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Job Shock, Part Five and a Talent RX

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Job Shock, Part Five: Solving the Pandemic & 2030 Employment Meltdown with a Talent RX: RETAIN Partnerships

Edward E. Gordon, the founder and president of Imperial Consulting Corporation in Chicago, has consulted with leaders in business, education, government, and non-profits for over 50 years. As a writer, researcher, speaker, and consultant he has helped shape policy and programs that advance talent development and regional economic growth. This week, he continues his blog series with Job Shock, Part Five and a Talent RX.

Gordon is the author or co-author of 20 books. His book, Future Jobs: Solving the Employment and Skills Crisis, is the culmination of his work as a visionary who applies a multi-disciplinary approach to today’s complex workforce needs and economic development issues. It won a 2015 Independent Publishers Award. An updated paperback edition was published in 2018.

The COVID-10 pandemic has triggered widespread doubts about the future. The U.S. job market is in chaos. At the end of April 2021, the U.S. Bureau of Labor Statistics reported an unprecedented 9.3 million job openings across many business sectors. Might this finally be the right time to start anew and find fresh solutions to the skills-jobs shock now underway?

Today’s unprecedented economic upheaval presents an unprecedented opportunity. There are millions of unemployed on the one hand, and rapidly evolving job-skill needs on the other – providing a way for the former to solve the latter’s problem. Communities across the United States have a diversity of underdeveloped talent. They badly need local pathways that promote equity by offering high-quality educational opportunities that are accessible to everyone. This means providing more students and workers with enhanced talent development programs aligned with personal aptitudes and interests and the needs of local businesses and organizations.

The current U.S. labor market is in desperate need of more people who have developed their cognitive, interpersonal, and leadership skills. People who can problem-solve. These people aren’t going to drop from the skies. You can’t click for brains. How can we successfully prepare more people for the skilled jobs of today and tomorrow?

RETAINs

Across the United States at least 1,000 non-profit groups have organized to reinvent local talent-delivery systems. These public-private partnerships bring together a broad cross-section of community groups, such as parent organizations; chambers-of-commerce; elementary, secondary, and higher educational institutions; workforce boards, regional economic development commissions; local government units; unions; service clubs; foundations and other non-profit social welfare agencies. (See Figure 1.)

To provide a descriptive term for such organizations, we coined the term Regional Talent Innovation Network (RETAIN). They have many local brand names, such as The New North, High School Inc., the Vermillion Advantage, ConxusNEO, and Manufacturing Renaissance.

RETAINs began in the 1990s to respond to the economic erosion of their communities. Instead of seeing their young people move elsewhere for employment, they sought to retain them in their communities. Keeping the population stable also enabled communities to retain local businesses and thus stop the erosion of the tax base. Once these communities built a skilled workforce, they could attract new businesses to locate there.

In the short term, RETAINs build a network in which local businesses collaborate with training organizations, educational institutions, and in-house training departments to provide training for vacant jobs and to upskill current employees. This both enables employees to move into higher-skill/higher-paying jobs and enhances the profitability of local businesses through the more efficient use of new technologies. Access to pooled resources make these training collaboratives particularly beneficial to smaller businesses that cannot afford to provide their own in-house training.

In the long-term RETAINs update educational programs at all levels starting in elementary schools and extending to a wide variety of post-secondary options including certificate and apprenticeships programs. They work to harmonize existing educational programs and devise new ways to fill in skill gaps. RETAINs help reconcile funding streams and secure new revenue to integrate K-12, career education, higher education, and adult training. (See Figure 2.)

We agree with a Wall Street Journal editorial (June 9, 2021) that failing public K-12 schools are the “root cause of America’s skilled-worker shortage.” K-12 schools are locally controlled. The purpose of a RETAIN is to foster communication and cooperation among diverse community sectors. Many students today lack motivation as they find schooling too abstract and unrelated to the “real world.” K-12 students and teachers need active connections to local employers in order to learn about the education and skills required for careers in today’s workplaces. Local businesses need to interact with public and private high school students through sponsoring career education programs, internships, and other activities that allow students to explore career areas that align with their aptitudes and interests.

RETAINs see themselves as joint partners in community building and in the renewal of the U.S. free enterprise system. They are rebuilding the pipeline that connect their community members to the job market. The keywords here are “bottom-up collaboration” – defined as a joint authority, joint responsibility, and joint accountability among all the partners.

RETAINs Can Make a Difference

The good news is what we can expect if RETAINs are instituted across America to rebuild the U.S. workforce. (See Figure 3.) In 2030 the U.S. economy will support about 170 million jobs; 128 million of them will be high-skill or mid-skill jobs. RETAINs can increase the expected 56 million high/mid-skill workers by retraining 30 million additional workers and preparing 10 million more students for skilled employment.

Combining these job-ready workers with additional automation will reduce the number of vacant jobs across the economy. There still will be a substantial, but not an overwhelming number of surplus workers. However as more communities use the RETAIN model to sustain job-ready workforces, the number will fall. The American middle class will grow again as high-wage employment rises.

Moving Forward

The COVID-19 pandemic has heightened Job Shock in the United States and around the globe. It has disrupted schooling leaving the economically disadvantaged even further behind. Millions of workers have either changed jobs or faced unemployment. Education and training solutions are more vital than ever before. RETAINs can be an important force in preparing students and workers for positions in America’s fast-paced, technologically driven, knowledge economy. Regional development can better support broad economic expansion and ensure that the United States remains a highly competitive global economy.

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Some Personal Post-Pandemic Thoughts

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Some Personal Post Pandemic Thoughts

 

Tonight, Managing Member Ron Slee shares with us some of his personal thoughts about the post-pandemic world.

