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David
Lee
Consultant
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For
More Information:
David Lee, Principal
HumanNature@Work
P.O. Box 430
Bar Mills, Maine 04004
Tel: 207-929-3344
E-mail: info@HumanNatureAtWork.com |
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AR
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Becoming a Talent Magnet:
How to Attract and Retain
Great Employees
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David Lee |
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Originally published in Insights: The Journal of the Northeast HR Association
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Although
most business owners and CEOs say they
realize the critical role attracting
and retaining high quality employees
plays in their company’s success,
a recent survey by Kepner-Tregoe of Princeton,
New Jersey, seems to demonstrate what
many employees experience firsthand -
many don’t “walk the talk.” In
their survey of 1,290 employees, Kepner-Tregoe
found that 64% of workers stated that
top management doesn’t initiate
programs to reduce turnover.
When management does address this issue, they often focus their attraction
and retention efforts on financial factors - competitive pay and
a good benefits package. Although important, these are not enough
to attract and retain the best of the best. In fact, the Kepner-Tregoe
study revealed that 40% of employees felt that increased salaries
and financial rewards were ineffective in reducing turnover. In Fortune
magazine’s “100 Best Companies to Work For” survey,
not a single employee mentioned money as a reason why they loved
the place they worked. If competitive salary and a generous compensation
package aren’t enough, what does make a company the kind of
place that draws great people to it, and makes them want to stay?
In short, what makes a company a Talent Magnet.
Talent Magnet organizations attract and retain great employees because
they satisfy the key human needs that influence performance and loyalty.
They satisfy these needs by the way they are lead and managed. In
this article, we will identify several core human needs which affect
how people feel about a company, and how Talent Magnet organizations
address these. The following list is not meant to be exhaustive,
but rather a place for HR managers to begin the conversation with
their fellow managers about how they can co-create a Talent Magnet
Organization.
What Are People Looking For?
Pride In Where They Work and What They Do
The type of person employers want most - those who do an outstanding
job and take pride in their work - want to be proud of the company
they work for. Companies that produce mediocre products or provide
poor service have difficulty attracting and retaining excellent workers
- regardless of how generous their benefits and compensation package.
Conversely, companies that offer the highest quality products and
service are far more likely to attract and retain the “best
of the best.” Employee pride also comes from observing management
making decisions that show a clear understanding of what is going
on “in the trenches.” When management tolerates shoddy
decision-making and mediocre management, pride is damaged. When an
organization embodies excellence, it creates a self-reinforcing,
winning success cycle - a great company that attracts great people
who make it possible for the company to remain great.
Meaning and Purpose
Meaningful work brings workers alive in a way a generous benefits
package cannot. In the words of Studs Terkel, author of Working,
employees “search, too, for daily meaning as well as daily
bread, for recognition as well as cash, for astonishment rather than
torpor; in short, for a sort of life rather than a Monday through
Friday sort of dying.”
How do Talent Magnet organizations address this issue? First, they
have, and embody, a mission and a vision that captures the hearts
and souls of their workforce. Second, they continuously communicate
their mission and vision to their people. Third, they communicate
the important role each employee has in making the vision a reality.
Fourth, they give employees the tools and freedom to make a difference
in the company. Fifth, they let employees hear “the voice of
the customer,” to help them stay connected to the bigger picture.
Medtronics, a medical products company from Minneapolis, helps their
employees hear the voice of the customer and stay connected to the
big picture by flying in patients whose lives were saved by Medtronics
products, along with their families and doctors, to the company’s
annual holiday party, and letting employees hear their stories.
Appreciation
Showing genuine appreciation is simple, inexpensive, and tremendously
effective. Research shows that appreciation is one of the strongest,
if not the strongest, employee motivator. How do you show appreciation?
It can be as simple as saying "Thanks for doing a great job," when
handing out paychecks, as does Meredith Burgess of Burgess Advertising,
a Portland, Maine firm known for having far greater employee and
client retention than is typical for an industry characterized by
rapid turnover and fickle relationships.
Doug Levin, CEO of Fresh Samantha, the natural fruit juice phenomenon
from Maine, solicits information from managers every week, about
who has done a great job, gone the extra mile, or has done some other
outstanding “Juicehead” action, and sends them “Thank
you” notes. At Oakhurst Dairy, of Portland, Maine, co-owners
Bill and Stan Bennett are always on the lookout for employees going
the extra mile, and then making sure they get a gift certificate
to dinner, the movies, or some other small token of appreciation.
