Break Through the Engagement Plateau · Quicken Loans’ “ISMs” Are More Than Word Play Company...
Transcript of Break Through the Engagement Plateau · Quicken Loans’ “ISMs” Are More Than Word Play Company...
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Break Through the
Engagement Plateau
HR Advancement Center
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
ROAD MAP2
A Different Approach to Employee Engagement1
2 Six Levers to Advance Your Desired Culture
3 How Do You Measure Culture?
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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A National Report Card on Staff Engagement
Source: Advisory Board Survey Solutions Employee Engagement National Database, 2017.
1) Benchmark includes a representative national panel sample of over
2,000 respondents in industries outside of health care from 2015.
Trends in Engagement and Disengagement in
Advisory Board’s National Survey Solutions Cohort
Percentage by Calendar Year of Survey Administration
5.4% 6.5% 5.6% 5.5% 5.8% 5.0% 4.7% 4.9%
36.2%39.0%
40.8% 41.1% 40.5% 41.3%43.2% 43.9%
2010 2011 2012 2013 2014 2015 2016 2017
Employee
Engagement,
Non-Health Care
Respondents1
20%
Comparative Benchmark
Percent
Engaged
Percent
Disengaged
http://www.advisory.com/
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A Continued Upward Trend Feels Far from Certain
Source: HR Advancement Center interviews and analysis.
Potential Root Causes
It feels increasingly difficult to sustain (and improve) employee engagement
Fewer “low-hanging fruit” opportunities to improve engagement
Challenging operating
environment
Managers are
overloaded ?
http://www.advisory.com/
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Reconsidering Our Past Research
Source: HR Advancement Center, Achieving Breakthrough Engagement, Washington, DC: Advisory Board, 2007.
Two Distinct Approaches to Improving Engagement Circa 2007
Top-Opportunity
Approach
Employee Value Proposition
(EVP) Approach21
Marshall survey data to
identify top opportunities for
improvement, deploy tactics
in response; measure the impact
of these tactics with the next
employee survey
Deploy a series of tactics that
support a defined employee
value proposition that speaks
to a shared set of cultural tenets
or values
http://www.advisory.com/
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The EVP-Driven Approach in Action
Source: HR Advancement Center research.
IMA
GE
CR
ED
IT: T
HE
IN
QU
ISIT
R N
EW
S.
http://www.advisory.com/
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The EVP-Driven Approach in Action
Source: “Recreational Equipment, Inc. (REI),” Great Place to Work Institute, 2018,
http://reviews.greatplacetowork.com/recreational-equipment-inc-rei; “Mapping the Best Companies,”
Fortune, 2018; “REI is a Best Place to Work,” REI, 2018; HR Advancement Center interviews and analysis.
Company in Brief: Recreational Equipment, Inc. (REI)
• Member-owned co-operative retailer specializing in outdoor clothing and
equipment; headquartered in Kent, WA, with 12,970+ employees
• REI deploys a series of employee benefits and initiatives to support its core
values; for example, every six months employees receive a day off to spend
time outside and reconnect with their purpose for working at REI
• REI is currently #38 on FORTUNE’s 100 Best Companies to Work For®; its
workplace policies regularly afford it media attention
http://www.advisory.com/http://reviews.greatplacetowork.com/recreational-equipment-inc-rei
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A Primer on the EVP Approach to Driving Engagement
Source: HR Advancement Center interviews and analysis.
Key Components
z
Isolate cultural
tenets that will
attract and inspire
the workforce
you need
2
Communicate
your EVP in a way
that “speaks to”
your desired talent
3 4
Define and pursue a
strategy to bring
your EVP to life for
your employees,
every day
1
Determine the
talent your
organization
needs to succeed
in the market
http://www.advisory.com/
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REI’s Black Friday Move Far from a Gimmick
We care about what you care about
Funded Management Volunteer Time:
Managers paid for eight volunteer hours per month
Staff-Led Service Outings:
Employee-organized community service outings
Gear Grants:
$300 of REI-brand gear given to employees
for self-planned outdoor challenge
Yay Day:
Paid day for all REI employees to spend time in
the outdoors or to complete a stewardship project
#OptOutside:
Close all company stores on Black Friday and
pay employees to go spend time outside
Non-profit Clubhouse Privileges:
Donation of store space for non-profit meetings
Skill Clinics:
Employees present free clinics on
outdoor topics of personal expertise
Source: REI, https://rei.jobs/careers/MicroSiteCulture; Jacobson, E, “REI Sets the Example For Creating And Living Core Values,”
Eric Jacobson on Management and Leadership, January 22, 2012, http://ericjacobsononmanagement.blogspot.com/2012/01/rei-
sets-example-for-creating-and.html; HR Advancement Center interviews and analysis. ©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
https://rei.jobs/careers/MicroSiteCulturehttp://ericjacobsononmanagement.blogspot.com/2012/01/rei-sets-example-for-creating-and.htmlhttp://www.advisory.com/
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Every Organization Has a Culture
Source: HR Advancement Center interviews and analysis.
How Cultures Emerge
Develops on its own as a
product of employees’
work styles, behaviors
Defined by select
number of deliberately-
chosen core attributes
Default Culture Differentiated Culture
CULTURE:The shared set of values that guides all employee behavior and
actions—how they treat one another, and how they do their work.
http://www.advisory.com/
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No Clear Path from Default to Differentiated
Source: HR Advancement Center interviews and analysis.
Key Barriers to Deliberately Shaping Your Culture
Default Culture
Develops on its own as a
product of employees’
work styles, behaviors
Defined by select
number of deliberately-
chosen core attributes
Differentiated Culture
Pressure to be all
things to all people
Wide range of
influences on culture
Limited resources
to invest in culture
http://www.advisory.com/
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How to Shift Towards a Differentiated Culture
Source: HR Advancement Center research and analysis.
Lesson:
Use Talent Management to
Shift Your Culture Toward
Your Aspiration
Lever #2: Performance
Management
Lever #3: Leader
Development
Lever #4: Hiring
Lever #5: Senior Leader
Role Modeling
Lever #6: Positive
Peer Pressure
Make Your Cultural
Aspiration the New Normal
1 2 3
Clarify Your
Cultural Aspiration
Lever #1: Deliberate
Organizational Values
Pressure to be all
things to all people
Wide range of
influences on cultureBarrier:
http://www.advisory.com/
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A Principled Approach to Betting on Culture
Source: HR Advancement Center research and analysis.
Two Recommendations to Focus Your Culture Investments
Pick 1-2 Levers
Where You’ll Go “All In”
Dial up the impact of select
levers where your organization is
already strong, and early signs
point to a likely return
Lay Down Table Stakesfor Each Lever
Get each lever to a point where
(at a minimum) it won’t stand in
the way of influencing your
desired culture
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Your Culture-Building Roadmap
Source: HR Advancement Center research and analysis.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
ROAD MAP15
A Different Approach to Employee Engagement1
2 Six Levers to Advance Your Desired Culture
3 How Do You Measure Culture?
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Deliberate Organizational Values
LEVER
1
http://www.advisory.com/
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Values With an Edge
Source: HR Advancement Center research and analysis.
Sample Organizational Values
“Grow our business in a
way that makes us proud”
“Create fun and a little
weirdness”
“We think customer” “You can make money
without doing evil”
“We eat our own dog food”
“Get out there”
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Could Your Organizational Values
Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Lever #1: Deliberate
Organizational Values
We share our values with candidates
and feature them in new-hire orientation.
We have specific recognition programs tied to our values.
Our values are incorporated into
performance evaluations for all staff.
We have seven (or fewer) values.
We have translated our values into
specific, observable behaviors.
Staff reference our values in their
day-to-day work and conversations.
Leaders frequently highlight our values in organization-
wide communications and other interactions with staff.
Leaders and staff can name specific instances
where our values influenced decisions or trade-offs.
We can name more than one worthy value
that we deliberately did not include in our list.