For some time now I have been wondering about what happens to the workforce once we come out of the pandemic fears and returned to normal. Of course, I don’t truly believe we will return to the old normal. I think there is a new normal. I am a baby boomer born in the 1940’s so I have seen a few economic disruptions. I am also one who has been shouting out about the fact that we spend trillions of dollars on Technology but near nothing on Sociology. In the same vein, I have long been concerned about how we as a society in the United States seem obsessed with work and succeeding (even though we cannot properly state what success means).

There was a wonderful Cadillac ELR Coupe commercial in 2014 with the actor Neal McDonough. Watch it on YouTube. The reason I want you to watch this ad is that it reflects how we “used to think” about work and our lives. We worked. Long hours and sometimes six days, we traveled a lot, we didn’t see our families enough. We were a driven society with success being measured in Status and Money. I have never really been driven that way. When I was working as an employee I was always asking “why do we do things that way or this way?” Then when we started on our business, I was just trying to make enough money to live. Starting your own business when you are 33 years old is not the easiest of tasks. I never really was working for success, rather it was survival. I don’t think I was alone.

Today, we have a much smarter and less tolerant workforce. They won’t put up with as much as my generation did by a long stretch. And I think they are right. I moved my family from Montreal to Vancouver, from Vancouver to Edmonton, from Edmonton to Denver, from Denver to Palm Springs and more recently we moved to Honolulu to get ready to retire, I think. During my years in the consulting world, I averaged over 150,000 air miles a year. If you think that is fun, think again. 8,000,000 miles later the pandemic hit and I returned to living with my family 24/7. It was wonderful. The up-and-coming generations will not put up with that kind of life. They shouldn’t. There is a lot more to life than the treadmill many of us put ourselves on to make a living.

From some recent reports, I have read between 25% and 50% of the workforce does not want to go back to the office. They want to continue to work remotely. Further, they have seen that working remotely costs them a lot less money, some $5,000/year in lower expenses. Some companies are adjusting the compensation so that employees work remotely, they pay less. On top of that, many in “my generation” want to see the employee in the office so that they know they are working. Yes, that is true. Some teachers are sitting in classrooms teaching virtually but they have to do this at the school for whatever reason. It doesn’t make sense to me. There is a major shift going on. Strip malls have lost a lot of tenants. Empty stores are everywhere in America. I am not sure they will ever come back to the “old normal.”

I have long said “life is simple, it is people that mess it up.” I don’t believe that any employee will leave their current employer if they feel that they are valued and a valuable team member contributing to the success of the company and driven to serve people: customers, vendors and coworkers. I honestly do believe that the leadership of anything is the major cause in the employee satisfaction world. Bullies are still out there but their time is quickly coming to an end. Charismatic, caring people that are committed to the success of their employees will, hopefully, become the “new normal.” It is time to step away from micromanaging our teams.

The issue of compensation will come up. I don’t believe that people will leave a job because of their pay, IF, the pay is commensurate with the skills and the market. Don’t try to take advantage of your employees by not paying them properly. One small example. I left a job and gave my employer 60 days’ notice. I was not leaving for money; in fact, I was going to make exactly the same amount of money. However, during those sixty days I was offered to have my salary doubled, to be given a company vehicle and to have a membership in a golf club. As my wife said, “they are trying to buy you.” I didn’t stay. Many employees are in the same situation. They DO NOT get the proper level of pay. That needs to change. It needs to be fixed. There are many sources to get comparable job descriptions and salary and compensation studies. The US Department of Labor has all of those facts. You can typically find them in your local library.

This is a time of significant change, and the rate of change is accelerating. Don’t pay attention to your leadership alone, it is ALL of the employees who make your company successful. It really is quite simple. Treat everyone with respect and it will come back to you. I only ask that you think about it a bit more than you do at the moment.

The time is now.

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The Digital Dealership

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The Digital Dealership

Tonight, guest blogger Mets Kramer continues to educate us on all the digital aspects of our business with The Digital Dealership.

Over the past months I’ve covered various digital aspects of sales and marketing.  We talked about shifting our mindset from Digital Billboarding to Engagement Marketing.  We looked at how your website is more than just a confirmation of your existence, but a key part of your growing digital presence.   Research shows your customers are now completing up to 85% of their new purchase research before calling your dealership.

Let’s face it, we live in a digital world!  Almost everything we do is digitally enabled, even our most hands-on team members, technicians, open laptops and connect to machines prior to most repairs, and they certainly open them to execute their work at some point.  Our sales teams do digital quotes, get digital contracts signed and transact a sale in a digital system.

In our last conversation, on Ron’s podcast, Ron and I started to look at the general idea of a Digital Dealership.  A dealership not bound by the analog world, but one that recognizes our perpetual digital interactions. It shifts its thinking by starting from a digital perspective.  Imagine a green field dealership – a virtual one.

So, what would a digital dealer look like?  Here are some thoughts

A digital dealership starts by recognizing information is the driving force behind the digital change in how we live and work. The internet is often called the information superhighway and we are all connected.  Access to information is what drives each of us to “Google” something each day, just out of curiosity.  Information is what brings value to an interaction, it connects us with the knowledge we need to execute our work and businesses.

The digital dealership looks at how information flows through the business, from marketing and sales to service and support programs.  It looks at how the information of a customer’s engagement or transactions flow into the business, and then, it does one very important thing.  It looks at where that flow gets broken or disconnected.  Discontinuity, in our digital information flow, kills transactions, so the digital dealership makes sure it doesn’t happen.

