2014 SALARY TRENDS WHAT SHOULD YOU BE EARNING? EXECUTIVE EDUCATION MAKING THE SMART CHOICE WWW.HRMONLINE.CA ISSUE 1.1 | $9.99
SUSTAINABLE SUCCESS SUNCOR’S TALENT LEADER ON PLANNING FOR THE FUTURE
EXCLUSIVE INTERVIEW
BRANSON
ON BUSINESS Managing talent, skills and personalities the ‘Virgin Way’
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CONTENTS
NEWS/ANALYSIS 6 | Get to know Gen Y
COVER STORY
9 | Insight: Big Data How can your organization make the most of high-level, broadreaching analytics?
Branson on Business Learn from Virgin mastermind Sir Richard Branson on how focusing on the right soft skills can give your organization the competitive edge
12 | Legal Insight: Is a simple Internet search putting your company at risk for a lawsuit? 14 | HR on the Move 15 | HR Star profile: HRD talks with Suncor Director of Talent Acquisition Michelle Dupont about building a sustainable workforce in a competitive market
18
24 | Corporate wellness: The hallmark of a champion company
issue
1.1
FEATURES 28 | HR Salaries for 2014 Who’s earning what and where? David Algeo investigates industry trends 38 | Adventures in Executive Education Get the best information on higher learning options to guide organizational policy and personal education decisions
38
44 | Stairway to Success: Executive coaching for success 50 | Focus on Benefits From how to assess Employee Assistance Programs to the benefit that 90 per cent of your employees want
50
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CONTENTS
44
BUSINESS STRATEGY 48 | Software for Success Is Workforce Management Software the secret to winning the war on talent and turnover? 56 | Fundamentals of Engagement Cisco Canada’s VP of HR explains how the company achieves and maintains a 90% engagement rate
twitter.com/ HRMCanada Like us on Facebook HRMCanada
62 | Hiring for the High North How does recruiting for Yellowstone differ from other cities? The conversation usually starts with “No, we don’t live in igloos”
Add us on Google+ +HrmonlineCa/posts
64 | The Lighter Side of HR C
M
Y
KRONOS IN THE CLOUD
INNOVATION IN YOUR WORKFORCE
CM
MY
CY
CMY
K
Today, organizations of all types and sizes — from Fortune 500 companies to small- and medium-sized businesses — are transforming their workforces into strategic assets. And they’re taking advantage of innovative Kronos® cloud technologies to help drive this change. With Kronos you can leverage your entire workforce as never before, using it to help achieve critical business goals such as increasing revenue, meeting profit targets, and improving customer satisfaction. These are the types of outcomes Kronos is helping thousands of customers worldwide achieve, with many leveraging the Kronos Cloud for even greater workforce innovation. And now, instead of seeing labor as a cost, Kronos is showing them how to use their workforce as one of their most important assets to impact the bottom line. Go to kronos.com/cloudhr for a free white paper on new technology that’s transforming workforce management software for increased value.
TIME & ATTENDANCE
SCHEDULING
ABSENCE MANAGEMENT
HR & PAYROLL
HIRING
LABOR ANALYTICS
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CONTENTS
HEAVY INFLUENCE COPY & FEATURES EDITOR Vernon Clement Jones SENIOR WRITER Caitlin Nobes CONTRIBUTORS Iain Hopkins, David Algeo, Tim Jacobs COPY EDITOR Sophie Nicholls
ART & PRODUCTION GRAPHIC DESIGNER Joenel Salvador SENIOR DESIGNER Alicia Chin
SALES & MARKETING BUSINESS DEVELOPMENT MANAGER Sarah J. Fretz NATIONAL ACCOUNTS MANAGER Andrew Cowan GENERAL MANAGER SALES John MacKenzie ASSOCIATE PUBLISHER Trevor Biggs MARKETING AND COMMUNICATIONS Claudine Ting PROJECT COORDINATOR Jessica Duce
CORPORATE PRESIDENT & CEO Tim Duce OFFICE/TRAFFIC MANAGER Marni Parker EVENTS AND CONFERENCE MANAGER Chris Davis
Editorial enquiries caitlin.nobes@kmimedia.ca tel: 416 644 8740 Ext: 234 Advertising enquiries sarah.fretz@kmimedia.ca tel: 416 644 8740 Ext: 241 Subscriptions tel: 416 644 8740 • fax: 416 203 8940 subscriptions@kmimedia.ca KMI Publishing 312 Adelaide Street West, Suite 800 Toronto, Ontario M5V 1R2 wealthprofessional.ca Copyright is reserved throughout. No part of this publication can be reproduced in whole or in part without the express permission of the editor. Contributions are invited, but copies of work should be kept, as IB magazine can accept no responsibility for loss.
“Plunk” – that’s the sound of the first issue of HR Director landing on desks across the country. Well, actually, that sound is more of a “thud,” with our inaugural magazine serving as a weighty guide to the heavy issues dominating the industry. The content also reflects the growing call for HR executives in all verticals to apply their business smarts to the dynamic duties of directing human resources. To that end, HRD builds on the success of HRMOnline.ca to bring you profiles of senior HR executives both globally and here in Canada. We also share their best practices and those of the leading authors and business schools focused on upping the collective game at the director level. For our first issue, what better introduction to those challenges than a primer by Sir Richard Branson. The corporate-culture renegade outlines his personal view on building a better company with the right people and the right fit in mind. Prepare to be challenged, starting page 18. But there’s so much more to engage you. While culture and innovation are vital to an organization’s health, the most important factor in employee decision-making is salary. HRD’s salary guide, on page 28, breaks down the trends in HR compensation, with a focus on VPs and directors. From where you live, the industry you’re in and your specific specialty, our guide will give you the tools to assess whether you and your team are being paid fairly. It falls to you to decide what to do if, ahem, you’re not. Pay scales invariably lead to talk about education and qualifications. HRD is also offering up the first in a series of articles on executive education programs, including MBAs. Our feature, starting page 38, provides a key list of variables to help you vet individual programs and maximize the return on investment for your organization. These are exciting times for us here at KMI Publishing and within the HR industry – we are looking forward to the journey together. Regards, Vernon Clement Jones Editor
CONNECT
Contact the editorial team:
vernon.jones@kmimedia.ca
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HR INSIGHT
GENERATION Y: 13 TO 30
The largest cohort after baby boomers, Generation Y is more than 12 million strong and a third of the Canadian population. The term itself was coined in 1993 by Ad Age magazine. Two decades later, critics say the group is lazy and has high expectations for fast promotion, but with the right feedback, their entrepreneurial attitude and willingness to work shine. How well do you know these young workers?
70
“friended” % have their managers or coworkers on social media
35
%
40
% think blogging about workplace issues is acceptable
71
always % don’t obey social media policies at work
69%
have started their own business on top of their day job
think regular office attendance is unnecessary
71
%
think work meetings are inefficient and a waste of time
Parents are the No. 1 influencer for where Gen-Yers apply for jobs, compared with partners, friends or teachers.
51
live at % still home
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AVERAGE TENURE: 1 GEN Y: TWO YEARS 2 GEN X: FIVE YEARS 3 BOOMERS: SEVEN YEARS
84
%
92%
say making a positive difference is more important than professional recognition
believe business success should be measured by more than profit
53
%
said a mentoring relationship would help them become a better and more productive contributor to their company By 2028 Gen Y will make up
75%
62
%
of the Canadian workforce
say face to face is the most effective way to communicate in the workplace
80
%
prefer on-the-spot recognition to formal reviews
75
% of Gen Y's look for
employers that offer personal development, professional development and ongoing education opportunities
43%
of millennials rank the availability of quality jobs as their generation’s biggest challenge
88% are optimistic about finding a job,
15%
are unemployed
Millennial employees have the same level of organization commitment as boomers and Generation Xers Source: select 2013 Canadian & U.S. data
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INSIGHT / BIG DATA
HR + Big Data = STRATEGIC EDGE HR has long recognized the importance of data in decisionmaking, yet progress on the use of predictive analytics is slow. Sixtyone per cent report Big Data use as tactical, ad-hoc and disconnected from other key systems. Close to 50 per cent say they are unable to integrate workforce data with other systems to make decisions critical to the business in real time. How can this be improved?