Our values are so direct and clear that they
do not speak to all candidates or team members;
they are most compelling for the talent we’re
trying to attract and inspire.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Could Your Organizational Values
Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Embed a Consistent
Set of Values Across
Your Organization
Make Values Pithy
and Memorable
Strategies to Move Up the Spectrum
1
2
Use Values to
Differentiate Your Culture
from Your Competition’s
3
Table
Stakes
Status
Quo
Lever #1: Deliberate
Organizational Values
We share our values with candidates
and feature them in new-hire orientation.
We have specific recognition programs tied to our values.
Our values are incorporated into
performance evaluations for all staff.
We have seven (or fewer) values.
We have translated our values into
specific, observable behaviors.
Staff reference our values in their
day-to-day work and conversations.
Leaders frequently highlight our values in organization-
wide communications and other interactions with staff.
Leaders and staff can name specific instances
where our values influenced decisions or trade-offs.
We can name more than one worthy value
that we deliberately did not include in our list.
Our values are so direct and clear that they
do not speak to all candidates or team members;
they are most compelling for the talent we’re
trying to attract and inspire.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Quicken Loans’ “ISMs” Are More Than Word Play
Strategy 2: Make Values Pithy and Memorable
Source: Quicken Loans, Detroit, MI; HR Advancement Center interviews and analysis.
Sample Tactics That Ensure
“ISMs” Guide Behavior
► Senior leaders facilitate day-
long values session at orientation
► Employees can award 16 unique
recognition cards (one per “ISM”)
to colleagues whose behavior is
consistent with “ISMs”
► New hires receive specific,
real-life examples of what it looks
like to live (or not live) each “ISM”
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Quicken Loans’ “ISMs” Are More Than Word Play
Company in Brief: Quicken Loans
• Privately held financial services firm with 17,000 employees based in
Detroit, MI, with offices across the United States
• Employee value proposition focused on being a customer-oriented
workplace with action-oriented people; leaders introduce and reinforce
16 core values known as “ISMs” to guide employee behavior
• Training on “ISM” values includes examples of specific employee
behaviors that do and do not embody the values
• Recipient of numerous accolades for status as a top employer (ranked on
FORTUNE’s 100 Best Companies to Work For® list for the last 15 years;
2017 rank was #14) and successful business (J.D. Power ranked Quicken
Loans first in the nation for four years running for client satisfaction among
mortgage providers)
Source: Quicken Loans, Detroit, MI; HR Advancement Center interviews and analysis.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Translating “The Inches We Need Are
Everywhere Around Us” for New Employees
Source: Quicken Loans, Detroit, MI; HR Advancement Center interviews and analysis.
From: Smith, Sabrina
To: Gilbert, Dan
Subject: Urgent!
Hi Dan, I’m e-mailing you directly because I
don’t know if facilities is here today and this is
something that is of utmost importance. I just
left a priority message for facilities as well.
Here’s a picture of what the garbage
dumpsters directly in front of the building
looked like today at Laurel Park.
Thank you,
Sabrina
Excerpts from Quicken Loans’ Orientation Manual
From: Gilbert, Dan
To: All Company
Subject: Urgent!
Beautiful find by Sabrina.. This is what I call
“High Level”…This kind of stuff is what makes
us great…This is why we continue to grow
and have become the special place we are
today…People who care. Awareness.
Eyeballs. A willingness to spend a couple of
minutes to MAKE IT BETTER.
EXECUTION….You know Danny Pack and
his great people will address this and make it
right.
Thank you Sabrina!!
IMAGE CREDIT: QUICKEN LOANS.
----Original message----
From: [mailto:@finbank.com]
Sent: Wednesday, March 10, 2017 12:22PM
Subject: Out of Office Auto Reply
I will be unavailable between 9:00 & 11:00, if
this e-mail needs immediate attention. Please
forward to Jane Jones. Thank you!
Example of real employee
email to company chairman
complaining of overflowing
dumpster
Chairman replies with
organization-wide email
praising employee for her
initiative
Example of out-of-office
email illustrating common
email pitfalls (e.g., missing
contact information)
http://www.advisory.com/mailto:[mailto:@finbank.com]
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Which Values Will Differentiate Your Organization?
Strategy 3: Use Values to Differentiate Your Culture from Your Competition’s
Source: HR Advancement Center interviews and analysis.
An Enjoyable
Place to Work
Your Ideas
Inspire ActionWork with the Best
Your Home Away
from Home
Work for a World-
Class Manager
Build a Long-Term
Career Here
A Personal Stake in
Organizational Success
Competitive
Compensation
Take Care of the
Whole Employee
Access to Cutting-
Edge Technology
Make a Difference in
Your Community
Commitment to
Excellence
Example Organizational Values
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Defining a Differentiated EVP
Source: Advisory Board Survey Solutions research and analysis.
POTENTIAL EVP
BUILDING BLOCKS
RECOMMENDED EVP
BUILDING BLOCKS
Quantitative Screens:
1. Is it important to your top
talent cohort?
2. Does top talent value it more
than bottom?
3. Is it a top impact driver of
engagement?
4. Is it a natural strength?
Qualitative Screen:
5. Does this differentiate you in
your job market?
Five Screens to Isolate a Discrete Set of Core Values
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Could Your Organizational Values
Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Signs of
Likely ROI
The talent you
most want to
attract and
inspire has distinct
preferences
about their work
environment
Your executive
team is willing to
outperform on a
subset of values
(and perform
“well enough”
on the others)
Embed a Consistent
Set of Values Across
Your Organization
Make Values Pithy
and Memorable
Strategies to Move
Up the Spectrum
1
2
Use Values to
Differentiate Your
Culture from Your
Competition’s
3
Table
Stakes
Status
Quo
Lever #1: Deliberate
Organizational Values
We share our values with candidates
and feature them in new-hire orientation.
We have specific recognition programs tied to our values.
Our values are incorporated into
performance evaluations for all staff.
We have seven (or fewer) values.
We have translated our values into
specific, observable behaviors.
Staff reference our values in their
day-to-day work and conversations.
Leaders frequently highlight our values in organization-
wide communications and other interactions with staff.
Leaders and staff can name specific instances
where our values influenced decisions or trade-offs.
We can name more than one worthy value
that we deliberately did not include in our list.
Our values are so direct and clear that they
do not speak to all candidates or team members;
they are most compelling for the talent we’re
trying to attract and inspire.
http://www.advisory.com/
-
©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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How to Shift Towards a Differentiated Culture
Source: HR Advancement Center research and analysis.
Lesson: 1
Clarify Your
Cultural Aspiration
Lever #1: Deliberate
Organizational Values
Pressure to be all
things to all peopleBarrier:
Use Talent Management to
Shift Your Culture Toward
Your Aspiration
Lever #2: Performance
Management
Lever #3: Leader
Development
Lever #4: Hiring
Lever #5: Senior Leader
Role Modeling
Lever #6: Positive
Peer Pressure
Make Your Cultural
Aspiration the New Normal
2 3
Wide range of
influences on culture
http://www.advisory.com/
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Performance Management
LEVER
2
http://www.advisory.com/
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Tying Monthly Peer Feedback to Pay
Source: Talbot, Shannon, “Peer Review Drives Compensation at Johnsonville,” Workforce, http://www.workforce.com/
1994/10/01/peer-review-drives-compensation-at-johnsonville/; HR Advancement Center research and analysis.
Johnsonville Foods’ Monthly Peer Review Process
Every six months,
employees write
formal performance
goals, post them on
the intranet
Employee writes
interim monthly goals
Employee meets
goal, receives bonus
for that monthColleagues fill out survey each
month to evaluate employee
performance against goal
Employee doesn’t
meet goal; receives
coaching, no bonus
for that month
Employee picks three colleagues
with high visibility into his or her
work to provide monthly feedback
10-25% of employee base compensation
derived from peer-determined bonuses
http://www.advisory.com/http://www.workforce.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Tying Monthly Peer Feedback to Pay
Source: “About Us,” Johnsonville, http://www.linkedin.com/company/Johnsonville-sausage/; Talbot,
Shannon, “Peer Review Drives Compensation at Johnsonville,” http://www.workforce.com/1994/10/01/peer-
review-drives-compensation-at-johnsonville/; HR Advancement Center research and analysis.
