recently said we're worse off today than we were five years ago, which is simply not true in most cases, or so says Gregg Easterbrook. In an op-ed on Friday's Wall Street Journal he argued that life is actually pretty good.

There are two realities in the U.S., he says. When you ask people about their own experiences, their jobs, their schools, they say things are good.

Ask about the state of the national economy or schools or health care, most Americans will say the country is on the wrong track.  A recent interview published on the Brookings Institute entitled "Is the Media Making Us Feel Worse?" talks about the powerful influence that media "slants" have on the attitudes of Americans.

Shaping the attitudes of people happens all the time.  Management and the marketplace have a significant role in shaping the attitudes and behavior of today's workforce.

Robert Wiseman, in a book review of “Rewarding Excellence” by Edward E. Lawler III notes “For many organizations, talented employees are the cornerstone of a competitive advantage.  If the organization competes based on new ideas, outstanding customer service, or quick, accurate decisions, having excellent employees is critical.”

How does one have excellent employees?  It involves many things done right, but among them, setting a positive climate for personal growth and recognition.

Unfortunately not everybody gets this critical point.  Robert L. Mathis & John H. Jackson, describe in "Human Resource Management” 10th edition
“Of course, not every organization must compete on the basis of having the best employees, but even those that do not, employees are a major source of performance, problems, growth, resistance, and lawsuits.”

Thus we must acknowledge that "we reap what we sow" inasmuch as we set the right climate for our workforce.  In this blog, I have discussed the importance of carefully drafting position descriptions, effective screening of new hires, communicating clear expectations of how work should be performed and training and orientation.  These are the cornerstones that all organizations must first put in place in order to attract excellent workers.

But beyond this,  we are responsible as employers to set the right (eg. positive) tone for our workplace.  In 1948, Dr. Robert Merton first formalized “The Self-Fulfilling Prophecy”  This principle is based on research showing that without our conscious knowledge, our expectations for others can actually have a measurable impact on their behavior.  Also known as “The Pygmalion Effect” (remember the movie My Fair Lady?), describes the way that people’s expectations of other people influence the actions and achievements of those other people.

Further research in recent years has also confirmed that leaders “did” specific things to help bring about the prophecies (success).  For example - Teachers were better teachers to students they provided: (1) supportive climate, (2) more input, (3) more opportunity for output, and (4) more performance feedback.

The The Pygmalion Effect tells us that

• We cannot behave or act in a manner that is inconsistent with our expectations and beliefs (of others or ourselves).
• Our behaviors and actions toward others influence their expectations, behaviors, and performance either positively or negatively.
• Thus, our expectations will become a self-fulfilling prophecy, partly because we will act in a manner that is consistent with that “prophecy” and cause it to “be fulfilled.”

As an example of how just one element of this process plays out in practice, consider the impact of the climate employers create.  By climate, I'm referring to the kind of social and emotional mood we create for others.

We create a negative climate that generate poor workplace behaviors that communicate low expectations in several ways when we:

• Verbally criticize workers competence or potential
• Send negative non-verbal cues through voice, face and body posture or movements
• Appear distracted, in a hurry, or otherwise not giving an employee your full attention

In contrast, we can create a positive climate that encourages good behaviors that communicate high expectations to workers when we

• Are verbally supportive and encouraging
• Provide positive non-verbal cues through tone of voice, eye contact, facial expressions, and body posture or movements
• Help employees set challenging goals

It's up to us.  You need to decide whether you follow the pack and join the "sky is falling" crowd or instead taking the "let's make this happen together" road.  This in my opinion is the ultimate test of leadership which will determine which organizations are able to recruit and retain the best talent.

What are the pros and cons about telecommuting?

I have a blog I read with some frequency entitled HR Clean-up (Because HR is a Dirty Business), that recently published a great article entitled "Telecommuting"

It is written from the perspective of the current astronomical fuel prices we're seeing. The gist of the article follows:

There was an article, not a big one, in Sunday's Boston Globe that stated "4-day weeks, telecommuting look better to employers now".  Since I actually teach Virtual HR and I've been a proponent for flexible work arrangements for a long time, I read with interest. Traffic It turns out that soaring commuting costs are finally forcing employers to help employees out.  And, given that so many of us have moved away from work to find cheaper housing, employees are buckling under the increased expenses.  On top of employee costs, employer costs are also skyrocketing.  Companies are starting to figure out that office space isn't cheap--so if an employee is ok with heating and cooling themselves, why not? The other really big change is on the legal front.  Finally, there seems to be some movement to get a bit more flexible. As organizations start to embrace telecommuting, it will be critical for HR to be at the decision making table--along with IT, Building Services, and everyone else who makes the organization tick.  HR has an amazing opportunity to push the traditional boundaries of "butt in seat" and get companies to start measuring what counts--work output. It is going to be a long hot Summer and fuel costs are going to continue to escalate.

However, there are many faces beyond this article, that factor into the telecommuting discussion:

An article "Telecommuting not so great for those left in office" that was published in January 2008 by Kristina Cooke over at Reuters looks at how those that telecommute have less stress and a higher morale compared to those that are left to come into an office everyday. She mentions that “their co-workers tend to find the workplace less enjoyable, have fewer emotional ties to co-workers and generally feel less obligated to the organization.

The beginning of the article states "Telecommuting may boost morale, and cut stress, but it can have the opposite effect on those left behind in the office, according to a new study"

The author cites how telecommuting has been a growing trend in the United States since about 2000. About 37 percent of U.S.-based and international companies now offer flexible work arrangements, with the number of those programs growing at a rate of 11 percent per year, according to the Society of Human Resource Management. but then goes on to explain how

The author cites research of Timothy Golden, a management professor at Rensselaer Polytechnic Institute that claims that when a number of their co-workers toil away from the office by using computers, cell-phones or other electronic equipment, those who do not telecommute are more likely to be dissatisfied with their job and leave the company.

I'm a bit skeptical about this inference.

