Your top talent stays when you...

 

Your star performers aren't resigning.

They're escaping toxic cultures where they feel:

🚫 Undermined
🚫 Overlooked
🚫 Isolated

Retention isn't complicated. Here's what actually works:

1) Trust them
↳ Hand them real ownership over their work.
↳ Micromanagement kills drive more than anything.

2) Show appreciation
↳ Acknowledge contributions in the moment.
↳ Consistent appreciation creates lasting commitment.

3) Create safety
↳ Make it safe to share ideas and experiment.
↳ Innovation dies in fear-based cultures.

4) Value input
↳ Listening means nothing without action.
↳ Your team often spots problems before you do.

5) Offer challenges
↳ Challenge them with work that pushes boundaries.
↳ Top performers crave opportunities to grow.

6) Support growth
↳ Fund training, mentorship, and new experiences.
↳ Their growth fuels your organization's success.

7) Stay transparent
↳ Connect daily work to strategic goals.
↳ Context turns tasks into meaningful contributions.

8) Inspire purpose
↳ Show them how their efforts move the needle.
↳ Purpose keeps people engaged in tough times.

9) Celebrate wins
↳ Make success visible across the organization.
↳ You'll reinforce the behaviors you want repeated.

10) Pay fairly
↳ Pay people what they're worth, consistently.
↳ Fairness isn't optional. It's the baseline.

- - - -

Here's the truth:

Loyalty isn't demanded.
It's earned through consistent action.

Be the kind of leader people choose to follow,
not the reason they start looking elsewhere.

https://tinyurl.com/3ceu4srw

And follow Dr. Christian Poensgen for more

The Essential Guide to HR Metrics

 

Anyone who works in business will tell you that human Resources plays a crucial role in evaluating employee performance. However, it's also HR's job to carefully measure its own effectiveness. To better illustrate this concept, let's look at some HR metrics that are essential for monitoring and improving HR practices within an organization.

By monitoring these metrics, HR professionals can identify areas for improvement, develop targeted strategies to enhance employee satisfaction and productivity, and ensure that HR practices align with organizational goals.

Time to Fill

Time to fill measures the efficiency of the recruitment process. For instance, a shorter time to fill indicates a more efficient hiring process and reduced downtime. Looking more closely at this metric helps HR identify bottlenecks in the recruitment process and implement strategies to streamline hiring. For example, automating parts of the application review process or improving job descriptions to attract more qualified candidates faster.

Referral Rate

Referral rate measures the percentage of new hires coming from employee referrals. A high referral rate suggests that current employees are satisfied and engaged. After all, they're clearly happen enough to recommend the company to others. Employee referrals often result in better cultural fit and higher retention rates, making it a valuable metric for HR. Organizations with high referral rates tend to have stronger team cohesion and a more positive workplace culture, as new hires are more likely to align with company values and expectations.

Cost per Hire

Put simply: cost per hire calculates the total recruitment costs divided by the number of new hires. This metric helps organizations better understand the financial investment required to bring new employees onboard. Monitoring cost per hire can identify areas where recruitment costs can be optimized, allowing companies to better balance quality hires with their budget. By analyzing this metric, HR can assess the effectiveness of different recruitment channels and allocate resources more efficiently.

Absenteeism Rate

Though absenteeism cannot always be avoided, unusually high absenteeism rates can signal underlying issues such as low employee morale, poor workplace conditions, or health-related problems. By addressing absenteeism, companies can improve productivity and overall workplace atmosphere. Strategies to reduce absenteeism include implementing wellness programs, establishing more flexible work arrangements, and creating a supportive work environment.

Absence Financial Impact

This metric quantifies the cost of employee absences, including lost productivity and additional expenses for temporary coverage. Understanding the financial impact of employee absences allows organizations to develop strategies to reduce absences and improve attendance. This metric highlights the importance of employee well-being and can justify investments in health and wellness programs, flexible working conditions, and other initiatives aimed at reducing absenteeism.

Total Labor Cost

Total labor cost encompasses all employee-related expenses, including wages, benefits, and taxes. Keeping track of this metric ensures that labor costs are in line with budget expectations, which can be extremely helpful when it comes to financial planning and forecasting. Monitoring total labor cost also allows HR to more accurately assess the financial impact of staffing decisions, manage compensation strategies, and ensure sustainable growth.

Turnover Rate

It will surprise nobody to learn that a high turnover can indicate problems with job satisfaction, compensation, or work environment. Meanwhile, educing turnover is crucial for maintaining continuity and reducing hiring costs. By analyzing turnover trends, HR can identify areas for improvement in employee engagement, career development opportunities, and workplace conditions.

