Category Archives: FORTUNE Magazine

Employer Branding Now

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Universum, the global employer branding and market research organization, recently published a new report on the state of employer branding practices. It’s good. If you’re unclear about what employer branding is, this report is for you. If you’re involved – at all – with talent acquisition, this report is for you. If you’ve created your EVP (employee value proposition) and are headed into activation, this report is for you. Because talent is everything in today’s hyper competitive global marketplace, employer branding is becoming a critical part of talent strategy.

The report, Employer Branding Now, is a comprehensive review of what leading organizations around the world are doing to become more successful in connecting with the talent they need. Without giving away the store, the following graph shows how overall investments in recruitment channels are shifting. No surprise that investments in social channels are increasing, along with employee referral programs and alumni networks. On the other side of the coin, it’s probably not surprising that print advertising is sinking rapidly. And while you may have thought job boards were dead, that just isn’t the case. But check out the third-party recruiter channel. Are you surprised?

Universum EBnow

Food for thought here, I think!

The report is the outcome of a yearly survey of approximately 2,500 employer branding managers from around the world. The respondents represent a wide range of industries, and include 100 of the FORTUNE 500.

The actionable insights that conclude the report give helpful direction to those in the thick of employer branding activation, as well as those just starting to work on their EVP:

  1. Create closer alignment between employer brand priorities and talent priorities.

  2. Fully leverage the power of EVPs to deliver greater employer brand focus and impact.

  3. Balance brand consistency with talent segmentation and local targeting.

  4. Invest in quality social media content (no longer a side order, now the meat of the day).

  5. Invest in analytics – effective employer brand strategies are increasingly numbers driven.

The report is delivered in a colorful and easy to read eBook format. It’s a good read with attractive and easily understood graphs and data points. You can get it here.

 

Full disclosure: I chair Universum’s North America Board.

 

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Filed under China Gorman, Data Point Tuesday, Employer Branding, FORTUNE Magazine, Global Human Capital, HR Analytics, Human Resources, Recruiting, Social Recruiting, Talent Acquisition, Universum

I want fair pay, a voice in decision-making and a competent boss. Is that too much to ask?

Data Point Tuesday
In previous posts I’ve discussed data about Millenials’ perceptions and expectations in the workplace, a hugely popular topic, which makes sense considering that this demographic cohort accounts for 77 million workers between the ages of 18 and 35 (according to FORTUNE). Here at Great Place To Work, we’ve recently released a “10 Great Work Places For Millennials List,” accessible on our employer review site Great Rated!, which identifies companies offering the best benefits and perks for this group. When it comes to Millennials, what companies snagged the top spots? Intuitive Research and Technology came in at number one on the list, followed by David Weekly Homes and Allied Wallet. You can check out the full list here for the full 10 company rankings and culture reviews.

The research conducted for this list of workplaces that stand out as exceptional for Millennial employees is highlighted, but also identified are the sorts of practices and programs that move the needle for these employees. When looking at workplace culture features that differed most between the top 10 Great Workplaces for Millennials and the 10 least-great Workplaces for Millennials, a few areas stood out. Survey data revealed “fair pay” as a very important feature of great workplaces for Millennials. There was a 37 percentage point difference between the top 10 companies for Millennials and bottom 10 companies based on responses to the statement, “I feel I receive a fair share of the profits made by this organization.” Millennials also place a high value on having a say in decisions at their organization. Our study recorded a 28 percentage point difference between the top 10 and bottom 10 companies on “Management involves people in decisions that affect their jobs or work environment.” Additionally, competent management is a highly valued feature for Millennials, with a 26-percentage point difference on “Management does a good job of assigning and coordinating people.”

The analysis also highlighted some surprising workplace features that don’t move the needle much for Millennials. One such feature is interesting considering it’s been such a hot-topic: work-life balance. There was just a 10-percentage point difference between the top 10 workplaces for Millennials and the bottom 10 on the question: “I am able to take time off from work when I think it’s necessary.” This statement was one of the 10 with the least amount of difference among all 58 survey statements. The response calls into question the attention that has been placed on Millennials’ desire for work-life balance. Has this dynamic been overblown? It’s possible, but perhaps it’s more likely that many employers have considerably improved programs and policies that promote work-life balance, making it a mute point for Millennial respondents.

Another two surprising work-place dynamics that were not greatly distinguishable between the top 10 workplaces for Millennials and bottom 10 workplaces were self-expression (with just a 10 percentage point difference on the statement: “I can be myself around here”) and friendly, welcoming workplaces (with an 8 percentage point difference on the statement “When you join the company, you are made to feel welcome”). Again, these percentages beg the question of whether the importance Millennials place on such dynamics has been hyped up, and are not necessarily an accurate reflection of Millennial expectations. Considering the top features that Millennials did identify as highly important though (fair pay, say in decisions, and competent management) it seems more likely that these aren’t necessarily features that Millennials don’t value, but features that companies have greatly improved versus features that are often problematic for companies.

Do these trends accurately reflect the workplace programs that are important to your Millennial employees?