The term Big Data encompasses not only the huge amounts of data currently being produced that do not fit within traditional database technology, but also the analytical tools and programs used to assess it. The data runs the gamut from employee engagement, customer satisfaction, transaction information, and everything in between. Despite knowing about it, much of the Canadian working world remains unprepared for it; although 96 per cent of respondents indicated the ability to act on data in real time is important, only 48 per cent have invested in the technologies that would help their companies do so, a 2012 SAS report reveals. Preparation, however, is paramount, as the results achievable through Big Data analysis are staggering. “The rise of big data itself is not only changing the way HR executives are using info, but also evolving the role of the HR execs,” Alec Bashinsky, national partner of people & performance at Deloitte, tells HRD. The use of big data in areas such as finance and marketing is fairly black and white – the numbers, while still vast, are easily analyzed. However, human beings are much more difficult to corral into algorithms and tables.
BIG DATA EVOLUTION
LEVEL
1
REACTIVE
Operational reporting. When getting into Big Data, HR should focus on measuring efficiency and compliance, data exploration and integration, and development of a data dictionary. How are resources allocated? What is the state of the HR programs? Most importantly, how are our data measurements themselves? Training hours, time to hire, cost to hire, leadership pipelines, demographics, grievances and turnover are all areas to be explored at this point.
LEVEL
2
Advanced reporting of operational measurements surrounding benchmarking and decision-making. How can HR, L&D and business operations improve? What are the trends in the organisation? Revenue per employee, engagement, risk of loss, and mobility should be examined.
PROACTIVE
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WHAT IS IT GOOD FOR? Despite this, a high performing HR professional can utilize big data to not only uncover current trends in the organization, but predict what is soon to happen. It’s the difference between “gut feel” and knowing with some certainty what will happen.
Big Data: Organizational profile
27%
61%
I think
12%
Data Metrics
Use little-to-no workforce analytics
Analytics I know
LEVEL
3
Analytics on segmentation, statistics and development of people models. HR should be looking at measures and tools that dramatically improve the organisation, while segmenting the workforce into various performance and risk pools. Direct support from line executives and strategic visibility is paramount at this point, and should only be undertaken after two or three years have been spent working with Big Data.
STRATEGIC
Use them in an advanced way*
*79% of advanced practitioners use analytics to develop workforce skills in key areas; 66% use them for identifying and developing high-potential employees; 65% use them to understand and plan for future talent needs
Insight & application
“Imagine we put a new employee into a role and it takes them two to three years to really get into the particulars of the role,” says John Hansen, Oracle’s vice president, HCM product management, JAPAC. “At the end of the three years they’ve done everything that might be considered ‘new’. Our history data might tell us if we don’t promote people or move them to a different role after three years we may see high attrition in the fourth and fifth year.” Once this information is garnered, the true potential of Big Data becomes apparent. When using the right systems, HR can analyze what trends are currently occurring in regards to talent management, performance and – in this case – tenure, and return an informed prediction on what may soon happen based on previous scenarios. Predictive analytics provide HR with not just what may happen in the future but ways to prevent it. It raises tantalizing “what if” scenarios: what would happen, for example if this person was promoted in
Use them moderately
Source: Harvard Business Review
the fourth year? The data mining engine can then go back and look at where that pattern has occurred in the past. Predictive analytics can then be applied to a variety of scenarios and possible problems, ranging from staff turnover to drops in engagement. In addition, the use of analytics gives the HR director – traditionally seen as dealing with “soft” data – a higher level of authority. Dr. Jac Fitz-enz, considered by some to be the father of HR metrics and analysis, stated: “Without talent analytics, talent management won’t be part of any significant business discussions.” Yet while being able to collate the data and analyze it is a lengthy process in itself, it means nothing if HR and the big data team are not appropriately equipped to execute real action in the organization using it. Having data is all well and good; having relevant data is another matter altogether.
LEVEL
4
Often hallmarked as a true indication of Big Data’s power, predictive analytics is the end game for the Big Data team. Scenario planning and risk mitigation can be achieved by using models to identify potential future risks in regard to skill shortages and gaps, performance gaps and other areas. HR can now use the data from economic conditions and current talent risks to help define the future of the organisation. This stage must be integrated with workforce planning and talent acquisition, and should only be reached after three to five years in the previous stages.
PREDICTIVE
Source: Bersin & Associates
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INSIGHT / BIG DATA
“The most important part about data analytics is the ability to pull insights from the information. Sometimes it is less about the data and more about the insights around it. What is impacting this metric? What is impacting our high potential pool, where they sit and where they are going?” explains Bashinsky.
WHAT SHOULD HR DO? The topic of Big Data is difficult to pin down due to the ever-evolving nature of technology. However, HR directors expanding into big data need to take into account two key points: Big data is not a short-term project that can be quickly launched. HR must recognize they are embarking on a journey of at least five years, and slowly but efficiently measure and collate data, refining the process as they go HR must change in an ever-changing world. A strong team of highly dedicated, highly skilled workers with their fingers on the Big Data pulse is required. Big Data is not your average initiative; it is a complete game changer “Data analytics is probably the biggest thing that is going to change the shape of HR leaders in the future,” Bashinsky says. “It is absolutely critical anyone in HR can not only play with data analytics but just as importantly know how to present them to their executive teams. That is really where they start to demonstrate an understanding of the business from the analytics they have.”
STARTING FROM SCRATCH For those starting the Big Data journey from scratch, experts recommend concentrating on one area – and the one area deemed to have the most immediate impact on workforce planning is talent acquisition. Using talent acquisition as an example, here’s a fourstep process to follow:
4
Consider talent acquisition in the overall context of the business – align your efforts with your company’s strategy and objectives. Conduct a talent needs assessment to gain insight and gaps against today’s business requirements. If you’re anticipating growth, look ahead to the talent needed to succeed
4
Develop a “data acquisition” plan – understand the type of data you need to support your strategic decision-making. This should include metrics such as time to fill, cost per hire, sources of hire, attrition rates and performance scores
4
Find your data experts or “scientists.” Though Big Data is a great tool, it takes knowledgeable people to make the essential connections. Data analysis takes a specific skill-set. If you don’t have or can’t develop such expertise internally, consider looking external to the company
4
Partner with business leadership – your chance of Big Data success is much greater with support from throughout the business. Aligning with other business leaders not only helps gain buy-in at the highest levels, it also provides opportunities to demonstrate success.
JACK OF ALL TRADES; MASTER OF ONE
KEY PLAYERS
To properly execute big data in HR, a number of skill sets are required. The four primary skills are: math and statistics knowledge IT, database and programming skills business leadership and understanding industrial and organizational psychology, organizational design
The cost of outsourcing Big Data varies dramatically, depending on company size, number of employees, and complexity of data analysis. Some outsource providers offer both consulting and software solutions. Here are five to look out for: yy yy yy yy yy
Deloitte (deloitte.com) IBM (ibm.com) eQuest (equest.com) EMC2 (emc.com) Hadoop (hadoop.apache.org) is an open-source (free) Big Data tool. HR and IT will need to work closely to ensure this can be modified to meet your organization’s Big Data requirements
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INSIGHT / LEGAL
The legal risks of a
Google search
With a simple Google search, your HR department may be putting the organization at risk for a human rights complaint. Lawyer Jason Beeho tells Caitlin Nobes how strategic training and use of third parties can reduce accusations of discrimination
I
If your hiring managers are googling potential candidates you could have a potential lawsuit on your hands. Hitting that search engine may seem like a simple way to gather information, but too much information can be just as bad as too little. Information is more widely available and accessible than ever before, but it can come at a cost if the information about a prospective employee opens your organization up to accusations of discrimination. That’s even if the hiring decisions were bias-free.
