A Sample Listing of BENEFITS advantages published by the Fortune Magazine from their "100 Best Companies to work for - 2007"

Unusual Perks

From Time-off to Tip-off, here are some of the perks employees enjoyed last year.

From January 22, 2007 issue.

Work-life balance rank #3 for Best Benefits

Best Benefits

So what's in your employee benefits package?

- DeTimes

I recently was asked to give a presentation to a group of CEOs about how to select top management talent. Given the expense associated with recruiting executives and the high cost of making poor choices you would think executives would want to do this well. However, I am continually amazed at how frequently senior HR folks will tell me that they have a very difficult time getting their bosses to follow "best practices" in the selection of executives. That may explain in part why "33 - 50 % of executives selected for senior positions fail..." according to the most current research. Usually the failure has little to do with the executives' basic competencies but more to do with the wrong matching of executive to a job. "Wrong person - wrong job... usual cause for failure..."

I have interviewed hundreds of executives. I am continually amazed at how often they will tell me that when they were interviewed by a CEO or a Venture capitalist, as a frequent example, that the interviewer spent most of the time talking and mostly trying to sell them on taking the job. That is a recipe for disaster.

Below are the 11 Steps for selecting top management talent:

1. Have a well-thought-out recruitment process in place - Be Systematic. Don´t shoot from the hip. Prepare in advance and follow the steps below.

2. Identify the interview team and ensure everyone who will interview the candidate has been trained on interviewing techniques. Interviewing well is a learned skill.

3. Develop a role expectations description based on criteria that everyone agrees upon. It´s important to have all the interviewers on the same page about what is required. For example, if one person thinks a certain personality type is needed while another thinks differently they will be cross-wise when they compare their evaluations.

4. Ask behavioural, open-ended questions based on the position requirements to guard against "would do" vs. "have done." It´s usually not very helpful to ask candidates "can you do this or that?" 9 times out of 10 they will say yes because they think they can. Remember, "The best predictor of future behaviour is past behaviour." When you´re spending big bucks you want to hire people who have a track record doing what you need done. So ask something like, "Tell me how you handled dealing with x?" If you are looking for "creative," "out-of-the-box" types you will need to ask questions that explore how they were creative in the past. If they have been creative they will likely continue to be...under the right circumstances. One caveat; you better provide a healthy work environment or even the most creative person will wither.

5. Decide who will ask the candidate what questions. It´s usually best to divide the questions based on interviewer competency. For example, let finance people ask the finance questions.

6. Prepare interview questions in advance. Take notes so that you won´t forger what they said. I guarantee that you will either forget what the first interviewee said or mix his/her responses with subsequent interviewees if you don´t take notes. Ask each candidate the same questions so that you can compare answers and more accurately and yes...more scientifically, compare candidates.

7. First date; don´t go too far too fast. Don´t make a hiring decision based on your first interview. Take your time. Compare candidates.

8. Make the candidates feel comfortable - they reveal more if they aren´t on guard. Sure, if you make the interview feel like an interrogation you´ll know how they respond to questioning under pressure but it´s unlikely they´ll tell you much revealing about themselves because they will be on the defensive. So, if you want to hire tough but defensive people...interrogate away.

9. Always allow enough time in the interview for the candidate to ask questions -- the number and calibre of their questions will tell you a lot about how they think.

10. Do extensive reference checking (minimum 6) using prepared behavioural questions to verify "have done vs. will do." Make sure the candidate has actually done what they say they have. And at the CEO level, be very careful not to fall for the "halo effect" (see below), a very common interview "selection bias error."

Research has shown that interviewers commonly fall prey to one or more types of "selection bias errors." So, don´t fool yourself...be systematic so that you are not fooled by your "gut feelings" which might actually be unconscious selection bias errors. Being systematic and following the above steps will also help you more likely counter "selection bias errors" such as the following:

Primacy effect - picking a person because they are the freshest in your memory

Order effect - more often than not, people think the first or last interviewee was the best even when the middle one was the true star.

Subjective weightings - check those biases at the door, e.g., male/female, colour, height, school, country club, accent, how they are dressed, etc. You get the picture.

Self-image hiring - Just because they think like you doesn´t make the candidate a terrific choice. Halo effect - Especially for CEO candidates, be careful about the impact reading about a candidate in the press or seeing them on TV may have on you. Or...if a Venture Capitalist says..."he´s doesn´t have what takes to be a CEO" meaning he or she is charismatic. Too often interviewers are bias toward "charismatic" personality types even though there is no scientific evidence to support that charismatic leaders are more effective.

11. Used scientifically validated and sophisticated pre-employment assessment tools. Assessment instruments have come a long way in the last 20 years. Used appropriately and with the proper training, assessment instruments designed for selection can help you pick top talent well matched to your company. Pre-employment tests, validated specifically for your organization can also be developed. These types of instruments can help you clearly target the critical characteristics and traits necessary for success in your organization, helping you hire candidates who will perform at a high level. One of the added benefits of using pre-employment tests is that they are not prone to "selection bias errors." The assessment software programs don´t fall for the "halo effect" or "order effect," for example.

Last tips...

You must sell the candidate on the job and company but don´t talk more than 20% of the time. Let them tell their story.

Don´t over inflate the company- truth in packaging! For example, if your company is struggling, don´t gloss it over. There really are people who would prefer to take on that type of challenge than to work for a mature predictable company. Match the person with the right job by telling the truth about the job/company.

Don´t ask "yes" or "no" questions.