In the late 1990's I worked with IBA, an early pioneer in telecommuting, and participated in the establishment of the first "telework" centers around Washington DC.  Others have since sprung up, adding credence to the ideas of telecommuting in various "flavors".  In 2006, The Telework Coalition, conducted a Telework Benchmarking study of 13 large organizations with mature telework programs.

This study asked about the attitudes of those employees who did not telework. Both our study and two previously conducted studies by other organizations in which there were multiple participants showed that the non teleworking coworkers were both enthusiastically supportive and felt teleworking was good for the organization, or at the least, the situation was a non issue.

I believe that this area is ripe for investigation and action by management and HR practitioners.  Since each organizations' DNA is different, it may not be the right solution for every situation, but there are viable telecommuting approaches that will and do help organizations attract and retain talent in todays increasingly complex market.

The role that "Career Blockage" plays in International Assignments

Increasingly, firms find that it is necessary and prudent to expose their promising talent to international assignments.  Sometimes it works out fine, other times it doesn't.

One of the reasons cited by expats that leave posts (or firms) is "career blockage", or better known as the feeling that working abroad has gotten their career sidetracked, while people back home are climbing the corporate ladder.

I used to travel abroad extensively, and would frequently run into an expat that after a few drinks would admit “the home office has forgotten about me”

It doesn't seem to matter whether you are doing your job or not, it's just a human nature response to conditions.  It appears to the expat that there is a lack of collegiality and communication when working abroad, especially when surrounded by cultural natives who are in their natural setting, and receiving support and personal communications routinely.

The role of "HQ" managing this common concern is significant. 

HR needs to ensure that expatriates know that an international assignment helps in terms of advancement within the firm.  This also needs to be periodically reinforced by upper management.  Sometimes this is hard to do, especially when there is a lot or organizational "churn" at the upper management levels with people moving to different jobs, or leaving the firm altogether.  Remember that the initial expectations that may have been set, if not committed to a written agreement, may not survive if there is (as if often the case), changes in upper management.

Likewise, planning needs to take into consideration, the very real concerns that expats have about their return to their "home base."  I have declined some overseas posts because the company was unwilling or unable to describe what would happen upon my return to the states.

Will the firm respect (and value) the unique new skills that I have acquired while overseas?  Will my return represent a "loss of status" (either real or perceived)?  Will there be a plan for re-integrating me into the stateside business?  Reverse "Culture Shock" can also be a factor, (and an adjustment period is a wise idea for the expat, as well as their family)  If firms are not prepared to do these things, it can really impact on the willingness of personnel to go overseas on assignment.

It is food for thought, hmmmm?

Engaged Employees = Whistleblowers?

A costly scandal at a bank recently has observers wondering why workers didn't report suspicious activity. Some are saying the scandal highlights one of the most important challenges employers face today: poor employee engagement.  Now, these other employees didn't necessarily do anything wrong, but they also didn't go beyond what was expected of them may point to a larger issue of employee engagement.

This article discusses impact of engagement and how engagement varies widely across different global cultures.  A must read

read more | digg story

Are growth-oriented cities like Houston, Phoenix and Atlanta reflective of the future of global commerce?

What makes a city great, and relatedly, attractive for people to live and work?

That is the question posed by Joel Kotkin who has studied how many city planners today focus largely on aesthetics, the arts, and the perception of being “cool.” Academics and many economic-development experts link urban success to cities’ appeal to the “creative class” of college-educated young people.

In this calculus, the traditional practice of gauging a city’s success by studying patterns of population or employment growth, or noting the opportunities available for working-class or middle-class families to flourish, rarely registers as important.

One prominent academic, Rutgers University’s Paul Gottlieb, has even offered an elegant formula for what he calls “growth without growth”—focusing on increasing per-capita incomes without expanding either population or employment. Indeed, Gottlieb suggests that successful post-industrial cities might well do best if they actually “minimize” the influx of new people and jobs.

Kotkin, an accomplished American urbanologist, writes about the organic growth of cities as they really are, rather than as he might remake them with enough tax money and firepower, is passionate about challenging traditional beliefs about our urban culture. 

Whether you are en employee or an employer, this is information that you need to be thinking about, because it will affect the size and location of today's and tomorrows workforce.

Good Grief Charley Brown ! Now We Have a Maintenance Crisis

My thanks to Joel Leonard over at PlantServices.com for taking the bull by the horns.

With American Idol returning to the television air waves, Joel was reminded of why he started his crusade for awareness for the Maintenance Crisis in the first place.

The fuss and attention being paid to crowning still another singing American Idol has gotten on his nerves again. In case you didn’t know, almost five years ago he was a guest speaker at the Society for Maintenance & Reliability Professionals (SMRP) Conference in Nashville. That conference changed his life and started him on a crusade against the maintenance crisis.

At the time, Joel was serving as VP of the Association for Facilities Engineering and the board had been discussing the pending retirement of the boomer generation. To his surprise, that was a key concern at SMRP. Bob Baldwin, then editor of Maintenance Technology, led an open discussion about the pending crisis. He polled the audience of more than 600 engineers and maintenance pros from the biggest companies in the United States and said, “Raise your hand if you plan to retire in the next 10 years.”

More than 90% of the audience  reached for the sky. Then he asked the attendees to keep their hands raised if they felt comfortable with the next generation. Everyone dropped their hands.

Baldwin then asked why. One said,  “The kids aren’t hungry and aren’t pursuing the education needed to advance in this competitive profession.” Others chimed in, saying, “The insecurity of manufacturing is scaring the younger generation away,” and, They don’t want to get their hands dirty.” Some said that most of them don’t even know about the maintenance, reliability and facilities engineering professions. Or maintenance simply just isn’t cool.

When the group adjourned for a break, Joel and others stretched their legs outside in the 30° weather. To their surprise, around the corner they saw about 5,000 of the very people we had been looking for —16-to-28-year-olds — standing in a line outside the Nashville Coliseum. They were waiting to audition for American Idol. While we were discussing the exodus of retiring maintenance talent, whose salaries averaged more than $80,000, and wondering where the next generation was, we realized there they here at the Coliseum, hoping to sing their way to the top.

