I was recently on a plane doodling and thought of some funny / interesting stories from 25+ years of working and traveling. So I decided to write them up as short, random chapters of a non-book with the title of this post. Hope you enjoy them and / or find them interesting. Certainly the value will be at least equal to the marginal cost of the book (zero)…
Chicago, 1990s through today
If you are ever looking for a great book to read, I would recommend High Output Management by Andy Grove, the late former founder of Intel. I picked up a hard copy on the internet for just a few dollars including shipping and although it was written in the mid 1980s (and updated in the early 1990s) much of the book is completely relevant for both new entrants to the work force and those that have been engaged for decades.
Andy Grove had a passion for getting the most out of his employees, since he was focused on productivity and his staff represented a large cost (and opportunity) for his organization. He approached productivity in two main ways 1) by leveraging process and eliminating bureaucracy he could move faster at lower cost 2) by training and motivating his staff, he could achieve greater outputs. For the purpose of this post we will focus on #2, although it should be remembered that Andy Grove also essentially popularized key elements of the “open office” plan where executives sit amongst their staff which I will cover in a future post.
For his employees, he defined motivation as getting the maximum that he could achieve. His motivation would broadly be considered “engagement” in the modern definition. “Engaged” employees go the extra mile and are passionate and drive for results, while “dis-engaged” employees are an active drag on the business and your company would frankly be better off if they just stayed home. Most employees are in the middle of the spectrum, neither actively engaged nor disengaged.
Training and feedback are the key elements of this post. Andy pushed training in his business and held his executives to a standard that they needed to teach and be part of the process of investing in employees. I remember when I was starting out in my master’s program many case studies held up Motorola as ahead of their time with the “Motorola University” of classes to train and advance their employees. All of this was done before the internet with papers, books and physical classes and it represented a significant investment for the company. Today, these programs have mostly been minimized at large corporations, although many service firms (financial and technology) still invest heavily in training and grooming their own staff, and most large internet / technology firms have more extensive orientation and learning methodologies.
For feedback, there is a template for an annual review in this book from the 1980s which contains all of the key elements of an employee review that you might receive today. The employee is supposed to do a self-review prior to the meeting, and the manager goes through the strengths, weaknesses, and areas of improvement and seeks out feedback from peers in order to develop a thorough analysis. Andy Grove mentioned how important employee development and feedback was to him and how he forced other top executives to be part of and even care about the process although many of them did it in a perfunctory manner (complying with the process but not the “spirit”).
From my personal experience and from those of my work acquaintances across many industries, the formal personnel appraisal has been dying for many years and is usually done in a perfunctory manner if it happens at all. If you are in a services business (consulting, law, finance), your personnel review is essentially done for you in the course of your engagements, since “good” staff are selected for teams and “poor” staff are shuffled around and / or “ride the bench”. Leaders have an incentive to collect (and shield) the best staff because they make the most money for their groups by pleasing clients and billing lots of hours while the poorer performers are not selected and (mostly) find their way out of the organization (or into the back office bureaucracy where they don’t face clients). While the service firms’ HR departments would vehemently deny this statement, it is the “broad” truth.
But if you are in a corporation or smaller business that is not service facing, you will be most impacted by a poor or minimalistic review process (as an employee), because you won’t get valuable and direct feedback that will help you grow and improve. In today’s corporate environment, re-organizations are frequent and managers rotate through departments (or are thrown into direct work), so supervision routinely moves to the back burner. There is little incentive to groom and work on staff (as a manager) if you aren’t going to be around for 2-3 years in the same job because it takes time to invest in staff and improving processes and behaviors and there is no purpose in putting in this sort of investment if you are just going to move on to the next job anyways.
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