Remember - Recruiting is a Marketing Event for the company and for you! Treat all candidates respectfully because even if they aren´t hired they will remember how you treated them and they may just refer to you a top-flight candidate and save you big recruiting bucks! Furthermore, they might choose or not choose to become a customer some day depending on how you treated them. Lastly, your interviewee might be your interviewer some day!

-  DeTimes

It is such an interesting question. I am sorry to write some truth here.

Lets understand the purpose of work first. We work to earn a living, basically. We don't live to work. However, so easily we forget our basis. And that has made each lunch a privilege. Somehow we shove food down the throat to be back at our desks. And at nights we don't dine peacefully, because its too late for a dinner.

In the race to make money, we do such things that are completely against our own existence. We work hard, so hard that we don't get time to have a proper meal. Our health is compromised and ultimately our life and our fun both become a privilege that we can't enjoy peacefully.

Companies are becoming insane in the race to reach the top spot or sometimes to even survive. Ethics are compromised and only a few take pride of ethical practices. But are they, in the real sense?
The HR Manager comes and tells you that taking a break is important so that you become more efficient when you come back. Isn't this a terrible motive? Instead the motive should be more human. We are not machines, that we take a shut down for maintenance and then restart with better efficacies.
By far, almost every act is leading to self destruction. We make robots to make our life easier. But is our life easy in the never ending race to make them? It can lead to a never ending debate.

These days, corporate life is so demanding, that we fight with our wives because we can't give time to our families. We even thrash our children. We can't give time for their upbringing. We need governesses to take care of them. Isn't that our responsibility? A governess can become a mother or a father! Can she? She is doing the job for money and not for our children. This leads to frustration in them. We even compromise their well being for work (Money!).

We have all become so negative, that we have so easily forgotten our own life. Which is why, it is so true that "Life is something that is happening to you, when you are busy with other things."

FUN is an important word in our corporate dictionary, but it is only with the motive to make us more efficient so that we can make some more money for the company. Is work-life balance a question under consideration at all, in real? I have my own doubts. The importance that we have given to FUN would make sense only if it given the right perspective. Else it becomes, just another BUZZ WORD. As of now, it is only a feel-good factor which is so superficial in practice.

As far as HR Dept. is concerned, are they leading a balanced life? No, not at all. They are under the worst pressures today. Thanks to attrition, and thanks to our greedy demands. Eventually, we are on the way to destroy our own existence. Work-life balance? We plan to take our kids out. We plan for a dinner with our wife. We plan so many things for the family. Instead, they are the most important to live life. Not money. Money comes and goes. We might proudly argue, we work for them. But are we really? I don't deny that work is important. It is important but not at the cost of living. Because we work to live. You may want to argue - Life is ease is a difficult pursuit. But only because we have made it like that. Because we need more and more. Is anyone content with what they have? It is NO for most of them.
Companies boast about employee satisfaction. Are companies satisfied with their employees? You can check it for real. They are not! Employees Satisfaction is conveniently used for marketing an employer brand and for retention purposes. I had a case with one of my previous organizations.

Having fun to improve efficiency, is a cruel motive. If this motive (in its real sense) changes to become more human, we will lead to happiness and eventually win the race. Else we will always remain a part of this terrible RAT RACE. We must cry "WAKE UP TO HUMANITY!"

-  DeTimes

For several years now, 'employee engagement' has been a hot topic in corporate circles. It's a buzz phrase that has captured the attention of workplace observers and HR managers, as well as the executive suite. And it's a topic that employers and employees alike think they understand, yet can't articulate very easily.
No wonder. It turns out that all that employee engagement research undertaken over the past few years has defined the term differently, and as a result, came up with different key drivers and implications.
Employee engagement is a very big deal. There is clear and mounting evidence that high levels of employee engagement keenly correlates to individual, group and corporate performance in areas such as retention, turnover, productivity, customer service and loyalty.
The Definition:
Many dictionaries define the word ‘engaged’ as the condition of being ‘in gear’. The ideal state for any employer is to have employees who are ‘fully in gear’. An employee is fully in gear when certain elements about his/her work, manager and the work environment are in alignment with the employment situation.
These are the key drivers of effective employee engagement:
- Trust and integrity – how well managers communicate and 'walk the talk'.
- Nature of the job –Is it mentally stimulating day-to-day?
- Line of sight between employee performance and company performance – Does the employee understand how their work contributes to the company's performance?
- Career Growth opportunities –Are there future opportunities for growth?
- Pride about the company – How much self-esteem does the employee feel by being associated with their company?
- Coworkers/team members – significantly influence one's level of engagement
- Employee development – Is the company making an effort to develop the employee's skills?
- Relationship with one's manager – Does the employee value his or her relationship with his or her manager?
As companies continue to grow, it is this population of employees that can service to build a bench for leadership positions. As solid management practices become embedded in the organization, it becomes the true fabric of how the organization operates and employees will remain more ‘fully in gear'.

-  DeTimes

Retention is the biggest challenge with the new age companies. It is about creating loyalty. Let’s understand the word “loyalty” first. It is the consequence of a trust based committed relationship.

Employee relations are most critical for any retention drive to succeed. These days it has become so critical to answer "What’s in it for ME?" It is only because; a wider choice is available to good talent.

1. Hiring decision is very critical. Hire the right talent and not always the best talent on the market. Develop a niche for the employees, right from day one. The word RIGHT has a lot of meaning. Don't show a pseudo pictures. Show reality. Commit less and deliver more. A wrong hiring decision is known to be more expensive than re-hiring due to attrition, simply because it dents the organization terribly. It also hurts the wrong hire. This becomes even more tumultuous, especially, if such a decision goes wrong for a senior level mandate.

