In my lifetime, I've been blogging since July 2005. My first business was Amy Smith Consulting, LLC - an eLearning strategy firm which I kept for six years (2001-7) and loved. Here is that first blog post from Association eLearning on Email-based Learning (holy cow! how far we've come)
Through that business I met some fantastic colleagues, we called ourselves "Five Independent Thinkers" and we co-authored a blog in 2006 that we purposefully turned into a book called "We've Always Done It That Way: 101 things about associations we much change".
Many of us are so busy right now, and just finding time to post current material on our blogs can be time consuming, trust me I know this well. But, re-reading old posts reminds me of just how far we've come. How terminology has evolved, how technology growth and life cycles are growing then dying, how we shift thinking as things emerge. It's all fantastic really - and a great way to remind ourselves of how far we've come is to simply read our old blog posts. I've done a few of the "did I really say that back then?" Always worth a few laughs.
And now...here we are..with HCM2020 and our new blog. I will migrate over some of the content from my previous blogs just for history sake, but really, I like starting over fresh, clean slate so to speak.
I welcome anyone who is interested in guest blogging on topics around human capital or people in the workplace to message me. I love idea collaboration, though sharing, especially in an industry that is really still at its early stages, because really...we have a very long way to go in the human capital space.
Those who know me know I've been writing about HR metrics and data for years (see April 2011 HR Armed with Data). It's been a topic on my various blogs but I am really happy to finally see the topic has spread throughout the business and HR worlds. Today you can find plenty of information on the topic.So what has me writing another blog post on the topic? ...the conversation has finally shifted from the boring, and not-so-telling, metrics of time to hire and butts in seats, etc. to things that are meaningful to business leaders...people.
Yves Lermusi (@YvesatCheckster), wrote a blog post back in early June entitled, "The Quest for Quality of Hire". It was an ERE Conference session with speaker Rob McIntosh (@TheRobMcIntosh), senior vice president of global talent acquisition and recruitment of Avanade. All I can say, it's a great start to the conversation about HR metrics.
My take on the entire topic of HR metrics? It's a necessary evil that I have a fascination with. Why? Because metrics help us ground ourselves in reality, something that has been greatly lacking when it comes to people in the workplace. And without getting myself too worked up about that, metrics - data- real information - gives us a "real" picture about where we stand. The other big reason is that business loves data points, and as long as your data sources and methodology can be explained, the data can be useful to help get additional resources for human capital. Oh yes...and things like M&A, etc. want data...yes that too!
So back to our topic on QoH!
Quality of a Hire (QoH) is really a key, universal business driver. This one metric will tell you a lot about the quality of your recruiting organization BUT it also tells you a lot about hiring manager expectations and the communication around that. So the QoH metric is a multi-function, multi-departmental responsibility; which, I would argue, you want as an executive.
This metric can tell you several things (this is not an exhaustive list):
I could come up with more, but these are the first that come to mind.
The dilemma of determining the QoH metric is that for every question above, can you determine a quantifiable number?. It requires standardization of what are typically subjective measures of success (i.e. performance reviews, for example but pick any of the 6 above and you see what I mean). [Side note, yet another reason I greatly dislike the concept of using performance review data in business analytics.]
If your organization is looking for a key HC metric, start by working on this one first. How is a "quality hire" measured in your organization, and by whom? How could it be measured, what parameters are collected or would need to be? There are a lot of great questions that surround this. Lermusi points out that setting clear expectations of hiring managers ahead of time is one of the biggest obstacles to quality hire success because most managers know they need a person in a position but can't articulate exactly "what" they need...or at least in a meaningful and quantifiable way.
At HCM2020, we use a series of tools called the "Kolbe Wisdom" to do just that...identify in a meaningful and quantifiable way, the expectations of the hiring manager. We can then map a candidate's likelihood for success based on another Kolbe Index, to determine whether the candidate's natural way of working matches with the expectations of the hiring manager. Again, we can get quantifiable data measured during the hiring process and again at intervals throughout the candidate's first year of employment to show alignment or misalignment.
There are other numbers that would be factored in the QoH metric, and those have to be tailored to individual organizations, but I am so thrilled to finally see meaningful conversations about one important metric, the Quality of Hires.
Thanks to Rob for sharing his thoughts at the ERE conference and thanks to Yves for continuing the conversation!
At an event a few years ago, I was asked what I thought was the number one thing that organizations needed to focus on in the current economy. My answer is always the same...your people. "Take good care of your people in this economic downturn, especially the ones you want to keep, because when the economy picks back up those organizations that take good care of their people will retain them, and those that don't will see them leaving." But as things go, the economy went farther south than anyone was expecting and 'taking care of your people' was hard to do. I get this. However, what we are seeing in the workplace is exactly what I had predicted. Great employees are now looking for a better opportunity, a better culture, authentic leadership, a great place to work, a bit more flexibility...all sorts of things and they are not always about 'more money'.
Among our research efforts, we track the job search market here in the DC Metro area to see who is hiring and why. Where are people going? Which organizations have a large number of openings, and why.. all of these things give us clues as to what is really happening in the marketplace.
What can you do if you seem to be loosing some of your best talent? Four things:
See a few key themes here? Real data and information is critical. Getting real about the situation and coming to terms with reality. Being authentic and speaking truth to your employees. Examining culture is critical. All of these things lead to a healthy organization and help to retain your best talent who remain during a healthy economy as well as the downturns.
Amy Riccardi is the Chief People Officer and Founder of HCM2020. She's a guest lecturer at Georgetown and George Washington Universities and works with executive teams and CEOs to help scale and grow their business.