Matching the Right People to the Right Jobs

Your workforce's skills change over time, and so does your business. Getting the right people into the right jobs is key to your company's growth Who's on the bus? To management guru and best-selling author Jim Collins, this is the most important question business owners need to ask themselves. The bus is your company, and getting the right people is crucial to success—more important, even, than your strategy.

So how would you answer? And what do you do if you've got the wrong people on the bus? Or the right people doing the wrong things? Kevin Rees, president of New York-based translation company LanguageWorks, had a great team on his bus—until he didn't. Rees started LanguageWorks in 1993 by hiring friends and acquaintances. "I was looking for anyone I could entice to stick with me," he says. "I was a first-time entrepreneur, had little in the way of credentials, and I was undercapitalized." But as LanguageWorks was growing into a $10 million, 45-person company, Rees worried his staff didn't have the management abilities he was looking for. Between 2001 and 2006, six people from the company's early days were let go or left. Those departures ended a few friendships. Says Rees: "It was incredibly traumatic."

There are a host of reasons a once-solid—or even star—employee may no longer be right for your company. A topflight salesperson who gets promoted to be head of sales might be a lousy manager. A jack-of-all-trades could get restless if asked to focus on one area. And employees who thrive in a startup environment may chafe when asked to follow the rules and procedures of a larger company.

However much you may dread doing so, these issues need to be tackled head on. Cornell University associate professor Christopher Collins, in a study with Bradenton (Fla.)-based human resources firm Gevity, found that managing employees is one of the top three things that keep business owners awake at night. And he says that while many entrepreneurs are visionaries or innovators, they can feel challenged managing talent.

Where Rees ended up—without a big chunk of his startup team—isn't always the best answer. You owe it to your company and your staff to try to find out exactly why a certain employee may not be up to par. Then you've got to decide how much you really want to keep the person and see if his performance problems can be fixed. You may be surprised by how willing employees are to work with you, and how open they'll be about which tasks suit them and which do not. Here are five strategies to get the right people into the right jobs.

TALK IT OUT

When Vickie Pullins and Jackie Frazier founded their Hurricane (W. Va.)-based speech pathology company, LinguaCare Associates, in 1990, they were confident they could work well together. They'd been friends since meeting in college almost 20 years earlier. But as the company grew, they started to feel overwhelmed. It wasn't until 2006 that they brought in S.K. Miller, a coach with Margate (N.J.)-based Collaborative Strategies, for some outside perspective.
Miller asked the partners four questions: What are you good at? What are you not good at? What do you love about your job? What do you really dislike about it? Soon Pullins and Frazier had hired an administrative assistant to pick up the paperwork that was weighing them down. Pullins now focuses on long-term strategy, while Frazier handles the bulk of the personnel and management issues. The two became so much more productive that they decided to extend the analysis to all the employees at their $1.3 million company. With a shortage of speech pathologists nationwide, particularly in West Virginia, Pullins says LinguaCare can ill afford to let a qualified person leave or to allow anyone in the company to be underemployed.

The results of those four simple questions were just as eye-opening the second time around. Kristy Stowers, who was working for LinguaCare in a rehabilitation center, had been consistently unable to hit her target of five hours of patient work a day. After the evaluation, Pullins and Frazier discovered that Stowers was up against some internal problems at that particular rehab center, including too few patients. Yet Stowers thought she had strong organizational skills and an ability to manage big projects.

So when Stowers moved on to the next contract, with a large medical center, Pullins and Frazier had her manage two other workers. Stowers has thrived, even initiating some new screening protocols. "She has become somewhat of a visionary leader," Pullins says. "We are so surprised." Stowers is pleased, too. "This facility is more fast-paced," she says. "I'm always busy and I feel more productive." Pullins says the company now plans to reevaluate the 18-person staff on a regular basis: "We need to ask every couple of years whether we are tapping into our people's gifts and interests."

BRING IN A PRO

Pullins and Frazier did fine by chatting with their employees themselves. But sometimes it takes a third party to lead these conversations, especially if you suspect workers will be reluctant to discuss their own or others' shortcomings with the boss.

Dan Kopman knew he needed help. Kopman is the co-founder and chief executive officer of Saint Louis Brewery in Missouri, which runs two breweries and two restaurants with 90 full-time and 60 part-time workers. Saint Louis' revenues have more than doubled since 2003, to about $8.5 million. But it has also had some growing pains. For about a year, the six workers at the main brewing operation had been complaining about frequent last-minute schedule changes, and some clients were confused about how much lead time was needed for orders. Things were running "fine when we were producing 10,000 barrels a year," says Kopman. But as the company hit the 20,000-barrel mark, "we needed to be more organized."

Part of the problem was that the head of brewery operations, Jim "Otto" Ottolini, had too much to do. "Otto has a degree in French literature, so he's the natural person to be head of engineering," jokes Kopman. But after joining the company in 1992, Ottolini learned quickly, overseeing the construction of the new brewing facility from 2001 to 2003, managing it once it came online and taking a course at the University of Wisconsin at Madison to improve his technical knowledge of beermaking. Kopman had been trying to get Ottolini to delegate more effectively for two years, but it hadn't happened. And Kopman didn't want to install another layer of management.

Last fall, Kopman asked Marvis Meyers, vice-president of training at the nonprofit AAIM Management Assn., of which Kopman is a member, for help. Meyers spent a few days interviewing the brewery employees, including Ottolini. "She allowed people to speak their minds and they felt comfortable talking to her in part because she was from the outside," says Kopman. During those conversations, everyone agreed that Ottolini needed to delegate more, and, unlike Kopman, none of the brewery staff had a problem with establishing another layer of management. They said they wouldn't mind if some from their ranks were promoted to assist Ottolini. Says Ottolini: "Dan involved me in this process. I was a partner in figuring out [what had to change]. I didn't feel like I was being scrutinized, but that our process was being scrutinized."

So Kopman created two new positions, both reporting to Ottolini. One person oversees production planning; the other manages packaging. The brewery team was unanimous in choosing who should be promoted to those jobs. "We didn't want to break up the cohesiveness of the group by creating some rigid structure," Kopman says. "But we found the change didn't bother the group the way we thought it would." And while there are still issues that need to be worked out, Kopman says, "We are producing and shipping more beer with fewer mistakes. I see light at the end of the tunnel."

