Employment Law, Organizational Development, C-Suite Planning, Talent Management, Engagement, Documentation and Compensation are the 7 minimum HR disciplines requiring dedicated focus in any single unique organization. Larger or more talent-centric employers will require additional disciplines of focus. The keys to success in each of these 7 critical disciplines can be quite distinctive, meaning a high-function team approach will likely produce best HR outcomes. While generalists should either be “big picture” oriented or adept at the most routine of company HR functions, the talent pool has simply not yet produced enough great generalists to go around. If you find one, hold on tightly and deliver resources. Today’s most savvy employers are partnering internal and external professionals to best address holistic organizational opportunities. Smaller employers enjoy cost control via flexible access to full-time caliber steady talent. All employers, including major market size, enjoy the benefits of third-party offerings.
The following drill-down sets forth today’s best practices in addressing the 7 disciplines independently and simultaneously.
Data-Driven Metrics are Critical, Yet Only as Valuable as the Applied Judgment
Collecting data for the sake of data is a widespread faux pas at this time. Data needs to support a reasonable hypothesis and promise end game of benefit surpassing cost of data. HR has earned its seat in the boardroom by producing undeniable results on the Income Statements and Balance Sheets, yet please avoid the assumption that all HR professionals grasp fiscal responsibility and know-how. Dubbed “The Pioneers of HR” in a 2015 Fortune Magazine spread, HRS knows exactly how thin the landscape was in prior decades, and we promise that more are boasting accolade than actually proven. While it’s possible to find a statistic to support any thesis you choose, be certain the statistic is valid and supports a meaningful takeaway for optimum outcome. Statistics can be developed internally or externally at the start, but should be benchmarked internally upon program commencement.
Keep a Professed Legal Expert in the Mix
A dedicated employment law consultant, a juris doctor and/or an attorney need to be on call and in visibility of policies and practice. HR should not be practiced without a keen eye on compliance. An employment law consultant should deliver an unfaltering knowledge of statutory and case law, plus holistic business acumen. An attorney should be your litigation representative and “go to” for filtered legal advice. Great HR firms, such as HRS, will balance the two for your greatest benefit. On the other end of the spectrum, inadequate compliance professionals are emerging everywhere, so vet your legal experts carefully. Non-profit associations and Payroll/HRIS vendors are unlikely to deliver due diligence here, have been caught delivering bad information, and will not typically suffice for court recognition of “reasonable care.” Cost-benefit analysis needs careful proactive thinking. A few items requiring legal savvy include handbook policies, ERISA Section 510, HIPAA, anti-harassment, trade secrets, ACA, FLSA, social media, independent contractors and joint-employer relationships, at a minimum.
Rethink the “Ivory Tower”
With Department of Labor (DOL) proposed overtime changes still embattled until late 2016, a major hike in minimum salary threshold may create unlawful “ivory tower” practices where they previously didn’t exist. Meanwhile, some key execs are already receiving above and beyond benefits creating ERISA, ACA and state law risks. A redefinition of “highly compensated” employees will also critically affect policy. Be mindful of benefits, payroll handling and policy discrepancies between exempt and non-exempt team members. Be proactive.
Engage Without Coddling
Attracting and engaging the right talent cannot be accomplished without employer branding and a precise amount of ethical bribery, in view of work ethic erosion and real economic demotivators. That being said, some novices out there are “over-coddling” and making a pure mess of things. Let’s not forget Maslow’s Hierarchy, ERG motivation theories and that truly happy workers have no reason to work at any stage other than self-indulging self-actualization. Give your employees a reason, reinforcement and the resources to attain corporate goals.
Keep HR and Accounting Completely Distinctive Functions at Lateral Vision
The keys to success in HR are absolutely neither a subset nor acquired along the accounting career path. These two critical functions each earn a boardroom seat, with critical communication between, and neither gets more leverage. While the HR effort cannot succeed without fiduciary vision and ability to assess proper fiduciary talent, the accounting effort can be tremendously successful with only limited communication from HR. In fact, too much information in the hands of the accounting team yields EEOC and HIPAA penalty risks. CFOs and CHROs are equally important and need independent perspective for 360-degree thinking.
Personality Tests Belong in the 1970’s with Mood Rings
Beaten down as unlawful 40 years ago, personality tests are somehow re-emerging for those who didn’t previously see the lightbulb. Throw in ADA protected mood disorders and the Pregnancy Discrimination Act, and personality tests tee up some real risk. Hiring without proper assessment poses even greater risk. Behavioral assessment delivers far more lawful, meaningful and reliable findings; keeping it job-related, predictive and risk free. Best options are still Simulation Scenarios and In-Baskets.
Create a Politics-Free Zone
Wherever you sit, divisionary tactics and heated arguments are likely to be found. The workplace is ripe for passionate political arguments that threaten. Other countries already classify politics as protected. Arguing the Bill of Rights from every angle, the U.S. has begun protecting employees against harassment and discrimination due to political affiliation. While the political forum is likely to emerge downright uncivilized for some, an opportunity exists to actually capitalize on the problem by aligning your brand as a safe haven for those who work smart, work hard and respect others. DeBono’s Six Hats of Thinking, after all, requires perspective from all sides.
Train, Train, Train! Talent May be Easier to Develop than Find
As a guest professor serving 6+ top-ranked institutions, I promise that even the best are concerned with proper education for today’s workplace. The employer who delivers appropriate development tools gains the competitive edge and exponential return on investment. Success is contingent upon corporate training in not only operations, but also workplace behaviors, leadership, organizational communications, problem solving and legal compliance. Avoid “canned curriculum” and deploy a topic expert to deliver on-point discussion and applied Q&A. Not only is it nearly impossible to “pick the right employee off a shelf,” but employees meeting life’s basic costs are willing to give up 15% of immediate pay for development opportunity. While cash can still be king and broken promises crush credibility, consider a well-balanced approach as investment into both employee and employer.
