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Author: John Hollon

Posted on February 18, 2010August 28, 2018

The Last Word Accentuate the Positive

OK, we’re past the New Year’s festivities, the NFL playoffs and Super Bowl and well into 2010. So, I’m dying to ask—are you feeling the economic recovery yet?


If you’re honest, the answer is probably something along the lines of “not really.” If you’re fortunate—that is, if you work in one of the rare industries actually seeing an uptick—perhaps you can say, “Well, we’re feeling it, but just a little bit.”


The fact is, we still have more than 15 million people unemployed, the national unemployment rate is 10 percent and the economy isn’t creating many jobs. Larry Summers, an economic advisor to President Barack Obama, told the World Economic Forum in Davos, Switzerland, last month that we’re experiencing a “statistical recovery and a human recession.”


In other words, any near-term growth in your business or organization is going to come from getting more out of your current workforce, and the best way to get more out of your workforce is to get them more focused and engaged.


I wrote here last fall that a fairly simple way for managers to help get their organizations out of this economic morass is to focus more on engaging their employees. And I listed some ways to do this: more communication from the top, some sense of when all the pay freezes and furloughs might end and a greater recognition (and appreciation) of the sacrifices everyone has been making to get through this recession.


As simple as that sounds, there may be an even easier way for managers to engage workers, as this Workforce Management story makes clear—by just focusing on the strengths of your employees.


Some newly released research by the Gallup organization found that employee engagement, which is the increased discretionary effort you get from workers who feel passionately connected to their jobs, rises considerably when managers focus on employees’ strengths.


Of course, workers are a lot less engaged when the manager focus is on their weaknesses. That’s not a big shock, but what was a surprise is the finding that employees are hardly engaged at all when their managers instead simply ignore them.


This is important information, the authors of the Gallup survey said, “because employees who are ignored feel like they don’t matter. There’s a crucial phenomenon inherent in employee engagement: The best employees don’t want to be coddled; they want to matter. They want to be part of something greater than themselves. … [A]lthough it seems counterintuitive, when managers focus on weaknesses rather than ignoring employees, those employees’ chances of being engaged actually improve. That’s because people prefer to get any feedback over no feedback at all—even if that feedback is criticism.”


I’ve worked for a few of those bosses who seem to ignore the people under them, and I always wondered: How do these yahoos get promoted into management, anyway?


That’s something the Gallup survey didn’t focus on, but anyone who has spent much time in the workforce knows that it’s disconnected managers who create the most disengaged workers.


Some would say that employee engagement is valuable to an organization no matter what the economic environment is, but the reality is that in good times, great employee engagement is a bonus, the icing on the cake, an added dimension.


In really tough times, like those we’ve experienced for the past 18 months, employee engagement is crucial. It may be the only way you can help get your business to the point where, eventually, you can hire again. You can’t get there without managers who focus on employee strengths and build on them.


The late, great management guru Peter Drucker used to say that “to focus on weakness is wasteful—a misuse, if not abuse, of the human resource.” Drucker was right, as usual. Focusing on what people do right is the way to get more of what’s right out of them. Smart managers will take that credo to heart. It may be the only way to keep your organization moving onward, upward and, eventually, out of the Great Recession.


Workforce Management, February 2010,  p. 50 — Subscribe Now!

Posted on November 12, 2009June 27, 2018

The Last Word Dirty Work Required

If you’re a manager and still gainfully employed as 2009 winds down, please accept my sincere congratulations. You are on the verge of actually making it through one of the single worst years ever to be a manager.


Think that’s just a bit of hyperbole? I think it’s hard to imagine another year—at least in the last 60—where so many had to deal with so much that was so bad so often.


In case you’ve tried to block all this out, let me refresh your memory: salary freezes and pay cuts; layoffs, buyouts, cutbacks and furloughs; fewer workers but a bigger workload; more worries, more stress, more pressure.


Amid all the bad stuff this year, there’s one more thing: 2009 will surely be a year that many managers look back on as the one in which they really had to step up and lead. That’s because it’s in handling the hard, difficult things that managers really show what they’re made of.


