Attracting,
Retaining, and Turning Loose Top Talent.
High Tech Talent Solutions
By Dr. Jerry Willbur
Now that we are entering the new age of high tech,
high productivity, high expectation competition for
customers we are still faced with an age-old problem.
How do we attract, retain, and turn loose for performance
self-motivated people, i.e., the top talent available?
With the specialized training called for in high tech
businesses, the individual performer becomes not only
more productive, but is also a very expensive investment
you have made in your organization. We now know from
recent studies by Cap Gemini Ernst Young (CGEY) and
Watson Wyatt Worldwide among many others that getting
the right people and then keeping them committed to
stay and engaged in making the organization successful
has an enormous payoff. Replacing an employee at the
minimum costs 1.5 times a year’s pay at the entry
levels and much more at middle levels and above. Also
companies with highly committed and engaged employees
(according to Watson Wyatt Worldwide and also studies
reported by Frederick Reichheld of Harvard in his two
“Loyalty Effect” books) tend to post sharply
higher shareholder returns. To summarize Reichheld’s
research, loyal employees create loyal customers that
create loyal shareholders!
Richard Ogilvy of advertising fame is credited with
a great visual to dramatically summarize the effect
of good and bad recruiting of talent. He provided each
of his leadership team members with a Russian nesting
doll. These are the dolls that as you open them up successively
reveal a smaller doll inside until you have a very small
doll in the end. Then he is reputed to have said to
his team that if each person on the team hired people
smaller than they were and this was duplicated they
would soon be a company of midgets. However, if each
one recruited a person slightly bigger than they were
they would soon be a company of giants! It was up to
them!
Another visual concerning talent came to me as I thought
of my work in a masters program in blind and deaf rehabilitation.
One of our learning experiences was to work with seeing-eye
dogs. The key question was what type of characteristic
we thought was essential to the effective seeing-eye
dog. The class suggested intelligence, courage, patience
and many other admirable traits. But none of these were
the essential ingredient. It ends up the essential characteristic
is empathy. This was described as the ability to lead
people taller than you are, putting yourself in their
position and helping to lead them through obstacles.
So it is with extraordinary organizations. They know
how to select people bigger than they are and then have
the empathy to lead them to even higher achievements.
But while we will spend months deliberating which computer
system to purchase, or even what office space to rent,
we often take only a minimal amount of time, or delegate
the task to someone else, when we acquire a new employee
to join our team. The correct selection of talent is
a difficult task, and can seem like a mystery to most
practical minded people. But would you invest in a new
car and not really look at the engine or other features
or consider the maintenance costs? These are people
who you will probably spend more time with than you
do your family, people who will contribute to how successful
you and your organization will be. Extraordinary organizations
know that attracting, retaining, and turning loose top
talent to perform can distinguish them from their competitors,
provide positive economic benefits, and is a competitive
advantage not easily duplicated. In short, it is the
key to sustainable competitive success. Two of Stanford
Business Schools leading management gurus, Jeffrey Pfeffer
in “Competitive Advantage Through People”
and Jim Collins in “Good to Great” both
studied separately the most consistently successful
firms over the last 20 years. They both found that these
high performing great companies were often in very mundane,
highly competitive industries. They also both independently
found the effective organizations shared the same core
key competency. Their secret alchemy, the ability to
seemingly turn lead into gold, to sustain their competitive
advantage over twenty years, to grow rapidly in a declining
or stagnant market, was their ability to attract, retain,
and then turn loose top talent to perform.
To paraphrase the great management guru Peter Drucker:
“The greatest leadership ability is the ability
to see ability in others and very few organizations
are very good at it.”
Fortunately there are some new strategies, and some
that could even be called high tech talent strategies
that are available to help us make better decisions
in this critical area that Drucker also says is one
of the last reliable sources of competitive advantage.
