Engagement

Revisiting Our Notions of Time in the Workplace

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By Nader Sleiman

Questions of Time

The recent COVID-19 pandemic has moved us into the future of work far earlier than anticipated. In the absence of physical presence in the office, we now have an opportunity to reflect on how we think of time in the workplace. Key questions we will need to ask are: Is the 9 to 5 system still working in what has become a predominantly service-based economy? Will the 4-day workweek become more prevalent following months of virtual working? How do we measure productivity without office time as a factor?

The History of Time in the Workplace

The 8-hour workday we have settled into as the standard norm was not even imaginable in the nineteenth century. The thought of reducing workhours from what used to be around 100 hours a week to a maximum of 48 hours did not become a conversation until 1890 in the United States.[1] In 1914, Ford Motor Company announced that it would cut the workday to 8 hours while simultaneously doubling wages. This move, shocking to the manufacturing industry at the time, brought in higher productivity despite the reduction in hours worked.[2] The result was a replication of the Ford employment model across the world as global economies thrived and labour laws developed in alignment with our improved understanding of human rights.

Transitioning Economy with Ancestral Practices

Following the 1980s, the world is shifting from a product-based to a predominantly service-based economy.[3] Despite this transition, the hegemonic ideology guiding our approach to people management remains ancestral. As machines have been gradually replacing the human workforce in manufacturing, more people have made career transitions into service-based work. The sector itself, however, still manages employees the same way its predecessor did in terms of measuring time and attendance. When Ford implemented the 8-hour workday, he was guided by the precise time needed to produce car parts and the subsequent time needed to assemble a car. The measurement was directly related to the cost of output, and seldom could the duration of a particular step in the process be changed by an individual worker. For instance, if a worker’s expected deliverable was a car door, and the process of producing a door required 1 hour, the expected output per worker would have been 8 doors a day. What happens, however, when the deliverable is a PowerPoint presentation, or a strategic report? When the output can vary in quality, structure and completion time in order to tailor services to clients, how can the measurement of time as it were in production lines still apply?

The reality is that the 8-hour workday may not be fit-for-purpose today and may not truly reflect productivity. Research suggests that, for a number of roles, an 8-hour workday can, in fact, discourage productivity. If a high performer completes a task in 4 hours, rather than the expected 8 hours for an average performer, what should that employee do with their additional time? An Adobe study found that people spend (on average) 6 hours a day on emails.[4] Further, a study of UK office workers’ productivity by Voucher Cloud found that the average productive time of employees was a mere 2 hours and 53 minutes out of the 8-hour workday. [5] The rest remainder of that work day is comprised of: meetings, office interruptions, and smartphone notifications.[6]

How, then, can we develop a better view on people management without the 8-hour model?

time

Output versus Attendance

For people working remotely, it is challenging to monitor their attendance. Measuring remote team productivity is no longer concerned with clocking in and clocking out; it is concerned with outputs and deliverables. When SAP Labs India, one of India’s best employers, decided to stop tracking attendance, the Head of HR noticed a change in attitude from employees. He referred to the change as a developed sense of trust between the company and its 5,000 employees. Not a single case of misuse surfaced, and morale was boosted. As we shift to remote work, it is time to rethink how we measure performance and re-examine the extent to which office time plays a role in this measurement.

  1. Promoting effective communication: By setting clear objectives and checking in on deliverables (quality and processing time), output can be assessed, productivity can be measured, and coordination can be simplified.
  2. Developing training on quality: It is important to train your people on maximising output in minimal time without jeopardising quality. This also means on communicating their availability transparently and continuously with colleagues to ensure that coordination and teamwork are sustained.
  3. Understanding your processes and service delivery intimately: By understanding what tasks are required in each role and for each project, these task’s completion time can be measured using historical figures and assessed to identify bottlenecks and ensure that they are communicated with team members transparently. This allows leadership to create a clear direction towards productive delivery.
  4. Identifying and establishing measurable benchmarking: This requires transparent communication regarding expectations surrounding deliverables. It can be done by setting clear indicators of high quality and efficient deliverables. How much time is the task expected to require? Is the team member meeting or exceeding this target? If not, it is important to address the reason behind this delay.
  5. Revising standard protocol continuously: It is important to constantly check in and identify possible improvement areas to optimise the use of talent in high priority tasks.
  6. Empowering digital project management: Consider project management tools that allow organisations to track individual tasks, manage responsibilities and accountabilities, and identify bottlenecks and speed of delivery.
  7. Preserving cultural connection: Aside from deliverables, productivity relies on psychological and emotional wellbeing. This means that ensuring that virtual employees are connected to their organisational culture and maintaining their organisational citizenship is crucial to instilling a sense of duty towards task completion and high-quality deliverables.
  8. Rewarding productivity: Intangible rewards, particularly through recognition, can empower employees in times of turbulence and disconnection. By developing clear benchmarks, assessing individual performance in comparison to those benchmarks, and providing feedback and explicit recognition of good work, employees are encouraged to meet productivity targets and exceed those benchmarks.
  9. Preventing underperformance: Early identification of missed benchmarks is key to preventing drops in performance. This requires transparent and open performance communication to set expectations, measure performance continuously and address any concerns before they become problematic to productivity.
  10. Understanding individual narratives: Get to know your employees and their circumstances. Are they parents with children at home? Are they in remote areas with limited access to connectivity? By actively listening to employees, their narratives can be used as tools to promote virtual diversity and effective communications regarding performance and output.
  11. Building trust: Once these points are established, trust is key. Ernest Hemingway’s advice: “The best way to find out if you can trust somebody is to trust them.” If your focus is outcome-based, the concern with clocking in and out needs to be shifted to a concern with deliverables. As long as benchmarks are being met and deliverable quality is being sustained and improved, trusting employees to do what is necessary for their task completion is crucial.