Take HIPAA and Anti-Harassment to New Levels
New privacy crackdowns and government fines are being wielded about. Privacy lockdowns are a “bottom-up” approach. Be certain your leaders are trained to refuse all such information except on a “need to know” basis. Knowing the wrong things about your employees can backfire just as much as knowing too little. For lawful compliance, even an HR department may need 5-7 separate files per employee depending upon the structure, and many items should never leave HR’s gatekeeping. Department managers, accountants, IT and company-wide team members need updated HIPAA training and enforced compliance -- pronto. Hand-in-hand with HIPAA, and with interplay between, Anti-Harassment due diligence needs another escalation. With newly protected classes, increased tension and steeper penalties, the courts are busy, and the courts are expensive! 3rd party experts can provide “affirmative defense” certifications not available through internal or video-based training.
Choose Carefully Your Automation Levels and External Partners
A well-implemented HR automation system can exceed 300% ROI through vastly improved efficiencies and turnkey statistical decision tools. While this opportunity cannot be overlooked, some are going too far and reversing the benefit. Before we dehumanize human resources, 1) safeguard ability for audience adaptation and case-by-case judgment, 2) recognize that more keystrokes do not improve efficiency, and 3) lock down intellectual property where law allows. Inasmuch as HRS is recognized by the USPTO for world-deployed HRIS automation invention, we know the boundaries. Don’t let your payroll and HRIS companies sell you the functions at which they fail. And finally, when choosing external partners, look for those who bring track record of success and extraordinary knowledge base, rather than just shiny new things that will become yesterday’s forgotten toys.
Jessica Ollenburg - Thursday, May 12, 2016
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HR has spent years in the “HR needs to provide business value” debate with the rest of the organization. At numerous points over the past 30 years, the field of HR has been challenged to prove that what they were doing held value and contributed to all facets of operations. This has been a hot issue over the past year, with numerous bloggers and consultants posting their views of how HR needs to be defined heading into 2016. SHRM even stated that the modern CHRO needs to be, essentially, a superhero. With all of this going on, you’ve probably read a majority of these viewpoints and are now contemplating which definition stands the truest. Your answer? In short, all of these definitions stand true. If someone out there believes that HR needs to be something, then there has to be at least some demand and truth behind that definition.
HR needs to perform a multitude of different roles for an organization. While it is certainly difficult to excel at everything that’s called for, we do have the ability to simplify all of these different calls to action into a simple, catch-all 5-point definition.
We hope that you find this two-piece article to be the final, and brightest, light bulb you need on this subject. This article is Part 2, which lays out a definition of what HR needs to be in 2016. Part 1 is The 7+ Disciplines of HR and How to Address Them All at Once by Jessica Ollenburg.
Part One: Analytical
Businesses thrive on data. Despite the fact that data became a popular buzzword in 2015, this has always been the case. A data-driven mindset means everything to a business. But what is data, really? In the simplest form, data is information. Nothing more, nothing less. Therefore, we can look at processing data as equivalent to understanding information, and we can therefore simply label this trait as one being analytical. That’s part one of the definition: can you understand what the data is telling you?
Part Two: Business Savvy
Understanding the data isn’t the whole picture, however. It’s only half the process in meeting the C-Suite’s demands. HR also needs to be able to identify the information their C-Suite truly needs to consider. While the other leaders within your company may understand the final result that they need from HR, they likely won’t understand what data is necessary to get them there. Just as is true with all aspects of operations, all parties at the table will (or should) understand and agree upon the end game for the organization, but it’s up to you as your department head to assemble the nuts and bolts. Remember: that’s why HR (or anyone with a specialty) has been hired in the first place.
Part Three: Confident
This one might be the most surprising to you. Confidence is becoming more and more key to success in HR. HR must have the confidence to trust their abilities and successfully analyze the data, all while having the confidence in their knowledgebase to lead the rest of the organization by presenting the information that truly needs to be looked at.
This confidence isn’t just in your work, however. Recently, a new phenomenon has entered the world of HR: pride. HR has a sense of pride that it’s never had before. Not in a negative way, but in a confident, friendly-competition sort of way. More and more HR professionals are looking to assert themselves above their peers, just as has been the case in other business functions for so long. If you want to last in the world of HR these days, you have to prove that you’re better than the next person, and that leads to the bravado in asserting yourself as one of the best. Make sure you have pride in what you do, because you will make a difference.
Part Four: Relatable
HR needs to be relatable. That’s part four. Relatability should be a goal for you even if your goal isn’t to be the People’s Champion HR. This definition of relatability, however, doesn’t necessarily translate to being likable. You don’t need to be likable in the sense that everyone loves you, but you do need to be likable in the sense that everyone respects you. Big difference. HR needs to be able to obtain by-in from all aspects of an organization.
By enticing communication and knowing all aspects of your workforce, you are garnering the maximum amount of information necessary to do your job. By having all of the necessary information to succeed at your job, you can be confident. By being confident, you can be assertive and present the right information to the right people. By presenting the right information, you are being data-driven and making your C-Suite happy. See how it all ties together?
Part Five: Holistic Mindset
Lastly, we arrive at one of the most critical points. Just as HR needs to be relatable to all the other divisions within the organization, HR must also have enough of a knowledge base in all those parts of operations in order to be relatable and successful. Accounting, IT, fiscal prudence, Marketing, Engineering…you name it. You won’t truly be able to gain the respect you need if you don’t prove yourself in all of these areas (plus more). Additionally, you need a knowledgebase in all of these areas in order to be able to meet a department’s demands and put together a holistic, data-driven solution. After all, how do you know what’s best for your organization if you don’t have a fundamental understanding of how the rest of your organization operates?
So there you have it. Our final definition of HR stands as thus:
HR needs to be analytical, business-savvy, confident, relatable individuals with a holistic mindset. It’s not so bad once you break it all down, is it? You have a blueprint on where to begin. Now comes the hard part, however…achieving all five of these traits.
Matthew Bare - Thursday, May 12, 2016
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As we address the skills gap and the need to change how we educate, the skills most lacking are those related to problem solving, work ethic, leadership, time management and organizational communications. Unless and until we can rely upon pre-employment training to develop these toolsets in our team members, employers need to absorb the burden of this development, thereby enjoying the incredible ROI on the initiative. Many are still failing to capture this incredible upside opportunity.