Before you launch into a high tech talent solution
there are a few low-tech basics you should take care
of which will provide a good foundation for the high
tech tools. You should have a very clear-cut job description,
listing the most critical performance areas for the
position. You should also determine what eligibility
issues, i.e. education, experience, certifications,
etc. the abilities if you will, that are necessary for
the position. While these form the basic requirements
or even barriers to entry, they have very little impact
in the eventual success of the individual. Then comes
the most difficult and vital part of the process. You
should determine the ‘suitability’ factors
you want in a team member who you will probably be spending
more time with than your own family members. These suitability
factors have to do with attitude and attributes. For
example, if you have a fast moving, digitally oriented,
and customer centered organization, you better be looking
for people who are up-tempo, continuous learners who
like computers and are oriented towards interacting
with people. This is what is called building a talent
template or a performance portrait of the ideal candidate.
What makes the eligible person actually suitable for
the work we have for them to do?
By now it should be evident that extraordinary organizations
want to attract top or ‘tall’ talent, the
people that stand out in the field. According to the
book “Topgrading” by Dr. Bradford Smart,
they want to attract ‘A’ players. An ‘A’
player is one who qualifies among the top 10 percent
of those available for the position. You won’t
have a chance of attracting these people unless you
have carefully defined your employment criteria, including
both eligibility and suitability factors. You must also
develop a talent template that details the desired attributes.
For example, for a lot of our high tech, fast growth
clients that need excellent customer interaction we
have recommended a blend of some of the following “suitability”
traits, including:
- Extroversion: Warm and friendly, likes to meet and
interact with people.
- Integrity: Trustworthy, conscientious, and honest.
- Customer-service oriented: Helpful, nurturing, and
willing to serve.
- Technology-oriented: Sees technology as a helpful
tool that frees them to spend more time effectively
working with customers!
- Continuous learners: Flexible, highly inquisitive
and adaptable, open to new experiences.
Once you have determined your own list of suitability
traits, we strongly suggest you develop a series of
behavioral based questions that make candidates explain
how they exhibit them. A great exercise is to get your
whole team involved in determining suitability traits.
Then get their help in designing the behavioral based
questions. For example, teams of employees have helped
us develop the following questions. For continuous learning
we ask potential team members to share one new thing
they have learned in the last month. For customer service
orientation, we ask them to give an actual example of
when they had provided good service to a customer. Later
on we ask them to give an example of how they handled
a difficult customer.
We suggest you ask everyone interviewing for the same
position the same questions in a standardized format,
following a strict pattern throughout the process. Just
like one bad apple can spoil a bushel one bad hire can
spoil a team, so we also suggest that structured team
interviews be used wherever possible. This structured
team interview using behavioral based questions really
helps to avoid the error of hiring the ‘interview’
not the interviewee. What do we mean? We all have experienced
many interviews and basically know how to answer the
‘right’ way. We also wouldn’t be interviewing
for the fun of it but because we need a job! Such behavioral
based questioning in a structured team interview format
really helps you cut through the smoke to the real kindling!
What really makes this person glow and go? By using
the structured team interview approach using behavioral
based questions developed by the team, everyone has
a say and a stake in seeing the new team member come
on board and succeed!
This construction of job description, talent template,
and behavioral based questions should really give you
a clear idea of what type of person you are looking
for. They are also important components of the selection
process because you should never depend on any instrument
alone, no matter how good it may be, to make your final
decision. Also the better instruments will ask you to
design profiles of traits you want in a good candidate,
and the job description and talent template will greatly
assist you in that task.
So now that you have these low technology basics covered,
what should you look for in a good high tech talent
tool? It should be 1) user friendly and 2) measure things
that really matter. We could discuss a wide array of
instruments but for the sake of brevity I will instead
feature only two that while they are distinctly different
in approach have a high technology flavor to them and
meet the two simple criteria above. One easy to use
and inexpensive tool is the StrengthsFinder
Profile by Selection Research Institute, a division
of the highly respected Gallup Organization. A great
description of the tool can be found in the book, “Now
Discover Your Strengths” by .Marcus Buckingham
and Donald Clifden, published in 2002. For the price
of the book you can actually take the StrengthsFinder
Profile and find out what your major themes or strengths
are. What do they mean by themes? According to Gallup
themes are areas of talent where you have the greatest
potential for finding your strengths. They list 34 major
themes and after you take the survey they will print
out on-line for you your top five ‘signature themes’
that act as a filter on your world and consistently
influence your actions. Obviously, for the price of
the book for each employee you can get a good reading
for what type of strength profile each person has.
