Organizational Value

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There are multiple ways a Human Resources organization can add value.  Too often though, there is a mismatch between the value that HR is bringing and the growth and maturity curve of a company.  Imagine, for instance, heading HR for a large, established, multinational corporation and believing that the value HR brings lies in the mechanics of setting up employee files, creating salary structures and running benefit programs.  Conversely, imagine a situation where there is a relatively small start =up company.  The company has grown to the size, maybe 100 employees, where they finally need an HR presence.  The person selected start out by talking about aligning the employees to the organizational objectives, but the organizational objectives have yet to be defined.  It is important to always keep in mind the match between the HR function and the organization.  There are three primary ways that HR can bring true value to an organization.

Mechanics

HR has the responsibility to provide the basic mechanics of the HR function.  This can include such basics as:

  • Running ads and hiring for candidates
  • Creating salary structures to ensure the workforce is paid correctly
  • Selecting and running health insurance plans
  • Keeping I-9’s
  • Running basic training programs
  • Legal Compliance

Processes

Moving along the continuum, HR should provide the processes that ensure that an organization can scale efficiently

  • Hiring becomes……. an on-boarding process with predictive capability
  • Providing benefits becomes ……..a well thought out approach to which benefits, how to create a benefit matrix and judgment applied to the types and cost sharing of benefits
  • Legal compliance becomes……an understanding of what we are trying to accomplish and how best to accomplish it
  • Basic Training programs become….. Training program that meet key corporate objectives where impact is measurable
  • Basic compensation administration becomes…..internal and external equity comparisons, creative approaches to a three pronged approach and the most bang for our buck, social performance management systems

Strategy

Where HR can truly contribute the most value is when the Mechanics and Processes are in place and we can step back and view the big picture strategy.  Where are we going and how are we going to get there?

  • Thoroughly understand the goals of the organization and get ahead of the curve- what processes, practices and strategies will be needed in 1 year?  3 years?
  • Communicate corporate goals that align the workforce to the vision and mission of the Company
  • Align processes and programs across the organization to create high performing teams
  • Continually monitor the pulse of the organization and make recommendations to solve small problems before they become big ones
  • Assist executive teams to make sense of the internal and external environments and the impact they have on the organization

What do we hope to Achieve?

Crafted effectively, we orchestrate the above to achieve:

  • Increased alignment between organizational objectives and employee population goals
  • Most value extracted from each hire
  • Greater employee engagement yielding greater employee satisfaction
  • Reduced turnover
  • Better hiring decisions
  • Better use of resources reflected at the bottom line

International HR – Germany

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There are significant differences when it comes to the Human Resources organizations in the US versus companies in Germany, and many other countries in the EU.

 

Managerial Discretion

Anyone who has worked in the US understands that managers and HR have a lot of discretion over who to hire and who and when to terminate.  Sometimes these kinds of decisions can be made in a few days or weeks.  In Germany, specifically, these types of decisions are months if not years long, with serious infractions needing to have taken place.  Germany has a co-determination practice.  Co-determination is a practice whereby the employees have a role in the management of a company. The word is a literal translation from the German word Mitbestimmung.. In some countries, like the USA, the workers have virtually no role in corporate management; and in others, like Germany, their role is more important.

 

Wage differences

In the US, many studies show that white collar workers can make as much as 20 times that of blue collar workers in the same company.  This is drastically different than in Germany. Germany  is known for its balanced remuneration system.  The average white-collar worker’s wage is only 20% over the average blue collar worker`s wage. In addition, companies are not allowed to hire skilled workers from other companies by offering higher salaries.

 

Company Loyalty

Here too, the perception differs.  In the US, workers are generally always in search of something new or better, and there is very little company loyalty.  In Germany, employees feel a much greater sense of loyalty to their companies and, general, will not leave.  They will look for opportunities within their current company or subsidiaries and the company will work hard to provide those. 

 

Management decisions

While the US is typically a very individualistic society, making quick decisions and reversing them if necessary, Germany, in stark contrast, tends to work like a democracy in their companies. It is important the whole team has a say and the whole team is bought into the decision.  While this can seem appealing, the trade off is time.  Decision making will take much longer with a group of employees when everyone needs to be in agreement. 