In a practical sense, this means the digital dealership looks at how marketing efforts lead to sales, then to initiating and even closing a sale.  Customers have the option to change medium, but the flow doesn’t stop them if they know what they want, it uses information to enable.   On the parts and service side information powers a digital transaction in the same way.  The digital dealership no longer asks its customers for the machine serial number when they call for parts.  The Digital dealer recognizes incoming calls, remembers the customer’s equipment, offers them a digital purchasing options or creates automatic parts carts for common jobs.

In service, the digital dealer has analyzed what is the likely problem via telematics and service history to determine a possible cause, and solution, prior to driving to see the machine.  This is a scenario we have all talked about, but how many of you are working out how to make it happen?

Customer Portals provide customers with 24/7 access to fleet information.  Equipment is linked to product data so customers can determine if it fits their next project.  It provides historical information on service, links to past financial transactions, provides service recommendations for the future and a replacement unit when the hours get too high.   It offers online chat or a button to get a call back immediately so they know someone will be on the line to help them.

In the end, the digital dealer connects all the information about a customer, and their business, together in a seamless process which captures the customer needs and makes it easy.  The dealership’s customers appreciate it, because they get the same treatment in so many other interactions in their personal lives.

The digital dealer uses bricks and mortar, where needed, to deliver a real product to their customers in a digital way, removing many of the traditional limits of territory, and possibly capital requirement limitations too.

Taking your dealership into the digital future may seem like a lot of work, it may seem too futuristic and technical, but each of the items I’ve listed is already available and being done in our industry to some degree.  The difference is the digital dealership combines them into a single experience.

Finally, it is also important to remember that the digital information doesn’t replace the knowledge and experience your team has.   The digital connections merely enable your existing relationships and empower them, making the knowledge gained by your team available to support your customer.   At the same time, the digital connection also enables you to reach more people and expand your presence.

Our industry is on the verge of these transformations.  Closely related markets are already seeing this change.  Will you be one of the first digital dealers in our industry?

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Your Interpretation of Time

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Your Interpretation of Time

In tonight’s post, guest blogger Bruce Baker walks you through your own interpretation of time, and what that interpretation can do to you.

Your Interpretation of Your Reality Is Taking You Down!

Human behaviour has always been based on our primary instinct of avoiding loss at any expense.  If we can acquire equal gain, we tend to be satisfied and move on with our merry lives.  When people feel that they are about to lose something or have lost something, our primary drive kicks in, and we try to compensate for this loss.

There is, however, a difference between loss aversion and risk aversion. As a business owner, this is where I encourage you to pay very close attention. Risk aversion is your perception of the utility value of a monetary payoff that depends on what you have previously experienced or what you expected to happen. For example, the last time you decided to pay for Bookkeeping services (your previous experience), you paid a lot of money, but the Bookkeeper made a bigger mess. (Your perception of the utility value of this service and the level of monetary payoff). Moving forward, you would rather do it yourself.

As our instant gratification mindset gains more traction, so does our interpretation of time change – suddenly, time is interpreted as being a lot shorter!   With shorter perceived periods to prevent loss and reduce risk, our reaction to fear also increases not only in the sheer number of times we react to fear but the intensity of how we react. This intensity destroys what comes naturally to us and our ability to be creative and build tremendous value for ourselves and the others we serve.

This has profound implications for a business owner scaling up, starting up or fixing up a business.  I continuously find myself working with CEOs that are constantly on edge, struggling to grow their business or, in many cases today, trying to prevent their companies from going down the proverbial tubes. What is even more profound is what got them to this state: short-term and reactive thinking based on their interpretation of risk and potential failure.  Being in this perpetual state of loss or risk is not something new but being in this state continuously and over short bursts is what we need to be concerned with.  Business leaders are always convincing themselves that “if I get this fixed now, all will be good” or “I’ll get back to the customer before the end of the day” or “I’ll pay some of this now and hopefully pay the rest at the end of the month.” The list goes on and on.

One of the primary reasons we end up “multi-tasking” or “switch-tasking” is the need for an instant fix based on an inaccurate interpretation of time.  All this has achieved are businesses that are built with short-term solutions or quick fixes.

To take this a step further, business owners are not just confronted with one or two competing priorities but many at the same time.  Franklin Covey’s Important vs. Urgent model is outstanding and always a tool I reference with my clients. Although a great tool, I continuously find that it is only useful if we understand our interpretation of time and how we behave as a result, as described above.

If we live in a world requiring instant gratification and quick fixes and respond to this as a business by operating this way, we are only preparing for one thing, failure.  We run our businesses based on this behaviour based on our interpretation of time and the risk of loss as a result. If our expectations are short-term and superficial based on who we serve, then the nature of our decisions and our state of mind will respond accordingly.

Returning to Franklin Covey’s Important vs. Urgent model, trying to distinguish the importance and the urgency of the task just doesn’t cut it. When we are in the classroom or with our business coach or consultant, it seems logical and rational to think this way (i.e., tasks classified into their level of importance and urgency). As soon as we return to “the field,” we return to solving problems and making decisions based on instant gratification and quick fixes. Our natural need to want to be accepted and not rejected forces us into the same old vicious routine – reacting to every single demand that needs to be resolved.  The business owner, in turn, responds to this as a risk that needs to be managed and if not “now” or “very soon,” the overwhelming reaction of loss aversion kicks in again.

Society has only been successful in times when we have been able to cooperate and align our expectations.  We are a society today and subsequently a business community that has evolved into the “me” culture that works on their individual needs and expectations, which are now governed by the need for instant gratification and instant resolution. As such, we respond to each other this way which requires any small business that either wants to scale, start-up or fix-up to respond the same way, failing, not only the business failing but the business owner failing, which in most cases causes a breakdown in their lives in general.

It’s time that business owners realize that this elusion of time and their response to their interpretation of risk and fear of loss is not a sustainable reality. If we think that this short-term reactive and superficial culture is the “modern way,” I hate to see the state of business and the value of service to each other over the next decade or so.