I’ve made this point before, but it bears repeating: Managers who can’t do the tough stuff—like having to let people go—really aren’t managers at all. I once had a boss who always spoke in an over-the-top, prideful way about how he had never, ever had to fire a person. This guy was a terrible manager and an insufferable egomaniac to boot, but the fact of the matter was that he never had to fire a person because he simply dumped the task on someone else.


That’s a giant cop-out, of course. (This former manager of mine was all about cop-outs.) Every manager worth his or her salt eventually has to shoulder the unpleasant and unavoidable task of letting workers go. It’s just an essential and basic part of the job that you get, like it or not, when you become a manager.


And that’s why taking a close look at Graydon Carter, a well-known editor (and, one would think, manager), is so instructive.


Carter works for publishing giant Condé Nast as editor of Vanity Fair, and Condé Nast has been going though a terribly difficult round of layoffs and cutbacks. Vanity Fair wasn’t immune from these staff cuts, of course, but when they hit the magazine, editor/manager Carter was nowhere to be found. According to the New York Post, he was jetting off to Bermuda on vacation while his workers were getting their pink slips.


“I think it is extraordinary that he let this happen,” one Condé Nast insider said to the Post about Carter’s vacation. “It says he is not a leader. That he is not in the trenches, that he is profoundly out of touch.”


There is a debate over whether Carter approved of these cuts. “Graydon looks bad, but it’s not really his call,” one Vanity Fair staffer told the Post. “How the cuts are made is the work of the [human resources] department and they have been terribly inefficient throughout, and that’s why these things occur.”


Besides taking an opportunity to bash the HR staff, this anonymous Vanity Fair editorial staffer inadvertently hit on something that all too many clueless managers seem to believe—that they can pick and choose what they’re responsible for.


Real managers know that leadership isn’t like a cafeteria where you can simply pick out the things you like and pass on the ones you don’t. If you get paid the big bucks to be a manager, you’ve got to be able to handle both good and bad. And that means handling the stuff that you may not necessarily agree with, but that you must carry out for the greater good of the entire operation.


It was the late, great Peter Drucker who once said that “management is doing things right, [while] leadership is doing the right things.” Graydon Carter is a great example of how sometimes people in cushy, high-paying leadership positions do neither.


If you can’t handle the tough work of being a manager—like layoffs and staff cuts—you have no business being a manager at all. Yes, you may work in management or flatter yourself with a management title, but if you can’t look your co-workers in the eye and do the dirty deed when it needs to be done, you’re just a manager wannabe. And in these tough economic times, those are the very first people who should be shown the door.


If I were an executive at Condé Nast, that’s something I would be seriously considering when a certain “manager” returns from his vacation. Now more than ever, you need leaders who are willing to do the tough stuff to get you through tough times.


Workforce Management, November 16, 2009, p. 34 — Subscribe Now!

Posted on October 30, 2009August 3, 2023

Legal Insight: Why You Need to Always Guard Your Words and Actions

I don’t get into a lot of legal issues at the Business of Management, but here’s a good one from Workforce Management advisory board member Stephen Paskoff.

Steve is a former EEOC trial attorney and management law firm partner. His Atlanta-based company, ELI, provides “a variety of programs and services that teach professional workplace conduct, helping our clients translate their values into behaviors, increase employee contribution, build respectful and inclusive cultures, and reduce legal and ethical risk.”

He also writes a blog that gets into a lot of legal issues in the workplace, and I found this blog post he wrote this week to be especially insightful given the explosion in social networking and modern communications. I’m happy to share it with you because readers tell us that they always need good workforce legal information, so take a read on this and let me know what you think:

“I’ve wondered when it would happen–for years there have been stories of athletes, proxies for other celebrities, who say and do what they want while their behavior is ignored, minimized or attributed to ‘locker room’ humor or conduct. But the doors of locker rooms, operating rooms, broadcasting booths and boardroom suites are wide open these days; conduct that used to be tolerated in the bastions of such resident ‘untouchables’ is now falling prey to general workplace standards, publicity, business harm and personal penalties.

