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#Leadership : Top CHROs Discuss Culture In A Digital World…It’s Important to Begin Planning Today for the Use of Cognitive Computing in Enhancing Workforce Productivity, Reducing Business Risk & Increasing Competitive Advantage.

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Steve Jobs once said, “Simple is harder than complex.” Human resources embodies that mantra where the complexities of behind the curtain data and analytics can yield the simplistic beauty of a great culture.

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To explore how top companies build winning cultures in a fast-changing digital world, on February 23, 2016 I spoke with these CHROs of industry leaders:

  • Victoria Berger-Gross, CHRO, Tiffany & Co.
  • Matthew Owenby, CHRO, Aflac
  • Larry Pernosky, CHRO, Amedisys
  1. What is the one data point you look to first?

Larry Pernosky, Amedisys:  “Engagement because as our engagement barometer moves up or down, so will the culture and attrition.”

Victoria Berger-Gross, Tiffany & Co:  “Employee turnover — because even though it’s a lagging not leading indicator, it’s an objective sign of what’s going on in satisfaction, engagement, and the strength of your employee value proposition against the external marketplace.”

Matthew Owenby, Aflac: “We focus on engagement as a leading indicator of many potential issues, from which we gauge the level of trust employees have in leadership which is the foundation for creating the best employment experience possible.”

 

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  1. What’s the relationship between data and culture?

Victoria Berger-Gross, Tiffany & Co.:  “Over time you develop culture with qualitative hand-selection of people, close relationships, and understanding what values you can and can’t adapt in people once they’re hired.  We use employee survey measurement, qualitative focus groups, and other data gathering to recognize our constraints and drive new offerings to encourage people to engage and grow with Tiffany.”

Matthew Owenby, Aflac:  “Data is particularly important from a hiring standpoint. We are careful to hire people who embody our strong, individualized culture. It’s not enough to have a technical competency, you’ve got to be a person that’s going to connect well with our culture. Data and analytics don’t build your culture– the culture is built on values. That’s what’s worked for us for over 60 years.  From a value perspective, communication is key–regularly, immediately, and with transparency. Access to LinkedIn, Facebook and Twitter makes it easier to gauge what types of communicators you may hiring”.

Larry Pernosky, Amedisys: “We sit on a plethora of data. In redefining our culture, we needed to redefine how we use our human capital data overlaying with business outcomes.  You then view your business outcome differently, incorporating engagement data to form a strategy that truly motivates and inspires employees to grow personally and professionally. That ties back to the success of the company.”

  1. How will mobile technologies and the Internet of Things affect the future of HR?

Matthew Owenby, Aflac:  “A practical view of mobile technologies and the future of HR is that more Millennials represent today’s workforce and shape the expectation around, ‘I want the ability to sign up for healthcare via my Smartphone.’ And more senior leaders increasingly want to access information real time. We’re using more of a push rather than pull strategy, meaning we are deliberately pushing content, doing more things mobile, from an access to information perspective.  Even our internal app which says, here’s what you need to be talking to your people about today and here’s how to incorporate diversity and inclusion in regular touch bases with your teammates”.

Victoria Berger-Gross, Tiffany & Co: “We are continuing to add more mobile technologies in retail, distribution and manufacturing (we are unusually vertically integrated). This connectivity supports absolute alignment between these groups.  At retail, repeat and long-term customer relationships are key to our mindset of customer service. Our retail staff are consummate and credentialed professionals – many are gemologists – and we use technology for on-going training.  We also use broad consumer analytics to understand the behavioral shopping preferences of different consumer groups, which affects how we select and train sales staff.”

Larry Pernosky, Amedisys: “Tele-medicine, tele-monitoring are becoming increasingly important to acute or even critical acute care. Partnerships across technology streams help us procure the best technology possible. A number one priority is work/life balance, and more often for Millennials. Incorporating fitness, health and well-being strategies, such as personalized data feeds from a Fitbit, builds a caring culture where employees say, “I’ve got an organization who cares, and even provides technology to help me manage my life.”

  1. How do you see the role of HR changing five years from now?

Victoria Berger-Gross, Tiffany & Co.:  “For the most part, whatever the size, companies are led by the same number of 10 to 15 people at the top. Data allows us to further scale and be more data driven, especially in the groups with high staff numbers, about scheduling and employee decisions in general. Utilizing people in different locations, not necessarily tied to particular customers in a particular location. Updated, faster customer databases– while balancing essential privacy issue.”

Matthew Owenby, Aflac:  “Accessing information in more real-time, user-friendly methods and doing basic and even complex HR transactions via your mobile device, from any location. Increased productivity and efficiency, whereby you no longer require someone to be in an office to perform a transaction.”