2. Provide empowerment on the job along with continuous training. A right balance of accountability and autonomy can be created to make the work environment conducive. Expose them to new skill sets. Like having an informal quality circle which gives them added skills and responsibility, both. Or a mentoring program.

3. Recognition more than just reward makes a big difference. This is a leadership decision. If possible, have a recognition scale for every quarter. And let the CEO do the thanks giving at a luncheon (Like the famous HP Banana Award). Recognize individual and team success very strongly.
4. Commit yourself to developing leaders for tomorrow. Rather than just managers. This should be conveyed by the employer branding in open.

5. Provide them with ample internal opportunities to grow vertically as well as laterally. (Like sending your mid manager on an international assignment for a short term, which will add value to him/her as well as the company)

6. Higher education for upgrading relevant skill sets. Provide for a well established career development program.

7. Offer practical and genuine benefits (I mean tangible fringe benefits). At the same time, offer compensation on par with industry standards. You don't have to pay millions to retain them.

8. Follow a strong value system which is human and based on respect for all. Employee satisfaction is measurable. Just doing surveys won't make any sense. Go a step beyond that. Have good listeners in the grievance cell.

9. Have a very fluid communication system so that anyone at any level in the organization is easily accessible and approachable. Also implement an honest 360 degree feedback system. It could also include providing clearly articulated KRAs.

10. Remove all negative factors from the system. It could also mean unfit people even if they are most skilled. Attitudes go a long way into achieving success.

11. Most often I have seen organization default on being realistic. It's a good thing to be aggressive on goals. However, if they are not realistic, they can prove detrimental to organizational success.
12. Rather than just focusing on cost cutting, profit making, top line, bottom line etc., it is worthy enough if the leaders follow a wealth sharing practice.

13. Add more value to employee relations. Doing small things can go a long way. Simply, sending a small gift for an employee's birthday/anniversary/etc. can mean a lot. It's only human to do that. I think it is a part of organization's responsibility to create an extended family.

14. This suggestion can go a long way if honestly implemented. Support employees through their crisis times. It could just mean an emotional chat or a small financial help, if that is required.

This was outlined by me, to the Diversity Program Manager - Microsoft, US. It has been rated as the best outline.

-  DeTimes

I read an article in Economic Times by the one of the Directors of Bharti Airtel, Mr. Gopal Vittal. I have tried to pick a few things from it.

Mr. Vittal explains how his transformation while shifting from FMCG to Telecom had been filled with fundamental differences. The planning cycles shortened, speed was tremendously high and unlike FMCG, he had only one product to appeal to a diverse and a demanding consumer circle. His basic theory of Plan-Do-Learn-Plan was no longer applicable in such high pace situations. This dilemma is faced not only in such cross vertical shifts but according to me, it’s quite analogous to the situations faced by every industry as compared to a few years ago. Consumers have become smart and are thinking a few steps ahead of the manufacturers. It is quite obvious in the case of telecom when the consumers came up with the phenomenon called “Missed Calls” to reduce costs, something that telecom players are still trying to cope up with. It’s a fact that all telecom giants are hit by heavy losses due to Missed Calls. What is the Solution that we seek here? The solution is quite obviously Adaptability. Change, which has a lot of resistance, is the need of the hour. Survival of fittest can be safely modified to Survival of those who can adapt to change.

Mr. Vittal also did the necessary change in his theory to adapt himself to the situation. The new theory he used in such chaos was Plan-Do-Learn-Do. Which leaves no room for re-planning. This theory does take care of the pace at which things should move but leaves no room for error. Initial planning becomes more important than ever. So planning essentially becomes the key area where companies will either fail or survive. Mind you, success is still not guaranteed. For success, the latter part of the theory is the most essential one. How quickly you Do-Learn-Do and how many such cycles do you require before implementing your plan accurately decides the level of your success.

It is not the strongest of the species that survive, or the most intelligent, but the one most responsive to change. Charles Darwin.

 -  DeTimes

Aspiring Entrepreneurs!

Sometimes, a great asset to a company and sometimes, the reason for high attrition.

The question of retention of such talent is very subjective. Let's look at two situations.

1. Mid Size companies: Where there is a lot of flexibility but not enough power for incubation. At such companies, retention strategies have to be different from the larger organizations.

- Offer practical and genuine benefits (I mean tangible fringe benefits). At the same time offer compensation on par with industry standards. You don't have to pay any extra to retain them.
- Provide empowerment on the job with autonomy on decision making.
- Provide them with ample internal opportunities to grow vertically as well as laterally. (Like sending your mid manager on an international assignment for a short term, which will add value to him/her as well as the company)
- Obviously, a good remunerations package which is better than average.
- A great environment, where is he feels the job ownership and where he sees himself as a critical person for the company's well being. This will instill responsibility at a different level.
- Be realistic on Goals. It's good to be aggressive, but being realistic is important.
- Offer ownership of the company by way of ESOPs or by way of variable compensation that is designed in line with ESOPs.

2. Large Organization: Where there is less flexibility, but have the power of incubation. Many companies have today started such facilitation for retaining key talent. Companies can do an equity participation for genuine projects. If this is done rightly, retention is will not be a problem. Being genuine and reasonable is important.

However, all ideas can not be incubated through this route. In such cases, look at this talent to be a medium term asset and later on as an extension to your organization. May be you can establish some partnership or sorts where he does play a role in helping your company with his services. However, this is also very subjective. That is, if at all, it reaches that stage.

If the employee cannot reach such a stage, treat him as a normal asset and follow regular retention practices.

