Tech and Analytics Set Top HR Departments Apart

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According to recent research from The Hackett Group, an IT service management firm, “World-class HR organizations” achieve more than other HR operations by spending 26% less, relying on 32% fewer staff and embracing digital transformation.  The adoption of digital technology could help HR departments reach world-class status in fewer than five years and see progress in less than two years. To be honest, HR departments who fully embrace the use of tech and analytics can see progress in as little as 6 months.  

The study went on to find that top tier HR organizations are better at developing people and moving them into new roles; two-thirds of open managerial positions at these organizations were filled by internal candidates. The Hackett Group said world-class HR departments contain an estimated 33% fewer transactional employees and 34% fewer staff dedicated to employee lifecycle activities.  The old rule of thumb of having 1 HR person per 100 employees is falling by the wayside with the introduction of technology. Technology not only makes the bottom line look better, but offers opportunities to employees, previously solely devoted to administrative work, an option to focus on more meaningful activities and the opportunity for real growth and career path.

Among the study’s takeaways, authors found that world-class organizations use digital technology to improve the customer experience, develop analytics capabilities, transfer resources from low- to high-value initiatives, and provide expertise and insights to business leaders. Use cases include recruiting, compliance, staffing services and outsourcing.  

Imagine:

  • Being able to predict turnover down to the individual level
  • Having zero errors in your administration because all of it is automated
  • Guiding each of your employees through their own personal benefit enrollment process focusing on only the items important to them
  • Creating a flawless candidate experience where each candidate gets a “red carpet” treatment

World-class HR leaders understand the need to provide other business leaders with HR data and insight affecting their individual operations. This technology-based capability demonstrates HR executives’ knowledge of the business and financial sides of an organization, which can seat them alongside other C-suite executives and shore up employee trust in HR program.  Top HR departments around the globe are moving to not only use but embrace these tools. Have you started?

The Candidate Experience

Every engaging employee experience actually starts with an engaging candidate experience.  Candidates start their experience with your company the first time they hear or see something that reflects your brand.  It could be an ad for employment, but it could also be a press release, a piece of gossip, a Google or Glassdoor review or a group of employees standing in front of your building.  Every interaction with your brand is an opportunity to delight or to disappoint.

One of the best ways to figure out how to be on the right side of that equation is to put yourself in their shoes. What would you want if you were a potential candidate?  You might want to work for a company that is stable and/or one that has good growth potential.  Maybe one where the application process is easy. When you are writing your ads, take advantage of the job profile that can be created using one of the many behavioral assessment tools.  

Employment Ads

I personally find Predictive Index to do an admirable job.  Each ad could be written to include not just the job responsibilities but using words that capture the essence of your company and this particular role.  

Instead of using:

Leader sought to manage the Accounting team focusing on deliverables

Use:

Dynamic leader sought to ramp up and manage Accounting team focusing on superior level of performance

Or Use:

Detailed oriented manager sought to manage Accounting team of professionals, ensuring the accuracy of all journal entries and reporting

These three sentences say basically the same thing but would attract very different types of candidates.  You want your candidates to feel they fit long before they ever walk in the door.

 

Ease of Application Process

Make sure your application process is easy. Applicants should be able to apply using their mobile device so it is imperative that all of your systems are created with responsive design in mind.  Your ATS should be programmed for multiple touchpoints with a candidate to ensure they know you received your resume and, ideally, although few systems are programmed to do this, allow them a self serve option to find out where they are in the process.  

 

A Personal Touch

Although technology saves all of us countless hours of times, a personal touch is still appreciated in this highly technological world.  Never allow more than 24 – 48 hours to pass before you have contacted a candidate to provide follow up feedback from an in-house interview. Even if the response is negative, candidates appreciate hearing honest feedback on what they can improve on and why their qualifications did not land them the position.

There are many ways to improve your candidates’ experience and be rewarded with the right candidates at the right time to scale your organization.

Workplace Anxiety

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The numbers of people who are affected by anxiety are on the rise.  Recent reports estimate that 40 million people are affected by anxiety, roughly 18 percent of the nation’s population. 

While it is hard to tell whether this rise is an actual increase in those affected by anxiety or simply an increase in those willing to report it, one thing is for sure, uncontrolled anxiety impacts a person’s quality of life both at home and at work.  

 

Strategies for coping with Anxiety

  • Ensure that you have a strong support system both at home and at work.  Spending time with family and friends is one of the best ways to ease the stress of the day.  People who develop strong emotional connections at work have built in safety nets for diffusing some of that stress before it becomes harmful.
  • Exercise before, during or after work.  Everyone has a time when they feel their best.  Some may prefer to get up early and for others it is the perfect release after the end of a long day.  Some are lucky enough to have company or company sponsored gyms that they can take advantage of during the workday
  • Take a different perspective, remembering that not everything is urgent. Learning to laugh a little at how busy things can get, automatically eases the stress level.  
  • Try looking at things a different way the next time you feel stressed.  For example: Instead of rolling your eyes when yet one more person walks into your office, think of it as how many opportunities you have to impact someone’s life in a positive way.  The more the better!
  • Do something to lighten your own mood.  Maybe it’s wearing a funny saying under your work shirt or leaving yourself inspirational messages.  Whatever breaks to constant stream of stress, even for a few minutes, will be helpful
  • Keep a journal of all the crazy, wacky, unbelievable things that happen.  Then, after a particularly stressful day, you will be able to review the past happenings and realize that today was no worse than some of the past days have been.  They passed and you got through them.
  • Fake it until you make it.  Pretend that you’re not anxious or bothered by what happens at work. Because of something known as cognitive dissonance, the mind can actually adapt to the way you act. If you act like a great, confident, happy employee every day even when you’re genuinely not, you can start to feel the very same positive emotions that you’re pretending to experience, and ultimately reduce your anxiety that way.

