Becoming an Employer of Choice: Building a Culture of Trust

The ability for a company to be successful in today’s market place has become more and more difficult and challenging over the past year.  Organizations have struggled to remain in business in this economical troubled environment by reducing costs, employees and overhead expenses.  The “tightening of the belt,” has touched the majority of the workforce in one way or another.  There is uncertainty as to what will happen next.  When will the economy hit the so-called “bottom” and begin to climb out of the hole it is in? How long will recovery take? Will we be able to survive another quarter or two?  These and other questions tend to haunt business owners today.

According to the Conference Board “Consumers' appraisal of present-day conditions, things improved moderately in April 2009 (from March 2009) and rose 12.3%. Those claiming business conditions are "bad" declined to 45.7 percent from 51.0 percent, while those claiming business conditions are "good" increased to 7.6 percent from 6.9 percent” (The Conference Board - www.conference-board.org). 

However, what does this mean for your business and the confidence that your Board of Director, managers, employees and/or customers have in your company?  And is there anything you can do to increase the confidence they have in you, when you have already cut employees, costs, and services to the bare bones?

The easy answer is yes, you can do something and for the most part, it is a low cost initiative. 

Value of being an Employer of Choice

The Great Places to Work® Institute, Inc. has for over 20 years researched what makes an organization a great place to work. The Institute has proven that companies who have demonstrated certain criteria have consistently outperformed their competitors in higher productivity and profitability, reduced employee turnover, reduced health care costs, achieved higher levels of customer satisfaction and loyalty, greater innovation, creativity and risk taking, and obtained more qualified job applicants for open positions.

Additionally when a company invests in their employees, they have invested in their organizational success.  These companies can show a positive ROI between training and employee motivation, improvements in productivity, employee satisfaction and financial performance.

Let’s explore what makes an organization an employer of choice and consider how it might be worthwhile investing energy and resources into becoming a great place to work?

Developing a Culture of Trust

Trust is composed of three dimensions – credibility, respect and fairness – and is at the forefront of what makes a great place to work great!  The leadership team is influential in setting a tone of trust that ripples throughout the entire organization.  Do corporate policies, core values, words, actions, and keeping promises align with espoused rhetoric? 

While the leadership team may be the face of the company and trust, middle managers are where trust is fostered and grown.  Managers influence employees on a daily basis, and have a major responsibility in upholding company policies, values and objectives. Training managers in the processes and practices of delivering effective performance management, corrective action and recognition, will build a consistent message throughout the organization that employees are treated consistently and fairly. Managers also set a tone for innovation and the ability of employees to grow and develop professional and personally.

Finally, employees have a responsibility to demonstrate trust and personal accountability in accomplishing their daily work and performance.

Dimensions that Create a Culture of Trust

• Credibility – to be credible, words must be followed by action.  Credibility involves open and honest communications between upper management, to/from middle management and subsequently to and between line workers.  Managers seeking ideas from employees and then providing information about the company’s direction, plans and challenges will show employees that management is interested in what they have to say.  Just as important is the follow through and acknowledgement of ideas submitted.  Asking employees to “help” by providing input, will only go so far if management does nothing with or ignores the input given.
• Respect is a word that is cast about on many levels in organizations today.  However do your managers and employees know what is involved in respect?  Providing employees with the equipment, resources and training to do their jobs and appreciating good work and extra effort shows (as opposed to telling) employees that you respect their efforts and experience.  A culture of respect also develops from fostering a spirit of collaboration and enlisting employees in the support of the company’s efforts and plans.
• Fairness is demonstrated through an equitable sharing of resources and compensation.  Everyone has an opportunity to be recognized for their contribution and decision on hiring and promotions are made impartially and free from discrimination.  Fairness is also demonstrated through the consistent and timely application of employee and organizational policies from one person to the next.  Nothing will diminish moral and thereby trust, faster than the differential treatment of employees.
• Pride and Camaraderie relates to the relationships between employees and their jobs.  Are employees proud of the work they do?  Are they executing to the letter of the law or the spirit. This is most evidenced by how employees describe their work and workplace.  Do they say what they do on a daily basis, or do they tell the story of how they were able to implement a process or project that made someone’s life better?  Finally do employee enjoy each other and develop ways to reward and recognized each other.  Do employees find opportunities to make the lives of their co-workers better?