As corporate educator, guest academic professor and consulting CHRO to both academic institutions and a wealth of employers realizing the outcomes of pre-employment education, I draw upon 360-degree visibility, impact and passion.
These 5 key skills represent the most critically lacking employment skills, as well as, the most efficient means of employer resolution. These also represent the most popular and successful HRS workshops across widespread talent functions, hierarchy and lifecycle stages.
1. Problem Solving:
There is nothing less common than sense, and few academic institutions are properly developing critical thinking. With the crazed-wave deployment of unlawful personality profiles and meaningless instruments, we’re strongly recommending talent assessment such as the SR2, pinpointing problem solving, trainability and critical thinking beyond job knowledge. Critical thinking can be taught, and many unique problem-solving styles can succeed in the workplace. Critical thinking is not necessarily a pass-fail proposition. Via proper assessment and delivery, educational bullets such as problem solving, data interpretation, metrics, cost-benefit analysis, and the Six Hats of Thinking are highly effective at identifying individual trouble spots and capturing opportunity for development.
2. Work Ethic:
While the U.S. continues to lag global competitors in average work week and appropriate recharge use of break time, productivity will equally lag. Employers have a responsibility and an opportunity in setting forth culture and expectations of the work hours, commitment and focus needed for individual and corporate success. The less committed employees are demotivating the more committed. Window-dressing engagement is not enough. As third party expert educators, we’ve realized the upside, and we need to get this message out! If work ethic factors are extrinsic, corporate education can mitigate, if not eliminate, the problem.
“Cash is King” only to the point that life’s needs can be afforded. Thereafter, employee retention, employer brand, risk management and workforce productivity all rely more heavily on proper leadership. Old-school methods of promoting the best “doers” are rightfully replaced with promoting more interested and trainable leaders, and then developing them with lifelong leader learning. Poorly trained leaders decimate success in a labor-intensive organization. Furthermore, as long as employees are willing to forego 15% compensation for a better boss, employers find a less costly and more productive win in properly selecting and developing leaders. For proper role modeling and culture, leaders must be seen embracing learning, while balancing their immediate credibility. Leader learning is best deployed as a partnership between internal and external expert trainers.
4. Time Management:
While the first component of time management might be gaining worker commitment to expand the workday, actual time management and efficiency-based routines are currently under-taught. While lean thinking and efficient use of technology are often properly attended, time management in work flow planning, appropriate multi-tasking, prioritization, communication tactics, team meeting protocol and compartmentalization are critical to education initiatives. By teaching holistic time management, we additionally reduce energy shift and optimize quality.
5. Organizational Communications:
Beyond the time management principles involved in crafting communications, fabulous upside is gained through proper teaching of communication mode selection, non-verbal cues, body language, time, place, audience and tone. While anti-harassment is lawfully essential to employer reasonable care, teaching acceptance of dissimilarity also delivers competitive edge, better invention and enhanced problem solving. Exceptional curriculum includes the benefits of diverse thinking, as well as, the protocol most effective with each of the 16 personality types. Today’s most popular topics also include Internal customer service and building organizational bridges.
When teaching these 5 skills, 3 key rules are critical to learning, yet still under-attended by those employers missing the mark. These 3 simple rules include:
1. Address unique audience learning style and aptitude,
2. Deploy simultaneous assessment toward curriculum development and success benchmarking, and
3. Remove fear of reprisal.
More specifically, participative learning remains preferred by most, while auditory learning remains least effective. Pacing too fast, too slow and/or audience adaptation failures remain common pitfalls. Training from, or in the presence of, supervisors creates fear of reprisal and fear of presenting the “stupid question.” (I always remind here the only stupid question is the one not asked.)
While employers cannot rely solely upon external expert educators, both internal and external trainers must partner for optimum learning. Roundtable workshops, facilitated by topic experts deploying Gestalt Protocol, are the fastest and most meaningful method of speed-track knowledge transfer and useful application. Live case studies are highly engaging for even those not prone to academia, and these similarly avoid distracting perception of internal bias. In our corporate education series, our own case studies are revealed in full protection of employer confidentiality and intellectual property, of course.
We invite you to stay tuned for continuing information on this topic including steadfast findings and ever-emerging trends. Keep training!
Jessica Ollenburg - Friday, April 15, 2016
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Starting tomorrow, your company might become part of an annual epidemic that costs the U.S. economy over $1 billion an hour. March Madness, the NCAA postseason basketball tournament, is a national phenomenon, and it has been giving employers headaches for years. Each year, employees gather around their electronics every March to stream games and check scores to keep up with their bracket, and this time away from work leads to unbelievable amounts of lost productive hours. This year’s total economic impact may even top the $4 billion total within the first week alone (To view the math and stats behind this, you can click here for findings from Challenger, Gray & Christmas, whom perennially compile a report).
March Madness cannot be ignored if you’re an employer.
First, let’s take a look at what you need to be aware of when it comes to March Madness, and then we’ll explore options on what you should do for your company. These options aren’t about whether or not you should create an office bracket pool (gambling laws aside)…it’s about something much more pressing: what do you do during the actual times of the games? You see, it’s not just about workers stepping away from regular tasks and being less productive, it’s also about the stress that all this video streaming will put on your IT.
Times You Need To Watch: March Madness starts on March 17th this year, and this will be the single date that causes the most stress on your infrastructure. In terms of realistic expectations, this should be the primary day that you are concerned with. Beyond this day, you only need to truly be concerned with game times of the local favorite teams. If you concern yourself with these two details, then you can reasonably label all other tournament activities during work hours as excessive, and you don’t need to concern yourself with them. For example, any worker that completely checks out frequently during the entire month-long schedule of the tournament likely isn’t a very dedicated employee and can be dealt with accordingly.
Now, what do you do with these times? What do you do on March 17th, and then when your local team is squaring off in a “win-or-go-home” game that defines their season? You have two options: shut it down or embrace it.