Let Us Know Your Thoughts

We have been working in a virtual world for over a month. We now know that people do not need to be in the office to do their jobs. It is of surprise to no one that the world of work will not simply return to the way it was prior to this experience. How do you think our measurement of time will change? Get in touch with Anna.


[1] Owen, R. (21 Nov. 2019). The 8-Hour Workday Is a Counterproductive Lie. Wired.

[2] Curtin, M. (21 Jul. 2016). In an 8-Hour Day, the Average Worker Is Productive for This Many Hours. INC.

[3] Bellos, I. & Ferguson, M. (2016). Moving from a Product-Based Economy to a Service-Based Economy for a More Sustainable Future. Springer Series in Supply Chain Management book series (SSSCM, volume 4)

[4] Naragon, K. (8 Aug. 2015). Subject: Email, We Just Can’t Get Enough. Adobe Blog.

[5] Foo, E.N. (24 Apr. 2019). The White-Collar Struggle: Productivity in the Information Age. The Economics Review.

[6] Glaveski, S. (11 Dec. 2018). The Case for the 6-Hour Workday. Harvard Business Review

Virtual Engagement during Covid-19 – how can we redesign our ways of working to be better than before?

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{:name}By Sally McNamara, Asia Pacific Director 

Companies have been grappling with declining employee engagement for several decades. Research has suggested that up to 85% of people are not engaged or actively disengaged at work[i]. The interesting point is that the same research also suggests that it might not be the actual work that is the problem, but rather the outdated management styles that are still very much at play. In particular, the industrial era ‘command and control’ approach is proving a difficult habit to break at every level of organisational design: strategy, structure, processes, rewards and people.[ii]

Humans rarely adapt at scale unless there is a forced trigger to do so. Nobel prize winning economist Daniel Kahneman has explored this idea deeply in his work, demonstrating that in most cases, we would much rather avoid a loss than achieve a gain, unless the circumstances are very bad.[iii]

What if this pandemic is not just a test of survival and making do, but a greater call to much needed workplace adaptation? A chance to develop new principles that actually align with the challenges we face in this digital age? All too often we have been trying to implement new processes and practices without understanding the real issues, as anyone who has attempted to implement a new technology solution on top of an outdated structure and process will readily attest to.

As Professor Lynda Gratton reinforced in her recent webinar on “Working Virtually”[iv], one of the major blockers to the previous success of virtual working was due to the fact that leaders themselves were not working virtually. This promoted a lingering suspicion that people working virtually must surely be “Netflix and chilling” all day long, rather than working. Such an insidious lack of trust is a key factor in driving disengagement, and we know that organisations who are high-trust outperform those who are low-trust, with research suggesting by as much as 2.5 times.[v]

Now that the majority of our global population are synchronised in virtual working, it is an opportunity to build better ways of working that are based on trust, both for now and into the future. However, if we are not careful, we may simply replicate old principles and assumptions to bring our bad habits with us into the virtual world of work. Here are a few ideas for how we can avoid doing so:

1. Build a Narrative – A narrative provides a way to make sense of events and communicate experience, knowledge and emotions. Creating a strong narrative does not rely upon the leaders having all the answers (now more than ever – this is clearly impossible). However, it does rely on creating an ongoing thread of communication that recognises the deep uncertainty whilst also visioning the future, to help people connect with a sense of direction and purpose. This could be an opportunity to fundamentally shift some of the ways you work for the better. Why not involve your people in co-creating new ways of working? It could also be an opportunity to create new solutions for your clients and customers – as the saying goes, “necessity is the mother of invention”.

2. Be Outcomes Focused – What if we were to measure productivity by outcomes rather than hours or time online? As schools continue to shut down around the world and global teams need to shift their working patterns to fit current shifts in demand, we will need to think more creatively than ever about how well our concept of “standard days” actually work in practice, both now and into the future.

3. Examining Unwritten Rules – An example of an unwritten rule is that the official work start time is 09:00 but once you become part of the team, you realise your colleagues have all been there since 07:30 as standard. This is a chance to re-evaluate your unwritten rules and how they may be impacting wellbeing and engagement, rather than just replicating them in the virtual world. As Novartis CEO Vas Narasimhan recently said in relation to the Covid-19 pandemic, we need to “create clarity for teams and trust them without micromanaging”[vi]. We may need to be even more careful of where the lines between our personal and work lives become ever more blurred, and that the pressure to be “online” may actually increase.

 4. Extending Empathy – The one thing we need now, more than ever, is empathy. The definition of empathy is being able to sit beside someone and feel with them. We need to accept and welcome that everyone will be having good days and bad days. If a team member has been in isolation or unable to see their family, it is unlikely they will be able to perform at their usual level. I have had more than one friend share with me that they are pretending their video function does not work because their anxiety levels are high, and they feel more comfortable with voice calls. An unintended consequence of our desire to communicate may be that in some cases, we are creating more stress through enforcing a one-size-fits-all approach.

