It’s Time to Hire a Different Kind of HR Leader

by Sue Bingham

Last month, I spoke with a former human resources director who had recently quit her high-paying job at a large company where she felt required to treat people with suspicion, devoid of dignity. She simply couldn’t take it anymore.

Facing such a crisis of values is a common experience for many progressive HR leaders. Companies end up driving these individuals away instead of empowering them to make a significant impact, both culturally and financially.

HR’s Frankenstein

Traditional HR training has created a monster.

Because HR doesn’t typically have a seat at the executive table, its true purpose — employee support — is frequently overshadowed by other responsibilities, such as recruiting, handling compensation, and onboarding.

While many people enter the HR field wanting to become employee advocates, traditional training mostly equips them to plan appreciation picnics and control employee behavior in an effort to mitigate risk to the company, rather than a function that can reduce costs. Ochsner Health System, for example, instated a rule that forces employees smile and make eye contact if they are within 10 feet of someone.

Absurd rules like this exist because company leaders are terrified of being sued. Although actual lawsuits are rare, HR leaders are turning to lawyers, who encourage them to enforce irrational policies and procedures to avoid headline-making jury verdicts that grant costly awards. Adding to the perception that HR should be responsible for preventing employment-related charges, HR members are often given inappropriate authority to hire, fire, and deal with employee relations issues.

Too often, leaders view HR as an unavoidable overhead cost needed mainly to protect the company. However, HR done right can foster a culture where people thrive, saving companies hundreds of thousands of dollars in costs related to absenteeism, turnover, process streamlining, and employee engagement.

This can only be accomplished when an HR department models behavior that champions such a culture and equips other leaders to do the same. To thrive, employees at every level need to be treated as unique individuals and be given opportunities to contribute their wide variety of knowledge and experience.

Here are three ways to abolish outdated, traditional HR management and revolutionize your company from within.

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About the Author:  Sue Bingham is the founder and principal of HPWP Group. She works closely with company leaders to analyze their organizations and facilitate the implementation of commonsense systems that have a positive impact on their organizations’ bottom line. She has a passion for helping companies embrace and transition to high-performance work environments. Sue is the bestselling author of Creating the High Performance Work Place

Haier Elevation

by Doug Kirkpatrick

An Overview

A hungry dragon is stirring in the Far East. Its name is Haier.

In the fall of 2012, I visited Haier (pronounced “higher”) headquarters in Qingdao, China to meet its legendary Founder and CEO, Zhang Ruimin, its Cofounder Ms. Yang Mian Mian, and other key leaders to discuss and debate the theory and practice of organizational self-management.

Accompanied by Leighton Gao, senior manager of Haier’s Corporate Culture Center (and interpreter extraordinaire), my hosts arranged a tour of the Haier heritage center, where visitors are greeted by a giant sledgehammer—symbol of Haier’s birth in 1984. Walking through the center and reflecting on Haier’s journey, one feels the power of their story from humble origin to global business legend.

According to Haier’s website, in 1984 young entrepreneur Zhang Ruimin took a post as Director of Haier’s precursor, the Qingdao Refrigerator Factory. At the time, the company was drowning in debt and only produced about 10,000 refrigerators each year, with terrible quality. Workers were so unkempt and dysfunctional that Zhang had to stop them from urinating on the shop floor. In frustration, he lined up 76 refrigerators, handed out sledgehammers, and issued a command to the workers: “Destroy them!” Zhang himself smashed one of the defective refrigerators to drive home his key point: the existing culture must be demolished and replaced.[1] Out of this primal act of catharsis, the modern Haier Group was born.

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Doug Kirkpatrick is the author of Beyond Empowerment, The Age of the Self-Managed Organization. He is an organizational change consultant, TEDx and keynote speaker, executive coach, writer, educator, and SPHR.

He played the first season of his business career in the manufacturing sector, principally with The Morning Star Company of Sacramento, California, a world leader in the food industry, as a financial controller and administrator. He now engages with the Morning Star Self-Management InstituteGreat Work CulturesThe Center for Innovative Cultures and other vibrant organizations and leaders to co-create the future of management. Contact Doug at Twitter @Redshifter3.