TAKE A TEST

When an employee issue stems from a clash in work styles, personality tests can help bridge the gap. Rees of LanguageWorks realized early in 2007 that while his right-hand manager, vice-president Christine Muller, was extremely talented, her work performance wasn't all that he wanted. Rees arranged for the two to take an assessment called the Predictive Index. He and Muller spent about 15 minutes taking the test online. They each went through a long list of adjectives—descriptors such as "dynamic," "demanding," and "persevering"—and checked off those that applied to them. A consultant then helped interpret the results. The test showed that Rees often makes decisions even with incomplete information, and that he's perfectly comfortable doing so. Muller, on the other hand, wants clear and concrete directions before acting. That knowledge makes Rees a better manager and Muller a better co-worker. Rees says he gives Muller clearer direction, and that her work is much better and her morale higher as a result. For her part, Muller says, "The way we work together is much more natural. I can read him much better now."

BE A MENTOR

Sometimes it's not the company that changes—it's the industry. Such was the case when Leon "Chip" Marrano III took over the $50 million, 27-person Marson Contracting in Bronx, N.Y., from his father.

Marrano says general contractors such as his used to control all aspects of a job, including the hiring of subcontractors. Now many developers prefer to pay construction firms a straight management fee, then collaborate on everything from design to subcontractor selection. Financial information, once closely guarded by the construction company, is now shared openly with developers. But Marson's chief estimator, Anthony Bochichio, had been with the company since 1960 and was well-schooled in the old ways of doing things, including keeping financial information confidential.

Marrano took advantage of the good relationship he'd built with Bochichio. He let him know that everyone had to change how they operated, and he made it clear he valued Bochichio's experience and wanted him to stay with the company. Then Marrano began bringing Bochichio to preconstruction meetings with architects and developers to familiarize him with the new rules of the game. Together, Marrano and Bochichio would contribute their suggestions for bringing costs down without sacrificing quality. It's worked: Marrano says Bochichio has been "great at adapting." Bochichio says he always had a good relationship with Marrano, but that "things are even better now and more open between us." And Marson found that clients really appreciated Bochichio's expertise, so Bochichio is now a regular participant in preconstruction planning.

MAKE A TOUGH CALL

Coaching isn't always as successful as it was for Marson. In such cases, business owners face some tough decisions.

Kenny Sayes, owner of Sayes Office Supplies, based in Alexandria, La., didn't realize he had issues with any of his employees until clients started to complain. Some of his customers were putting in requests for photocopier repairs but were not getting responses. When Sayes looked more closely at his copier operation, he saw weak cash flow. He soon found that some bills weren't being put through, which was Daniel Littleton's responsibility.

In 2007, after sales at Sayes' 34-person, $7 million company jumped 25%, Sayes had promoted Littleton. Littleton had been hired to link customers' copiers to their computer equipment; now he would also be dispatching other technicians and handling invoicing. When clients began to complain, Sayes asked Littleton to keep a notebook recording exactly what he had to do each day, what he got done, and what was still outstanding.

Sayes checked the notebook every few days and sat down with Littleton and other employees when there were problems. Within a month it became clear Littleton was not following through on some required tasks. "It was like baby-sitting," Sayes recalls of the fact-finding. "But I had to do it."

Sayes says he worked closely with Littleton to improve his performance and made it clear the bills needed to be up to date in two weeks. Littleton says he told Sayes repeatedly that he was overworked. And he says some of his time was still taken up going out on service calls. Littleton says: "There were not enough hours in the day for a single person to do what he wanted." Sayes says Littleton was going out on just a few calls and that the workload was not excessive.

A month went by, and the backlog remained. Eventually Sayes demoted Littleton back to his original position. Littleton quit shortly thereafter and says his replacement doesn't have as many job responsibilities as he did, a claim Sayes disputes. But things are now running smoothly. "She knows the job better than I do," Littleton says of the new hire. A sure sign that he matched the right person to the right job.

Adapt or Die

On Wednesday April 2 of this year an article ran in the Atlanta Business Chronicle with the headline “CEO, CFO turnover jumps in first quarter.” This article made the comparison 1st Q to Q, ‘07 to ’08 and was derived from a report by Liberum, a management change research firm. The data showed a 19 percent jump in CEO turnover and a 21 percent jump in CFO turnover. Overall, the article said other “C-level” jobs turned over at only 5 percent. Moreover, the report said in March ’08 alone, CFO’s turned over at an alarming rate of 41 percent as compared to March ‘07.

This may not come as a great surprise to many considering that there were several factors present in the business environment that made 1Q 2008 challenging. Consider these:

• A downturn in corporate performance overall
• Increased business complexity due to a difficult economy and the intricacies of Globalization
• Intensifying competition both domestically and probably more importantly, internationally
• Shareholder dissatisfaction with diminishing returns
• General market instability
• The sub-prime credit crises
  

OK, I agree. This is very logical and makes sense due to the fact that in most companies the CEO and/or CFO are accountable for broad company shortfalls, especially associated with things more strategic in nature.

Subsequently, on May 22, I read an article in the Atlanta Journal Constitution about a speech ex-Hewlett-Packard CEO Carly Fiorina gave to a group of executives where she said “adapt or die”! Then I really got it!

Turnover of a CEO and/or a CFO is clearly an indication of a company that did not achieve what it was expected to achieve. Whether it be financial results, share price, market share or other measurements of progress, growth, and success, the bottom line is that when the leader leaves or is removed, the entire company is almost certainly off course. Sure, people retire - but when turnover rises so dramatically, negative factors are likely in play. While the six items listed above were obviously large contributors, they were just factors that contributed to a bigger problem. I suspect the main reason for the sudden and precipitous increase in turnover relates more to a failure of leadership and the failure of that leadership to adapt, to change and to plan ahead and was simply amplified by the six items listed above.