I can tell you without a doubt that business owners that I have and continue to work with that have finally realized the extent of this problem for themselves and are now thriving. You may ask what I define thriving as? Their levels of stress have drastically decreased, their creativity has drastically increased, and the value they deliver to their market has improved significantly.

Take a leap of faith, and I can guarantee you that you and your business will thrive as well!

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The Skilled Employee Challenge

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The Skilled Employee Challenge

This week, Ron Slee takes readers through the skilled employee challenge, after a particularly illumination conversation with a fellow industry professional.

Recently I had an online chat with a talented executive in this industry in which I have spent most of my career. After reading through the Job Shock series from Ed Gordon he posed an interesting and critically important question. How do we keep skilled employees? It has been reported from knowledgeable people that between 40% to 50% of the current workforce will be changing their employers over the coming decade for one reason or another. He wondered how he could avoid that kind of talent and experience loss in his group of businesses.

That is a tough question, isn’t it? Most of the exit interviews I have conducted over the years and research papers I have read indicate that the separations were caused primarily by the direct boss. Something was off with the relationship. Any separation should be respected and we should learn from it. What could we have done differently for you to stay?

My feeling personally as an employee in two dealerships was that I wanted to be given the opportunity to grow within the business. I wanted the company to provide me the chance to grow my skills and knowledge. Most of you know by now that I never had a performance review. I asked for one every year from every boss I ever had. I never got one. I strongly urge everyone reading this to reconsider the annual performance review. Sonya Law from Australia wrote about it last month and I have pounded on the desk with everyone one of my clients regularly to get them done. Please remember to conduct the performance review at a completely different time than the wage and salary discussions.

Asking the employee what they would like to see happen with their jobs, how they could be made better, what processes need to change, and that kind of discussion, needs to take place, in my mind, very frequently. We used to have weekly toolbox meetings on the shop floor. We have huddles in the warehouse. One of my clients had a morning session before work, before they opened the doors, that involved some exercises and stretching and then a group discussion of anything that anyone wanted to talk about at the time. Every morning.

Now we have a problem with this whole thing. It might be why the performance review doesn’t happen. Most of the people who have a team of workers reporting to them do not know how to conduct a performance review. They don’t want to allow the employees to ask for something that they are not aware is coming. They don’t want to have to allow for changes. They are to some degree comfortable with the status quo. Think about that for a moment. The employee is causing the boss to want to improve something and the boss doesn’t know how to deal with that. Imagine. I had an interesting exchange with a man who I had worked with for more than twenty years. I worked with him in Montreal, Quebec. I worked at attracting him to come work with me in Edmonton, Alberta and then to come to Denver, Colorado both moves which he made to my great appreciation. He was a very talented man. We were in a personal setting with our wives and I suggested to him that I wasn’t hard to work with anywhere that we had worked together. He started uproarious laughter. He completely disagreed with me. He said I was a very difficult person to work with and that completely surprised me. If that was true, I asked him why he stayed with me then. He responded simply because I was constantly searching for better ways to do things and that he loved that about me and the work we did together. I had to do some serious thinking about that one.

I still hold to some basic truths in life. Everyone wants to do a good job, BUT rarely does an employee get told what doing a good job looks like. Even more rarely does an employee get the opportunity to be able to evaluate their own performance on a daily basis because there are no objective metrics or measurements that are shared with each employee about their particular job. That is a truth that has always bothered me. I must have been a challenge. I was fired about six times by one of my bosses. He had a very short fuse. One time I even made it home. The phone was ringing when I got in the house and it was him wondering why I was at home. I told him he had fired me. He said emphatically “get back here right now.” I should tell you that if he were still alive and the phone rang and he said he needed me I would just ask where he was and I would be on my way there. I loved that man. He allowed me to be who I believe I was meant to be.

I don’t know that with the current leadership in business we have sufficient people skills to lead our teams of employees. Too many “bosses” – TELL people what to do. Too often the boss does not know how to do the job. They have never done it. They don’t ask for the employee to participate in making their work lives better.

I used to ask three questions about every six months of everyone I ever worked with:

  1. What do I do that you like that I do and you want me to continue to do?
  2. What do I do that you don’t like that I do and want me to stop doing it?
  3. What do I do that doesn’t really matter to you?

I would also ask each employee regularly, at least once each year what I called the Five Things. Put down on a piece of paper five answers to each of the following questions:

  1. What would you like to do to make your job more effective?
  2. What is it that you do that is a real pain to do?
  3. What would you like to change about your job to make your life easier?

There are two other pillars to my beliefs in people and their work:

  1. Everyone can do more than what they think they can.
  2. Everyone is fundamentally lazy

So that is the start of the answer to the question posed to me above. That is my immediate reaction without a lot of thought behind it. I want to think about it more and provide something more insightful in the coming weeks. But this is a start and I believe it is an important start. It starts with the “leaders.”

The time is now.

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How to map out a strategy to build a culture of respect

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How to map out a strategy to build a culture of respect

In this week’s guest post, Sonya Law explains how to map out a strategy to build a culture of respect in your organization. Respect helps us to treat our most valuable resource – our people – in a way that shows they matter within our organisation.

We will explore how respect is fundamental to building a robust and resilient culture from which to thrive and contribute positively to the wellbeing of employees and deliver a positive customer experience…

As a new employee, we learn respect when we first enter an organisation and this experience is shaped by three things:

  1. Top Management
  2. Observed culture
  3. Teammates.

Top Management

Induction and onboarding are designed to give new employees a road map to follow, on how to get things done in the organisation, who to go to, what tools to use, processes to follow, all forms of our early experiences of culture.