Company in Brief: Johnsonville Foods
• Food production company headquartered in Sheboygan Falls, WI, with 1,800 employees
• In 1992, introduced new employee compensation system to give employees greater
transparency into pay and greater clarity regarding what they can do to increase it
• Peer review a key component in performance management and Great Performance Share
bonus system; at the beginning of each month, each employee writes goals that align with
four company values (a noticeably better product, outstanding financial results, outstanding
customer service, and outstanding people) and selects three internal customers to provide
feedback based on performance that month; employees also post their contracts to a
company-wide bulletin board so anyone can comment on them
• Peer teams distribute bonus dollars across team based on individual bonuses; at the time
this practice was introduced, bonuses can account for up to 25% of employee base pay
http://www.advisory.com/http://www.linkedin.com/company/Johnsonville-sausagehttp://www.workforce.com/1994/10/01/peer-review-drives-compensation-at-johnsonville/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Could Performance Management
Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Lever #2: Performance Management
All of our recognition programs map to our values.
Every staff member’s performance review contains
a qualitative section with specific, observable
behaviors derived from our values.
Staff have a formal (but easy) way to
recognize peers who embody specific values.
We have specific awards for staff who are true
exemplars of our values; these award recipients are
nominated, carefully vetted, and then widely celebrated.
The behaviors section of the performance review
impacts pay for all staff.
Staff receive specific, accurate feedback from their
manager on behaviors at least three times per year.
Staff receive specific, accurate feedback
on these behaviors at least monthly.
All staff receive specific feedback annually about
how well they meet behavioral expectations.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Could Performance Management
Better Advance Your Desired Culture?
Lever #2: Performance Management Strategies to Move Up the Spectrum
Attach Meaningful Consequences
to How Well Each Staff Member
Demonstrates Organizational Values
Democratize Sources of
Feedback on Values4
2
Equip Managers to Provide
Accurate Feedback to All Staff
About How Well They Model the
Organization’s Values
1
Repurpose Time from the Annual
Review for Ongoing Feedback
Throughout the Year
3
All of our recognition programs map to our values.
Every staff member’s performance review contains
a qualitative section with specific, observable
behaviors derived from our values.
Staff have a formal (but easy) way to
recognize peers who embody specific values.
We have specific awards for staff who are true
exemplars of our values; these award recipients are
nominated, carefully vetted, and then widely celebrated.
The behaviors section of the performance review
impacts pay for all staff.
Staff receive specific, accurate feedback from their
manager on behaviors at least three times per year.
Staff receive specific, accurate feedback
on these behaviors at least monthly.
All staff receive specific feedback annually about
how well they meet behavioral expectations.
Table
Stakes
Status
Quo
Source: HR Advancement Center interviews and analysis.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Help Managers Share Feedback on Behavior
Strategy 1: Equip Managers to Provide Accurate Feedback to All Staff About How Well They Model the Values
Source: HR Advancement Center interviews and analysis.
HR Advancement Center Resources
• Five criteria to evaluate
behaviors section of the
performance evaluation
• Criteria include whether
behaviors are specific,
written in plain English
• Facilitation guide (including
scenarios and discussion
questions) for HR to lead
a session for managers
• Skills taught include how
to prepare for and deliver
difficult feedback
• Conversation roadmap
and scripting
• Helps managers prepare
and deliver qualitative
performance feedback
• Includes list of common
pitfalls with guidance to keep
the conversation on track
Give managers a yardstick
against which they can
evaluate staff on behaviors
Increase manager comfort
and competence at
delivering qualitative
feedback about behavior
Ensure managers have
effective conversations with
staff about their behavior
Audit to Assess Whether
Behaviors Section Needs
Greater Specificity
(see pages 52-54 in Must-Do
Steps for Trustworthy
Performance Evaluations)
Difficult Feedback Role Play
(see pages 37-54 in HR’s
Guide to Accurate Evaluations)
Keep Difficult Performance
Conversations on Track
(see pages 17-19 in The
Manager’s Guide to Accurate
Evaluations)
Tools for HR Tool for Managers
Tool
Goal
Description
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/studies/2014/must-do-steps-for-trustworthy-performance-evaluationhttps://www.advisory.com/research/hr-advancement-center/resources/2014/hrs-guide-to-effective-evaluationshttps://www.advisory.com/research/hr-advancement-center/resources/2014/managers-guide-to-accurate-evaluations
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Adding a Bit of Extrinsic Motivation
Strategy 2: Attach Meaningful Consequences to How Well Each Staff Member Demonstrates the Values
Source: HR Advancement Center interviews and analysis.
HR Advancement Center Resources
Use PTO as a meaningful
consequence when behaviors
(do or don’t) meet the standards
Tie staff compensation
to performance on behaviors
Give meaningful feedback to
physicians on behaviors
Time-Based Incentives
(see pages 72-74 in Hardwiring
Accountability at the Front Line)
Differentiated Frontline Merit Pay
(see pages 68-71 in Hardwiring
Accountability at the Front Line)
Add Behaviors to
Physician Incentive Plans
(see pages 59-61 in Must-Do
Steps for Trustworthy
Performance Evaluations)
Examples of Incentives
Tool
Goal
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/studies/2012/hardwiring-accountability-at-the-front-linehttps://www.advisory.com/research/hr-advancement-center/studies/2012/hardwiring-accountability-at-the-front-linehttps://www.advisory.com/research/hr-advancement-center/studies/2014/must-do-steps-for-trustworthy-performance-evaluation
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Physician Incentives Tied to
Behavioral Feedback at Intercede Health
Hospitalists’ Incentive Plan
at Intercede Health
Excerpt of Behavioral Criteria
25%
25%
50%
Quality Metrics
Behavioral
Score
RVU1
Productivity
Rating Interpersonal Skills
1
Is a constant source of friction for the team.
Never assists with extra work. Constantly
having poor interactions with patients and staff.
2
Often has conflict with other members of team.
Will begrudgingly assist with extra work when
asked. Often has poor interactions with patients
and staff.
3
Gets along with other members of team.
Will step in to help with extra work when
asked. Has no consistent issues with patient
and staff interactions.
4
Works well in team environment. Generally
steps in if extra help is needed. Generally
pleasant with patients and staff.
5
Consummate team player. Always can
be counted to step in for extra work without
complaint. Always pleasant in interactions
with patients and staff.
1) Relative Value Unit.
Source: Intercede Health, Houston, TX; HR Advancement Center, Must-Do Steps
for Trustworthy Performance Evaluations, Washington, DC: Advisory Board, 2015.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Physician Incentives Tied to
Behavioral Feedback at Intercede Health
Case in Brief: Intercede Health
• Hospitalist management company based in Houston,
Texas; employs approximately 80 hospitalists
• Financial incentive structure incorporates both
outcome-based and behavior-based evaluation
• Standardized rating grid clearly defines expectations across
five key behavioral performance areas: Excellence/Quality
of Care, Communication Skills, Interpersonal Skills,
Reliability/Accountability, and Hospital Citizenship
Source: Intercede Health, Houston, TX; HR Advancement Center, Must-Do Steps
for Trustworthy Performance Evaluations, Washington, DC: Advisory Board, 2015.
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
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Virtua Frees Up Manager Time with a Shorter Review
Strategy 3: Repurpose Time from the Annual Review for Ongoing Feedback Throughout the Year
Five Steps to Reduce the Review to
Crucial Components
Stopped asking leaders to grade staff on 33
individual behaviors or job duties1
Limited the number of open-text questions2
4Got rid of job description/position specific
requirements section
3Condensed three separate future objectives
sections into one Development Plan section
5Stopped grading individual values in favor
of one Virtua Experience section
FOR STEP-BY-STEP GUIDANCE, access
Shift from Annual Performance Management
to Continuous Feedback at advisory.com
Source: Virtua, Marlton, NJ; HR Advancement Center, Shift from Annual Performance
Management to Continuous Feedback, Washington, DC: Advisory Board, 2017.