It is human nature that when things are going well to stay the course and to bask in the glory of your current success. When business is going smoothly it’s a great time to hit the golf course or take your family on an extended vacation. I remember when I was a CEO I actually began to feel a little nervous when things seemed to go “on cruise control” and all was running smoothly. I never could understand the uneasy feeling I was having. Results were good, I was paying my shareholders dividends that exceeded expectations, the plan was being met and life was rosy. Ms. Fiorina addresses what I was feeling when she said “To make good decisions, business leaders must look beyond quarterly reports and trailing indicators and focus on customer service, the pace of innovation in their industry, the diversity of their work force and client bases, and ethics.” In other words, don’t sit back basking in your success, rather look forward and use your success as a platform to move to the next level and clearly determine what that next level needs to be. The best time to plan for the worst time is when it seems as if things are well under control. That is when a leader can show real leadership - by looking forward and anticipating the next step before it is even necessary.

There is no doubt that much of the increase in turnover for CEO’s and CFO’s referenced in the report resulted from the six factors listed. However, the deeper cause is the failure of business leaders, over the last several years when the overall business environment was relatively stable, to look forward and anticipate the changing global market place. They failed to anticipate where the company needed to be at a future point in time within that changing marketplace and to develop the plan it needed to navigate the company through the change. Is it a failure of planning? Partly yes, and I am still surprised at how many companies do not have business plans that relate to reality and use changeable, living documents that are designed to provide some quantifiable answers to hard questions asked by managers that should always be asking “what if” and “if I did this, what would happen.” Planning is a key component of leadership, one that allows questions to be asked whose answers can lead the company to adopt the strategies and tactics needed to meet new and different challenges.

“Adapt or die” - where looking forward rather than backward, planning rather than sitting still and providing real leadership rather than passive acceptance of the status quo differentiates the successful from the unsuccessful. A failure of many to look forward and anticipate the magnitude of change and the potential of a worse case scenario would help explain the sudden rise in turnover at the most senior levels. That failure of vision is a failure to lead.

Finding the right talent and the right leaders to lead during the toughest of times in a difficult marketplace remains the most important ingredient of a successful company, even when things are running smoothly. Leadership ability is probably the single most difficult skill to “ferret out” during the interviewing and screening process. Business skills can be evidenced by actual results and quantifiable data but that doesn’t always translate to leadership. Leadership reveals itself when things are tough. Unfortunately many companies realize their lack of leadership only after the company is in trouble. When circumstances turn difficult you can only hope that it is not too late to find a new and better leader to change the direction, vision and plan of the company in order to turn it around. Or, you can make sure you have the right leadership in place before trouble strikes, leaders that will “adapt and thrive”!

So What Have You Done on Flexible Work Weeks?

Back on June 5th, I posted an article on flexible work weeks and that companies should begin to consider such alternatives for their employees. Well it has been a month since I wrote that article and as of today the latest Challenger Gray & Christmas survey indicates that 57% of US companies are helping their employees with the current gas crisis. In addition, it took the State of Utah to lead the nation in going to a 4X10 work week that will save their State employees hundreds of dollars a month and hopefully not impact the quality of service. In addition 6% of all workers in Portland Oregon use bikes as their main mode of transportation getting to and from work and that is expected to increase by 30% this year.

Well, what have you done lately? If you want to retain your employee base you better consider real quick alternatives to off-set the cost of commuting. As those of you know who live in metropolitan Atlanta, GA traffic is a real "nightmare". So consider the following:

• flex time from the standard 8-5 or 9-5 work week
• consider going 4 days a week, 10 hours a day
• provide bike racks for bikers
• gas off-sets much like Chrysler has done
• expand the homeworker network
• set up satellite offices after you have done a scatter chart to see where people live that makes sense for then to shorten their commute
• subsidize car pooling if their is no state provision, and make parking available for them as well as an additional benefit
• van pooling (check with your state)
• subsidize commuter rail or public transportation (I did this back in the 80's in the Boston area before it was vogue, although for different reasons, it was location, not gas prices)

So, all I can tell you is get on the ball if you haven't already. This is where human resources should be leading the charge and providing ideas to their CEOs and managers.

I would like your opinion on this so please email me at wgstevens2@gmail.com

Get Your Employees Excited About Sustainability

Happy employees can be energized by more than casual Fridays and chocolate donut Mondays. Your company’s sustainability initiatives can be a source of pride for your employees—if they’re invested in those projects.

Consider these statistics: The 2007 Cone Consumer Environmental Survey reported that 77 percent of Americans consider a company’s environmental reputation when choosing an employer. But a Harris Interactive study released in early 2008 showed that only 21 percent of U.S. workers consider their employer to be “green.”

With nearly a third of U.S. consumers cynical of businesses promoting their green credentials, internal communications leaders have their work cut out for them if they are to rally the workforce. Fortunately, there are some proven methods for getting employees up to speed—and invested in—corporate sustainability programs.

Involve Employees from the Beginning

Employees who have input into a company’s sustainability goals are more likely to stay on board and see them realized. In The Sustainability Advantage, author Bob Willard conducted surveys that showed 20 percent of employees would not leave their employer if they were attracted to the company’s sustainability initiatives. The most efficient way to ensure employees are attracted to your initiatives is to allow them to help create the initiatives in the first place.

Senior management certainly needs to drive the dialogue about sustainability. However, don’t neglect the insights that the employee base can bring to the table. Include them in the dialogue about how the company can be more sustainable. Set up workplace committees with the goals of creating a greener work environment. Build a new section of your Intranet devoted to gathering input from employees.

A major printing company, whose name we can’t divulge, set a goal to reduce its waste by 20 percent over five years. Its executive team naturally focused on finding ways to streamline its printing operations to reduce paper waste. However, when the internal communications team reached out to all employees through a series of brainstorms, it was a receptionist who pointed out the number of individual lunches delivered to the office every day created a significant amount of food packaging waste. By investing in a small café and encouraging employees to do lunch buffet style, the printer reduced twice as much waste as it did by streamlining its printing operations.

Make it Real

For many employees at the grassroots level, corporate sustainability initiatives can seem highly abstract and esoteric. It’s hard for the individual worker to figure out her role when the company web site says that a key goal is reducing greenhouse gas emissions by 15 percent.
The success of a company’s sustainability initiatives lies in the ability of its employees to contribute to those vague targets. You won’t hit energy use goals if your employees are leaving their office lights on all night and running space heaters under their desks. Look for ways to bring corporate goals down to individual levels. Recruit some employees to role play every day scenarios that show how employees can be more eco-friendly, record them and then use them as a series of vignettes during staff meetings. Write a top 10 tip-sheet highlighting ways that employees can contribute. If you have an employee newsletter, create a column where an employee is interviewed about what he or she is doing for the environment around the workplace.

