I interviewed an H.R. director of a national software
company. She asked that I keep her name
and the name of the company confidential.
She will be referred to as the Unnamed One, or U.O., for this
discussion. U.O. has been with this organizion for five years and has been in human resources for twelve.
LD: Hi U.O. thanks
for taking time out of your weekend to chat with me.
UO: Not a
problem. I hope I can helpful.
LD: How do you identify top talent when recruiting?
UO: Software
engineers as an example – education is a strong indicator of success. I look at past companies they’ve worked for
and career progression. I look for technical
language terms and very specific computer languages. I also look for an element of
creativity. For example, one engineer used
a pictorial representation of his success and I had to play a game to get to
his actual CV. This told me he was
innovative and not afraid to take risks.
LD: What qualities do you look for in a top-performer?
UO: I look for
individuals who will exemplify the culture and DNA culture of this
company. They need to be, bright,
active, engaged, self-starters, motivated and kind. Kindness is very important. They need to set an example and take on
leadership roles without necessarily being put in a leadership position.
LD: What strategies have you found to be most effective in
keeping top performers at your organization?
UO: Well, using the
criteria I mentioned to identify them is the first step. We want to provide opportunities for growth
and career development for these employees.
Engaging them in their own advancement is also important. Offering them interaction with upper
management is another way, of showing them they’re truly valued. Rewards and acknowledgement also go a long
way.
LD: What ways would
you engage, reward them and show them how valuable they are?
UO: A trip to Silicon
Valley to interact with or shadow upper management is one way, if the employee
is not already based here. Recognition
during company meetings and bonuses are other ways. Top performers are also given company shares.
LD: What have you
found best motivates an employee?UO: Compensation always motivates but it’s not always the best thing. I think providing a healthy working environment with people who truly like each other and are talented is a good motivator. Also, growth opportunities and providing ongoing training can be motivating. The overall culture of the organization has to be positive and one that the employee believes in. Take Google, for example. People at Google now are not as motivated as they were nine years ago because the culture as shifted. People are not getting fulfillment like they used. We just recruited someone out of Google who was dissatisfied with the new culture there.
LD: Have you ever been surprised when a rising star has left you organization?
UO: Yes, but that person
was offered an opportunity that they felt was a better fit for their career
path.
LD: Would you have
done differently to keep that individual?
UO: No, I’m not sure
we could’ve changed their mind. This
person was enticed by something they thought was bigger, better. Our voluntary turnover has been very low
compared to other organizations I’ve worked for. This has made for a stronger team. Overall people generally tend to stay, and we
do our best to make sure we keep top talent.
LD: Do you think
there is value in engaging top performers to all levels of company goals and
asking for their input when trying to solve big company issues (Martin &
Schmidt)?
LD: Yes, it is a huge
element of success, but it their input needs to be very measured. There is danger in asking without giving the
full picture, however. We want to avoid
a bunch of “yes” men and women here.
It’s okay to disagree with upper management, but we also want to make
sure an employee has the whole picture before providing input. We’re very fortunate to have a CEO that
actually cares about the health of the organization and the culture.
LD: Do you equate current
high performance with future potential (Martin & Schmidt, 2010)?
UO: Yes, we look to
them to be the future leaders of the organization. We want to identify top performers and put
them on a path for success.
LD: If you were to
ask your current employees this question, “What would cause you to take a job
with another company tomorrow?” What do
you think the top three reasons would be?
UO: That’s a tough
one. I think a more attractive title or
position might cause someone to take a position elsewhere. A better or different comp plan may also be a
reason. Perhaps, there are life changes,
like having a baby, getting married, a spouse taking a job in another state or
country.
LD: In assessing top
performers for growth, does senior management in your current organization
drill down to discover what true potential lies in these performers or is the
assessment based on feedback only from their direct supervisor?
UO: We do regular checkups
on employees. It is a process though. We get feedback form managers, yes, but there
is a more in-depth process. There are annual
reviews and we encourage employees to use a direct line of communication to my
department, upper management and even to the CEO.
LD: Psychologically
speaking, there are four attributes, or drives, that are attached to everything
we as humans do. They are: to acquire,
to bond, to comprehend and to defend (Nohria, Boris, Groysberg & Lee,
2008). Research shows that by satisfying
these drivers, employers can better motivate employees. Do you think your organization effectively
motivates by utilizing these?