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/studies/2017/shift-to-continuous-feedback
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37
Virtua Frees Up Manager Time with a Shorter Review
Source: Virtua, Marlton, NJ; HR Advancement Center, Shift from Annual Performance
Management to Continuous Feedback, Washington, DC: Advisory Board, 2017.
Case in Brief: Virtua
• 3-hospital nonprofit health care system headquartered in Marlton, New Jersey
• Previously had multi-page Best People Review (BPR) forms for different
groups in the organization (clinicians, managers, frontline staff)
• In 2016, streamlined annual review to one, standard page used
across the entire organization
• New BPR focuses on overall performance, contributions to Virtua’s
“Star Model,” Virtua-wide requirements, and development goals
• Staff fill out substantial portion of the form before sending to their managers to complete
• HR Business Partners delivered new form to their client groups; communicated “the why”
behind the change; provided samples of completed BPRs relevant to client groups
• HR created a toolkit for leaders across the organization with
new forms and resources (stored in SharePoint site)
http://www.advisory.com/
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Defining the “Continuous” in Continuous Feedback
Number of Direct Reports
Nu
mb
er
of
Ch
ec
k-I
ns p
er
Ye
ar
Feasible Number of Check-Ins per Year
Low High
Low
High
12
4
2
Out-of-
industry
goal
Health
care goal
Minimum
6
8
10
Source: HR Advancement Center interviews and analysis.
http://www.advisory.com/
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39
Making Peer Feedback Easy at Patagonia
Strategy 4: Democratize Sources of Feedback on Values
Source: Patagonia, Ventura, CA; HR Advancement Center, Shift from Annual
Performance Management to Continuous Feedback, Washington, DC: Advisory Board, 2017.
Patagonia’s Peer Feedback Platform
http://www.advisory.com/
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40
Making Peer Feedback Easy at Patagonia
Source: Patagonia, Ventura, CA; HR Advancement Center, Shift from Annual
Performance Management to Continuous Feedback, Washington, DC: Advisory Board, 2017.
Case in Brief: Patagonia
• American clothing company headquartered in Ventura, CA; designs outdoor clothing
and gear for: climbing, surfing, skiing/snowboarding, fly fishing and trail running; rated
by Forbes as one of the 15 best places to work in retail in 2016
• In 2015 Patagonia partnered with HighGround and developed its “Regenerative
Performance” process which centers around annual target and quarterly stretch
goals, employee initiated quarterly check-ins, and crowdsourced feedback
• Through HighGround staff can request feedback from their peers any time based on
a specific project or event
• HR provides peers with two prompts, one positive and one constructive, to provide
feedback; staff ideally get feedback from one peer every few weeks
• Patagonia has been able to track utilization of their tools using HighGround and found that
about three quarters of staff have scheduled at least one check-in during the first year and
half of staff have used the peer feedback tool in the first six months
http://www.advisory.com/
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41
Could Performance Management
Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Lever #2: Performance Management
Signs of
Likely ROI
Managers’
spans of
control make
frequent
feedback
realistic
Managers
are strong
coaches
All of our recognition programs map to our values.
Every staff member’s performance review
contains a qualitative section with specific,
observable behaviors derived from our values.
Staff have a formal (but easy) way to
recognize peers who embody specific values.
We have specific awards for staff who are true
exemplars of our values; these award recipients
are nominated, carefully vetted, and then widely
celebrated.
The behaviors section of the performance review
impacts pay for all staff.
Staff receive specific, accurate feedback from their
manager on behaviors at least three times per year.
Staff receive specific, accurate feedback
on these behaviors at least monthly.
All staff receive specific feedback annually about
how well they meet behavioral expectations.
Strategies to Move
Up the Spectrum
Attach Meaningful Consequences
to How Well Each Staff
Member Demonstrates
Organizational Values
Democratize Sources of
Feedback on Values4
2
Equip Managers to Provide
Accurate Feedback to All Staff
About How Well They Model
the Organization’s Values
1
Repurpose Time from the Annual
Review for Ongoing Feedback
Throughout the Year
3
Table
Stakes
Status
Quo
http://www.advisory.com/
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Leader Development
LEVER
3
http://www.advisory.com/
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43
A Frontline Manager Who Is “All In”
Source: HR Advancement Center interviews and analysis.
“It’s a running joke that if I walk onto any unit in the
hospital, I’ve hired at least half the nurses there.”
Nurse Manager
A Med/Surg Unit’s Transformation
…from Revolving Door… …to Fertile Training Ground
Invest in additional education
and development opportunities
for new graduates
Redefine turnover as
departures from hospital
Train new nursing
graduates to be successful
on med/surg unit
Define turnover as
departures from unit
http://www.advisory.com/
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44
Scope of Manager Role Outpacing Support
Manager as Change Agent
Focus: Organizational
Transformation
• Strategy translation
• Behavior change
• Vision setting
• Innovation
Evolution of the Health Care Manager Role
Manager as Unit CEO
Focus: Team Outcomes
• Process improvement
• Clinical outcomes
• Cost management
• Unit productivity
Focus: Team Outcomes
• Process improvement
• Clinical outcomes
• Cost management
• Unit productivityManager as Supervisor
Focus: Staff Management
• Unit scheduling
• Team supervision
• Performance evaluations
• Training and coaching
Focus: Staff Management
• Unit scheduling
• Team supervision
• Performance evaluations
• Training and coaching
Focus: Staff Management
• Unit scheduling
• Team supervision
• Performance evaluations
• Training and coaching
Source: HR Advancement Center interviews and analysis.
http://www.advisory.com/
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Source: HR Advancement Center interviews and analysis.
Could Leader Development Better
Advance Your Desired Culture?
Lever #3: Leader Development
We can cite specific examples of times when we chose not to
promote managers who produced impressive outcomes but
weren’t cultural exemplars.
Managers create such strong team cultures that they gain an
organization-wide reputation as the place to work.
Managers confidently handle the vast majority of instances
where their staff are not contributing to the desired culture
and rarely rely on HR as a go-between.
Managers have meaningful interactions with every direct
report (so they’re able to directly model our culture).
We have a formal way (e.g., engagement survey questions, 360
feedback) to identify managers who don’t have a positive impact
on their team’s culture.
We mandate a specific intervention (e.g., 1:1 coaching) for all
managers whose team cultures fall below a pre-determined
threshold (for example, as measured via an engagement survey).
Managers identify instances where staff behavior does not
align with our culture and share specific feedback with staff.
Our leadership competency model highlights leaders’
contribution to shaping our culture.
Managers devote time to team-building and other activities that
have a positive impact on their team’s culture.
Source: HR Advancement Center interviews and analysis.
http://www.advisory.com/
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Source: HR Advancement Center interviews and analysis.
Could Leader Development Better
Advance Your Desired Culture?
Lever #3: Leader Development
Scope the Manager Role to Enable
a Deliberate Focus on Culture 4
3 Provide Targeted Support for Struggling Managers
Equip Managers with In-the-Moment
Tools to Coach Staff on Behavior2
Show All Staff What It Means
to Be a Leader Here1
Help Managers Uncover and
Resolve Conflicting Incentives5
Status
Quo
Table
StakesWe can cite specific examples of times when we chose not to
promote managers who produced impressive outcomes but
weren’t cultural exemplars.
Managers create such strong team cultures that they gain an
organization-wide reputation as the place to work.
Managers confidently handle the vast majority of instances
where their staff are not contributing to the desired culture
and rarely rely on HR as a go-between.
Managers have meaningful interactions with every direct
report (so they’re able to directly model our culture).
We have a formal way (e.g., engagement survey questions, 360
feedback) to identify managers who don’t have a positive impact
on their team’s culture.
We mandate a specific intervention (e.g., 1:1 coaching) for all
managers whose team cultures fall below a pre-determined
threshold (for example, as measured via an engagement survey).
Managers identify instances where staff behavior does not
align with our culture and share specific feedback with staff.
Our leadership competency model highlights leaders’
contribution to shaping our culture.
Managers devote time to team-building and other activities that
have a positive impact on their team’s culture.