Don’t neglect to reinforce results with your employees, either. If your company has sustainability goals, hopefully they are tracking those goals and recording the progress, so you can share that information with your workers. If you can get progress data for each business unit, that’s even better. Employee investment—and morale—will rise when they see the results of their hard work.

Give Tools for Personal Lives

After having the opportunity to attend a Wal-Mart employee rally, Amanda Little wrote about the impact Wal-Mart’s green initiatives are having on employee morale.

Nearly 50 percent of Wal-Mart employees have signed up for the company’s personal sustainability project, which encourages employees to live more sustainable lives by educating them on ways to conserve resources and reduce energy consumption at home.

If a Wal-Mart sized workforce can be mobilized into action through sustainability initiatives, the same opportunity is there for any workforce.

Wal-Mart’s example offers an important insight. Increasing the morale of your workforce requires more than bulletins on the Intranet, internal employee newsletters or pep rally-esque staff meetings.
Get your employees thinking about sustainability in their own lives. Many internal communications departments work in tandem with Human Resources to provide employees with information about healthier lifestyles. Take a similar approach to educate employees about eco-friendly lifestyles. It may not make sense for your company to follow Wal-Mart’s approach with a personal sustainability project, but be sure to offer your employees tools and resources to help them practice sustainability outside of the office.

Ambassadors Inside and Out

Sustainability initiatives are great for the planet and great for boosting workplace morale. By following these best practices, you can start to bring your employees on board with corporate goals. Engaging employees up front, showing them how they can make a contribution, and giving them the tools to make sustainability a part of their own lives will help turn them into more satisfied workers and great ambassadors for your company.

By Josiah McClellan from the SHRM Website dated 7/1/08.Josiah McClellan, APR, is a vice president at Porter Novelli. He can be reached at josiah.mcclellan@porternovelli.com.

Integrity Counts

Many of us have been brought up on the role of integrity in our profession. Certainly in human resources integrity is everything along with confidentiality, honesty, and knowledge sharing. So what does integrity really mean to you?

As I see it, it is our foundation and how our reputations are built along with the other things I mentioned above. Employees all interpret integrity differently based on what the circumstances are. So as HR practitioners, we need to make sure that we strive for clarity in our decisions, honesty in how we communicate those decisions, keeping those things that are important from a liability prospective and personal effrontery's confidential, and making sure that the knowledge that is gained from a particular circumstance is shared among the organization. This will surely build or maintain your level of integrity.

So on with a short story. I felt in one of my past working lives that my manager had integrity but recently I was informed that this person made a decision that really sunk all the ballast this person had by eliminating a position so this person could fill it. You have to know that the person whose position was eliminated was an outstanding individual, had a high level of all the elements above and was a real good & hard worker. So what do you think people now think of this person who made a position for himself/herself. Well I can tell you "no integrity there folks".

Have you a story in your working lives like this, if so I would like to hear from you at wgstevens2@gmail.com .

Moving to Flexible Work Weeks & Hours

There has been some recent discussion on US businesses looking at changing the current work week of 5X8 and considering 4X10 as well as flex time. Having been at the forefront of 4X10 work week (rolling that is) in the late "70's" this is one real consideration businesses should truly consider. It was ground breaking then not just because of the gas prices & traffic, but to speed up construction time on large projects.

Forward thinking HR leaders should be knocking down the doors of their CEOs and putting together demographic location information on their workforce, productivity assessments to move current businesses to a 4X10 work week and new flex time recommendations. This will have an effect on your workforce in three major areas:

1. retention, they will see that your company is thinking about them and the commutation hassles as well as the costs;
2. strengthens the relationship between manager and employee in flex time arrangements;
3. a recruitment tool especially in areas like Atlanta where traffic is a nightmare.

Now, this is not to say that 4X10 fits all businesses or departments within a business but is saying that if you want to be ahead of the curve and not get hit by the wave, you should be thinking seriously about changing your work week and having more flexible arrangements. Now for those in California and other states where overtime is defined in excess of 8 hours in a day this really becomes a financial exercise as well as a productivity exercise.

You in the real world dealing with recruitment, small annual increases, labor shortages (in some areas), as well as the cost of commuting, food, electric, and other staples, put your progressive hat on and start moving towards your CEO's office. You need to lead and think progressively.

Your thoughts on this very important subject are welcome.lease send your thoughts & comments to wgstevens2@gmail.com .

Soft vs Hard Copy Employee Handbooks

I was having dinner last night with an old personal work friend, her spouse, and one of the major players (president) in a firm where my friend currently works and the topic of handbooks came up. Well, you can imagine that in my mind I thought there is only one way to go and that is electronic but I was caught off guard to find out that there are still some that feel paper is the way to go. Needless to say, it was a hot topic that not only incorporated the need for a paper version of a handbook but also who is responsible for informing employees of changes in policies. From a hard copy prospective, surely it is the company that needs to inform employees with updated versions of page, partial or complete changes. On the soft side, my feeling that the company is responsible for tell employees that there are changes to X,Y,Z and you can find them on the employee intranet. But to make sure that people read it you need an electronic footprint when employees go to the intranet to access the handbook. This is your insurance policy that allows you to track who does and who does not keep up to date on policy changes. Yes, soft copy is cost effective, real time, and gets to everyone, fast and easy. Hard copy well some may get, it some will throw it away, some will file it and never look at it. Which to you is more efficient.

The dinner was great, the dinner companions inspiring and the discussions provocative, insightful, and in some cases contentious. But in the end given the markets some may need hard copy and some soft but the real way to go in today's world is electronic.

As usual, your comments are welcome at wgstevens2@gmail.com and I would like your own personal insights.

What is HR's Role in M&A?

