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    About this Episode

    File 2:  As we open today’s file, we’re going to begin a 3-part series dealing with workforce issues related to Process, Packages and People.  In part 1, we’ll focus on Process.  Jamie, Molley and Jason are ready to help identify some of the issues employers have in effectively recruiting, hiring and retaining good talent. 

    Do Companies Actively Plan for the Hiring Process?

    Molley begins by asking this question of the group. This is particularly relevant when an employer is hiring a larger number of people. Jamie’s response is that often companies plan for work, but necessarily workers.  Jason comments that when things get busy, companies tend to scrap the process and just try to fill the jobs. 

    The plan is a key component of a hiring initiative.  But as Molley observes, the plan is going to be different based on the number of employees the company is trying to hire.  How you need to accomplish the objective has changed dramatically.  Traditional methodologies aren’t as successful as they were in the past.  This is where many employers struggle.

    This Is the Way We’ve Always Done It

    That mindset is a limiting factor in today’s environment.  Jason points out that while it may not be the most effective approach, today, many companies aren’t sure how to change their recruiting and hiring process.  Unfortunately, rather than taking the time to investigate, modify and improve the process, some companies just decide, “We’re just going to go with what we know.”  It’s no wonder the results often fall short of expectations.

    Molley’s been involved in recruiting for the past 28 years.  Things have obviously changed.  Jamie comments that she found her first HR position in the newspaper.  How effective are newspaper ads today?  Not nearly as good as they were years ago.  The market and how prospective new hires look for job openings has evolved.

    Molley explained how, in the early 2000s, she took a different approach to helping a company recruit a large number of applicants for experienced IT roles.  The success of her non-traditional approach proved her assumption that you have to be creative in your process, if you want it to work.  The “post and pray” approach is a sub-optimal way to tackle workforce development objectives.

    Jamie remembers how in the 1990s, she noticed a company using video to showcase the work environment, so prospective applicants could get a sense for what a normal day would look like.  It was innovative back then, however, there are companies who still are relying on the “This is the way we’ve always done it” strategy.  They’re losing out on some of the best candidates.

    Jason notes that the balance of power has changed.  It used to be that the employer had all of the leverage, but that’s not the case anymore.  There are more open jobs that people who want to work.  It’s a big shift and those talent acquisition teams that are willing to recognize it, have a tactical advantage over those who are still looking in the rear-view mirror.  You have to adapt your process.

    You’re Recruiting from 5 Different Generations

    The group recognizes that depending on the role, you have the opportunity to recruit from literally 5 different generations, but they all gather and process information differently.  This poses a significant challenge to employers who are anchored to a single, outdated process. 

    Fun with Labor Planning

    Jamie discusses how a company she previously worked for held daily, labor planning meetings during peak production.  The HR team focused on KPIs to help them understand their current tracking, as well as identifying potential gaps or shortfalls.  They would then model their future performance in an attempt to forecast potential issues.  For instance, how would the opening day of hunting season impact their attendance?  They considered the UK and UofL athletic calendars and many other factors that could stress the production capability of the operation.  This is a process that helped to highlight the need for contingency planning to minimize disruptions.

    While this seems fine for a larger company, it may be even more critical for a smaller operation.  The larger employer had a pool of employees to fill in, as needed.  That “luxury” may not exist for a smaller company.  Developing a more detailed workforce planning process may be the key to helping the business to deliver on commitments to its customers, as well as to the bottom line.

    Culture Has a Role

    Jason points out that beyond the company’s culture, the culture of your workforce also has a role in an effective process.  It’s not uncommon for a diverse workforce to have specific needs/desires for time off during various holiday and religious seasons.  They have valid factors in their personal lives the company should consider in its resource planning.

    Attrition Is Part of the Algebra

    This is an interesting, and often frustrating, part of the planning process.  While math is based on truths (e.g. 2 + 2 = 4), factors impacting your ability to effectively manage the workforce levels are always changing. 

    Jamie is a firm believer in the adage, “Start with your customer and work your way backwards.”  Some companies have pronounced peaks and valleys that impact the number of employees you need to have at any given time.  For others, however, the business flow may be more steady. with a slower burn.  She recommends including your particular workforce demand in your annual planning and review it in your on-going monthly discussions.  You want to ensure you’re achieving your monthly goals, or identifying factors preventing your organization from doing so.  This on-going monitoring will enable you to spot issues quicker, allowing contingency plans to be implemented to limit significant problems.  Once again, it’s a process.

    Molley discusses how pausing to consider the drivers of why you need to hire can also provide valuable insights.  Often companies assume they only need to focus on the hiring process due to business growth and expansion.  Sure, you can forecast workforce needs based solely on this, but what about attrition?  Don’t fail to consider your need to hire additional employees to address those you’re going to lose through attrition.  If you’re not careful, you’ll overlook the need to budget for the recruiting, hiring and retention of these addition employees. 

    It’s important to include regular analysis of the workforce development actual expense compared to the budgeted expense.  If you have a smaller organization, your planning needs to be even more thorough.

    Succession Planning

    This process can be complicated, especially when you realize it’s not simply for production-level employees, but also for continuity planning within your management and senior management. 

    The group discusses the often-overlooked risk of “that single point of failure.”  This refers to the accumulated knowledge a specific employee may have, but never gets documented.  When this person leaves, production and/or other important roles can be significantly impacted. 

    Molley describes a situation in which a manufacturing employee had spent 30-years on the line.  A couple of times each month, he replaced a piece of duct tape that helped to keep the line moving.  He left and when the problem arose, no one knew what was causing it, nor how to quickly fix it.  Production was disrupted.

    One solution would have been to have someone stand beside him to document the specific processes and the unwritten tips, steps and quick fixes that he knew about.  How much smoother would that assembly line’s production have run, had that single point of failure been identified in advance?  Realize, most operations have many of this informal knowledge floating around.

    Molley shares another story about a 35-year employee who notified his company that he was going to retire in 2 years.  No training manual for his job existed.  This would have been an excellent opportunity to have someone shadow him, take pictures of specific actions and speak to him about why that step was necessary to the process.  The training manual would easily be created.  As Jamie points out, a well-developed knowledge transfer should be part of the process.

    Jason’s company does a lot of video training.  They create videos using the actual employees, when possible.  There are video tools and screen sharing tool that can be used to show a specific process.  This style of training is great for visual learners and those who may not read as well.

    What’s the Proper Way to Develop a Budget for Staffing?

    Jason comments that while you need to consider what you will have to spent, it’s also important to consider what you’d lose if you didn’t spend the money on it.  Molley found research indicating it costs $10,050 to recruit a mid-level or lower employee and to keep them for 60 days.  This doesn’t factor in the cost of a failed hire or other opportunity costs.

    Of course, you can spend less, but you have to break down the process and decide what will work best for your specific situation.  Unfortunately, as Molley’s experience has shown, very few companies tend to adequately budget for a phase of new hiring.

    Jason discusses the challenge of finding “the right employee” who gets it, wants it and has the capacity to do the job. 

    Jamie comments on the key question of whether your organization is prepared to recruit.  There are often additional individuals, beyond just the recruiters involved in the process.  Are they prepared to ask the appropriate and legal questions?  It’s an important consideration.  Compliance is there to protect the company, especially from legal exposure.

    Molley and Jamie point out that many of the recruiters haven’t performed the actual job, so they aren’t able to fully address questions that may arise.  This can be a flaw in the process.  If the recruiters could have some experience doing the job or observing the job, it can help them to set the proper expectations during the interview.

    It’s important that numerous stakeholders are involved in the overall plan.  It’s the best way to ensure your recruiting and human resources teams know the plan, work the plan and nail the plan.  If you’re asking, “Why can’t I find good people?” one answer is process.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

    We hope you found this file insightful and helpful.  Thank you for listening!

     

    Recent Episodes from Workforce Therapy Files

    The Importance of Employer Branding

    The Importance of Employer Branding

    File 12:  In today’s file, the team dives into the importance of employer branding.  How does this fit in to a podcast that’s generally about recruiting, staffing and HR?  Simple.  If you want to attract quality employees, company leaders need to understand how their organization is viewed by the general public.  Is it a brand people want to associate with or are there negative connotations about the organization and its work environment?  If it’s the latter, there’s a direct connection between employer branding and its ability to effectively manage its workforce.

    Understanding the Term “Employer Branding”

    Jason owns CrowdSouth, a marketing agency that works with large organizations.  He begins by explaining that branding is not about your logo, your color scheme or a font.  Branding is how an audience feels about you.  An employer brand refers to how people feel about you as an employer, rather than simply the product or service you provide.

    WHY Should a Company Focus on This?

    People are often confused with why they need to focus on their employee brand.  Jason states that you may need to revive it.  If there’s really no sentiment (+/-) about your employer brand, you may need to inject some energy into it.  In other situations, you may need to take steps to adjust it or completely correct the current perception in the marketplace. 

    Jamie discusses a time when she accepted a job to work with an employer she knew as a consumer, but not yet as an employee.  She relocated to the new city and went to get her new cell phone.  When she told the person across the counter that she’d just accepted a job with the local employer, the person’s reaction was, let’s just say, less than inspiring.  The employer’s brand was not viewed positively in this small town. 

    Molley comments that in years past, it was all about the reputation of the company, not necessarily the employee-experience.  At that time, society was much more committed to staying with an employer for a longer period.  The current paradigm has completely shifted.  The opinion of an organization’s employees matters.   How that company chooses to treat its employees is an important factor in whether it keeps and attracts other employees.

    Jason describes a previous situation his company was involved with several years ago.  A large employer acquired a local plant.  They wanted to let the local community know that changes were being made to make the plant a more inviting place to work. 

    Jason’s team worked to secure employee testimonials to help alter the perception of the local plan, in terms of what it was like to work there.  As a way of indicating if the efforts were working, they monitored Google Reviews about the facility.  The star-rating increased and it resulted in being easier to recruit new employees.    