Strategies to Move Up the Spectrum
http://www.advisory.com/
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47
Defining Leaders’ Responsibility for Shaping Culture
Strategy 1: Show All Staff What It Means to Be a Leader Here
Source: HR Advancement Center interviews and analysis.
HR Advancement Center Resources
Best practice for building
a set of core leadership
competencies that reflects
the organization’s current
strategy and values, future
needs and objectives
Example of leadership
competency model tiered by
leadership level: manager,
director, and executive
• Online tool to assess leader
strengths and development
needs across key leadership
competencies
• Specific to health
care leaders
Align expectations for leaders
with actual organizational
priorities and values; assess
leadership performance in the
context of advancing the
strategic plan
Ensure leaders at all levels
know how they are
responsible for shaping the
organization’s culture
Assess managers’ skill
and effectiveness at
representing and translating
the organization’s culture
for their teams
Strategy-Driven
Competency Alignment
(see pages 45-61 in Elevating
Leadership Performance)
Gundersen Health
System’s Tiered Leadership
Competency Model
(see pages 56, 75-78 in
Must-Do Steps for Trustworthy
Performance Evaluations)
Leadership Competency
Diagnostic (online tool)
Three Resources
Tool
Goal
Description
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/studies/2005/elevating-leadership-performancehttps://www.advisory.com/research/hr-advancement-center/studies/2014/must-do-steps-for-trustworthy-performance-evaluationhttps://www.advisory.com/research/hr-advancement-center/tools/2012/leadership-competency-diagnostic
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The Low-Tech Option for Plug-and-Play Tools
Strategy 2: Equip Managers with In-the-Moment Tools to Coach Staff on Behavior
Source: HR Advancement Center interviews and analysis.
HR Advancement Center Resources
Templates, checklists, and
discussion guides to help
managers effectively
onboard new employees
Toolkit designed to help
managers make the most
of their opportunities to
engage their staff
Seven tools that equip
managers to more
accurately evaluate staff
Orient new staff to
organizational norms and
expected behavior
Ensure staff understand
how their work supports
organizational values
Give staff accurate
performance ratings and
feedback about their behavior
The Manager's Guide to
New Hire Onboarding
The Manager's Guide
to Engaging Staff
The Manager's Guide to
Accurate Evaluations
Three Manager Toolkits
Tool
Goal
Description
Example
Tools
#5: Manager-New Hire
Discussion Guide for
First Check-In
#6: Manager-New Hire
Discussion Guide for
30/60/90 Days Check-Ins
#7: Discussion Guide
Mid-Year Check-Ins
#8: Start-Stop-Continue
Conversation Guide
#9: Guide for Delivering
Difficult Feedback
#10: Stay Interview
Discussion Guide
#2: Prepare a Watertight
Outline for Delivering
Feedback
#3: Keep Difficult
Performance
Conversations on Track
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/studies/2014/manager-guide-to-new-hire-onboardinghttps://www.advisory.com/research/hr-advancement-center/studies/2017/managers-guide-to-engaging-staffhttps://www.advisory.com/research/hr-advancement-center/resources/2014/managers-guide-to-accurate-evaluations
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A Streamlined Portal for the Busy Manager
Interface built
around what
managers want
to do
Upcoming Teleconference
Interview with our experts:
Tactics for your stress
Guides for Difficult Conversations Give difficult
feedback – to a
peer
Tool CategoryTool Category
Recently Used
Difficult Conversations
Managing Change
Self Management
Team Leadership
Upward Management
Give difficult
feedback – to
staff
Give difficult
feedback – to
your boss
Say “No” to a
request – to
your boss
Respond to a
conflict between
Search the Toolbox
Review
Recommended
Resources
Find a Tool
Difficult Conversations – All Tools
Source: Advisory Board research.
Easy to find
previous work
Interactive index
directs user to most
relevant tool
Key Elements of The Manager Toolbox
http://www.advisory.com/
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50
Identifying High and Low Performers
Source: HR Advancement Center interviews and analysis.
Identifying High- and Low-Performing
Managers Using Two Metrics
Strategy 3: Provide Targeted Support for Struggling Managers
Additional Metrics to Consider
• Performance rating
• Score on specific
engagement survey question
• Key outcome for unit/department
• ________________
• ________________
Low
High
Manager
Effectiveness
Score
Team Engagement Score
(Compared to Peers or
National Benchmark)
High
Low Performers
High Performers
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
51
Supporting Struggling Managers with Peer Mentors
Source: Kettering Health Network, Dayton, OH; Advisory
Board Survey Solutions interviews and analysis.
Department % Engaged
Gap to BM on
“Manager Open
to Input” Driver
3 North 100% 5.4%
Ortho 93% 3.1%
Nutrition 85% 13.5%
Pharmacy 80% 7.8%
Cardiology 65% 1.4%
Lab 55% 2.1%
Radiology 55% 0.4%
6 South 33% -1.5%
Endoscopy 33% -3.8%
Respiratory 25% -14.7%
Speech 20% -11.0%
Representative Manager Segmentation at Kettering Health Network
Top 20% on
percent engaged
serve as mentors
Bottom 30% on
percent engaged
paired with mentor
Which opportunities among
mentees lend themselves to
peer support?
Additional Criteria Used to
Assign Good-Fit Mentors
Which mentor is naturally strong
at a mentee’s weakness?
Whose operating
circumstances are similar?
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
52
Source: Kettering Health Network, Dayton, OH; Advisory
Board Survey Solutions interviews and analysis.
Supporting Struggling Managers with Peer Mentors
Case in Brief: Kettering Health Network
• Eight-hospital health system with over 120 outpatient
facilities headquartered in Dayton, OH; employs
nearly 12,000 employees and 2,100 physicians
• Piloting high-performer mentorship program
to better support lower performers
• Top 20% on percent engaged serve as mentors,
bottom 30% on percent engaged paired with peer
mentor; mentors asked to meet with mentees on a
monthly basis to provide ongoing support
• 81st percentile for percent engaged; winner of
Advisory Board Workplace of the Year award
http://www.advisory.com/
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53
Two Proven Models to Alleviate the Overload
HR Advancement Center Resources
Strategy 4: Scope the Manager Role to Enable a Deliberate Focus on Culture
Source: HR Advancement Center interviews and analysis.
ACCESS READY-TO-USE
span of control business case slides here
Shrink the number of direct reports
per leader to give leaders more time
to focus on culture
Shrink the number of responsibilities
per leader to give them more time to focus
on culture
Unit Microsystem
(see page 31 in Drive Organizational
Change—Without Overloading Managers)
Specialist Carve Out
(see page 37 in Drive Organizational
Change—Without Overloading Managers)
Model #1
Resource
Goal
Description
Model #2
Divide units into “microsystems”; microsystem
leaders own all people management for their
respective microsystem
Identify specific set of responsibilities that
managers struggle with and transfer them
to a dedicated expert
Signs This Model
Is Right for Your
Organization
• Spans of control greater than
the median benchmarks
• Low frontline staff engagement
• High frontline staff turnover
• Poor performance on key outcomes
(e.g., quality metrics)
• Critical non-people management work
not happening (e.g., data tracking,
business functions)
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/studies/2017/drive-organizational-change-without-overloading-managershttps://www.advisory.com/research/hr-advancement-center/studies/2017/drive-organizational-change-without-overloading-managershttps://www.advisory.com/research/hr-advancement-center/studies/2017/drive-organizational-change-without-overloading-managers
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
54Strategy 5: Help Managers Uncover and Resolve Conflicting Incentives
Acknowledging What Managers Stand to Lose
Source: Heifetz R, Grashow A, Linksy M, The Practice of Adaptive Leadership: Tools and Tactics for Changing Your
Organization and the World, Boston: Harvard Business Press, 2009; HR Advancement Center interviews and analysis.