THE RISKS
“The problem an employer has is that once they have that information they can’t un-know it,” says employment lawyer Jason Beeho, with Rubin Thomlinson. “If an applicant is declined and is aware the employer had information about, for example, their religion, the individual might take the position that the reason they were turned down is related to one of those prohibited grounds of discrimination.” Then it’s up to the employer to answer that allegation. If the tribunal decides the protected trait was even a factor in the decision-making it could amount to a significant fine for the organization, on top of any legal costs. “There’s a lot more information and it’s a lot more accessible than it ever has been, but once you have it, particularly if it engages human rights concerns, you’ve got a problem,” Beeho said. Arguably, that information has then played a role in the hiring
process – or at least an individual can make that allegation.
LEGAL BACKGROUND Canada has yet to see a case such as this before the courts, but it’s not entirely without precedent. “Although social media is new, it’s not a new analysis,” Beeho says. “It’s essentially just a reference or background check and the risks are the same.” Any form of background check can see the organization end up with information that is probably irrelevant, but the details of which, such as an employee’s religion, may engage the human rights code.
KEY QUESTIONS One of the most important things for an organization to ask itself is whether a background check is vital to the role it’s hiring for. A decade or so ago complex background checks were relatively rare. Despite their growing use, those extensive checks – outside of screening applicants who will work with children or those entrusted with confidential information-- are probably unnecessary, argue experts. “I think it’s important for an employer to consider that it ought not to be a one-size-fits-all exercise,” Beeho says. “Not every position demands the same level of scrutiny or the same depth of inquiry.” In fact, the more you narrow your focus, the better the information you have. Instead of quantity, look for quality.
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The more focused the scope of inquiry, says Beeho, “the less extra information you’re going to end up with, but the more focused information and the greater chance of avoiding extra information you don’t want.”
the hiring process to review social media and other sites for relevant information so the decision makers are still protected by that buffer. Just as key is recording each step in the process to ensure your organization has evidence of the efforts undertaken to prevent bias.
WHAT HRDS SHOULD DO?
IS IT WORTH IT?
The first thing to consider is that everyone in the The risk doesn’t mean you avoid all searches. It’s about hiring process should, in fact, be trained in human ensuring you access relevant information while rights law – from those who write job descriptions forestalling allegations of bias. and listings to those interviewing and making final “For anyone working with children, or in any hiring decisions. The more your employees and circumstances where a high level of trust is a key managers know about the law, the less likely they are priority, certainly it’s worth it,” Beeho says. Maybe we to put the organization at risk. end up with information we don’t want on this person, When it comes to background checks and social but the position demands no less than a thorough media specifically, one of the easiest steps is to have investigation. Then there is a sliding scale of what can the searches done by a third party, which then files a be justified.” report including only salient details. Employers can choose not to hire individuals for “If a third-party agency is given a clear mandate almost any reason, including deciding public behaviour Forand 30understanding years, StarGarden provided reliable detailed of what thehas employer is concerned onand Twitter or other social media platforms shows Human Resource, Payroll, and Time and Attendance functionality about, then they’re a buffer between the employer poor judgment. But, problems arise when information the information,” Beeho said. “The employer can crosses over into human rights issues and tramples andand information. address accusations by showing that the only on protected grounds. Taking steps to prevent information they received was in a report. that information ever becoming part of the hiring Now we are excited to introduce StarGarden Foundation “Having a third party handle the details of the process is prudent, say industry professionals. It could a revolution in Work�low and Competency management. background check is certainly prudent.” also spare your organization the headaches and, Still, if hiring a third party is not an option, directors indeed, the money associated with mounting a legal should consider arranging for someone Contact us today to learn more. removed from defence.
Jason Beeho
©
Power Your People
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MARKET MOVES
Recent HR Market Moves Air Canada has appointed Arielle Meloul-Wechsler as its new vice-president of Human Resources. MeloulWechsler has been with the carrier since 1997, and has been in the employee relations function since 2011 as senior director of human resources. In her new role, she will assume responsibility for all aspects of HR with the exception of labour relations. Before moving into the employee relations role, Meloul-Wechsler was assistant general counsel and director of legal services at Air Canada. In 2005 she was seconded to Aeroplan where she led the external legal team through Aeroplan’s initial public offering. Prior to joining Air Canada, she practised law at Davies, Ward, Phillips & Vineberg. Arielle Meloul-Wechsler
China Gorman has joined Great Place to Work has as Chief Executive Officer, taking over from interim CEO and co-founder Robert Levering. Most recently Gorman operated her own independent consultancy, CMG Group, previously having held COO and interim CEO positions with the Society for Human Resources, the world’s largest association for HR professionals. She also led LHH, a global Human Capital Management consultancy.
China Gorman
Ryerson University has appointed Christina Sass-Kortsak as assistant vice-president of human resources, replacing interim Assistant Vice-President Avner Levin. Before beginning her term in July, Sass-Kortsak was the assistant vice-president of human resources at the University of Toronto, a position she had held since 2003. In the 15 years prior to her immediate role at U of T, Sass-Kortsak held various and increasingly senior HR positions at The Hospital for Sick Children.
Christina Sass-Kortsak
In August, Robert Thomas joined Carleton University as the assistant vice-president of human resources. Thomas came to Carleton from Cisco Systems Canada, where he has served as human resources manager for the firm’s Canadian operations. Thomas established the Ottawa Leadership Council, within Cisco Canada, to review and develop talent, drive organizational change, rewards and the recognition of employees. He has a personal leadership focus on collaboration, communications and client-focused partnerships meant to achieve overall organizational goals.
Robert Thomas
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Sustainable strategy With responsibilities for hiring everyone from engineers and geologists to pilots and chefs, Suncor’s director of talent acquisition, Michelle Dupont, talks strategy, sustainability and skill shortages. She also gives ‘inflated labour markets’ a go The skills gap is a serious challenge for many Canadian industries, so how are big businesses with sites in remote locations taking steps to bridge the gap? Michelle Dupont brings almost 20 years’ experience and a passion for strategy to talent acquisition at Suncor.
HRD: The natural resources industry employs a wide range of people from engineers and accountants to miners and heavy equipment operators. What are some of the unique challenges of recruiting for so many different positions? MD: At Suncor, we hire a wide variety of occupations – the jobs common to the energy industry like engineers and geologists, but also roles that you might not associate us with. People are often surprised to learn we employ pilots and chefs, for example. In addition to the variety of people we hire, we also work across Canada and at times internationally. Attracting such a diverse mix of people means we need to be really strategic in our recruitment efforts. Our approach is to talk to potential candidates in places where we know they are listening – whether that’s online, in print or at various events. We’ve also moved away from a sales approach in our recruiting campaigns to telling our employment story from the perspective of our employees. They know first-hand what a Suncor career offers. Beyond telling our story, we look to engage a broader and more diverse workforce, through our work with First Nations communities and with groups like Women Building Futures, which provides trades training for women. Trades are a big part of our industry, so we put effort into educating parents and youth about the many opportunities to work in skilled trades.
“Our approach is to talk to potential candidates in places where we know they are listening – whether that’s online, in print or at various events” Michelle Dupont HRD: One of the major challenges facing the natural resources industry is the skills gap. How important is immigrant labour and how does Suncor attract and hire internationally? MD: We always try to hire locally first, then regionally. If suitable candidates cannot be found there, we start looking across the country and then, lastly, consider international candidates. One of the realities we’re facing in Canada today is a shortfall of skilled people in some key talent areas. We’re working on a multipronged approach to address this issue by working with industry and education facilities on strategies to increase local talent pools, and we’re also working through relevant policies that govern how we hire talent from outside the county – of note, when we do hire overseas, we know it’s important to use the same principles as we use here at home.
HRD: In what ways do you work with educational institutions and government agencies to ensure a sustainable future workforce? MD: We try to take advantage of as many opportunities for collaboration as possible. Through industry collaboration, for example, we helped form the
Michelle Dupont
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PROFILE / MICHELLE DUPONT
trained in the right skills and industries to prevent or reduce future skills shortages?