    Keeping the Feedback and Opinions Authentic

    People are naturally skeptical of attempts to change long-held opinions or perceptions.  Jason suggests a few ways to approach the effort.

    Employee surveys and public sentiment surveys can provide useful feedback.  Customer survey results can provide additional insights.  Taking steps to secure testimonials from employees who were there before the changes and chose to stick with the company now that the changes have been implemented tend to be good stories to leverage.

    You have to be able to admit there’s a problem, if you actually want to change it.

    Your Organization’s Net Promotor Score

    Jamie mentions that her company, Parcel, and Molley’s company, Incipio, both use a survey tool from OrgVitals.  She likes that the surveys ask employees for a net promoter score.  This key metric is simply a measure of whether the individual is willing to recommend the organization to someone else.  It’s usually on a 1-5 or 1-10 scale. 

    Molley describes how her team researches companies that have approached Incipio.  Her team Google’s the company’s name to see if they’ve been in the news (+/-).  What is their Glassdoor Rating?  What are people saying about the organization on Indeed?  Who do they know on LinkedIn who might have insights about the company?

    The point is that it’s not uncommon for the leadership team to have a different perspective than what’s actually being said on the street.  Often the feedback Incipio gathers is the basis for a couple of discussion points:

    ·      Are your views and perspectives aligned with the opinion on the street?

    ·      Is this something you what to resolve?

    Social Listening Campaigns

    Jason discusses how his company is working with a global company, at its large facility in the region.  CrowdSouth is doing a social listening campaign for them.  They’re pulling data from a collection of online platforms that have reviews about the company.  Then, they present monthly reports detailing what’s being said about the company.  Jason’s team synthesizes the information and they review it with the organization.

    The candid feedback will enable the company to understand their employer brand (as it currently exists) before fully engaging with Jason’s team.  You have to accept your current reality before you can decide whether it’s what you actually want that “reality” to be.  Get the data first.  Then, go build a strategy to move the perception in the desired direction.  The result will be a much more successful effort, verses relying on your assumptions.

    WHEN Should You Do This?

    Jason advises clients to have a continual feedback loop enabling the company to actively monitor “the conversation.”  It also provides the opportunity for you to highlight positive stories through social media, as well as local and regional media.  If you’re not doing this, start now.

    It’s possible for an organization to weave its own narrative.  There’s no reason to simply accept how people perceive your employer brand.  Take an active role in curating or influencing that brand perception.

    Actively Own Your Glassdoor Page

    Jamie observes that as a business, you can own your Glassdoor page.  You’ll have access to respond to comments about your company.  But what’s the best way to address less than optimal or even negative comments on your page? 

    Jason says the proper response depends on the scenario.  If the company is involved in a lawsuit, they may need to post a link advising viewers to follow it for updates on the situation.  Maybe it is a challenging situation.  Have your answers ready, but don’t let them sound canned.  This allows you to respond and shows you took action to address it.

    Molley has a slightly different take.  She agrees that responses need to be posted.  The adds that you should thank the person for the comment and recognize them for having spoken up about the issue.  She goes a step further by encouraging management to provide phone numbers that particular individual(s) can use to speak directly to them about it.  It not only gives the individual an outlet, but it also shows everyone else that your actively engaged in resolving the issue.

    Candidates have a tremendous amount of power at their fingertips.  As an employer, you need to be savvy about your employer branding.  Employees want that in today’s environment. 

    Anticipating a Major Hiring Push?

    This is a perfect time to begin adjusting your employer brand.  Don’t wait until the initiative is underway, that might be too late and in some cases, it may take time for the efforts to take effect. 

    HOW Can an Employer Take Steps to Adjust Its Employer Brand?

    This may be the biggest question.  Jamie comments that this may be a surprise to the HR professionals.  Yes, they have a hand in this marketing role.  It’s a good idea to designate someone to basically own employer brand.  Make it part of the job description.  This may be someone in marketing, as opposed to HR.  Either way, establish it as a key responsibility.

    Molley advocates to designating someone internally, rather than an external resource.  Consider a short-term employee referral program to begin positively impacting the story.  As that begins to take hold, then move externally with your big hiring push.  Remember, your employee base can and should be brand champions.  Check out File 8 for additional information on that thought.

    As an organization, make sure your vision and values align directly with how you are treating your employees.  For instance, if you’re organization is family focused (“family first”) oriented, you need to live it.  Make sure it’s part of performance reviews, publicize it, provide opportunities for your employees to take advantage of work-life initiatives.  Make sure you’re walking the walk and talking the talk, before you turn your focus outward.

    Have a Consistent Narrative

    A company must be mindful of the conversation that’s happening, on a daily basis, about its employer brand.  While some of these conversations are verbal, many are online.  There are so many platforms that it might seem overwhelming.  However, the key idea is to contribute to these conversations across a variety of online platforms.  Craft and deliver a consistent narrative to help influence the tone and/or topics of the various conversations.  Don’t do it surreptitiously.  Be authentic in how the company is communicating. 

    Jason reminds us that a brand is a living and breathing thing.  It can be guided more than it can be controlled. 

    From an HR compliance perspective, Jamie explains that this is also consider a protected activity.  If an individual comments on the company’s social channel(s) or their own, about pay, benefits or working conditions, and even one employee “likes” it, the comment is now considered protected speech.

    So, not only should a company contribute (i.e. nudge the conversation), this is also why implementing a listening campaign is important.  If the company is aware of issues, it can take steps to actively correct and resolve them, before they take-on a life of their own, online.

    Another option Jason recommends is to run an ad campaign, especially if there’s an issue in an existing region.  Story-telling is a great method for nudging the employer brand.  Show some community compassion or something the company is doing for its employees.  It’s an effective way to get people focused on positive stories about your brand.

    WHO Is Responsible?

    Employer branding works best when it’s a combination of your talent team, marketing and senior leadership.  Understand that senior leadership is responsible for thought leadership throughout the organization.  What they talk about, what they value, how they express it and what they encourage drives company culture and values.  The talent and marketing teams can play a role in keeping leadership’s narrative where it needs to be, relative to the employer brand. 

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

     

    We hope you found this file insightful and helpful.  Thank you for listening!

    Breaking Up Is Hard To Do

    Breaking Up Is Hard To Do

    File 11:  In today’s file, the team dives into the topic of terminations.  Breaking up is hard to do, but it doesn’t have to be for either the employee or the manager delivering the news.  The key is to do it with dignity.

    Molley and Jamie begin with comments about how they’ve been in situations involving a decision to terminate an employee and how stressful the entire situation can be.  In situations involving a lack of performance, the separation should never come as a surprise to that individual.  However, when there are unforeseen layoffs, business closings or similar situations, these can be particularly difficult.

    Termination for Poor Performance

    As a leader, once you recognize someone is struggling in a role there are actions you can take to work to determine why he/she is failing to meet performance expectations.  This is why a performance-related termination should never come as a surprise.  There should have been coaching and plans made to help the individual to become more successful.  At the same time, expectations should be effectively communicated.  When that doesn’t happen (or hasn’t happened), it makes it even worse.

    Jamie describes a TikTok video an employee made of her actual termination phone call.  The call was handled by someone in HR she’d never met, instead of her manager/supervisor.  The employee provides specific metrics she knew were used in evaluating performance for her role.  The HR professional didn’t handle the conversation effectively.  There are many ways this could have gone better for both individuals.

    Layoffs and Business Closings

    As a business leader, you should make a concentrated effort to be candid about the business, especially when speaking with your employees.  How are you communicating about how your business is performing?  If hard times are happening, your employees should be aware of the potential steps that might be required.  Your organization needs to be prepared to help you to right the ship and at the same time, to understand what the consequences might involve if that doesn’t happen.

    Molley shares a story about the time she was laid off from a large, financial services company.  Jamie builds on that with her own personal story about her husband’s layoff notification, which came while they were opening their wedding gifts.   

    Consider the Person

    Ask questions to determine the best way to deliver the information.  Layoffs may be the exception, but even then, how the communication is handled makes a significant difference. 

    What is the individual’s work history and what to you know about him/her?  The tenure an employee has with the company can influence how the conversation should be handled. 

    Have you had direct conversations with this person, before making the decision to terminate?  Does this person actually know the situation and what could potentially happen if they can’t improve their performance?  Have you considered the types of objections the employee might offer as justification for remaining part of the organization?  What are some of the needs the individual might be concerned about, as a result of the termination?

    There should not be one, single script used to terminate every employee.  There could be common points, such as a severance package or a checklist, but the overall conversation should be customized based on some of the above-mentioned questions.

    There’s also a personal-safety consideration.  Has this person exhibited any signs of a tendency that could escalate into a workplace violence situation?  If so, what steps should be implemented prior to the conversation?

    Cleaning Out the Office

    This is a very emotional step.  There are ways to handle this to avoid causing embarrassment and/or shame.  Jamie offers some alternative advice.

    Having someone, such as security, stand over the person while their cleaning out their office, anticipates something bad occurring.  Has this individual given you reason to expect they’d do something to harm company property or make a scene? 

    What if the company has a company vehicle?  Have you planned on how this handoff should happen?  Are you going to end up forcing the employee to stand outside waiting for their spouse or friend to pick them up?  Would it be possible for someone to pick up the vehicle at their home, instead?

    Allow the person the opportunity to separate with dignity.  Remember, depending on where the company is located, the option of calling an Uber might not be either practical or available.

    The Importance of Delivering the Message with Compassion

    Having someone whom the person doesn’t know deliver the message was already covered in today’s discussion.  The person deliver the message needs to be knowledgeable about the person being terminated, understand the reasons for the decision and to be prepared for the discussion.