Both cultures have their pros and cons and neither is necessarily best.  The US, acting as an impulsive, decisive,  all knowing teenager and Germany as the wise parent, moving slowly with certain purpose.

Teach a Man to Fish

One of life’s conundrums is the choice of when to do something for someone and when to teach them to do it for themselves.  This is an age old struggle between parents and children, teachers and students, managers and employees and the Human Resources team and our internal customers.  We all want to help those in need whether it’s a child struggling to open a heavy door or an employee who needs a quick answer.  But are we really “helping” when we constantly rush in to be the hero or are we really fueling a need within ourselves?  Might it not actually be better to teach someone how to be self-sufficient and then step back and out of the way?  This would allow you to make a greater and more broad reaching impact.

Especially for those of us in HR who, generally, are in this function because we enjoy helping others, we might want to take a look at how to more effectively “help” others in the organization.  It would be beneficial to have a plan when someone comes to you with a problem.  A way to identify whether this is a crisis and an immediate need or an opportunity to teach someone to be able to do it for themselves.

Urgent or Immediate needs

HR gets bombarded daily with immediate needs or at least needs that the internal customer thinks are immediate needs.  A few examples of actual immediate needs:  Someone has fallen and you need to call 911, someone is making credible threats and needs to be escorted out of the building, access to systems need to be shut down due to an involuntary termination for cause.  These are the types of needs that you will always handle and are probably not teachable, necessarily, to someone else.

Important needs

Important needs are those that are important but not urgent.   Examples might be a question on an incentive plan and how it works or an update on a particular position you are hiring for.  Some critical needs can lend themselves to establishing SOP’s, Standard Operating Procedures.  Requisitions reports can be created and distributed so that managers can check statuses of their openings.  Webinars can be held to explain the nuances of the incentive plans.

Routine needs

Routine needs are those that someone will call you for every time they need the answer. Someone has an address change, or a title change or a change in the car reimbursement program.  Routine needs are wonderful teaching opportunities.  Offer to walk the person through the steps needed and then establish the SOP’s, standard operating procedures,  and let them know where to access them.

Un-needs

Occasionally, you run into those people, or they hunt you down, with on-going, what we will call, un-needs.  This is the desire to have someone listen to them by creating a perceived need.  In these situations, the best thing to do is to politely remind the person that you have a call coming in or must get back to your work.  You can train someone out of this behavior, but not necessarily teach them.

By defining the different classification of needs, you will work more efficiently, have a broader impact and be able to help others to help themselves.

Time management

sherrie suski, time management

 

There have been copious articles written about time management and everyone no doubt has their favorite strategies. The below are a few that I have found to be helpful in the workplace and in life in general.

 

Know yourself

Part of being a good time manager is knowing what behaviors prevent you from managing your time effectively. The link below gives you a quick summary spreadsheet for determining what your behavior is to day and what your behavior should be in the future to maximize your time. It is helpful to know when your energy is at its peak- is that early morning, late night or somewhere in between. This will help you to plan critical activities for when your energy level is the highest.

 

Multi-task

I know this is contrary to many time management theories out there, but wherever possible, multi-task, especially when something does not require your full attention. When you give up the idea of doing only one thing at a time and look for ways to do two, you can get a whole lot more done. Some quick examples: If you’re on the West coast, schedule East Coast calls on your drive into work. Owe the Far East a call back, pop in your earbuds and make the call while you’re making dinner. 6:00pm pst is around 8:00am there.

 

Touch each e-mail or piece of paper once

This one is big. We all have a tendency to want to “think about” it for a bit and then answer which is likely the answer you would have given in the first place. Force yourself, unless there is truly research that is needed, to answer right away.

 

Start the night before

A big time saver is to lay out your next day the night before. This allows you to hit the ground running in the morning and not have to stop and get organized. Know what you need to accomplish that day, in terms of key deliverables and follow up items.

Get your follow up items out early so that it allows people time to work on them during the day.