“Just a few weeks ago, David Letterman’s staff affairs became the grist of other comics’ gags and gigs of online commentary. In quick succession, the married ESPN sportscaster Steve Phillips’ escapade with a much younger, single staffer led to his leave of absence and recent separation, following her releasing intimate details of her affair to his wife–and the public. She lost her job too.

“Also, ESPN suspended Bob Griese for making on-air disparaging comments about a Latino racecar driver. Almost before I’d finished reading that online scoop, another story broke about Larry Johnson, a Kansas City Chiefs running back who used a homophobic slur on Twitter and while addressing reporters. At the time of this writing, Johnson has been told to stay away from the team while the NFL and the Chiefs complete their investigation.

“What’s happening here is that the transparency of modern communications is preventing such behavior, no matter who the offender, from being swept under the rug, or bed, as the case may be. So the message is simple and direct, not just for those at the middle and bottom but also for organizational leaders and ‘high’ performers.

“As we have taught in Civil Treatment, ‘Guard your words and actions.’ The more public your role, the more cautious you must be. There is no invincibility when conduct is outrageous, unprofessional and uncivil. What’s increasingly obvious is that the issue involving such conduct is not simply legal risk. ESPN’s brand has been harmed by its broadcasters’ actions, and the careers of those involved have been tarnished if not ruined, in Phillips’ case.

“Whether lawsuits are filed and ultimately dismissed or settled is almost secondary. Business and irrevocable personal harm has been done, and all of it could have been avoided if standards of professionalism and behavior had been in place and understood and applied by everyone, at all levels.”

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Posted on October 26, 2009August 31, 2018

The Last Word Calm, Cool Leadership

If you manage long enough, you’ll probably pick up a lot of unconventional notions about how to be successful. Here’s one that I guarantee gets overlooked: It takes a lot of hard work to make managing look easy.


That may sound like counterintuitive gibberish, but stay with me here. What I’m saying is that over the course of my career, I’ve found that the default preference is for leaders who are loud, forceful and outspoken, whether that kind of leadership is needed or not.


Too many people look at a person who has great personal presence, or is quick with an opinion, and assume that these qualities automatically make for a successful leader.


That’s possible, of course, but I’ve also found that all too often, the over-the-top bravado exhibited by some managers is simply their way of overcompensating for a lack of tangible leadership talent. One large company I worked for seemed to value this kind of management demeanor over everything else—even if the executive they put so much stock in had zero management skill and the attention span of a gnat.


What actually works a lot more often is the solid and steady manager who doesn’t need to shout from the desktops to get things done. And this makes me wonder: Why isn’t there more demand for smart and talented bosses who can get things done by actually dealing with the people they are charged with leading in a quiet, understated way?


Why, for example, isn’t there more appreciation for people who manage like Joe Torre?


Torre is the manager of the Los Angeles Dodgers, but he’s probably more famous for his 12 years with the New York Yankees that produced four world championships. Funny thing is, Torre managed for 15 seasons and was fired by three other teams before his successful run with the Yankees.


The interesting thing is that Torre stayed true to himself and to his personal management style all along the way. He’s the same leader now that he has been incredibly successful that he was when he was not so much so—low key and understated, caring and thoughtful. He gets highly paid professional baseball players to follow him without yelling or histrionics.


“The argument could be made—probably should be made—that Torre is successful as a manager because he is successful as a human being,” says a profile on MLB.com. “He treats players like adult human beings. He knows there is no one-size-fits-all approach with 25 different people in the clubhouse. He knows that these are people, not merely a collection of physical attributes and statistical outcomes. He earns their respect by deserving their respect. His sincerity is persuasive and appreciated. You could not be a phony and have this kind of widespread regard.”


On the surface, Torre makes managing look easy, almost like he’s not managing at all, but that’s because he’s busy working behind the scenes instead of jumping up on the tables and exhorting his followers to take to the ramparts. That over-the-top management style can work, of course, but only in small doses because it runs out of steam pretty quickly.


And there’s one more thing we can all learn from Torre’s example: perseverance. How does someone who got fired three times rebound to not only manage the most famous team in sports, but lead that team to four championships? Most people would push to completely change their style after so many struggles, but Torre knew that he couldn’t be successful unless he stayed true to himself and his way of managing.