    Providing for a conversation that preserves the person’s dignity is important.  Be prepared to answer questions from the individual.  These could involve the date benefits will end, when he/she will receive the last paycheck, payment for unused vacation days, etc. 

    Do you have information on the process for filing for unemployment benefits?  Jamie has seen a large-company layoff situation in which the employer brought in someone to answer questions about the process for filing for unemployment and related questions.

    Even if the company is forced to lay off a larger number of people, having one-to-one discussions is a better way to handle the situation.  The individual may have unique needs and questions. 

    When the communication is not handled properly, the story will get told and retold which will inevitably damage your company’s brand reputation. 

    When It Goes Off-The-Rails

    How you handle this greatly depends on whether you had a plan in case this were to happen.  A termination is a highly-emotional situation.  Jamie suggests you approach it by asking yourself, “How would I want someone very special to me to be treated, in this moment?”

    There’s no reason you can’t simply stop the conversation to give the person a little time to regain his/her composure.  Consider asking, “Is there anything I can do to make this moment different for you?”

    The Importance of Creating Optionality

    When it comes to cleaning out the person’s workspace, there are a number of ways to approach it.  Would the individual prefer to have you retrieve specific, personal items for that individual?  Jason points out that these questions create “optionality” for someone who’s in a situation in which they aren’t feeling as if they have many options, at that moment.  There are natural reactions to feeling as if you’ve been backed into a corner.  Providing the individual options, or the feeling that they have a few choices, can de-escalate their feelings of helplessness.

    Consider asking if the individual would prefer to have the personal items mailed to them.  This way the items could be collected after everyone has left for the evening.  There’s the option of having you do it and meeting them back in the lobby, rather than standing over their shoulder has they clear out their desk.

    If your company has a policy regarding what a person can retrieve, is it practical and reasonable?   

    They’re Feeling Worse

    If you are the one tasked with delivering the termination, it can be extremely uncomfortable.  That’s understandable.  However, it still needs to be handled with dignity.  Remember, regardless of how uncomfortable you’re feeling, as the messenger, the person receiving the message is feeling worse at this very moment.  Challenge your leadership to consider a more compassionate way to handle the termination process.

    The Best-Case Scenario

    When someone receives the news that he/she is being terminated, they’re going to experience panic.  It’s a natural emotion.  What are they going to do?  How are they going to tell their spouse?  How will they find another job? 

    If you go into the situation with the understanding of how this person will be feeling and the questions they’re going to have (whether spoken or unspoken), you can be better prepared for the best-case scenario.

    Do you have information about outplacement services with you in the discussion?  Jamie explains how a company she was involved with provided outplacement services for any employee who left, regardless of the reason.  It required minimal cost to the organization.  It delivered a high-degree of service.  It walked the person through the process of updating a résumé, updating a LinkedIn profile, interview and job-search tips.  It included advice regarding leveraging the individual’s personal and/professional network. 

    Why do this?  It actually can reduce your unemployment expense.  It may lower your exposure to potential litigation.  It still conveys that the organization cares about the individual and his/her success. 

    Can you prepare a letter of recommendation for the individual, or an offer to do so, in an effort to help them move forward? 

    Providing these types of service can shift the way the person experiences the conversation.  There are appropriate ways a company can communicate to the remaining team (i.e. after a large layoff) about the steps it took to help those dismissed individuals.  This might help to positively position the brand of company.  It shows the organization cares.

    Breaking Up is Hard to Do

    These conversations are never easy, nor should they be.  Take those extra steps to make an effort to soften the blow by helping the individual to move forward.  Molley reminds us that we’re all humans.  It’s all personal, whether we want to think of it in that light or not.  It’s important to remember to be human.  It matters.

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

    We hope you found this file insightful and helpful.  Thank you for listening!

     

    Recruiting Begins with Retention (Part 3 of 3)

    Recruiting Begins with Retention (Part 3 of 3)

    File 10:  In today’s file, the team wraps up a 3-part series focusing on how Recruiting Begins with Retention.  The discussion focuses on your employees who have been with you for 3 years and longer.  We’ll refer to them as “The Eddies.”  They are your “Steady-Eddies.”

    In File 8 the team discussed those 0-6 month employees (“the Excitables”).  In File 9, the focus was on the six-month to 3-year employees (“the Evolvers”).

    Jamie begins by explaining that the Eddies, in part because of their tenure, are focused on how the organization is operating.  They are the ones who are evaluating the company relative to the commitments it’s made to the workforce. 

    CNBC and Employee Engagement

    Jamie cites a recent CNBC article which states, “Workers are the unhappiest they’ve been in 3 years.”  This speaks directly to employee engagement.  It goes on to report this issue, “can cost the global economy $8.8 trillion dollars.”  That’s a staggering number.

    As it relates to your own organization, employees who have been with the company for 3 years or longer may begin to show signs of stagnation and/or decline.  This is where your efforts to foster engagement really tend to show up. 

    Where Should You Focus?

    The Eddies tend to show a bit more boredom, the need to be challenged and where that sense of community or connection at work should be recognizable.  If the work they perform isn’t engaging, it may indicate a ceiling as to how long they’ll be willing to continue doing it.  The Eddies tend to feel a bit more entitled. 

    Jason notes that this group tends to split into those who are comfortable doing the job they were hired to do, and those who are looking for new challenges and could potentially be your future leaders.  Is there upward mobility available for them?  Are they being promoted? 

    Now that you’ve invested your time and effort in getting them to this point, how to you keep them? 

    Turnover Data May Not Be the Best Indicator

    Jamie explains that your data may miss the mark on this issue, with this particular employee segment.  The group may be eligible for tenure-based incentives (i.e. more money, vesting, additional vacation time, etc.).  Nevertheless, it doesn’t really capture whether they actually like being here and performing the required tasks.

    Molley addresses the turnover issue.  If your organization has high numbers, but they’ve continued to show up to work, they may naturally develop a sense of entitlement because they are the ones “keeping the doors open around here.”  This issue can present its own risks and challenges.

    If that tenured employee is involved in training others, is the training program and/or material effective?  Is it the person doing the training?  It could be a combination of factors.

    The group discusses some of their personal experiences related to the above issues.  The concept of golden handcuffs doesn’t lead to inspiration.  It simply means the employee is showing up because they may not feel equal or better opportunities may not exist outside of the organization. 

    Molley points out how having an engaged leader who was willing to assist in your development (almost as a mentor), would have been a way to maintain her engagement and job-satisfaction.  Some employees will show up and do the work, but are they actually enjoying it?  What could the company do to focus on that aspect with your 3 year and longer employee-segment?

    The Importance of Introspection

    Jason builds off of Molley’s comments.  Some people aren’t naturally introspective.  But when it comes to keeping an individual feeling challenged and engaged, taking time to interact and help them think about how they are actually feeling about their role, contribution and future might provide valuable insights. 

    Jamie notes that when people appear to be disengaged, usually because they’re complaining, are still in the game.  They may be trying to show that they really care about what’s going on.  It’s the ones who go silent that you should be concerned about.  Have they given up?  You need to explore what’s on their minds to show you still care about them, at this stage in their tenure.

    The simple act of asking, can make someone feel valued.  You took the time to check-in and have an honest discussion, or at least to provide them with the opportunity to do so.  That can have a positive effect on the individual.  Remember to be genuine in this approach.  It shouldn’t be viewed as a tactic.  Don’t give the impression you’re just checking off boxes on a list and today that person’s name came up.  Authenticity matters.

    Look for Organizational Milestones

    Recognizing milestones can work to reignite that seemingly lost excitement.  Jason offers ways you can help discuss the advantages of organizational changes either in structure or leadership.  Bring the conversation down to how this might be able to benefit a particular person, group of people or even a department as a whole.

    It’s important to find the positive aspects of the change.  You’re looking for ways to get your Steady Eddies back into that “newly wed” phase of their company experience. 

    Rigorous Candor

    Jamie urges us not to overlook the work required to set the foundation enabling you, as an HR manager or similar role, to have rigorous candor with your workforce.  There are going to be unknowns tied to any change.  When you’re trying to communicate the positive aspects of the change, you need to be sure it doesn’t come across as what Jamie terms, “corporate gaslighting.” 

    Molley points out the disconnect between the common understanding that most people hate change.  Yet, when the new iPhone comes out, they flock to it.  What explains this?  Jamie offers that Apple has provided an exciting product that you can unpack and easily figure out.  You can’t do that with a new organizational leader or a departmental supervisor.  The unknowns overshadow the potential upside.

    What Are Your Eddies Looking For?

    Many are looking for or anticipating new challenges.  They may be feeling ready to take on a leadership position.  Does your organization these opportunities?  If you’ve spoken with your employees about a career path, but then overlook them when they should have been considered, it’ll be seen as a letdown or a failure on a commitment.

    Is there a way to give them some flexibility for more work-life balance?  The person you hired 3 years ago (or longer) may be in a different phase of life now.  The same incentives you offered in the earlier years may not feel as relevant to them today.

    Tolerance can also become an issue.  Early on, the employee may have been willing to shoulder more of the responsibility for the things he/she didn’t know how to do or understand.  In this more tenured phase, however, if they are still feeling confused or if they aren’t getting the answers they need, they’ll shift the blame onto the organization. 

    One Size Fits All Benefits Plan

    While a general plan can be more easily administered, it can’t possibly work for each employee in the same way or be viewed with the same value.  It’s not uncommon for medium-sized organization to have a range of 5 different generations in the workforce, at the same time.  There’s no way for a one size fits all benefits plan to work well.

    As employers, you need to find a way to target aspects of the benefits plan so that are considered valuable to the individual segments.  But how do you figure out what is needed or desired in a benefits plan?  The answer is quite simple.  The organization needs to ask the workforce what they’d like to see or have by way of employee benefits.