Option 0 – Laissez-Faire: The easiest option, which we’ll address first, is to simply acknowledge that your employees who want to watch the games at these times will do so, and just let them stream it on their individual devices. Make these two timeframes open for streaming, and make it open season for them. This option is easy, and requires no forethought on your part, but is not without flaws. We don’t recommend simply blocking sites as there are way too many illegitimate streaming sites to track. You won’t be able to block them all, and the ones that you don’t block will be far more harmful to IT than cbssports.com.
Option 1 – Shut It Down: There are multiple reasons for why you may want to go this route, and they all primarily center on the notion that there are deadlines and customer needs that simply cannot be moved, and your operations just cannot take the hit. This is reasonable, and it’s your prerogative as an employer. For those of you who are looking to prohibit activities and completely shut down employee access, you need to completely remove the temptation that individuals might have to want to check scores. Get them away from their computers! Schedule important meetings during these times, as an example. It is possible that certain employees may be distracted and preoccupied during such meetings, but your truly valued and invested employees will absolutely buy in to the meeting if it’s important enough, and you can always explain that the work takes precedence. Your best employees will understand.
Option 2 – Completely Embrace It: Provide an employee appreciation event surrounding the tournament. It’s so simple that it’s brilliant. If you have a budget for these types of activities, there is no better day of the year to spend it on than the first Thursday of the tournament. You will easily get the best ROI and value on your dollar. Pick a conference room to gather everyone (or let them come and go) and stream the games on a big screen. Or, why not find a restaurant or other establishment that will host you? Tip: have the employees bring their laptops/tablets with them to the room so that they can still monitor any activity during game time. Chances are, though, that roughly half of your clientele is likely checked-out watching the games, as well, and won’t send you anything. Still, it’s a nice, friendly reminder to your team that the customer always comes first, but still keeps everyone in a very positive, very grateful mindset. If you’re booking elsewhere, make sure that they have Wi-Fi capability so everyone can log in. Obviously, it’s a public network so there may be security issues, but the establishment won’t mind because they expect this strain on their network at these times…and it’s worth it for them because of the revenue they’re bringing in. Note: if employees don’t respond positively and gratefully, and take it for granted, than you may want to shut this down.
Option 2B – Bring Your Customers In, Too: Are you considering doing an employee appreciation event? Why not go all out and expand it into a customer appreciation event? Invite clients out to your office or to your reserved space to join in on the festivities. Make it a networking/appreciation event for them. Chances are, people who like the games (and those who don’t) will consider attending if you’re giving your beloved customers a chance to talk with you (about business or not) in a more relaxed setting. Invest in those relationships!
Tip: Even if you’re not doing an event yourself…Do you believe that your customer is going to be heavily invested into a game at a certain time? Maybe hold off on correspondence to them during that time! It’s small, but they may appreciate it.
Matthew Bare - Wednesday, March 16, 2016
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It’s 2016, and the industry of Payroll/HRIS systems is exploding. New systems are constantly being introduced, and each one is claiming to be the one and only “expert” in the HR field. With all of this going on, the question arises:
How exactly do you make sure that you are using the best system that’s available?
With the ever-flowing current of new systems and information coming your way, numerous businesses are finding the value in a third party administrator who has experience and comfort with a given system to assist with administration and payroll entry. Today’s payroll specialist requires knowledge in employment law, tax, compensation, benefits, HRIS, and general HR subfields. Yes – it’s getting more and more complicated out there, just as the rest of the HR world is.
We at HRS have been assisting our clients with payroll design and operations for years. While we’re seeing more and more companies looking to outsource this process, payroll is still a function that a number of individuals prefer to keep in-house. So, let’s ask the question: How exactly do you make sure that you are using the best system that’s available?
The first thing you need to know about the HRIS industry is that no system is perfect.
This is critical. Each system has its pros, cons, and inconsistencies, and we have yet to find a provider that truly excels at customer service – an ever-elusive tool in the technology-driven business world. In general, what you want to look for in a system is a provider which positions itself as “HRIS-first”, not “expert-status-first”. Why? It’s all because of a key instrument you need as an HR professional: data. Data is the buzzword of choice for our business society, and CEOs are going into 2016 looking for data and data-driven recommendations out of HR. Because of that, you really should be looking for a system which provides you with the data you need first and foremost. You can always analyze the data yourself, or find another third party who can help you analyze the data and provide you with recommendations. If your Payroll/HRIS system does not do an excellent job at providing you with the data you need, even if they do a good job at being “experts”, then you’re genuinely going to find yourself behind. It’s going to be hard and time consuming for you to come up with the information you need without a proper electronic aid.
The second reason not to put too much focus on a payroll system provider’s HR knowledge base is that most of these providers truly fall short of “expert” status.
Payroll providers don’t always give the right recommendations and, furthermore, most of them are not court-recognized experts. Consider this: should you be given bad advice from a payroll company, you really can’t point the finger back at them. All of the legal blame would rest with you. Additionally, quality service personnel across the industry are very elusive and are not something that can truly be counted on (no offense to any individuals personally). We’ll take a deeper dive into service quality later in the article, but the point remains that this is another reason to focus on system and data quality first.
So, now that we’ve identified the main criteria, let’s ask the question again: How exactly do you make sure that you are using the best system that’s available? It might actually be the system you already have. Since no system is perfect, you may have already found a system with which you are comfortable and gives you enough efficiency. After all, risking change and taking the time to learn a new system always offers the risk of lost efficiency. However, I will tell you that it is highly probable that there is a system out there which can be more efficient and affordable than the system you already have, and the transition does not have to be painful. Think of it this way: if you think you’re paying too much for a service or spending too much time performing certain tasks, trust your instincts and know that you’re probably right.
Here are the top four features you want to look for in a Payroll/HRIS system:
1. Grid system for payroll entry: Let’s start with an easy one. If your system doesn’t have this for payroll entry, then you’re really missing out on efficiency. The Grid in any payroll system allows for quick and easy entry of similar line items amongst candidates. Certain systems only offer you the ability to enter pay items on a per-employee basis, and there’s going to be at least some times when that’s not the most efficient means. In fact, the ideal system offers you both Grid and per-employee detail system views. Both methods have their place, and both systems should be in your arsenal. If your provider only gives you one – trust us, you can do better.