- Consider good compensation
- Great work-life balance
- Great environment and culture based on respect (a strong value system)
- Good recognition practices
- Help them honestly, when they need you the most (Don't ever miss out on such opportunities, it will go a long way)
- Offer practical benefits
- Commit yourself to Creating Leaders for tomorrow and make them an integral part of this program, which means you can convert their entrepreneurial aspirations in to aspirations of becoming the next high flying CEO.
- A fast track career option can prove useful too.

There are many other points which you can refer to in my other answers on Employee Retention. Finally, this is most critical. Understand the meaning of Loyalty, in its TRUE sense. It is a consequence of a trust based relationship.

So Employee Relationship and Effective Internal Communication (which is committed) are really critical. - DeTimes

Failure of Start-ups depends on various reasons.

1. The Idea: The foremost thing is the idea behind starting the venture. The foundation of this idea is of primary importance. If it not given a comprehensive thought and planning then it only sees the DOOM's DAY.

2. Execution of this plan: Execution is critical. If done well then one can sail through with little less money as well. However, this is where most start-ups have blown off.

3. Run-out of Money: It depends where the funding is coming from. Venture capitalists today are known to take more than a year to go through the analysis of profitability of an idea. At the same time they are looking at an investment period of a max. 4-5 years and expect aggressive profits. This is a situation that puts pressures on the very vision and forces the core team to look for short term gains. Consequence is, they lose long term vision and slip into drains. If the money is coming from conventional HNI investors, then they start looking for early results since there is no understanding of life cycle and the business both. The situation boils down to "You said, this would happen. So why has this not happened?" It generally comes within 3-4 months. Lack of patience and fading trust, stops the committed funds that were needed to survive.

4. Run-out of Commitment: Usually, markets don't perceive new players as genuine long term players because there is so much generalization. Thanks to a couple of bad experiences they have had, which paints everyone alike. It is thoroughly demotivating. Pressures mount up and investor mount up more pressures. This makes the Executives lose focus completely. So it looks like they have lost commitment. However, it is not the case many times. It is just that conducive environment for SUCCESS is snatched away.

5. Bad Management: Amateurs with lack of experience on planning both, actions and money, lose out in the race. They are most of the times at the losing end simply because they are too early in the business because of ROSY pictures painted in their minds. This is still better. Sometimes, certain managements of start-up companies have double standards. The idea shown is different from what they actually want to gain. It could be a short term loss making venture that is planned only for quick personal gains. This is worst.

6. Investors are those people who invest money for medium/long term gains. These gains have to be spread over time. Better the support system for any business, better it performs. But, it is strange for me to know that no one understands this when it comes to investing in new ventures. WHY do people not look at long term investment, when it comes to start-ups? All fortune companies were also start-ups when they began. It is only over a long period of time that they have become so BIG. People will easily play safe by investing money for 25 years in a Govt. company / Fortune company but not start-ups. There is lack of belief system. This is one of big reasons for dooming start-ups. A full fledged support system should be created to ensure success and over a longer time, not just 3-4 years. If the idea is right, SUCCESS is certain. Usually most ideas are good, if implemented properly and are need based. No doubt the risk is high, but gains are even higher.

7. Due to all the factors listed above and a few others, start-ups companies have a huge problem in attracting talent. So a big compromise needs to be made on this account. Also technology may be a cause of concern since it costs a lot of money and returns are not as quick as one would demand. So they are constrained by these and several other factors, to ensure FAILURE.

However, if a start-up company is provided with a long term support based on a clear thought, they will SUCCEED.

One can stop an invasion of armies, not an idea whose time has come.

  - DeTimes

S AT THE TOP

Notes: The payments are according to the 2005-06 annual report. The sales and profit growth figures are for 2006-07

-  DeTimes

The US constitution prevents Foreign-born people from running for the President's seat. But that doesn't stop them from running Fortune companies.

In a recent article in NY Times, it is reported that 15 CEOs of Fortune 100 companies were born outside of the U.S.

I have tried making a small list with as many names as I could quickly find. The only reason for this upsurge is growing globalization. Fortune companies have seen a rising trend in their overseas revenues. At the same time, there is a shortage of leadership skills, so the best bets are promoted irrespective of their location. So if someone from their Hong Kong office is doing a good job, it doesn't go unnoticed. The race for them is always on, towards the TOP job.

An example of this upsurge can be seen below:

1. Alcoa, American - Klaus Kleinfeld - German (earlier it was Belda, Moroccan)

2. Coca-Cola, American - Neville Isdell - Irish (studies in Brazil), Now has appointed Muhtar Kent (grew up in Turkey) to succeed Neville.

3. AIG, American - Martin Sullivan - British

4. PepsiCo, American - Indra Nooyi - Indian (born and educated in India)

5. Eli Lilly & Co, American - Sidney Taurel - Moroccan

6. Citigroup, American - Vikram Pandit - Indian

Ajay Banga is chairman and CEO of Global Consumer Group International and Deepak Sharma is CEO of Citi Global Wealth Management International. Vikram A. Atal is chairman and CEO of Citi Cards, Global Consumer Group, and Suneel Bakshi heads global commercial bank, Citi Markets and banking. Also, Sanjay Nayar is CEO, India. Almost completely run by Indians. It is not criminal to say that Citigroup is an Indian Company!