That evening, they decided that talking at maintenance conferences or writing books and articles for other engineers wouldn't fix the problem because outsiders need to be aware of the problem and the opportunities the crisis presents. After a couple of barley-infused beverages, Joel posed, “Why not write a song about the maintenance crisis?” His friends agreed that it was a good idea, but they said he couldn’t do it.

They were partly right: he couldn’t do it alone. With the help of some friends, real musicians took Joel's original lyrics and now as a result there we is not only a song, but in nine genres, with one version especially for women, and jazz, Spanish and French renditions in the works.

The songs have been played at industrial and engineering conferences worldwide. Rolls Royce Aerospace and others have made it their department’s anthem. The songs have been downloaded from Joel's Web site more than 50,000 times. Radio stations, including National Public Radio, have played it. Even a class of sixth graders knows the country version, “Find me a Maintenance Woman,” and at least three of them memorized the lyrics.

Free downloads of “Find Me a Maintenance Woman” and “The Maintenance Crisis Song” can be found at www.mpactlearning.com.

A Basic Question - WHY Do You Learn?

I really enjoy being in the area of helping people develop their potential.

But I sometimes wonder what motivates students beyond simple knowledge acquisition toward continuous strengthening of specific skills and abilities known to be vital in the workplace and life. 

Much of what I observe is individuals completing education because it is in their annual "professional development plan" or because it is required for them to have a certain number of "continuing education credits" to maintain a license or certification.

Is that all there is?  I'd like to hear your thoughts on this matter....

To what extent do you (or your organization), utilize continuing education to:

• Bring interests and talents into sharper focus
• Direct you toward your goals, keying into the demands of business and industry
• Help build the confidence, competence and business acumen that lead to a rewarding career

Myths about Gen X in the Workforce - They don't want to grow up

The Reality:

They really don't know how.

The youngest generations in today's workforce are facing a delayed adulthood. They are getting married later, having children later and just generally facing the "real world" later. This isn't the result of a mutated maturity gene, it just is. And if we are being completely honest, Boomers had a lot to do with why it's happening.

First, as parents, Boomers had a tendency to coddle their children and use their own good fortune to make sure their children didn't experience adversity. Second, as career models, Boomers demonstrated the toll of working long hours and "paying one's dues" in a way that made their children less likely to follow in their footsteps. Millenials today look at the corporate ladder and think, "there must be another way."

My advice to you—don't waste time wishing they were different. Don't spend your energy comparing today's youth to the desires and drive you had at age 18. These employees are not a reflection of you, nor are they an earlier version of you. And again, that is okay. Your task is to take this new understanding and use it to reposition how you interact with, motivate and reward your staff.

Take attire for instance. Your 18-year-old self would have gladly donned whatever uniform was necessary to fit the company mold. Be it pressed khakis and a tie or a specific corporate uniform, fitting in was part of the package. Today's youth wants to stand out. They want their individuality to shine through even when required to provide a consistent standard of service and performance. Balancing corporate needs with individual desires takes some creative thinking.

Home Depot is one company that has addressed this dilemma at a very basic level—company uniforms. They simply require that all employees wear a standard Home Depot apron. Be yourself underneath (within reason) and show the customer that you are on the Home Depot team with this bright orange apron. Is there a standard that you can adopt to accommodate individual preferences? Something to think about.

Thanks to Cam Marsten for research cited in this article

Myths about Gen X in the Workforce - They don't want to put in the hours to get ahead

The Reality:

They are willing to put in the time to do the job, however they are uninterested in "face time."

Gen Xers and Millenials view time as a currency. While Baby Boomers tend to see time as something to invest, the younger generations view it as a valuable currency not to be wasted. These are the generations that demand work-life balance and paid time off. They want to get the job done, then put it behind them and enjoy life.

Boomer managers have a tendency to lose the interest of their Millenial employees by looking too far into the future. Millenials live in timeframe based on right now. Their world has proven that nothing is a guarantee—from nationwide layoffs to war to soaring divorce rates—and have decided that there's not a lot you can count on.

As a result they are not interested in promotion plans for five years from now. They don't even want to know what will happen at the end of the summer. Life is uncertain. To reach the Millenial employee and reduce turnover, make it certain.

Tell your employee that you have a plan. Take pains to ensure it is in a timeframe short enough for them to envision. Be prepared to fulfill your promise—once fooled, forever jaded. This approach feeds into their reality, while simultaneously building trust and buying you more time. Reward small successes along the way, string these milestones together and you will soon realize longer tenures among your staff.

Thanks to Cam Marsten for research cited in this article

Myths about Gen X in the Workforce - Younger generations have no work ethic

The Reality:

Younger generations have a self-centered work ethic. This is not necessarily the negative that it may seem at first. Millenials are dedicated to completing their task well. They have not been raised in a way that demands them to look around and see what should be done next. Instead they ask "what is my job" and go about figuring the best, fastest way to complete that task. Then they consider themselves done. This is a key differentiator between your employees and yourself.

The younger they are, the more your employees view their jobs as "something to do between the weekends." For most, early employment has nothing to do with a career path; it is a way to earn money to have fun in their free time. And that is okay.

When you understand what motivates your employees you are better able to set mutual expectations for success. Instead of being frustrated that your youngest employees are not interested in climbing your corporate ladder, embrace their true motivation—reliable spending money—and use it to your advantage. When you tell an employee, "I understand this is not your lifelong career, but to earn the paycheck every week, here is what I expect…" they are much more likely to respond than if you try to motivate with promises of promotions and titles down the road.

Understanding that being at the job isn't as important to Millenials as completing the assigned task also opens up new opportunities for motivation and reward. Younger employees are very likely to respond to offers of paid time off.

A leading retail organization has recognized this new way of thinking with its "Working Hard Card." When managers witness an employee rising to a challenge, exceeding expectations or otherwise giving 110 percent, they can hand the employee a "Working Hard Card" on the spot. Each card is worth a set amount of paid time off to be used at the employee's discretion. It is a simple strategy that rewards employees in the currency they value most—their time.

