HR

control freakout

Times of great change (now), times of uncertainty (now), and times when yesterday’s formula for success is tomorrow’s expressway to failure (now) cause us humans to feel out of control, insecure, and stressed. It’s hard to know what to do next or move forward with certainty in a world where there aren’t templates and formulas; where you can’t get to where you want to go by just checking the boxes along the way; where the new maps haven’t been created yet.

Disruption is what is. The music, book publishing, and movie industries have changed in ways barely imaginable less than five years ago. Stable, conservative, aeon old industries with long histories are being taken to their foundations, blown up, and rebuilt in amazing ways – even if the practitioners don’t realize it yet. My humble, supersecret prediction is that the industries that have changed the least in the last 50 years will change the most in the next five. The FutureNow is here.

When your business is caught in the maelstrom of change you can choose one of three paths: 1) focus on what you can control; 2) focus on what you can influence; or 3) become the disruptor that creates the change others have to deal with.

The third path is really hard to do because there is a very, very fine line between being the company that goes against the grain and changes the industry and the company that goes against the grain and becomes irrelevant. I really want to focus on the first two choices.

In the past, industries drove change and the pace of change. Now, the ability to access and transmit information faster and faster and cheaper and cheaper means technology, customer demands, and off the radar upstarts are fueling change. There is less and less that we can actually control and more and more we can only influence. I assume it’s like sailing – we can’t control the waves or the wind, only anticipate and ride them. In fact, the more we try to control, the more out of control we get. Paradoxically, the more we go with the flow and focus on influence, the more control we actually have.

But us humans really like to feel in control. We like the feeling of security and certainty that control brings. If we can control it, we can prevent it from harming us. So, in a time of change (read as: time of FEAR) it’s tempting to concentrate on the unimportant things we can control instead of the big, important, and uncertain things we can only influence. Caught in the storm of change we seem to focus on polishing the ship’s brass and mopping the deck rather than anticipating the wind and the waves. Cleaning the ship is completely within our control and makes us feel successful right now, but the ship is adrift and about to sink. The painful paradox is that the more out of control we feel, the more we often try to control, which means we focus more and more on things that matter less and less. It’s an ugly downward spiral

Here are a  few simple questions to help determine whether your company is trying its hardest to influence a new path through the storm or headed for the rocks with the cleanest ship around:

Are you spending your time on principles and experimentation or policy and tradition?

Are you most concerned with finding ways to delight customers or ways to minimize change and disruption?

Are your most passionate and creative people at the helm, relishing the challenge or are they preparing their life rafts while you hand out mops and tins of polish?

There are no guarantees to success and every path is uncertain, but there are no awards for having the cleanest ship at the bottom of the ocean.

Your thoughts?

 

what happens to your business…?

There’s a lot of freakout happening right now in the business world. Between a lumbering, staggering economy, businesses getting caught with their hands in the cookie jar (Starbucks UK is getting a bit of press, but they aren’t alone), and new regulations and laws (Obamacare, anyone?) it feels like myopically short-sighted decisions are becoming a leadership trend.

Blame the economy, government, competition, etc. for poor business results and force employees to bear the brunt of it. Freeze wages, cut benefits, pare staffing to the minimum and then trim it a bit more. View all employees and all positions as having the same interchangeable value. Treat the cost of employees as an offensive, if necessary, evil. Assume that changing variables on the spreadsheet will not affect any other variable (cutting wages couldn’t affect profit via poor customer service or heavy turnover, could it?)

It’s a complicated world and I don’t pretend to have solutions. I do have one question though:

What happens to your business when you don’t take care of the people who take care of your business?

flashback friday: why HR rocks

I can be quite critical of HR, but it’s only because I really like HR. I see what it can be and get frustrated when it’s not. HR on a good day contributes heavily to great business, to competitive advantage, to a workplace where people can perform at their best. HR is not why the company exists, but it enables the company to do what it does best. Good HR moves things forward; bad HR gets in the way.