7. Hartford Financial Services, American - Ramani Ayer - Indian

8. American Express, American - Kenneth Chenault - Born in Long Island (African-American)

9. Altria Group, American - Louis C. Camilleri - Egyptian

10. Liberty Mutual Group, American - Edmund F. Kelly - Irish

11. Rohm & Haas - Rajiv L. Gupta - Indian

12. Sigma & Aldrich - Jai Nagarkatti - Indian (Fortune 1000)

13. LSI - Abhijit Y Talwalkar - Indian (Fortune 1000)

14. Tellabs - Krish A Prabhu - Indian (Fortune 1000)

15. Vodafone - Arun Sarin - Indian (Fortune 100)

16. Adobe Systems - Shantanu Narayen - Indian (Yet-to-be-assessed)

17. Arcelor-Mittal - L N Mittal - Indian

A new nine-nation opinion poll has found that an increasing number of Indians believe their nation will be a major global power by 2020, trumping even the US. 72 per cent said India would be a world power by 2020. The number of those pitching for the US and China dwindled to 59 per cent and 39 per cent respectively. This may be an over-estimation from your perspective but definitely not improbable.

Out of this small list of 17, more than half of them are Indians. We are certainly in the RECKONING....! Let's get our ACT together, we're the BEST. Together, we can make India, the #1 SUPER ECONOMY....!

Cheers!

-  DeTimes

Pay peanuts and you get monkeys

–James Goldsmith

 A Message to India Inc.

You are bananas over a high flying SUPERMAN for your company, but only have monkey nuts in your bank account?

If you were an experienced professional - say a lawyer or an accountant - and you received an email like the one below, you would probably find it somewhat insulting.

"Just draft a free contract and if we like it we might get you to sue someone."

"Just do us a free audit and if it’s okay, we might ask for some tax advice."

What is it about the word "writer" that makes people think we’ll jump through hoops like performing seals to get our hands on a $50 gadget in order to get a gig that pays a fraction of our standard rate? Nothing! Really!

Similarly, it is true for international search partners with best practices, but who are small. Customers write into me, “Please do this search assignment at 8.33% of CTC this time. And we will make a payment after 1 month from the date of joining of the selected candidates.” This is when a company is appointing a partner to find them a Vice President. The standard practice for senior level mandates starts at 16.67% plus an expense cover. I propose working with a fly-by-night operator in this case. That’s exactly what you are looking at, only short term benefits that will eventually lead to long term disasters.

This is an appeal to India Inc. Please take a note of the following:

-          It is true that when you pay peanuts you can only get monkeys. This is true for both search partners and employees in its real sense.

-          When you do such a thing don’t cry foul on attrition. It is each company's need (rather than responsibility) to retain people. Need of the highest order.

-          Serious and Committed long term players go miles beyond just sourcing candidates but they come at an extra price. You will only get what you pay for. Expect only as much from a partner as you are willing to give.

-          Don’t talk about urgency, when you can’t make fast decisions.

-          Don’t talk mutual benefit, when you offer one sided deals. It is only value for both parties that must be created for any relationship to go a long way. Remember, RETENTION!

-          One often feels a sense of high for a day, when he negotiates a flat deal which is one side. He is happy that day only. Beyond that, the partner makes short term money and ruins the long term vision of any company by rubbing the wrong sides, unknowingly. Ultimately, YOU see the doom’s day. The PARTNER has made his MONEY and is GONE. YOU pay for it heavily, anyways. Instead, paying a little extra for a good cause goes a long way in PAYING BACK.

-          The RIGHT PARTNER doesn’t COST. It ONLY PAYS OFF in the long run. Realize that before it is too late even for a resurrection.

-          Be realistic with what you really NEED and not what you WANT

-          It is more necessary for YOU to work with HONEST people, because that is only for your BENEFIT. They provide services that go miles beyond what you can think of. The fringe benefits are massive.

When people make statements, everyone likes it. Especially statements like “A Company is only as GOOD as the PEOPLE it KEEPS.” When it boils down to practicing it, it is seen as COST, surprisingly and shockingly. Well so be it, you will pay for it tomorrow, in any case. You may be lucky to see some short term gain. But eventually, it only leads YOU to the DOOM’s DAY. It is high time, that money is spent wisely.

When I am writing this, a lot of people will take it as an offence. Only those, who are wise, will truly appreciate it to the core. Ultimately, TRUTH has to go a full circle. It will be ridiculed today. But tomorrow, it will be embraced. I am sure. But then, will it not be too late? Who loses here? The COMPANY. Not the PARTNER.

I am not writing this against any person, or company. This is against a trend in general, a perception of high flying HR Managers, which needs to change. This message must reach out to the BOD to put their act together when it comes to people, because niche is always in scarcity. It is already becoming tumultuous for companies to find the RIGHT mix of people. Hence, the problem of high attrition levels, sometimes even beyond 50%, which means you hire a whole new organization every second or third year!

Here is another classic case of FALSE POSITIVES:

One HR Manager dies and instantly he is in a meeting with GOD.

GOD asked him, “Where do you want to go? Heaven or Hell? You can try one day each at Hell and Heaven...”

HR Manager tries out Hell on day 1. He has a day full of fun with ex-colleagues, friends, golf courses, discotheques, etc. etc. and doesn’t even realize that the day is over. It was total fun and he has a ball of a time there.

Next day, he is in Heaven. Things are quite cool even there. A bit slower and less fun compared to the previous day in Hell. The day passes by.

On the third day, GOD asks him, “So have you decided, where you want to go? Heaven or Hell?”

HR Manager says, “Yes GOD, I have decided. Hell was complete fun to be in. I will go to Hell.”

Almost instantly, he is put there. To his shock, he finds a barren land with nothing that he saw the other day. No one around, no golf courses, no discotheques, etc. etc. He is terribly shocked. He goes up to GOD and asks Him, “What is this? There is nothing in Hell that I saw the other day. Why?”