If you would like to discuss this topic in greater depth, please reach out to me on email or comment below.


[i] “What is employee engagement and how to you improve it?”, Gallup, accessed March 20, 2020, https://www.gallup.com/workplace/285674/improve-employee-engagement-workplace.asp

[ii] Jay Galbraith’s Star Model, https://www.jaygalbraith.com/services/star-model

[iii] “Thinking Fast and Slow”, Daniel Kahnemann, 2011

[iv] “Working Virtually”, London Business School, March 18 2020 – https://www.london.edu/campaigns/executive-education/pandemic-webinars#previouswebinars

[v] The Connection Between Employee Trust and Financial Performance, HBR, July 18 2016,  https://hbr.org/2016/07/the-connection-between-employee-trust-and-financial-performance

[vi] “Strong Leadership for Uncertain Times”, Financial Times,   March 22, 2020 https://www.ft.com/content/e4aec0cc-6849-11ea-a3c9-1fe6fedcca75

 

3 Unexpected Insights on Dynamic Workforce Planning

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By Ellen Kwan, Analyst

3 Unexpected Insights on Dynamic Workforce Planning

At the end of last year, Future of Work Research Consortium delegates came together for HSM’s Dynamic Workforce Planning Masterclass, which was full of insights, activities and cross-industry collaboration. Through conversations and live polling with consortium members, we have gained some new perspectives on Dynamic Workforce Planning. As it is often the case, learning was a two-way street at the Masterclass – we have also walked away with unexpected perspectives on Dynamic Workforce Planning.

Upskill and Reskill for Social Mobility

“Automation presents an interesting counterintuition in shifting people whose skills are in decline into higher paying jobs.”

While the advent of the digital revolution presents an opportunity to overcome challenges in social mobility, the same opportunities could instead be barriers to those without existing digital skills.

As noted by the Social Mobility Commission’s State of the Nation 2018-19 report, “being born privileged in Britain means that you are likely to remain privileged. Being born disadvantaged, however, means that you may have to overcome a series of barriers to ensure that your children are not stuck in the same trap”[1].  The UK’s social mobility has been reported to have remained “virtually stagnant” since 2014. This phenomenon can, in part, be attributed to the “virtuous cycle of work training and pay rises” available to high-skilled workers. While almost a third of employees in managerial and professional occupations took part in training over the past three months, only 18% in routine and manual jobs had the same opportunity. According to Dr. Lunchinskaya from the Institute for Employment Research, these findings show a vicious cycle of learning “whereby those with low or no qualifications are much less likely to access education and training after leaving school than those with high qualification.”[2] As a result, the low-skilled are unable to upskill to meet the needs of the digital future, continuously preserving low-skilled employees at lower paid roles.

Automation presents organisations and governments with the opportunity to shape how their workforce and social landscape looks. When CEOs were asked to list the most important measures of success in 2019, the number one measure was “impact on society, including income inequality and diversity.”[3] Rather than upskilling or reskilling employees to similar roles which would be future-proofed, organisations could play a key role in displaced employees’ social mobility by identifying roles with the most skill and task adjacencies that offer higher pay. Therefore, as automation and digitisation become an increasingly prevalent phenomenon across different types of work, organisations can either become active shapers of the social landscape, or lose part of their workforce to the increasing digital divide.

Reframe the Language of the Future

“The way we speak about the future can bring joy to encourage people to embrace those ideas of the future.”

What immediately comes to mind when you hear terms like “automation”, “Artificial Intelligence”, or “human-machine collaboration”? With thoughts of Skynet and Elon Musk’s warnings on humankind’s future enslavement to machines, it comes as no surprise that over 65% of Americans fear automation[4].

Consider Daniel Kahneman’s research on thinking fast and slow. While thinking fast (system 1 thinking) relies on first impressions and ‘gut-reactions’ to make decisions, thinking slow (system 2) relies on reflection and logical analysis. Our tendency to make gut-reactions first can be attributed to the fact that when we have capacity for rational information processing, we have little authority to use that information for making decisions. In the deeper part of our brain where system 1 thinking takes place (the Vagus nerve), we have no rational processing capacity, but more authority in using system 1 to make decisions[5]. Therefore, when employees are told that technological change is coming, system 1 could already be operating before employees can consider benefits of the change. Instead, fast thinking relies on heuristics and mental biases to create conclusions about the technological change – fear and anxiety.

An example of a mental bias that fast thinking falls victim to is availability heuristic. The availability heuristic leads people to assume that information that is readily available is valid. A study in 2010 found that people who watch violent media gave higher estimates of crime in the real world than those not exposed to violent media[6]. In the context of automation and digitisation, the barrage of media reports on job losses from automation, film adaptations of robotic overlords taking over humanity, and stories or anecdotes about others whose jobs have been displaced can cause employees to overestimate the threat of automation.

While thinking fast can lead us to conclusions of doom and gloom around automation in the future of work, organisations and leaders can work to shift emotions of fear into excitement. Research has found that certain fearful situations can activate the reward centre in the brain[7] under specific conditions. Klucken (2009) recommends creating situations for predictable fear, rather than unanticipated fear. When we can anticipate the fearful situation, humans are able to activate the limbic system, allowing us to feel alert and excited without concern over actual threats.