As human beings, we are social animals and we want to fit in and will observe behaviours, language, and actions of all employees.

However, we take most of our cues from top management because we think that if they have made it to the top, they must exhibit the behaviours that we must mimic to be successful too.

Observed culture

It is common to find that when you start with a company what you observe is very different from what you read on their website or were told in the interview.  The number one question employees ask themselves in the induction process is:  Have I made the right decision to join this company? New employees then go on a fact-finding mission to seek evidence that supports their decision to join the company or not?

If what they experience is too much of a shift and they don’t feel respected and supported in their efforts, it will be short-lived and they may leave. High turnover in the probation period is often a mismatch with what was promised at the interview and experienced.  Many people leave a poor culture for a promise of a better one and when it does not live up to what they expected it can have dire consequences.

Teammates

Teammates will project their own experience of the culture having either a positive or negative impact on the newcomer.  An example of a negative onboarding experience would be: when you observe a teammate speaking to a customer disrespectfully and later that day your manager points out that they are a high performer and you should model yourself on them because they are the top salesperson.  This is quite common in organisation where managers will overlook employee’s disrespectful behaviour because they are the top sales performer.

Leaving new employees to their own devices to assimilate and adapt to the new culture is fraught with risk when these three factors are negatively at play, top management, observed culture and teammates.

Tips for assimilating to the culture for the new employee, keep it simple:

  • Adapt – take your time to adjust to the new culture, be accommodating, take lots of notes and develop good habits early on. Don’t get drawn into the politics.
  • Time – take the time to get to know people and build good working relationships. Don’t make snap judgments of people.
  • Speak up – seek support and ask questions when you don’t understand something by raising concerns early you will gain some valuable insights into how open they are to feedback and dynamic they are in coming up with solutions. Remember it is a trial for both employee and employer.

The following are some tips for human resources leaders to orientate the organisation towards a more respectful culture:

Culture is pervasive, it must be driven from the top and have the 100% commitment of human resources and top management to reset the culture towards a more respectful one that is robust and resilient.

  • Role modelling at top management what respect looks like.
  • Accountability framework for those who don’t show respect.
  • Empowering employees to have a voice when respect is not shown.
  • Developing an understanding of what respect is and what it looks like through education and training at all levels of the organisation.

The items that can sabotage a culture of respect are:

  • Employees not feeling safe – to give upward feedback to top management.
  • No clear framework or process for giving feedback – handling grievances and reporting incidents.
  • Self-serving behaviors – ambitious employees who want to look good and progress in their careers and lack awareness about their negative behaviors and impact on others.
  • Disengaged employees – wanting to fly under the radar and appear busy even if they aren’t, to avoid bringing attention to themselves and being in the firing line.
  • Good employees who are mistreated – because they point out disrespectful behaviour.

The wellbeing of employees:

We have heard it many times, organisations that thrive are courageous, they respectfully discuss differences and have a framework to value the opinions of others, respond to feedback, grievances, and incidents in the workplace. These organisations have a culture that is respectful, robust, and resilient. When people feel respected and safe to raise concerns organisations can thrive and it contributes positively to the wellbeing of all employees.

How to map out a strategy to build a culture of respect in your organisation:

  1. Phase one: Gather employee feedback from various business contexts that mirror your organisation and culture – in the way people communicate, specifically relating to respect:
  • Culture surveys
  • Conduct in meetings, interviews, customer interactions
  • Qualitative assessment of induction and onboarding process
  • End of Year Performance review meetings
  • Experiences of giving and receiving difficult feedback and dealing with conflict, is it respectful?
  • Grievance process and employees’ experiences
  • Exit interview data
  • Customer insights survey
  • Seek, social media reviews
  • Behaviors observed on offsite conferences, Christmas parties, and trade shows, etc.
  1. Phase two: Analysis of the feedback to determine the themes that emerge on what respect is in the organisation, current and where you want it to be a future state at senior management level.
  2. Phase three:
  • Define what respectful behaviour is in your organisation, what it is, and what it isn’t in various business contexts, relating to your business environment.
  • Incorporate it into your code of conduct and communicate this to new employees and the wider employee groups.
  • Clear messaging in the communications plan that building a respectful culture is everyone’s responsibility and we all play a part.
  • The accountability framework sits with top management for ensuring that it is robust and resilient and not a tick the box exercise.
  • Leaders to draw a line of sight to customer satisfaction – that as individuals we are not bigger than the organisation, that the support and respect we show each other, will flow through to delivering a positive customer experience.
  • Consider strategies incorporating it into systems and practices like performance reviews that form part of merit and evaluation processes for reward and recognition programs.
  • A scorecard approach for evaluating various business contexts where people meet, for example, business meetings – did we communicate respectfully and engage in a discussion about it listening to each other’s point of view. This methodology could be applied to other business contexts.

Look after your people, treat them with respect and they will treat your customers with respect…

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Principia for After-sales – part three

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Principia for After-sales – part three

Today, Ryszard Chciuk continues his blogs on Principia for after-sales with part three of the series.

In several posts starting from Principia for Business, I am sharing my way of defining and implementing the main principles (values). In Principia for After-sales part 2, I presented my point of view on the potential conflict between private and company values, on the importance of constant reminding and following of the main principles, and how I was writing their definitions.

Now, let’s go back to my after-sales team’s main principles. They were listed in Principia for After-sales part 1. It was my adaptation of our corporation’s main values: Quality, Safety, and Environmental Care.

The No 1 is “Integrity.”