Principals to Grow a Culture of Trust in Your Organization

• Use your words wisely. Focus on what is possible, kind, respectful, honest and open.
• Be accountable. See, own and act on breakdowns proactively.  Focus on questions and solutions rather than explanations and excuses.  Commit to truth-telling and risk taking and support those who tell the truth and take risks rather than dismissing their ideas or feelings.
• Focus and Intention. Align daily actions and behaviors with what matters most.  Own and become accountable for personal, department and corporate goals and objectives.  Work smarter, not harder by extracting the greatest value from your efforts.  Be intentional about your words and actions.
• Mine the Gold. Bring out the best in yourself and others.  Commit to building an environment that is based on cooperation and collaboration.
• Strive for Balance. Take time for recognition, recovery and renewal.  Commit to ongoing quality improvement and continuous learning for individuals and the organization.  Espouse and demonstrate a balanced life recognizing that employee have lives outside of work.  Increased individual vitality and energy will be the result.
• Lighten up. Seek to bring laughter, fun and joy to your own work and the work place.  Look for opportunities to make someone smile, and don’t take yourself too seriously.

Is it Worth It?

Employers who build cultures of trust not only reap financial benefits by outperforming their peers – something all companies could use in these challenging times – but see higher levels of employee engagement and productivity, have considerably less turnover, and are more easily and economically able to attract top talent.  Additionally employers of choice show improved performance, customer loyalty and satisfaction.  Next time your organization is faced with decisions to cut employees, costs and/or product lines, consider what an investment in time and alignment of values to build credibility, trust, and respect may do for the bottom line.

TPO is an award-winning firm established in 1991 made up of a group of highly experienced, nationally certified HR experts and trainers. TPO is licensed by the State of California (PI-25638) to provide investigative services. For more information, please contact us at 800-277-8448 or visit our web site www.tpohr.com

Contents © 2011 TPO Human Resource Management. No part of this article may be reproduced, excerpted or redistributed in any form without express written permission from TPO Human Resource Management.

AIMing at the “Hiring Target”

Q: As a manager, I am frustrated with the low rate of success we are having when hiring employees. Some don’t have the skills they claimed to have, others leave for another opportunity after we have trained them, and we’ve hired our share of people whose personality doesn’t fit with the company culture. How can we do a better job of screening and hiring employees that will contribute to our organization’s success?

A: You are not alone, we find that most hiring managers and supervisors share your frustration. Most have not undergone training in legal and effective hiring practices. Anyone involved in the hiring process should be made aware of the state and federal anti-discrimination laws to avoid asking legally inappropriate questions. The basic rule is: if it isn’t job-related, don’t ask it.

Often managers are so fearful that they will ask an illegal question that they tend to overlook all of the legally appropriate screening and interviewing opportunities that help “predict” how the candidate will perform and behave as an employee. To improve the quality of hiring decisions, a structured approach is best. Hiring is subjective by nature – this is not an exact science! To improve hiring decision outcomes, managers must introduce as many structured, job-relevant “objective” elements to the process as possible. This way, we can work to avoid choosing the candidate who is the best at INTERVIEWING, and hire the one who will be the best EMPLOYEE!  

Poor Hiring Decisions Affect . . . Morale; Productivity; Customer Service; Potential Legal Problems; Management Credibility, and more. Fortune magazine reports, “an employee who flops and leaves after a few months can cost a company anywhere from $5000 for an hourly worker to $75,000 for a manager in lost productivity and money spent on training.  The cost may be even greater if you hire the wrong person and he or she stays on, making mistakes and sabotaging morale (& customer relations).”The average selection error costs your organization a minimum of two times that individual’s annual salary.

A helpful technique is to consider is A.I.M.ing at the hiring target.