“What Joe does day in and day out is deal with issues as good as anyone I’ve been around,” says Dodger coach Don Mattingly, who also worked for Torre on the Yankees. “He doesn’t let anything go. I think in New York people might have felt he wasn’t tough enough on them, but that wasn’t the case. He was on every issue that happens.”


Yes, despite the seeming calm on the surface, guys like Torre are working like mad behind the scenes to manage those in their charge and make them successful. He works hard to make his job as manager look easy.


Is that counterintuitive? Maybe, but only because some people think it takes brashness and bravado to be a successful leader. Thank goodness there’s another way—a better way, in my book—and that there are great managers like Joe Torre who show that humble and hardworking leaders can quietly let their actions speak for themselves.

Workforce Management, October 19, 2009, p. 58 — Subscribe Now!

Posted on September 18, 2009June 27, 2018

Broken Engagement

Now that Labor Day has passed and the summer is gone, it’s time for an annual fall tradition to begin.


Football? No, although that’s starting too. The fall tradition I’m talking about is one that every business and organization is hunkered down with and fretting over right about now—planning the budget for the coming year. Some started this process long ago, while others are just getting into it now. One company I worked for used to start budgeting for the next year in June—yes, June—and this led to six months of torture. We prepared, adjusted and ultimately changed the budgets over and over again as different levels of corporate executives got involved and put their stamp on things.


But no matter when you start the budgeting process, at the heart of it is forecasting and planning for what you believe will happen to you and your business in the year to come. And what most organizations are forecasting is that 2010 will be largely the same as 2009.


Don’t get me wrong. Businesses desperately want 2010 to be better than 2009, and it probably will be. But no one is willing to stick their neck out and make a big bet that any kind of dramatic improvement is going to take place. So what will it take for us to get out of this economic morass we’re in? Here’s a simple answer that is frighteningly obvious: Invest in your workforce and make it a point to help them to feel more hopeful and confident that things are going to get better next year.


This doesn’t mean I’m advocating that organizations start spending a lot of money, although rolling back the pay freezes and furloughs would be a nice gesture. What I’m talking about is a concerted effort by managers to boost the sagging spirits of workers and help pull them out of the funk they’re in.


I’ve been writing about this a lot recently at my Business of Management blog because all I’m seeing right now is survey after survey showing that the morale of America’s workforce is at low ebb. For instance, the Workforce Institute at Kronos Inc. released a survey last month in which 66 percent of workers said that morale has suffered over the last year and that they are less motivated. Additionally, 64 percent said that there is just too much work and not enough people left to do it. In a similar survey by Adecco Group North America, 77 percent of workers were critical of their organization’s brain trust and weren’t satisfied with the strategy and vision of their company and its leadership.


“What workers are telling us,” says Bernadette Kenny, chief career officer at Adecco Group North America, “is that even during a recession, just having a job does not equate to job satisfaction. Employers need to be conscious of the concerns their staff is managing through on a daily basis and proactively come up with the appropriate solutions to improve retention and reduce the current and future high cost of turnover.”


Yes, all those who have managed to avoid becoming another unemployment statistic should be happy that they’re still working. But that’s not exactly a rallying cry for improving engagement in 2010. Smart managers, as Kenny correctly points out, need to be plugged in to what their staffs are going through and should be looking for solutions to help them get through it.


What is this going to take? I think it’s simpler than most managers think. The message from the workforce seems to be that they don’t know what’s going on until it has already happened, so more communication from the top would help. So would some sense of when the pay freezes and furloughs might end—even if that’s not right around the corner. And a greater recognition (and appreciation) of the sacrifices everyone is making would help build a sense that “We’re all going to get through this together.”


I’ve said this before and I’ll say it again: Businesses everywhere need to truly engage workers and help them get past the bad feelings that so many have about their organizations and their jobs. With a possible economic recovery on the horizon, it is time for America’s business leaders to step up and start helping America’s workforce out of its funk. That’s the single most important thing that can be done to help plan for sustainable success in the new year.