In summary, when framing language of the future, leaders should ensure that their message fulfils the following three requirements:

  1. Widespread and readily available in a number of different formats for employees (e.g. videos, learning journeys, blog posts)
  2. Positive and focused on potential gains for employees
  3. Transparent about next steps and implications on employees’ roles

Renaissance of Work

“Let’s start calling the future of work ‘The Renaissance of Work.’”

As technological ingenuity has grown exponentially prevalent in the workplace, we now need to put a human focus back into work. With technology’s growing potential, leaders are now starting to see the role that humans can play alongside technology. From creating new jobs to manage and regulate technology (e.g. AI ethics engineers) to shifting focus from technical skills to uniquely human skills (e.g. creativity), the human focus is beginning to catch up to the digital boom.

Moving beyond human-machine collaboration, organisations will need to employ social ingenuity to truly thrive in the future of work. Demographic and societal changes, such as longer working lives and shifting family dynamics, requires organisations to reinvent the way we think about work and its role in identity and life. Organisations must begin thinking about what it means to put humans at the centre, understanding what the future landscape of work may look like, and identifying avenues to enable humans to thrive, rather than to be held a victim of the future landscape.

An example of social ingenuity needed now is the concept of retirement. Traditionally, people are recruited into an entry-level position after completing their full-time education. Throughout their careers, they climb up the promotional ladder, making occasional jumps across organisations. This eventually stops as people reach their late 50s or early 60s, as they prepare for retirement. However, as longevity increases, so does people’s desire to lengthen their working lives. While governments play a key role in mandating official retirement age, organisations play an active part in how retirement can be implemented. Too often, employees are offered a binary choice between full-time work or retirement. By doing so, organisations fail to tap into the crystalline intelligence typically held in experienced employees, which refers to the tacit knowledge of how to perform tasks. The renaissance of work calls for a mindset shift in how retirement is perceived, whether it continues to remain as a binary choice, or a flexible combination of work embedded within retirement. If the future of retirement does call for flexibility, what would it look like? These are questions that organisations should begin considering to leverage the skills and potential offered by retiring employees.

By redefining the concept of retirement, organisations can utilise the full potential of their workforce. In turn, employees can also craft the retirement lifestyle that best suits them according to their financial, emotional, and social needs.

As we reach the Renaissance of Work, leaders must put humans back at the forefront of work. Taking a human-focused lens moves beyond thinking about skills or jobs, but considers how to leverage changing human needs to craft a mutually beneficial future of work.

 

If you would like to find out more about Dynamic Workforce Planning, or how you can join Prof. Lynda Gratton’s Future of Work Research Consortium, get in touch with Anna.


[1] State of the Nation 2018-19: Social Mobility in Great Britain

[2] Social Mobility Commission report warns of ‘virtuous’ and ‘vicious’ cycle of adult learning

[3] Introduction: Leading the social enterprise – Reinvent with a human focus

[4] How Americans see automation and the workplace in 7 charts

[5] Kahneman, Daniel, 1934- author. (2011). Thinking, fast and slow. New York :Farrar, Straus and Giroux,

[6] Riddle, Karen (2010). “Always on My Mind: Exploring How Frequent, Recent, and Vivid Television Portrayals Are Used in the Formation of Social Reality Judgments”. Media Psychology. 13 (2): 155–179.

[7] Klucken, T. et al 2009. “Contingency Learning in Human Fear Conditioning Involves the Ventral Striatum.” Human Brain Mapping 30:3636–3644

The Unintended Consequences of Agile Working

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IzzyWebsiteThe advancements in technology, paired with globalisation have promoted a trend towards agile working, with workers free to work at a time and location which suits them. In the changing world of work, there is a growing trend for employees to work flexibly and not be required to be tied to their desks in traditional working patterns, with 70% of people globally working remotely at least once a week [1]. There are multiple organisational benefits to agile working, including increased productivity, autonomy and the promotion of work-life balance for employees.

Recently, Microsoft Japan implemented a 4 day working week to much success. Offering its 2,300 employees a variety of agile working styles, Microsoft Japan launched a pilot programme aiming to increase productivity and morale, with a goal to realise the same results with 20% fewer weekly hours[2]. The results appeared to be highly positive: a 40% rise in productivity, happier workers and a decline in days taken off. However, there are often unintended consequences of agile working which organisations should consider in their approach. The introduction of the shorter week came with the introduction of ‘strict new rules’, with managers being ‘heavy handed’ in their implementation, including employees being fined for taking too long on work-related matters.

Taking these dynamics into consideration, the pressure to output the same amount, or the resulting 40% rise in productivity in Microsoft’s case, in a shorter amount of time could have a detrimental effect upon employees wellbeing and long term efficiency.

Organisations such as Tiggertrap and the Los Angeles Times have also suffered unintended consequences when introducing an unlimited vacation policy. On the face of it, this seems like a positive idea which promotes high levels of rejuvenation, empowerment and autonomy. However, in practice often these policies push people to always be ‘on’ and connected, with a Glassdoor survey showing that 61% of workers admit to working despite being on vacation[3].