Why is this important? According to an extensive Gallup
poll cited in the book, only 20% of employees working
in the organizations they surveyed felt their strengths
were in play every day. In other words, 80% felt underutilized.
This is because most organizations are operated based
on two flawed assumptions. The first is that every person
can learn to be competent in anything if they try hard
enough. The second is that each person’s greatest
potential for development is in his or her areas of
greatest weakness. The researcher’s state instead
you must discover and build on a person’s unique
set of strengths to get them in the right position and
get maximum performance.
I have found this tool to be simple to use, quick,
relatively inexpensive and conducive to in-depth discussions
about what the best themes or strengths should be for
each position in the organization. According to the
authors: “The StrengthsFinder Profile was designed
to help you sharpen your perception. It presents you
with pairs of statements, captures your choices, sorts
them, and reflects back your most dominant patterns
of behavior, thereby highlighting where you have the
greatest potential for real strength.” (p. 76)
You can find a lot of useful information on the web
site, and I am sure the Gallup people would be willing
to let you invest in a more in-depth analysis if you
so choose! At the Leadership Mentoring Institute we
use the StrengthFinder tool as a good entry level discussion
starter for building balanced teams and building on
strengths. But then we believe such an important decision
as who joins the team and builds success in the organization
demands a more in depth investigative tool.
Simple, quick, and easy are good guidelines but what
about if we really take to heart the idea that adding
a staff member to your team is like bringing someone
into the family? The disruption to team unity, customer
service, and even competitive advantage caused by a
bad selection is horrendous. Add to this lost training
time and reduced productivity while the new replacement
person is brought up to speed, and you have sunk a lot
of money into the situation. To put an exact price tag
on it is difficult, but as I stated earlier many experts
say that for even the most basic position the real price
of a bad hiring decision is at least equal to 1.5 times
a years pay. The cost of a bad decision in choosing
a top executive is easily multiple times this. Dr. Bradford
Smart in “Top Grading: How leading companies win
by hiring, coaching and keeping the best people”
says that for average companies the cost of bad hires
are 25-40 times base compensation for executive positions
(p.51). How do you avoid such a traumatic loss of time
and treasure?
The deceptively simple answer is you should analyze
the position carefully, as we have already described,
screen out as many applicants as possible through the
use of structured team interviews using behavioral based
questions, and then look for an instrument with high
validity and reliability to help confirm your hiring
decision. Since this is not a treatise on testing, I
will give you some quick and easy definitions of validity
and reliability. Validity says that the instrument measures
what it says it measures. Reliability, often described
as test-retest reliability, basically measures whether
the test will measure whatever it measures with a high
level of consistency. These two factors are legally
important in case you ever get challenged on a hiring
decision, even though every available instrument says
you should never use it to make hiring or firing decisions,
only as part of the input you use in making decisions.
In studying various instruments I have not found another
one with the high validity and reliability of the Harrison
Innerview (HI). It has over 85% test-retest reliability,
and close to 90% validity based on several studies.
You can check the HI out at the general web site or
if you want our independent perspective check out www.leadershipmentoring.com.
The HI measures over 80 different ‘suitability’
factors relating to four general areas including personality
traits, task references, interests, and work environment
preferences. According to their web site and training
manual “A person who is suitable for a position
tends to enjoy the different tasks that are required;
is very interested in the work areas; has a high tolerance
for the type of work environment; has the proper attitudes
and motivations to perform competently; enjoys the type
of interpersonal interactions and decision-making required
for the position; and does not possess negative traits
that could hinder his/her productivity.”