2. Reporting Functions: If you feel that your reporting system is too complicated, cumbersome, or takes too long to get you the data you need, then it’s probably exactly that. In today’s high-tech world, there is no reason your system shouldn’t give you push-button feedback. There are systems out there which give you quick and accurate information, and I’ll present one to you at the bottom of this article. Look for a system where you know exactly where, and how, to get the information you’re looking for. You’re busy, and your time should be spent analyzing data rather than searching for it.
3. ACA: Similarly, you will want a system which focuses on high quality features that run accurate and timely ACA reports. This is nothing to take for granted – we’re in 2016, and we’re seeing a number of systems fall short in this capacity. What’s important is that you find a system which generates all of the information you need for ACA reporting and asks very little of you. We’ve seen some systems which take your money and still have you complete a substantial portion of the data entry yourself. That’s pointless. If all they’re doing is filing for you – please know that is the easy part. If needed, you can always find an ACA expert out there. Make sure that your technology is working for you and giving you the information you need.
4. Individual Reps:
This one should be self-explanatory. There are enough providers out there that assign dedicated CSRs to your company; you don’t need to settle for less. The important thing to look for with your reps is that they are knowledgeable in their own system – they know how to fix the system’s problems and provide you with information on the best way to accomplish a certain task. This can’t be taken for granted, as individual reps within a provider will often disagree on the best methods for handling issues. As a further example, their legal compliance knowledge (if they have it) won’t seem quite as helpful if they’re setting up your earnings and deductions codes in the wrong way. Again – no one is perfect here, but there are some that are better than others.
There are other features which will be more or less beneficial on an individual basis, but these are the four that everyone needs to look at.
Now that we’ve done that, here is a comparative analysis of the three most popular systems we see our clients using (in alphabetical order):
1. ADP: My least favorite, in all honesty. A lot of people have used ADP, and a lot of people are starting to jump ship. In fact, it’s so much that ADP has hired Boston Consulting Group to conduct a study to figure out how to prevent the loss of clientele and improve their system. ADP offers all the basics, but their customer service model is ancient. Most of the other systems give you a dedicated rep, and don’t cost any more money…so why exactly would you put up with their outdated call center model? Outside of that, ADP offers most of the essentials that you’d look for. However, it can be slow and clunky at times and really doesn’t offer anything that sets it apart, other than being a big company, and, frankly, that means nothing in today’s world. Modern business has been preaching for years already that adaptability and quality outweigh, and reversely correlate to, size. Lastly, ADP only provides you with live check preview as an add-on service, which is a very helpful feature and comes standard in most other systems.
2. Paychex: This may be surprising because most industry professionals I’ve talked to have proclaimed Paychex as “the aging dinosaur” you need to move away from. Truth be told, ADP fits this description far more than Paychex does. In fact, Paychex is still a fairly reliable system, and you can do much, much worse. Paychex does offer you a dedicated rep, but they have also silo’ed their company into numerous divisions that can make customer service frustrating at times. Sometimes, you’ll get the “I’m sorry, you’ll need to talk to so-and-so to fix that problem, call them” and you’ll be stuck calling 3 different individuals. Although, in their defense, they are actual dedicated reps so you’re not stuck calling hotlines most of the time. Paychex customer service is a wild card – some of the best reps we’ve ever worked with have come from Paychex, and they will truly do everything that they can to be helpful and be very knowledgeable in fixing seemingly any problem. These individuals, however, don’t always stick around and are typically targeted for promotion sooner rather than later – leaving you with a new rep who might be just as good, completely unhelpful, or anywhere in between. Looking at operations, Paychex’s actual payroll software is easy to use and reliable, but we’ve seen some monstrous errors happen once you start to venture into some of the benefits and ACA services – be forewarned.
3. Paylocity: The up-and-comer in the industry. Paylocity has shot out of a cannon and is growing at about 30-40% per year – an astronomical number. Such growth, as with any company, can lead to quality control problems, and sometimes their customer service training can lag behind their growth rate. Our experience with Paylocity customer service has been similar to that of most other systems, including Paychex – it can be good, bad, or anywhere in between. The system itself, however, really is unsurpassed. A lot of industry professionals criticize Paylocity of two things: 1. Their “low-ball” approach to win customers and 2. Their “Frankenstein” approach. Firstly – the “low-ball” approach in pricing. In this particular instance, that doesn’t affect you as a consumer. Here’s why: given that no perfect system exists, why should you pay more for a system that merely pledges it’s better than any other? The added value likely won’t be there. Secondly - the “Frankenstein” approach comes down to how Paylocity outsources their HR expertise, benefits consulting, and other services of the like to true experts in those fields. It may be convenient to have a company like ADP or Paychex that can provide you any form of HR consulting known to man, but what often happens is that these companies succumb to a “jack of all trades, master of none” phenomenon, and you’re much better off finding a dedicated HR consultant who delivers good information and can work alongside your HRIS system. It may appear to be less convenient, but will almost always get you better assistance and is, at least, no more expensive of an option (and, believe it or not, can be cheaper). Paylocity understands what their role is in HRIS, and they have it where it counts. In particular, their reporting format is one of my favorite features of any system out there. You can run any form of report, and even run report-like searches from the standard search bar, and it comes to you instantaneously. We have seen one client who had issues with reporting; however, it went more to a service/set-up issue as opposed to a system issue. Paylocity might very well offer the best technology at getting you the data you need as an HR professional, which is ultimately what we’re looking for under this thesis.
Do you agree? Is there a system that you’d like to know my thoughts on that I didn’t address here? Do you have a system that you swear by that you feel I’ve discounted? Contact me
and let me know! I’d be happy to talk.
Matthew Bare - Tuesday, February 09, 2016
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When happy workers become complacent, work suffers. Simultaneously, demotivated workers are a substantial threat to business viability. A blueprint of empowerment exists.
Not long ago, many C-Suite leaders displayed skepticism when advised that ‘happy workers are productive workers.” To a limited extent, this skepticism served them well.
Per definition, motivation is a reason for behavior. The most widely accepted longstanding theories, such as Maslow and ERG, force us to question if “happy” is in fact the absence of motivation. If “happy” equates to Maslow’s self-actualization stage, why would happy workers be motivated to excel? Furthermore, is “happy” an effective measurement and business criterion?