    The three groups (0-6 months, 6-months to 3 years, and those who have been there 3 years or longer), are different.  Engagement data can still provide helpful insights.  But it’s important to view the data by the tenure segments.  Can you identify ways to engage the individuals by offering opportunities they can learn about or explore? 

    E-learning, such as LinkedIn Learning, can be easily incorporated into employee programs.  Continuing education is a terrific benefit, but recognize that employees strongly feel the expense should be the responsibility of the employer, not the employee.  The C-Suite often feels it’s not their responsibility to cover the cost of continuing education opportunities.  That’s a significant disconnect.

    Upskilling your employees should always be seen as a good investment for the organization.  Consider celebrating an individual employee when he/she completes an e-learning course and receives a certificate.  They can also be useful in your performance reviews. 

    Remember, if your company fails to provide this type of paid-for investment in an individual’s skill set, that person may decide to seek out an organization that will.

    Why Do People Leave?

    Molley closes out the file with a question.  Recruiting begins with retention, so why do people leave?  The answers may be different for each of the 3 tenure segments.  However, if your company or organization can’t answer this question, it’s time to begin finding out the answers.  You have 3 professionals on this podcast who can help you to figure it out.  We can help.

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

     

    We hope you found this file insightful and helpful.  Thank you for listening!

    Recruiting Begins with Retention (Part 2 of 3)

    Recruiting Begins with Retention (Part 2 of 3)

    File 9:  In today’s file, the team continues a 3-part series focusing on how Recruiting Begins with Retention.  The discussion focuses on your employees who have been with you for 6 months to 3 years.  We’ll refer to them as “The Evolvers.”

    Jamie begins with a quote from Fortune magazine regarding why employees leave during the first 6-12 months.  Some of these reasons can be restated to include:

    •         Feeling out of sync
    •         Not understanding how they impact the company
    •      Realizing their job-related activities are different from what they were originally told

    In Part 1 of this discussion, specifically focused on employees who were in their first 6 months, the group stressed the importance of helping the new hire to clearly understand the above 3 points.  How well your team performed relative to this important activity will set up the next 6 months and beyond. 

    Molley discusses how at the 6-month mark, the employee is beginning to develop relationships with his/her co-workers.  They should be settling into both the role and the culture.  Jason asks if it’s fair for the responsibility to now transition from the recruiting team to the management team?  The answer is yes.

    This would make sense because the recruiting team now needs to refocus on generating the next batch of new hires.  They’ve generally done their job of finding the right candidate, getting them hired and assisting with the on-boarding process.

    Molley recognizes that there may be some joint-responsibility, but for the most part it’s no longer a recruiting issue.  There should be a helpful hand-off.

    If leaders were to see a trend develop in which people decide to leave in the 6-8 month period, then of course, maybe recruiting should be involved in a deeper dive into the core issue driving the trend.  However, generally speaking, it’s now in management’s hands.

    Molley recounts a series of simple, but important questions she presents to C-Suite leaders regarding their turnover rate, cost of hiring and the cost of leaving that position unfilled.  Many do not have a firm grasp on those metrics.

    Jason comments the above illustrates exactly why a company should have at least one individual tasked with monitoring, measuring and reporting on these metrics.  It’s vital to the company’s ability to grow in a competitive market. 

    The Workforce Therapy Files team is a group of professionals who work with companies grappling with the challenges of workforce development.  They know how overwhelmed talent-teams are.  Nonetheless, someone in the company needs to have retention as a part of their individual responsibilities. 

    Managing the Transition

    Molley recommends re-engaging with employees who are at that 6-month timeframe to see if they would be interested in mentoring others in the 0-6 month range.  It could foster engagement for both parties.  There’s a lot of value in this effort.

    Jamie discusses how the types of conversations you’re having with that employee who is in the 6-month to 3-year tenure needs to evolve.  It’s a good time to get the pulse of the individual relative to their aspirations for advancement, job-satisfaction and general engagement.  Make sure employees continue to feel that level of interest you initially showed.  They are still important to the overall mission.

    Unfortunately, at the 3-year mark, there tends to be a dramatic decrease in the engagement level of an employee, based on what Jamie’s observed during her career working to help various companies.  Job rotations and internal job fairs are ways to foster interest and improved engagement levels. 

    Molley makes a good point.  If you do internal job satisfaction-style surveys, but don’t take action based on the results, nothing will change.  In fact, it may worsen.  Your employees are human beings and they need to be acknowledged for the contribution they make to the overall organization’s success.  Knowing that they are being heard is a great way to begin improving employee engagement.  “I hear you” is a powerful statement for management and supervisors to make.

    How Does Your Employee Perceive What They Do?

    Jamie recounts an example that goes directly to an individual’s contribution to the mission:

    “A man was approached and asked what he was doing.  His response was that he was laying bricks.  A second man was asked the same question.  He responded he was building a wall.  A third man was asked and his response was ‘I’m building a cathedral.’”

    This illustrates the importance of ensuring the individuals understand how important they are.  It often begins with how they see their role.  Effective communication and coaching by management can help to influence that perception.

    Jason reminds us that this is why it’s so important that everyone understands the mission and vision of their respective companies.  It helps to define how each person’s role is related to the long-term success of the company and the customers who purchase the products and services provided by those companies. 

    Milestones at the 6-Month to 3-Year Stage

    Employees who are in this stage of their tenure generally experience the following:

    •         They’re comfortable with the role
    •         They’re getting competent in their role
    •         They’re getting clarity in their position

    However, there are some other actions, intended or not, that generally take place:

    •         Support for the individual begins to decline
    •        Expectations begin to increase
    •         Issues start to arise

    If you are doing engagement surveys with your workforce, hopefully you’ll be able to identify the red flags and take action before the employee fully disengages and/or exits the organization.

    Situational Leadership

    Jamie discusses how at 0-6 months, leadership needs to be directive.  At the early part of the 6-month to 3-year window, there will be fewer instructions and coaching.  This is the point at which recognition and feedback are important.  It gives you an opportunity to gauge how the employee views his/her progress.  Remember, these are “the evolvers.”

    Managers should never be too busy to engage in the recognition and feedback at this stage.  It’s a critical part of their role/responsibility.  The company has invested a lot in the individual’s achieving this stage in their career path.  Don’t short circuit the return on investment by ignoring this phase.

    At this phase, a manager will be able to get a feel for the individual’s trajectory and aspirations.  At the same time, the person’s true talents should be emerging, which could lead to opportunities in other roles.  Engaging with him/her about future options would be a great idea.

    Employee Referrals

    Molley explains how this is an excellent window during which employee referrals can be made.  Unfortunately, as the individual grows more comfortable, referrals tend to decrease.  However, while many companies have referral incentives, Molley shares a pro-tip.  How about instituting an employee referral program that rewards both the individual making the referral, as well as the new hire?  You can really get creative here to go beyond the status quo.

    There are many ways to get an employee to engage.  Some of the options may be for internal improvement initiatives, but don’t forget about community-wide initiatives.  Again, get creative and foster that sense of pride and belonging.

    Recognition is also important.  Jason recommends publicizing work anniversaries, promotions and achievements.  Jason shares his company’s fondness for fun trophies.  Recognition is recognition.  It motivates and fosters a sense community, even though it’s focused on the individual’s activity. 

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    We hope you found this file insightful and helpful.  Thank you for listening!

    Recruiting Begins with Retention (Part 1 of 3)

    Recruiting Begins with Retention (Part 1 of 3)

    File 8:  In today’s file, the team begins a 3-part series focusing on how Recruiting Begins with Retention.  The discussion focuses on “The Excitables.”  These are employees who have been with you for 0-6 months.  The needs of this particular group are different, and so are the reasons they may decide to leave.

    You Only Have One Chance to Make a Positive First Impression

    Jamie begins by asking, “What was your WORST first day like?”  Jason immediately recalls a summer job he had, during college, on a hog farm.  It was a large farm with 1,000 animals.  What he didn’t realize is that there was a hazing tradition in place for any new guy.  They assigned him a task with no instructions and no information on how to complete the task. He was thrown into it and figured out how to do it.  As he describes it, “It was a disgusting first day.”  Even though he showed up the next day and things seemed to go much better, it was a less than optimal first impression.

    Molley asks Jamie about her worst first day.  In this case, Jamie relocated for a new job.  She was in a new city and bought her first house.  She showed up for her first day and they put her in a small room and instructed her to read 2 binders worth of material.  There was no tour of the office, no introduction to her co-workers, nothing.  Several weeks later, they asked her if she had ever done investigations.  She came back with a report that her boss picked apart.  It caused her to seriously begin doubting herself and her ability to do the job.  Again, it was a less than optimal first impression.

    Jamie asks for Molley’s worst first day story.  Molley grew up in an entrepreneurial family.  She had experience, but the story she tells is about her first paying job.  She was a Subway sandwich artist.  Everyone seemed friendly and welcoming.  However, just as the lunch rush began, the staff disappeared.  Molley was running the show by herself, on her first day.  It was a nightmare.  The manager was leaving the company, but luckily, the new manager was much more professional and coached Molley on how to properly handle the responsibilities and tasks.  However, the first impression wasn’t what you’d imagine it would have been.

    The Turnover Data

    Jamie explains there’s something that happens during that first 6 months of employment.  If you assume most people don’t take a new job to quickly quit it, the problem must be a miscommunication or the setting of unrealistic expectations during the recruiting process or in the on-boarding process.

    Molley refers to a report stating, industry-wide across the US, 33% of all new hires leave those new jobs within 6 months.  The group dives into the key factors that may be driving that huge turnover.

    Planning for the New Hire

    This is imperative for any business.  You may have heard stories of managers not knowing the employee was starting on the day they showed up to begin.  Poor communication and planning leads to a feeling of being unappreciated and makes the company look extremely disorganized.  The same happens when your office phone or new computer isn’t ready.  Imagine how excited the new employee was and the disappointment that resulted from the lack of planning.