I have a personal mission to help people be at their best – that’s why I’m in HR. But why should you be in HR? Why should anyone choose HR as a career? Hmmmm, good question. Some thoughts:

If you have both people and business skills you can be a superstar. HR needs people who can understand, translate, and communicate between the impersonal numbers side of business and the intensely personal human side. Even the coldest, sterilest, most numbers driven work gets done through humans with all their squishy, emotional, irrationality. Understand and communicate to both and you’re a hero.

Influence the entire organization. HR plays a large role in developing the culture (and is also a reflection of the culture that’s been created). It’s pretty cool to help shape a company.

Know what’s going on. IF (big if) you can keep your mouth shut and keep things confidential, you will learn far more than you ever wanted to know about your co-workers and all the scandals kept on the downlow.

Get a big picture view. Even if you don’t want to stay in HR forever, a couple of years will give you a very big picture view of how the organization fits together, who does what, how information flows, and who the real power players are. That’s invaluable info for any rising leader.

Gain exposure. HR is one of the few departments that actively interacts with leaders in every other area. Even the admins in HR have more exposure to leadership than the high potentials in more isolated areas. The exposure and networking can be a huge advantage (just avoid making enemies).

Food. There is always food in HR. My six year old son told me that he wanted a job just like mine.  In moments like this I’ve learned to ask “why?” before getting all misty eyed. He said, “Because you always get to have cake.”

Party central. HR often bristles at the idea of being the ones who have to organize the company picnics and Christmas parties. Yes, if that’s all you’re being asked to do by senior leadership then you’re in a very marginal HR department. However, HR really is in position and generally has the people skills to throw great parties. What better way to reach people and influence the culture? If the HR department is already supporting competitive advantage and helping the business kick capitalist booty why not lead the charge to celebrate it? (Do you really want accounting heading up the next party?)

Helping others. Everything else aside, it’s pretty cool to be in a position to help others. People tend to come to HR when their lives are at their best and worst moments and without getting all clichéd and sappy, it is a tremendous privilege to be able to celebrate with them or help them with their transition.

HR isn’t always fun, but it’s a place I enjoy. That’s why I want it to be the field I know it can be.

[This was originally posted on December 11, 2011. It seemed like a good day to revisit it.]

 

flashback friday: good enough isn’t, but great enough is

[This was originally posted on October 14, 2011]

I’m a big believer in the concept that good enough isn’t. Hitting the bare minimums isn’t success, it’s temporary survival. Sadly, most companies seem to struggle to reach even the level of good enough. They shoot for good enough customer service, good enough prices, good enough hiring policies, good enough management development, good enough training, etc. The problem is that, at the very theoretical best, it will only be good enough. In the real world, a bunch of attempts at good enough added together tends to equal not good enough. Aiming for “good enough” seems to get us to “doesn’t completely suck”.

In fact, I’d like to propose a real world rating scale. Feel free to use it for performance appraisals, evaluating processes, due diligence for investments, whatever you need a rating scale for. Here it is:

  1. Sucks
  2. Doesn’t completely suck
  3. Good enough
  4. Great enough
  5. Phenomenal, but exceeds the point of diminishing returns
On this scale, there is only one rating worth hitting: “Great enough.” Although “Phenomenal” sounds like a good thing, there comes a point in any quality improvement where the costs/effort/resources required for additional improvement become an exponential curve while improvements move along a very flat linear curve. In other words, you’re spending tons of resources for ounces of improvement. This is perfectionism getting in it’s own way.
But, “great enough”… Getting to great enough requires a completely different set of questions, decisions, actions than it takes to be merely good enough. Consider this: getting your life to good enough is easy. You’re probably already there. But what would having a great enough life look like and what would it take to get it there?
How freakin’ cool would it be to work for a company that focused on doing everything great enough? How incredible would it be to know that all your efforts at work were consistently great enough? Who wouldn’t sing the praises of a company that only hired people who were great enough?
I’ll give you tonight to mull it over. Tomorrow morning, what are you going to do to start kicking butt and creating great enough relationships with your friends and family? What are you going to do to create great enough health? To start getting your finances into great enough shape? Come Monday morning, what are you going to do to take your team to great enough? If you’re in HR, what are you going to do to create great enough selection and onboarding processes? To help the managers you serve to become great enough leaders? To create a great enough company culture?
Great enough. Love it!