Decades of studies have validated the pragmatic human capital approach to talent management, yet certain extremists are still peddling a “puppies and sunshine” approach to business. While “happy” workers are not necessarily a meaningful target, and are certainly not a lawful target, let’s explore a more prudent target.
Is “Happy” a Meaningful Criteria?
No astute business leader will ignore today’s five to seven-figure risk of incorporating terms like “happy” and “attitude” into performance criteria. Mood disorders are specifically protected by the EEOC, especially via the Americans with Disabilities Act and its subsequent amendments. Therefore, evaluating happiness can be discriminatory per both statutory and case law. All performance appraisal toolsets that previously carried this language are no longer safe to deploy and require recrafting. With expert guidance, updated terminology equally protective of workplace outcomes is available.
Highbrow thinkers often characterize “happy” in the same realm of “utopia,” where “happy” exists as a non-sustainable target rather than a constant state of being. That being true, optimum productivity exists in the individual who can achieve fleeting happiness in the workplace and finds that work excellence is the path to attainment. That worker, in the proper performance management system, then repeatedly pursues the fleeting sense of “happy” through positive work behaviors, well-aligned with the organization’s goals. This assumes the worker is at socio-economic level beyond basic safety and security needs. An employee whose food and shelter are threatened may throw “happy” out the window quickly for extra money or job security.
Today’s expert business leader recognizes that motivation cannot happen without hope and incentive. Demotivation occurs when employees are not properly rewarded for positive performance. An employee who exceeds expectations may not repeat the excellence if behavioral reinforcement is absent. Rewards, however, must be commensurate with the performance. Both extrinsic and intrinsic rewards collaborate together in a well-aligned system, refraining from impinging upon the other’s efficacy. A bonus for only adequate performance, for example, strips intrinsic motivation and creates a derailing reward system. A bonus for no performance, as today’s federal government often promotes, most certainly strips motivation and threatens productivity.
A Relaxed Mind is a Productive Mind.
More meaningful than the elusive “happy” is cognitive ability. Productivity and creative problem solving are increased when negative noise is averted. The noise of fear, anxiety and negative emotion shut down the capabilities of most, while a few might benefit from a brief adrenaline rush through sympathetic nervous system response before crashing. Where a team member believes he or she can succeed and shall receive betterment as a result, and where the negative noise is quiet, the team member is exponentially more likely to demonstrate positive work behavior.
Quality of work life deliverables which facilitate problem solving are frequently deployed by companies who depend upon invention and creativity. Work campuses and work days designed to unlock mental energy flourish. Wellness is a powerful human asset which translates into positive corporate output.
And the Answer Is…
The discussion of “happy” workers is not only an irritant to many business pragmatists but also lacks legal risk management and, quite frankly, lacks tangible meaning. The real discussion is about workplace productivity as defined by motivation, environment and leadership. Again, motivation is a reason, and complacency will not do. Failure to deliver proper incentive will also not do. We advocate and deliver lifelong learning for leaders, accompanied by proper crafting and delivery of performance management systems. New leaders do not instinctively know how to lead and require solid formal training, often in a kinesthetic learning environment. In any talent-intensive organization, getting the right people doing the right things is the heartbeat of success. Keeping talent management at C-level authority is critical.
Jessica Ollenburg - Thursday, May 14, 2015
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Make no mistake. HRS has been a substantial supporter of worthy nonprofits since our inception, and our Angel Wings
and HRS Gives Back
programs are fabulous examples. In the face of that, certain nonprofit associations, not specifically tied to greater good, are abusing tax-exempt status, betraying taxpayers and delivering dangerous advice. We warn to be wary.
A disreputable few nonprofits are beginning to cross the line and betray their status. In the world of HR, employer membership associations done well can be great places to swap case studies, find research, attain broad-based information and acquire non-custom tools. Those that promise to give advice, however, are in direct conflict with IRS tax code and their rights to the tax breaks they demand. Specifically, IRS tax exempt status prohibits a nonprofit from serving, addressing or advocating specific interests of individuals or individual members. This IRS covenant stands to prove that any nonprofit addressing the unique interest or custom need of an individual member is likely practicing tax fraud and is specifically ill-equipped to provide meaningful adaptive solutions of quality caliber. Some are delivering dangerously poor advice, resulting in six or seven-figure disaster for constituents. One such criminal was recently found distributing an employment application template unlawfully bearing a social security number field.
HRS continues to support, contribute to and partner with a wealth of professional associations relevant to our fields of study. You will find our logos and sponsorships proudly displayed. The best of them provide complimentary benefit to tax paying consulting firms and internal employer expertise. Similarly, IRS code also requests nonprofits to refrain from providing service available in the private sector market from tax paying employers. Any nonprofit that dramatically changes its service line in recent decades does not find itself exempt from responsibility to tax exemption covenants. Criminal behavior remains the outcome.
We at HRS embrace additional opinions on any topic of consequence. Our own boardroom approach to client problem solving demonstrates our ideology. Our multi-rater approach to assessment scoring further validates. With HRS, you already find holistic approach and several experts represented in any single proposed solution. As far as competition, we welcome competition. Today, seven critical disciplines fall under the HR umbrella, and the generalist needs specialist partners to get it done right. Having opened our doors before widespread HR demand at executive level, we welcome those who help us promote the critically expanded role of HR and those who keep us on our toes.
However, in a world where worthy nonprofits that save lives, advocate human rights and protect our kids are starving for government support and are suffering government cutbacks, we demand the non-legit nonprofits back away from the table. When nonprofits compete with tax paying firms, by definition and tax code, the nonprofit is not a legitimate nonprofit… in the wrong and abusing greater good. Tax breaks, grants and donations are sadly misguided when nonprofits dishonor their status. Buyers and taxpayers are called to use their voice and their buying power to encourage reform for greater good.
Jessica Ollenburg - Tuesday, April 07, 2015
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Let’s take a trip down memory lane, and recount the mindset of our society:
The year is 2009. The economy is in a massive struggle, and it is still trending downward. We see several busts, crashes, and every conceivable angle at which our financial sector could fail. Most Americans are either about to lose or have already lost a significant chunk of their life savings. Things look grim. Remember what that felt like? I’m sure you do…all too well.