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Filed under China Gorman, Data Point Tuesday, FORTUNE Magazine, Great Place to Work, Great Place to Work Institute, Great Rated!, Millennials

Job Seekers: Look to Best Companies!

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I discussed a few posts ago how companies on the FORTUNE 100 Best Companies to Work For list are experiencing huge amounts of growth in headcount. That post focused on how these outstanding workplaces are combating growing pains and dealing with rapid expansion. Being ranked one of the best workplace cultures in the US certainly helps feed the cycle of growth, as job seekers apply in droves.

The good news for job seekers? The Best companies are hiring and they are hiring a lot! FORTUNE reports that at least 24 companies on this year’s 100 Best Companies to Work For list are planning to fill at least 1,000 (and for some, even more!) jobs in the coming year. From big tech companies like Google (ranked #1), Intel, and Cisco, to medical organizations like Houston Methodist, retail stores like Nordstrom, and markets like Whole Foods and Wegmans, the “we’re hiring” sign is posted out front.

What are these companies looking for in a new hire, and who is getting hired? At Great Place to Work, the research and analysis firm that produces the lists, we’ve pulled together some hiring statistics from this year’s Best Companies to provide a little perspective.  The 100 Best Companies last year filled 6,297 positions, on average, for both new and already existing positions. The average number of these positions filled internally was nearly 30%. The average number of new hires referred by current employees was 28%. This corroborates what we already assume, that internal referrals add significant weight to applications, so before all else, reach out to potential contacts! There can be big benefits for the person referring you as well, so don’t automatically assume people might view it as a hassle. The average maximum bonus paid for a single referral at best companies in the last 12 months was $3,595!

How to impress in an interview? According to recruiters from best companies that are hiring (via FORTUNE), top ways to impress include: being able to articulate your alignment with the company’s mission and values (and explain why they resonate with you), doing exceptional “homework” and truly understanding the business and key competitors going into an interview, being able to discuss how you plan to impact the company, and demonstrating passion, curiosity, and (a big one!) innovation.

For new college grads the numbers may seem a bit less optimistic, out of the average new hires in the last year (6,297) the average number of new graduates hired was 496, and the average percent of positions filled by college students at this year’s best companies is 9.9%. However, this shouldn’t discourage new graduates from applying, as they are automatically equipped with several highly valued skills beyond a basic degree. Examples I’ve touched on in previous blogs include that college students and Millennials are more likely to be passionate about social responsibility and attuned with an organization’s mission and values, be highly aware of technology and social media and able to quickly assimilate with a company’s use of such tools. No matter who you are, however, if you are looking to find a new job consider these stats, and check out this year’s FORTUNE 100 Best Companies to Work For list– you may be very glad you did.

Best Companies Hiring

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Filed under 100 Best Companies to Work For, China Gorman, Data Point Tuesday, FORTUNE Magazine, Great Place to Work, Great Place to Work Institute, Hiring, Millennials

Rapid Growth and Great Workplaces

Data Point Tuesday
The 2014 FORTUNE 100 Best Companies to Work For list announcement is just days away and here at Great Place to Work we just can’t wait to share some of the awesome 100 Best Companies Trends from this year’s list! In true Data Point Tuesday fashion, I’ve compiled some noteworthy stats from our 2014 100 Best Companies Trends whitepaper to share with you, (the full trends report as well the Fortune 100 Best Companies list will be available here on Thursday) enjoy the sneak peek!

One of the most prominent trends we’ve seen with Best Companies this year is growth. For 2014 100 Best Companies with available revenue data, revenues in the last 24 months have risen an average of 22.2% and headcount is increasing to match that. The number of employees at the 2014 100 Best Companies increased by an average of 6.1% since 2012 and 15.4% since 2011 which, according to Current Employment Statistics from the Bureau of Labor Statistics, is nearly five times the growth rate of U.S. companies overall in the same two-year period. This significant increase in headcount, while positive for companies, undoubtedly also raises concerns. During times of rapid growth organizations can experience a number of challenges including: inadequate skills and pipeline of leaders, loss of top talent and leaders, scaling and developing new systems, assimilating new employees both socially and process-wise, bringing new and longer tenure employees together, balancing cultural norms of past with the need to grow quickly and be a company of the future, and burn out and disaffection of existing employees. With such challenges in mind, how are these Best Companies managing such rapid growth, and, what exactly are they doing to avoid growing pains?

In 2013 Great Place to Work compiled a benchmark group of great workplaces experiencing high growth (+20% employee population) while appearing on the Best Companies list between 2011-2013. The group was used to study the relationship between rapid growth and the employee experience at the 100 Best and included several Best Companies, such as Chesapeake Energy, Hilcorp Energy Company, NetApp, Quicken Loans, Rackspace Hosting, salesforce.com, and World Wide Technology, Inc. Results of the study indicated an exceptionally high level of trust at Best Companies experiencing rapid growth, with 94% of employees at such companies stating that “taking everything into account, I would say this is a great place to work” vs. 91% of employees at Best Companies not experiencing such rapid growth. Additionally, employees at high growth Best Companies displayed a 4% higher average score on all trust index statements compared with employees at Best Companies not experiencing rapid growth. Trust index scores correspond to statements such as: “management is approachable, easy to talk with”, “this is a fun place to work”, “I feel I receive a fair share of the profits made at this organization”, and “people look forward to coming to work here”. It’s noteworthy too that these high trust index scores at Best Companies experiencing rapid growth come from both new hires as well as tenured employees (2+ years tenure).