Larry Pernosky, Amedisys: “We will have dynamic workforce planning and forecasting capabilities. Companies will make predictive forecasting and analytic decisions versus today’s practice whereby somebody leaves and you replace them. That will change the game, business outcomes, and even capital analytics.

The future of human resources was summed up by Susan Steele, Executive Partner, Talent and Engagement at IBM. “It’s clear that the HR function, along with the entire enterprise, is increasingly becoming more digitally-oriented, data driven and cognitively-enabled. While this trend creates opportunity for tech-savvy HR leaders it can lead to new risks and challenges for those HR executives who are unprepared. I would therefore encourage all Chief HR Officers to begin planning today for the use of cognitive computing in enhancing workforce productivity, reducing business risk and increasing competitive advantage.”

 

Forbes.com | March 21, 2016 | Robert Reiss

 

Leadership: My Picks For The Top 10 CHROs & Why It Matters…Today’s CHROs Don’t Gate Progress; Rather They are Often the Change Agent Fueling Growth & Development

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Before I get to my picks for the Top 10 CHROs, I want to give some background on why this list is important, and how you should use it to shape your enterprise moving forward. While every member of the executive team plays a critical role in successful organizations, aside from the CEO, a strong case can be made that the chief human resources officer (CHRO) is the real game changer.

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“HR” has evolved, and so to have the people leading human development and performance. Long gone are they days when power hungry administrators place a death grip on all things necessary and rational. Today’s CHROs don’t gate progress; rather they are often the change agent fueling growth and development.

The modern CHRO is a sophisticated, yet eclectic mix of experience and skills, which often span many core functional areas such as strategy, brand, operations, IT, and finance. In fact, in my work with CEOs it is not at all uncommon to find successful organizations where the CHRO is the closest and most trusted thought partner to the chief executive – this was not the case even a few years ago.

CEOs have grown to understand that regardless of the business they are in, they are always in the people business. Understanding they cannot afford to get that wrong, they have sought out a new and different type of HR leader. Whether you are a CEO trying to build a world-class company, or someone trying to decide where they want to work, my message is a simple one – don’t gloss over HR. Whether you like it or not, people, culture and community matter.

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So how do you judge the success of a chief human resources officer? The simple answer is you look at how badly people want to work for their company. I’ve often said that culture is that ethereal “X” factor that all “It” companies possess that other organizations so desperately desire and so rarely achieve. The CHRO is often one of the chief architects of culture, and they are most certainly its main steward, curator and guardian.

So the longer answer to the question of how you judge the success of a CHRO is as follows:

Examine the talent they’ve helped to attract and retain

Observe the culture they’ve had a hand in shaping

Take stock of the progressive development plans and programs they’ve made available to the workforce

Evaluate the creativity, reasonability and effectiveness of the compensation programs in existence

Look for (and find) great workforce dynamics, engagement and satisfaction

Find a strong and well positioned employer brand

Find HR’s hand (in a good way) in everything as an enabler and contributor to operations flowing all the way through to customer satisfaction.

While the above list is certainly not all-inclusive, it does start to paint a picture of the critical roles CHROs play in the success of any business enterprise. For a chief human resource officer, leadership, team, succession, purpose, culture, governance, and diversity are not just buzzwords – they represent who a CHRO is, what they believe, and where they work everyday. The depth and breadth of the skills and talents possessed by this next generation of CHROs have taken them from not having a “seat at the table” to often making them a logical choice as a successor candidate to CEOs.

So, who are my picks for the Top 10 CHROs?