In many cases, one of the main disadvantages associated with unlimited vacation policies is that often employees end up taking less time off. Tiggertrap scrapped their unlimited vacation policy after results found that employees had reduced their average number of holiday taken from 28 days to 15. Factors such as unspoken expectations and nobody wanting to be the person who takes the most time off, contribute to spiralling behaviour in which employees take even less holiday than before. Adding to this, the advancement in technology has enabled new ways of working, but has also promoted the growth of an ‘always on’ culture, in which there are potential stresses of constantly being connected to work and never truly switching off.

So, after this reflection of the disadvantages of a more agile approach to working arrangements, why should organisations still consider this strategy as their most future-proofed option?

In the changing world of work, organisations need to adapt their traditional approaches to ways of working in order to attract and retain the best talent. By offering a wider menu of options of working hours, organisations should be able to attract a broader range of people and maintain a stronger talent pipeline. In confronting the unintended consequences, it is crucial that organisations develop policies that will not just allow employees to work flexibly or have time off, but encourage them to do so. If the aim of the policy is to enhance a less frenzied working environment, with reduced burnout and higher productivity, organisations need to tackle the culture in which these policies sit and support individual behaviour that does not promote employees to be ‘always on’ and constantly connected. To approach this, organisations could benefit from considering a more tailored approach, aiming to promote a culture which empowers their employees ‘to communicate when they need time to disconnect’, rather than rolling out a one-size-fits-all policy[4].


[1] https://www.cnbc.com/2018/05/30/70-percent-of-people-globally-work-remotely-at-least-once-a-week-iwg-study.html

2 Kelly, J. (2019). Microsoft Japan Launched A Four-Day Workweek To Much Success: Is This The Key To Attracting Talent In The Tight U.S. Job Market?. [online] Forbes.com. Available at: https://www.forbes.com/sites/jackkelly/2019/11/05/microsoft-japan-launched-a-four-day-week-work-to-much-success-is-this-the-answer-to-attract-talent-in-the-tight-us-job-market/#4863cf6759ff  [Accessed 21 Nov. 2019].

3 Unlimited Vacation Time Policy (2016), Hot Spots Movement. Available at: http://hotspotscdn.blob.core.windows.net/files/1247/unlimited-vacation-time-case-study-160915.pdf [Accessed 21st. Nov. 2019]

4 Future of HR Report (2016), Hot Spots Movement, Available at http://hotspotscdn.blob.core.windows.net/files/1267/future-of-hr-report-final.pdf

The Power of Purpose in Finance

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0Historically, Trust in finance was viewed as fundamental and underpinned the banking industry from its outset – in fact, the word ‘credit’ is derived from the Latin word for ‘trust’.

In more recent times however, the 2008 financial crisis prompted a swathe of mistrust to sweep the financial sector; bonuses had grown bigger and bigger as transparency dwindled and significant regulatory steps had to be taken in an attempt to rebuild faith in the sector.

The poet Robert Frost summed up the sentiment towards financial services institutions; “A bank is a place where they lend you an umbrella in fair weather and ask for it back again when it begins to rain.”1 This is echoed in the 2019 Edelman Trust Barometer which, despite showing a gradual increase in trust over the past five years, highlights Financial Services as the least trusted of the industry sectors2.

There are a number of factors contributing to this view, one of which being the widely reported sums of bankers’ bonuses. Such reports are instrumental in the view that there is no greater Purpose in financial services than profit.

However, this all-consuming focus on profit hasn’t always been the driver of financial institutions. A British economist has highlighted that, “For nearly all of its 2,000-year history, the corporation has combined a public purpose with its commercial activities. It is only over the last 60 years that the idea that profit is the only purpose of business has emerged.”This quest for ever increasing financial gains is not a Purpose which inspires trust, nor does it sit well with the regulators.

Time to make a change?

Banking culture is under increased scrutiny by the FCA, whose approach now has a greater focus on culture and governance – as is highlighted in our recent white paper at HSM, which uncovers this in more detail. ‘Purpose’ has been highlighted as one of the four key drivers of culture and behaviour which firms can identify and proactively influence.4 In his outgoing speech as Chief Executive of the FCA, Andrew Bailey emphasised the importance of culture in driving more ethical behaviour: “culture is about encouraging and incentivising good things, not just stopping bad things from happening.”5

Action needs to be taken by many firms in light of these new conditions, to consider and clarify the wider Purpose and to enable the associated values and behaviours to permeate the sector. There is an opportunity to use this moment to more broadly transform the social impact of financial institutions and not merely allow these considerations to become a tick-box exercise. 

Adopting a more Purposeful approach

A clear Purpose not only highlights the aims and direction of a firm, but also earns greater understanding and trust from the public. A number of financial institutions have considered their Purpose and taken a more holistic view of their aims and responsibilities for customers, employees and society. They are driving real mindset shifts in their approach to everyday tasks, building a customer centric approach where employees at all levels embody the traits and behaviours of the shared goals, ultimately helping to achieve the progression and betterment of society. 

However, we can’t just forget the financial targets; firms need to flourish to be able to achieve their goals. However, financial gain should no longer be the sole objective. Indeed, impact of Purpose is profound and a clear link can be drawn between it and performance, with firms demonstrating a deeply ingrained Purpose correlating strongly with ten-year shareholder returns.6 

Financial Institutions have the ability to play a significant part in the inclusion, growth and enrichment of society; but this has to be reflected in their Purpose. It may just be that the power of Purpose could be the catalyst for rebuilding trust, better businesses and a more sustainable society.