“There’s some magic in working for an organization that values people and sees the direct connection between people and business results.” Michelle Dupont Association for Construction Worker Acquisition to work with government to address the shortage of skilled workers in the oil sands, and we are a member of other industry-led initiatives. We also support regional, provincial and national apprenticeship initiatives and are an active sponsor within a number of forums and organizations Beyond involvement in multi-disciplinary forums, Suncor actively supports the “Registered Apprenticeship Program” (RAP) for Alberta high school students. The company has also developed an internal apprenticeship program and we mandate that contractors on our sites employ at least 20 per cent of their workforce as apprentices. In addition to trades training, we have very strong partnerships with a number of Canadian postsecondary institutions and have put significant sponsorship dollars toward faculties and specific programs. We also support the schools’ students by providing co-op and internship positions and we hire new grads into full-time positions.
HRD: What changes would you like to see made to help ensure young people are being
MD: Recognizing there is no silver bullet to this issue, our approach in recent years has been to pull multiple levers to meet our skilled and technical workforce demands. I mentioned a number of these, and we’ll need to keep our eye on the ball there. There’s a huge need to be proactive, and plan ahead for future workforce needs. But it’s also worth mentioning that as an industry, we need to better manage the potential risk of creating an inflated labour situation. That’s one of the reasons why, when we talk about growth, Suncor is focused on strong project execution and a disciplined, staged growth plan.
HRD:What role does sustainability play in attracting employees? MD: We know that a company’s reputation matters when people are looking for a career change. One of the things that attracted me to Suncor was its approach to the environmental challenges of our sector and the company’s sustainability mind set. I like that we have a triple bottom line approach to our business: considering the implications on both the social and environmental aspects of business in addition to economic factors. We know this makes good long-term business sense, and it’s the right thing to do. But one of the added benefits of having a strong reputation as a responsible player in our industry means people can be proud to work here.
HRD:What drew you to an HR role initially?
MD: I have a passion for business and I also believe the HR function is one of the most strategic parts of any organization – managing a company’s most important resource: its people. There’s some magic in working for an organization that values people and sees the direct connection between people and business results, and since I’ve been in HR, I’ve been fortunate to have worked with senior business leaders on a range of initiatives including leadership development, culture change and integrated talent strategies…all designed to support business success. I’m really excited about the strategic work in my current portfolio, which requires understanding which key talent segments that are in potential shortfall and then building programs and strategies to address the issue. My work involves working closely with the business and across many areas
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FAST FACTS ● Suncor Energy has approximately 14,000
within Suncor, as well as with industry partners, educational facilities and others.
HRD: What do you consider to be your biggest career achievement to date?
MD: It’s not necessarily about any one moment. Little steps – going one foot at a time – can add up significantly. The moments that stand out for me are when you see great business success and you can look back and see how you and your team directly impacted those business outcomes. I think it’s also exciting to see how over that same time your team has grown and developed.
HRD: Describe yourself in a few key words.
MD: I think the people that know me best would say I have energy and passion both at work and at home. I believe in excellence and I take my work seriously, but not myself. I am pretty straightforward and I believe if you are going to do something that you should do it well. And finally, wherever you are in life or your career, I believe it’s important to take time to enjoy the experience and the people around you.
HRD: Where do you see the future of HR as a profession heading? MD: I believe HR will continue to be a strategic partner with business. HR professionals must understand business needs and be able to translate those into opportunities and practical solutions. In my experience, the operational heart of an organization is looking for smart and practical HR partners – with programs, practices and advice that
employees – primarily in Canada, but also in the U.S. and overseas.
● As a major player in the sometimes-
controversial oil sands industry, Suncor was the first oil sands company to reclaim a tailings pond. Now named Wapisiw Lookout, the area is on its way to becoming a mixed wood forest and a small wetland, with a variety of plants and wildlife.
● Through its Petro-CanadaTM-branded outlets,
Suncor remains a leading retailer in Canada with almost 1,500 gas stations across the country.
are easy, but also leverage competitive advantages and drive results.
HRD: What do you think it takes to succeed in HR? MD: Know your business strategy and your clients and then partner to serve them appropriately. It’s easy to overbuild and overcomplicate HR programs and approaches – don’t do it! Work to understand the people-related business challenges on a rootcause level, not just the symptoms. Then in a timely manner, provide core practical programs and solutions that are easy for leaders and employees to interact with. Sometimes that means asking tough questions and having bolder conversations – getting people to think differently. In all of that, it helps to be passionate about what you do. Working to influence the business and leaders can be tough work…let your passion help you.
MICHELLE DUPONT TIMELINE 1996–1998 New Horizons Computer Learning Centers ● Manager, Training and Operations
1998–2011 New Era Technology ● Director, Corporate Learning
2001–2006
Auld & Company Management Consulting ● Senior Partner, HR & OE Practice
2006–2008
WestJet ● Senior Manager, Organizational Learning & Development
2008–2011 WestJet ● Director, Organizational & People Development
2011–2012
Viterra ● Director, Global Talent Management
2012 – present
Suncor Energy ● Director, Talent Acquisition - Strategy and Growth
Alternative Dispute Resolution Workshop Negotiation and Mediation skills Toronto: December 10-13, January 21-24 February 25-28, April 1-4 Ottawa: March 18-21, November 4-7
1.800.318.9741
www.adr.ca
contact@adr.ca
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COVER / BRANSON ON BUSINESS
VIRGIN TERRITORY
Like him or loathe him, Sir Richard Branson is one of the most successful entrepreneurs in the world. In this exclusive interview, HRD probes the Virgin mastermind for the secrets to his success HRD: Many of our readers work for expanding businesses. What’s the difference between a business that chugs along at a happy medium and one that develops into a world-leading, global empire? How do you go about building an empire rather than just a business? Sir Richard Branson: Big or small, I believe that all successful and innovative companies need to have an excellent product or service, they need strong management to execute the plan and a good brand to give it the edge over competitors. Often entrepreneurs can create a good product and a brand but lack the management to help expand and create a truly great company – people are the core differentiator between a business that just chugs along and one that grows into an empire. An entrepreneur needs to build up a very strong and capable management team and delegate out the responsibility to run the existing companies to them, so that he or she can focus on new ideas and finding the next business to start up. Just remember that it is impossible to run a business without taking risks. Virgin would not be the company it is today if we had not taken risks. I couldn’t tell you which was the riskiest – there has been quite a few!
HRD: Both Virgin and Sir Richard Branson are names that are known the world over. How important is a strategic approach to branding – personal and/or corporate? Can they be separated? What are the must-do’s when building a brand? RB: Brands ultimately belong to the consumer. While a business can influence its brand by what it does and how it behaves, it is what the customer thinks at the end of the day that is the only important thing. With this in mind, I think that it is important to try and identify early on what attitude you would like your brand to convey, and then go about building it! Brands need to be constantly nurtured, to be kept fresh and be seen. When I was thinking about setting up my own airline, the late Freddie Laker said to me: “You’ll never have the advertising power to outsell British Airways. You are going to have to get out there and use yourself. Make a fool of yourself. Otherwise you won’t survive.” I’ve been following his advice ever since and used myself to get the Virgin brand in the headlines and become more visible.
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“People are the core differentiator between a business that just chugs along and one that grows into an empire” NOVEMBER 2013 | 19
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COVER / BRANSON ON BUSINESS
BRANSON ON… RELAXING HRD: It’s all too easy for an executive to get stuck dealing with the daily
workings of a business. How important is it for an HR exec to get out of the office and do other things? What helps you refresh yourself mentally and physically? RB: I do try to keep fit – anytime I’m near a Virgin Active club I make sure I get in there and work out. I love tennis and kite-surfing and pretty much do some sort of exercise every day, without making it too rigid, as that just doesn’t work for me. I enjoy being outside and being active – keeping fit as a result is almost a by-product of doing something I enjoy! I recently completed the Pick n Pay Cape Argus Cycle Tour, a wonderful 109-kilometre ride with 36,000 cyclists, and an extraordinary atmosphere with breathtaking views. I have always believed that I needed to find good people to run my businesses and to delegate day-to-day management to others. I did this from a very early age and, importantly, that has allowed me to go and set up new ventures, sometimes in a new sector or country.