Workforce Management, September 14, 2009, p. 42 — Subscribe Now!

Posted on July 21, 2009August 3, 2023

Pay Raises in 2010: Would You Believe 3 Percent?

One great thing about the large management and HR consulting firms is that they do a lot of interesting surveys, and this recent one by Watson Wyatt is no exception.

Here’s what I’m talking about: “Raises for U.S. workers are expected to rebound in 2010, following a year in which many companies slashed raises in the wake of the recession,” according to the Watson Wyatt 2009/2010 U.S. Strategic Rewards survey report that was just released.

Like most surveys done by the big consultants, this one is broad, deep and timely. It covers 235 U.S.-based employers that span all industries and have a minimum of 1,000 employees each. And, the survey was done pretty recently–from April 6 to May 15.

The key survey finding is that “companies are projecting median merit increases of 3.0 percent for 2010”; that compares with the 3.5 percent merit increase that companies originally projected last year for 2009, before the onset of the recession. Of course, that original 3.5 percent increase went down the toilet with the economy, and as the Watson Wyatt report notes, “Now, companies say median merit pay increases will [only] be 2 percent in 2009.”

I’ll leave it to my favorite comspensation expert–Ann Bares of the Compensation Force and Compensation Cafe blogs–to make sense of this with her special insight and analysis, but what jumped out at me was something from a separate companion survey of nearly 900 companies conducted by Watson Wyatt Data Services. It found that “only 10 percent of companies are planning no pay raises for workers in 2010 compared to 25 percent this year.”

That really surprises me, because I thought that a lot more than just 25 percent of companies deep-sixed raises during the Big, Bad Recession of 2009. In fact, that 25 percent figure sounds absolutely incredible when you consider all you heard about furloughs, salary cuts, buyouts, layoffs and all manner of workforce cuts this year.

I’m also surprised by the notion of 3 percent raises for 2010, because as much as I wish it were so, I  question whether businesses will actually feel confident enough in the economy to go that far when they start their 2010 budget planning here soon. My feeling is companies will be a lot more conservative than that, especially since no one really knows if we have hit bottom on the downturn yet.

“This has been a very difficult year for both employers and their workers,” said Laura Sejen, global director of strategic rewards consulting at Watson Wyatt, in a gigantic understatement. “But there is some good news on the horizon. Employers plan to give larger raises next year, and many plan to reinstate previously cut pay raises as planning for an eventual economic recovery continues.”

Well, I really hope there is good news on the horizon, as Laura Sejen believes, but I’m not ready to jump on that bandwagon just yet. Color me skeptical that the economic recovery is as close at hand as she says it is.

Get my latest blog updates and workforce management news by following me on Twitter.

Posted on July 2, 2009June 27, 2018

The Last Word A Champion Leader

When you hear people talk about great managers, a lot of names are bandied about, usually starting (and sometimes ending) with Jack Welch.


Yes, the Great Jack is arguably one of the best of all time, but he hasn’t managed much of anything since leaving General Electric nearly 10 years ago. These days, he’s largely confined to just talking about good management, as he will be doing this month at the Society for Human Resource Management’s annual conference in New Orleans.


But there is another guy out there who rivals and perhaps even eclipses Welch as one of the greatest managers and workforce strategists of all time. He’s currently managing and adding new honors to his already long and impressive leadership résumé. I’m talking about the great Zen master himself—Los Angeles Lakers head coach Phil Jackson.


Some people don’t think of them in this way, but ultimately, great coaches ARE great managers. And Phil Jackson is the greatest professional basketball coach of all time, with 10 NBA titles to his credit, the latest coming June 14. He’s right up there with former UCLA basketball coach John Wooden, who won 10 titles as a head coach.


Still, Jackson gets dinged by a lot of shortsighted critics who believe that just about anyone could have rolled out the basketball and won a half-dozen titles in Chicago with Michael Jordan, or four more in Los Angeles with Shaquille O’Neal and Kobe Bryant. When you get handed great players like them, how hard can winning be? As The Dallas Morning News put it, “for coaches, there’s a thin line between lucky and legendary.”