GOD replies back with a grin, “Yesterday, we were HIRING you. Today you are an EMPLOYEE!”

I can only humbly advice. Be on the TRUTH’s side and it will pay off. Certainly, after some level of difficulty. But it will most definitely PAY OFF. At the same time, it is an appeal to be fair with the HONEST PARTNERS because they will only HELP YOU... DELAY is not DENIAL.

 -  DeTimes

You need to hire the best employees. You undoubtedly hired some employees who were losers.

Oops! Well, let’s be more diplomatic. Let’s just say you hired some “underachievers” you would have been better without.

Or maybe you have the curse of hiring only “average” employees – people who are average in productivity and average in producing profits.

Question: Who wants to hire “average” (or “below average”) employees?

Answer: No one!

To hire the best, you need to avoid the problems that plagued your previous hiring decisions. So, let me reveal seven horrible hiring blunders or mistakes you may have made.

1st Horrible Mistake: Interviewers typically do a lousy job at predicting job success.

This is a proven fact, verified by a lot of research. Statistically, most interviewers do about as well as flipping a coin!

2nd Horrible Mistake: Reference checks fail to tell you what you really need to know.

Most employers are so freaked out about giving reference checks that they tell you nothing or barely anything useful about how an applicant performed on-the-job. Another way to put that is most reference checks are about as non-useful as simultaneously (a) flipping a coin while (b) rubbing a rabbit’s foot!!

3rd Horrible Mistake: You just relied on your “gut feel” or “intuition” & you were WRONG.

Later, as you moaned about the mistake you made by hiring the wrong person, you asked yourself, “I knew what I was feeling. But, what was I thinking?”

4th Horrible Mistake: You used subjective prediction methods to make hiring decisions.

For example, you relied on subjective interviews, subjective reference checks, and objective ‘impressions’ of the applicant. Wow! Were you ever off-base? And then you and your company needed to pay for your incorrect hiring decisions. That is expensive, time-consuming, and frustrating.

5th Horrible Mistake: You used NO objective AND customized prediction method.

Important: Research shows pre-employment tests are the most objective method to make predictions. But, make sure you use a test customized for specific jobs in your company!

If you have not used tests customized for specific jobs in your company, then you really have missed out on the most objective and customized prediction method you could use.

6th Horrible Mistake: You [stupidly] told the applicant what you were looking for!!

Then, lo & behold, the applicant spent your entire interview telling you s/he just happens to possess all the skills, talents and qualities you – stupidly – told the applicant you want in an employee.

For example, let’s say you – stupidly – told the applicant you need to hire an employee who excels at teamwork, customer-service, and correctly handling small details. I bet I can predict what that applicant told you in the interview: The applicant told you – with a serious yet pleasant expression – that s/he excels at teamwork, customer-service, and correctly handling small details.

And then, when you hired the person who gave you all the answers you – stupidly – told the applicant you want, you pay the price of having an employee who may not REALLY be talented at teamwork, customer-service, or handling small details. You got fooled – and you have only yourself to blame.

7th Horrible Mistake: You terribly harm any person you should not have hired.

Let’s be humanistic about it. If you hire the wrong person, the applicant also loses.

People crave to work in a job where they will do well and enjoy it. People hate a job where they will perform only average or below average, and not enjoy the work. So, you actually benefit the applicant you carefully evaluated using customized, objective hiring methods.

Summary: When you hire . . .

1. High-achieving “superstar” employees, both you and your company win.

2. Underachieving employees, (a) you lose and (b) your company loses.

So, make sure you use customized and objective prediction methods, like pre-employment tests, biodata and more, to make sure you hire employees who are: Productive, Profitable, and Low Turnover

-  DeTimes

A booming economy is causing a unique problem for India Inc: There just aren’t enough top honchos.

This problem has its roots in the early days of globalization, industrialization and brain-drain but was realized by India Inc when economy started booming in 2005. According to the L&T chief, Mr. A M Naik, the term “Manpower Crunch” is not enough to describe the shortage of top bosses in India Inc. He should know. L&T had to turn to the global market when its search for a vertical head failed in the domestic market.

“The executive search firm refused to take the assignment if the candidate’s offered remuneration was under US$ 500,000 (≈Rs 2.25 Crores in 2006) annually. This when the position is two levels below ours (board member),” says an exasperated Naik. For the record, the gross emoluments of the board members, including commissions and retirement benefits, is under half the above figure.

Sharing Naik’s concern is Baba N Kalyani, chairman of India’s largest auto component manufacturer Bharat Forge, who says the biggest obstacle to growth is lack of manpower. “Today acceptance of our products in the global markets is not an issue. Finding people is a big challenge,” he says.

The paradox couldn’t be starker. The world’s second most populous nation is facing one of the severest of people crunches, especially at the rarefied senior levels. And there are no signs that the crunch could ease any time soon.

A recent study found that more than 66% of the Indian companies changed their CEO in the last 5 years. The turnover rates for IT stood at 88%, BFSI at 70% and Pharma at 67%, which is phenomenal.

There is a vacuum at the top level since the people who left India in the 70s and 80s would have been in senior level positions. This is where we are vastly hit by the brain drain. I am also writing this article sitting in Singapore, but I am here to help only Indian companies find manpower from global markets and begin the reverse drain process into India. I certainly love my country. We, at DeConseil, only provide services to Indian companies on wider geography.

The real problem is because candidates have unlimited choice which only means closing any particular position is more time consuming than ever before. This is where employer companies must ramp up their decision making process and make it more efficient and less time consuming.