 

Take a break

While this may sound counterintuitive, often times taking a quick 10 minute break will help you to re- focus and complete a task in a shorter amount of time than if you had stayed with it past your ability to really focus.

 

Determine what is urgent and what isn’t

Not every e-mail that comes in must be answered right away. Some of the best time managers only answer their e-mails 1-2 times/day. You would be amazed at how many strings of conversation there are where you are only peripherally involved and if you just let them play out, you can catch the last e-mail and be completely up to speed.

 

Everyone has strategies that work better for them than others. Don’t be afraid to try 20 or 3- and then pick the top 5 that really do save you time and increase efficiency.

HR Systems

Sherrie Suski, HR Systems

The choices in HR systems today are mind boggling.  Everyone wants to get on the band wagon and sell you something that will supposedly make your life easier, is user friendly, (read good UX), allows you to crunch large volumes of data in minutes.  HR systems can be as basic as an HRIS or as complicated as a performance management system with 360 review capability and goal planning and accomplishments.

Let’s talk first about functionality and next week about what you want to look for.

HRIS

An HRIS is a Human Resources Information System.  

This is your basic system that tracks all the pertinent information about your employees.  

HRIS solutions typically track:

  • Training of employees
  • Open enrollment and management of benefits
  • Compensation management
  • Human resources reporting
  • Self-service for applicants, employees, and managers
  • Personal information, Pay information, title, job grade etc..

Performance Management Systems

You may also have a separate Performance System.  A Performance Management System normally includes performance appraisal data and productivity information data. Documentation of employee performance and of how the performance was measured and reported is critical to your employees understanding this type of system.  Many of these systems come with the capability to offer:

  • Performance appraisals
  • 360 reviews where an employee is reviewed by the manager, their peers and their subordinates
  • goal planning, setting and accomplishments
  • Succession and development plans

Applicant Tracking Systems

Applicant Tracking Systems are systems that allow you to create a user/applicant experience.

The application process becomes paperless with an applicant tracking system, so it is simple to store, recall, or purge applications from the system with just a few clicks. This helps to ensure that no critical information is lost and all necessary information is readily available for open positions now or in the future.

Compensation systems

Ideally your compensation system should track all aspects of your employee’s compensation including:

  • Base salary
  • Bonuses
  • Incentive comp
  • Long term incentive comp
  • Equity/stock/RSU’s etc..

It is helpful if your Performance Appraisal system feeds directly into your compensation system, meaning less manual input or expensive integration for you.

Be very careful in selecting your systems.  Spend at least 3x the time you allotted to understanding and testing the system before you commit.  On a personal note, we have had a very bad experience with Cornestone.  While their systems have a lot of capability, you would literally need to be a system admin in order to build out the back end which they require you to do.  They are the farthest thing from user friendly with very poor UX design.

Microlearning

Sherrie Suski, Microlearning

Micro learning is the new buzz word in the Learning and Development Community.  It is defined as 3-5 minute short, focused learning sessions that are designed to meet a specific learning outcome.  As with many buzz words, the term is often misused and misunderstood. Many have taken it to mean that all learning should be conducted in bite sized chunks as demonstrated in the graphic below which indicates that humans have only 24 minutes per week to devote to actual learning, and that is based on a 40 hour work week, which is a thing of the past for many of us routinely working 60 hour work weeks.   Others will site the growth of the millennial workforce that will make up over 75% of the total workforce by 2025 and their much talked about short attention span of 90 seconds.

However, it is unlikely that complex new skills can be acquired in 24 minutes a week, but new skills acquired can be reinforced, practiced and lead to a performance gain in 24 minutes a week.  This is where micro learning really needs to be focused.  On the refinement and not on the acquisition.  Millennials, right alongside other generations, can be uber focused for longer periods of time when the content is engaging and rewarding.

Microlearning modules are best focused on moving right to the point without all the history behind the why, which should be captured in the original training.  Video should be an important and engaging component, as should real life scenarios.

Microlearning can be an excellent approach to training for simple tasks as it improves retention and fills in performance gaps and is certainly more cost efficient.  However, it should be used in conjunction with, not as a substitute for, more traditional types of learning as it is not suitable for complex tasks and can easily run the risk of seeming fragmented. 