Mergers and acquisitions in today's world is a very complex issue. If you look at history, 50% of all acquisitions fail within the first 2 years. Why?, because there is a failure to fully assess the target company to determine if it:

1. fits into the organization, and how it fits, stand alone, integrated, or subsidiary;
2. the proper due diligence is not done;
3. culturally does the target company fit into the organization;
4. is there a clear integration plan, fully defined, time lined, and stuck to;
5. has all the employees been fully examined and determined to be part of the new company.

These and many other questions are not fully answered in the pre-due diligence process. So the question can be asked, what is human resources role in all this? Well talking from experience, if HR is not on the front end of the process the chances of the acquisition to succeed becomes less viable. So, for all of you in HR, you need to be on the front end of the process to assess these very elementary questions and steps.

In the due diligence, a seasoned HR professional should view all the information in the data room the same way that a financial person views the data. There are hidden elements in the balance sheet, costs hidden behind non-related elements and most of all, the employee population needs to been clearly sifted out and analysed.

Having done more than 50+ acquisitions in my 20+ years in HR I can attest that if you do not take a lead role in the entire process, the chances of the integration of the acquired business will go astray. Each of you need to think hard and discuss with your CEO, COO, CFO the role you have in M&A and if it is not a lead role then you need to be there, just like being at the table with the other senior executives.

Over the years I have developed a complete set of guidelines, items to analyse, plan techniques, and above all a financial approach to due diligence. There are some companies out there that really know what they are doing and have a methodical approach to M&A. The two that immediately come to mind are GE and Cisco.

So, what are your thoughts on this very important topic and please feel free to comment or email me at wgstevens2@gmail.com

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I love the blog. I find it refreshing and informative. It gives us HR professionals an injection of knowledge, we probably already know or are aware of, but do not take the time to refine.I very much enjoyed reading the information and plan on continuing to read.

Building a Successful e-Learning Strategy

E-learning can be a very effective tool for organisations wishing to develop staff or provide training in new products and processes.

E-learning can also greatly assist in compliance training, the training required by law to ensure employees have the knowledge and skills they need to comply with relevant laws and regulations.

E-learning can also be a disaster if it is not managed correctly. It is not a panacea, it is a means to an end. To be successful, e-learning has to have the right fit with the organisation. It should not be chosen because it is fashionable. It should be chosen because it is the most efficient and effective way to meet the identified learning need.

Like most change implementations in organisations, success comes from careful planning and execution.

The normal project management principles apply. Special attention should be placed on managing expectations, ensuring management commitment and involving other key stakeholders.

The credibility of the e-learning implementation team is critical. The introduction of new methods and technologies can create hesitation at both the employee and management levels. This hesitation can be overcome if people have confidence in the people leading the change.

Change management involves planning for the change itself as well as planning for the introduction of the new techniques or processes.

The starting point for an e-learning project involves consideration of both individual and organisational issues.

At the individual level, the likely reaction to e-learning by employees needs to be identified. Have they had exposure to e-learning previously? Are they computer literate? How do they generally react to change? These are just some of the questions that should be considered at the individual level.

At the organisation level, the key business drivers should be identified. How urgent is the learning need? Are employees geographically disbursed? How critical are cost factors? How critical is ROI (Return on Investment)?

If the needs of individuals are satisfied, then there is some likelihood that organisational needs will also be met.

Resistance to change will be minimised if the e-learning is aimed at the right level and the correct organisational cultural fit has been determined. Cultural fit includes consideration of the employee profile, organisational approach, technology adoption and the like.

Some e-learning implementations are basic, others very complicated and detailed. The right implementation builds on an established base. If existing learning methods are basic, then the initial e-learning implementation should be basic as well. If the organisation is sophisticated, then the e-learning system can also be sophisticated. In fact, it will probably be expected. This does not mean that we should only aim for the basic level - e-learning is a wonderful opportunity to stretch the organisation, by introducing new methods and approaches that take advantage of technology.

Technology is improving all the time. The growth and diversity of mobile devices (cell phones) and PDA's (Portable Digital Assistants) make JIT (Just-in-Time) learning a real possibility. This is exactly what modern organisations require - effective learning when needed, in an easy to access form.

The growth in these new technologies is one of the issues to be dealt with when considering expectations management. People talk about the possibilities fairly easily. It is a different matter to have these new technologies work exactly how you expect them to.

Many e-learning projects have achieved significant savings. E-learning can cover a large number of people in a short period of time. Travel times and travelling expenses for participants and trainers can be significantly reduced and/or eliminated, particularly in geographically disbursed organisations. Here in Australia, distance can be a major problem. Nationally based, and even state based organisations, for example an organisation serving Queensland, can have small numbers of staff spread all over the countryside.

A good e-learning project can save a lot of money. I recommend conservative financial and savings estimates, so the final result comes within budget or with even greater savings than predicted.

The management of expectations applies to both management as a group as well as individual employees.

Keeping expectations at the right level throughout the project is critical. Statements and claims made must be achievable. In conversations, misunderstandings have to be clarified immediately. Communication has to be ongoing and feedback mechanisms need to be in place. You need to know how your message is being interpreted.

High management expectations will also reinforce management commitment. High expectations help in gaining support. If expectations are too high or unrealistic, problems will occur when the situation is corrected and actual achievements are made known. Management support can quickly falter, so avoidance of misunderstanding is critical.

Similarly, other stakeholders have to be kept informed. Reports should be accurate and up-to-date. Good communication and ongoing engagement are essential. Having 'a finger on the pulse' encourages ongoing, positive commitment.

There are many variables in an e-learning project. Each one will be different. A solution that has worked for one organisation may be problematic for another.

The learning topic must be suitable for an e-learning approach. Traditionally, this has been information type training - new products, policies, approaches, etc. The ability to include simulations and other avenues for dealing with skills issues has broadened the types of training that can be covered. The first questions to be asked concern the suitability of e-learning to the topic area. Is the topic suitable for an e-learning approach? Is the training predominately information or skills based?

As mentioned in the introduction, compliance training is a typical e-learning application. In some cases, employees may have some existing knowledge and skills. E-learning can include pre and post course testing. The pre-test means employees can start at their own level and the post-test provides concrete evidence for compliance audit purposes. This design feature encourages the use of e-learning in compliance training.