It’s not the “prize” that matters as much as the
underlying message - “We don’t take you for granted;
we notice the good things you do.” In fact, management at Talent
Magnet companies are careful not to confuse prizes, awards, and Employee
Appreciation Days with genuine, ongoing, person-to-person displays
of appreciation. The former can create cynicism and decrease motivation;
the latter taps into one of the most powerful human needs and motivators.
Opportunities To Learn and Grow
When work allows employees to use their minds, acquire new
skills, and face situations that invite them to grow, they come alive.
Talent Magnet organizations address this fundamental need by providing
their employees with ongoing learning opportunities. They do this
not only through formal training, but through cross-training, and
assigning employees projects and responsibilities that cause them
to stretch. Even for production work that might not be considered “knowledge
work,” innovative companies like Hussey Seating of South Berwick,
Maine design jobs so front-line employees get to bring their brains
as well as their brawn to work. Using a team model, production workers
at Hussey Seating are actively engaged in decision-making and process
improvement initiatives.
While management at non-Talent Magnet organizations view training
as a luxury they either can’t afford, or don’t have the
time for, management at Talent Magnet organizations see it as investment
in attracting, retaining, and growing a world class workforce.
Respect
Managers at Talent Magnet organizations realize that every management
action, response, or communication conveys a message about how much
management respects - or doesn’t respect - its employees. They
realize that simple demonstrations of respect, like not requiring
employees to ask permission for every minor decision, or saying “Would
you...” rather than “You should...” or “You
need to...,” when assigning tasks, makes a big difference in
how employees feel about their employer. Management shows respect
by soliciting input from people on the front-line. When Keane, Inc.’s
co-presidents Brian and John, Keane, Jr. go out into the field and
ask their people in the trenches “What do you recommend we
do about this situation?” they send a clear message of personal
and professional respect, and reinforce Keane’s reputation
as a great place to work. Asking for employee’s input on how
they feel about the organization and the way they are managed - and
then responding to the feedback - is another sign of respect.
Respect is also shown by recognizing that employees have a life outside
of work. It’s demonstrated by not piling on so much that work
employees don’t have a life, and not requiring them to beg
for flexible scheduling so they can meet their other life responsibilities.
At Tom’s of Maine, employees recently requested that they leave
early on Friday for the summer. The fact that they even dared ask
for that says something about the company. The fact that management
agreed - and that productivity has not decreased - says something
even more important about the company and the kind of mutual respect
and commitment that comes out of such responsiveness. Tom’s
management also responds flexibly to their workers’ child care
challenges, resulting in employees who can focus on doing a great
job, rather than on how they are going to juggle work and home responsibilities
- and feeling resentful.
This Isn’t Rocket Science.... So How Come So Few Companies
Do These Things?
These needs are so basic; so obvious; yet so often not met by companies.
HR Managers need to be aware of what prevent companies from recognizing
and addressing these needs, if they are going to help their organization
become a Talent Magnet.
Time Pressure - Managers are often
so time pressured and so focused on putting out fires, they incorrectly
believe they don’t have time to work on the “soft issues” related
to the human side of business. Obviously, a lack of understanding
about the impact these “soft issues” have on the bottom
line contributes to their being put on the “nice to do if we
had more time” list.
Lack of Awareness -
When people are promoted to the managerial
level because of their technical prowess,
but lack effective interpersonal skills
or an understanding of human nature,
they are more likely to dismiss the human
side of attraction and retention as “touchy
feely” or just plain irrelevant.
Arrogance -
Many companies show the same arrogance
toward their employees as they do to
their customers. They assume they know
better than their customers and their
employees about what would satisfy them,
and don’t bother to find out if
they’re correct. If they do ask,
and the feedback isn’t positive,
they dismiss it as irrational and impertinent.
Even when their workforce is hemorrhaging,
they adamantly maintain that employee
requests are inappropriate and impossible
to satisfy.
"Quick
Fixitis" - If managers can
order an Employee Appreciation Day or
an Employee of the Month award, they
can remove “Implement Attraction
and Retention Program” from their “to
do” list. The feeling of mastery
that accompanies the completion of a
task is so intrinsically satisfying -
especially to a harried manager whose
work is never done - that it blinds us
to whether the solution is effective
or not.
The unfortunate truth is that quick fixes and gimmicky approaches
to attraction and retention aren’t effective; they can even
have the opposite effect. Because people are very sensitive to insincerity,
workers are quick to notice a disconnect between staged events and
corporate proclamations, and the day to day treatment they receive
by their manager and the company as a whole.