 

The way you handle the anxiety is not as important as finding the approach that works best for you.  Don’t be reluctant to reach out for professional help if you have tried numerous approached and nothing seems to be working.  Left untreated, anxiety has a negative impact on your quality of life and you deserve only the best!

 

Human Resources Outsourcing

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With more and more focus on driving the business, operating strategically and automating the mundane and repetitive processes that make up the daily existence of many HR departments, the focus has shifted to what, if anything, can be outsourced.  Outsourcing, contemplated and implemented correctly, can be a win win decision from both a cost and efficiency standpoint.  This type of arrangement is not the PEO “Professional Employer Organization” where you outsource all of your employees to another organization in the hopes of saving material sums of money while still being able to deliver exceptional customer service. In my opinion, PEO’s are a poor choice for almost every organization. Here we will explore the primary reasons that HR organizations consider outsourcing.

In a SHRM survey the top reason that companies chose to outsource HR functions are as follows

1) 6% of companies outsource to save money- someone who does just one thing but does it very well is often more efficient.

2)  23% of companies outsource to focus on strategy – spreading yourself too thin with all of the administrative tasks doesn’t leave a lot of time for planning and strategy.

3)  22% of companies outsource to improve compliance – it is increasingly challenging to stay in compliance and increasingly risky to not meet requirements.

4)  18% of companies outsource to improve accuracy – if you’ve got too much on your plate accuracy may suffer.

5)  18% of companies outsource due to a lack of experience in-house – knowing your weaknesses is as important as knowing your strengths, so handing off a task you know you can’t handle properly to someone with expertise is a great business decision.

6)  18% of companies outsource to take advantage of technological advances – with big data worth tapping into, but costly technology needed to really delve into strategic analytics, outsourcing can offer solutions without a significant investment.

 

Almost all HR organizations currently outsource some aspect of their responsibilities, but it has become so common that many don’t even think of it as outsourcing.  Below are some of the functions most typically outsourced:

  1. Temporary Staffing- although the mark ups can be high, sourcing and staffing temps is something many take off their plates
  2. Background checks
  3. Pre-employment Physicals
  4. Payroll 
  5. Providing mandatory training like Sexual Harassment 
  6. Benefits Administration

There are significant benefits to outsourcing if you do your homework upfront, identify your potential cost savings and thoroughly vet your vendors.

 

Hierarchy versus holacracy

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Before we delve into whether or not holacracy is right for your organization, how many of us know what holacracy is?  Holacracy is a social technology or system of organizational governance in which authority and decision-making are distributed throughout a holarchy of self-organizing teams rather than being vested in a management hierarchy.  In theory, holacracy empowers people to make meaningful decisions and drive change.

Instead of a traditional management structure where questions must go from the bottom to the top and decisions go in reverse, organizations that adopt holacracy empower agile teams of people to make and implement decisions.

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Self-organization models typically share three characteristics:

Teams are the structure

In holacracy, there are “circles” or many companies simply call them “teams.” Whatever they’re called, these basic components are not, individuals, and not units, departments, or divisions but they are the essential organizational building blocks.  Individual roles are defined and assigned in order to accomplish the work. As in more traditional hierarchical organizations, there may be different teams for different projects or functions like finance, tech, sales. But self-managing enterprises have a lot more of them. After Zappos implemented holacracy, 150 departmental units evolved into over 500 circles.

Teams design and govern themselves

Although self-organizing companies try to avoid the traditional hierarchy, the teams are a part of a larger structure, which they are actually able to shape and refine. Holacratic organizations have everyone sign a constitution—a document outlining the rules by which circles are created, changed, and removed. So the circles not only manage themselves; within those guidelines, they also design and govern themselves. The constitution doesn’t dictate exactly how people should do their tasks. It explains in a broad way how circles should be created and operate: how they should assign roles, what boundaries the roles should have, and how the circles should interact with one another. 

Leadership is constantly changing

In self-managed organizations, leadership is distributed among roles, not individual people.  People usually hold multiple roles, on multiple teams. Leadership responsibilities continually change as the work changes and as teams create and define new roles. Technology is essential for keeping all these changes straight. The information is accessible to anyone in the organization and each individual’s commitments are visible to everybody at the company. Supposedly, transparency enables cross-team integration.

Although it is becoming a buzz word, holacracy is not being adopted at a rapid pace. The organizations who have tried to adopt it run into a myriad of issues, including increased turnover and decreased productivity given the endless meetings.  While some look at it with interest, others simply say it does not work.  Next week we will delve into some of the issues that have arisen when organizations have tried to implement holacracy.