 

feelings matter: how do you feel about HR?

Yesterday, I wrote: How the humans who are your (internal or external) customers FEEL about your products and services is much, much more important than what they THINK. [This is the single most important line I have written in this blog ever. Period. Think about it. Internalize it. Apply it to your job.]

I wrote it, but didn’t invent it. Much smarter folk than I have demonstrated this time and again, but it’s pretty easy to see in so many places. Advertisers provide just enough facts to let us think we’re being rational, but the images and ad copy focus on generating feelings. They scream: this product will make you feel sexy, young, in control, free, knowledgeable, successful, organized, powerful, fashionable, desirable, loved, safe, etc. etc. For a fun assignment, compare the feelings generated by car ads on ESPN or Spike with those on the Hallmark Channel.

Most recently, I saw this think vs feel distinction come up an Alexander Kjerulf’s “Creating Happiness at Work” presentation from Meaning 2012. It’s well worth watching and ties into employee engagement and the difference between how we feel about our jobs and how we think about our jobs.

All of this raises a great question: how do people feel about HR? When employees and managers think about their HR department, what is their gut level feeling? Anxiety? Dread? Or do they feel safe, secure, excited, supported? Is going to HR a dreadful walk to the principal’s office or an exciting visit to a place where stuff gets done and problems get solved? Sure, it depends on why you’re going to HR, so let me turn it around a little. When someone from HR is walking through the building do people’s stomachs tighten up or are they happy to see them?

How do people feel about the products and services your HR team provides? Resentful? Frustrated? Thankful? Confident? Uneasy? Awkward? Joyful? Empowered? Whether we pay attention to it or not, people have an emotional connection to their jobs, co-workers, boss, and even their HR department. That feeling might be negative, neutral, or positive.

Feelings matter. We don’t spend extra money, don’t create forums, and don’t promote products we feel negative or neutral about. When looking at customer satisfaction there is a huge gap between “it meets my needs” and “I’m so passionate about this product that I insist all my friends try it and spend my valuable spare time connecting with others who use this product”. That’s the gap between thinking and feeling.

So, back to HR. How do people feel about your HR department? What is their gut-level connection? If it was outsourced tomorrow, would employees even notice? Would they sing, “Ding dong, the witch is dead” and throw a massive celebration, or would they fight to keep it?

HR connects with it’s customers over money, family, security, future. All of those are powerful, powerful emotional trigger points. How can HR build stronger positive emotional connections to our customers? How can we not just meet the needs, but delight those we serve?

the hidden in plain sight competitive advantage

Business is conducted through humans, by humans, for humans. Humans invent, create, produce, market, sell goods and services to other humans. Business success is determined by how well the humans at the company meet the needs of the humans who are buying compared to the other options available.

Oversimplified, but reasonable enough. If I need a new mountain bike, the bicycle company that best meets my needs for price vs quality vs value vs features vs warranty vs availability vs etc is the one that I will give money to. If there are enough people with the same needs then that business will do better than their competition. Simple enough, no?

Well, no.

How the humans who are your (internal or external) customers FEEL about your products and services is much, much more important than what they THINK. [This is the single most significant line I have written in this blog ever. Period. Think about it. Internalize it. Apply it to your job.]

Us humans are emotional, illogical, and irrational. We are pleasure seeking pain avoiders. We almost always act in what we believe is our best interest or will at least what will make us happy in the moment. We almost always act in ways that support our self-identity and often put who we think we are ahead of our long-term best interests. Us humans are individualistic and driven by group dynamics. We want to stand out by fitting in and be just as unique as everyone else. Status matters – a lot – and we put considerable effort into creating and maintaining our position in our world. We cling to ritual and tradition more than progress and reason. We fear change yet get bored easily and constantly seek new and different. In short, we are a gloriously gooey, sloppy, contradictory, confusing, paradox.