Digital Transformation – Part VII: The Human-Machine Symbiosis

By Rod Collins

Over three days from February 14 – 16, 2011, the American public was introduced to the amazing capabilities of artificial intelligence (AI) during the telecast of the Jeopardy! IBM Challenge, when IBM’s Watson faced off against Ken Jennings, the holder of the record for the game show’s longest winning streak, and Brad Rutter, Jeopardy!’s all-time money winner. This much-publicized human-versus-machine competition turned out to be no contest at all, as Watson easily beat its human challengers with a score of $77, 147 to Jennings’s $24,000 and Rutter’s $21,600.

With this remarkable victory, the public learned what was once considered science fiction was suddenly scientific reality: computers could interact with humans in intelligent conversation. Watson wasn’t a linear program following a series of pre-planned fixed steps, like a dishwasher. It was an intelligent machine that could absorb spontaneous human communication and could respond sensibly. And what was most impressive is that it could do so far smarter and faster than the long-running game show’s two greatest champions.

An Unsettling Concern

This new reality, while incredibly awe-inspiring, was also unsettling for many. Now that we had first-hand experience with the quality and speed of AI, we could understand why some were concerned that, sometime in the near future, superintelligent robots might develop to the point that they could overtake or even subjugate humans. However, this thinking may be shortsighted because it reflects the prevailing hierarchical mindset, which assumes power is a function of being in charge and, therefore expects humans and machines to behave as separate and competing entities embroiled in a battle to see who comes out on top. If this hierarchical mindset continues to shape how we think and act, this concern could eventually morph into what many would consider a clear and present danger.

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About the Author:  Rod Collins (@collinsrod) is the Innovation Sherpa at Salt Flats and the author of Wiki Management: A Revolutionary New Model for a Rapidly Changing and Collaborative World (AMACOM Books).

Scaling Culture — part three

By Josh Levine

The third post in a series exploring the why, when, and how of managing company culture in a growth organization by Josh Levine.

How To Keep Culture From Going Awry

In my first post I discussed my research into why culture tends to unravel as companies grow, and in post two I dug into when it starts happening. Here I begin to explore how to deal with this critical challenge.

PIZZA AND PING PONG, PLEASE
For a while I’ve attempted to fight the misconception that culture is simply pizza and ping pong. While ancillary benefits like these are not the whole picture, it turns out they do play a role. In a framework I co-authored outlining the components of company culture I found where perks become useful, and it’s exactly how companies can overcome relationship decay.

There are many types of rituals: The only requirement is that they provide an opportunity to create or strengthen relationships.

THE IMPORTANCE OF RITUALS
In my second post I wrote about how relationships begin to weaken somewhere between 50 and 150 people. So, how should leaders of growth organizations keep colleagues more tightly connected through bouts of early growth? Rituals. A ritual is a recurring group activity designed to strengthen relationships. People organize them among friends (poker night) and family (thanksgiving dinner) because it gives us an opportunity to connect and share. And it feels good. The result of these get-togethers is a stronger bond, and companies have an opportunity to foster purposeful connections through rituals to counteract the relationship challenges of rapid growth.

Leadership can experience relationship decay as well. It isn’t as obvious because they are surrounded by a purposefully small group of executives and possibly lead a small team. All the same they lose touch with the who’s and the what’s of their organization. A popular example of trying to solve for this is when management consultants organize a day for the CEO to spend time in the field with customers. Just as peers need to stay connected to each other, so do leaders.

THE FOUR TYPES OF RITUALS
There are many types of rituals. Some led from the top, some employee driven. They can be company-wide, or a get together for two. The only requirement is that they provide an opportunity to create or strengthen relationships. Each has its strengths and challenges.

Read more…

Josh Levine is an educator, designer, and author, but above all, he is on a mission to help organizations design a culture advantage.

Scaling Culture — part two

by Josh Levine

This article is second in a series exploring the why, when, and how of managing company culture in growth organizations by Josh Levine.

The Moment It All Goes Wrong

If you’ve ever had to work with another human, you know good relationships make for good work. These bonds are the conduits of culture, and while they don’t guarantee success, you can be sure it ain’t happening without them. Think of relationships as connective tissue: take this essential layer away and business would just be a pile of old laptops and financial documents.

No blue chip CEO will argue the point: the human side of business is critical to success. But how does this system of relationships change as startups emerge from their proverbial garages with dreams of long-term success? In post one, I proposed an answer: relationship decay. As co-workers increase in number our brains have to work harder to remember all the names, faces, and details. We are forced to choose who we know and how well.

Why should anyone care about relationship decay? It is the reason startup cultures fail.