Creating an Environment of Engagement

Sherrie Suski, Environment of Engagement

With the first quarter of 2017 only visible in the rear-view mirror, as unbelievable as that seems, it’s the perfect time to re-evaluate what we want to accomplish in our organizations by the end of this year.

Employee engagement continues to be the buzz word of the decade. Constituents quote the statistics that engaged employees are more than 3 times as productive than the unengaged or 10x as productive as the actively disengaged.

Creating an environment of engagement and learning

To understand this concept, we need to understand the true meaning of the word empathy.  Empathy, as defined by the dictionary, is the ability to understand and share the feelings of another.   Borrowing a term from Big Data, it means focusing on the user experience or UX.  It will require designing work for the employee through the lens of user experience (UX) with the goal being able to help the employees feel good about the work they are doing and have a solid understanding of the connection to the greater organizational goals.

It has little to do with nerf guns, skateboards and other “tools” used to sell an environment of engagement and much more to do with spending the time to understand what is important to the individual actually performing the job.  Maybe it’s ergonomic, like a chair with better back support, maybe it’s auditory, like a pair of headphones to tune out the chatter around them, maybe it’s offering a rotation of job duties to stave of boredom and the repetitive nature of the job.

Adopting a Management Style that supports engagement

Equally important to creating the right environment is fostering the right management style to support a team environment. A team is a group of talented people who work together to accomplish something beyond their individual best. In order to work together they need to be supported by managers who allows them to thrive. This style is built by leaders who understand how to communicate the vision of the company in a way that engages and encourages everyone to work towards that goal.

Leaders who are effective communicators, develop a sense of community, and show authentic transparency and concern for others will be able to build high performing and engaged teams of talented people.”

Creating jobs that support engagement

Go beyond traditional training classes that support skills based on-the-job training and look for peer-to-peer opportunities.  investigate ways to allow employees to “try out” another position for a day or even a few hours.   This has multiple advantages.  Not only does it build a more well-rounded and cross trained workforce, but it circles back to our definition of empathy, to understand and share the feelings of another.  A workforce who has had the opportunity to “stand in another’s shoes” is a workforce that is better equipped to understand the full business cycle.

How to Properly Terminate an Employee

sherrie-suski-parting-waysYou may have done everything right.  You may have given verbal warnings, written warnings, worked through an honest Performance Improvement Plan and coached and counseled, but there comes time when it becomes obvious that your employee is either unwilling to or incapable of performing the essential job functions.  

It’s a hard decision to come to as all of would like to see our subordinates succeed and when one fails, it is a failure, of sorts, for you and your whole team. There are a few steps you can take, though to make it easiest on yourself and the employee you are separating.

 

No Surprises

If you have done everything right, it will not come as a surprise to your employee that the time has come for them to move on.  They may be sad, but they will not stare at you with a look of incredulousness.  If you believe your employee will be surprised, revisit your process, because you have not done all you should have.

Focus on Behavior, not the Person

This really does make a difference.  It is not the person you cannot tolerate (or if it is the person, then pretend that it is not) it is the behavior.  Acknowledge that not everyone is good at everything and that there may be positions where this person would be much better suited.

Be unapologetically Truthful

Be matter of fact when discussing their shortcomings.  Outline the reasons you have come to the decision to terminate their employment.  You don’t need to be sorry about it or apologize for your decision.  Although it may seem kind to leave the door open for them to appeal your decision, it really is not.

Offer to Help

Not that someone being terminated will usually take you up on this, but it’s a nice gesture.  You can offer to review a resume, assure them that only dates of employment and title of last position will be released.  Assure them that you will not contest unemployment, assuming you will not.

Don’t give References

Resist the urge to offer or agree to give them a reference.  Although it sounds odd, I have had more people than not ask for references, verbal or written, after hearing they will be terminated.  I usually tell them that they would not want the reference I would give.
Carried out correctly, although never pleasant, a termination does not have to be unduly uncomfortable.  I have gotten plenty of hugs and even a few Christmas cards from employees I have had to terminate.  It can be done with dignity and respect.

