We've just upgraded our blog software to the latest version of WordPress and hope to start adding some more posts and articles in the coming days.
Gap Analysis and HR
Systematic HR has an excellent post on HR strategy, both what it is and what it isn't. While the piece will likely ruffle a few feathers, I think it is interesting to look at the gaps in perception between HR and the business as a whole.
What it basically comes down to is your focus on the business. Each and every task performed should be with your executive team’s strategic business plan in mind. In other words, HR is not strategic when it is not coordinated with the business strategy.
While the above summary is reasonably well understood (or should that be that its been written many times in different forms?!) I still think there is scope to narrow the gap between HR and the business, where such a gap exists. Personally, I think that the use of Christensen's Values, Processes and Resources, or VPR (diagram here) view of the firm offers people the simplest and most comprehensive means to understand, act on and close the HR/Business gap.
In brief, I think HR has a great claim to two of the three aspects of the above, namely Values and Resources. Talk of culture, missions and values can be owned or significantly influenced by HR. Likewise, Resources is only one removed from Human Resources! This leaves Process and aside from HR processes, having an understanding and making a contribution to this from a HR standpoint is a distinct possibility.
N.B. despite my own enthusiasm for the VPR framework, this page from Google only returns two results!
Apparently, nearly 50% of employees fail in the first 18 months of their jobs
Thank you to Max Goldman's blog for the title. We've also seen research by Ciampa and Watkins (1999) who claim that 64% of external hires ‘fail to make it in their new jobs’. Max writes;
Apparently, nearly 50% of employees fail in the first 18 months of their jobs. And we’re not just talking about individual contributors, either. Actually, the higher up you are, the more likely you are to fail...
Beyond that, bad managers, personality mismatches and lack of appropriate competencies are all good reasons for why new employees fail.
It’s always been a belief of mine that taking a job (or hiring someone) is like the beginning of a new relationship. There are all kinds of reasons why personal relationships fail. I’m sure we’re all familiar with many of them. Sometimes, even knowing our goals for the relationships is not enough to keep it alive when other parts are missing.
Anyway, on to the possible causes and solutions. We're particularly passionate to understand why people's relationships don't always work out and equally, is it possible to predict them in advance of people joining a new employer or starting a new role? We've put together some of our thoughts and a possible solution around this aspect of recruitment strategy on our site.
Reference;
Ciampa, D. & Watkins, M. (1999). “Right from the Start: Common Traps for the New Leader.” Harvard Business School Press, Boston.
Relationships as the Killer App?!
My friend Johnnie Moore has been spending some time at Reboot8. Here's a quick extract that caught my eye from an update from Johnnie;
...here are a few soundbites from Doc Searls who is speaking at the moment. Not sure if they'll make sense out of context, but it's good stuff, trust me.
The real killer app is relationships
How applicable is this to many day to day business situations? I think this observation just runs and runs...
More on Recruitment Methods
Following on from an earlier post, Robert Cenek raises the question 'Can Job Turnover be Predicted?'
To me, it seems that Robert's line of thinking runs in parrell to the earlier post, particularly when he writes;
Can Job Turnover be Predicted? Few readers would say no, and yes would be a safe bet at Caesars Sports Book – but it’s also a “take it to the bank bet” that most people rely on hunches or intuition when selecting employees. It’s no secret: most recruiters have “gut-level” conclusions on what they see as risk factors for turnover.
Yes, interviewing methods, screening and psychometrics all have a part to play, but equally, it seems to me that there must be something more to this that what has already been discussed. On the other hand, is relying on hunches and intuition really the best way?
Links on Relationships
I've been seeing a number of posts and articles on conflict and relationships. Here are some to mull over if you fancy a browse;
Poor conflict management costs business billions
In the UK alone, the CEDR calculates, conflict costs business £33 billion every year. The cost of business disputes comprises not only amounts paid in legal fees but also the damage incurred by business as a consequence of those disputes – in fact the cost of this damage (£27bn) far outweighs the legal fees (£6bn).
Develop Effective Work Relationships
Effective work relationships form the cornerstone for success and satisfaction with your job and your career. They form the basis for promotion, pay increases, goal accomplishment, and job satisfaction.
As part of leading discussions on the keys to great business relationships, I often ask seminar participants what they think the keys to great relationships are in personal life. Frequently, someone will say "Compromise" and I think this is dead wrong. Compromise means neither party gets what they want, and both sides end up unhappy. Instead, the secret is "Take Turns!"
We find that the ability to predict relationships often helps both individuals and their organisations in these sorts of situations.
HCM Software Growth
Research group IDC are reporting growth in the Human Capital Management field from £700m today to £1bn in 2010. Much of this growth appears to come from the increasing complexity in managing the HR function. Bo Lykkegaard, an analyst at IDC said;
"Employers are looking for next-generation HCM software," he said. "New markets such as workforce management and workforce optimisation are becoming critical areas."
Perhaps better use of software will help answer some of the questions raised by this Personnel Today piece and tie in with ideas around HR Strategy as pointed out here?
Groundbreaking Research
Jason Corsello highlights the ability of Talent Management software firms to match and link competencies across industries and clients. Demonstrating the relationship between this data and revenues and costs in the words of Jason;
...is...can I say...groundbreaking?
This could be an interesting trend to develop over the coming years?
A Consensus on Recruitment Methods?
An interesting article and comment from HR Magazine highlights the lack of consensus over appropriate selection methods (also see Personnel Today). There are some pretty startling figures in here too, along with the editorial comment;
Popular recruitment methods are useless at predicting whether a new employee will be any good in their job, according to the very people who use them most. Cranfield’s latest Recruitment Confidence Index shows that 86% of HR managers who take written references do not find them useful as predictors when it comes to finding an applicant who can go on to do the job well. The majority of HR managers surveyed also found panel interviews (78%) and CVs (67%) poor indicators of future success. The more modern psychometric tests were deemed ‘not useful’ by 44%.
HR comment: HR departments are either sticking to what they know – even if they are poor at predicting successful employees – or there is a real gap in the selection process that someone has yet to fill.
Perhaps there is a gap waiting to be filled?
Demonstrating Value?
Personnel Today have an interesting opinion piece in which they call for greater sophistication in demonstrating the value added by HR and HR Outsourcing in general;
HR outsourcing's tools and techniques need to move up to a new level of sophistication. Such a level would enable vendors (and their clients) to have an exchange amounting more to 'if we put in x we get y back'. Of course, how x might influence y is enormously complex and requires a deeper level of understanding.
Am I preaching to the converted? Why, then, does the performance of a multi-billion dollar industry continue to be evaluated in such a superficial way? I'll bet that HR outsourcing's failure to adequately understand its performance - and how this drives the performance of its clients - is the primary reason why the HR outsourcing industry isn't twice its current size.
This made me think of some of our own ideas on linking relationships and behaviour to the bottom line...