Business gets done through, by, and for humans. If that’s true, then our skills for understanding the driving psychology of ourselves and others, communicating our needs and concerns while understanding and empathizing with those of  others, and leading and influencing  others (and ourselves) are paramount to long-term success. Those ill named “soft” skills are foundational to business success, individual success, and human success, yet are some of the least appreciated, studied, or taught skills.

If we were consistently rational and logical, understanding ourselves and others would be PRIORITY #1 for every individual, community, organization, and business. It’s not. There is a competitive advantage to be found wherever there is a gap between what’s available and what’s needed.

It’s worth repeating: How the humans who are your (internal or external) customers FEEL about your products and services is much, much more important than what they THINK.

Use that information to your advantage.

 

make it easy

Doug Shaw over at Stop Doing Dumb Things to Customers ran a post yesterday called “A Little Enthusiasm…” about his frustrations with businesses that didn’t seem to care when he was trying to pay them. It clearly struck a nerve with folks and generated plenty of comments as people joined in and shared similar frustrations.

It’s a shrinking world and the consumer can buy from almost anywhere. I discussed this back in February after purchasing mountain bike parts from a shop in the UK.

We all know the world is getting smaller, so it’s interesting how many businesses haven’t gotten the message yet. My wife and I both purchased cars in the past couple of months and had very different experiences. The dealer I bought from did ok, but was still stuck in the mindset that their cars are somehow special. I live within three hours of two of the biggest metropolitan areas in the US – no car is so unique that I can’t find it sitting on a lot relatively close or have it ordered in. When my wife was looking, they irritated her so much she kept right on looking.

My wife eventually purchased from a small town car dealer about an hour away. Here’s what they did right: they were patient as she test drove at least six cars, they were low pressure, they called back when they said they would, and when she told them that it would be several days before she could return to complete the deal they brought the car to her with all the correct paperwork including a generous trade-in on her old car made sight unseen. She signed some papers, swapped cars, and was on with her life in less than 30 minutes. They made the deal happen by making it as simple as possible for her to buy.

But wait, there’s more… My wife’s car is the same brand as mine. Guess where my car’s getting serviced from now on? So, my dealer screwed up selling to a RETURN customer, lost out on a SECOND sale, and lost out on all FUTURE maintenance/service business (where the profit margins are much higher than in car sales).

Businesses scream and yell for innovation, yet ignore that some of the most innovative products and services simply make it easy to buy and make it easy to pay. Strive for the example set by Amazon.com. Intuitive site, one click purchasing. It doesn’t get easier.

HR spin

How easy is it for HR’s customers to complete transactions? How simple and painless is it to submit an application? How easy is it for hiring managers to understand the process and have all necessary paperwork in hand? Do document instructions make sense? Etc. etc. etc.

If your HR department’s customers had to pay money for HR’s products and services, would they? Could they? Would your HR department be the vendor of choice or would your customers get frustrated and go elsewhere?

the future-now of work: a review of “Culture Shock: A Handbook for 21st Century Business”

This book is Will McInnes’ (@willmcinnes) invitation to make a difference in your organization and change the world. He extends a hand and asks you to join him in considering what business could be, should be, and – in several cases – already is. This is the future-now of business and work.

I am fascinated with the humanness of business. I like business and I believe that business is people and people are business. Humans – and humans alone – create business results. It seems so obvious, but gets overlooked, ignored, and dismissed in the forever pursuit of the short-term shortcut. We remove humanness thinking it will create greater results. Instead it creates disconnects between people and their contributions; it chokes off engagement. What if work had purpose and meaning? What if it were different? That’s this book.

Democracy

Imagine if your business was driven by a “purpose of significance”. What would work look like if your business wanted to do great things beyond cut its own throat to make a quick dollar for shareholders? It works for Patagonia, Noma, Grameen, and of course Apple and Google. Purpose sounds all gooey new agey soft but it is simply the “why” your business exists.