Thanks to Cam Marsten for research cited in this article

To Have A Good Workforce, You Need To Have Good Leadership Skills

You'd be surprised at how much good talent flees from bad bosses each year.  Did you ever wonder if there is a "scale" (other than gut feel) to determine just how good - or bad, a boss is? 

in order, if you are looking at retaining top talent, and seeking to retain the talent you have, in addition to running the business or department responsibly, you need to be a boss that employees are thankful for

John McKee (Founder and President of BusinessSuccessCoach.net, is the author of "Career Wisdom: 101 Proven Strategies to Ensure Workplace Success") offers this quick quiz to help you find out if your management style is helping or hurting employee perceptions:

Simply answer yes or no to each item below. (scoring provided at end)

QUESTIONS
1. All employees generally dislike work.
2. The best motivator for your team is money; it's what brings them back every day.
3. Keeping emotions out of the management process has served the operation well.
4. Your staff prefers to work as a team so that individual accountability is lessened.
5. As much as I would like to, I just don’t have the time to spend talking in-person to my subordinates.
6. I encourage feedback from a suggestion box or other anonymous method.
7. I live for the weekends (this job is a paycheck to support my "real" life).
8. I don't believe outsourcing can happen to my company.
9. Regular team meetings are not justifiable as they take too much time, which lessens productivity.
10. My current management position isn't very influential, but when I move up the ladder a bit I can make a "real" contribution to the company.

SCORE CARD:
Give yourself 1 point for every time you said "No:"

10 = Excellent!! You'll be running the show in no time!
9 = Brilliant. You obviously see your employees as an asset.
8 = Solid. You have the right attitude, and the team will see that.
7 = Well done. You know people and their needs.
6 = Good. You recognize the power of your role.
5 = Fair. May be time to rethink your management strategy.
4 = It's definitely time for an attitude adjustment.
3 = Change or die (metaphorically). Things aren't good, but it's not too late to make impactful changes.
2 = Do something significant that will be viewed in a positive light or your employees will leave.
1 = It's time to consider a new job where you do not manage people.
0 = Ever consider a job as a bounty hunter?

Why Management is Fearful of Developing their Workforce

Recently, I was reading one of the great articles published by AmCheck (the Payroll Services, HR Solutions, and Employee Benefits people), that discussed the characteristics of a successful company.

One might think workforce development is an obvious characteristic of all successful companies and their managers. 

But Lominger Limited Inc. - a leadership development think tank and consultancy - reports that managers and employees ranked "developing direct reports" dead last out of all 67 competencies in its bi-annual study of leadership skills. That's right—managers are viewed and view themselves "worst" at developing their direct reports compared to all other skills in their toolbox.

What's your fear level?  Is it paralyzing you to the point where you may become a casualty to "inaction?"

Fears and hollow excuses are usually what prevents managers from developing their people. You may not be actively developing your reports job because you fear:

• Losing power. If you develop your people, you may not be the technical expert of your area anymore. (In reality, you agreed to not be the expert any more when you took a leadership position)
               
• Losing your good people. As people develop, they may want to grow further beyond the function of your department. Be aware, however, that if you are seen as a "people hoarder," your career will be severely diminished.
               
• Being "leap-frogged." Someone you develop may eventually get a job you want. You may even have to report to one of your previous direct reports. (Let's hope you developed them well.) If you use this excuse, you're revealing a basic insecurity about your own abilities.
               
• Creating a rival. Worse than the fear of being leap-frogged may be the fear that a former direct report could become an arch rival in your organization. This excuse is another indication of personal insecurity.

Or you may not be developing other leaders because it takes time or you want to avoid the responsibility. But what else are you doing with your time that is more important? Here are six reasons why you should can the excuses and work on your workforce-development skills:

• To improve productivity and effectiveness. While developing a direct report may cause some temporary reduction in productivity, it will pay dividends in your department, team or division in the long run
               
• To maximize long-term potential. Developing direct reports improves the long-run success of your entire company.
               
• To keep your sanity. Good people developers usually go home on time. Developing your people not only improves their capacity to perform, but it improves your capacity to delegate.
               
• To attract talent. When the word gets out that you are a people developer, the up-and-comers in your company line up to work in your department, team, shop or division.
               
• To "plant" good people. When people leave your area, they know your department's function, your methods and your needs, and can help you be successful from their new position
               
• To get promoted. Being a great people developer differentiates you from the pack. People say good things about you. People realize you are a more complete leader, not the usual, one-commodity manager.

No one becomes a great people developer overnight, and there's no one right way to do it. You should cater to your strengths and to your style. Here are some general tips for improvement:

• Be the motivator, not the "mom." Convince your employees that they are responsible for their own development. Each must have a written development plan, including both short- and long-term development goals. Remind employees that capitalism is "creative destruction" and that their jobs may dissolve without notice. Corporate maternalism breeds unhealthy dependence on the company and minimizes self-reliance.
               
• Incorporate their need to have a personal development plan into your performance-management process.
               
• Recognize that development is more than going to training. While training courses are an important aspect of development, so are rotations, special tasks, complex projects, reading assignments, informal "brown-bag discussions" and even successful staff meetings.
               
• Coach with a passion. Most people can remember a coach, teacher or mentor who dared to confront behavior when it was less than optimal. People developers constructively confront-in a private and professional way-when needed       
               
• Delegate incessantly, and make assignments with development in mind.
               
• Know your people, particularly their career aspirations.               
               
• When interviewing potential hires for your department, discuss an estimated time for them to move on (assuming this fits their career aspirations), usually by the end of three years. Make moving on a goal, and promise that you will help them find their next position within the company when they have developed to your expectations and performed in their current job for a reasonable period of time.
• Creatively reward people who actively develop themselves. Money is not always the right answer. Know your people and reward them with a motivating intangible.

Lose that fear!  You will pay a dear price for not developing your available talent in the next few years.  Remember, this is one of those thinngs you pay for, whether you do it or not.

Shouldn't that Christmas Feeling Last the Entire Year?

MERRY CHRISTMAS TO ALL MY LOYAL READERS!