Without foresight and guidance, startup cultures weaken with growth. It’s hardly noticeable at first, but when it gains momentum employees will look up and no longer know all of the who’s and what’s that make the organization work. This is it: the moment culture is at greatest risk of unraveling. If we can see it coming maybe we can prepare for it.

Read more…

Josh Levine is an educator, designer, and author, but above all, he is on a mission to help organizations design a culture advantage.

Scaling Culture — part one

by Josh Levine

This article is first in a series exploring the why, when, and how of managing company culture in growth organizations by Josh Levine.

Why It’s So Hard to Scale Company Culture

Sex in stairwellsabsentee management, and outright racism. There’s been a spate of news recently about cultures going awry in Silicon Valley. While it’s the extreme cases here on the left coast that are making the headlines, errant cultures effect companies of all kind and size. It seems keeping culture from unraveling is a significant challenge every growth organization must learn to manage if its leaders intend to succeed in the long run.

In modestly sized organization, a limited set of individuals rely on one another to get work done, usually becoming a tight bunch in the process. Let’s call this an intimate community: a group of people where “most of the members recognize and are recognized by many of the others”. By nature and necessity when put together individuals develop relationships, and when intimate communities form they enable the knowing of the “who’s and what’s” of the organization. (Everyone knows Shelby is the code base wizard; Sanjay broke the sales records last quarter.)

Read more…

Josh Levine is an educator, designer, and author, but above all, he is on a mission to help organizations design a culture advantage.

Preview Chapter 5: Recognition

by Shelby Jones

GREAT MONDAYS: How to Design a Company Culture Employees Love by Josh Levine

There are many types of recognition companies use to encourage positive behaviors. I wanted to see if I could make sense of them all. Here’s what I found.

Dogs. Chimps. Humans. We’re a lot alike. In addition to our four-chambered heart and love of social interaction, advanced mammals share a need for positive reinforcement. Managers have known this since the very first sales associate, using recognition programs to reinforce desired behaviors. But in my time studying company culture, I noticed there are many kinds of recognition, more than even a total rewards program includes. So, I went about looking for and sorting the different types to see if I could make sense of them all. Here’s what I found.

To actively manage your company culture, look for opportunities to recognize associates in the four different styles.

1. Formal Recognition from Leadership
Congratulations! You’ve done it. You’ve sold the most, coded the best, innovated the hardest. Whatever it is, you are being called out. Formal programs developed and implemented by heads of state are the most common example of recognition inside companies. In the early 2000’s I was involved in creating an innovation awards program for HP globally. We would put out a call for entries, film the judges, host a celebratory dinner, and bestow the trophies. Sometimes these programs can have monetary rewards or other gifts. Like this, formal recognition programs tend to be on a grand scale, but really, they don’t have to be. At a modest retail start-up I know, they hold a quarterly company-wide night out at the local pub and hand out tokens of appreciation to teams for great work.

WHAT YOU NEED

  • Leadership buy-in
  • Employee buy-in
  • Broad communications
  • A committed budget

Read more…

qual parts visual and verbal, Shelby dances between design and strategy at Great Mondays. She’s passionate about cereal, fashion, and family.

Do Companies that Mimic Nature Flourish Financially?

By Dawna Jones

Back in the early 1990’s investment advisor Joseph (Jay) Bragdon noticed the emergence of a new genre of company that was more adept at learning and more profitable than the corporate mainstream. Rather than following the corporate norm of prioritizing the growth of capital assets, the new model placed a higher value on living assets (people and Nature) on the premise that living assets are the source of capital assets.

To determine whether this difference in corporate philosophy and culture had meaningful advantages over the older system he created an investment research “learning lab” of 60 companies. In constructing the lab he aimed to identify firms in every major industry/sector that modeled best practices of living asset stewardship.

From the beginning his goal was to determine whether the sixty selected for such stewardship and higher purpose would outperform their peers. The short answer to this is ‘Yes!’ As his research progressed he found these leadership companies had attributes that mimicked life, and the deeper they went into modeling those attributes, the more profitable they became. This was a revolutionary discovery and it is the theme of his new book: Companies That Mimic Life: Leaders of the Emerging Corporate Renaissance.

As with his first book, Profit For Life, which introduced the 60-company learning lab -called the Global Living Asset Management Performance (LAMP) Index – all investment results have been verified by the consultancy Northfield Information Services. Beyond producing outstanding returns, LAMP60 companies are also recognized sustainability leaders whose average lives exceed a century. (By contrast, the average life of companies on the S&P 500 Index is only 18 years.)