AttitudeI’m willing to be
uncomfortable to support our desired culture
SkillsI’m confident I can
apply my knowledge in real life
KnowledgeI know how to
accomplish the goal (e.g., address
disruptive behavior)
Prevent perceived loss of:
Common Conflicting
Incentives
• Autonomy
• Identity
• Status
• Time
• Staff
• Budget
Three Necessary Elements for Managers to
Go “All In” to Support the Desired Culture
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
55
Could Leader Development
Better Advance Your Desired Culture?
Lever #3: Leader Development
Source: HR Advancement Center interviews and analysis.
Signs of
Likely ROI
Managers’
spans of control
enable them
to be frequent,
visible role
models for
their team
Manager
turnover is
low (so, you
won’t lose the
investment
you make in
developing
leaders)Equip Managers With
In-the-Moment Tools to
Coach Staff on Behavior
3
Scope the Manager Role
to Enable a Deliberate
Focus on Culture
4
Provide Targeted Support
for Struggling Managers
2
Show All Staff What
It Means to Be a
Leader Here
1
Help Managers Uncover
and Resolve Conflicting
Incentives
5
Status
Quo
Table
StakesWe can cite specific examples of times when we chose
not to promote managers who produced impressive
outcomes but weren’t cultural exemplars.
Managers create such strong team cultures that they gain
an organization-wide reputation as the place to work.
Managers confidently handle the vast majority of instances
where their staff are not contributing to the desired culture
and rarely rely on HR as a go-between.
Managers have meaningful interactions with every direct
report (so they’re able to directly model our culture).
We have a formal way (e.g., engagement survey
questions, 360 feedback) to identify managers who
don’t have a positive impact on their team’s culture.
We mandate a specific intervention for all managers whose
team cultures fall below a pre-determined threshold
(for example, as measured via an engagement survey).
Managers identify instances where staff behavior does not
align with our culture and share specific feedback with staff.
Our leadership competency model highlights leaders’
contribution to shaping our culture.
Managers devote time to team-building and other activities
that have a positive impact on their team’s culture.
Strategies to Move
Up the Spectrum
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
56
Hiring
LEVER
4
http://www.advisory.com/
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©2018 Advisory Board • All Rights Reserved • WF714394-c 07/18
57
Zappos’ Math
Source: Pontefract D, “What Is Happening At Zappos?” Forbes, https://www.forbes.com/sites/danpontefract/2015/05/11/
what-is-happening-at-zappos/#2ce84f794ed8; McFarland K, “Why Zappos Offers New Hires $2,000 to Quit,”
Bloomberg Businessweek, https://www.bloomberg.com/news/articles/2008-09-16/why-zappos-offers-new-hires-2-000-
to-quitbusinessweek-business-news-stock-market-and-financial-advice; HR Advancement Center research and analysis.
30,000
300
2,000
http://www.advisory.com/https://www.forbes.com/sites/danpontefract/2015/05/11/what-is-happening-at-zappos/#2ce84f794ed8https://www.bloomberg.com/news/articles/2008-09-16/why-zappos-offers-new-hires-2-000-to-quitbusinessweek-business-news-stock-market-and-financial-advice
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Zappos’ Math
Company in Brief: Zappos
• Online shoe and clothing company based in
Las Vegas, NV; employs roughly 1,500 employees
• Known for a rigorous hiring process; after first week on
the job, offers new hires $2,000 (plus pay for time worked)
to leave if they feel based on their experience so far that
they aren’t the right fit for the company culture
• Appeared on FORTUNE’s 100 Best Companies to Work
For® list seven years in a row (from 2009-2016)
• Hosts a three-day “Culture Camp” to serve other
organizations looking to strengthen their company culture
Source: Pontefract D, “What Is Happening At Zappos?” Forbes, https://www.forbes.com/sites/danpontefract/2015/05/11/
what-is-happening-at-zappos/#2ce84f794ed8; McFarland K, “Why Zappos Offers New Hires $2,000 to Quit,”
Bloomberg Businessweek, https://www.bloomberg.com/news/articles/2008-09-16/why-zappos-offers-new-hires-2-000-
to-quitbusinessweek-business-news-stock-market-and-financial-advice; HR Advancement Center research and analysis.
http://www.advisory.com/https://www.forbes.com/sites/danpontefract/2015/05/11/what-is-happening-at-zappos/#2ce84f794ed8https://www.bloomberg.com/news/articles/2008-09-16/why-zappos-offers-new-hires-2-000-to-quitbusinessweek-business-news-stock-market-and-financial-advice
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All Too Easy to Settle for
Less-Than-Great Candidates
Source: “National Employment Monthly Update,” National Conference of
State Legislatures, http://www.ncsl.org/research/labor-and-employment/national-
employment-monthly-update.aspx; HR Advancement Center interviews and analysis.
1) National unemployment rate.
2) Median time-to-fill.
Representative Thoughts When Considering Hiring a Less-Than-Great Candidate
51 Unemployment rate Days, overall time-to-fill213.9%
Recruiter Hiring Manager
http://www.advisory.com/http://www.ncsl.org/research/labor-and-employment/national-employment-monthly-update.aspx
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60
Could Hiring Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Lever #4: Hiring
We showcase our culture during orientation.
We highlight distinct aspects of our
culture in all our recruitment channels.
We have a formal process to assess how well
each candidate embodies our desired culture.
Hiring managers actively sell the position
to candidates who are great cultural fits.
Recruiters do not pass any candidates to
managers unless they are strong cultural
fits (as measured by our screens).
We hire great cultural fits even if there’s
not a budget slot open at the moment
(but one will likely appear soon).
Poor cultural fits rarely make it past the 90-day
probationary period; we actively push them out.
We offer thousands of dollars to new hires
to leave if they are not a strong cultural fit.
http://www.advisory.com/
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Could Hiring Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Lever #4: Hiring Strategies to Move Up the SpectrumLever #4: Hiring
Instill Accountability Among Recruiters
and Hiring Managers for Keeping the
Bar High for Cultural Fit
3
Absorb Short-Term Costs to Hire
Candidates with the Best Cultural Fit 4
Formally Screen All Candidates
for Cultural Fit—and Help
Managers Act on the Results
2
Show Candidates What It’s Like
to Work at This Organization1
We showcase our culture during orientation.
We highlight distinct aspects of our
culture in all our recruitment channels.
We have a formal process to assess how well
each candidate embodies our desired culture.
Hiring managers actively sell the position
to candidates who are great cultural fits.
Recruiters do not pass any candidates to
managers unless they are strong cultural
fits (as measured by our screens).
Poor cultural fits rarely make it past the 90-day
probationary period; we actively push them out.
We offer thousands of dollars to new hires
to leave if they are not a strong cultural fit.
We hire great cultural fits even if there’s
not a budget slot open at the moment
(but one will likely appear soon).
Table
Stakes
Status
Quo
http://www.advisory.com/
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62
Maximize Impact of Existing Recruitment Channels
Strategy 1: Show Candidates What It’s Like to Work at This Organization
Source: HR Advancement Center interviews and analysis.
HR Advancement Center Resources
ACCESS THESE TOOLS in The Recruiter’s
Guide to Hiring Top Talent on advisory.com
• Ten-question audit
• Identify opportunities
to make your organization’s
career website more
candidate-centric
• Five-question audit
• Identify how you can make
job postings for hard-to-fill
roles more candidate-centric
• Includes “best-in-class”
job posting template
and examples
• Five-question audit
• Identify best opportunities
to improve effectiveness
of your employee
referral program
• Includes key considerations
for determining the right
incentive structure and
payout timeline
Ensure your careers website
illustrates what it’s like to
work at your organization
(versus your competitor’s)
Ensure job postings inspire
qualified candidates who are
good cultural fits to apply
Build a pipeline of candidates
who are a strong cultural fit
Careers Website Audit Job Posting Audit for
Hard-to-Fill Roles
Employee Referral Audit
Careers Website
Tool
Goal
Description
Job Postings Employee Referral Program
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/tools/2018/the-recruiters-guide-to-hiring-top-talenthttps://www.advisory.com/research/hr-advancement-center/tools/2018/the-recruiters-guide-to-hiring-top-talenthttps://www.advisory.com/research/hr-advancement-center/tools/2018/the-recruiters-guide-to-hiring-top-talenthttps://www.advisory.com/research/hr-advancement-center/tools/2018/the-recruiters-guide-to-hiring-top-talent
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Make Cultural Fit a Decisive Factor in Hiring Decisions
Strategy 2: Formally Screen All Candidates for Cultural Fit—and Help Managers Act on the Results
Source: HR Advancement Center interviews and analysis.