It is at this time that a decree is handed out to corporate America, “Every business shall either adapt…or fail.” In order to survive during these crumbling economic times, a company had to scale back and had to become lean. Unnecessary waste and, more harshly, “unnecessary” jobs, had to be cut in order for the majority to survive and maintain their livelihoods. We all remember these times, and, chances are, most of us are still feeling the effects of these changes just a few years later.
As businesses were faced with these decisions, the ones who survived all seemed to make a common decision: just as the company had to become agile and adaptable, so did the workforce. What followed then was a decision to hire young, developable talent (a.k.a., adaptable talent). It was a smart decision; hire the young guns and develop them to be the people you will need in the future. This was not only smart because of the adaptability factor, but also because of the cost factor. Hiring a YP could be much cheaper than hiring a senior level employee.
This was such a smart decision that, as mentioned previously, numerous employers jumped on the bandwagon and made this a national trend. We saw this out of the majority of our clients here at HRS: many wanted to hire the younger, more developable, cheaper talent; it made too much sense to ignore.
Of course, the adverse effect of this was that the senior, higher trained employees became less in demand. At every turn, older workers seemed to be passed over for the younger talent. Employers no longer wanted to pay for the more experienced, more expensive talent. It wasn’t of the same value anymore, and it wasn’t as affordable (side note: this also likely explains the beginning of the YP boom, and also the analysis of the generational gap).
Our country, in unison, made the statement to a segment of our working population that all of their training, and all of their experience, was no longer valued and was no longer part of the equation to better our broken economy. Out of nowhere, U.S. workers who spent their entire career learning specific skillsets were told that they had, essentially, wasted their time. I’m sure you can understand how this would feel – or maybe this even happened to you directly.
Now, let’s fast forward to the present day: it’s 2015 and we have been in the midst of a multi-year discussion about how to fix the lack of talent and appropriate, usable knowledge base in our talent pool.
What happened to those workers we passed over that had that training? What happened to hiring younger talent, and developing them ourselves? What happened to our plan?
Short answer: the knowledgeable workers have become discouraged…pun intended.
Long answer: Our economy, almost instantaneously, went from a place of choosing not to hire the senior employees, and identifying advanced skill sets as “less than preferred,” to a place where suddenly those skills don’t exist, and haven’t existed for a long time.
We went from a place of telling the experienced worker that their skills were no longer valued, to a place of telling them that they never had the skills to begin with. Talk about being discouraged…
One of either two things is happening here, Corporate America: 1) We have forgotten about the discouraged worker, and we are wondering why the young professionals don’t have the hard (or soft) skills of a seasoned professional after only a couple years, or 2) Our demand for workers’ skills is rapidly changing and outpacing our supply. We have become too ethereal and ever-changing with our ideology of the “perfect worker,” and the common population just can’t keep up with the changing trends.
Either way, Corporate America, we have grown impatient. I’m sorry to say it. We signed up for the inexperienced, developable work force. We can’t be upset now that they don’t have the skills we are looking for…when we are the ones who haven’t given it to them. Our economy spent decades’ worth of time, energy, and resources training the workers of pre-2009 to have the skills we needed. Let’s either not let that work go to waste, or acknowledge the fact that we may need a few decades (not months or single years) to embrace the change.
Let’s give our workers a break. They’re not incapable; they’re just trying to keep up.
Matthew Bare - Friday, January 30, 2015
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I’ve long been a fan of Apple. Close to every piece of tech I’ve bought since 2007 has been manufactured and pioneered by the industry giant. I loved the design and ease of use of each product, and I loved how seamlessly they all worked together (The ability for me to stream my music library through my AppleTV, and subsequently through my surround sound system, and control said music by virtue of an iPhone/iPad app? Simply amazing). I believed strongly in what Apple was doing, and I would glue myself to my newsfeed every September to read about the next developments to come out of the WWDC. All of this is true; however, what would be more accurate is to say that I loved Steve Jobs.
Steve Jobs was, and still is, one of my premiere business idols. But now that Steve is gone, it doesn’t seem that Apple is going to maintain. Apple is trending down.
We all know how hard it is to replace a visionary like Jobs (and yes, I feel that I can safely use the term visionary to describe him). It appears, however, that Apple didn’t even try. Apple didn’t try to find the next innovative mind to lead them, but rather brought in fiscal-minded Tim Cook to eat up the profits. Tim Cook may deliver exactly what he’s supposed to, but Apple will lose its identity in the process. The only way for Apple to save itself from what I’m about to describe is if they view Cook as a stepping stone – an intermediary until they find that next innovator.
The statements made in this advertisement were ones that had been circulating for months surrounding the new iPhone release – all Samsung had to do was compile them into a 30-second spot and showcase it to the world. The work was done for them, but Samsung was brilliant to take it right to Apple.
How do we know that Samsung has hit Apple right in the gut? We have yet to see any response from Apple.
Sure, we can argue that the numbers speak for themselves (over 4 million iPhones preordered at last report), but the truth is that these statements made in the Samsung commercial are RIGHT: There is nothing innovative about the new iPhone. There is nothing exciting about it other than that it is new. The best thing Apple has to say about the new model is that it’s bigger and better than the old model. Apple has completely missed the innovation train for the first time since Jobs’ return in the late 1990s. It has lost its competitive edge.
Apple is trending down. Apple positioned itself to focus primarily on the phone and tablet market, and all they did was copy their biggest competitor. Apple was once in position to lead and “front run” this market for eternity – they could have always been the first mover and leave everyone else playing catch up, and it’s completely unflattering for them to now simply copy someone else.
I fear that Apple is losing focus of who they are (see the recent discontinuation of the iPod classic for reasoning of that opinion, which is a completely different diatribe). Apple’s innovation was certainly tied to that of Steve Jobs, but they don’t need to repeat the innovation of Jobs. They can be innovative in new ways. There are always ways to take a shot at something new and creative – even if you swing and miss – but, right now, Apple isn’t even picking up the bat.
