Saturday, October 13, 2012

Who Should "Own" Our Human Capital: Human Resources or Individual Managers?

Who Should "Own" Our Human Capital: Human Resources or Individual Managers?
I believe many organizations make a mistake by allowing HR divisions to "own" their human capital. Instead, I believe managers should own and manage the workforce in their respective lines of business. Having said that, which measures could we administer to ensure that managers play their part in managing their human capital?—Coping With Recalcitrant Managers,  finance/insurance/real estate, Kuala Lumpur, Malaysia
 
Cutting-edge organizations recognize that action and ideas happen on the front lines. People "own" their work when they have a say in what happens to them. It's not just HR or managers who own human capital, because anyone who receives a paycheck should have a say in what happens. This does not mean that every idea from every person will be implemented every day. It does mean, however, that successful organizations recognize that engaging employees adds to their bottom line, produces better working relationships and secures a stronger competitive advantage in the marketplace.
There are a number of ways people in supervisory roles can manage people more effectively or, more specifically, enhance employee engagement:
1. Listen first, talk later. As managers, we tend to talk more than we listen because we've "been there, done that." Listening affords us the opportunity to uncover needs, issues and problems.
2. Hold people accountable. Coaches know how to properly dish out reward and punishment. Punishment is another way of saying, "Let's hold people accountable." If someone behaves in a way incongruent with company culture, goals and mission, then the person requires an "accountability check." Managers should check to see why the person behaved in such a way and properly reward or punish based on their analysis of the situation.
3. Gather and implement new ideas. When people give their ideas, they give a piece of themselves. They are saying, "I like this place enough to share my ideas with you to improve things." Leverage employee ideas to grow your business. Companies like 3M and GE have systematic processes in place to capture, evaluate, implement and assess employee ideas. Managers should develop "new-idea factories" that match company size and culture.
4. Partner on goal-setting. When managers partner with employees to set goals, they send a strong message that "we're in this together and your opinion matters." Managers are often surprised to hear that employees have goals, and even more surprised when employee and manager goals are in alignment.
5. Create individual and team incentives. The whole is only as good as the individual parts working together. It's two sides of the same coin; it's the yin and the yang. We need individuals to perform well and we need teams to perform well. When managers reward employees for their individual and team contributions, they are one step closer to capturing competitive advantage.
6. Maximize communication vehicles. When people don't communicate, they lose touch with the operation, culture and organization. Communication is a key contributor to the success of a manager-employee relationship. A manager's communication strategy should be formal ( e.g., performance appraisal) and informal (water cooler conversation).
7. Generate excitement for success. Momentum can go up or down. A manager's goal is to sustain upward momentum. Managers want people to operate on all cylinders, pushing the envelope to the next great horizon. Managers need to take the time to energize employees to show them how their job plays a role in mission accomplishment.
8. Optimize employee strengths. In general, it's better to focus on strengths than on weaknesses. Strengths can be used as a catalyst for individual and team growth. Managers need to position people for success by creatively utilizing strengths across the business enterprise.
9. Develop training to enhance skills. Training will be the No. 1 market differentiator for companies in the 21st century. The ability of managers to align core competencies with training will significantly contribute to company success for many years down the road. Think of it as "leadership succession planning."
10. Increase employee ownership. Give people projects with a budget to expand their horizons. Project ownership and management stimulates a culture of continuous improvement. Some projects will be successful, while others will fail. In either case, managers and employees learn lessons that then can be applied to future decisions.
In today's highly competitive global marketplace, managers are increasingly held to a higher standard. Today, it's not enough simply to manage people. Managers must embark on an employee engagement campaign that effectively differentiates their company from others. Employee engagement is no longer an option it's a strategic imperative for a successful business enterprise.
 
 
[SOURCE: Dana E. Jarvis is human resources director for Snavely Forest Products and an adjunct professor at the John. F. Donahue Graduate School of Business and the School of Leadership and Professional Advancement at Duquesne University in Pittsburgh.]
 

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