HR Advancement Center Resources
Get the best possible read on
whether a candidate is a good
cultural fit for your organization
Narrow your candidate pool
to the best cultural fits for
your organization
The Behavioral-Based
Interviewing Toolkit
(our downloadable resource)
Candidate Assessment
Vendor Guide (see this and
other resources to expand your
candidate pool here)
Resource
Goal
Description Six steps to design, introduce, and sustain behavioral-based
interviewing at your organization
• Key questions to help you
assess which pre-hire
screening vendor is the
best partner for your
organization
• Includes comparison of
popular vendors
Interviewer’s Cheat Sheet (see
pages 41-43 in The Recruiter’s
Guide to Hiring Top Talent)
Tools to Screen Candidates for Cultural Fit
Equip hiring managers to
actively sell the organization
to great cultural fits
Cheat sheet to help recruiters
identify aspects of the role that
appeal most to the candidate;
hiring manager can use this
information to convince the
candidate to take the job
Tool to “Seal the Deal”
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/resources/2014/behavioral-based-interviewing/bbi-toolkithttps://www.advisory.com/research/hr-advancement-center/resources/2016/2016-meeting-resources/expand-your-candidate-pool#prospectshttps://www.advisory.com/research/hr-advancement-center/tools/2018/the-recruiters-guide-to-hiring-top-talent
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Share Transparent Data Around Quality of Hire
Strategy 3: Instill Accountability Among Recruiters and Hiring Managers for Keeping the Bar High for Cultural Fit
Source: HR Advancement Center interviews and analysis.
Starter List of Data to Track and Share
Turnover rate for new hires
not recommended by pre-hire screen
Turnover rate for new hires
recommended by pre-hire screen
?
90-day turnover rate by role
http://www.advisory.com/
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CEO Involvement Raises the Bar Across the Board
Source: Hospital Sisters Health System, Springfield, IL;
Advisory Board Survey Solutions interviews and analysis.
1) Hospital Sisters Health System.
Would You Put Your Last Three Hires
In Front Of Your CEO?
HR Screen
Manager Behavioral
Interview(s)
CEO “On-Deck”
Interview
HSHS’1 Steps for Interviewing External Candidates
• Interview guides designed to
probe behaviors that demonstrate
candidate will be successful
• If manager wants to hire the
candidate, must pass a final
interview with CEO
• 10-minute interview to
determine final hire decision
• Questions include:
o Why do you want
to work here?
o What are your
career goals?
o Where do you see
yourself in three years?1
2
3
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Source: Hospital Sisters Health System, Springfield, IL;
Advisory Board Survey Solutions interviews and analysis.
Would You Put Your Last Three Hires
In Front Of Your CEO?
Case in Brief: Hospital Sisters Health System
• 15-hospital system based in Springfield, IL;
Survey Solutions member since 2009
• Launched CEO fit interviews across system in May 2014
• Any manager who wants to hire a candidate must pass
them on for a 10-minute final interview with the CEO;
the CEO determines the final decision
• Winner of 2017 Advisory Board Workplace of the Year
Award and 2017 Workplace Transformation Award
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Over-Hiring Now to Say No to Warm Bodies Later
Source: Yale New Haven Hospital, New Haven, CT; Nursing Executive Center, Win Millennials’
Loyalty, Washington, DC: Advisory Board, 2016; HR Advancement Center interviews and analysis.
1) Defined as open requisitioned FTEs divided by
total budgeted FTEs from Q2 16 to close of FY 16.
Yale New Haven Hospital’s Four Steps to Avoid Staffing Gaps
Strategy 4: Absorb Short-Term Costs to Hire Candidates with the Best Cultural Fit
Reduction in recruitment
vacancy rate123.2%
Determine Appropriate
Number of Service Line
Over-Hires
Synchronize
Hiring of Staff
Cross-Train Staff
on Units Across the
Service Line
Flex Staff Across
Service Line Until
Unit Vacancy
1 2 3 4
Calculate hiring needs
using historical trends
Batch hire staff in a blitz
hiring session
Orient RNs on different
units so they can fill
vacancies as they arise
Schedule staff based on
service line need until
permanent position opens
http://www.advisory.com/
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Over-Hiring Now to Say No to Warm Bodies Later
Source: Yale New Haven Hospital, New Haven, CT; Nursing Executive
Center interviews and analysis.
Source: Yale New Haven Hospital, New Haven, CT; Nursing Executive Center, Win Millennials’
Loyalty, Washington, DC: Advisory Board, 2016; HR Advancement Center interviews and analysis.
Case in Brief: Yale New Haven Hospital
• 1,541-bed academic medical center in New Haven, CT; includes a children’s
hospital, a psychiatric hospital, and a cancer hospital; part of Yale New Haven Health
• In 2008, introduced “over-hiring” model to fill anticipated vacancies as they occur
• To determine appropriate number of staff to over-hire, leaders designed formula that
accounts for variables including: budgeted FTEs for coming year, most recent annual turnover
rate, FTEs leaving the organization, internal FTE transfers to other units or service lines,
and time to hire and orient new staff
• Model initially implemented at unit level; in 2016, replaced unit-level over-hiring with over-
hiring at service line-level; goal is to prevent under- or over-staffing units and to relieve
managers of part of the burden of hiring process
• To increase efficiencies, Medicine service line leaders hire staff into service line cohort; each
new hire orients on two units in that service line, flexes between the two units until vacancy
opens; similar cohort model adopted by Float Pool
• Since introducing over-hiring at service line level in FY 2016 Q2, Yale New Haven Hospital
has reduced its recruitment vacancy rate (defined as open requisitioned FTEs divided by total
budgeted FTEs) by 23.2%
http://www.advisory.com/
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Confidently Predict Hiring Needs
YNHH’s1 Over-Hiring Formula
1) Yale New Haven Hospital.
2) FTEs.
3) Service line.
= (( x ) + ) x
Inputs:
• Budgeted Service Line FTEs
• Annual Service Line
Turnover Rate
• Internal Service Line FTE
Transfers (to other service lines)
• Average % of the Year to Recruit
and Orient to Service Line
Budgeted
FTEs3
FY 16
Annual
Turnover
Rate3 FY 15
Internal FTE
Transfers3
FY 15
% of Year to
Recruit and
Orient3
100 12% 16 25%7
Service Line
Over-Hires2
Source: Yale New Haven Hospital, New Haven, CT; Nursing Executive Center, Win Millennials’
Loyalty, Washington, DC: Advisory Board, 2016; HR Advancement Center interviews and analysis.
http://www.advisory.com/
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How to Introduce Over-Hiring
to Your Organization
Source: HR Advancement Center interviews and analysis.
HR Advancement Center Resources
Editable Business
Case Slides
“Batch” Hiring
Best Practices
• Fast-Track Interviews
(see pages 53-55 in Win Talent
in a Candidate-Centric Market)
• Same-Day Offers
(see pages 60-62 in Win Talent
in a Candidate-Centric Market)
Includes formula to
calculate hiring needs
using historical trends and
embedded talking points
EDITABLE BUSINESS CASE
SLIDES and Q&A available here
Q&A with Yale New
Haven Hospital
Includes detailed
information about how
YNHH1 operationalized
service-line over-hiring
1) Yale New Haven Hospital.
http://www.advisory.com/https://www.advisory.com/research/hr-advancement-center/studies/2016/win-talent-in-a-candidate-centric-markethttps://www.advisory.com/research/hr-advancement-center/studies/2016/win-talent-in-a-candidate-centric-markethttps://www.advisory.com/Research/HR-Advancement-Center/Expert-Insights/2018/Yale-New-Haven-Q-A
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Could Hiring Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Signs of
Likely ROI
Your 90-day
turnover is low
(it’s unlikely new
hires you bring
on will turn over)
Managers
view talent
as a system
resource
Strategies to Move
Up the Spectrum
Lever #4: Hiring
Instill Accountability Among
Recruiters and Hiring
Managers for Keeping the
Bar High for Cultural Fit
3
Absorb Short-Term Costs
to Hire Candidates with
the Best Cultural Fit
4
Formally Screen All Candidates
for Cultural Fit—and Help
Managers Act on the Results
2
Show Candidates What
It’s Like to Work at This
Organization
1
We showcase our culture during orientation.