I’d love to hear more about your experiences of the power of Purpose. If you would like to have a discussion, please get in touch with me at oliver@hotspotsmovement.com


 1. Oxford Reference

2.2019 Edelman Trust Barometer

3. OUP Blog, Colin Mayer

4.FCA Transforming Culture in Financial Services, FCA Approach to Supervision

5. Transforming culture in financial services conference, Andrew Bailey

6.Purpose with the Power to Transform your Organisation, BCG

What is ‘Good Work’?

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IzzyWebsiteAs work has changed, the relationship between organisations and their people has progressed. Work has moved away from the industrial revolution and the homogenisation of workers and evolved into an era of autonomy with a new emphasis on the wellbeing of the individual. In recent decades this shift has been characterised by the increased responsibility and awareness of organisations for the wellness of their people.

However, despite the increased focus on individual wellbeing in the workplace, there has been a decline in job satisfaction. In the 1980s ‘roughly 61% of pollsters were satisfied with their jobs’, by 2010 this figure had dropped to 43%[2]. Even amongst highly skilled professions such as medicine and law, studies reflected rising discontent.

Financial security is an obviously important element – we know from our work with organisations that people need to be paid fairly – however, after that, economic incentive is not a big driver of satisfaction. In his essay ‘On the Phenomenon of Bullshit Jobs’, David Graeber explores the negative ramifications for people who feel that their job is worthless and lacks value. These are roles in which the person cannot justify the existence of their responsibilities, despite often being highly respected jobs and well paid. These people frequently feel that the tasks they perform do not contribute to a wider cause, creating a sense of disillusionment and ‘pointlessness’ to their role. Linked to this is the emotional connection between work and identity, with 55% of people gaining some sense of identity from their job[1]. This lack of meaning can be emotionally detrimental to employees, leaving workers feeling unfulfilled in the performance of tasks they believe do not make a difference[2].

Here at HSM we advise that organisations, and particularly leaders, talk about ‘Good Work’ and evaluate whether the roles the offer provide a sense of meaning to their employees, looking beyond the traditional financial incentives to drive job fulfilment. The concept of ‘Good work’ highlights the importance of a role providing meaning, autonomy, dignity and a sense of belongingness. Employees wish to feel their efforts are adding value and are meaningful, even to a small degree. Furthermore, ‘good work’ needs to extend a sense of control to employees, promoting a level of freedom and autonomy within a role. Evidence of this was shown in Amy Wrzesniewski’s and Jane Dutton’s 2001 study, which found that janitors at large hospitals who viewed their roles as being part of the healing process of patients, rather than as a series of cleaning tasks, had higher levels of job satisfaction[3].

The positive implication of a more engaged workforce is substantial, particularly when placed in the unsettled context of technological disruption and social change. With statistics highlighting that 70% of the workforce is disengaged, a proactive and creative approach is required to increase job satisfaction[1].

Interested in learning more about how you can influence ‘Good Work’ in your organisation? Get in touch with me at isabella@hotspotsmovement.com


[1] Future of Work Research Consortium, ‘Building Narratives on the Future of Work’ Report, 2018

[2] Wealthy, Successful and Miserable – C. Duhigg, The Future of Work, The New York Times Magazine

[3] Crafting a Job: Revisioning Employees as Active Crafters of Their Work. A. Wrzesniewski and J. E. Dutton, 2001

Give and Take

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By Greg O’Meara, Project Management Intern

When we interact with others, we tend to adopt a certain style. We choose the style based on our intentions, values and motives. On one end of the spectrum are givers, for whom the question always is, “What can I do for you?” while at the other end sit the takers who conversely say, “What can you do for me?” At the same time, for most people when meeting someone new, the default is to match their counterpart, that is, giving on condition of receiving in return. These are styles because they can vary depending on the type of interaction you are engaged in – you may give more when mentoring a student, take more when negotiating your salary and engage in matching when a competitor looks for some knowledge or advice. Yet the evidence shows that we also have a dominant style, a way of interacting with others that we are more prone towards, especially once we have gotten to know someone, and that this style has far reaching consequences for the world of work, productivity and team performance.

Organisational psychologist Adam Grant’s research based on data consisting of surveys and interviews with 30,000 people has found that givers generally constitute the least productive members of an organisation as they are seen to take on so much extra workload that they lack the time and/or the energy to complete their own tasks. Takers on the other hand may rise up the ranks quickly, however, they soon gain a reputation for operating selfishly and struggle to advance further. By process of elimination we might presume it is then matchers who are the most productive in an organisation, but according to Grant’s research, givers in the right environment where giving is the norm are the highest contributing members of a team. Grant found that a high frequency of giving behaviour in the right environment contributes to higher profits, employee retention and customer satisfaction.

Simply put, maintaining a dominant giving culture can have a powerful effect on organisational performance. Grant offers three prescriptions to create a giving environment:

  1. Firstly, it is imperative to protect your givers from burnout as they are liable to take on more work than is sustainable.
  2. Secondly, leadership must foster a culture of help-seeking so that the productive powers of the givers are unleashed.
  3. The final point, and most important with regards to culture, is that the atmosphere of giving can be significantly damaged by the introduction of just one taker into the team as the negative impact of just one taker is two to three times the positive effect of a giver.