HRD: Many of our readers’ businesses deal with intangible services in the financial sector. What are your tips for effectively marketing and selling intangibles? What have you learnt from ventures such as the Virgin Money companies? RB: Even today, the Virgin brand is not a product like Coca-Cola or McDonald’s; it’s an attitude and a way of life to many. At Virgin Money, we’re building a better kind of bank. A bank that genuinely cares about the customer and provides a better experience and better-value financial products in a straightforward, transparent way. I think that it is important to build up a strong brand when selling an intangible service as it makes your service distinct and different from anyone else’s.
HRD: You’re famous for your “Screw it, let’s do it” approach, which has led to missteps, as well as successes. What is your biggest business failure, and why? How do you pick yourself up from mistakes – both personally and financially? RB: Whenever I experience any kind of setbacks, I always pick myself up and try again. I prepare myself to have another stab at things with the knowledge I have gained from the previous failure. My parents always taught me never to look back in regret but to move on to the next thing. The amount of time people waste on failures rather than putting that energy into another project always amazes me. I have fun heading the Virgin group of businesses, so a setback is never a bad experience, just a learning curve.
HRD: Part of the skill of a successful business is identifying tomorrow’s growth sectors and opportunities – Virgin Galactic being one of the most highprofile examples of this. How do you discover tomorrow’s opportunities today? RB: There are many different reasons for entering new businesses. It can be as simple as a business sector really interests me or one of our directors at Virgin, and we see areas in that sector where our brand can make a real difference to the consumer. Sometimes it is as simple as the fact that an existing service has frustrated us and we believe we could do it better. Having the will to say ‘screw it, let’s do it’ and make things happen is what sets entrepreneurs apart. It takes bravery to start a business, but 20 | NOVEMBER 2013
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COVER / BRANSON ON BUSINESS
people with enterprising spirit who seize chances when they come along will be the ones who drive the economy and make a difference in the future.
HRD: Another aspect of business that every HR director understands is getting the right people around you. How do you find the best talent for your businesses – and how do you keep them interested and engaged? RB: We don’t really have a general recruiting process at Virgin – it depends on the type of business and the position we are looking to fill. However, as a rule we tend to pick out employees who are inquisitive about the bigger picture, and have a ‘can do’ attitude, are positive and enthusiastic and, most importantly, have a strong sense of fun! I have found that choosing enthusiastic, talented and positive people has helped to shape a positive character for our businesses.
HRD: Innovation is clearly something that is central to the Virgin ethos. How do you unlock this, both personally and in your business teams? Can you create a culture of innovation and, if so, how? RB: I believe our culture of innovation is a result of our ability to adapt to changes quickly. We run our companies small; there is very little red tape and certainly no bureaucracy – we make decisions quickly and implement them, before our competitors in the market have held their fifth meeting on the same issue. Additionally, Virgin has many, many entrepreneurs within the organisation. In business, the picture is constantly moving and changing so I try to employ people who enjoy thinking outside the box and are constantly creative and inspiring. Our people don’t just think about the numbers but think about how a deal will enhance the whole brand.
HRD: You’re a globally recognized philanthropist and supporter of charities. How important is it to devote time and capital to not-for-profit work as a businessperson? Does it matter what size your business is? Is it more important to donate time or capital? RB: I believe that today’s businesses – regardless of their size – must be prepared to do good in societies around the globe. I am optimistic that we
BRANSON ON… TECHNOLOGY HRD: From big data to social media, the digital revolution is disrupting
industries across the world, with business models being forced to change, whether they want to or not. As an entrepreneur with a history of disrupting established industries, does the potential of digital excite you? What’s your advice on how to make the most of emerging technologies? RB: The mobile revolution has allowed entrepreneurs to better talk to their customers, suppliers and staff in real time to determine exactly how each one is responding to particular situations, and determine exactly what they want and need. An entrepreneur who takes full advantage of this is well on the way to making himself a success, because he knows how to approach his consumers and how to deliver his offer in just the right way. I know it’s a cliché, but knowledge is power. Virgin is a major advocate of social media and the power it can hold for companies. My advice to the businesses of the future would be to improve their social media presence and use it as a way of knowing their customers more intimately. It can act as a wonderful warning system for businesses as well as a cost-effective way to get your message out.
“The amount of time people waste on failures rather than putting that energy into another project always amazes me” can make the world a far better, safer and more equitable place, but business and enterprise must sit at the heart of this process. We need government, business and the social sector to work together for the benefit of everyone. It should no longer be just about typical ‘corporate social responsibility’ where the ‘responsibility’ bit is usually the realm of a small team buried in a basement office – now it should be about every single person in a business taking responsibility to make a difference in everything they do, at work and in their personal lives. Virgin Unite, the non-profit arm of the Virgin Group, call this approach ‘Capitalism 24902’ because it’s focused on getting business leaders all over the world — all 24,902 miles of it — to look at how we can do what is right for people and the planet. Virgin Unite also helped incubate a recently launched not-for-profit organisation called ‘The B Team,’ which is framing a new approach to business where people and the planet are priorities, alongside profit.
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IDEALS IN PRACTICE:
BRANSON’S IDEOLOGY APPLIED
How does having a big-sky thinker like Richard Branson in charge affect HR policies and processes on the ground? You may be surprised HRD sat down with Linda Heisler – Virgin Atlantic Airways AVP of Human Resources – and Virgin America SVP of People and In-flight Frances Fiorello for details on how both airlines, flying in and out Vancouver, put Richard Branson’s ideology in motion.
HRD: How does having someone like Richard Branson as the owner and face of the company affect corporate culture? LINDA HEISLER: There’s no denying Richard’s passion for challenging the status quo is the driver behind our brand’s essence. Virgin Atlantic was born to shake things up, challenge convention and, as our company ethos states, “Fly in the Face of Ordinary.” This doesn’t just relate to the experience our customers have onboard but the everyday spirit of the Virgin Atlantic team. Employees are empowered to challenge the norm if it can benefit our customers and the success of the airline. FRANCES FIORILLO: Having Sir Richard Branson to inspire our team is an amazing thing as he’s an entrepreneur who’s shaken up the status quo in so many industries for the consumer. When our teammates are out there on the frontline with guests, they are inspired to do things differently and go above and beyond for the guest -- essentially asking, “What Would Richard Do?” and they are empowered to deliver on that mission, so to speak, one guest at a time.
empowerment. A great example of teammate creativity is when our guest service teammates at the gate call boarding groups – you will likely hear something like, “We’re now boarding the eclectically effervescent guests in Group E.” We also get a great deal of positive feedback from our guests - in person, on social media and of course at a broader level we continue to win the best-in-class awards for our service, which is a testament to our teammates. LH: People joining Virgin Atlantic need to have a passion for the brand. Exemplifying a passion for their career or even hobby can be a great way to identify a suitable candidate. Sometimes the interview isn’t about what’s on their resume, but their life experiences, their outlook on this world and perhaps, even their go-to karaoke song. We look for future employees who don’t just want a job, but they want to be a part of a team that is challenging the status quo.
“If you love what you do and who you work with, you’ll naturally do better” Linda Heisler
HRD: HRDs are often challenged by this question, but how do you balance a “fun” corporate culture with meeting business goals? How are the two related? LH: It’s simple: If you love what you do and who you work with, you’ll naturally do better. Fun doesn’t mean that objectives won’t be met, just that you’ll have a more enjoyable time meeting them and will more likely to exceed!
HRD: What HR processes and practices are in place to attract and hire people who are inquisitive, enthusiastic, positive and have that “entrepreneurial spirit”?
HRD: How important is employer branding for Virgin and how do you ensure potential candidates have a good understanding of the values and culture of the company?