    The team takes time to discuss their BEST first days.  The examples are much more in line with what you would expect (or at least hope) a first day should feel like.  These best first days included tours, introductions both formal and informal and much more.

    Jamie tells a story of a best first day with a company that absolutely knocked it out of the park.  There are so many little things a company can do to really make the new employee feel he/she made the right decision.

    If your new hire is working remote the challenge to nail that first impression becomes more complicated, but it can be done, if you simply plan for it.  Molley has a good game plan for this situation.  Remote workers need plenty of consistent contact, especially in the early days.  Jamie describes how video tours of the main office are helpful.  She also mentions how to offer tips for the remote employee that shows your company cares about their involvement and progress.

    Retention Can Start in the Interview Process

    Jason describes how his company handled this with a terrific, remote-work candidate.  During the onsite interview, several people took this individual to dinner.  She discussed her dream of owning a bed and breakfast.  Later, Jason’s team mailed her a book about starting a successful bed and breakfast.  It was a small gesture, but imagine how that made the person feel about the company and the team she was about to join.  That’s a good first impression. 

    The key is to actively listen for those little comments about what’s important to the individual you’re interviewing.  Then, take action to create an opportunity to prove how your organization’s values align with his/hers.

    Do You Have a Formal On-boarding Process?

    Molley comments how important it is to have a written on-boarding process and accountability assigned to people who have a role in that process.  This can help with consistency and controlling the experience so it delivers the impression you intended to deliver.

    Jamie observes the secondary goal for most organizations when dealing with a new hire.  You want them to become functional and productive as quickly as possible (the employee shares that same goal).  An effective on-boarding plan should cover the first 6 months.  Orientation is not on-boarding.

    The plan should include:

    •        Who do they need to know?
    •        What access do they need?
    •        What training do they need?
    •        What’s the estimated time required for that person to learn the various job activities?
    •        How often should the leader or manager meet with the new employee to ensure they are feeling comfortable with the new role and their ability to perform the duties? Consider these “temperature checks.”  Is that employee getting what he/she needs?
    •        Schedule daily meetings for the first week.
    •        After the first week, the meetings could be weekly.
    •        That cadence can go longer after the first month or so, depending on the feedback.

    Form an Assimilation Team

    Sometimes, this level of involvement may not be feasible.  Consider developing an assimilation team that can take on some of these activities to ensure the new hire is getting the support he/she needs.  There’s value in the communication that will occur between the new employee and the more experienced ones who are taking that individual under the collective wing.  It makes him/her feel important and valued.  Moreover, it establishes important connections.

    What Should You be Measuring Related to On-boarding Success?

    Jason was surprised by the 33% turnover rate.  He asked Jamie and Molley to recommend ways organizations can measure their progress.  Jamie likes breaking the first 6-month turnover rate down by type of job, leader, location or other factors.  You want to try to identify best-practices within your organization and apply them to lower-performing areas. 

    Molley shares her perspective about the value of the new hire process.  Can you identify at what point does that new employee become profitable to the company?  You’ve invested time and effort in this individual from the recruiting expense to the compensation and training of that person.  If he/she leaves before they reach that point of profitability, your organization has failed to achieve a return on that investment.  You need to determine the root causes preventing new employees from reaching that point of profitability.

    Do You Understand Why They Left?

    It’s critical to understand what went wrong.  If you don’t, you’ll be destined to have it repeated time and time again.  Are you conducting exit interviews with voluntary departures?  Of those who are considered involuntary departures, do they fall into common reasons or “buckets”?  Did you have the proper system and tools set up for someone to learn the job and progress?  How can you set people up for success in your organization?

    Don’t Wait for the Exit Interview

    Molley notes that if this is the first time you’ve actually asked the individual about his/her experience with your organization, it’s too late.  The damage is already done. 

    During the first 6 months, you should be having regular and consistent communication with your new hire.  You’ll be able to address issues more quickly, if you’ve taken the time to ask and/or identify them.  Don’t set up your people to fail.

    Set Expectations Clearly and Early

    Jason comments that if you set the proper expectations, people have a better chance of meeting and exceeding them.  If those expectations are ambiguous, is it really the fault of your new hire?

    Your Compensation Program

    Jamie adds that most compensation programs set the mid-point at when the individual becomes fully functional for the role.  Aligning your process allows the person to grow his/her compensation to hit the mid-point, while allowing you to make adjustments to the training program, as needed.

    Your New Hires Are Referral Sources

    People who are having a terrific on-boarding experience tend to be more likely to refer others to your organization.  They’re excited about their roles, the culture and the future opportunities.  They are more apt to tell family, friends and colleagues about their experience.  This can also have the opposite effect, if the process is poorly designed and/or implemented. 

    New Hire Surveys

    These are becoming more widely available.  They are critical sources of feedback for your organization.  They often encompass the interviewing process, as well as the on-boarding phase.

    Jamie encourages companies not to try to build their own.  You need an anonymous tool, if you want credible feedback.  Using survey tools such as Survey Monkey, can help an employee feel more confident that his/her identity will be masked.  This can promote more candid responses. Jamie and Molley have had a lot of success with OrgVitals. 

    The Importance of Communication and Marketing

    Jason’s company focuses on marketing for employers.  He encourages organizations not to ignore the importance of internal marketing.  What are you saying to your team about your culture? 

    He recommends that talent acquisition team begin working with the marketing department to allocate investment for internal marketing and communications.  There is value to reducing turnover and promoting employee engagement. 

    Jamie comments on how you might be able to use some of those internal marketing and communications to introduce your new hire to the organization.  It’ll make him/her feel welcome and potentially open up connection points for others who may have similar backgrounds, hobbies or experiences.

    Highlighting the fact that the organization is actively hiring can bring a sense of relief to those who are feeling under-resourced and overworked.  “At least the company is doing something to address the issue.” 

    If you need help reducing your resources, you have a team that’s here to help.  You don’t have to do it on your own.

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

    We hope you found this file insightful and helpful.  Thank you for listening!

    Getting Help with Your Recruiting and Staffing Objectives

    Getting Help with Your Recruiting and Staffing Objectives

    File 7:  In today’s file, the team focuses on you when it comes to getting help with your recruiting and staffing objectives.  It can feel overwhelming.  It’s often like you’re just climbing uphill without the proper resources. 

    Jamie begins the discussion by describing why she quit going to conferences, early in her career.  The speakers didn’t really seem to understand or remember what it was like at the ground level.  So, what’s the answer, how do you seek and ask for help?

    Jason approaches this from a marketing perspective.  Rather than outsourcing this recruiting element, some companies decide to hire “a marketing person.”  Finding an individual who can handle graphic design, website development and management, copywriting, ad builds, interpret analytics and other important activities is usually too much for one person to handle, effectively.  Many of these skills are separate and distinct.  The same example applies to recruiters and talent acquisition professionals.  The scope of the challenge is extremely broad and leadership doesn’t always understand how to properly resource these efforts. 

    Asking for Help

    This is difficult to consider, especially when you think it’s “just not in the budget.”  The reality is it’s probably there, but you have to dig to find it.  How big of a financial impact does turnover have on the budget?  Jamie and Molly comment that senior management may not actually attribute a dollar amount to this, but the real costs are there.  Most organizations don’t truly understand how much it costs to hire an individual or group of people.

    Waste associated with workforce planning, in general, rarely shows up in the budget.  In reality, it may be one of the top expenses to a company, along with the general categories of payroll and benefits.  Companies would do well to begin planning for it. 

    The cost of recruiting and hiring has changed.  These expenses should be a dynamic part of the budget.  Simply allocating what you’ve done in the past doesn’t actively consider the increases in these activities, or the actions being taken by your competition.

    Jason suggests you consider whether or not your company’s budget has a significant allocation for capital expenditures.  This may be an area from which to secure investment in your workforce development efforts.  There may be some miscellaneous funds that tend to roll over in this ledger, year after year.  There are software tools that can help you to better analyze your workforce planning and the cost of these tools may be less than you anticipated.  The overall savings would definitely yield a return to the company’s bottom line.

    The Cost of a Failed Hire

    Molley asks new clients to quantify this number.  Unfortunately, many can’t or don’t know where to begin.  She goes on to explain in recruiting, there is a turnover number and a churn number.  There’s a difference.  Churn relates to what happens before the person becomes profitable for the company, in terms of the investment it made in identifying them, recruiting them, hiring them, onboarding them and training them.  These expenses are real.  If the employee leaves before he/she hits that point at which they can operate more independently (i.e. they’re now profitable), it’s churn.  Turnover, by contrast, occurs once the person has become profitable. 

    You need to have the numbers to make an effective argument to leadership.  Having an outside expert come in to work the numbers and to formulate and deliver “the story” is a win-win. 

    Timing Is Important

    For many managers and C-suite leaders, the end of the year is when they really get laser focused on the budget.  The time for asking is now.  If you miss this opportunity, you may be stuck with that decision for the next 12 months.

    Jamie recommends you identify the person who is representing the HR budget at the C-suite, for your division.  Share a detailed, line-item version of what your budget should look like.  Prepare them with the rationale and the numbers so they can advocate effectively on your behalf.

    Jason and Molley discuss how to both build as strategy for the ask, as well as preparing to defend the questions regarding the ask.  Be prepared to offer specifics related to the deliverables directly resulting from the company’s investment.  It’s always about Return on Investment (ROI).

    Know What You Don’t Know

    Molley explains this statement.  You have to define where the issues are and why they exist.  This exercise will help to support your argument for increased funding for recruiting and talent acquisition.  Show that the investment will address the issues traditionally leading to the problems.  You have to dig into it and determine the root drivers.  Doing so will enable to you identify “why” you’re asking.  It’s not just a wish-list.

    Returning to the core theme of the discussion, you can leverage the tools and expertise of outside resources to help you to build the right strategy.  Some of the initiatives can obviously be handled internally.  Reach out of help as needed.  Find a partner who understands your situation and will provide solutions to specific issues.