The second group of questions relate to the proposed target group - the people who need the training.
What is their exposure to e-learning? What is their attitude towards the subject area? Is the training need information or skills based, or is there some attitudinal change required as well?

If attitudinal change is required, the level of sophistication of the learning design grows dramatically. In some cases, e-learning may not be suitable.

Participant background is important. Participant numbers and location also add to the situation. The larger the number, the more cost effective e-learning can be. The greater the geographic spread, the more cost effective e-learning becomes. In some cases, particularly if time pressures are also strong, it may be the only option.

We have covered the learning topic and participant profile. These two issues start to shape the project, but there are many more to be added.

Consideration of the learning topic and the proposed participants means that the learning method has to be considered. Should the project rely solely on e-learning, or should there be some face-to-face training as well? The design of an e-learning module requires the designer/programmer to anticipate all the likely issues that may emerge and include the content accordingly. An experienced trainer in a classroom might not anticipate every question, but he or she should have the knowledge and skills to be respond in a way that satisfies the enquiry.

Many organisations find blending e-learning with face-to-face contact an effective method. As technology expands, 'face-to-face' is taking on a new meaning as a number of software products now enable 'classroom' style training with audio and/or video and/or text communication by participants in different geographic locations.

The training need should dictate the learning design. Only then should the e-learning method be considered as a possible option.

Although the concept of quickly developed e-learning (rapid training) is being promoted as new software tools emerge, properly designed and executed e-learning can be expensive to develop. However, implementation costs (apart from the participant time costs) by comparison are negligible. If large numbers are to be trained, it can be very cost effective.

By this stage, the possibility of an e-learning option will be emerging. If it does seem viable, the next question becomes: do we have the capability to do it?

Capability is dependent on inhouse resources or the ability to source outside assistance.

Some basic questions:

• What is our e-learning capability (if any)?
• What funds do we have available?
• Is this a once-off requirement, or is this the first of many projects?
  

The answers to these and other questions will start to shape our e-learning strategy for the learning project.

Some organisations will already have e-learning development tools. Others will have to evaluate the many options available and choose one that fits their organisation, both in terms of staff skill levels as well as information technology (IT) requirements. The IT scenario can involve all sorts of complexities related to capacity and complexity. IT becomes an important stakeholder. IT support is critical.

A Learning Management System (LMS) can be basic or very advanced, with costs being proportionate. You need to be able to enroll, track and monitor participation in learning programs. If the organisation does not have an LMS, then careful consideration to acquiring one has to be given. I recommend choosing a basic system if you are just starting out, providing that it is very easy for participants to use.

Lessons from other e-learning implementations should be evaluated. The trend for shorter modules should be heeded. Busy people in complex organisations demand speed. They do not have time for one or two hour modules. They prefer bite-size chunks of 10-15 minutes. This can also be helpful for ongoing learning which corresponds with the Just-in-Time (JIT) training scenario. It is very effective when organisations can provide short, specific topic modules that satisfy an urgent learning need.

It is possible to outsource the learning design and/or content development. Like all outsourcing projects, this has to be very carefully managed.

• Do we need to develop our e-learning skills in-house?
• What are the time constraints?
• Do we need a basic program or are our requirements quite advanced?
• Do we know what we want or do we need expert advice and assistance?
  

Outsourcing can have a number of pitfalls. If you are unsure of what assistance you require, a poorly worded contract accepted through ignorance can cost a lot as the program develops.

A combination of factors (time, cost, ability, quality, deliverables) will shape the outsourcing decision.

In fact, these factors will shape the overall project as well.

This article has attempted to highlight the major issues involved in framing and developing an e-learning project.

There are many variables that can be conflicting. They certainly make e-learning projects potentially complex.

A key to success is to keep the project as simple as possible. If you have not undertaken e-learning previously, start small, perhaps with a specific project that has a very high return on investment (ROI).
Certainly consider your employees, the potential participants on the program. What will make their participation enjoyable and satisfying? How can we provide easy access? What support will they need?

I am a strong advocate of developing questions, like the ones above, so that the answers provide key information to help guide the project. Finding the answers to the many questions raised in this article will help plan, design and implement a successful e-learning project.

Change management involves managing the change as well as the outcome. Maintaining communication and managing expectations will help significantly.

In the end, success depends on identifying all the issues and developing appropriate responses. The credibility of the implementation team will be greatly enhanced if this approach is adopted and implemented.

Have You Hardwired Your Workforce?

In an economy like what we are experiencing today one of the first budget cuts we see is usually in training & development. As we all know, training is one of the key life bloods of an organization that builds your workforces skills and is a platform for growth.One of the key elements for continuing training of your human capital is instilling that training is important to them and that they should take the time to expand their skills, grow their competencies, and make it a ritual in their working lives. So how do you do this? Here are a couple of important guidelines:

1. make sure there is a solid training strategy that ties to the corporations' goal/objectives
   keep the training budget as much in place as possible
2. make sure your managers buy into the training strategy
3. managers must emphasize that training is important to them
4. offer eLearning options for your employees through companies like Skillsoft
5. provide time each week for learning
6. show the outcome of skills training so people see the end result
7. post notices on your intranet regarding skills training
8. make sure that you subsidize if not pay in full the training that people take that is relevant to their current position or one that in next in line for them. There has to be a solid ROI.
   

These are just a few areas where you as managers and leaders of organizations can ensure that you build and maintain the most competent workforce that will help you drive revenues and profits. It will also help reduce turnover and build loyalty within the organization.
Your comments are welcome.

The Millenial Workforce

There has been much publicized about the "Millenial" generation and how managers should manage this unique group of new workers. On 60 Minutes, Mike Wallace spoke to professionals on how to deal with this group of workers and what it will take to motivate them. Certainly different from Gen X, Baby Boomers, and for that matter Gen Y these workers are on the go every minute.

They multi task, are tech savvy, cleaver, resourceful. They have different priorities than other generations, and it is "all about me". What managers need to do is to focus on how to motivate this group, rather than dictate tasks and a get it done mentality they need to nurture them, guide them and make them believe that the task at hand is all about them. As managers, we need to be flexible, throw out the given standards of management and create a new book that will help their workers be productive, reward them profusely (plaques, open acknowledgement of successes, games, down time, interior games, cool working environment, and above all understand where their mindset is not compared to the status quo. You as a manager become part therapist and truly a coach. If you have problems readjusting to this new breed of worker, get help from a consultant to help you though this new process for management.