  1. Tim Huval, CHRO at Humana (NYSE: HUM): #1 because the results speak for themselves. Huval was the first key C-level hire made by CEO Bruce Broussard when he took over the helm at Humana. I’ve had the pleasure of working with him in the two years since he assumed the CHRO role. During his short tenure, Humana has completed a cultural transformation, which should serve as a case study in change leadership, succession, organizational design, team building, talent acquisition, and stock performance. He is the total package – a team player people love to work with and for. With a diverse background in human resources, information technology, and operations, his business and leadership acumen are only exceeded by his commitment to make others better. Huval refuses to take credit for any of the many successes Humana has achieved over the last two years, quickly giving the credit to his colleagues and teammates. But those who know him will quickly point to the critical nature of his role in Humana’s transformation into the enterprise Broussard envisioned.
  1. Laszlo Bock, CHRO at Google (NASDAQ: GOOG): A true innovator in human performance, Bock has taken his MBA from Yale, and stints with McKinsey and GE to help create what is arguably the strongest employer brand in the market. Many of the latest trends in talent management have been incubated, implemented and validated under Bock’s 9-year tenure at Google. Bock’s relentless pursuit of cracking the code on what makes people tick, makes people fit, makes people contribute, and makes people happy will likely keep him breaking new ground at Google for year to come.
  1. Russ Hagey, Partner and Worldwide Talent Officer at BAIN & Company: BAIN is what I like to refer to as the culture company. I’ve never met someone from BAIN who wasn’t smart, talented, and truly likeable – that’s saying a lot when you’re talking about a consulting firm. Whether you look at employee engagement, Glassdoor reviews, or the fact that Consulting Magazine has ranked BAIN as the “#1 Best Place to Work” for 11 years in a row, it’s hard to deny Hagey’s impact on the firm, its culture and its brand.
  1. Lisa Buckingham, CHRO at Lincoln Financial Group (NYSE: LNC): Ask anyone who knows Buckingham and you’ll find out why Lincoln CEO Dennis Glass is thankful she’s on the LFG team. Tough, creative, smart, insightful, compassionate and very accomplished, Buckingham is a walking human omni-channel brand. In addition to serving as Lincoln’s CHRO, she is also the company’s Chief Brand and Communications Officer. LFG has established itself as a powerful employer brand, and a company with a strong and stable culture. A solid strategic mind, and innovative thinking around talent and leadership will likely carry Buckingham all the way to the CEO chair assuming she could be pried away from Lincoln – she is fiercely loyal.
  1. Tony Galbato, CHRO at Amazon (NASDAQ: AMZN): The Amazon brand is synonymous with innovation, which means it must maintain a robust talent pipeline and a rich culture. Talent and culture are not things Jeff Bezos takes lightly, and the person he entrusts with leading Amazon’s global HR organization is Tony Galbato – not a bad endorsement. Like Laszlo Bock, Galbato has driven many forward thinking HR practices that have set the chinning bar for the CHROs of the future. Galbato has helped Amazon to be widely regarded as one of the best places to work, with one of the strongest employer brands on the planet.
  1. M. Susan Chambers, EVP, Global People Division at Wal-Mart (NYSE: WMT): Given Chambers is in charge of the nation’s largest private workforce of more than 2 million associates, it’s no wonder she has been named to Fortune magazines “50 Most Powerful Women In Business” 5 years in a row. Keeping a motivated, high performance workforce spread across more than 26 countries is no small challenge, and Chambers has proved more than worthy of the task at hand.
  1. Ellyn J. Shook, CHRO at Accenture (NYSE: ACN): It’s a rare CHRO who oversees more than 319,000 employees in 200 cities in 56 countries responsible for generating more than $30 Billion in net revenues. That said, it’s one thing to be responsible for supporting the global HR needs of a sizeable enterprise, it’s quite another to do it well. Shook has created the engine known for attracting, developing and retaining great talent who enjoy Accenture’s collaborative, innovative culture.
  1. Anne P. Byerlein, Chief People Officer at Yum! Brands, Inc. (NYSE: YUM): Yum! Brands has had its fair share of success over the past few years, and Anne Byerlein is the talent genius behind David Novak’s fast food juggernaut. More than 41,000 restaurants in more than 120 countries create levels of people/talent complexity that few can imagine. Byerlein has a well-deserved reputation for being a true triple threat (strategic thinking, tactical precision, and a nose for talent) HR leader.
  1. Diane Gherson, SVP of Human Resources at IBM (NYSE: IBM): What do you get when your CHRO holds a patent in predictive analytics, has a Master’s of Industrial and Labor Relations from Cornell, and is working toward a PhD in Management at the M.I.T. Sloan? You guessed it – Diane Gherson, a CHRO capable of overseeing all HR related functions for more than 400,000 employees worldwide. IBM is not the old Big Blue of days gone by, but rather one of the most sophisticated and innovative people businesses on the planet.
  2. Susan P. Peters, SVP Human Resources at GE (NYSE: GE): Few organizations understand internal development and succession like GE, and Peters now leads the culture she is a product of. Joining GE in 1979 in a divisional HR role, later being tapped to serve as IBM’s chief learning officer responsible for all training and development, and now having responsibly over HR globally for GE – Jack Welch would be proud. With Peters at the helm of HR, the legacy of leadership at GE will remain intact.

    So, there are my picks for the best HR minds on the planet – who did I miss?

    Follow me on Twitter @mikemyatt

 

Forbes.com | February 11, 2015  |  Mike Myatt