Maybe that’s true. Certainly there is a degree of luck that every highly successful person needs to help facilitate their ultimate success, the notion being that if you have to choose, it’s always better to be lucky than good. But can you discount winning 10 championships and say it’s simply about having been handed great players? Lots of coaches have great players. If it was just about having superstar players, why haven’t more coaches who also have great talent won a bunch of titles?


Maybe it’s because Phil Jackson is different from other coaches in the way he motivates players—even the superstars like Michael Jordan—to build something larger and greater than themselves.


“[I think] it’s his ability to bring people together,” Kobe Bryant told the British newspaper The Guardian. “The biggest thing that he does so well is he continues to coach the group, continues to coach unity and chemistry and togetherness. And that’s the biggest thing, because when you’re together you can withstand adversity. If you’re not, you can easily break apart and become a team of individuals.”


This is the classic definition of a manager—someone who brings together a group of individuals to accomplish something as a unit that they could not have accomplished on their own. Plus, Jackson does it without the histrionics that all too many people believe that leadership is about.


“This championship may be Jackson’s finest hour,” The Guardian noted. “Two hip replacements mean that Jackson is no longer jumping up and down on the sidelines as he once did in Chicago. Yet quietly, in his own understated manner, he has done what he always did: prodding and cajoling when required, but otherwise letting his players utilize the talents within.”


There are timeless management lessons we can all learn from watching a great coach like Phil Jackson operate. As maddening as his Zen master philosophy and laid-back court presence can seem at times, there is a deep philosophical underpinning to Jackson’s management style. He is secure in what he needs to do to get the best out of his team and he doesn’t let anything get in the way of that. Isn’t that the essence of what great workforce management is all about?


It is for me, and that’s what I will be thinking about next week in New Orleans when I’m sitting there at SHRM’s opening session, listening to Jack Welch. And although I’m sure he’ll have some fine management wisdom to impart, I’ll be wondering—what would Phil Jackson have said if he were here instead?


Workforce Management, June 22, 2009, p. 50 — Subscribe Now!

Posted on June 29, 2009August 3, 2023

The Last Word The Mood Is Subdued

Never let it be said that SHRM conference attendees are out of step with what’s going on all over America. In fact, the vibe here in New Orleans very much matches the vibe you get from working people everywhere—it’s quiet and subdued.


This is what so many in the army of amateur bloggers, Twitterers and social network aficionados miss as they blast their impressions of the 61st Annual Society for Human Resource Management Conference & Exhibition. They just don’t see, or appreciate, the huge difference in what’s going on here in New Orleans compared with previous years in Chicago, Las Vegas and Washington, D.C.


Even the exhibition hall—the scene of so much unrestrained excess by swag collectors at past conferences—is less frenzied and less crazy. It’s bordering on boring.


The SHRM conference has been hit hard by the economy—and really, what hasn’t been? You can see that in the raw numbers. As of Sunday night, attendance stood at 6,800, compared with about 13,400 in Chicago last June and 14,900 two years ago in Las Vegas. That’s nearly a 50 percent drop from last year, which is at the high end of the 30 to 50 percent drop off that I have been tracking for conferences in HR and workforce management.


My prediction early in the year was that conference attendance would get uglier as the year dragged on, and these numbers from SHRM New Orleans seem to bear that out.


But there’s more behind SHRM’s conference attendance than just the state of the overall economy. There’s also the very real fact that HR people are feeling beaten up, worn down and just plain tired of the unrelenting wave of layoffs, cutbacks and furloughs they have been handling since the start of the recession. No wonder so many HR pros have opted out of spending money on coming to New Orleans.


We captured the essence of this in the HR Anxiety Survey published in June’s Workforce Management magazine and now available on our Web site. The survey found that many HR professionals “are finding themselves on their fourth or fifth round of layoffs in the past 18 months and consequently under mounting personal and professional pressures.”