If they don’t move on from Cook in the long run and get back to their innovative ways… Apple is going down.
Will Apple Rebrand and Re-posture?
Apple can do this! While this giant clearly appears to be floundering, having abandoned the original identity without clearly defining a new identity, record-breaking sales validate that consumers are buying tickets to see what happens next… even if it’s a train wreck. Inasmuch as every point Matt makes needs to be noted, second or third-mover status often wins, and this could be Apple’s “next big thing” or alter-ego. They have time and resources to turn this into a “win,” but will they?
First-mover status put Apple on the map, but second-mover status can posture for improved market share. HRS and other visionary companies are typically the inventors of the next great thing, but giant companies successfully thrive upon monitoring competition and knocking off ideas on larger volume scale. Likely, the absence of Steve Jobs is felt and the former brand is no longer viable. Is Apple changing its model by design or disaster?
The Apple brand is blurry now, but record-breaking sales are a great platform from which to fix it. Will they re-posture successfully? If enough of us point out the pending disaster, will they react? Time will tell. In the meantime, I love my new iPhone 6, and I have to say… it’s not for the lack of invention it offers, but rather the sleek “shiny new thing” feeling that Apple is so great at delivering.
They key team at HRS always delivers multi-perspective thought leadership. Diverse knowledge bases of critical information and the six hats of thinking come together for big picture understanding and adaptability to unique employer case studies.
The Team At HRS - Monday, September 29, 2014
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No matter the organizational headcount, C-suite executives must focus due diligence upon talent management, workforce ROI and legal compliance. For any labor intensive organization, the keys to success rely upon increased workforce productivity, astute risk management and surgically cut talent dollars. In doing so, idle time, legal costs, under-utilization and any such wasteful spending must be avoided. Expert solutions exist and are catching on quickly. Those not paying attention will be left behind.
Employment law is ever-changing and requires daily research. Beyond pure legal advice, legal compliance experts need to deploy business acumen, organizational psychology and aligned mission commitment to deliver best decision tools and implementations. Top executives are earning spectacular ROI and competitive edge by finding their own perfect internal-external partnership balance. Some are outsourcing it all, but better options exist.
The options promoted here do not involve the outsourcing of the employment relationship. For many, outsourcing employees can be counterproductive to ROI. Employees want to feel part of a team, and in today’s world of “pay without play” where some label work a “choice,” employees often deliver commitment only with reciprocity and incentive. In many environments, outsourcing employees can be an expedient method of deteriorating engagement and productivity. Keeping workforce on the payroll and outsourcing certain or all HR management, however, can be a collaborative win for the entire organization.
Third party expert operations have long been enjoyed by employers of all sizes and cultures. Employers under 200 are eligible to partner for all HR operations. Employers of limitless size find third party partnership extremely beneficial for talent assessment, education, compliance certification and change leadership. Most employers will attain betterment through a stable, highly competent and dedicated HR team, rather than revolving part-time talent with limited versatility. Employers who embrace external experts enjoy competitive edge and visionary foresight. Top quality is accessed with keen cost control, unbiased expertise, widespread case study and flexible utilization.
As we re-evaluate the HR team, workforce headcount only matters so much. For the average employer, the optimal team is comprised of functional management plus specialists and support under the direction of a Chief HR Operating Officer (CHRO), a right hand to the CEO. CHROs can be internal or external partners. An established CHRO already succeeding is always to be treasured and protected, as premier talent is undoubtedly rare and worthy of appreciation.
When selecting a professional consultant as CHRO, employers should seek quick adaptability, C-suite proven excellence, vast third party expertise and, of course, flexible utilization for cost control. HR practitioners for top partner firms never stop learning, growing, embracing and delivering new value. Among many other deliverables, they bridge gaps and engage workforce into the company’s mission. CHROs should facilitate a highly effective and well-aligned supporting team.
Delivering fiscal due diligence, the average cost of third party partnership is less than the average cost of internalized operations. Done well, spectacular ROI is expected year one and builds substantially in consecutive years. Through selection of the right partner organization, the HR team stays in place, benefiting from learning curve balanced with constantly emerging fresh ideas and case studies. Access to dedicated expert talent on demand without idle time is a steadfast cost reduction and quality optimization technique. Impartial third party experts avoid bias and deliver information with enhanced credibility. Everyone wins.
In some organizations, CHRO and CFO responsibilities are merged. This yields mixed results. Merging CHRO and CFO roles can produce conflict of interest or limited perspective; however, both CHRO and CFO need a clear grasp of fiscal prudence, organizational psychology and legal compliance. Ideally, each of these practitioners is ready to deploy as needed but never underutilized. Neither role should be subservient to the other.
Some fabulous internal HR leaders exist in today’s companies, and many of them are existing or future HRS clients. They call upon preferred partners for compliance, talent assessment, education, decision tools, case studies, affirmative defense and third party expertise. Astute business leaders recognize these top performers and keep them engaged with incentive and growth. Partner organizations deliver the tools and opportunities for such growth.
Cookie cutter solutions are abused, overused and rarely appropriate in HR. Every employer is unique across widespread criteria, including but not limited to company brand, culture, history, demographics, business model and keys to success. Accredited consultants deliver the ability to assess and tailor programs which plug into these unique paradigms. Those who devote only to a single employer at a time and/or “job hop” do not necessarily deliver the third party expertise necessary to capture success opportunities.
While the essentials are somewhat universal, today’s business leaders enjoy a healthy range of HR options. Whether enjoying premier internal talent, premier external talent or a custom blend of the two, HR is never a remedial function. The HR function should be in the hands of those who deliver extraordinary legal knowledge, fiscal due diligence, talent management, lifelong learning for leaders, policy establishment, organizational communications, conflict reduction, operational efficiency and forward thinking, to name a few. HR is an executive function which, done poorly, can decimate an organization… and when done well, delivers impactful ROI, business sustainability and critical risk management. Today’s top executives keep it eye-level and empower extraordinary partners.
Article by Jessica Ollenburg, HRS Chief Empowerment Officer. Summary Bio.
Jessica Ollenburg - Monday, May 05, 2014
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