The notion of integrity is mentioned on about 500 million of webpages (only in English). So, what did it mean for us? I decided to use the Stephen L. Carter definition: Integrity, as I will use the term, requires three steps: (1) discerning what is right and what is wrong; (2) acting on what you have discerned, even at personal cost; and (3) saying openly that you are acting on your understanding of right from wrong. It was not easy to explain that definition in simple words. Lately, I found the more useful explanation. Charles Marshall in Shattering the Glass Slipper wrote: Integrity is doing the right thing when you don’t have to — when no one else is looking or will ever know — when there will be no congratulations or recognition for having done so. Where is the man who will do the right thing, no matter what the cost? Is there anyone who will act with integrity even if it means losing a job or an important business deal? Where is the woman who would be willing to act in openness and honesty if she knew it meant losing a significant relationship or a large sum of money? Are there still people in this world who would sacrifice their pride, relationships, or profit in order to maintain their integrity? Are you such a person?

These are hard questions, but you have to answer them if you treat seriously your values. And do not forget to discuss with your people how it is working. The best way is to analyze examples taken from your company life.

The No 2 principle is “Care of people and environment.”

It translates into “Always take care of your co-worker, customer, supplier, investor and of all kind of life”. Obviously, it concerns safety, too high fuel consumption, respect for the environmental regulations, stable and decent working conditions, etc.

The No 3 principle is “Profitability.”

It refers to all players of the business game you are in. You need to earn enough money to stay in business. When you fall, your customers will not be supported at the same level, at least by the time another provider takes over your business. Also, you will not be able to support customers if you kill your suppliers, and this happens just after you force them to supply products at the same quality, but for a much lower price. Then you will also be a loser. If you want to increase your department profitability by the reduction of your employees’ remuneration, they will decrease their loyalty and your company will die soon.

The No 4 is “Excellence.”

This means: “We are satisfied with nothing less than the very best in everything we do”. Today I would remove this principle from the list. Why? If you want to be recognized as the man of integrity you do not do things in a sloppy way, isn’t it?

Next time I will present some examples of how we utilized our values.

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Job Shock, Part Four

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Job Shock Part Four: A New Time Bomb: An Explosion of Skilled Worker Shortages

 

Edward E. Gordon, the founder and president of Imperial Consulting Corporation in Chicago, has consulted with leaders in business, education, government, and non-profits for over 50 years. As a writer, researcher, speaker, and consultant he has helped shape policy and programs that advance talent development and regional economic growth. This week, he continues his blog series with Job Shock, Part Four.

Gordon is the author or co-author of 20 books. His book, Future Jobs: Solving the Employment and Skills Crisis, is the culmination of his work as a visionary who applies a multi-disciplinary approach to today’s complex workforce needs and economic development issues. It won a 2015 Independent Publishers Award. An updated paperback edition was published in 2018.

It is already apparent that as COVID-19 restrictions ease, a pent-up demand for many types of goods and services will be unleashed. As businesses reopen or expand to meet this boom, the demand for skilled workers will soar. It is not likely to fall for the rest of this decade. As cited in prior “Job Shock” segments, a major demographic shift, serious education deficits, and rising job-skill demands have combined with COVID-19 to undermine the quality and composition of the U.S. labor force. An April 2021 National Federation of Independent Businesses survey found that 44 percent of small businesses had job openings they could not fill, a record 22 percent higher than the 48-year average for this survey. Ninety-two percent of businesses seeking workers reported few or no qualified applicants. The U.S. Bureau of Labor Statistics reported that there were a record 8.1 million job openings at the end of March 2021. We estimate the true number to be over 11 million.

Employers Face Mounting Skills Challenges

COVID-19 has greatly increased the need for skills training. The shift to remote work has placed new skill demands on many employees. Because of the pandemic’s devastating effect on certain industries, about 20 percent of U.S. workers have left their former jobs for new types of work. A March Prudential Pulse of American Worker Survey found that about one-quarter of the workers surveyed plan to look for a different job with another employer once the current crisis eases. All these factors indicate that employee training must be greatly increased.

A significant shift in the priorities of American businesses is urgently needed. In recent years business expenditures on training and education have declined. For every dollar America’s chief foreign competitors invest in employee talent development, U.S. business invests only 20 cents. Training is mostly concentrated on managers and professionals. Only about 20 to 30 percent of U.S. employers have offered entry-level job training or provided employees with training updates. Much of what is now done is mandated by safety regulations. It is not about building new skills.

A recent McKinsey Global Survey found that 69 percent of businesses were doing more skill building than they did prior to the pandemic. However, only 28 percent of these organizations had a training department or similar facility focused on learning. The organizations that employed a variety of education/training methods reported a higher rate of success in reskilling and upskilling their employees.

Even though COVID-19 has greatly increased the need for entry-level training and reskilling, many businesses are again expanding stock buy-backs and increasing dividends rather than investing in worker skills. American companies and organizations instead need to launch new HR initiatives to fill skilled job vacancies and upskill their existing employees through a variety of means including corporate universities and training partnerships.

Human and Financial Costs

Job Shock will have a major economic impact in the United States and globally. In 2030 estimated U.S unfilled jobs range from 25 to 30 million. Globally over 95 million jobs could be vacant. The financial costs for individuals., businesses and nations will be staggering. By 2030 U.S. GDP loss could be over $2.5 trillion. Global losses might reach $18 trillion.

Job Shock: Where Do We Go from Here?

The picture that emerges from before, during, and after the COVID-19 crisis is an American workforce with an abundance of people, but a shortfall of talent for the jobs of the Fourth Industrial Revolution. An analysis of the composition of the U.S. labor market at the beginning 2020 and projecting what it might be like in 2030 if the education-to-employment system remains unchanged shows:

Seventy percent of jobs (114 million) were high to mid-skill. Only 55 million workers were qualified. The result was a 60 million job deficit. American employers tried to fill these vacancies with retired baby-boomers, workers brought from other countries, foreign students attending U.S. universities, and/or the increased use of automation. Companies unable to find skilled talent moved their jobs abroad. Thirty percent of all jobs (50 million) were lower skilled. There were 110 million workers at that level, i.e., with limited math and reading competencies. The result was a 60 million worker surplus. Many gave up looking for a job (and thus were not counted as unemployed) because they were not offered entry-level job training.The 10.5 million estimated vacant jobs cost the United States $253 billion in lost productivity and profit.