What if your organization was more democratic and got more input from more of the right people? What if we could (finally!) ditch or at least minimize the hierarchy and move decisions from a narrow few to a broader many? Interestingly, this is a no brainer method for running a country, yet freakishly terrifying to many as a way to run a business. So much of this “new” way of doing business that Will describes underscores the idea that we have to give up control to get influence because, ultimately, influence has far greater reach and power than control. If we move past the idea that we have to control and create every good idea, we are able to tap into a much broader and deeper pool of ideas, insight, and perspective.

Progressive Business

If it’s true that “the customer experience will never exceed the employee experience” (and I believe it is) then the most competitively rational actions a business could take would be to radically bolster the employee experience. Yet, what tends to happen? Businesses strive to gain an advantage by cutting, narrowing, dehumanizing. It’s as though they are saying, “We’ll gain new business and create customer loyalty by doing everything in our power to ensure that they are served by the most unsupported, undertrained, worried, demotivated, disconnected, disengaged, and uncaring workforce we can possibly create.” Lunacy.

What if – play along with me here – we did the opposite and created a workforce that was supported, well trained, secure, fired up, passionate, and cared about creating great results for their customers, co-workers, and company? Nah, that’s too crazy. Or is it?

Having Fun With Humanness

Zappos is a tremendously celebrated and studied company. They are at the heart of a huge number of articles and case studies of how they do business differently and get different (better!) results. Yet for all their fame, glory, notoriety, and profits, how many businesses have really tried to emulate them? It’s like we all cheer them and then say, “But, it’ll never work at my company.”

But what if it could? The point isn’t to be just like Zappos, Apple, etc., etc.; the point is to find ways to celebrate and inspire humanness, personality, meaning, fun, authenticity, and transparency. How much time and energy get wasted keeping up corporate appearances?

Will shares some stories and principles from Zappos, W. L. Gore, and his own company, NixonMcInnes. Some of my favorites are:

  • Zappos’ Culture Book, which is “a ‘collage of unedited submissions from employees’, that gives every employee the opportunity to say what they feel and think about the company.” That level of transparency takes massive courage, but what a great tool for building and celebrating people and culture.
  • Zappos’ Reply-All Hat. This is basically a dunce hat for those who accidently hit “reply all” when responding to an email. We’ve all done it. It’s embarrassing. Why not have some fun with it?
  • W. L. Gore’s small facilities. They discovered early on that when a facility gets above 200 – 250 people, the communication, relationships, innovation, engagement, etc. suffers. To counter this, they keep their plant size small and will build a new facility whenever their current facilities are getting too many people. What? Does this mean that relationships and people are important to business success? Is that business blasphemy or just a pretty basic understanding of the intersection of people and work?
  • NixonMcInnes’ Church of Fail. This is a ritual designed to acknowledge mistakes, bring them out in the open, and learn from them. It also helps people get comfortable with the idea of failure (a tip: there is no innovation without failure) and serves as a reminder that everyone in the company has setbacks. Rather than covering them up, drag them out and let everyone benefit from them.
  • NixonMcInnes’ Happy Buckets! I love this idea for its simplicity. They measure employee happiness every day using three buckets and tennis balls (even your budget can afford this). At the start of the day there is a full bucket of balls and empty Happy and Unhappy buckets. On the way out of the office at the end of the day, employees grab a ball and put in in the bucket that best sums up their day. The results are tracked and used as reference point for discussions. Again, a simple act that creates greater transparency and provides information for leading and managing.

So What’s it Going to Take?

Better leadership, yo. That’s what it’s going to take. Your people won’t be able to change business if you aren’t making it ok by setting the example and leading the charge.

How authentic and transparent are you willing to be as a leader? How open are you to the feedback that will help you develop yourself and others?

Are you willing to do a 360-degree survey to get feedback from those around you?(Will shows you how he does it for almost no cost. Use the money you save to buy some buckets and tennis balls).

Are you willing to share your setbacks and failures? Will you be first in line at the Church of Fail?

Are you willing to be emotionally congruent and share how you are feeling? (Gasp! A leader with emotions!)

Are you willing to use new/social technology to improve your results by gaining information and acting and deciding closer to real time, without the lags and delays that happen when leadership is isolated from the front line?

