By Neuza Chaves, senior advisor at FALCONI
Often we hear that people are the most important assets of an organization. While this is true, if there are no actions to support this idea, it will seem empty and may generate distrust.
It is natural that employees might limit or boost the company according to their performance. For this reason, they should be guided, trained and supported to expand their potential. A talent that has no opportunity to bloom will eventually become disheartened, quitting or even being terminated for inappropriate behavior. To feel proud of what they do and be admired and recognized, professionals must have the opportunity to learn, live experiences and express their potential.
If done in a systematic way and connected to the dynamic of the business, personnel management can reconcile the company’s needs with the people. For this to happen, two questions are key:
– What are the skills required in this company so that it remains solid and can move forward toward its dream?
– What needs to be improved to attract people with skills and develop those already in the company?
By answering these questions, the company can optimize its choices and personnel development strategies, and prevent the worst loss: fail to attract qualified, capable and ambitious people, according to Peter Drucker.
The business management and personnel management must be connected and held in a strategic and systemic way, as shown in figure “Business Management System”:
The first frame of the figure, created by Professor Vicente Falconi, shows the steps for management to improve, maintain and innovate business.
In the second, I present the processes that I consider relevant to a personnel management that selects, develops and creates conditions to satisfy human needs and the organization.
Because personnel management is a very broad topic, I chose to represent the key processes in the figure “Business Management System” and in this article I will highlight some of the most recurrent themes in our work.
Starting with the recruitment and selection process, I refer to a conclusion of the research reported by Jim Collins in his book Good to Great, in which he points out that winning companies have found that people are not the most important asset. Only certain people are important.
If finding the right people is so critical to the success of organizations, leaders must work actively in the selection of those who will join the company in a process that only the HR area was responsible for.
A test of the effectiveness of this process can be observed in the turnover indicator of the first year of work of employees. In one of the companies in which we operate, we find a turnover in the range of 60% per year. The people interviewed considered it a normal index, since new employees during the first year had contact with the culture and dynamics of the company and when they realized that it was not what they wanted, they quit. An analysis of the selection and recruitment process showed failures in interviews, lack of clarity in hiring, in the format and content of integration, as well as monitoring and guidance. If the company makes a major investment to hire the best, it must take care of them afterwards, challenging them and supporting them, in addition to focusing on the environment so that they are proud to work there.
We have learned that personnel management is not made of good sense; We must have goals, benchmarks and detailed analyzes before considering the actions. The use of statistical tools correlating the performance indicators and company figures has helped us to know the most appropriate profile to the nature of the business and identify the necessary skills and training.
Such analyzes sometimes surprise us, and certain opportunities confirm what occurs in all organizations. One example relates to leaders: not always the best ones are those that have greater technical or business knowledge, but those who live and cheer with the company’s dreams and infect their team, making each understand and share the meaning of what they accomplish.
These leaders are distinguished by the ability to inspire people, promote engagement and make them be proud to say where they work. There are leaders who, although aware that they depend on the team to achieve goals, do not know how to manage performance, most often due to lack of training. They simply do performance evaluations, without agreeing to goals and skills that help them differentiate people and decide on merit.
In addition to evaluating, we need to give constant feedback, guidance, support, schedule times to hear the employees, recognize and identify knowledge gaps. According to Bill James, senior baseball advisor, there will always be people both in front and behind the curve, which, in turn, is driven by knowledge. If performance is not well managed, how can we identify the position in which the person is on the curve to select the appropriate resources to move them?
There are companies that make plans of general training, investing in courses that do not focus on the skills needed to improve people’s skills. The responsibility for the growth of people is up to the leaders, but there are still those who believe that it remains with HR.
Professor Vicente Falconi, in his book True Power, says: “A good leader must achieve results through people; hence, a leader must invest substantial time in the development of his/her team.”
Text published in the December 2016 edition of O Papel magazine.