We highlight distinct aspects of our
culture in all our recruitment channels.
We have a formal process to assess how well
each candidate embodies our desired culture.
Hiring managers actively sell the position
to candidates who are great cultural fits.
Recruiters do not pass any candidates to
managers unless they are strong cultural
fits (as measured by our screens).
Poor cultural fits rarely make it past the 90-day
probationary period; we actively push them out.
We offer thousands of dollars to new hires
to leave if they are not a strong cultural fit.
We hire great cultural fits even if there’s
not a budget slot open at the moment
(but one will likely appear soon).
Table
Stakes
Status
Quo
http://www.advisory.com/
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How to Shift Towards a Differentiated Culture
Source: HR Advancement Center research and analysis.
Lesson: 1
Clarify Your
Cultural Aspiration
Lever #1: Deliberate
Organizational Values
Pressure to be all
things to all peopleBarrier:
Use Talent Management to
Shift Your Culture Toward
Your Aspiration
Lever #2: Performance
Management
Lever #3: Leader
Development
Lever #4: Hiring
Lever #5: Senior Leader
Role Modeling
Lever #6: Positive
Peer Pressure
Make Your Cultural
Aspiration the New Normal
2 3
Wide range of
influences on culture
http://www.advisory.com/
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Senior Leader Role Modeling
LEVER
5
http://www.advisory.com/
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Would Your CEO Share This with Everyone?
Source: Colvin G, “How Intuit Reinvents Itself,” Fortune, http://fortune.com/
2017/10/20/how-intuit-reinvents-itself/; HR Advancement Center research.
Performance Review
Look—you fumbled.”
“Be willing to have more
unstructured conversations—[do]
not [keep] everything buttoned up.”
http://www.advisory.com/http://fortune.com/2017/10/20/how-intuit-reinvents-itself/
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Would Your CEO Share This with Everyone?
Source: Colvin G, “How Intuit Reinvents Itself,” Fortune, http://fortune.com/
2017/10/20/how-intuit-reinvents-itself/; HR Advancement Center research.
Company in Brief: Intuit
• Business and financial software company headquartered in
Mountain View, CA; employs 8,300 employees worldwide
• CEO Brad Smith publically shares his unedited performance
review from the organization’s Board of Directors with all staff
each year; action in alignment with Intuit’s core value “Be Bold”
• Intuit’s other values include: “Be Passionate,” “Be Decisive,”
“Learn Fast,” “Win Together,” “Deliver Awesome”
• Ranked number 13 on FORTUNE’s 100 Best Companies to Work
For® (2018); in 2018 appeared on list for 16th straight year
http://www.advisory.com/http://fortune.com/2017/10/20/how-intuit-reinvents-itself/
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Executives’ Broader Reach Makes Influence Difficult
Source: HR Advancement Center interviews and analysis.
Three Key Reasons Executive Visibility Is Harder to Scale Today
More Layers in the
Organizational Chart
Greater number of roles
between executives and
frontline leaders
Expanding
Geographic Footprint
Organizations
increasingly spanning
larger geographic area
Larger Span
of Control
Executives have
more direct and
indirect reports
http://www.advisory.com/
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Could Senior Leaders
Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Lever #5: Senior Leader Role Modeling
Senior leaders introduce our culture to new hires at orientation.
Senior leaders join training sessions for new managers to
emphasize the role of leaders in shaping culture.
Senior leaders explicitly state the values guiding specific
organizational decisions whenever they share organizational
updates with staff.
Every senior leader devotes time to small group or 1:1
conversations with frontline staff at least once a month.
Every department, facility, and physician practice has a small
group interaction (e.g., rounding or office hours) with a senior
leader at least once a month.
Senior leaders regularly share lessons and advice on
living the values based on their own experience.
Senior leaders regularly share stories about times when
the organization fell short of fully embodying its values
and highlight key lessons from the experience.
Senior leaders publically recognize teams or individuals that
fully embody our organization’s values at least once a quarter.
http://www.advisory.com/
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Could Senior Leaders
Better Advance Your Desired Culture?
Source: HR Advancement Center interviews and analysis.
Scale High-Visibility
Opportunities for
Executives to Connect
with Staff
Help Executives Share
“Culture Legends” with
the Organization
2
Strategies to Move Up the Spectrum
1
Lever #5: Senior Leader Role Modeling
Senior leaders introduce our culture to new hires at orientation.
Senior leaders join training sessions for new managers to
emphasize the role of leaders in shaping culture.
Senior leaders explicitly state the values guiding specific
organizational decisions whenever they share organizational
updates with staff.
Every senior leader devotes time to small group or 1:1
conversations with frontline staff at least once a month.
Every department, facility, and physician practice has a small
group interaction (e.g., rounding or office hours) with a senior
leader at least once a month.
Senior leaders regularly share lessons and advice on
living the values based on their own experience.
Senior leaders regularly share stories about times when
the organization fell short of fully embodying its values
and highlight key lessons from the experience.
Senior leaders publically recognize teams or individuals that
fully embody our organization’s values at least once a quarter.
Table
Stakes
Status
Quo
http://www.advisory.com/
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Facilitate Conversations
with Leaders Across
the Organization
Recruit Leaders
to Participate
Prepare Staff for
Conversations with
Leaders
Event coordinators
distribute leader bios and
sample questions in
advance; this helps staff
select leaders to meet
with based on personal
interests and passions,
and to plan their upcoming
conversations
Facilitating High-Impact Encounters with Execs
Key Components of MVH’s1 “Speed Mentoring” Sessions
• Frontline staff
meet one-on-one
with leaders at a
career pathing event
• Each meeting lasts
seven minutes; staff
rotate across different
leaders throughout the
one-hour event
• Event coordinators
enlist leader participants
from multiple
disciplines and
departments across
the organization
• Leaders attend a short
training session where
event coordinators
review event goals and
the types of questions
to expect from staff
Source: Miami Valley Hospital, Dayton, OH; Nursing Executive Center,
Win Millennials’ Loyalty, Washington, DC: Advisory Board, 2016.
1) Miami Valley Hospital.
Strategy 1: Scale High-Visibility Opportunities for Executives to Connect with Staff
http://www.advisory.com/
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Facilitating High-Impact Encounters with Execs
Source: Miami Valley Hospital, Dayton, OH; Nursing Executive Center,
Win Millennials’ Loyalty, Washington, DC: Advisory Board, 2016.
Case in Brief: Miami Valley Hospital
• 870-bed acute care facility in Dayton, OH; member of Premier Health Partners network
• In 2015, introduced “Flash Mentoring” career pathing event to increase staff exposure to
senior leaders while showcasing potential careers at MVH, providing staff with guidance and
advice on achieving career goals
• At 50-minute career pathing event, staff meet one-on-one or in small groups with leaders from
across the organization; participating staff rotate every seven minutes
• Participating leaders include: VP Hospital Operations, Director of Diversity, Director of Nursing,
Patient Experience Manager, COO, Chief Learning Officer, Director of Community Health,
Director of Women Services, Director of Nursing Critical Care
• In advance of career pathing event, HR directors provide leaders with brief training including
explanation of event goals, event schedule, and preparation for questions they may receive
from staff; event coordinators also disseminate leader bios and sample questions to staff
• MVH hosted a third Flash Mentoring session in July 2016 with several enhancements, including
executive-led breakout sessions on resume writing, time management, and interview skills
• Over 50% of staff in attendance had
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Build a Bench of Culture Role Models
Source: HR Advancement Cent