FF: Our mission at Virgin America is to transform the typical flying experience so that it is fun again for travelers – and as our culture encourages innovation and we believe great ideas come from all over the company and ultimately this leads to employee
LH: It’s extremely important to Virgin Atlantic that our employees resonate with the brand values – it’s why people choose to fly with us. We feel if we hire the right kind of person, their understanding of our culture will come naturally. NOVEMBER 2013 | 23
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CORPORATE WELLNESS / SPECIAL PROMOTIONAL FEATURE
B
CORPORATE WELLNESS:
THE HALLMARK OF A CHAMPION COMPANY
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B
Businesses internationally are facing many of the same challenges such as competing on a global level, attracting and keeping key personnel, an ageing workforce and escalating health care costs, all while striving to sustain an engaged workforce and a positive bottom line. However, companies will not be successful in this goal with anything but healthy and productive people. Investing in Corporate Wellness contributes to a number of business goals: controlling costs, increasing productivity, decreasing absenteeism – all resulting in increasing shareholder value and yielding a positive return on investment. The cost of waiting for people to get sick, far exceeds the cost of helping people stay healthy. Corporate Wellness stops or even reverses the trend of rising health-related costs. Its focus is on prevention, as it addresses the health-related issues affecting most work environments. Integrating wellness strategies into the corporate culture is a critical part of the solution. Champion companies incorporate Corporate Wellness as part of their business plan. Corporate Wellness strategies have a set of key characteristics: CEO-driven Part of the strategic planning process Communicated through the company Directed by employee-identified needs Integrated within all levels of the company Focused on results
“Employers pay more for unhealthy employees. Employees with lower health risk profiles have lower medical costs, greater energy, vitality and increased life and job satisfaction” A project charter is a key component of the Corporate Wellness strategy. It documents the business reasons, objectives, risks/mitigations, scope of work and milestones with predetermined timelines. Like other business ventures, a Corporate Wellness strategy should undergo a considered planning, implementation and evaluation process. The savings of direct and indirect costs substantiated by Corporate Wellness research means that businesses can no longer afford not to invest in their human capital – their most valuable resource. There is compelling evidence that a sizeable portion of the billions of dollars currently spent by employers on health-related costs is manageable by implementing a Corporate Wellness strategy. These benefits have been confirmed through extensive research and show beyond a doubt that good health is good business. Employers pay more for unhealthy employees. Employees with lower health risk profiles have lower medical costs, greater energy and vitality and increased life and job satisfaction. Research shows direct costs (medical and pharmaceutical) of poor NOVEMBER 2013 | 25
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CORPORATE WELLNESS / SPECIAL PROMOTIONAL FEATURE
DRUG COSTS BY RISK STATUS AT DIFFERENT TIME INTERVALS
Drug to relax
$2,017
$665
Illness
$1,391
$737
Alcohol drinking
$882
High glucose
$909
Obese
$831
$1,486 $1,323
$1,092
$1,118 $909
Hypertension
$1,044 $903
Sedentary Sealtbelt
$991 $924
Job dissatisfaction
$988 $922
$1.335
Overall risks (3+ vs. 0-2)
$744
Zero risk (n=49)
$586 0
$500 High Risk
$1,000
$1.500
$2,000
$2,500
Low Risk
Drug costs: Per employee, that tab vary greatly depending on risk. An otherwise-healthy employee who becomes ill is less “costly� than one with multiple factors affecting long-term health and so deemed high-risk.
health are about one quarter of total costs. However, indirect costs such as absenteeism and presenteeism make up a significantly larger proportion of total employer health costs. According to the Conference Board of Canada, the estimated direct cost of absenteeism to the Canadian economy in 2012 was $16.6 billion and in 2011 the average absenteeism rate was 9.3 days per full-time employee. There has been considerable research, primarily from the United States, that shows the relative costs associated with various health risk factors. A 4-year
Canadian Corporate Wellness study conducted in Nova Scotia by Creative Wellness Solutions and published in the Journal of Occupational and Environmental Medicine, shows that employees with risks as identified by the Health Risk Assessment, are more costly. High-risk employees incur higher costs relative to low risk employees. The more high-risk employees in a company, the greater the cost of health care claims, absenteeism, and loss of productivity. While employees with one health risk are absent on average 0.6 days per year, employees with six or more risks are absent over three times as often. Major contributors to absenteeism are stress and musculoskeletal (MSK) disorders. According to the Conference Board of Canada, research shows that stress-related absenteeism is more common in nonmanual workers while MSK-related absenteeism is more common among manual workers. Thus, indicating the significance of focusing on more than physical activity and nutrition and considering different occupations and work environments. Our own research, published in the Journal of Occupational and Environmental Medicine, showed that an integrated approach aimed at improving lifestyle, including increasing physical activity, maintaining a healthy body weight, smoking cessation, balanced use of alcohol and accident and injury prevention improved musculoskeletal health. Findings from the same study also showed a 10 per cent decrease in the 12-month prevalence of MSK disorders, ranging from 4 per cent for hip/thigh problems to 12 per cent for lower and upper back problems. Economic analyses of the project as a whole resulted in a projected cost savings of $248/employee/year. Many businesses have recognized the value of investing in employee wellness as part of a Corporate Wellness Strategy. Companies in Canada and the U.S. have reported substantial returns on investment. Companies such as the Canada Life Insurance Company, Dupont, Prudential Insurance, and Citibank reported positive return on investment in the range of $2.00 to $6.85 savings for each $1.00 invested. Research reported by the American Heart Association indicates that a return on investment of $3.00 to $15.00 per $1.00 invested is achievable within
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WANT MORE INFO ?
the first 12 to 18 months. However, in order to achieve these financial benefits, it is critical businesses invest in Corporate Wellness that is results-oriented, supported from the top down, part of their core business strategy and driven by a project charter. Corporate Wellness is no longer solely about education and promotion in the form of lunch-and-learns or other add-on and “ad hoc” offerings. It is strategic and provides a means by which businesses can address many organizational challenges such as an aging workforce, attraction and retention, global competitiveness, and rising health care costs. The challenge is for executives to implement interventions that are comprehensive and meaningful to their employees and are sustainable and measureable. Wellness interventions need to be designed to help employees know their health-related issues and provide guidance on how to improve their health. Interventions must be flexible, able to be used in a variety of situations – at home, at work or on the go. Corporate Wellness is shifting toward online and social networking tools and this method of delivery is the easiest and most cost-effective to expand programs globally and fit within different environments and work schedules. Online platforms eliminate much of the need to deliver programs onsite. This, along with employees’ busy schedules, makes it essential that participation in wellness interventions is quick and easy. Online wellness interventions can reach a broader audience as all that employees need to participate is access to a computer or mobile device and the Internet. They can also offer more variety of resources and programs, and are much more cost-effective than delivering programs onsite. Online interventions can also include a social media component that allows employees to talk with each other, offer wellness tips, exchange information they found helpful and organize social events. With online wellness interventions, not only can programs be offered at multiple sites at the same time, but multiple programs can be offered at the same time. At any given time, employees can have access to a variety of wellness challenges, videos, trackers and
Creative Wellness Solutions Inc. (CWS) is a premier wellness provider that works in partnership with organizations to help lower healthcare costs, increase productivity and reduce absenteeism. We work with national and multinational companies globally to deliver Corporate Wellness strategies that are results-oriented. Our products and services include health risk assessments, biometric screening, Corporate Wellness interventions and online coaching delivered through Evexia - a white label, multilingual, global wellness portal that is branded and customized to any organization. Contact us. www.evexia.ca info@evexia.ca (902) 820-3096
resources that fit their personal interests. Businesses also get more value for their money. Instead of paying for each individual presentation or session, businesses put their dollars toward a broader and more comprehensive ongoing strategy featuring interventions in multiple areas of wellness developed by health professionals that are pre-recorded and able to be viewed multiple times. When Corporate Wellness becomes part of a business strategy, success is assured. Champion companies create a culture of wellness because they know that the cost of doing nothing is unsustainable and the benefits of action are significant. Lydia Makrides, PhD., President, Creative Wellness Solutions Inc. Penney Young, MPA, Research and Policy Analyst, Creative Wellness Solutions Inc.