Great Place to Work Chart
We can take away from this data a better understanding of how Best Companies are handling the growth trend. Marcus Erb, Associate Vice President of Research, and the leader of the 2013 study on the relationship between high growth and the employee experience at the 100 Best sums it up well: “Our research shows that as far as the employee experience is concerned, companies with a strong foundation of trust, a robust leadership pipeline, and a firm commitment to the company’s culture are far better at navigating the challenges that come along with growth and change.”

Make sure to check out the 2014 FORTUNE 100 Best Companies list on January 16th

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Filed under 100 Best Companies to Work For, China Gorman, Data Point Tuesday, FORTUNE Magazine, Great Place to Work, Great Place to Work Institute

From the Archives: In support of Marissa Mayer and Jackie Reses

This was the most popular of my blog posts so far in 2013. I was one of few bloggers in the HR space supporting Marissa Mayer and Jackie Reses when they eliminated telecommuting at Yahoo! Well, it’s 7 months later and guess what? Yahoo! is performing better on a whole host of KPIs. The Workflex movement is still alive and Mayer was just named #1 on FORTUNE’s 40 Under 40 list. Hmmm…

 

Freud with cigarSometimes a cigar is just a cigar and sometimes a policy change is just a policy change.  And to attribute larger societal meaning is misguided and, well, you know, not smart.

Ending telecommuting at Yahoo! isn’t a new skirmish in the “mommy war” as USA Today proclaims.

Ending telecommuting at Yahoo! isn’t a frontal attack on GenX and GenY as countless bloggers are screaming.

Ending telecommuting at Yahoo! isn’t a stake in the heart of workplace flexibility as SHRM believes.

Ending telecommuting at Yahoo! is a bold decision by a bold CEO trying to turn her business around.

I’m a business leader.  I get it.

I get it that when you’re turning around a business you frequently have to make decisions that are unpopular.

I get it that when you make decisions to support your strategic plan others will assign meaning that was never intended.

I get it that you may have to make decisions that will change the culture in big ways.Yahoo!

I get the panic stress you feel when you decide to that cultural change is required and that decision will potentially put good people at risk.

I’m a business leader. I get it.

Turning around a business isn’t for sissies of either sex.  Ask Carly Fiorina and Mark Hurd and Meg Whitman.

The current brouhaha over Yahoo!’s decision to bring the field back home and end telecommuting is out of control.  The HR community, in particular, is totally wound around the crankshaft over this decision.  The cries of “foul!” are everywhere in the Twitterverse, the Blogosphere, old media and new media, radio and television.

And I understand the concern, although some of the hysteria is a little hard to take.  Workflex, as SHRM and the Families and Work Institute call it, is a boon for working mothers and fathers, a requirement – we’re told – for hiring and retaining GenX and GenY, and a central plank in improving engagement.  Their data is solid.  I get it.

Except when it isn’t working.  Except when management has lost line of sight into employee productivity.  Except when the culture of work and communication has gotten inefficient and lost its discipline and rigor. Except when out of sight truly is out of mind.

Marissa MayerI give Mayer and Reses big time credit for stepping up to the plate and swinging for the fences.  I saw the memo.  It said that the time for focusing on speed, communication, collaboration and quality is at hand. And in the CEO’s judgment, that means being physically together in hallways, work spaces and cafeterias.

They’re turning a business around, people!  And that’s intense work.  It requires all hands on deck.  I think Mayer and Reses Jackie Reseswant – and need – to harness the talent in Yahoo! in ways that keep the focus and intensity high.  In an environment where leaders can be hands-on and where communication isn’t delayed one second by distance and physical separation.

Say what you will about the value of engaging your workforce by allowing flexible work arrangements:  doing things the way you’ve always done them and expecting a different outcome is, well, you know, not smart.  And no one ever called Mayer that.

Saving a business isn’t about comfort and preferences. It’s about rolling up sleeves and doing whatever it takes to emerge triumphant.  And if that means some long-term, previously engaged colleagues decide that the new requirements don’t fit their lifestyle, then they’ll make other plans.  That’s tough, for sure.  But it’s how things work sometimes.  Everyone has choices to make and consequences to manage. I think Mayer is making tough choices and I think she’s prepared for the consequences.

Is this a referendum on workflex? No

Is this an assault on working parents? No

Is Mayer betraying her gender and her generation? No

Will this change the talent management landscape overnight and around the world? No

Is this one CEO and CHRO working together to change a culture’s priorities and save a business?  Yes

I get it.  So should you.

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Filed under China Gorman, Connecting Dots, Families and Work Institute, FORTUNE Magazine, Jackie Reses, Marissa Mayer, SHRM, Telecommuting, Yahoo!