The instrument generally takes 25-35 minutes to take
on-line, although there is no time limit. It is comprised
of a series of rankings of activities exploring a person’s
work preferences. What do they prefer doing most, what
do they prefer doing least? It is a deceptively simple
process that really provides an in-depth look at the
preferences and strengths of the person. What you get
is a very detailed report on close to a hundred basic
traits, task preferences, interests, work environmental
preferences, behavioral competencies, and generic position
ratings. More specifically, you will get a reading on
how good a communicator the person is, how optimistic
and outgoing they are, how self-motivated, persistent,
flexible and helpful they are, and how oriented they
are to computers and self-improvement among many other
insights. The HI also provides a built-in truth detector
so you can see just how consistently the person answered
the questionnaire.
The only drawback to this more in-depth approach is
the cost. Because it is a licensed on-line tool, and
because of its underlying complexity and the sheer amount
of information available, when you use the HI you also
need to have it interpreted by a certified Harrison
Innerview consultant such as our team at the Leadership
Mentoring Institute. Since these are professionals,
and to prepare the debrief takes a couple of hours,
you are usually looking at approximately $500 a person.
Is it worth it? The next time you make a people decision
remember in some ways you are betting the business,
or at least 1.5 to 40 times the salary of the position
you are hiring for! Why not use the high tech talent
tools to minimize your risk and maximize your return?
Even if you choose to discount the costs of a poor hire
it doesn’t take much for a tool like the Harrison
to pay for itself as much of the effectiveness of any
hire hinges on personality factors.
Once you have used behavioral based questions and the
structured team interview to determine if the candidate
meets the eligibility and suitability requirements,
and then used either one or both of the high tech talent
tools we have described, there still remains one last
critical element. The fact is when it comes to hiring
superstars, the ‘A’ talent, remember that
they are interviewing you as much as you are interviewing
them. We think the critical element here is to develop
what we call a Talent Value Proposition (TVP). This
is a brief, articulate one-page document about why someone
without a doubt should want to work for your organization!
Do you some ‘A’ players already on your
team? Ask each person, why do you love it here working
with our team and this organization? Use their input
to develop this concise one-page document about why
people are passionately engaged in what you do!
A key part of your Talent Value Proposition (TVP) should
be your organizational vision and values statements.
The vision is quite simply a clear, one sentence statement
of what you want your organization to look like in three
years. The values statement should be a list of no more
than three to five brief sentences stating your bone
deep, enduring beliefs about people, customers, and
your organization. (See “Built to Last”
by Collins and Porras for a host of great vision and
values statements from outstanding companies). For the
Leadership Mentoring Institute we live the following
five core values:
- Do all things with integrity and trust.
- Make excellence a habit.
- Treat all people with dignity and respect.
- Help people be successful.
- Be committed to continuous learning and innovative
adaptation.
This value statement is so critical for an organization
because it should help you screen in and out potential
candidates or even current team members who do not want
to grow with you. It should be posted in open view and
everyone should be able to realistically say how the
vision and values impact the way they work together,
treat customers, and make decisions. As one old friend
said to me: “Don’t preach it perform it.
If you don’t live it, you don’t believe
it.” The vision and values should act like one
of those “invisible fences” people sell
for pets. You wander astray and it should give you a
jolt! If someone calls you a hypocrite, you should not
be offended but instead motivated to explain what you
are doing or apologize for what you have done! This
is the foundation for trust that so energizes extraordinary
organizations and effectively engages their talent.
The bottom line is this: Unless you and your team are
rock solid sure yourselves about what a great place
you have to work you won’t be successful in attracting,
retaining and turning loose for performance very many
top talent people!
While the use of such unique strategies and high tech
talent tools we have described can’t solve all
of your problems they can certainly equip you with talent
to handle the challenges! Are you building a team of
giants or slowly shrinking to midgets? Are you attracting
and retaining ‘seeing eye’ dogs that can
lead bigger people than they are? Are you attracting,
retaining, and turning loose to perform top talent?
Are your people enthusiastically engaged in making you
an extraordinary organization? Your future depends on
it. In business you are the hunter or the hunted, the
predator or the prey. Extraordinary organizations choose
to be the hunters, and they are hunting the top talent
right now.
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