A decade ago, cross-vertical movement was not common. But today, with the rising stars like Retail and Telecom, it has become inevitable, which is a good thing also. At the top levels, people are more generic unless it is for a specific function. So looking at General Management skills is more important rather than Vertical knowledge. It is more important for Executive Search partners to have this vertical knowledge to find a more fitting and an apt candidate from across the business spectrum.

Even before the domestic growth took-off in 2006, the foreign MNCs started acquiring talent at higher remuneration. With more and more investment going into capacity building, new infrastructure, this shortage has become even more acute.

The shortage has two faces. A company’s growth and its attrition figures. IT, Retail, Insurance and such new sectors raking in 100% growth y-o-y this situation is unlikely to get better even in the near future. IT companies typically have more than 30% attrition rate, which simply means that a new company is added every three years. This is more acute with ITeS outfits where even a 100% attrition rate is not new. Few of them have already seen it by now.

Let’s look at the corollary of this shortage. It only means a spike in compensation levels because demand is more than supply. 10 years ago, a Rs. 1-Crore package would have made front page headlines. But today, it is a common thing. However, a different view is available from HR Directors. Here, consultants can give you a better input. It is also pointed out that pay for performance has also taken a huge leap forward.

Just around 2004, pay for performance averaged at 30% of CTC, which today has gone up to as high as 150% (constituting almost 66% of the CTC), especially in positions like Sales, Marketing, Treasury, etc.

I strongly believe, this shortage is here to stay in spite of fears of a slowdown. This is the time when BOD should start taking more risks with their Human Capital and start developing cross functional expertise. L&T has already marked up the retirement age to 70 for its BOD, up from 65. Shopper’s Stop is hiring expatriates since it finds no experienced hands in India.

New hunting grounds are opening up as the NRI community is heading towards the Indian soil.  A good amount of foreigners are showing interests in working in India on local terms. Both of these are certainly welcome, as they might ease things a bit.

- DeTimes

Why are some hiring decisions successful while others are a disaster?

The amount time, effort and money spent in the hiring process often hits the roof because hiring managers make some inevitable mistakes.

It is true, that the recruitment process is more complex, than meets the eye or is realised to be; and it is this inability to identify subtle factors of the system that leads to a wrong hiring decision, which most often becomes a disaster for the company; especially when decisions go wrong for a leadership position.

In times when change is so rapid and radical, what makes the hiring process even more complex is the need of meeting ground between short-term, medium-term and long-term priorities.

Why is it necessary for the recruitment process to be focused? Finding out whether the person is the “RIGHT FIT” in the organisation culturally is as important as testing his/her skill sets. Most of the times, more important. A cultural misfit only leads to a disaster while a compromise on skills can be overcome by training and over time.

Building a talent pool even before it is required is critical today. The lookout should be for a person who had an exact job, in the same industry, in the particular business climate, and from a company with a very similar culture. Failure to identify the exact company needs is one of the reasons that leads to wrong hiring decisions. Assessment of skills is one of the reasons. Assessment of cultural fitment is another and definitely more critical. Assessment of responsiveness to change is the winning factor.

The paper profile of a person is, in fact, the most common blind spot as it often exaggerates the truth and can be misleading in the selection process. I warn that keeping this in mind becomes essential for HR personnel to get an accurate picture of the candidate. Furthermore, often it is the good communication skills of the candidate that help him/her succeed in the interview without the necessary domain knowledge or skill.

One has to check where the candidate comes from—from the perspective of suitability to work in the new culture, which could be different from the earlier organisation; and from the perspective of ability to work in teams, customer-facing skills, ability to work under pressure, etc.

At times organisations hire out of desperation and consequently land up paying the price of inducting a candidate who is not suitably qualified to take care of the responsibilities. Blindly promoting from within and hiring because the candidate was referred by a friend are the other mistakes that are often repeated.

The “COST” perspective

Hiring an over-qualified candidate is one of the main reasons for the cost of hiring shoots up, at times beyond the roof. It is very easy to get swayed or unnecessarily impressed by degrees from IITs and IIMs and such premiere institutions, globally.

Hiring such candidates when not needed, only results in marked up costs for hiring as well as inappropriate retention costs. Recruitment is a very strategic area, since, a company is only known by the people it keeps. It has a definite impact on any company’s balance sheet and brand positioning. It is also commonly seen that candidates, who don’t get reasonably desired salaries, join a company only for a short term. He is always on the lookout, and leaves when he gets, what he feels is deserving salary.

The SUPERMAN Paradigm

We all have accepted the fact that all hiring managers are always on the lookout for a SUPERMAN, who is as good as his predecessor. Instead, a valid thought must go in to eliminating known faults at this stage, compared to the predecessor. Every organization, today, is looking at attracting such super-heroes. Agreed that it is necessary, but defining this “SUPER” is more critical since it must be realistic and not idealistic.

While it is easy to verify the skills of any candidature, the softer skills must be deeply investigated. An assessment by a team of experienced professionals across functions of the employer organization is important. This also gives the candidate a chance to get a feel of the organization and a good check on compatibility. Adaptability scores over technical skills in today’s times.

It is not the strongest of the species that survive, or the most intelligent, but the one most responsive to change. Charles Darwin.

 - DeTimes

If the recession does go full swing across the U.S., how will global leaders prepare and avoid the potential damages?

Recession is US can cause serious troubles in several ways.

1. Global leaders press the panic button. In that case, most decisions that they make will go wrong. Then the time is to find a new job. Lay-offs, Margin stress, Resource unavailability, unemployment, etc. will hit the economies big time.