Organizational Openness

This is a big subject in the future-now of work and it is simply continuing the trend of authenticity and transparency; of giving up control to gain greater influence (and results). Some quick examples:

Culture: do people have access to almost all information (e.g., financial data), is there honest and direct communication and collaboration, are silos and info hoarding unheard of?

Work Environment: are workspaces set up to allow easy collaboration, are people allowed to choose the technology best for their job (or are they stuck with one option that works marginally well for everyone), is IT a gate keeper or a work enabler?

Innovation: do all great ideas come from just a few people or are ideas crowdsourced from employees, customers, and maybe even competitors?

Marketing & Communication: Can your organization come to grips with the idea that marketing is now two-way and they can no longer control – only influence – the message? Would your company be willing to post an unedited Twitter/Facebook feed of ALL comments made about the company on the front page of the website?

Change Velocity

How fast is change happening? [answer: very, very, exponentially very fast].

How fast can your company change? A better question: how fast can you change? Does it matter if there is an ever-widening gap between you, the company, and your customers/the world. [answer: uh, yeah, it does. A lot.]

At a time when continued success is dependent on your ability to effectively change, I’m reminded of the old quip: some people make things happen, some people watch things happen, and some people ask, “What happened?”

Will describes eight areas that affect your company’s change velocity and what you can do to pick up the pace in each area. This section will only be important to you if you ever do any planning, hiring/firing, rewards, need to deal with structures/processes/systems, or want to create attitudes that support change…

Anything Else?

Just sections on digital strategies and fair finances. I won’t go into detail here because I’m sure your org already practices open book accounting, fair (and open) rewards,  collective budgeting, employee ownership, etc. etc. Yawn, right? All old hat stuff that everyone does…

Oh wait, you mean salaries aren’t known in your company? Financials aren’t published (and your employees couldn’t read them even if they were)? Hmmm…

Finally…

My conclusion: I loved it and you should read it. But then, I’m biased. I was already sold on some of the concepts Will presents. He does a great job fleshing them out and expanding them and introducing me to companies where the ideas are actually in use. It’s a well written book with plenty of case studies and examples from current organizations, including his own.

This book inspires me, makes me a little relieved to find others thinking this way, and also torques me off to no end that this is the future-now of business and the world hasn’t arrived yet. The promise is there; the reality is slower in coming. But that’s actually good news – the businesses that make the shift to being human, authentic, and transparent will (in my less than humble opinion) gain significant advantages. BUT, in some ways these advantages can’t/won’t be measured directly with our current measures (where does “humanness” show up on the balance sheet?) This isn’t bad, but it is important to be aware of: if we’re shifting how we think about work and business we also need to shift how we are measuring and evaluating it.

All of this involves a big leap of faith. Consider the knights in shining armor: they were very well protected from swords and arrows. The weight of the armor slowed them down, but they were heavily defended from enemies. Then gunpowder came along and suddenly all that armor was a hindrance. The competitive advantage that had existed on the battlefield for years and years and years was suddenly a sitting-duck-route-to-failure. The rules for success changed completely and it was actually safer to be significantly less protected but much, much more nimble by wearing no armor. It’s obvious in retrospect, but I suspect that was still a tough decision to take the leap, give up the known safety, and shed the protection, despite the “knowledge” that it might be better to not have it.

How many businesses are at that decision chasm today? Being big, armored, controlled, and locked down – protected by layers of armor – was crucial to success not that long ago. The world has now changed and that protection now looks dangerous, counterproductive, and useless against the future-now of business.

Carnival of HR – hosted by Doug Shaw

It is Carnival of HR time again, this time hosted by Doug Shaw over at Stop Doing Dumb Things to Customers. This time, the categories are:

1. Fireworks of HR

2. Conference Tales

3. Other Crap You Can’t Be Bothered to Catagorise

So head on over and see what all the bloggers are writing about. Great stuff from David Goddin, Robin Schooling, Ben Eubanks, Steve Browne, me (ahem), and many others.