Voluntary Turnover Rate

Unlike standard turnover, the voluntary turnover rate specifically tracks employees who leave the company by choice. Though it is different, high voluntary turnover may still point to issues such as poor management, lack of career development opportunities, or inadequate compensation. Understanding the reasons behind voluntary turnover can help HR develop targeted strategies to enhance job satisfaction and employee loyalty.

https://tinyurl.com/ynhy4pja

Different Slant: Modern Melded Network HR Model

 

The first article was on modern, people-centric organisation models and summarised some of my insights from chapters 6 and 7 of 'The Social Organization', as well as providing a few slight updates on platform and blockchain based organisations too.

The new second article applies this same logic to the HR organisation and provides a new HR model, the Melded Network HR Model that is the first substantial update beyond Ulrich's three legged stool.

I'll also be publishing some more thoughts (somewhere between the high level review in the HR Magazine article and the detailed treatment in my book) on Linkedin - do check and follow / connect with me:

https://www.linkedin.com/newsletters/6973604109031505920/

The role of people-centric groups in organisation design

 

People-centric groups, or "people-centric groups," are essential in organization design because they advocate for and integrate employee needs, experiences, and values into the core of how the company is structured and operates. This approach, also known as a people-centric or human-centered design, leads to a more positive, inclusive, and effective workplace by improving productivity, retention, and engagement through supportive policies, environments, and systems. 

Key roles of people-centric groups

• Improving employee experience and engagement: By focusing on the employee's perspective, these groups ensure that systems, policies, and environments are designed to be supportive and user-friendly, leading to greater satisfaction and emotional connection to the company's mission.
• Increasing productivity: When employees feel valued and supported, they are more engaged and motivated. This results in higher productivity and better performance.
• Reducing turnover: A strong people-centric culture fosters employee loyalty and a sense of belonging, which significantly lowers attrition rates and the associated costs of recruitment and training.
• Fostering innovation: By empowering employees and giving them a voice in decision-making, people-centric groups encourage a culture where individuals feel safe to take risks and propose new ideas, which is crucial for adaptability and growth.
• Enhancing resilience during change: During periods of organizational change, people-centric groups ensure that the human impact is considered, helping employees adapt to new structures or processes more effectively through transparent communication and support.
• Streamlining processes: Focusing on the people who use the systems and processes allows for their redesign to be more efficient, making it easier for both employees and customers to interact with the organization.
• Bridging the gap between leadership and employees: People-centric groups act as a crucial link, bringing employees' needs and insights to leadership to shape strategy and ensure that the organization's design aligns with both business goals and the well-being of its workforce. 

https://tinyurl.com/2whyz4sw

Designing the Organisation and Enterprise Architecture

 

https://tinyurl.com/2ts7hwf8

Leadership Styles, Models and Philosophies. Leadership Models and Theory. Part 6.

 

Path-Goal Theory - Robert House

Summary:

Robert House's Path-Goal Theory of leadership proposes that a leader's effectiveness depends on their ability to adapt their leadership style to the needs of their followers and the specific work environment. The theory suggests that leaders should clarify the path to goal achievement, remove obstacles, and provide support to enhance follower motivation, satisfaction, and performance. 

Key aspects of Path-Goal Theory:

Contingency Approach:

The theory emphasizes that there's no single best leadership style. Effective leadership is contingent on the situation, including the characteristics of the followers and the nature of the task. 

Follower Characteristics:

Leader behavior should be tailored to individual follower needs, such as their personality, experience, and perceived ability. 

Task Characteristics:

The nature of the work, including its complexity and structure, should also influence the leader's style. 

Leadership Styles:

House identified four main leadership styles:

• Directive Leadership: Providing clear instructions and expectations. 

• Supportive Leadership: Focusing on the well-being and needs of followers.

• Participative Leadership: Involving followers in decision-making. 

• Achievement-Oriented Leadership: Setting challenging goals and encouraging high performance. 

Motivation:

The theory is rooted in expectancy theory, suggesting that followers are motivated when they believe their efforts will lead to valued outcomes (goals) and that the leader's actions can help them achieve those outcomes. 

In essence, the theory suggests that leaders should:

• Clarify the path to goals: Help followers understand what is expected of them and how to achieve it

• Remove obstacles: Identify and eliminate barriers that hinder follower progress. 

• Provide support: Offer encouragement, resources, and guidance to help followers succeed. 

By adapting their leadership style to the specific situation and follower needs, leaders can enhance motivation, satisfaction, and ultimately, performance. 

What is Robert House's Path-Goal Theory?

The next significant leadership theory to emerge in the Situational/Contingency category was Robert House's Path-Goal theory, in his 1971 paper: A Path-Goal Theory of Leader Effectiveness, which he refined three years later in cooperation with T R Mitchell.

House said that the main role of a leader is to motivate his followers by:

1. Increasing or clarifying the (group's/followers') personal benefits of striving for and reaching the group's goal.
2. Clarifying and clearing a path to achieve the group's goals.