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

    We hope you found this file insightful and helpful.  Thank you for listening!

    Understanding What the Labor Statistics Indicate

    Understanding What the Labor Statistics Indicate

    File 6:  In today’s file, the team digests the latest Bureau of Labor Statistics numbers and their impact on recruiting and economic standpoint.  Why are they important and what difference do they actually make? 

    For reference: https://www.bls.gov/news.release/empsit.nr0.htm

    Jason begins with a brief explanation.  The monthly jobs report is a combination of narrative and tables intended to help individuals, businesses and other organizations to monitor the labor market.  This information assists in planning, forecasting and modeling for a variety of purposes.

    In this report, the number of new jobs created was double what the economists expected.  Depending on your role, that could be good or bad.  For recruiters, that means there may be more competition out there trying to attract great candidates. 

    The average hourly wage increased from $27.85 to $29.06, versus the same time last year.  This is a national number, so it may seem higher or lower than where you are located.  Jason recommends interacting with your local or regional workforce development team to get a better handle on your specific market.

    The unemployment rate is 3.8%, a historic low.  But what does this really mean?  This represents individuals available and actively looking for work in the past month.  However, that number can be skewed.

    The workforce participation rate is a more interesting number.  This is the percent of the population either working or actively seeking work.  In this report it was 62.8%, compared to a roughly 60% rate for the last year or so.  This might be a red flag.  As the Boomers retire, the workforce is getting smaller.  The younger generations have different work habits and preferences.  This rate is also seasonally adjusted.  Jamie observes that the report indicates we have more jobs and fewer people to fill them. 

    Molley describes a period during which she was recruiting for architects and engineers.  There was significant shortage of candidates.  The college and university enrollment levels for these programs were down.  If you are trying to hire in these types of fields, it’s going to continue to be difficult.

    What the Data Means for the C-Suite and the Recruiter

    Jamie comments that 400,000 more people have part-time jobs, in addition to their full-time jobs, compared to last year.  Jason notes that this could indicate talent-acquisition teams are realizing the trends and may be pivoting by offering part-time arrangements, rather than requiring the role to be filled by a single, full-time employee. 

    Some organizations resist the consideration of part-time arrangements.  She states it requires management and intentionality on behalf of organizational leaders.  It may be a good time to split certain roles into part-time segments, if it can be done.  Flexible location and hours are still preferred by prospective candidates.  It’s quite possible some of these candidates would maintain their full-time jobs due to current state of the economy.

    Jason observes that the 400,000 number is interesting from a marketing standpoint.  He often works with large organizations to attract prospective job applicants via online platforms.  If you begin to break full-time positions into multiple part-time positions, you’re going to need to market to a wider population, thus potentially increasing your marketing spend for this hiring initiative.

    Molley adds that by having more eyes on a particular project, the creativity and problem-solving capabilities would naturally increase.  Jason comments that it would be less of a negative impact if you were to lose a part-time employee vs a full-time employee, because you still have one or more people in the position.

    Innovative Steps to Help Your Workforce

    Jason comments how a client organization in a rural area has begun offering transportation services.  This provides a way to overcome transportation issues that might restrict or eliminate people from getting to work.  He admits it takes effort to implement the logistics, but definitely works well in the long-term.

    Molley is dealing with a client organization that’s confronted with a similar transportation issue.  Some of the employees and prospective employees are challenged to get to the facility, because it’s not located near the bus line.  Figuring out a solution is very beneficial to the employer, but again, requires a level of intentionality.  She recommends that if the company is drawing from an area requiring 45 minutes to an hour to get to the workplace, implementing an internal, logistics program for those individuals would be a solid investment. 

    Jamie returns to a topic discussed in a previous File (Packages – Peeling the Workforce Onion Part 2).  It’s the importance of having regular wage reviews.  Are your compensation packages still competitive in your area and industry?  The information you collect will help you develop a better plan to attract the right number of individuals for your workforce development needs. 

    Jamie also notes that the tuition deferment programs are getting ready to expire.  Are you considering some type of tuition repayment support? Doing so could make your company and its open positions more attractive.

    Organizational leaders have both the opportunity and responsibility to review policies that impact your team’s ability to effectively recruit.  There’s value in developing a culture focused on meeting employees where they are.  This means you have the ability to prepare to do good and great things for your organization.

    As pay rates increase, as mentioned earlier, the workforce not only remains your most valuable asset, it also remains your largest expense.  However, there are ways of augmenting your compensation package, without actually increasing hourly wages.  Transportation, child care and other options help you to meet your workforce where they are.  It’s important for your recruiting team to be able to seek employee feedback and push that information to the C-Suite.

    Advice to Recruiters about the Numbers

    Molley offers some valuable tips and advice.  If you don’t understand how the unemployment rate or the workforce participation rate affects the jobs you’re trying to fill, it makes it more difficult to effectively communicate with your leadership.  While you may be gathering insights as to what candidates and current employees need, if you can’t correlate those needs with industry data, your recommendations won’t seem as solid.

    You have the ability to be at the forefront of change.  You’ll be better equipped to add top talent and to drive value for both the company and the individual.  Molley challenges recruiters to learn the numbers and what they actually mean for your company’s success.

    Increasing compensation adds pressure.  However, Molley recommends diving deep to understand your particular industry and your competition’s offerings.  Why would a prospective new-hire select a competitor over your company?  There’s also understanding the scope of the competition.

    Molley uses the example of Louisville’s UPS World Hub.  There are many companies in a radius around Louisville that work in logistic, fulfillment and distribution.  If this is your segment, it may not be exclusively UPS you’re competing against.  Rather, it’s important to understand how your compensation packages stack up with the larger scope of competitors.  You need the statistics and information to craft a solid analysis of what you need from leadership to enable you to attract top talent.

    Molley comments about how one of her clients offers employees a cell phone plan and that aspect of the package has resulted in a very high retention rate.  It seems relatively small, until you understand how that benefit directly impacts household budgets.

    Carefully planning questions to determine what challenges, needs and desires a prospective candidate might have can uncover valuable insights into the compensation package you’re going to need to offer.  Obviously, this shouldn’t be interpreted as asking questions that are “off-limits” or might result in legal consequences.  However, you should intentionally pursue conversations to help you recruit that candidate.

    In a previous episode, the team discussed how the power dynamic is changing.  Applicants and candidates have more leverage.  Both the recruiter and the individual are evaluating if this is a good fit.  Molley quotes a statistic that on average, essential workers apply for up to 10 different positions, at any given time.  You have to find ways to offer competitive comp packages, the right culture and requirements that meet both the company and the individual’s needs.

    Altering the Fundamental Approach to Recruiting and Hiring

    Jason offers an explanation of how and why the approach needs to change.  Traditionally, leadership will cast a vision, talent acquisition receives the objectives and attempts to execute.  Jason recommends both stakeholders review, analyze and consider the economic and employment reports on a periodic basis, especially during monthly, quarterly and annual strategy sessions.  The numbers are going to impact how you execute the plans. 

    As a recruiter or HR specialist, you have the opportunity to mold your company and its future.  The situation may look different down the road, but the key is to avoid being stagnate and/or unaware of the trends impacting your talent pool.  Prepare your leaders to craft the proper policies and to focus on developing leaders throughout the organization who believe in and support those policies.

    Procrastination is not your friend.  You have to intentionally block out time to think about these topics with your team.  Solutions don’t simply materialize.  You need time to analyze the opportunity, understand the headwinds, align the solutions with your company objectives and then to effectively present them to your C-Suite leadership.  It takes time.  Start soon.

    The team suggests you actually forward this episode to your leaders and think through the issues together.  If you’d like help, our contact information is provided below.

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com 

     

    We hope you found this file insightful and helpful.  Thank you for listening!

    Spooky Recruiting Issues

    Spooky Recruiting Issues

    File 5:  In today’s file, the team goes with a Halloween theme.  We’ll discussed spooky recruiting issues and situations to avoid. 

    Ghosting

    Jamie begins the discussion with the topic of ghosting.  Imagine leading recruiting teams for large organizations.  Suddenly you find yourself laid-off.  You’ve made progress in your job search, but suddenly you realize, nobody is calling you back.  It feels as if you’re being ghosted. 

    If you’ve every applied for a job, it’s quite possible you’ve been ghosted.  You took the time to go through the process.  You did your best to avoid typos and grammatical errors.  You submitted the information well within the posted application period.  Nonetheless, you’re not getting any response.  No acknowledgement of receipt.  No “thank you will be in touch.”  No “we’ve decided to go in a different direction.”  No follow up letter/email of any type.  Nada.

    Molley shares her personal experience when stepping back into the job search.  She wasn’t aware this actually happened in recruiting.  It was a shock.  She and Jamie discuss the importance of tracking the communication flow to ensure you’ve responded to each applicant, even if it’s to decline them.  In the past, this was a tedious, manual process.  Today, technology has changed that process and there’s no good reason for ghosting an applicant. 

    Molley comments about how important follow-up is, especially if you’ve had an actual interview with an applicant.  At some point, it becomes about the personal brand of that recruiter, as much as about the brand of the company looking to hire.

    Jamie talks about how some of her best hires were people who had previously applied but weren’t necessarily the best fit for that particular role.  However, once a better opportunity came around, because she’d effectively handled the communication flow with that person, she was able to reach out and convince them to apply for the new opportunity. 

    The follow-up becomes even more important if the candidate has made it through several steps of the interview process.  Remember, how you represent the company for which you are recruiting can have a significant effect on how that individual talks to family and friends about the company, especially if it was a poor experience. 

    The team discusses the importance of having a solid process in place.  In File 2, Process was the focus of the entire episode.  It can ensure you communicate and limit the chance that an applicant or candidate slips through cracks.  A good process, especially when combined with the right software can help you to automate some of those communication activities, thus saving tremendous time and effort.