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FEATURES / SALARY & JOBS GUIDE
HR SALARY SURVEY 2013:
WHO EARNS WHAT AND WHERE?
A wide range of factors affect HR salaries in Canada. For HRD, David Algeo investigates current trends and what’s in store for 2014 If you’re an HR professional in Canada’s utilities industry, chances are good that you’re earning 20 per cent more than your peers nationwide. And if you happen to be based in Calgary, your salary is probably at least 5 per cent above the norm for your specific title. On the other hand, if you’re toiling away in an HR position in the food-service industry, odds are that you earn roughly 15 per cent less than your peers nationwide. And if you work in Quebec City or Winnipeg, your salary might be as much as 10 per cent below the norm. Wherever you are, in whatever industry you serve, it’s worth asking: Am I paid fairly? Would I be better off with a different job title, in a different industry, in a different city? HRD set out to find out how much HR professionals across Canada are paid. We evaluated multiple HR salary surveys and conducted our own extensive research, attempting to formulate a coherent picture of salaries for diverse job titles in diverse industries and diverse places. We also spoke with recruiting firms that work with HR professionals, asking for their insights into current salaries and the factors that shape them. The results suggest that, more than four years after the official end of the recession, Canada’s HR
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profession is still in recovery. Salaries are growing modestly. Hiring is proceeding with cautious optimism. The highest HR salaries this year tend to be concentrated in utilities; mining and energy; finance and insurance; and construction. HR salaries tend to be higher in Calgary, Montreal and Edmonton than in most other Canadian cities. Hot job titles within HR have been those focused on compensation and benefits, but that appears to be changing as Canadian companies leave the recession behind. To evaluate HR salaries, we reviewed the results of our own survey, which drew hundreds of respondents from across Canada, as well as surveys conducted or published by Hays Canada, Robert Half International’s OfficeTeam, the Human Resources Professionals Association and others.
RECESSION HAS PASSED, RECOVERY CONTINUES The HR profession sustained major setbacks during the recession, and employment numbers have yet to reach pre-recession levels. As the recovery continues, however, steady growth in HR employment is expected. Slow but steady economic recovery is in the forecast for the next year. The Royal Bank of Canada’s latest forecast calls for economic growth of 1.8 per cent this year and 2.8 per cent in 2014, driven primarily by low interest rates and rising demand for exports. The latest forecast by BMO Capital Markets suggests that the unemployment rate will average 7.1 per cent this year, declining to an average of 6.8 per cent in 2014, and employment growth will average 1.2 per cent this year, rising to an average of 1.3 per cent next year. “Our recovery is solid, but it’s modest so we have to be cautious, and we are being cautious in terms of our spending,” Finance Minister Jim Flaherty said during a recent interview with the CBC. Caution is also the watchword within HR. “Employers in Canada are adding administrative staff, but they are being deliberate in their hiring decisions, to ensure the best matches for their business culture,” said Shelley Robinson, manager of the North York branch of Robert Half International’s OfficeTeam, a staffing agency that focuses largely on administrative positions. Many companies are offering temporary positions
“You are seeing almost an emergence of a new breed of HR, which is … more data-driven and business-savvy” Tim Low to new administrative employees, with the option to convert to regular status if the relationship is found suitable, Robinson said. Others are hiring contractors. “That is huge, actually,” she said. “They will hire on contract to determine whether it’s financially suitable for the company and to make sure the fit is there.” Meanwhile, more optimistic employers are starting to fill “soft” HR positions vacant since the recession; for example, hiring change-management specialists who help employees come to terms with new ways of doing business. “We absolutely were not seeing that a year ago,” said Rowan O’Grady, president of Hays Canada, a recruiting firm. “There is a lot more confidence.” As the recovery continues, a shift is taking place within HR, said Steven Osiel, vice president of benefits and compensation at Pal Benefits, a Toronto consulting firm that designs benefit, retirement and compensation packages for employers. During the recession and the first several years of the recovery, HR focused on downsizing or rightsizing. “The attention has shifted from organizations working with fewer people to now ensuring that people have the right policies and procedures and the right work environment to stay working positively over the long period,” Osiel said.
ABOUT YOUR PAY RAISE If employers have been cautious about hiring, they also have been cautious about spending. The Human Resources Professionals Association found that, for some HR job titles, annual salaries actually declined in 2013. The HRPA salary survey, conducted by PayScale Inc., found that HR vice presidents have sustained average pay cuts of 5 per cent this year while HR directors’ salaries have been flat. Mid-level staffers NOVEMBER 2013 | 29
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FEATURES / SALARY & JOBS GUIDE
GLOBAL HIGH ROLLERS
Germany
UK
$9,661,550
$1,465,860
Tracey Robbins, VP HR, Intercontinental Hotels Group
Horst Neumann, HR chief, Volkswagen Ag
$663,900
$3,981,170
Claire Balmforth, operations director – UK Carpetright
Margaret Suckale, IR director, BASF SE
$312,060
Lucy Adams, director of HR, BBC Academy and International Communications
U.S.
$22,350,830* Daniel E Walker chief talent officer JC Penney
$5,608,780*
Benito Cachinero-Sanchez Snr VP, HR, DuPont
$5,337,990*
Martha A Burger Snr VP, HR & corporate resources
South Africa Switzerland
$4,682,050 Gary Steel, head of human resources, ABB
$470,040
Pumeza Bam, HRD, EOH Holdings Limited
$427,090
Juba JA Mashaba, group human resources director, Aveng Limited
All figures are C$ for fiscal year 2012: Note: In most cases, Canadian corporations, even public ones, are not obligated to share HR salary data Sources: investing.businessweek.com/research/stocks except * from list compiled by US-based HRE
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CLIMBING THE LADDER
India
$12,039,550
Ronald C Sequeira, executive director of HR, GlaxoSmithKline Pharmaceuticals
$4,314,070
Anupam Anand, director personnel, Hindustan Copper
Australia
$4,685,690
Karen Wood president of people and public affairs, BHP Billiton
$3,362,000
Hugo Bague group executive, people & organisation, Rio Tinto
$1,645,800
Michaela J Healy, group executive of people, communications & governance, NAB
For a major boost in salary, there’s no substitute for ascending the career ladder. Moving from director of HR to vice president of HR would provide an increase of 20 per cent to 60 per cent, depending on which salary survey you consult. Moving from manager to director would provide an increase of 18 per cent to 45 per cent. But reaching the top rungs won’t be easy. The upper echelons of the HR profession are already crowded with highly experienced candidates, many of whom, according to the HRPA survey, have taken salary reductions this year. Demand for HR staff appears to be strongest at the junior and middlemanagement levels, according to OfficeTeam.
have fared slightly better, according to the survey, with managers and HR generalists receiving increases of 1 per cent and 1.7 per cent respectively. The salary reductions at the top of the HR ladder might simply reflect supply and demand. There are fewer candidates at mid-management levels, while senior management is “dominated by highly experienced candidates,” according to a report by Hays Canada, which also conducted a 2013 salary survey. That would be consistent with what OfficeTeam has been seeing, said Robinson, North York branch manager. “A lot of companies are seizing the opportunity now to bring in HR people at the junior level in order to stay within their budgets while they grow the staff,” Robinson said. “We also have found a number of companies that are going through changes where they are looking at whether they need three senior-level HR managers or directors. Maybe they can have just one, and add more junior individuals.” For 2013, OfficeTeam reported salary increases ranging from 4.3 per cent to 4.5 per cent, but the OfficeTeam survey covered only three HR job titles: HR assistant, recruiting specialist/coordinator, and benefits specialist/coordinator. The strong increases associated with the three titles reflect the relatively high demand for junior and mid-level employees, Robinson said. Hays Canada’s survey came up with mixed news on 2013 salary increases, finding that slightly more than 40 per cent of employers plan to boost HR salaries between 3 per cent and 6 per cent this year, while 48 per cent plan to boost salaries by less than 3 per cent. O’Grady, the president of Hays Canada, estimated that the average HR salary increase in 2013 has been in the 2.5 per cent to 3 per cent range. He added that NOVEMBER 2013 | 31
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HOT INDUSTRIES
TOP INDUSTRIES FOR HR SALARIES, ALL TITLES*
$71,000
Utilities Mining, quarrying, and oil and gas extraction Finance and insurance
$68,950 $63,650 $60,300
Construction Professional, scientific and technical services
$59,450 $58,700
Information Arts, entertainment and recreation
$58,500v
Retail trade Wholesale trade Manufacturing All Industries
$58,500 $57,850 $57,400 $57,050 $58,050
*Figures are based on data reported in the Human Resources Professional Association’s white paper, “The 2013 Market Value of CHRP Certification.” For each industry, the salary shown is the mean average of two figures presented by the HRPA: the median salary for HR professionals in that industry who have CHRP certification and the median salary for those who don’t. To derive a rough average salary for each industry, HRD added the two medians and divided by two. Calculating a weighted average wasn’t possible, as the raw, or underlying, data weren’t available. The term “all-titles” covers five common HR roles: HR assistant, administrator, generalist, manager, and director.
that holds true across Canada, and not solely in Toronto, Ottawa and Vancouver — the focus of Hays Canada’s survey.
