Copyright MMXII Karl Ahlrichs 1

People as a Competitive Advantage

Copyright MMXII Karl Ahlrichs 1

Karl J. Ahlrichs, SPHR 317-250-9081 Karl Ahlrichs makes complex things simple. He helps organizations with their business issues, making order from chaos and guiding their leaders. Karl is a national speaker and writer, and is often quoted in the local and national media. Currently he is a part of Gregory and Appel, a benefits and risk management consulting firm. His career has taken him through Chicago, Orlando, San Diego, and Indianapolis. Earlier he was Director of Business Development in the Indianapolis office of Marsh & McLennan, and Vice President of Right Management Consultants in San Diego, an international human resources consulting and outplacement firm. At those firms, his clients included Roche, Boeing, Apple Computer, Anthem, and Frito Lay. Karl facilitates an invitation-only roundtable for CFOs. For more than a decade he was the Program Chair for the state Society for Human Resources Management annual conference. He was named the SHRM Human Resource Professional of the Year for the State of Indiana, and he has presented at the National SHRM Conference for 11 consecutive years.

[email protected] blog - www.uncommonzone.com twitter – kahlrichs linkedin - http://www.linkedin.com/in/karlahlrichs


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What we will cover…The hiring process is broken –the process of

hi i t b d t d t th tihiring must be adapted to the times

The talent pool is changing – There are real gaps in what is wanted and who is hired

New ways to keep score – using new Human

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New ways to keep score using new Human Capital Financial Statements.

Have you ever hired someone who disappointed you?

Did you do it on purpose?

We do it because we just don’t have enoughinformation, or the right information!

This presentation will offer a different look at the hiring process that fits our times.

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Please open your minds to new ideas…


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Superior P d

PoorP d

Average Producers

Hiring smart is a “next practice”

Producers

Top 16%

Producers

Bottom 16%

68%

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.

Getting HiredWhat Recruiters Valued

•Great Resume•Prepared for the Interviewp•Showed up on time or was early•Ask good questions and demonstrated knowledge of the company and of the industry

•After the interview followed up with Thank You and next steps inquiry

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They Hire Them…“Gee I wish I had a room full of these candidates, but this is not what I always get to choose from”


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Once They Were Hired

Characteristics of Top Performers•Learn quickly and do not get caught up in the wrong detailsdetails

•Take personal accountability/responsibility for their own actions

•Have a sense of humor that defuses stress and conflict in the workplace

•Fit with the team

Why are these characteristics not in the screening?

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Traditional HiringSource

1-pageApp. form

Basic PhoneScreen

1st Inter-view

2ndInter-view

Refer-ence

CheckHire

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form Screen view view Check

Data level


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Changes we have made• Structured interviews (We aren’t told what really happens)

• Process automation – gathers the original 1 page application form electronically.

• Internet recruiting – piles of data, mostly non-information.

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Too much nonToo much non--information!information!

Collecting Data That Matters

Move key questions into

1-pageApp. form

Basic PhoneScreen

1st Inter-view

2ndInter-view

Refer-ence

CheckHireApplication

Form

Move key questions intoApplication form

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form Screen view view Check

Data level


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1st interviewAttitude questions –

•What was the best job you’ve ever had? Why did you like it so much? you like it so much?

•Think of the WORST supervisor or manager you’ve had. What characteristics made that person a POOR manager?

•What traits or characteristics do you most admire in co-workers?

•What was the funniest thing that ever happened

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•What was the funniest thing that ever happened to you at work?

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2nd interviewBrief telephone screen

• After review for completeness, each After review for completeness, each completed application gets a 4-8 minute screening call

• Don’t forget – each applicant could be a customer.“Thank you ” “thank you ” “thank you ”

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• “Thank you,” “thank you,” “thank you.” –don’t lead the witness.

3rd interview Assessment

• Online, simple, valid• Must have external distortion score –

shows quality of data• Measure useful employment qualities

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4th interviewFace to Face• Hiring manager now has:g g• - Application with attitude questions- Notes from telephone screen- Assessment results• …and will be interviewing a candidate

that has had multiple “opt-out” t iti d h h t t i

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opportunities and has chosen to stay in the process.

Feedback loop after the hire

• Start adjusting – after hired, wait for top, bottom performers to appearp p pp

• Pull the files of top, bottom performers• Look at the data – any clues? What

would indicate success or failure?• Change the questions or the process to

better select top performers

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better select top performers


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What have we learned?• Money isn’t #1• Hiring more carefully helpsHiring more carefully helps• Applying motivation in an individual way

helps• Retention of all employees isn’t always

desirable• We need to look at the real “drivers” for

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“meaningful work”

The ROI of Workforce Engagement

33%96%Are Motivated to

Work Hard

12%

24%

57%

33%

78%

98%

98%

0% 20% 40% 60% 80% 100%

Will Stay For LessMoney

Will Stay For TwoYears

Will Go The ExtraMile

Work Hard

Unengaged Employees Fully Engaged Employees

Fully-Engaged employees will work harder, stay longer, and recommend the organization as a good place to work much more often than Unengaged employees!