    Zombies

    Molley transitions the discussion to zombies.  Okay, well not exactly, but we’re sticking with a Halloween theme today.  Zombies are the recruiters or HR professionals who only consider applications if all of the right boxes are checked.  The system or process might eliminate a quality applicant, simply because he/she didn’t meet each one of the prerequisite qualifications.  Often, those qualifications might be more boilerplate than actually relevant to the individual’s ability to excel in a particular roll.  Unfortunately, the zombie recruiter will never get the chance to connect with that applicant. 

    Jamie also describes a colleague who was an extremely effective professional, but might not have made it past the initial screening process, because she had a degree in paralegal studies rather than a bachelor’s degree. 

    The Invisible Man or Woman

    Jason introduces this spooky recruiting issue.  This is an HR professional who is not performing internal talent reviews.  Recruiting is a time-intensive and costly process. It’s quite possible the ideal candidate would have been an internal hire, had there been an internal talent review to identify this individual.  It’s scary to think of the time, effort and money wasted by not looking at your own bench before deciding to pursue an external hire.

    Molley asks who’s actually responsible?  Is it the HR professional or the internal candidate?  Jason makes a good point that if the internal individual doesn’t know the job is posted, how could he/she apply? 

    It’s important to make sure you have a process in place to identify and cultivate successful, internal candidates, who are actually interested in pursuing a new role.  Jason describes managers as gardeners.  They’re growing and developing their teams, but the recruiter may not be as familiar with the internal talent.  Again, effective communication flow is critical to optimizing the recruiting and hiring process.

    Jamie advises recruiters to have this conversation during the intake process.  Ask the hiring manager, during the initial discussion, their current team or individuals in other departments.  There might be quality candidates who should be involved.

    Frankenstein

    This refers to an amalgamation of a number of factors.  Recruiters may be looking for culture-fit, but forcing a fit may actually create a monster.  Subjective decision-making introduces bias.  Trying to convince someone they are a good fit, or rejecting someone because you don’t think they’re a good fit may result in negative consequences. 

    Jamie and Molley share that sometimes the culture needs to be adapted or changed.  Often a talented individual may be able to evolve the team’s culture, while also excelling in the role regardless if his/her perceived “fit” with the existing culture.  Why miss out on a great candidate because of a bias?

    Molley describes an “interesting” question a CEO used to use in his interviews with prospective clients.  It may not have yielded the desired result.  She comments that while sometimes there are reasons for “riding the wave” when it comes to assuming a new role, more often than not, it can be risky if the process isn’t managed properly.  This can lead to failure rather than an optimal result for both the new hire and the company and/or department.

    Vampires

    This refers to the person who sucks the life out of you at work, rather than enabling you to maintain your excitement and engagement in the work you are performing.  Jason observes that the vampire may have originally been a Frankenstein (i.e. forced into a culture fit scenario) and now he/she is in a position in which the rest of the team is suffering because of it. 

    Jamie describes another vampire, but from a different perspective.  This is the high-performer who’s meeting or surpassing the KPIs, but leaving bodies in their wake.  They’re abusing their administrative support and others.  People might imagine aggressive sales people fitting into this mold.  While the individual continues to earn accolades, bonuses and other recognition for performance, the damage to the organization can be tremendous.

    Solutions for Dealing with Spooky Recruiting Issues

    Ghosts:  Make sure you’re properly staffed so you have the time and processes to effectively communicate with your applicants and candidates.  Automation can be your friend. 

    Zombies:  Jamie mentions this was addressed in a previous episode.  As a recruiter, you really need to know and understand the job for which you are recruiting.  Understand what really matters and what really drives results.  As you’re interviewing if you spot a potential gap or deficit, ask questions to see if the applicant/candidate may have made up of this perceived gap/deficit in another way.  Again, it’s never about just checking the boxes.  Engage!

    Molley observes that when the job market is tighter, recruiters may have the opportunity to look more closely at prospective candidates.  As part of that, Jamie recommends reviewing your “knockout” questions to ensure your system isn’t rejecting individuals who may actually be able to perform and/or excel in the role, based on a few broadly brushed parameters.  Bias can have a role in the zombie approach.  The recruiter needs to be on guard and self-aware during the vetting process.

    Invisible Man/Woman:  Jason suggests having a good process developed to identify viable internal candidates can be a solution to dealing with this issue.  Remember, you may have a talented individual already on your team who either hasn’t spoken up or doesn’t know about the new opportunity exists.  The internal search process can save time and money.

    Frankenstein:  Stitching together a person to simply get a body in the role may seem the path of least resistance, but in the medium- to long-term, it can turn out to be a disaster for the organization.  Molley makes the point that it’s important to review the job description before you set out to hire.  The job description may not have been updated since the role was originally created, however, the actual tasks and responsibilities may have evolved.  Fixing this upfront can definitely help avoid creating a Frankenstein. 

    Vampires:  The group quickly urges managers to identify the vampires in your organization and get them out.  The overall negative impact to the organization isn’t usually worth the damage the vampire is inflicting.  Jamie recommends analyzing the rewards systems to ensure they’re not rewarding vampire behavior.  More often than not, this is the case.

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

    We hope you found this file insightful and helpful.  Thank you for listening!

     

    People - Peeling the Workforce Onion Part 3

    People - Peeling the Workforce Onion Part 3

    File 4:  In today’s file, we conclude a 3-part series dealing with workforce issues related to Process, Packages and People.  In part 1, we focused on Process.  In part 2 we discussed compensation Packages.  Today, we’ll focus on People.  Jamie, Molley and Jason are ready to help identify some of the issues employers have in effectively recruiting, hiring and retaining good talent. 

    Editor’s Note:  If you missed the previous segments of this discussion, click here to listen to Part 1 of this series (“Process”).  Click here to listen to Part 2 (“Packages”).

    Our #1 Asset:  People

    Jason begins this discussion with the simple reminder, it’s about our people.  Sometimes we forget that it’s called Human Resources for a reason.  Molley comments that without the people, there would be no product or service to offer.  In fact, this aspect of recruiting has changed drastically and rapidly.

    As the Boomers are leaving the workforce, the new environment is quite different.  For some companies this will present opportunities.  However, for others it will present challenges. 

    The pandemic convinced many Boomers to evaluate their personal finances and quite a few decided they were in a position to simply retire.  Molley uses the example of her father who joined Phillip Morris at the age of 18 and retired from the same company after 30 years.  He then decided to pursue other areas of interest he’d wanted to do during his entire career, namely driving a dump truck and digging holes.  He didn’t pursue them earlier because, as a boomer, his mentality was focused on the traditional career path.  In his words, “It’s just what you did.” 

    Jamie’s father had a similar experience.  He retired from the utility company and then took a role as a substitute, school janitor.  The opportunity allowed him to choose his work schedule and to get out of the house.

    Jason gives a shout out to his dad, who’s starting his 50th year at John Deere. 

    The point of this is that Boomers and Gen Z are very different in how they approach work and career aspirations (or should we say expectations). 

    Meet Gen Z

    This workforce segment want to work on their terms.  This may include taking on a non-traditional opportunity that suddenly appears, with the expectation of returning to their “real gig” afterwards.  This generation is not as dedicated to the company-loyalty mentality, as many of the Boomers were. 

    Jason mentions how Gen Z wants to challenge the traditional understanding of work.  Jamie agrees and notes that when they are engaged, they’ll work really hard.  However, for them that’s not the end goal.  Molley describes a few Gen Zs she knows who enjoy working just long enough to earn what the need to cover the bills, and then they go explore/experience other opportunities, unrelated to work.

    Jason notes how the time in which the Gen Z segment has grown up has radically impacted how they view life.  “Life is Short” is their common mentality.  They don’t necessarily want to spend all of it working as a cog in someone else’s wheel.

    Steering the Cruise Ship

    The challenge for companies and organizations is that while the workforce is changing, adapting to those changes (and related challenges) takes time.  It’s hard to turn a cruise ship.  It doesn’t happen on a dime.

    Jamie offers in interesting observation.  Most of us now, have cell phones or computers enabling us to simplify purchasing.  Consider how easy it is to push a button and buy an item on Amazon, or an entire shopping cart of groceries from your local grocery store (and have it delivered to your doorstep).  The general expectation of how things are supposed to work has changed.

    Jamie relates the above reality to how it affected a client’s hiring process.  The company had an online application, but didn’t fully understand the large number of applicants using a cell phone to complete the application.  The result was a significant rate of abandonment before the application was completed. 

    The group discusses how a company or organization should spend time re-evaluating the information they actually need to capture and how they identify applicants vs. candidates. 

    Jason comments on the importance of having a mobile-friendly application.  In digital marketing, this is referred to as an aspect of responsive-design. 

    Leads vs. Applications

    While a standard application process is often required for compliance issues (i.e. keeping the legal department happy), it may be more important to engage a prospective new-hire from a simple lead.  Consider ways to get the conversation started via text, emails and a phone conversation.  Screening by using a brief series of qualifiers, before transitioning them an application may yield a better result. 

    Molley juxtaposes society’s focus on speed and “now” vs. a typical company’s antiquated application process.  Companies and organizations should look for ways to innovate and adapt their hiring process to better align with the mindset of the current workforce.  That is, if you want a shot at the best candidates for your open positions.

    Are Old Paradigms Hindering Your Success?

    Jamie relates a story of how a past client had identified a terrific candidate, but decided not to pursue him/her, because they didn’t submit a cover letter.  It’s interesting how self-imposed filters, which may or may not have anything to do with whether the candidate could perform and excel in the role, often results in a company missing out on the chance to hire an individual.  Our old paradigms may not be as valid as they used to be. 