The Performance Improvement Process

sherrie suski-employee performanceThere are many philosophies and lines of thought on carrying out a performance improvement process with your employees. Probably as many as there are in terms of how to discipline your kids and, honestly, there is probably some overlap.  The root of a consistent, equitable, defensible performance improvement process is communication and documentation.

Document and communicate what you are trying to achieve

It starts with ensuring that you know what behavior and goals you are trying to achieve and that those are DOCUMENTED and then COMMUNICATED to your employees.  It would surprise you to know how often I hear that Susie is not following the rules or that Tom is not meeting his goals, when, in fact, the manager has never sat down with Susie or Tom to explain the rules to them, help them to understand the goals and ask if they have any questions.

Catch infractions early

The next part that always catches me off guard is when the manager comes into my office and is ready to terminate someone that day.  All of these offenses and infractions have been building up for months and now the manager simply cannot go another minute with this employee.  My first question is always “Have you COMMUNICATED these issues to the employee and DOCUMENTED them in writing.  Nine times out of 10, the answer is “no”.  Conflict is uncomfortable, but a necessary part of managerial life and especially necessary in a performance improvement process.  It doesn’t have to be exceptionally unpleasant or result in a screaming match; in fact it can be very matter of fact and held in a normal tone of voice.  If your employee is not doing what you need them to do, you have to let them know and the sooner the better.  Do yourself a favor and get into the habit of documenting your conversations so you will have notes to look back on.

Stay consistent

Most performance improvement processes consist of some combination of friendly reminders, verbal warnings, first written warnings, final or second written warning and terminations.  Exactly what your process is, is less important than two points 1) that you fully communicate the policy and 2) that you remain consistent.  Inconsistent application of your policy is the easiest way to lose in front of the EEOC or in litigation.  You may not mean to be discriminatory, but if you are not consistent, you run the risk of treating a certain protected class unfairly.

Follow up

Lastly, follow up. Similar to the first time you tell your child to pick up their clothes, unless you have the world’s most remarkable child, it isn’t going to happen the first time you ask and remain consistent for the rest of their life.  Just because you ask your employee to change their behavior, it is going to be necessary for you to remind them.  Compliment them if they are improving and bring to their attention when they start to backslide.

Performance Improvement is all about helping your employees to succeed and become valued members of your team!

Delivering an Effective Performance Appraisal

Sherrie Suski performance appraisalsSo, what you may have thought was the hard part of a Performance Appraisal and Merit Increase process is behind you.  You have written the appraisal for each of your employees and thoroughly thought about and distributed the merit increase amounts and any warranted market adjustments and promotions.  As much as you may want to just ignore this next step or to send your subordinate an appraisal by e-mail, resist that urge.  This is actually the MOST important part of the process. Below are some guidelines to help you deliver the most effective performance appraisals:

  • DO include examples and specific information under each assessment category
    • This will make it easier to stay on track and discuss all the pertinent points
  • DON’T use the canned verbiage- even if it is easy
    • It won’t effectively deliver your points and your subordinates will know that you did not take the time necessary to really think about them and their accomplishments
  • DO take the time necessary to do a thoughtful job on each appraisal
  • DO review each subordinates’ accomplishments
    • not just those that have occurred in the last quarter, but throughout the year.
  • Don’t rate everyone a 5 or even a 3 ( on a 1-5 rating scale).
    • It’s always easier to deliver good news than bad, but take your responsibility as a manager seriously and rate your employees realistically.
    • If you do need to rate someone a 1 or a 2- have specific examples ready to point to as the reason why you feel they are not performing adequately.
  • DO provide a copy to your subordinate and let them review it prior to meeting to discuss
    • This allows them time to digest and process your comments
  • DO leave time for questions and open discussion.
  • DO schedule uninterrupted time, usually an hour, for the discussion with your subordinate.
  • DO provide a summary at the end of the review that pulls all of the components together
  • Do talk about growth opportunities for next year and what you would like your subordinate to achieve, as well as goals they may have for themselves.

Done correctly, the performance appraisal discussion can open the door for better year round communication between you and your team!