UO: I would say,
yes. We provide competitive salaries and
benefits along with stock options for stellar employees. I believe that will satisfy the acquire need. As for bonding, we want employees to know
that they are part of something bigger than themselves. Since kindness is a big part of our culture,
we want people to know that we care about them and want them to be emotionally
invested in our company. I hope that we
create an environment of learning and growing here and that employees
understand what we do and why we do it.
Providing ongoing training and seminars hopefully keep people mentally
engaged and stimulated. I think we do
reach this by taking away mystery and communicating changes effectively. We just bought a company in Europe. We announced this acquisition as soon as
possible to take away any fear or mystery around the event.
LD: In addition to
the afore mentioned drivers, do you think your organization supports the innate
human needs of competence, autonomy and relatedness to feel connected,
effective and agentic (Ryan & Deci, 2000)?
UO: I certainly hope
so. We are a very large company, so it’s
simply not possible to say that we’re meeting all of these human needs. Consistently, though, I think we do a good
job. My department very rarely hears of
any dissatisfaction that could be attributed to these needs or the drivers we
talked about. I think based on the
almost non-existent issues of this kind; we’re doing a good job.
LD: Does your
organization have an open book management style (Heyman & Barrera, 2010)?
UO: We certainly are
more transparent on where our financials are and what the strategy is than
other companies I’ve worked for. It’s up
to individual managers to transfer this into goals for their team, but it is
also up to the employee to be engaged.
So, what I’m saying is the information is there. The door is open for conversation at all
levels, and it’s up to management to make info available, but it is up to the
employee to gather, process and participate.
Through this interview I surmised that this organization has
a healthy culture and good pulse on employee satisfaction. They seem to encourage employee engagement
and have motivated well by satisfying the four drivers of acquisition, bonding, comprehension
and defense (Nohria, Groysberg & Lee, 2008) and keeping employees engaged
by meeting the human needs of competence, autonomy and relatedness (Ryan &
Deci, 2000).
The very low turnover rate at this organization tells me that
they are effectively motivating and rewarding their employees (Martin &
Schmidt, 2010). It would seem that the direct lines of communication and open
environment have proven to be effective methods for motivation and retention
(Heyman & Barrera, 2010). The
compensation package, incentives and rewards system also appear to in line with
Heyman & Barrera's (2010) theory.
I do happen to know that this company is run by Generation X
CEO (Erickson, 2010) and many of the employees are Generation Y (Meister &
Willyerd, 2010), so it is not surprising that it has an open feeling and a more
progressive, less bureaucratic culture.
The younger employees are pushing for more engagement (Meister &
Willyerd, 2010) and the CEO is open to change and diversity (Erickson, 2010).
Erickson, T. J. (2010). The leaders we need now. Harvard Business Review, 1-5.
Heyman, J., & Barrera, M. (2010). Engaging employees in the company’s profits
and their own. Profit at the bottom of
the ladder: Creating value by investing in your workforce (pp. 1-28). Boston, MA: Harvard Business School
Publishing Corporation.
Martin, J. & Schmidt, C. (2010). How to keep your top
talent. Harvard Business Review, 1-8.
Meister, J. C., & Willyerd, K. (2010). Mentoring milennials. Harvard
Business Review, 1-4.
Nohria, N., Groysberg, B. & Lee, L. (2008). Employee motivation. Harvard Business Review,
1-8.
Ryan, R. & Deci, E. L. (2000). Intrinsic and extrinsic motivations:
Classic definitions and new directions. Contemporary
Educational Psychology, 25, 54-67.
Interesting interview, Lisa. Based on this conversation, would you say that the company seeks to both intrinsically and extrinsically motivate their employees? What are some examples of each type of motivation?
ReplyDeleteHi Courtney,
DeleteI would say that it does. I think the intrinsic motivation comes from recruiting and hiring people who are passionate and motivated by their chosen profession, like the engineer who used a game as a way into his CV. Since they do seem to compensate well and have a good rewards system, it would appear an extrinsic motivation system is in play. Additionally,given the very low turnover rate, this company seems to satisfy intrinsic as well as extrinsic needs.
Hi Lisa, great interview! I think you did a wonderful job of structuring your questions around the readings for this week while asking thoughtful questions of the H.R director. I thought it was great that the manager highlighted kindness as an important part of the organization's culture - it really sounds like a great place to work.
ReplyDeleteI also think that it's interesting that she mentioned the first step in keeping talent is to make sure there a good fit for the organization. I was reminded of Galbraith's discussions of organizational design - and how this idea of "fit" was an important concept. We've come full circle!