Abilities: Can they do the job based on past education and experience?

   

Interests:  Are they motivated to do the job well and committed to stay with the organization?

Manageability: Will they accept direction, manage stress, and get along with others?

Most employers miss the hiring “target” due to inadequate:

·       Analysis of Job Functions

Develop a Job Description based on clear understandings of the tasks and responsibilities of the position – know what you are looking for. Write job ads, create interview and screening processes, and evaluate future performance based on this analysis.

·       Analysis of Personality Traits

Ascertain essential characteristics of a top performer in this job (don’t hire an introvert as a receptionist or an extrovert as a data entry person). Incorporate these traits into the Job Description whenever possible.

·       Initial Screening

Ask structured questions (why interested, compensation needs, schedule, etc.) and check the quality of interpersonal skills, how the application was completed, etc. for initial indicators of the possible “match”.

·       Questioning Techniques

Prepare interview questions based on the job functions and personality traits for the job. Use behavioral questions (tell me about a time when, give me an example of, how would you handle . . .); rather than closed questions (do you have, can you do, have you done).

·       Predictive Assessments

Simulate essential tasks and responsibilities to get a “preview” of how the person would actually perform in the job (accounting tests, vocabulary, software proficiencies, telephone skills, grammar and spelling). You can set up some scenarios and role-plays of client interactions or internal situations they may encounter, and check their knowledge, judgment and communication style in handling the simulated situation.

·       Use of Second Opinions

Including more than one person in the screening process will help reduce the subjectivity. Integrating coworker input is extremely worthwhile, but should be well structured to avoid legal missteps.

·       Providing of Realistic Pay & Career Information

Avoid “embellishing” or omitting important information in this regard, or employees will often become discontent and leave for other opportunities.

·       Reference Checking

The best predictor of how an employee will perform is how they have performed in the past.

·       Orientation and Training

New employees require integration support to help them adapt and develop competencies to perform in the job.

TPO is an award-winning firm established in 1991 made up of a group of highly experienced, nationally certified HR experts and trainers. TPO is licensed by the State of California (PI-25638) to provide investigative services. For more information, please contact us at 800-277-8448 or visit our web site www.tpohr.com.

Contents © 2011 TPO Human Resource Management. No part of this article may be reproduced, excerpted or redistributed in any form without express written permission from TPO Human Resource Management.

When you have to deliver bad news

Whether it is layoffs, cutbacks or reductions in hours, pay or benefits, delivering these messages takes the idea of “putting in a hard days work” to new levels! And because preparing for these messages can span weeks of meetings and discussions, the mental burden can feel substantial, if not overwhelming. Across the country, managers are reporting sleep disorders, depression and being on the verge of tears for weeks on end – not exactly the kind of uplifting people-work they set off to face in their people-oriented careers! 

Although there may be no way to avoid these difficult tasks, their repercussions on staff can be contained. Part of this includes believing that how you deliver the message can impact the outcome positively. Full preparation and being in the right frame of mind can help to protect your sense of self while making the message more humane.

The following suggestions come from a variety of sources but they all point to one truth: Find the help that you need from your personal and business support systems during these challenging times!

1.     Contribute to a process that respects and maintains everyone’s dignity by being well-prepared, direct, firm and calm. Since your personal inclinations are likely to be anything but that, find ways to get into the right frame of mind when the time comes, be that visualization, meditation, talking to a peer, etc.

2.     Focus on the company Vision; it is why you came to work here in the first place and can help you to center on what is important when moving forward.

3.     Promote respect in the conversations. You might feel awful, but crying, hugging or saying that you are sorry or that you understand how they feel is out of place and undermines the respect that the person deserves.

4.     If there was ever a time to watch work-life balance issues, this is it. Eat regular meals and avoid guilt-inducing treats and junk food that can also leave you with a sugar “crash.” An extra alcoholic beverage is not the answer and evening routines need to promote good sleep patterns.

5.     Socialize with friends. Talk to your peers – the hugs are fine there. If possible, plan a vacation day or some time off for after the bad messages are delivered and fill it with everything that you love.