Hence the theory's name: Path-Goal Theory.

House's theory matched four ways of behaving to four sets of circumstances, or 'situations'.

• The circumstances in Path-Goal theory are driven by 'follower characteristics' and 'workplace characteristics'.

Follower Characteristics

1. What they believe about their ability - Do they feel they are capable of fulfilling the task well?
2. Where control resides - Do group members believe they have control over the way they approach the task and the chances of achieving the goal? Or do they see themselves as being controlled by other people and outside events?
3. Attitude to power and those in power - Do members want to be told what to do and how to do it... or not? What do they think of those in the organisation who have more official power than they do, especially the leader?

Workplace Characteristics

1. The kind of task - Is it repetitive? Is it interesting? Is it predictable or structured? Is it unpredictable, creative or unstructured?
2. The leader's formal authority - Is it well-defined?
3. Group cohesion - Do those working in the group feel a sense of unity?

House took these two external dimensions and matched them with four leadership behavioural styles, as the below table summarises.

Behavioural Styles

Leadership Style	Workplace Characteristics	Follower Characteristics
Directive	Unstructured interesting tasks Clear, formal authority Good group cohesion	Inexperienced followers They believe they lack power They want the leader to direct them
Supportive	Simpler, more predictable tasks Unclear or weak formal authority Poor group cohesion	Experienced, confident followers They believe they have power They reject close control
Participative	Unstructured, complex tasks Formal authority could be either clear or unclear Group cohesion could either be good or poor	Experienced, confident followers They believe they have power They reject close control, preferring to exercise power over their work
Achievement- orientated	Unstructured, complex or unpredictable tasks Clear, formal authority Group cohesion could either be good or poor	Experienced, confident followers They think they lack some power They accept the idea of the leader setting their goals and have a lot of respect for the leader

Leadership Styles

Leadership Style	Description
Directive	In House's Directive style, the leader clarifies the path to the goal by giving clear direction and guidance on goals, tasks, and performance standards.  The work will normally be complex and unstructured, and followers will usually lack experience and accept a high degree of outside control.  In essence, the leader is telling the followers exactly the required methods and outcomes.  There is little or no emphasis on personal needs (for example emotional or financial) in striving for and achieving the goal because the work is considered (by the leader and organisation) to be sufficiently satisfying and rewarding in its own right.
Supportive	House's Supportive style puts more emphasis on improving the working atmosphere (notably making it more friendly and helpful) and safeguarding followers' welfare.  This leadership approach is appropriate where followers can perform their tasks skillfully, and believe they have a high degree of control over the outcome.  Followers don't want close supervision, but they do need protection and care in handling stresses and frustrations arising from repetitive, uninteresting tasks.  In this Supportive style, the leader removes or reduces the effects of emotional obstacles on the path to the goal.
Participative	Followers of House's Participative leadership style are similar to followers of the Supportive style: confident and experienced, they believe they largely control the outcome, and they reject close control.  However, unlike typical Supportive workplace characteristics, here work is much less structured, repetitive and predictable.  The leader consults followers (perhaps more likely here to be called 'colleagues') on decisions concerning goals and methods, and genuinely takes account of followers' opinions and ideas.  Here the Participative leader strengthens the path-goal connection in three ways:  First, aligning followers' values and concerns with the aims.  Second, ensuring followers are happy with how they are to achieve the goals.  Third, giving followers a strong sense of autonomy and satisfaction, so improving motivation to achieve the goal.
Achievement- orientated	House's Achievement-orientated leadership style is based on encouraging followers to achieve personally outstanding results.  Followers are competent and confident, and crucially also accept the principle of the leader setting ambitious goals.  Followers trust and respect the leader, and draw personal motivation and increased confidence from the leader's belief that the individual follower can achieve demanding aims and targets.

In the grid diagrams above Robert House effectively describes four different 'situations' (in this case combinations of 'workplace characteristics' and 'follower characteristics') which he matched to four different leadership styles.

Summary and Comparison with Other Models

Essentially, House's work implies that leaders need to adapt their leadership style based on both the characteristics of the workplace environment and also the characteristics of the team. By implication, Path-Goal theory assumes that a leader can vary his or her mindset and behaviour as needed.

• Unlike Fiedler's Contingency model, House's Path-Goal theory asserts that leaders can and should vary their behaviour according to the situation and the problems or opportunities that each situation presents.
• In this way, Path-Goal theory is similar to Tannenbaum and Schmidt's Continuum and to Kurt Lewin's Three Styles model. 

Path-Goal theory is a situational or contingency model that in addition to matching leadership styles in given situations, also advocates switching leadership styles according to changing situations.

https://tinyurl.com/3ptb635y