People Strategy
The outsourcers with the highest quality of management, the strongest company culture, and the most effective people systems are the ones best positioned to execute client requirements.
Put another way, regardless of the soundness of senior management’s strategy or mandates on process management, is there a highly motivated middle management and front line staff ready and willing to execute? That determines whether a binder of procedures gathers dust on a shelf or whether an employee executes company and client procedures because they want to contribute to the success of the organization.
Most executives these days understand the following critical elements of an effective people strategy.
- Identify the values system that leadership genuinely emulates. A company must identify behaviors that senior management truly believe in and can naturally emulate on a daily basis. A company’s culture is derived from these stated values, and can be of worth only if they present an authentic reflection of the leadership’s behaviors. The greatest business minds of our time could come up with a list of the most effective organizational behaviors a company can have in a vacuum; but unless these cultural traits are a true reflection of the particular company’s leadership, then instituting such values would have the opposite intended effect.
- Recruit and hire according to those values. A company must have a stringent approach to hiring only people that emulate the established company culture and meet the professional requirements. While this statement may seem obvious, it requires more than just an added awareness. It requires superior execution to reap the benefits. Managers must be continuously involved in evaluating potential employees and applying a stringent approach, even when the pressure is on to fill positions quickly. Continous reinforcement on the importance of a stringent hiring process must come from the top continuously in order to mitigate the prospects of company culture being compromised by employees who do not embody the core organizational behaviors. Managers in today’s busy work environments need a constant reminder that they have a critical role to play in only hiring people that fit the company culture.
- Continuously develop employees. A company must be committed to continuously developing employees’ functional capabilities, general management skills and soft skills reflective of the company culture. Leadership must have an innate and true appreciation for human development. Companies truly committed to development go beyond teaching professional skills and even soft skills. The most competitive organizations today are those that institute a genuine learning environment that fosters intellectual curiosity and personal development. Similar to the point about organizational values, to institute a highly effective people strategy, this component cannot be feigned. Decisions on what to do in the area of employee development should be based more on the senior management’s true commitment and passion about the initiatives rather than what might seem to be the best off-the-shelf development strategy.
The most sophisticated companies have come to realize that you have to “be real” on the first requirement. There is increased awareness of the consequences of organizational dissonance — a misalignment between the company leadership’s real values and the company’s stated values. Many companies have implemented the third requirement, developing employees, in creating corporate universities that focus not only on professional development but also teaching soft skills to reinforce sought-after behaviors and elements of company culture.
The second requirement — having a truly stringent approach to hiring — is where most companies fall short. As a company, you cannot afford to slip one notch on this critical component to an effective people strategy.
What does a truly stringent hiring process look like? In addition to the normal interview process, it includes an assessment session during which candidates must interact, engage in discussion on a topic or perform certain tasks. Here, the potential new hires are witnessed in action, observed by their would-be managers and supervisors as well as HR staff.
Whether through this type of session or by other means, companies must institute mechanisms and selection steps during which behaviors and values can be observed in order to gauge whether the candidate is a good fit for the organization. Creating and implementing this level of intensity in the selection process requires creativity and investment of resources. However, the investment will pay off generating greater productivity per employee through a high energy organization where ideas flow, things get done and people thrive on the company culture.
To be the best, you need to institute a highly stringent and disciplined hiring process in finding people who embody your culture and professional requirements. That is the only way to ensure that you have the right people working for you and your clients.