If you don't change your recruiting process and accept many positions in a short period of time, rethink your management style you and your company will have a smaller number of potential workers to draw from the talent pool.

A good introduction to this Millenial workforce can be viewed at the following website: http://www.cbsnews.com/sections/i_video/main500251.shtml?id=4126233n&channel=/sections/60minutes/videoplayer3415.shtml

High Velocity Culture Change

Most managers are not good at cultural change especially when they are the front line to lead changes in the organization. Changing the culture in an organization is hard, heavy duty, and battle intensive for those responsible to lead that charge. Most managers do it as well as employees by taking the lead from their managers because the have to. Not that they want to but it is part of the survival process in an organization.

I would recommend the following if you are the person(s)/group(s)/executive team leading this major effort to keep pace with the changing environment, business, and any successors and/or assignees in an acquisition:

• Use methods that are not standard operating processes - this will make people operate out of their existing cultural orientation;
• Change should be guided by where the organization needs to go rather than laborious cultural analysis and metrics. Make sure that the new highway for change is "clear to all employees" and that managers "get it and preach it"
• Blow up current understandings, destabilizing the organization so they have to move in a different direction. This will provide new energy in the organization;
• Each facilitator/manager/group/executive team member has to show that they care more;
• Change the reward system and the milestones along the way so people understand there is a payoff for the change;
• Communicate more than ever and often, clearly articulating the logic, acknowledging the changes, and their effects along the way;
• Promote what you want the end result to be and how it will affect the organization, revenues, and profits;
• Make sure the people feel free from the old system;
• You need to expect that there will be people who will not buy into the new culture, loosing some valuable human capital along the way;
• Make sure all employees are involved; set up project leads - interdisciplinary and cross cultural
• Blow up the bureaucracy along the way making structural changes that fit the final cultural goal;
• Lead by example and as in Field of Dreams, "they will come(follow)";
• Bring in new people and do not trust loyalty too much;
• Make sure each manager/group/executive team member surrounds himself or herself with strong supporters;
• Encourage people to think and act differently about their job, customer, and each other that builds on the culture you are creating;
• and finally make sure that you train people, re-orient the organization.

I hope this helps for those of you that have to change and lead cultural change in your organization.

Hiring in a Recession

It is common fact that when the economy slows down, and company revenues drop in some proportion that most companies pull back on resources, cut spending, headcount, curtail travel, reduce project funding, freeze the hiring process or scrutinize the hiring process that draws it to a standstill. Human Resources is the gatekeeper of the hiring process and in some or most cases takes the brunt of the criticism for stalling the flow of applicants and offers.

In one particular case it is important to keep the hiring process in full force and that is in sales. If there is one sure way to demotivate this revenue generating group it is to (1) freeze hiring, and (2) reduce headcount hoping and expecting that this reduced headcount will sell more by working harder. NO, it is a sure way to see revenue fly out the window with a demotivated group. Keep them incented with perks, spiffs, and any other acknowledgement of success they have that keeps this "engine that can" going.

Having seen this over my many years in business I have learned that you continue the hiring process for sales and that will help minimize the economic effect recessions have on business.

Tell me what your thoughts are on this important topic.

What are your best (worst) examples of corporate Gobbledygook?

This question came up on Linkedin and my answer was as follows:

"Lots of acronyms for stuff that has no affect on revenue or profits. The worst case is the term "solution" but no one to implement it and the best is "case study" that made a direct impact on the top and bottom line. "

The Secrets of Successful Strategy Execution

In the June 2008 issue of Harvard Business Review, Gary Neilson, Karla Martin, and Elizabeth Powers delve into the issues around execution failure and how so any companies focus on the wrong areas. The key areas of successful execution and what matters most are information; decision rights; motivators; and structure.

This article digs into the the 17 fundamental traits of organizational effectiveness. The key role of human resources executives is to make sure that they keep the management team focused on the right elements to insure strategy is carried out and the goals of the company are met. One piece of this is to make sure that your, the HR executive, sits at the table and has as much input as the other key members of the team. Decision time, and layered weightings causes delays in success and the adage " time is money" surely comes into play here.

Read the article, it is a mind altering content driven, research backed must read. Your comments are surely welcomed.

Department of Labor Issues Proposed FMLA Regulations

On February 11, 2008, the Department of Labor issued much-anticipated proposed regulations impacting the Family and Medical Leave Act. These rules, which seek to clarify existing regulations, are open for public comment for a 60-day period.

Additionally, although these proposed regulations do not include specific proposals for implementing the new leave provisions for family members of military personnel, the DOL does seek public comments on such rules.

While the proposed regulations do not provide as much relief from administrative burdens and confusion as employers had hoped, it is important that employers understand the major areas of difference between them and the existing regulations.

Employee Eligibility Standards
In order to be eligible for FMLA leave, an employee must have twelve months of service with his or her employer and have worked at least 1,250 hours during that 12-month period. The months of service need not be consecutive, but the proposed regulations clarify that employers are not required to count prior periods of employment which occurred before a break in service of more than five years. Exceptions are made to this rule, however, for military service or certain other approved periods of unpaid leave after which the employer has agreed in writing to reinstate the employee. Similar exceptions are made to the requirement that employees must have worked 1,250 hours in order to be eligible.

Serious Health Condition
Despite numerous requests from employers and health care providers to clarify the definition of a "serious health condition," the DOL made very few revisions to this area of the regulations. Currently, the regulations provide for leave in connection with a period of incapacity of more than three consecutive calendar days so long as the employee or family member has either: (a) one visit to a health care provider plus continuing treatment, or (b) two visits to a health care provider. The proposed regulations clarify that the two visits to a health care provider must occur within 30 days of the beginning of the period of incapacity unless extenuating circumstances exist.

The current regulations also allow for leave in the event of a chronic serious health condition. The proposed regulations specify that in order for a condition to qualify under this definition, it must require at least two or more periodic visits to a health care provider for treatment each year.