PEACE TO YOU AT THIS SPECIAL TIME OF YEAR, and throughout the year

Wouldn't it be nice if the feelings of appreciation that are expressed between friends and colleagues continued throughout the year?

That is the genesis of the question that our friends over at AZCentral.com raises in their recent article entitled "Show worker appreciation every day"

This timely article discusses the benefits of "showing the love" to the people that are important to us - every day.

Because isn't it a good feeling to know you're appreciated?

Does Workplace Loyalty Cut Both Ways?

I suspect that one of the main reasons why so many people put up with long hours, constant demands to increase output, and even Hamburger Management is simply loyalty: loyalty to colleagues and friends, loyalty to a workplace, even corporate loyalty.

Not familiar with Hamburger Management? A relatively new term, coined by the folks over at Slow Leadership, refers to the process of doing everything as quickly and cheaply as possible. When everything has to be done yesterday, there can be no time for debate or questioning. Blind obedience is required because that is the only response that fits the constant demands for going faster and doing more with fewer and fewer resources. Blaming others? Hamburger Management is like every other type of cheap, shoddy goods. It doesn’t work very well. So those who use it must constantly find excuses to avoid the truth being seen: that they are incompetent because of the methods they are using.

I recently was introduced to an excellent piece entitled: Workplace Loyalty Cuts Both Ways, authored by Carmine Coyote. a brand of Adrian Savage a noted marketing guru, Englishman and a retired business executive who lives in Tucson, Arizona. You can read his serious thoughts most days at Slow Leadership, the site for anyone who wants to bring back the taste, zest and satisfaction to leadership; and his crazier ones at The Coyote Within..   It's really a good article.

The trouble is that organizations don’t appear to have the same sense of loyalty in return. That puts a huge strain on employees. Do you pitch in and help out your colleagues, who are struggling with the latest batch of unreasoning demands from on high? Or do you start polishing your resume and get ready to walk out the door as quickly as possible? Do you stay with your belief that the job you’re doing is both worthwhile and valuable—even if it’s poorly paid, as so many jobs in teaching, nursing, and other public services tend to be?

Or do you decide to follow the money into a different career—or even consider leaving to work overseas—and let go of your loyalty to an ideal?

You owe it to yourself to read Workplace Loyalty Cuts Both Ways
check it out for the full coverage.

Interesting Info on Starting Salaries in South Florida

Being a Floridian, I often get asked what salaries are like down here. 

Doesn't seem to matter what discipline, folks are always interested in learning more about the wages paid "south of Dixie"

Recently came across an interesting article in the "Judged" blog, which is a pretty cool source of information about what's happening in the legal profession.  They wrote an article entitled "Info on Starting Salaries in South Florida" that sheds some light on what the larger firms down here are offering new folks joining their firms.

Ever wonder how that associates salary compares to what you see on your monthly bill for legal services?  Check out the article, I think it'll be insightful.

The Organizations That Continue To Win The “War For Talent” Will Be Based On Many Factors…

The demographics of the global workforce aren’t going to stand still while businesses try to catch up.

This makes having a transparent, consistent and strong employer "brand" essential, because it allows employers to align their talent acquisition and retention strategies to their corporate values. It also allows companies to project into the market a clear image of themselves, which a potential employee can buy-in to.

Whether its encouraging the aging workforce to remain motivated and continue working, whether its making the differentiation between themselves and the competition clearer to the smaller pool of Human Capital that do have the skills and abilities needed, or whether its continuing to drive a volume of employees into specific market sectors - strong recruitment campaigns, imaginative retention strategies, employee engagement initiatives, flexible benefits and work/life balance can be key ingredients in attracting and retaining talent now and into the future.

We All Want To Work for A Company That Supports Us, Don't We?

I wanted to share this with you my readers.  I received this message from a close friend of ours, who also like myself is a vet.

My cousin sent this to me and I thought you all would like to know about it.  Happy holiday shopping!
Shannon

I know I needed this reminder since Sears isn't always my first choice. Amazing when you think of how long the war has lasted and they haven't withdrawn from their commitment. Could we each buy at least one thing at Sears this year? How does Sears treat its employees who are called up for military duty? By law, they are required to hold their jobs open and available, but nothing more. Usually, people take a big pay cut and lose benefits as a result of being called up.

Sears is voluntarily paying the difference in salaries and maintaining all benefits, including medical insurance and bonus programs, for all called up reservist employees for up to two years. I submit that Sears is an exemplary corporate citizen and should be recognized for its contribution.

I suggest we all shop at Sears, and be sure to find a manager to tell them why we are there so the company gets the positive reinforcement it well deserves. Pass it on.

Decided to check this before I sent it forward. So I sent the following e-mail to the Sears Customer Service Department: I received this e-mail and I would like to know if it is true. If it is, th e Internet may have just become one very good source of advertisement for your company. I know I would go out of my way to buy products from Sears instead of another store for a like item, even if it's cheaper at that store.

This is their answer to my e-mail:
Dear Customer: Thank you for contacting Sears.The information is factual. We appreciate your positive feedback. Sears regards service to our country as one of greatest sacrifices our young men and women can make. We are happy to do our part to lessen the burden they bear at this time.
Bill Thorn
Sears Customer Care
webcenter@sears.com
1-800-349-4358

Please pass this on to all your friends. Sears needs to be recognized for this outstanding contribution and we need to show them as Americans, we do appreciate what they are doing for our military!!!

It's Verified ! By Snopes.com at: http://www.snopes.com/politics/military/sears.asp (shows the entire article)
http://www.truthorfiction.com/rumors/s/sears.htm

Is CEO pay an issue for the workforce?

I'd like to begin this post with an article on CEO compensation that came out in late August

Americans Pay a Staggering Cost for Corporate Leadership

(Washington, D.C.) With leading Presidential candidates turning up the heat on overpaid CEOs, a new report from the Institute for Policy Studies and United for a Fair Economy documents for the first time the extreme pay gaps that have opened up not just between U.S. business leaders and American workers, but between U.S. business leaders and leaders elsewhere in American — and European — society.

