What CEOs want from HR & how to deliver
What CEOs want from HR & how to deliver Steve Harrison, Chairman Lee Hecht Harrison Steve.harrison@lhh.com 201.782.3617 Kathy Carmean, SVP, Talent Development Mid-Atlantic/Southeast Region Lee Hecht Harrison Kathy.carmean@lhh.com 901.309.2701 ASTD/SHRM Memphis Holiday Inn University of Memphis October 19, 2010 Dawn of a new day………….. “When you come to a fork in the road, take it.” Yogi Berra, NY Yankee All Star © 2010 Lee Hecht Harrison. All Rights Reserved. YOUR LIST: Leadership behaviors of most effective leaders Senior Non-HR Leadership Best Practices Senior HR Leadership (2001-2010) (2001-2010) ? ? Best Practices ? ? ? ? ? ? ? ? ? ? ? ? ? ? 3 © 2010 Lee Hecht Harrison. All Rights Reserved. Business, board, and CEO demands Talent! © 2010 Lee Hecht Harrison. All Rights Reserved. CEOs’ top people challenges*: US Top management succession Finding qualified managerial talent Maintaining culture of ethical leadership Transmitting corporate values * The Conference Board Top 10 CEO Challenges report © 2010 Lee Hecht Harrison. All Rights Reserved. Your fork in the road…………. © 2010 Lee Hecht Harrison. All Rights Reserved. The demographics: HR Data: 2001-2010 Number Level Sr. VP/General Manager/Director 211 VP/Divisional or Functional Head 282 Department/Unit Manager 594 Females: 63% Males: 37% 7 © 2010 Lee Hecht Harrison. All Rights Reserved. HR – Best Leadership Practices © 2010 Lee Hecht Harrison. All Rights Reserved. © 2010 Management Research Group Relative Importance of Behaviors Most important behaviors of successful HR leaders: 1. Strategic 2. Empathy 3. Technical 4. Communication 5. Excitement 6. Persuasive 7. Management Focus © 2010 Lee Hecht Harrison. All Rights Reserved. © 2010 Management Research Group effective HR manager Ïrestraint Ð structuring The shift: Ïdelegation to Ðdominant Ðproduction Ïconsensual effective HR Executive © 2010 Lee Hecht Harrison. All Rights Reserved. © 2010 Management Research Group The demographics: non-HR Data: 2001-2010 Level Number Sr. VP/General Manager/Director 2818 VP/Divisional or Functional Head 3267 Department/Unit Manager 40 Females: 31% Males: 69% 11 © 2010 Lee Hecht Harrison. All Rights Reserved. Senior Non-HR Executives N=6085 © 2010 Lee Hecht Harrison. All Rights Reserved. © 2010 Management Research Group The differences Senior Non-HR Leadership Senior HR Leadership Best Practices Best Practices Strategic Strategic Communication Empathy Persuasive Technical Empathy Communication Control Excitement Technical Persuasive Self Management Focus Management Focus Control 13 © 2010 Lee Hecht Harrison. All Rights Reserved. The differences: another look Non-HR sr leaders lower on: Non-HR sr leaders higher on: Ð Conservative Ï Innovative Ð Outgoing Ï Self Ï Persuasive Ð Restraint Ð Cooperation Ð Deference to Authority Ð Structuring Ï Excitement Ï Control Ï Management Focus Ï Dominant Ï Production © 2010 Lee Hecht Harrison. All Rights Reserved. © 2010 Management Research Group Deciphering the data Asking the hard questions Looking in the mirror © 2010 Lee Hecht Harrison. All Rights Reserved. Changing the game: how to do “both/and” Serve as culture keeper Drive strategic agenda in a passionate way © 2010 Lee Hecht Harrison. All Rights Reserved. HR transformed: One third: strategy consultants 3 Thirds Hiring Model One third: Masters/Ph.D. Analysts One third: traditional HR © 2010 Lee Hecht Harrison. All Rights Reserved. “We in HR need to rethink how the profession works and what the talent model is and what we really consider great client service.” Lazlo Bock Human Resource Executive Magazine’s 2010 CHRO of the Year © 2010 Lee Hecht Harrison. All Rights Reserved. Fork in the road: your next step Ï Fluency in business leadership Ï Fluency in HR/TD/OD leadership Ï Enlist a business mentor Ï Immersion, curiosity, experimentation, passion © 2010 Lee Hecht Harrison. All Rights Reserved. Steve Harrison: one CEO’s transformation © 2010 Lee Hecht Harrison. All Rights Reserved. What CEOs Want from HR and How to Deliver! Steve Harrison, Chairman, LHH © 2010 Lee Hecht Harrison. All Rights Reserved. Why me? © 2010 Lee Hecht Harrison. All Rights Reserved. My Quest for a Seat at the Strategic Table © 2010 Lee Hecht Harrison. All Rights Reserved. “Hey Steve …Have you been personelling today?” © 2010 Lee Hecht Harrison. All Rights Reserved. What I Hear “The C-Suite must realize that HR needs to be at the strategic table.” “We don’t get enough