    Jason brings up the point that how a Boomer would have entered a job interview in the late 60s is completely different from how a Gen Z-er would today.  The candidate feels comfortable asking about how well the job will fit their life-style and interests.  The workforce is evolving and so is the power-dynamic. 

    For a business needing to hire in today’s environment, it’s no longer a matter of if you’re going to have to change, but rather what is going to have to change.  Those sacrosanct views of what’s important are being torn down, out of necessity.

    Removing Bias

    Molley views this as the most difficult challenge in recruiting.  It can begin with the candidate’s name.  Typos can often be a disqualifying factor, but for the role, how critical will proper spelling actually be?  Did the candidate craft the résumé to the job, or was it generically submitted?  A point we discussed in File 1 is how it’s not uncommon for a candidate to submit applications for multiple jobs all at the same time. 

    Jamie advises that companies need to make concessions and place the value of experience over a properly drafted cover letter and résumé.  Focus on the role, not the artificial assumptions that have crept into the hiring process over time.  Ask yourself, “What really matters and what doesn’t?”

    Expect Differences

    Molley explains how we understand a Boomer will approach and perform differently in a job interview than a Gen Z candidate.  The life-experiences are simply different.  Both candidates will bring different perspectives to the role or functions.  Having good mix can be to your advantage.  Again, you’ll need to begin asking, “What really matters?” 

    Jason points out that many of the product and services you’re offering are going to be targeted to the Gen Z segment of society.  Who knows them better than another Gen Z?  Understanding what’s valuable to them, how they communicate and how they work may be best understood by someone who grew up with similar life experiences.

    What Is Your Company’s Culture?

    This is an important consideration for today’s job candidate.  Does your company’s culture align with their core values and expectations?  If not, how does a company begin to adapt its internal culture?

    Interestingly, Jamie points out the recruiters and HR managers can wade into problems when they begin to evaluate a candidate based on “culture fit” during the interview.  She points out that when this screen is imposed, it’s actually exploiting your own biases.  Instead, Jamie recommends considering the culture you want to have and the values you find important.  Then, try to determine how individuals best contribute to that culture, not whether or not they fit.    

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

     

    We hope you found this file insightful and helpful.  Thank you for listening!

    Packages - Peeling the Workforce Onion Part 2

    Packages - Peeling the Workforce Onion Part 2

    File 3:  In today’s file, we continue a 3-part series dealing with workforce issues related to Process, Packages and People.  In part 1, we focused on Process.  Today, we’ll focus on Packages.  Jamie, Molley and Jason are ready to help identify some of the issues employers have in effectively recruiting, hiring and retaining good talent. 

    Editor’s Note:  If you missed the previous segment of this discussion, click here to listen to Part 1 of this series.

    “Who We Are Is What We Offer”

    Jamie begins with observations of general statements about compensation packages.  She points out that people often begin with, “I got this great job!”  The compensation is one of the first things then mention.  Those packages create or impact the stories about their new jobs, but also about your company. 

    The Concept of Total Compensation

    Molley comments that total compensation is much more than the wage or salary.  People often focus on what the role pays, but depending upon the season of life the new hire is experiencing, the rest of the package will be an important factor.  When you consider your workforce, there is a wide range of ages.  Those various groups want, or place value, on different things related to their compensation. 

    Jamie explains that total compensation is all of the tangible things an employee receives for working at your company.  This is typically made up of base-pay plus any incentives, shift-differentials, overtime opportunities and benefits (usually insurance for health, dental, vision, short-term and long-term disability).  This would also include a 401(k) and the company’s matching contribution.  For some, it might involve a pension program.  There’s also vacation and PTO time.  Molley shares an interesting way a CEO communicated the value of the compensation package to new hires.

    “Up to $20/hour to Start”

    This type of phrase is often included in job postings.  Does it really accomplish its intended result?  Jason explains that this style of offer is extremely blurry.  Your compensation package is your offer.  Suggesting there’s a range may actually sow the seeds of either doubt or potentially mistrust in the mind of the candidate. 

    Jamie describes a sign she saw in a restaurant offering $17/hour.  That seemed hard to believe.  She asked one of the staff about it and learned that it was extremely misleading.  The staff member said you needed to be there for 3 months and it includes to 3rd shift differential (for which there were no openings).  Imagine the impact on the excited new hire when he/she learns that this was a bit of bait and switch.  Do you think the fine print will have an impact on that excitement?  Will it impact the way the employee views the company?  More importantly, do you think his/her views will be discussed with others in the community?  The answer to each of those questions is a resounding, “Yes!”

    Jason observers how prior to the pandemic, companies may not have worried about the negative impacts of these types of hiring practices.  There weren’t as many alternatives and companies had their pick of prospective candidates.  That didn’t make it right, but it may have played a part. 

    Fast forward to the current environment.  Candidates have many more alternatives from which to choose.  From a purely marketing perspective, your compensation package is your offer.  Lead with your best offer.  If you don’t you may not get the chance to hire that candidate. 

    Planning Pays Off

    Jamie suggests that having a good plan will help you to better understand the levels various pay-rates in your organization.  The standard package is being scrutinized much more closely, today.  Potential new hires are spending more time deciding if the package actually meets their needs in the immediate, as well as how it will work down the road. 

    It’s true, pay-rates and compensation packages have increased.  Jamie recommends companies use the available tools to properly plan out their compensation and benefit practices. 

    Talk to Your Employees to Discover Why They Like Working Here

    Jason comments on a very simple to implement tactic.  Ask why people like their jobs within your organization.  If you learn what they actually don’t like, now you’ll know what to fix.  Your employees are your best recruiters.  They talk about work with their neighbors, families and friends.

    Consider asking about what they like, what they’d change and what they absolutely love about their compensation package.  Use the latter when advertising your job opening.

    Are You Generating Toxicity?

    Molley comments on how the bait and switch of an “Up to $X/hour” approach usually leads to disappointment in the mind of the new hire.  It may not be openly expressed, but the seed has been sown.  This may lead to a growing toxicity within your work environment.  Once that takes hold, consider the benefit cost to the employee and to the organization.

    At Incipio (Molley’s company), they work hard to fully understand the organization’s employee benefits package, but then to contrast them with realistic expectations.  When working with her C-level clients, she helps them to understand “who they are is often defined by what they offer.”

    If your workplace environment is toxic, it will generate higher rates of sick days, mental health issues and general stress.  These factors can often outweigh the total compensation package. 

    If you do decide to survey your workforce, formally or informally, it’s important that the C-suite hear the negatives.  You have to take those up the chain.  Effectively addressing some of those issues will have a positive impact on everyone. 

    Be Candid with Your Prospective New Leaders

    Jamie adds that it’s extremely important to be candid about current challenges within the organization.  It sets the proper expectations, while conveying how much you respect the experience he/she would bring to this role. 

    If management is committed to resolving the various challenges, it can give the prospective new leader a sense that things will improve and they will play a role in that success.  Having the opportunity to contribute may be viewed as an intangible part of the total compensation package.

    Defining Your Value Proposition

    Jason’s firm, CrowdSouth, is a marketing agency.  They work with organizations to help craft effective messaging related to the company’s value proposition.  In other words, what are they truly offering?  It’s important to understand a one-size-fits-all approach doesn’t work.

    Jason recommends developing distinct, customer/employee personas for each job description.  This can lead to defining the 4 different types of people who could be successful in this particular role.  Jamie adds, she often challenges clients to define the 3 questions the employer wants the candidate to answer “yes” to during the hiring process.  For instance, “Are you the type of person who likes to solve problems?” How the candidate responds can help you to identify where to probe deeper during the interview.

    Jason describes a process they use when working with a client to develop effective job descriptions.  This helps to build out the personas, which leads to the creation of an effective targeting campaign to attract specific types of applicants for each persona.

    It’s important to openly consider whether your organization actually matches its stated values, especially if those are communicated as part of the advertising and recruiting activities. 

    Molley comments on the importance of understanding the relationship between the type of candidate you want to attract, the season of life they may be in and how the compensation package aligns with that season.

    Jamie is an HR professional.  At her company, Parcel, she recommends organizations anticipate the usage specific benefits will get when developing budgets.  Not all benefits will be used by each employee or employee group.  She uses the example of a company offering tuition assistance and dependent educational assistance benefits.  While the dollar amounts budgeted for both were similar, in reality, very few employees used both components of their benefits.  It enabled them to offer a properly-funded and valued benefit, without having it crushed by Finance because of the forecasted cost, were every employee to use both components. 

    Jamie explains is extremely important to emphasize the “soft” components of the compensation package, because prospective employees are trying to find an organization within they’d fit and one that aligns with their core values.  This are much more important than in the past.

    Jason reflects on the impact a company’s social media presence can have on the total compensation package.  Every organization has a brand and works to influence its brand positioning in the mind of the market.  Companies should consider “dripping” out posts about values, over time, but without being divisive.  This could easily support your recruiting efforts.  The company’s social media team or marketing team should be allocating ad budgets for to augment your recruitment campaigns.  This should be an ongoing conversation both internally and with the external audience.

    Consumers develop brand preferences.  For those consumers who might actually become employees, why wouldn’t the company/organization consider positively influencing that preference, as well.  The efforts can go hand-in-hand.  Associating your positive brand affinity with a job opening definitely plays a part of the assumptions the prospective employee attributes to the total compensation package.

    That’s where we’ll leave the conversation for today.  Before we close the file, we invite you to reach out to us with questions, suggestions or other comments.  We’d love to hear from you.

    Need Help Supporting Your Company’s Recruiting and Staffing Goals?

    We’re here to help.  You can contact us via our individual websites, depending on your specific needs or questions:

    ·      Jamie Swaim, SPHR – www.ParcelKnows.com

    ·      Molley Ricketts – www.IncipioWorks.com

    ·      Jason Heflin – www.CrowdSouth.com

    We hope you found this file insightful and helpful.  Thank you for listening!