It also showed how hard it is for so many HR people to cope with the fallout from the ongoing economic crisis. “Some say they drink more alcohol or have taken up smoking cigarettes,” wrote Jessica Marquez, our New York bureau chief. “A large number are considering a career change, [while] still others complain that they are called the company’s ‘Grim Reaper’ behind their backs. What’s worse, few who are feeling stress have followed their own advice to use company-sponsored assistance programs.”


The survey found that many HR pros are fed up with the economic carnage they have been forced to deal with. One question asked whether HR professionals’ experiences in conducting layoffs had prompted them to think about changing careers or moving to a different, non-HR role in their company. Most said no, but 37 percent answered affirmatively. Just over a quarter of the respondents acknowledged “some thought” about changing careers or roles, while an additional 9 percent said they’d given “serious consideration” to a switch. Three percent said they had begun the process of changing their career or role.


This is the vibe that underpins SHRM New Orleans: beleaguered HR people who are not only fewer in number than at past conferences, but are also worn down from this annus horribilis that is 2009.


I give credit to the HR professionals who are here in New Orleans, even though there are just half as many of them as there were last year in Chicago. It’s an act of faith just by being here.


Get my latest blog updates and workforce management news by following me on Twitter.

Posted on June 28, 2009August 3, 2023

The Last Word: SHRM’s Lon O’Neil, International Man of Mystery

Here’s one thing to remember: I’m not your typical SHRM annual conference attendee.


I don’t attend so that I can take away great wisdom from the speakers, or network with other HR professionals, or even to go on a wild swag hunt in the exhibition hall. I come with a different agenda: to get a better sense of what the Society for Human Resource Management is doing for HR professionals and how well the organization is doing it.


To that end, I arrived in New Orleans really wanting to hear what new SHRM president and CEO Laurence “Lon” O’Neil had to say. This is his first annual conference as SHRM’s leader, and I wondered if he would build on the foundation left by former chief Sue Meisinger or, perhaps, do something entirely different. O’Neil has seemed like a bit of a mystery man to professional SHRM watchers like me, and I thought that surely between his speech at the opening General Session and his “State of SHRM” remarks at the annual Sunday news conference, I would get a better fix on where he is leading the organization.


Well, so much for what I was hoping for. After hearing O’Neil’s brief and relatively general remarks on Sunday before Jack Welch spoke, I came away with the following conclusion: Lon O’Neil, like Austin Powers, is an International Man of Mystery. I think I understand him less now, after hearing him speak, than I did before.


I’ve frequently been critical of SHRM in past years, although I came to appreciate former CEO Meisinger the more times I heard her speak. It always seemed to me that the organization was more focused on increasing revenue than really doing much for HR professionals, and the fixation on high-profile, low-value activities such as spending big bucks with an ad campaign branding SHRM during the presidential debates last year is a perfect example of this, I’ve argued.


But I grew to appreciate Meisinger over time because: a) she was a visible, unrelenting voice for the SHRM organization and the HR profession; and b) she got more pragmatic over time, telling SHRM attendees in her farewell address at the Chicago conference that HR people should “stop asking for a seat at the table” because “the point is to add value and become essential … so that seat at the table has your name engraved on it.” When you do that, she added, “you’ll have a seat at every table.”


You could take a few swipes at Meisinger—and as a frequent SHRM critic, I did—but she was clearly the leader of the SHRM pack. I may not have always liked what she said or what she did, but I never, ever doubted that she was the one in charge.


I wish I could say that about Lon O’Neil. He was pretty general in his 10-minute (maximum) speech on Sunday, and his comments were broadly about SHRM “adapting to meet your needs … during these tough times.” The only real specifics he listed were SHRM’s new social network, support for members around the world, and the organization’s pledge that it would “seek out new opportunities to better collaborate with other organizations.”


Normally, you could drill in on some of those generalities during the news conference after the opening General Session, but for some reason, O’Neil opted out of that. The official reason, SHRM says, is “scheduling conflicts.” Such a non-appearance was something Sue Meisinger would never do.