face-time.” “We’re just HR … seen as administrators.” “We have to justify our existence.” “We’re being outsourced to death.” “HR must become more proactive, courageous, less risk-averse.” “Leaders need to recognize HR’s value.” © 2010 Lee Hecht Harrison. All Rights Reserved. My Reaction Out of sync with new workplace realities Requires “M-R” … Mindset Realignment! Beware the self-fulfilling prophesy! © 2010 Lee Hecht Harrison. All Rights Reserved. “HR EXECUTIVES SUDDENLY GET HOT” Profession in demand for Board Seats Wall Street Journal December 14, 2009 © 2010 Lee Hecht Harrison. All Rights Reserved. “… Good Odds that HR Executives Will Advance to Become CEOs of Fortune 100 Companies by 2018” Workforce Management Panel 12/08 © 2010 Lee Hecht Harrison. All Rights Reserved. My perspective……. “Obsession with the ‘Strategic Table’ can be: misguided, counterproductive, presumptuous and unrealistic! It’s not a prerequisite to adding value. There are lots of more worthwhile “tables”! © 2010 Lee Hecht Harrison. All Rights Reserved. More perspective…….. “If you have to ask to be there, you probably don’t belong there!” Susan Meisinger, Former President & CEO, SHRM © 2010 Lee Hecht Harrison. All Rights Reserved. Cracking the Code! To Deliver What CEOs Want from HR Ï Learn the business. Be an integral part of the business Ï Develop trusted operations advocates! Ï Be fluent in business language Ï Kill “HR-Speak” Ï Think big picture and focus on low-hanging fruit Ï Emphasize the business’s priorities Ï Be responsive, candid, objective, constructive Ï Count on “Me” © 2010 Lee Hecht Harrison. All Rights Reserved. Cracking the Code! To Deliver What CEO’s Want from HR Ï Think like a business person; make the case Ï Develop your communication skills, including public speaking Ï Connect the dots between high performance leadership and the needs of the business Ï Encourage a coaching/mentoring culture Ï Be a student of the “new-normal”: leaders’ burden of non-operational burdens! © 2010 Lee Hecht Harrison. All Rights Reserved. The New Normal Globalization Innovation Imperative Compliance/Governance Business Ethics CSR/Sustainability FutureTrends Unplanned Intrusions Talent Management Employee Engagement Leadership © 2010 Lee Hecht Harrison. All Rights Reserved. The Burden of CEO Mindclutter! Leadership! © 2010 Lee Hecht Harrison. All Rights Reserved. Steve’s Personal Leadership Priorities: The Big Five: 5 Competence Integrity Purpose/Passion Agility/Resilience Culture-Sensitivity – timeless imperative © 2010 Lee Hecht Harrison. All Rights Reserved. The Culture Imperative “Culture isn’t one thing a CEO does … it’s Everything!” Lou Gerstner, Former CEO of IBM © 2010 Lee Hecht Harrison. All Rights Reserved. © 2010 Lee Hecht Harrison. All Rights Reserved. The Leader’s Unwritten Culture Code Toolkit • Make code, values & culture “table talk”! Set an example • “Can” the open door policy … it’s about MBWA • Help create an enabling, failure-tolerant innovation environment • Recognize the people in unglamorous jobs • Reject executive pomposity • Downsize with a velvet glove: You’re making memories! Then focus on “survivors” • Trust © 2010 Lee Hecht Harrison. All Rights Reserved. More of the Leader’s Unwritten Culture Code Toolkit • Praise in public; criticize in private • Share credit; hoard blame • Remember “tough love” works! • Understand the power of humility • “Thank you” notes are legal! • A leadership reality: Everyone’s watching; everyone’s listening; it’s always show-time! • Cultural “Silver Bullet”: The timeless Human Factor! © 2010 Lee Hecht Harrison. All Rights Reserved. A Golden Opportunity HR MATTERS!! © 2010 Lee Hecht Harrison. All Rights Reserved. “I realized pretty early that Jack Welch I was more interested in HR than I was the finance manager. If there was ever a time to underscore the importance of HR, it has arrived. HR matters enormously in good times. It defines you in the bad.” © 2010 Lee Hecht Harrison. All Rights Reserved. Yogi Berra … On Being Strategic “If you don’t know where you’re going, you’ll wind up somewhere else.” © 2010 Lee Hecht Harrison. All Rights Reserved. LHH has expertise in four key areas which are based on our core competency in Talent Development. Lee Hecht Harrison is the global talent development leader in connecting people to jobs and helping individuals improve performance. © 2010 Lee Hecht Harrison. All Rights Reserved.
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