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About the Author:  Dawna Jones sees the underlying forces impacting what you see on the surface. She works with leaders and decision-makers to update skills and expand access to their wider intelligences. Working with individuals, teams, companies or at a global level gives Dawna insights into scaling mindset, innovation and transformation through leadership and decision-making. Contact Dawna on her website or follow her on Twitter.

Digital Transformation – Part VI: An Evolutionary Leap in Human Intelligence

By Rod Collins

“May you live in interesting times,” is an old English expression whose enigmatic meaning can make people wonder whether they’ve been offered a blessing or a curse. Regardless of the apparent well-wisher’s intentions, interesting times are oftentimes a blessing for some and a curse for others. The difference depends upon how capable and how fast people are in recognizing and embracing new ideas and new opportunities.

We, today, are clearly living in interesting times, perhaps the most interesting times in the history of human civilization. We find ourselves in the midst of a technological phenomenon that is far more transformative than previous technology revolutions because it is thoroughly, radically, and rapidly rewriting all the rules for how the world works. This phenomenon, which we have been calling Digital Transformation, is the fundamental architectural shift in the way the world works from top-down hierarchies to peer-to-peer networks.

Digital Transformation is much more than a technology revolution. It is arguably the most consequential socioeconomic revolution in human history because the transcendence of peer-to-peer networks will dramatically transform the basic contours of the human experience. This phenomenon is far bigger than most of us are prepared for because the vast majority of us are lacking in an understanding of the dynamics of networks. We are much more conversant in the mechanics of the hierarchical structures that have shaped the evolution of the human experience since the dawn of civilization. Unfortunately, our knowledge deficiencies in the ways of networks cause us to significantly underestimate the magnitude of the inflection point that is happening in the world around us as most remain blind to what is hidden in plain sight. If our interesting times are to become a blessing, we will need to quickly close our network knowledge gap because Digital Transformation is about to go into overdrive with the coming emergence of the Internet of Things (IoT). Once the IoT becomes the fundamental fabric of our everyday lives, what has been hidden in plain sight will become painfully obvious to those who fail to fill the knowledge gap.

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About the Author:  Rod Collins (@collinsrod) is the Innovation Sherpa at Salt Flats and the author of Wiki Management: A Revolutionary New Model for a Rapidly Changing and Collaborative World (AMACOM Books).

Moving from a Controlling Mindset to Releasing Human Potential

By Dawna Jones

I am not the same person I was six months much less nine years ago. The journey to releasing my own potential began decades ago but it accelerated rapidly when my business crashed hard nine years ago. None of the efforts to clarify message, marketing or move my ideas forward gained traction. Only when I talked like everyone else did, were the ideas given credence. Stick in the mainstream and you are golden. Deviate and you will find yourself on the perimeter. Sliding down the slippery slope of believing that if I worked harder I could save it, the inevitable was unavoidable. In fairness, it was a year when many businesses crashed so I was not alone. Still, it felt like I had been slammed to the ground largely because my home went with it. It was a gift.

With the fall and dismantling of structure is the opening for releasing human potential.

No mistakes made. No regrets subtract from lessons and wisdom well earned. It was all part of a constant shedding of limiting beliefs to allow innate power and potential to emerge. Experimentation with removing all barriers to self-expression especially when confronted by judgment provided better insight into the transformational process from personal to organizational to global. Emotional awareness and calibration continued to release the past and open for new adventures. Along the way the path I took showed how and where societal expectations and social norms created habitual holding patterns. As if the internal challenge were not enough, the external challenge of not thinking, living or acting my age created questions about where I belonged. I could not help but wonder whether the contribution I could make fit in the world or had any value.

Looking back to the starting point, I recognize that I had repressed my own human potential swimming around in assumptions about how the world worked. Once you realize you are the one holding yourself back, there is nothing to stop you from releasing your deeper potential. The first step is to stop controlling what you can’t control, and start controlling your inner responses to outer events and experiences, which is well within your control.

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About the Author:  Dawna Jones sees the underlying forces impacting what you see on the surface. She works with leaders and decision-makers to update skills and expand access to their wider intelligence. Working with individuals, teams, companies or at a global level gives Dawna insights into scaling mindset, innovation and transformation through leadership and decision-making. Contact Dawna on her website or follow her on Twitter.