Grant’s research has huge implications for how organisations design their talent practices and processes and shift cultures. How is your organisation creating a giving culture?

I very much look forward to hearing your thoughts! Get in touch by emailing me at greg@hotspotsmovement.com.


https://www.adamgrant.net/

The Power of Unwritten Rules

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By Graham Oxley, Project Manager – Digital Engagement

grahamWhether at work or at home, we often hear about unwritten rules. These are the norms, behaviours or actions that people are expected to follow or do even though they are not written down anywhere in a formal rule book or culture document. We encounter these unwritten rules every day and get annoyed when people don’t follow them – think of every time you have muttered under your breath when the person in front of you doesn’t hold the door for you. But beyond merely being frustrating, in certain contexts, such as corporate culture and sports, unwritten rules have the power to create a vastly different reality to the intended rhetoric of written rules.  Often, we see that once a written rule is created, various factors go to work to change, reinforce or undermine it, until the unwritten rules that have been created hold more power than the written rule that they have emerged around.  

One place where unwritten rules are in abundance is sports, and this has been making the news recently. Firstly, there has been fierce debate in cricket this week around Ravi Ashwin, the Indian all-rounder playing for Kings XI Punjab, who performed a ‘Mankad’ dismissal on England batsman Jos Buttler in an Indian Premier League match against the Rajasthan Royals.[1] This is allowed in the official rulebook, but a large number of ex-players and pundits have condemned him for contravening ‘the Spirit of Cricket’, which is a set of unwritten rules that many cricketers subscribe to. On the same day, on the other side of the world in Miami, Nick Kyrgios, an Australian tennis player, served underhand in beating Dusan Lajovic.[2] The reaction towards this has been more balanced; Judy Murray labelled him a genius afterwards, but during the game a spectator ran onto the court to remonstrate with him for the tactics. These are two examples in just the last week, which show that unwritten rules are rife across the sports world; footballers put the ball out of play when the opposition has an injured player, rugby league players do not contest scrums and baseball has so many unwritten rules that people lose track.[3]

The question that follows here is: how do unwritten rules relate to my business? Organisations operate as complex systems of (1) formal, interdependent processes – such as pay, performance and training; and (2) informal practices and behaviours operating under the radar, such as ad hoc flexibility in work schedules, or the prioritisation of presence over performance. The latter are the ‘unwritten rules of the game’ and they exert a strong influence over employee behaviours and have a significant impact on the success or failure of any new intervention implemented. Here is an example: your organisation may have set up a generous parental leave policy aimed at improving engagement amongst families. However, if the culture and leadership of your organisation signals, through non-verbal or verbal cues, that anyone who takes up their full parental leave will face a delay in getting a promotion or pay rise, the reality of that decision looks very different to what the written rhetoric intended.

Clarity on the unwritten rules of the game that are shaping behaviour is therefore key before launching any new initiative. This exercise allows businesses to understand how any intervention will influence and be influenced by other factors at play, giving an early indication of any unintended consequences that you need to consider and plan for.

So how do we find out the unwritten rules of the game? The answer lies in engaging your employees in an open dialogue. Taking the time to truly listen to your employees to understand their diverse motivators, enablers and triggers will pave the way forward. We have worked with a number of clients on this challenge; you can see a snapshot of who we have worked with here.

I would be happy to have a further discussion about how you can go about uncovering the unwritten rules of the game and ensuring that your organisations’ reality is truly representative of the rhetoric. Just drop me an email at graham@hotspotsmovement.com.


[1] https://www.bbc.co.uk/sport/cricket/47697369

[2] https://www.bbc.co.uk/sport/tennis/47704618

[3] https://www.abc.net.au/news/2018-10-12/unwritten-rules-in-sport-are-fast-becoming-a-thing-of-the-past/10364436

A Lesson on Culture Change from Ole Gunnar Solskjaer

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By Graham Oxley, Project Manager – Digital Engagement

The manager of Manchester United is not someone that people would often look to when researching culture change. However, the remarkable turnaround in fortunes at the club since new manager Ole Gunnar Solskjaer joined on the 19th December 2018 is worth investigating. When you look closely, you can see the hallmarks of successful culture change that can be applied to any business, from football team to multi-national corporation as I intend to show. This is particularly exciting to me because it allows me to see a connection between my favourite hobby and my daily work in helping businesses enact effective culture transformations.

Solskjaer has not had lots of time in the job, but he has unwittingly (or not?) taken a number of the same steps that we recommend to organisations looking to transform the culture:

1.    Engage your influencers – People naturally want to reduce their cognitive dissonance and this means that in teams and organisations, employees adopt the behaviours of those people who have reference power[i]. These people are your influencers, and if you can engage them in adopting the behaviours you seek, this can naturally filter through the organisation. Paul Pogba is one of the most influential men in the Manchester United squad, which is why in pursuit of a culture of attacking football, Solskjaer has focussed on encouraging his star player to play more positively and watched this rub off on the rest of the squad.