2. The valuation of several companies may go down due to fears and heavy selling of stocks. This may lead to a lot of M&A. In that case, depending on each destiny will be defined.

3. Global leaders have to enable more commitment from their own people relationships. If all the people go an extra mile to bridge the deficit gap, then there is no deficit. This will be a key.

4. Interest rates will go further down, leading to more lending in difficult times on indecisive projects. This can cause pressure on the economy to a great extent like what we saw in case of the sub-prime mortgage loans.

5. Desperate measure will be taken. This is inevitable. But if they are wisely taken, then US can counter the recession well. Else, other emerging economies will develop (only those are self reliant). I see this as benefit to a lot of other economies who have a balanced trade with all continents. A stronger Asia is in the making...

Global leaders must do what is necessary; get more out of their own people. If their own people add value, business will not suffer as much as they would do otherwise. The call is, to get their own resources in place and combat recession as a coherent team.

Bad times and good times are a matter of fact. Everything is temporary. But how soon you can see the daylight again, remains to be seen.

  - DeTimes

I think many of us might have been in situations of " do or die" and/ or "never say die" in our life- say in our career, profession, management functions etc. What are your experiences? Can you share the same to enlighten one and all- as I do believe such a spirit in a person does mould his/her personality to be able to face all critical situations wisely (if lessons have been learnt) and boldly (if successful) in the times to follow! ----------------------------------------------------------------------------------------------------------------------------------------------------------------
This is my take:

"Never say Die" keeps the world alive. I believe it is only this attitude that helps you follow your DREAMS and enable a GLOBAL CONSPIRACY to achieve them.

Apart from them, this attitude has helped me wisely manage crisis, and emerge out of it and become successful. DREAMERS would understand that, it is only this attitude that helped many achieve their DREAMS.

I went through a massive financial crisis a few years ago. I had to take steps to face it and emerge out of it as a winner. I took radical steps without the fear of outcome and have reached where I am today. It is the most important factor, that contributes to one's growth and success.

If you don't have this attitude, you won't grow as an individual. You will remain as a follower. It is this attitude that makes you a leader in what you can do best.

Most freedom wars are won based on this factor. Most businesses have become successful only due to this. Most businesses have seen crisis and emerged winners only because of this attitude. If you have this attitude, I strongly believe, you can face any circumstance in life and emerge as a winner. Only THIS attitude can show you daylight sooner after dark.

However, if you give up, you stagnate, right where you give up. One doesn't evolve without this attitude. Remember, it's right said, "It's the ATTITUDE that take you to the ALTITUDE."
- DeTimes

Excellence begins when we know that being good or even competent won't carry the day, when doing more or trying harder won't bridge the gap, when excellence is simply the only alternative.

All of us have had moments when we succeed seemingly without effort, times when we perform superbly and gracefully, times when we hit the mark. Yet we are never quite sure how it all came together, how it happened, or if we can make it happen again.

Excellence is not a matter of ability, knowledge or practice. It cannot be taught, imposed, or wished into existence. Excellence is a matter of the stand we are and the stand we take—a stand that allows for performance that surpasses what was previously possible, performance that defies old limits and maps new territory.

Excellence is shown by people who keep moving and extending the boundaries of what they know is possible, people who generate a stand to bring to bear what is missing, people who come through time after time.

Here is a list of eight rare combination of abilities and traits found in people who excel:

1. Preparation: academic and professional.

2. Character: values, ethics, beliefs, purpose, mission, integrity, walk the talk.

3. Principles: big message, point of view, tenets, main points.

4. Personality: charisma, style, originality, authenticity, one of a kind.

5. Performance: inspiring action, real-world performance, work ethic.

6. Experience: beyond local and regional, more national and international.

7. Expression: substance and style in writing, speaking, coaching, consulting, mentoring, training, or teaching.

8. Influence: difference, results, change, transformation.

Hence, it’s the quality of being exceptionally good of its kind. A special quality that confers to Superiority. The value of brains is more than just... the brains.

And yes, it’s truly a JOURNEY of a lifetime not a ONE TIME thing...

- DeTimes

The latest India Today magazine confirms my fears. (See, that's the way it is, "I told you so"!)

HR Experts rank in the list of "niche talent" which are seeing a shortage of talent. The others being Pilots, Merchandisers, Auto Designers, Architects and Urban Planners, Actuaries, CEOs (!), Dieticians, Graphic Artists and Drilling Experts (for oil!).

Some other notable numbers from the article are:

16 million new jobs are likely to be created this year. Services will lead the way with IT and ITES sectors adding 350,000 new people, followed by Retailing with 125,000 jobs, Financial Services with 120,000 jobs, Telecom with 100,000 and Hospitality with 50,000 jobs.

The Hewitt Annual Salary Increase survey also finds that in the Asia Pac region, Indians will get the best salary hikes at 13.7%, followed by Philippines with 8.1% increase.

40 million is the number of registered unemployed in the country.

27 million are employed in the organized sector.

333 million are either underemployed or belong to the unorganized sector.

There are 20,000 recruitment firms in the country.

3,000 of them are in Bangalore!

Barely 10% of corporate India uses formal executive search firms, feels Rajeev Vasudeva of Egon Zehnder.

There are talks of specialized Accounting and Banking recruitment firm Michael Page International planning to enter India, the article notes.

Classified ad revenues for print job ads have remained almost flat the last 4-5 years, while online firms have been growing at 15-20%. They cost 10% of the print classifieds cost for an organization.

We are most definitely in for interesting times ahead! And specifically about the scarcity of talent, I told you so! - DeTimes