Waiver of Rights
The FMLA specifically prevents employees from waiving their rights under the statute. Under the current regulations, confusion developed among the courts over whether this prohibition only covered prospective waivers or also included retroactive waivers, such as those contained in settlement and severance agreements. The proposed regulations clarify that while employees may not prospectively waive their rights under the FMLA, they are permitted to waive FMLA rights retroactively with or without the approval of the courts or the Department of Labor.

Employer Notice to Employees
Under the current regulations, employers are required to designate leave as FMLA-qualifying within two business days absent extenuating circumstances. The proposed regulations extend this period and require that employers notify employees whether a planned leave will be FMLA-qualified within five business days of learning of the employee's potential FMLA-qualifying condition.

The DOL proposes that this notice to employees include eligibility information, employee responsibilities and the consequences to an employee in the event of noncompliance. Additionally, if a planned leave is found to be nonqualifying, the employer must explain why in the notice. To assist in implementing these changes, the DOL has further proposed a new template notice form.

Finally, following the U.S. Supreme Court's decision in Ragsdale v. Wolverine Worldwide, Inc., the proposed regulations clarify that employers may retroactively designate leave as FMLA-qualifying, provided doing so does not cause harm or injury to the employee.

Employee Notice to Employers
Existing regulations provide that an employee does not need to mention the FMLA specifically in order to invoke its protection. In response to comments from employers, the proposed regulations do, however, require employees to provide specific information to employers before the employer's FMLA responsibilities are triggered. Specifically, the proposed regulations provide that an employee's notice of leave should include: (a) some indication that a condition renders the employee or family member unable to work; (b) an estimated duration of the absence; and (c) whether the employee or family member plans to visit a health care provider. Moreover, the proposed regulations clearly provide that an employee cannot trigger the employer's obligations to further investigate whether an absence is FMLA-qualfying simply by calling in sick.

The proposed regulations further provide that employees must respond to inquiries by their employers for the purpose of determining whether an absence is FMLA-qualifying. If they do not, denial of FMLA leave is appropriate.

Medical Certifications
The proposed regulations clarify that sufficient medical facts to support the existence of a serious health condition may include information about symptoms, hospitalization, doctors' visits, prescription medication, referrals for evaluation or treatment, or any other regimen of continuing treatment. Additionally, the proposed regulations clarify that health care providers may provide information on the diagnosis of the patient's health condition, but are not required to do so in order to complete the certification form. In an attempt to streamline the medical certification process, the Department of Labor has also proposed a new medical certification form.

Contact with Health Care Providers
Current regulations generally prohibit contact between employers and health care providers. The proposed regulations, however, create an exception which permits employers to contact physicians directly if "an employee's serious health condition may also be a disability within the meaning of the Americans with Disabilities Act." Employers choosing to avail themselves of this exception, however, must be mindful to follow the additional restrictions imposed by the ADA. An employer may also contact an employee's health care provider to seek clarification and authentication of medical certifications.

Fitness for Duty Certifications
In response to numerous comments from employers, the proposed regulations remove the provision that a fitness-for-duty certification must only be a simple statement. In its place, the DOL proposes to reinsert the original statutory standard requiring the employee to submit a certification from their health care provider stating that they are able to resume work. To further allay safety concerns, employers are permitted to provide employees with a list of their essential job duties. This list must be provided along with the eligibility notice and must be accompanied by notification to employees that a fitness-for-duty certification is required. If such a list of essential functions is provided, the employer is permitted to require the employee's health care provider to certify that the employee can perform each individual duty on the list before allowing the employee to return to work.

Is HR about people anymore?

Our profession continues to have more in-depth business responsibilies associated with the board room that detract us from our core area, people. Our human capital sometimes gets lost in that matrix. What we all have to remember is "people are our business". The true HR professional has to strike a delicate balance between business and people all the while remembering who our customers are, "the people". Our board room is where the people are.

HR Strategy

From Accenture:

In the past two decades, a company’s workforce has become increasingly important to business success. So much so that most senior executives now view people and workforce issues as a critical competitive differentiator and one of their top agenda items. A superior workforce gets support from highly effective, flexible and business-oriented HR and learning organizations. It is essential to achieving a company’s objectives and taking greater strides toward high performance.

Check this out - http://www.accenture.com/NR/rdonlyres/F842BBE6-E136-4D43-8519-4A80731C7AB4/0/AccentureHighPerformanceWorkforceexecsummary2006.pdf

Keeping in Touch

There was an employee who went out on disability some time ago and was helped by the HR department in setting up his details with the outsourced ASO. Well, this person has been out for almost 8 months and since his leave he has never heard from his HR department unless he called them.

The sad point of this example is that when employees go out on leave they become disconnected from their organization. To help them cope with this new situation it is critical that the HR practitioners keep in contact periodically with these employees to help them say "connected". It is part of HR's responsibilities and helps the stigma of disconnection. The key take-a-way is that even though employees may not be at a facility they are still customers.

HR sometimes gets a bad rap. Your comments are appreciated, please send them to wgstevens2@gmail.com and they will be posted.


From a friend who has had an experience:
Hi Bill, I found this posting particularly relevant as this coming August will be one year since I had to go on disability due to health issues. Not only was my health situation totally unexpected, now, nearly one full year later, I find myself still having to adjust to new routines and perhaps, more importantly, the absence of older, familiar and habitual patterns. To say that my ordeal has been a complete shock to my system is putting it mildly. Personally, I would have deeply appreciated some (Any) form of proactive HR contact from my Company. Even though I was a "top performer" during my tenure with my organization, one can only rest on their laurels for so long without becoming somewhat fearful of their having a place in the future. Certainly, I would really have loved it--on both a "human" (i.e. "we care about you") level, as well as on a professional one. For myself, as well as for any others who may find themselves experiencing what I have, in the future, I sincerely hope that some HR Reps will take what you have said here to heart, and at least make attempts to contact those empolyees who, through no "fault" of their own, find themselves in this weird and highly uncomfortable limbo land.

What is the future for Human Resources

HR plays a critical role in any economic environment and most critical in a recessional economy. The keys to success are: stay close to the CEO, make sure strategy is aligned with HR strategy, stay close to your customer base, add value by testing the theories of the company, products, and services.