Download the complete report “Executive Excess 2007” at www.faireconomy.org/reports/2007/ExecutiveExcess2007.pdf (PDF, 1 MB).

KEY FINDINGS:

CEO-WORKER PAY GAP: CEOs of large U.S. companies last year averaged $10.8 million in total compensation, over 364 times the pay of the average U.S. worker, a calculation based on data from an Associated Press survey of 386 Fortune 500 companies.

The top 20 private equity and hedge fund managers, pocketed an average $657.5 million, Forbes magazine estimates. That’s 22,255 times the pay of an average U.S. worker.

Workers on the bottom rung of the economy have just received their first federal minimum wage increase in a decade. But the inflation-adjusted value of the new minimum, despite the hike, stands 7 percent below the minimum wage level a decade ago. CEO pay, in that decade, has increased over inflation by roughly 45 percent.

“The CEO-worker pay gap is finally getting some high-profile attention from Presidential candidates,” says report co-author Sarah Anderson of the Institute for Policy Studies. “But lawmakers still aren’t doing nearly enough to tackle the gap.”

PENSION AND PERK GAPS: CEOs at major U.S. corporations enjoyed, on average, $1.3 million in pension gains last year. By contrast, only 58.5 percent of American households led by a 45-to-54-year-old even had a retirement account in 2004. Between 2001 and 2004, the retirement accounts of these households gained an average of only $3,775 in value per year.

CEOs of S&P 500 companies retire with an average $10.1 million in their special Supplemental Executive Retirement Plans, accounts not open to average workers. By contrast, only 36.3 percent of American households headed by an individual 65 or older held any type of retirement account in 2004. The accounts that did exist averaged only $173,552 per household.

The top 386 CEOs took in perks worth an average of $438,342 in 2006. A minimum wage worker would need to work 36 years to earn as much as CEOs obtained just in perks last year.

THE LEADERSHIP PAY GAP: Compensation for American business leaders now wildly dwarfs the pay that goes to leaders in other sectors of American society. The 20 highest-paid individuals at publicly traded corporations last year took home, on average, $36.4 million. That’s 38 times more than the 20 highest-paid leaders in the nonprofit sector and 204 times more than the 20 highest-paid generals in the U.S. military.

The 20 highest-paid figures in the private equity and hedge fund industry collected 3,315 times more in average annual compensation in 2006 than the top 20 officials of the federal government’s executive branch, a group that includes the President of the United States.

“Today’s soaring pay gap between business executives and elected leaders in government essentially makes corruption inevitable,” notes Sam Pizzigati, an Institute for Policy Studies associate fellow. “With such huge windfalls at stake, business leaders have a powerful incentive to manipulate the political decisions that affect corporate earnings.”

IS CEO PAY REALLY THE ISSUE?

Before we tackle the answer to this question, I'd like to share with you comments from reader Rex Stormont, a former employee of Coca-Cola.

For 17 years the world’s most recognisable brand, Coca-Cola, was lead by CEO Roberto Goizueta. During his period in this role he managed to increase share price growth on average by 20% year on year compounded. He was arguably the most successful large corporate CEO of all time.

There are many Coca-Cola millionaires who have Mr Goizueta to thank for their financial stability which very often was achieved with their minimum investment.

For the last 10 years of his tenure, he was shadowed by Mr Douglas Ivestor who was the corporation’s COO. Mr Goizueta was grooming him to become the next CEO upon his own retirement. The stock markets, who universally loved the company and its CEO, were very comfortable with with the heir apparent and Mr Ivestor had their full backing.

Mr Goizueta achieved his tremendous success with his exceptional character, people skills, incredibly shrewd business acumen, ability to build strong teams and develop a strong corporate cultural identity. Everyone who worked for the company (it seemed) loved this man.

There was an almost tactile relationship with him for most employees, most of whom had never even met him. Belief in his vision and objectives was wholeheartedly embraced en masse by them. They felt they had a very real and personal connection with him.

Then suddenly, in 1997, Mr Goizueta was diagnosed with cancer and very sadly succumbed to the condition 2 weeks later.

On the day his death was announced, Coke’s share price grew, a clear indication of the stock markets’ faith in Mr Ivestor. This was a totally unexpected response for the corporation, who thoroughly expected the share price to remain static (if not slightly decline) until his protegee had proven himself.

The honeymoon period continued, until after a relatively short period, product quality issues were discovered in Europe resulting in certain markets totally withdrawing Coca-Cola products from the supermarket shelves.

Mr Ivestor made no public announcements for 2 weeks. The share price halved overnight. He was subsequently sacked by Mr Warren Buffet, Coke’s largest shareholder.

Today, Coca-Cola has still not recovered its share value, some 10 years on….. But what was the impact on the corporation?

From being ‘THE’ FMCG corporation to work for, they quickly became 2nd division players. Morale within plummetted. And worse huge numbers of employees at all levels of seniority were made redundant across the globe.

How do I know this? I was one of the many employees who lost his job as a consequence of an incompetent CEO.

The CEO’s of sucessful corporations are a very rare breed. They have something about them that the vast majority of good businessmen do not possess. It is rather like drawing a comparison between the Peles of this world and an average Premier League soccer player.

Are CEO’s salaries very high? Have they mushroomed as the chart shows above? Yes.

But rather like the big clubs building teams of professional soccer players at the top of their game, the boards of executive directors who appoint the CEOs know full well that they recruit in a competitive job market, where good performers are rewarded with astonishing packages.

Ultimately, the CEO can quite easily make or break these giant corporations. The CEO knows he and his performance as well as that of the people under him are answerable to the stock market.

Whether a company’s stock growth is 1% or 100% frankly it is irrelevant. What counts is if the city analysts and shareholders are content with it.

In other words, in a competitive CEO recruitment market, provided the CEO ensures his company meets performance expectations, he is worth what the market is prepared to pay him.

Rex makes a great point folks - really good CEOs create stability, growth and equity creation that benefit everyone - employees, vendors, shareholders.  What's that worth?  Well, what % of the equity created did the CEO end up pocketing as compensation?  Is that excessive or reasonable?  What do you think?