2.    Focus on micro-behaviours – Micro-behaviours are defined as small, thoughtless acts that can act in dissonance with a culture. For example, speaking over a junior colleague in a meeting is a small act, but may be in counter to an organisation’s intended culture of respect and collaboration. Calling out these negative micro-behaviours can help continually reinforce the organisation’s culture in employees’ minds until it becomes unconscious. Solskjaer has identified a respect for the club as something that he wants to foster in the culture and focussed on micro-behaviours such as asking all players to wear matching Manchester United branded jackets when arriving at the games to show unity, as opposed to wearing whatever they wanted previously[ii].

3.    Fostering a culture of positivity – Positivity can have a significant impact on creativity, which can be explained by neuroscience. The neocortex and limbic system, seats of rational thought and emotions, work together to produce creativity, which means to be creative, you need both to be stimulated and feel safe.[iii] A lot of culture change initiatives in organisations focus on the rational or intellectual appeal for employees, however it is important to maintain a focus on the emotional elements to ensure that employees are feeling positive and therefore unleash creativity. Solskjaer knew that creativity was a big part of the culture he wanted to embed, so has focussed heavily on positivity in his messages both externally and internally, which was a stark contrast to the previous culture described by some as ‘fear and hate’[iv].

We frequently talk to clients about the importance of each of the above when it comes to enacting successful cultural change and it is interesting to see some real-life examples coming from an unexpected source. One word of caution however; immediate change is highly unlikely in a large multi-national organisation. Changing the culture in a 25-man football squad is a much smaller task, and even Solskjaer himself has admitted that ‘we are still very much a work in progress’[v]. However, he has adopted some key principles that are the key to cultural change no matter what the size of organisation and perhaps there is a lesson there for anyone enacting their programme of transformation.

Here at HSM, we help clients leverage the power of crowd-sourcing to make evidence-based decisions around delivering effective culture change. If you want to discuss this further, or are a football fan, drop me an email on graham@hotspotsmovement.com and I am happy to have a more in-depth chat.


[i] Shu, L. Gino, F. Bazerman, M H., (2011) Ethical Discrepancy : Changing Our Attitudes to Resolve Moral Dissonance, Behavioral Business Ethics: Ideas on an Emerging Field. Taylor and Francis Publishing

[ii] https://www.manchestereveningnews.co.uk/sport/football/man-utd-solskjaer-mourinho-news-15674358

[iii] Dietrich, A. (2015). How creativity happens in the brain. Springer. Chicago

[iv] https://www.manchestereveningnews.co.uk/sport/football/man-utd-solskjaer-mourinho-news-15674358

[v] https://www.standard.co.uk/sport/football/manchesterunited/how-man-utd-boss-ole-gunnar-solskjaer-has-transformed-paul-pogba-in-just-two-weeks-a4027561.html

Identifying Your Organisation’s Influencers

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JFWhat does it take to successfully deliver an organisational transformation? Whether it’s a culture change, a new operating model, or a shift in the approach to performance management, this is the number one question on many executives’ minds. When attempting to answer this question, people often default to the conventional wisdom of leadership buy in and role modelling. However, our experience at HSM suggests that many executives may be missing a vital ingredient – influencers.

When most people think of influencers within their organisation they think of leaders; managers, directors and their executive board who have a lot of formal hierarchical power and can sway their colleagues due to their position within the organisation. However, there is another group who are harder to identify, yet can be even more important when embedding change. These are people who can, because of their knowledge, skills and position in the company network, and not their formal hierarchical power, shape the views and behaviours of multiple colleagues. It is this ability to softly effect the behaviours of others that makes them such a valuable tool in your change initiative.

But how can you identify these influencers? By their very nature they can sit in any part of your organisation, in any function, in any region and could have been there for 20 years or just a couple of months.

One method advocated by Yoonjin Choi and Paul Ingram of Columbia College (2017) is to analyse semantic networks, which track how knowledge flows within a community. Choi and Ingram define culture as a web of connected concepts that people use to make sense of situations.  For example, if a culture is collaborative, then at the centre of the web would be concepts such as “Help others”, “Good Communication” and “Altruistic”. Choi and Ingram then identified influencers through semantic network analysis asking questions such as “choose three people who are valued, and then…why is this person valued?” Using this information, they mapped out the culture, showing that some concepts were central, and some were distant. Cultural fit and therefore the strength of an influencer is then defined as the degree to which an individual has these concepts assigned to them. For example, your team members may describe their colleague Sam, as someone who regularly helps others and often takes time to explain decisions made in the team. Sam would therefore have high cultural fit to a collaborative company culture and as such would be a useful influencer in embedding this culture across the firm.

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Another method is one we use frequently here at Hot Spots Movement – the power of Crowdsourcing to solve complex organisational challenges. Crowdsourcing is an inclusive problem-solving approach that gives everyone in the organisation a voice, regardless of rank or tenure. This enables organisations to identify influencers from different regions, departments and levels, irrespective of their place in the hierarchy. During our Crowdsourcing Conversations, we identify influencers firstly, by highlighting participants who had particularly high energy and enthusiasm in the conversation, demonstrated by high participation rates. Secondly, we look at the quality of comments, to find those who added significant value to the conversation. And finally, we establish which individuals had strong social capital, these are participants who received a high number of comments, likes and praise for their comments. Only participants that meet these varied criteria can be defined as influencers and therefore individuals that our clients can engage with when launching a change programme.

With many companies embarking on transformation programmes, perhaps now is the time to find out who in the organisation really has influence. Contact me at john@hotspotsmovement.com to find out more.