At least 75 percent of jobs (128 million) will be high to mid-skill. Only 33 percent of American workers (about 56 million) will be qualified for these jobs, resulting in a 72 million job deficit. The U.S. skilled labor shortage will deepen because 70 million baby-boomers will have aged out of the workforce, a global 50 to 95 million skilled worker shortage will limit immigration to the United States, and increased automation will demand ever higher skill levels from workers. The pace of companies leaving the United States due to skilled-talent shortages will rise.

In contrast, 25 percent of U.S. jobs (32 million) will remain low skill. If education and skill upgrades are not adopted over this decade, possibly 114 million low skill people will be in the U.S. labor force. A huge “techno-peasant” underclass will compete for a diminishing number of low skill jobs. High unemployment coupled with mounting skill shortfalls could pose a real threat to American social stability.

An estimated 30 million vacant jobs are possible. The economic loss to the U.S. economy will be between $ 1 trillion to over $2.5 trillion.

The Job Shock Crossroad

We do have the power over this decade to increase the education and skills of American workers. We can produce a workforce that meets the talent requirements of 2030. It does require coordinated actions from key sections of our society. Picture the American talent creation system as a boat with two figures pulling the oars and a third at the rudder. Parents are the rudder steering a better course for their child’s future. One oar is pulled by educators (K-12, post-secondary). The other oar is in the hands of employers providing job training and skill updates to their workers. If one or more of these parties fails at their roles, the boat goes off-course, stops, or sinks from ever larger job shock waves.

This coordinated effort needs to start at the regional level. Enlightened community leaders need to pull together to keep the boat on course. The COVID-19 pandemic has produced a storm of hurricane proportions making the need for immediate action more vital than ever.

Yet many people across America remain opposed to systemic social changes. They are deeply divided into multiple warring “tribes.” They remain at war with each other rather than working to reach agreement on vital common goals. Their acceptance of the cold, hard facts of “Job Shock” remains a hard sell.

The longer the United States delays making systemic changes to the education-to-employment system, the deeper the economic and social turmoil between now and 2030. As Lawrence Summers, the former U.S. Treasury Secretary said about employment, “Walk outside: labor shortage is the pervasive phenomenon.”

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Parts Campaigns and Promotions

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Parts Campaigns and Promotions

This week, owner and managing director Ron Slee talks to readers about the importance of campaigns and promotions in your parts department.

Have you ever considered the counter or telephone sales job functions at an equipment dealership? High stress, work comes in tsunamis, or there is a lull in the action and it gets tedious. I have bad memories of how much the parts counter and telephone sales job functions can become an endurance test to get to the end of the day. The phone is ringing constantly, customers and others are walking in for service, and they seem to comes in hard and fast nearly all day long. It is almost impossible at times during the day to keep up.

One of the many challenges that I faced was how to make the job exciting. How to put some sizzle into it.

I wrote last week about the fact that we didn’t have enough people to regularly contact all of our customers, and yes that is very true. BUT I want to add to the problem. I want to create some excitement in the department. To make it a “cool” place to work.

In one of our subject-specific classes “What’s Your Why” I ask the question of “What Do You Do? If you are at a party or a church social or a pub and someone asks you what you do, what is your answer? Think about that. Then in the class, I ask them to tell me how they do it. Some can tell me, however, many will struggle with the explanation. But I really stop the room when I ask them “Why Do You Do It?” And I tell them they can’t say it is to make money.

Oh, I sell parts to owners of construction equipment. I sit at a desk and make telephone calls to sell parts and I answer calls from customers wanting to purchase parts. Sounds really exciting, doesn’t it?

So, I asked everyone involved how can I help you with this job? How can I help make this exciting for you? Nobody came up with anything very good. We all agreed on that. So, we talked about it and argued about it and we finally agreed to do something beneficial for the customer and rewarding for the employees. And campaigns and promotions were born. We had fun, which was what I was trying to do and yes, we sold a lot of parts. The group of us, there were eight people on the counter and I started exploring different ideas and we had as much fun designing these things as well as executing them. Then we put together a plan. We called it a Promotion Planning Tree. I have put these campaigns and promotions into many dealers since. I would estimate over one hundred different dealerships around the world.

At Learning Without Scars, we have a Campaigns and Promotions class that goes through all of the ins and outs of putting these programs together. It is a three-hour program with reading materials, pretests, a video of power points with audio tracks and embedded film clips with some ten or quizzes inserted into the class before a final assessment and a customer experience survey leads the students who achieve an 80% score obtaining a certificate of accomplishment.

A little later we started naming these programs – “January Jumps” “February Frenzy” “March Madness” “April Angst” – I am sure you get the idea. Then we started having a Parts Managers Special of the week, month, or quarter depending on what the objective was for that particular program. We had GOALS for all of them. Of course, we paid commissions for these programs but we also built in individual and store competitions. The highest number of Sales, by person and store; the most improved sales performance, by a person and by a store. And we added a “booby prize.” The last place also won an award. This we did only by store. We had a trophy made. Use your imagination for what that trophy should be and go get one made. It doesn’t cost much. Have an award ceremony, and with what we have learned with Teams Meetings and Zoom you can get everyone on the line at the same time. Make a BIG deal out of this. NOTE: We do the same thing for the service department and the product support sales team. Have some fun. Enjoy yourself. It is not unprofessional to have fun, especially when you can get everyone excited about their jobs and create some friendly competition. It is also great to see your high performers get the public recognition that they deserve. We would put our results in the company newsletter. Get pictures taken and frame them (especially for the low-performance store – I never saw a store repeat as a low-performance store – people truly are competitive).