Not bad for a McJob

One high profile example of a corporation tackling their employer brand head-on is McDonalds, who rely on a steady supply of Human Capital to give their business and their brand life.

After the term 'McJob' appeared in the Oxford English Dictionary, being described as having low pay and poor prospects, McDonalds responded in 2006 with the challenging 'Not bad for a McJob' campaign.

The McDonalds fight-back campaign featured posters including examples of health policies, flexible working hours and prospects for promotion, with the objective of improving their public image as an employer of choice and ensuring their employees felt 'McRespected' and 'McValued'.

McDonalds represents an extreme example, but other companies across the world dedicate much time and resource to winning coveted places in top employer listings, such as the Sunday Times Top 100 Companies to Work For in the UK and the 100 Best Employers to work for in Canada. And, according to Sheffield University, its a case of 'Who Cares Wins' in todays job market.

Performance Appraisal and Feedback - What are Today's Management Expectations?

Performance Appraisal and Feedback is an important part of the talent management process.  However, the "equation" is different today than it has been in the past.

I'd like to share with you some ideas on current thinking about:

• Supervisors’ Accountability For Employee Performance
• The Supervisor As Coach
• What Does The Company Need From The Employment Relationship?
• What Do Employees Really Want From The Employment Relationship?

The Supervisors’ Accountability For Employee Performance

Traditionally, management has meant performing the functions of:
Planning

• Define Goals for Future Performance
• Determine Tasks Needed to Meet Goals
• Determine Available Resources

Organizing

• Assign Identified Tasks
• Allocate Needed Resources

Leading

• Inspire Employees to Achieve Goals

Controlling

• Monitor Employee Activities to Assure Progress

Over time, this role has transformed to include an awareness of :

• Decentralized Decision Making
• Flexible, Skilled & Involved Workforce
• Increased Sensitivity in Work Relationships

The Supervisors’ Job Description has thus evolved as a Supervisor of the Work of Other Employees to include :

• Setting Objectives
• Hiring Employees
• Training Employees
• Assigning Tasks to Employees (Delegation)
• Measuring Performance of Employees
• Rewarding/Disciplining Employees

Accordingly, the Supervisor is accountable to the business to

• Meet Their Own Performance Objectives
• Maintain Accurate and Timely Records of Employee Performance Throughout the Appraisal Period
• Complete the Forms Used in Appraising Employees and Return Them to HR on time
• Maintain Their Knowledge and Understanding of the Performance Appraisal Process,, and
• Review Appraisals Together With Employees

In other words, from the Company's perspective, they are looking for the Performance Appraisal and Feedback process to help

• Maximize Employee Productivity
• Employees Focus on Organization’s Objectives
• Employees Take On Responsibility for Their Performance
• Management Understand How to Manage Performance Effectively
• Facilitate Coaching, Counseling and/or Discipline for Poor Performers
• Provide protection From Legal Liability
• Establish an Objective Basis for Development, Compensation and Rewards

The Supervisor As Coach

Management is so 20th Century!  This "old" view of things looks at Management as a often one-way process whereas coaching is two-way, with the coach and the employee constantly giving and receiving feedback.

Coaching then, instead of “Managing” or “Supervising” is a key concept for achieving top organizational performance.  Supervisors become coaches when they use feedback on a continuous basis to reinforce positive behavior or counsel employees to correct actions that do not further the organization’s goals.

What does Coaching involve?

• Being there for them
• Giving them what they really want
• Rewarding them with "ownership" of their part of the business

According to a study conducted by Mercer management Consulting for the Council of Communications Management, 75% of respondents in a study of employee communications indicated that internal communication has a positive influence on employee performance.

The supervisor is the critical link between top management and employees.  Keeping employee communications “up front” and honest helps to build employee morale, contribute to company loyalty, and increase productivity.   

What kinds of things are important for your employees to be aware of?

What Does The Company Need From The Employment Relationship?

Employee engagement is more important today than ever.  Business leaders need to encourage activities that make employees feel more participative in the business.   You also need to reward people who learn more about their jobs, new trends, solve problems, and are willing to make changes.  Employees who feel empowered are far less likely to become chronically absent or quit.

What Do Employees Really Want From The Employment Relationship?

According to a 2001 Randstad North American Employee Review study looking at how employees define success in the workplace, the following dimensions were most frequently cited:

• Being trusted to get the job done
• Opportunity to do the type of work i want
• Power to make decisions that affect their own work
• Finding a company where i want to work a long time
• Getting raises
• Having flexibility
• Many different job options & opportunities
• Getting promotions
• Getting praise & recognition
• Managing (leading) other people
• Gaining seniority

But it gets even more interesting.

• Mature workers (aged 61-75) workers view themselves as "contributors," while viewing their employers as a "benevolent master." Their greatest psychological need is "respect" and their overriding workplace characteristic is "dedication." Having power to make decisions that affect the whole organization is important to them.
• Baby Boomers (now aged 42-60) are "adaptable" and in need of "appreciation." They view employers as "partners" while striving to be "recognized employees.”
• Gen X'ers (new age 27-42) are "realists" in need of "security." The volatile nature of the new economy drives them to perceive employers as "terminators," while they view themselves as "employees with a future."
• And Gen Y (26 and younger) see themselves as "entrepreneurs" and their employers as "providers." They are in need of "attention" while remaining "cautiously optimistic" about the future.

But for all employees, the most important corporate value cited was TRUST…even more than money or title.  A well thought out Performance Review and Feedback system can be a unique experience that can help

• Make employees feel like members of the “Club”
• Facilitate their ideas, suggestions for problem-solving
• Challenge them with new tasks, assignments, projects
• Involve them in setting performance criteria
• Encourage self-evaluation of their performance
• Work together to set performance objectives

Why then, does the Performance Appraisal process often evoke discomfort versus a sense of discovery?  Perhaps that's because often the program is representative of

• Inadequately defined standards of performance
• Sketchy or ambiguous performance documentation
• Inadequate time allotment for the discussion
• Supervisor bias in judging performance
• Reliance on gut feelings; lack of objectivity
• Lack of timeliness of performance reviews
• Lack of employee involvement

So are they still relevant?  YOU BET !   

