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articles


Employee loyalty can be fickle - and fleeting
Consultant says businesses need to adjust to new attitudes

By Mike Dempster - Business Edge
Published: 10/06/2005 - Vol. 5, No. 34

Chuck Bean flips through the career ads every day. Each time, he shakes his head as employers ask applicants to send their resumes - but say they won't accept phone calls.

"It kills me," Bean says. "What about saying, 'Call me any time, we'd love to chat with you. You don't need a CV, we'll sit down and talk.' " In an era when the labour pool is shrinking and loyalty is non-existent in many companies, employers need an attitude adjustment, says Bean, president of Calgary-based consulting company Baxter Bean.

"Everywhere we go today the question business people are asking us is, 'What's happened to loyalty?' " Bean says.

"Eight years ago it was a moderate scream. Now it's getting louder. Everyone's heard about the Boomers and the shrinking labour pool.

Chuck Bean

It's not just professionals that companies worry about keeping, but it goes all the way down to blue-collar workers too."

Loyalty, of course, was thrown out the door years ago when organizations began slashing workforces. Today, the tables are turning and few companies can afford to have skilled employees walk across the street to a competitor.

What can be done?

Many solutions are framed in four key areas that have been kicking around for decades. But before addressing any solutions, employers and employees must understand and agree on the definition of loyalty in today's workplace.

Employee must understand and accept that their job is a vehicle that supports their personal lives, takes them on vacations and drives them into retirement. "I think that there's a sense of loyalty in that itself," Bean says. "That makes it a lot easier to get your head around doing a great job."

And the employer? Companies must recognize that people come to work not for the company, but for themselves.

To create loyalty, Bean believes businesses need to examine four critical areas, or pillars, to serve as building blocks:

* Recognize that there are now four generations of workers in the workplace, and that it is management's responsibility to understand and respect diversity inside the workplace.

* Understand the behaviours and values of people and be tuned into how employees think, how they act and how they work. For instance, the 20-something group is less materialistic and has less corporate loyalty than any other age group, a message that Bean says "we really want to get across."

* Empowerment. This is a big one. People want to be trained in how to make smart decisions. And companies must even let staff make decisions that potentially can end in failure, mistakes a manager wouldn't normally make, to assist the learning process.

Talent Maxtrix

Staff are more likely to feel worthwhile and offer some loyalty in return when businesses invest money, provide opportunities and take risks with employees.

* Companies must manage talent. Bean isn't talking about annual performance reviews. Leaders must ensure staff members are trained and get effective coaching, feedback and discipline.

While each pillar merits plenty of discussion, talent management is interesting.

Bean uses a form of matrix that allows managers to determine where employees fit in the company. It measures their behaviour and attitude (whether they're stars, strugglers or stragglers) against their skill level (can't do the job/can do/can teach).

To illustrate, consider the employee who has an excellent attitude and behaviour, can do the job, but can also teach.

This is a captain, he says. (In sporting terms think of the Calgary Flames' Jarome Iginla or Jason Smith of the Edmonton Oilers.)

"He or she is a mentor. That's the captain who you should be lining up people beside," Bean says. "Let that skillset and that great attitude rub off."

Conversely when managers assess a straggler, whose attitude is weak, they have choices to make. If the straggler can teach, or has shown he can do the job, he should probably be redeployed. However, if this person can neither do the job nor teach, then he should be let go.

Although companies with whom Bean consults feel it's a "pain" to do talent management assessments, more than half agree it's necessary. The downside is that proper assessments (both hiring and talent management strategies) take time, a valuable commodity when most businesses want things done yesterday.

But the reality is that good employees are becoming more difficult to recruit and retain at all levels, and they appreciate employers that take the time to ensure where they fit best in the operation. It's one way of creating loyalty.

It's the same notion with those career ads that tell the applicant, "Don't call us, we'll call you."

Strong organizations feel they should always be recruiting, says Bean, always looking for people, always open and welcoming to potential employees. Often another company's best employees are far too busy working to be crafting resumes. If they can pick up the phone, or drop in for a quick chat, sometimes the employer will find a real gem.

"I think it sends a message to the potential employee that you are an open company," he says. "It's a good first step in creating loyalty, because you value what they have to say and will take the time to listen."

Web Watch: www.baxterbean.com

(Mike Dempster can be reached at miked@businessedge.ca)


jacks
 

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