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Quick Strategy Tip

The fastest payback for the least i t tinvestment:

• It’s the bosses. • Invest in supervisory training in

Communication, Motivation and Conflict

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Management in a multi-generational workforce

Me vs. You vs. Them t f th “ l” secrets of the “new normal”

working with Multiple Generations

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Generations Birth Years Age in 2012

New Data and Fresh Changes

GI Generation 1901 - 1924 87 -

Veterans 1925 - 1945 67 – 86

Old Boomers 1946 – 1954 58 - 66

Young Boomers 1955 - 1964 48 – 57

Generation X 1965 - 1976 36 – 47

MillennialsMillennials 19771977-- 20022002 19 19 -- 35 35

Values FamilyIntegrityLove SpiritualitySelf-RespectJusticeWisdomResponsibility

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ResponsibilityBalanceEconomic Security


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Values that all generations share

FamilyIntegrity

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Love

5 Baby Boom75.5 mil

1946 to 1964

Actual Number of U.S. Births

per year

3

4Depression

45.4 mil1925 to 1945

2012 - 67 to 86

1946 to 19642012 - 48 to 66

Gen-X66 0 mil

Millennials74.6 mil

1977 to 20022012 - 19 to 35

In M

illio

ns

21927 20021946 1965 1984

66.0 mil1965 to 1976

2012 - 36 to 47

Source: U.S. Bureau of the Census


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Why should you care about the generations?

• Customer service is difficult to maintain• The one-size-fits-all style will no longer work

• Baby boomers will not retire. As of Jan. 1, they started turning (gasp) 65.

• On average 10 000 Boomers will turn 65

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• On average, 10,000 Boomers will turn 65 every day for the next 20 years.

Great OutcomesGreat

C t Hiring and

What does your industry care about?

CustomerService

Engaged Culture,

High Performing Employees

Hiring andManaging

Smart

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,Job Fit,

Proper Total Compensation

Employees


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Video Video Games

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EmptyEmptyPlaygrounds

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Lifestyle Characteristics

Baby Boomers Gen X MillennialWar Years

Work hard,Play hard,Worry about money

Should I like it?Will others?

Religion is a hobby

Work hard if it doesn’t interfere with play, Save moneyI like it, I don’t carewhat you think

What is religion?

Good grades,Make others paySave money

Who are you anyway?You’re old.Will I get an “A”in religion?

Work hard,Save money,What is play?

I like it ,It’s O.K.

I care aboutli i

Exercise is a duty

Buy the mosthouse you can

What is religion?

Exercise for mentalhealth

Reclaim the inner city

in religion?

What’s your secondsport?

I like living withmy parents

religion

Exercise isone option

Buy a decent house

Workplace CharacteristicsBaby Boomers Gen X Gen YVeterans

Strong work ethicHoe to end of row

Manage

Loyal to employer

Independent but

conventional

Work well

ith others

Money/principles

Mixed

Manage (lead/follow)

Mixed

Care deeply about

what others think

Wants others to work

ith th

Principles/satisfaction

Lifestyle first

No need to lead

Loyal to skills

Don’t care what

others think

Work best alone

Work for self improve

Lifestyle first

Project leadership

Just in time loyalty

Don’t care what

others think

Work best alone

with others

Technically

savvy

Follow the leader

Strong chain

of command

Want to win

with them

Technically

challenged

Lip service to mission

Mixed

Want to win

Technically

savvy

Care about mission

Individual first

Want to win

Technically

sophisticated

Must have mission

Individual first

Want to win


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Generation X• Give them challenging work• Develop them, show them they are

appreciatedappreciated• Don’t Micromanage them • Don’t waste their time• Provide instant gratification• X-ers have loyalty to organizations who

have good managers that help them

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have good managers that help them invest in their skill portfolio

• High pay by itself is not enough

Millennials/Y• Give them information and lots of it• Tell them why. “Because I said so” won’t Tell them why. Because I said so won t

work.• Don’t micromanage them• Surround them with talented co-workers• Give them the latest technology…and…. • Teach them social skills

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• Teach them social skills• BE FLEXIBLE


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Summary of Work Characteristics

Traditionalists (5%)

Boomers (45%) Xers (40%) Millennials (10%)(5%)

PracticalAlways at work

OptimisticWant recognition

Skeptical Hopeful and optimistic

Patient, loyal and hardworkingDifficulty with change

Teamwork and cooperationDo not accept change

Self-reliant and techno literateAdaptable to change

Meaningful WorkMoral mindsetSocial activism

change

Respectful of authority

AmbitiousPhysical health

Risk-taking Value diversity and change

Rule followersRewards laterPrefer Structure

Workaholic –”Thank God Its’ Monday”

Balance work and life

Technology savvyImmediate responsibility

Keeping score in the “new normal”

• Understanding of the Next Generation of Performance Management

• First draft of Human Capital First draft of Human Capital Financial Statements


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Questions?Answers?

Karl J. Ahlrichs, SPHR317-250-9081

[email protected] – blog

Twitter – kahlrichs

www.bizlearning.net

http://www.linkedin.com/in/karlahlrichs

Copyright MMXII Karl Ahlrichs 1

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