6.     Be prepared for feelings of guilt; after all, you still have a job and of course you empathize with those who have been impacted.

7.     Don’t forget to call your support team at TPO. We can help you focus on the business reasons and help you practice how you want to say it. We are there to listen and help you in any way that we can!

TPO is an award-winning firm established in 1991 made up of a group of highly experienced, nationally certified HR experts and trainers. TPO is licensed by the State of California (PI-25638) to provide investigative services. For more information, please contact us at 800-277-8448 or visit our web site www.tpohr.com.

Contents © 2011 TPO Human Resource Management. No part of this article may be reproduced, excerpted or redistributed in any form without express written permission from TPO Human Resource Management.

Discrimination claims on the rise: Minimize your exposure with these professional tips

In 2010, where jobs are scarce, the number of discrimination claims have almost doubled. In better economic times, when an employee lost a job, they just tip-toed across the street and got another one. Now, when an employee is terminated, passed over for a promotion, or personally offended, they just might take their chances with the EEOC, DFEH and ultimately perhaps Superior Court. Some employers allow their (often untrained) managers and supervisors too much discretion when it comes to critical employment policy matters. While this may make managers feel empowered and contribute to their professional development, it potentially increases employers’ risk of having their employment practices challenged on the basis of unlawful discrimination and wrongful termination unless the managers and supervisors have been trained to seek assistance and understand the organization’ s policies and past practices as well as the law.

There are many things employers can do to protect themselves and minimize their exposure to claims of discrimination.

1.     Have an “Open Door” Policy. Encourage employees to come to management with any concerns they may have. Allow them the opportunity to discuss their feelings in a safe environment, free of threat of retaliation. Show employees that their concerns are taken seriously and you value their opinions. This creates a loyal, productive work force and reduces the risk of employees seeking resolution with an outside governmental agency like the EEOC, Labor Commissioner or DFEH. TPO provides such a policy for handbooks.

2.     Ensure managers are well-trained. Train managers on Harassment Prevention and the fundamentals of effective leadership, making sure they have a basic understanding of state and federal employment laws. It is essential that they understand their level of authority, the implications of the decisions they make and how they might affect the organization as a whole. When tracking performance, ensure that managers are specific in their notations and document areas of opportunity as well as success. TPO provides prevention of Harassment and Discrimination in the Workplace training as one of our many programs.

3.     Create policies that are consistently enforced and viewed as fair. It is ethical to create promotional and disciplinary policies that support the organizational goals. Communicating performance and behavioral standards ensures all involved understand those expectations and minimizes confusion. Have a structured Problem Solving policy to proactively facilitate resolution of any employee concerns that arise. TPO incorporates policies and tools to assist managers in our handbooks and HR Administration Kit.

4.     Consult a Human Resources Expert or Employment Law Attorney. Human Resource Professionals and Employment Law Attorneys are knowledgeable about State and Federal employment laws and previous court decisions associated with them. Human Resources Professionals are also skilled in the interpersonal intricacies of the workplace. Having a solid HR Business Partner can benefit an organization in more ways than one. Members can call TPO free for such support and clients can call for a reasonable hourly rate for assistance with any issue whether compliance or interpersonal.
 

Decisions based on discretion, which may be perceived as discrimination can be costly to defend. Whether an employer is ordered to pay thousands of dollars or not, the time, energy and expense of defending such a claim is often underestimated. An organization would be smart to ensure that their practices are consistent and legally compliant to support employment decisions when or if they are challenged. Give us a call for more information about TPO’s proven strategies to to assist your organization in mitigating risk.

TPO is an award-winning firm established in 1991 made up of a group of highly experienced, nationally certified HR experts and trainers. TPO is licensed by the State of California (PI-25638) to provide investigative services. For more information, please contact us at 800-277-8448 or visit our web site www.tpohr.com. 

Contents © 2011 TPO Human Resource Management. No part of this article may be reproduced, excerpted or redistributed in any form without express written permission from TPO Human Resource Management.