Look, I know every leader operates differently, and I don’t expect Lon O’Neil to be a clone of Sue Meisinger, Mike Losey or any other SHRM leader. What does surprise me, however, is that O’Neil isn’t the front-and-center leader and visible presence that Meisinger was. For example, it was COO China Miner Gorman who went up to Capitol Hill to joust with Congress over the paid sick days bill earlier this month, and it seems to be Gorman who is out front on many different SHRM projects (like the new push on social networking) that used to be the province of the CEO.


Last August, I questioned the long delay in hiring a new CEO to replace Meisinger, and despite what SHRM board chairman Robb Van Cleve said on Sunday, I don’t believe that Lon O’Neil was the “clear” choice of the SHRM board to take the helm of the organization.


I’ve thought for some time that O’Neil was a compromise choice and a transitional figure that the SHRM board picked to buy the organization time to figure out just what kind of leader it really wanted. If not, why else would they choose someone in his 60s, with no apparent real passion for being the visible, out-front leader that an organization like SHRM needs?


Don’t get me wrong; I’m sure Lon O’Neil is a solid leader, but the sharp contrast between his approach to the SHRM CEO position and that of Meisinger and Losey make me wonder if he’s really in it for any extended period of time. In my book, the choice of O’Neil to lead SHRM is similar to the choice the College of Cardinals made in elevating Joseph Ratzinger to become Pope Benedict after the death of John Paul II. Both, it seems to me, were short-term choices made to buy time while the organization formulated a long-term solution.


Nothing that I have seen from O’Neil this past year makes me feel any differently about that, and his lack of a visible role at this 61st annual SHRM conference makes it clear to me that whether he is an International Man of Mystery or temporary pope-like figure, leading SHRM into the long-term future probably isn’t really in the hands of Lon O’Neil.


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Posted on June 17, 2009October 13, 2021

True HR Believer Jack Welch Jump-Starts SHRM

Here’s a question you may want to ponder: How important is Sunday’s SHRM conference general session speaker, former General Electric CEO Jack Welch?

Answer: He’s probably the most relevant and topical HR thinker to address the conference in at least the last five years—maybe the most relevant one ever.

Here’s just one example, from the BusinessWeek column he writes along with his wife, Suzy Welch: “HR should be every company’s ‘killer app.’ What could possibly be more important than who gets hired, developed, promoted, or moved out the door? Business is a game, and as with all games, the team that puts the best people on the field and gets them playing together wins. It’s that simple.”

Or this, also from a recent BusinessWeek column: “Look, we’ve written before about HR and the game-changing role we believe it can—and should—play as the engine of an organization’s hiring, appraisal, and development processes. We’ve asserted that too many companies relegate HR to the mundane busy-work of newsletters, picnics, and benefits, and we’ve made the case that every CEO should elevate his head of HR to the same stature as the CFO. HR matters enormously in good times. It defines you in the bad. … If there was ever a time to underscore the importance of HR, it has arrived.”

Welch began his career with General Electric in 1960, and he worked his way up through the ranks to become the company’s chairman and CEO in 1981. During his 20-plus years as CEO, GE’s market capitalization rose from $13 billion to $400 billion, while revenue grew from $27 billion to $125 billion and earnings grew to almost $14 billion. Welch became a management superstar along the way. In 2000, he was named “Manager of the Century” by Fortune. The irony here is that he’s a pinch-hitter at the conference, stepping in for former NBC news anchor Tom Brokaw, who was originally scheduled to speak.

A 2005 “Last Word” column in Workforce Management put it this way, and it’s still true today: “In Jack Welch’s world, HR is not only a key part of the business, but HR people in the organization need to have special qualities to help the managers throughout the organization build leaders and careers.”

Some might disagree with this assessment, because Welch is also known for creating the infamous 20-70-10 employee assessment plan (known by its critics as “rank and yank”), where the top 20 percent of GE’s workforce each year got big raises, while the bottom 10 percent were shown the door.

In fact, Welch was frequently critical of human resources, according to former General Electric HR chief Bill Conaty.

But as critical as he can be, Welch also appreciates what HR means to a high-performing organization. Welch has said that HR leaders should not be “kingmakers or cops, but big-leaguers, men and women with real stature and credibility.” He will undoubtedly have a message on Sunday that SHRM conference attendees really need to hear.

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