HR Managers Can Help Their Organization Become a Talent Magnet
by Helping Management...
...Recognize the Importance of Listening
To The Voice of THEIR Customer - The Employees
Assuming customers are happy without asking them if you’re
right, is a surefire way to lose customers - and employees - left
and right. Talent Magnet organizations don’t assume that what
they are doing is working; they are constantly engaging in conversations
with their workforce through employee satisfaction surveys, anonymous
suggestion boxes, company-wide meetings, focus groups, and informal
conversations. Importantly, they also work at creating a culture
where honesty and openness is supported, so employees feel safe enough
to voice their concerns.
...Identify From Their Own Experience What Works, And Doesn’t
Work
When people compare their own experiences at positive and negative
workplaces or with their best and worst boss, they find it difficult
to deny the huge impact organizational culture and management practices
have on performance and loyalty. HR Managers can help management
identify those management practices and organizational qualities
that lead to high performance and employee loyalty. They can do this
by facilitating discussions among groups of managers, and then using
this information, along with an employee survey, to assess what needs
to be addressed in the organization.
...Recognize The Importance of Management
Development
According to Quinton Studer, president of Baptist Hospital, Inc.,
of Pensacola, Florida, “the number one things companies just
don’t want to spend money on (is) middle-management development.” How
employees feel about their organization is profoundly influenced
by how they feel about their boss. When they have a boss who is respectful,
inspiring, and appreciative, it’s hard not to be loyal. Thus,
management development is a wise investment for any organization
seeking to maximize their ability to attract and retain the best
of the best.
...Ask Themselves Tough Questions
This is perhaps the most difficult step to take. Creating a Talent
Magnet Organization requires courageous self-examination by management
at all levels about how well they lead and about the kind of company
they have created. This process of engaging in self-examination,
and engaging employees in honest conversation about how well the
company is run, can yield critical information about what steps need
to be taken to transform an organization into a Talent Magnet. See
the side bar for a few questions to get the process started.
Conclusion
It takes more than a generous benefits package and competitive salaries
to attract and retain talented employees. It takes addressing the
fundamental need people have for Pride, Meaning and Purpose, Appreciation,
Opportunities To Learn and Grow, and Respect. Leaders at Talent Magnet
organizations realize this, and continuously strive to address these
fundamental human needs. By listening to the voice of their customer
- their employees - and honestly engaging in self-examination, they
can create an organization that is a magnet for great employees.
Is Your Organization a Talent Magnet?
The following questions can help management begin the process of
exploring if they are doing the things that create a Talent Magnet
organization. Just as in customer service research, to effectively
answer these questions requires management soliciting feedback from
its customer - the employee. Without their input, all answers are
merely conjecture. |
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| Some
Questions to Ask: |
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1. |
How do our people feel
about being here? |
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| 2. |
Are we the kind of organization
that inspires pride? |
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Are the products and/or services
that we bring to the marketplace,
and the operational decisions we
make, worthy of pride? |
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| 4. |
Do we have a compelling mission
and vision - and do we “walk
our talk”? |
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Do we communicate our mission and
vision to employees, and do we communicate
how they contribute to it? |
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Do we work with employees to design
their jobs so they are as meaningful
and intrinsically satisfying as possible? |
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| 7. |
Do our employees feel appreciated? |
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| 8. |
Do we believe that training is
important; and are we acting accordingly? |
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| 9. |
Do we provide opportunities for
employees to grow by taking on more
responsibility and developing new
skills on the job, and could we provide
more? |
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Do employees feel respected? |
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Are we open to feedback about how
we manage, or do we assume that what
we’re doing is right, and its
their job to adapt to us? |
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If I worked for me, how would I
feel about being here? |
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Do we try to get the most work
out of each employee, regardless
of the toll it takes, both on them,
and on the quality of their work? |
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Do we show respect for employees
life outside of work? |
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Can employees discuss openly with
management their work/life balance
needs? |
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Do we have a workplace environment
where people generally have fun and
enjoy each other’s company? |
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| 17. |
Can people be open and honest about
how they feel and what they think? |
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About the Author: David Lee is an internationally recognized authority on organizational and managerial practices that optimize employee performance. He is the author of Managing Employee Stress and Safety, as well as dozens of articles on employee and organizational performance that have been published in trade journals and books in North America, Asia, Europe, and Australia. For information on his programs and service, click here.
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