Who said that we couldn’t have fun doing our work, our jobs? Not me. Try it. I am sure you will like it, and yes you will sell more parts.

The time is now.

 

Return to Work after a Workplace Injury – The Power of Words

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Return to Work after a Workplace Injury – The Power of Words

In this week’s guest post, Return to Work after a Workplace Injury, Sonya Law highlights the power of words for our readers.

Exploring how the power of words can impact the recovery trajectory for an injured worker.

An employee who injures themselves at work feels immediately vulnerable and for the workplace it is a very serious incident, the priority should be the employee receiving immediate medical care. And for the workplace to contain the area where the incident has occurred where practicable to prevent any further injuries to other workers and subsequent investigation to take place.

If the injury is to the hands in particular, if we talk about manual workers as a group, their hands are used to perform all sorts of functions, when they are injured, it has a huge impact.  Their whole career flashes before them, with questions, like, am I going to be able to do my job, am I going to be able to work again. The hands are an extension of our brain and injuries to the hands can have multiple impacts physical, psychological, cognitive, and emotional overwhelm and trauma from the incident.

So, when we think about employees who have injured themselves at work, it is important to use language that shows genuine care and compassion towards them as people.

Five important tips, think of the injured employee:

  1. Are injured until proven otherwise
  2. Needs a medical diagnosis
  3. Doesn’t want to be injured
  4. Needs assistance and support
  5. And time to be made comfortable physically and emotionally, before you commence questioning them or complete a safety investigation.

When people are returning to work, the words we choose to use can change the way they feel, they need to feel cared for as a human being first.  Safe in the knowledge that they are supported and are a valued member of the team.  The emphasis needs to be on empowering them to take control of their injury, by providing them with medical attention which will give them knowledge about their injury and prognosis. Which will help them to heal and recover and be back to work with their friends and colleagues as soon as they are medically able, we are talking post-injury management.

The words we use can change the recovery trajectory from being a smooth and positive experience to being negative and difficult.  As a return-to-work coordinator or manager in charge of an employee’s return to work, it is important that you keep the lines of communication open.  It is already difficult for the employee who has experienced the trauma not only of the workplace incident and resulting injury but also being cut off from their fellow workers and workplace.

It helps when we listen and ask open questions like, how do you feel? This signals to the employee care, that you are taking the time to check in on them and their recovery.  Talking allows the employee to process what has happened to them and take ownership and responsibility for their recovery and healing which has positive impacts to the timeline for returning to work.  Talking about the injury and experience allows them to open up and verbalise how they are coping and come up with strategies that assist them in their recovery. When an employee feels genuinely cared for, they are more willing to take responsibility for attending medical appointments and follow up on rehabilitation and physio exercises that aid their return to work.  Physio is not an easy option, physio is difficult and sometimes painful, so acknowledge their effort and energy required to persevere.

A return-to-work coordinator who is disinterested and continually hard to get hold of sends a negative message to the employee that you are too busy to care.  Layer upon that the use of negative language and closed questioning, can put the employee on the defense and have a negative impact on the trajectory of their recovery and return to work timeline.  What could be a positive and progressive return to work experience then becomes a complex case.

An example of some open conversations could be: I am calling about your hand, how are you feeling? Are you feeling ready to come back to work? Sounds like it is healing up nicely and you are feeling more comfortable than last week? You are making great progress; what physio are you doing this week?  Are you getting around okay with not being able to drive, are you sleeping and eating, okay? Do you have someone to care for you at home or family or neighbors who are helping you?

Let them know the positive improvements to safety in the workplace as a result of their input into the safety investigation: We are going to make the modifications you suggested and some improvements that came out of the workplace investigation, that are going to make a real difference to your colleagues and make your job easier and safer for you when you return to work.

The biggest risk to the injured workers is not only the lack of support from managers but negative interactions with work colleagues when they return to work.  An example of this is a conversation, where their colleague says: We had to pick up the slack while you were away, because of you we were so busy and stressed.  The injured worker feels on the outer and starts to feel socially isolated at a time when their resilience is already low.  Their mental health starts to suffer they feel pain and it may impact their recovery, productivity, leading to absenteeism and an interrupted return to work plan.

If they are feeling a bit anxious or sensitive about returning to work, let them know that’s normal and that you are there to support them.  Talk with their work colleagues and ask them to be patient and supportive in the days and weeks that they return to work.  Encourage colleagues to use positive language, that it’s good to see them back, they were missed and to take care and if they feel any discomfort to speak up.  So that they don’t feel alone, this support and comradery will help the injured worker to feel happier and good about being back at work and possibly prevent re-injury.

The injury is not only a physical one sometimes it can take the injured worker time to build up confidence again to do a task that they routinely did before without a problem, reassure them it takes time and its normal.  Try to avoid putting tight deadlines on them, where there is time pressure to complete tasks until they feel more confident with the work.

Regularly ask them if they are experiencing any discomfort are they managing, okay?  Being thoughtful and using positive language supports their recovery rather than using negative and inflammatory language, which will make a difference to their return-to-work experience.  Questions like: How are you feeling, how comfortable are you, are you feeling more comfortable this week than last week, do you feel better?

The power of words can improve the recovery trajectory for the injured worker, by being supportive and using positive language the chance of recovery is better.

Look after your people, the way you talk with them will affect their recovery.

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