Your workforce wants to do the right thing, BUT

• They may not know the rules
• They may not have clear goals
• They may lack confidence
• They may have limited ability
• They may be poorly trained
• They may not have the right equipment
• They may have limited communication
• They may be distracted by personal problems

Today more than ever, a well conceived and properly executed program can be used

• To let employees know where they stand and to give them feedback
• As A basis for compensation and rewards
• As A basis for individual training and performance improvement
• As A basis for career planning
• As A basis for business planning
• To document HR decisions, placement,promotions and discipline

Is this your experience?  How about sharing your "success" stories as well as "horror" stories with our readers.

Do you Understand Older Workers Priorities & Work Life Balance Concerns?

Older workers are one of the keys to the "War for Talent", but many employers do not understand these workers.   There are many different types of workers in this age group, and each one requires a different key to unlocking their potential.

Older members of the workforce who have extensive experience and skill, also have a significantly different "point of view" when it comes to what is important to them.  Firms and organizations alike need to recognize these  personal priorities, which include the important "work-life balance" element

Consider the many varied "situations" you'll discover when you examine a "cross-section" of these workers in almost every business and organization:

1. Those that are stable and settled:
   (and may have no further career aspirations)
   
2. The workers who are motivated by reputation,
   (they're seeking status and have a need for achievement that is still growing)
3. Workers who feel vulnerability
   (may feel that their "value" is diminished through reduced capability or feel that their skills are no longer up to date)
4. Those who are more engaged or feel their work more is important than in past periods of intermittent or part-time working. 
   (many women re-entering the workforce with grown families fit into this category)
5. People who are more confident, and ready for new challenges
   (ready for anything new, or are ready to try self employment)
6. and workers who are anxious about being displaced by younger colleagues

As you can see, each of these "categories" of workers are looking at employment from quite different points of view.  Keep checking back, as I'll be expanding on some ideas that you'll find useful in reaching out to each.

Emerging Health Care Trends 2007 Survey Results

Today, employers appear to be making a "choice of roads" decision when it comes to providing healthcare for their employees.  The choice taken can have significant effect for the employer as it impacts their ability to retain existing employees as well as colors the attractiveness of the organization when seen through the eye of certain classes of job-seekers.

There are two distinct types of employers, and their beliefs and behaviors are dramatically different in how they view the value of Healthcare benefits according to Hewitt Associates in a recent survey report.
Download emerging_health_care_trends_2007_survey_results.pdf  

There are the “Stop Light-to-Stop Light” employers who find they are primarily focused on managing trends.  They have substantial resistance to cutting benefits because they view health care benefits as an attraction and retention tool and are in a competitive market for talent. At the same time, however, they do not tend to see health and productivity as a business issue.

Then there are the respondents indicate they will become much more involved in health and health care benefits, referred to as the "Superhighway" companies

Employers from both roads ranked managing cost and competitive positioning as their top two business issues related to health care. However, the next most important business issue for Superhighway employers is a leadership mandate to address health care, whereas Stop Light-to-Stop Light employers are worried about profitability. Similarly, employers from both roads ranked employee satisfaction and protection from catastrophic loss as the top two employee issues related to health benefits. Superhighway employers ranked improving productivity next, while Stop Light-to-Stop Light employers are worried about turnover.

Small employers have been exiting from health care, dropping sponsorship of their plans entirely.  However, for most large employers, this approach would create significant difficulties for many of their employees. If an employee or dependent currently had a serious medical condition, for example, he or she may be denied coverage entirely in the individual marketplace. While costs continue to escalate, very few large employers are currently considering dropping sponsorship of health care
plans.

The Hewitt survey validates this trend—no respondents believe their organization will be less involved in health care benefits over the next three to five years than they are today.  What remains to be see is how each group reconciles the cost of quality healthcare to the demands of an increasingly tighter labor market.

A Halloween Treat for You from the Evil HR Lady

I'm a fan of the "Evil HR Lady", who publicly claims to be "an HR professional in a Fortune 500 Company. I've hired, fired, managed pay and analyzed the numbers. I've even tried to cooperate with Finance, but, well you can guess how that turned out."

She operates a great blog by the same name (Evil HR Lady) with a high volume of feedback that confirms that she is on the right track.

She recently published a great article called "The Coming Talent Shortage" that provided a response to the YouTube video about workforce demographic changes. 

Michael Moore (the lawyer, not the other Michael Moore) posted a link to this video about the upcoming labor shortage.

This article is a "MUST READ" for people concerned about where our future experienced talent will come from.  Enjoy and let me know what you think!

Interested in eLearning 2.0? Here it is...

Our colleague B.J. Schone over at eLearning Weekly can always be counted on to provide good insight and perspective.

Never to disappoint, B.J.'s recent article on eLearning 2.0 tools provides a much-needed introduction into the exciting area of  the different tools and technologies that can be used to reach this next level of learning.

He introduces Dr Tony Karrer, considered one of the top technologists in e-Learning and Performance Support, who operates 2 great blogs that you'll want to check out as well:  eLearning Technology and the Learning Circuits blog

Lots is happening in the eLearning world, and as a learner, author, or provider you need to stay abreast of the latest trends and technologies.  I think you'll find these sources helpful to you.

Motivating Workers By Giving Them a Vote

Our friend and colleague, David Wessel, of the Wall Street Journal's Washington Bureau, a brilliant scholar, and writer has once again hit the nail on the head.

In a recent article entitled "Motivating Workers By Giving Them a Vote" he examines a novel approach to self-governance, citing examples where  a large firm Schlumberger Ltd  allows its employee communities to govern themselves and choose their own leaders, often in contested elections.

This is not for the faint of heart, and not right for many firms.  This article shows however what CAN be done, even in a large multi-national firm that one might not expect to be nimble and progressive.

Want to be rocked out of complacency?  Read the article and tell me what you think?