Which sounds most like your managers? “Before I make this important decision I must carefully review the HR policy dealing with this situation” OR “Policies? What policies?” Unfortunately, says consultant Robert J. Greene, too often it’s the latter.
And to make matters worse, policy-making and enforcing has gotten harder, says Greene, CEO of Reward $ystems Inc., in Glenview IL. Greene’s remarks came at the recent 2011 World at Work Conference in San Diego.
Why is policy making tougher today?
- People are more mobile, and they’re onsite and offsite
- Critical skill shortages exist even while unemployment is high
- Organizations are staffing at lean levels
- Job descriptions are not all inclusive
- People alter their jobs “in place”
- Work-life balance has become more prominent
What is the impact?
- Managers are trying to manage on the fly
- Employees are negotiating their situations on a transactional basis
- Employees are more likely to be comparing themselves to others
- Diverse workforces want and expect different things from their organizations
- Rewards strategies have become more complex
What are policies? asks Greene. It varies from organization to organization. They may be rules (rigid prescriptions, similar to laws), guidelines (requiring interpretation), or merely aspirations and good intentions (rarely realized)?
In any case, policies tend to grow from corporate philosophies. Greene offers two compensation guide charts to illustrate the difference between philosophies and policies. (Philosophies, he says, guide through principles, while policies tend to be more rule-like.)
You know your managers could do a better job if they were trained, and now there’s a convenient and reasonable way to get it done—BLR’s Leadership Library at the online, 24/7, Employee Training Center. Get More Information
Guide Chart As A Philosophy
|
Place in range> Performance Rating |
Lower Third Of Range |
Middle Third Of Range |
Upper Third Of Range |
|
Outstanding (10%) |
$$$$ |
$$$ |
$$ |
|
Exceeds Standards (30%) |
$$$ |
$$ |
$ |
|
Fully Meets Standards (55-60%) |
$$ |
$ |
None |
|
Does Not Fully Meet (0-5%) |
None |
None |
None |
Guide Chart As A Policy
|
Place in range> Performance Rating |
Lower Third Of Range |
Middle Third Of Range |
Upper Third Of Range |
|
Outstanding (10%) |
7% BPI |
5% BPI |
3% BPI |
|
Exceeds Standards (30%) |
5% BPI |
3% BPI |
1%BPI |
|
Fully Meets Standards (55-60%) |
3% BPI |
2% BPI |
1% BPI |
|
Does Not Fully Meet |
0% BPI |
0% BPI |
0% BPI |
Issues Associated With Globalization
Another reason that policy-making dealing with the diversity brought on by globalization:
- Organizations have spread operations across national borders (went to the world)
- People have come from all over to seek employment (the world came to them)
- National/ethnic culture will have a profound impact on how policies will be viewed and how they will work
Despaired of ever getting your managers and supervisors trained? It isn’t easy to fit it in—schedule-wise or budget-wise—but now there’s BLR’s Leadership Training for Managers and Supervisors. Train all your people, at their convenience, 24/7, for one standard fee. Get More Information
Cultural Issues
We need to be knowledgeable about differences in perspective when we operate globally, says Greene. He suggests paying attention to the “three Rs” of cross cultural issues:
- Recognize differences
- Respect differing perspectives
- Reconcile the issues caused by cultural differences
The Trompenaars model is very useful for considering cultural differences, Greene says:
- Individualistic vs. Collectivist (Is everyone treated the same?)
- Universalistic vs. particularistic. (Do rules apply uniformly or are they impacted by who is involved or by the circumstances?)
- Low vs. high acceptance of power distance. (Is authority deferred to, with little or no willingness to deviate on part of managers?)
For example, says Green, look at how performance is rewarded:
- What factors are used to measure performance? Are they focused on individuals or the group/unit?
- Do managers communicate appraisals directly and honestly?
- What circumstances impact whether the employee is held accountable for the results?
- Are award pools distributed in egalitarian manner or based on individual contributions?
- How much local discretion is given in defining, measuring and rewarding performance?
In tomorrow’s Advisor, Greene on the intriguing question of “i-deals”—that is, special deals for individual employees—plus an introduction to a unique 24/7 leadership training system.