HOT JOB TITLES If a 2.5 per cent to 3 per cent increase in salary doesn’t inspire you to stay on the job another year, perhaps it’s time to consider specializing in a new area within HR. Some job titles are clearly hotter than others. Among titles commanding salaries markedly above the average this year: • HR manager, compensation and benefits: brings in nearly 25 per cent more than a generalist manager, according to figures extracted from Hays Canada’s survey results. • HR analyst/specialist, compensation and benefits: earns 20 per cent to 40 per cent more than
specialists in HRIS and learning and development. • Director, compensation and benefits: earns substantially more than the median salary for all HR directors, according to HRD’s online survey. “The compensation and benefits area has been very busy because of the recession and the recovery from it,” O’Grady said, adding that companies focus more intently on compensation and benefits when money is scarce. “In the last three to six months, demand for compensation experts has tapered off a little a bit. There is still a real demand, because there are a lot of sophisticated and complicated compensation programs out there that you need an expert to be able to manage. But it’s gone off the boil a little bit, and that might mean people are looking forward a little bit more and investing a little more. Maybe they don’t have the same appetite for a very rigorous approach to compensation.” Instead, companies are beginning to pay greater attention to cultural change, he said. “Looking forward, change management will be the hot title. And business partners—people who can actually identify and quantify HR’s value to the specific business and who can clearly see how HR can make a business strategy happen. Some of these jobs are senior positions, with $100,000-plus salaries.” ` Neither of those titles appeared in the surveys that HRD evaluated, but if O’Grady’s supposition is correct, that will change in future years. Even as the recovery drives basic changes within HR, salaries for compensation and benefits experts will remain relatively high, said Osiel, the vice president at Pal Benefits. That’s because few HR professionals choose to specialize in compensation and benefits, he said. Osiel’s list of hot HR jobs reflects a shift from downsizing/rightsizing to retention. “The better we can retain and motivate our employees, the better the organization will be,” he said. “And that generally falls onto labour relations, plant managers, and training and development.” Tim Low, a VP at PayScale Inc., which conducted the HRPA salary survey, also sees important changes taking place within HR. “I think you are seeing almost an emergence of a new breed of HR, which is … more data-driven and business-savvy. It is more focused on attracting and retaining the right talent, which is a strategic imperative.”
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EXPERIENCE PAYS—USUALLY
That could point to growing need for changemanagement experts and business partners as well as HRIS specialists.
HOT INDUSTRIES If shifting to a new specialization isn’t a feasible way to land a pay increase, shifting to a new industry might be an attractive alternative. HR salaries vary widely across industries, and the hottest industries this year have been utilities; mining, oil and gas; finance and insurance; and construction, according to an analysis of data extracted from the HRPA report. Accordingly, HR salaries in the utilities industry are approximately 22.3 per cent higher than the average for all HR titles in all industries. HR pay in the mining, oil and gas vertical beats the average by 18.8 per cent, although both industries have been slowing in the second half of the year. In finance and insurance, HR salaries are 9.6 per cent above the average; in construction, 3.9 per cent above; and in professional, scientific and technical services, 2.4 per cent above. HR salaries appear to be lowest in the accommodations and food-services sector, coming in at 14.7 per cent below the average. Salaries in health care and social assistance are 7.9 per cent below; and in real estate and rental and leasing, 5 per cent below. With a few exceptions, the industries that offer the most attractive salaries are industries that have been experiencing rapid employment growth this year. Construction, ranked fourth on the HR salary scale, was Canada’s fastest-growing industry from August 2012 through August 2013, with job growth of 9.1 per cent, according to Statistics Canada. Over the same period, employment in the utilities industry, which tops the HR salary scale, grew 5.8 per cent, while employment in professional, scientific and technical services rose 4.8 per cent. The average rate of growth for all industries was 1.4 per cent. “The construction industry is very hot,” O’Grady said. But that doesn’t mean that construction is necessarily a good place for an HR professional to land. “Some construction companies—not all—don’t always see the real value in HR as an investment,” he said. “They tend to see it as required for essential processes. Some of them are a little behind the times when it comes to HR.” Opportunities in banking and finance are strong, O’Grady said. The mining industry, in contrast, has experienced major setbacks this year as a result of
There is no hard and fast rule regarding the monetary value of experience in HR. For some titles, a few additional years on the job can translate to a hefty salary increase. For others, longevity clearly doesn’t pay. An HR manager of recruitment with five to 10 years of experience can expect to earn roughly $90,333, according to figures provided by Hays Canada. The same manager, with 10-plus years of experience, could expect to earn $108,333, or 20 per cent more. An HRIS specialist with less than five years’ experience might earn $51,666, but the same person, with five to 10 years’ experience, could expect to receive $62,500, or 21 per cent more. Yet HR recruitment administrators with more than 10 years of experience earn roughly the same pay as those with only five to 10 years of experience. The same holds true for HR administrators who specialize in learning and development.
HOT INDUSTRIES
Top industries for HR salaries, all titles* Industry
HR Salaries
Utilities
$71,000
Mining, quarrying, and oil and gas extraction
$68,950
Finance and insurance
$63,650
Construction
$60,300
Professional, scientific and technical services
$59,450
Information
$58,700
Arts, entertainment and recreation
$58,500
Retail trade
$57,850
Wholesale trade
$57,400
Manufacturing
$57,050
All Industries
$58,050
*Figures are based on data reported in the Human Resources Professional Association’s white paper, “The 2013 Market Value of CHRP Certification.” For each industry, the salary shown is the mean average of two figures presented by the HRPA: the median salary for HR professionals in that industry who have CHRP certification and the median salary for those who don’t. To derive an average salary for each industry, HRD added the two medians and divided by two. Calculating a weighted average wasn’t possible, as the raw, or underlying, data weren’t available. The term “all-titles” covers five common HR roles: HR assistant, administrator, generalist, manager, and director.
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HOT CITIES
Ottawa Toronto
10.07%
-0.86%
Kitchener
-9.22%
London
-2.41%
Edmonton
5.08%
Vancouver
-2.67%
Calgary
11.54
%
Halifax
Winnipeg
-1.20%
-3.53%
Montreal Hamilton
-2.58%
-7.58%
“If I could live anywhere, I would go for Calgary and then Vancouver” Rowan O’Grady the slowing of China’s economic growth. “We hope to see it come back on in 2014,” O’Grady said. Oil and gas has slowed somewhat as well, but not as dramatically.
HOT CITIES In the HR world, where you are on the map is nearly as important as what you do and how long you have
done it. On the whole, HR employees in Calgary are paid better than their counterparts in every other city in Canada. Montreal and Edmonton also have been HR salary hotspots this year. Explosive growth and high salaries in Calgary have been generated not only by the oil and gas industry, but also by construction and professional services. June’s flooding, which displaced 100,000 people in Calgary and other cities and towns in southern Alberta, caused significant economic upheaval, but the recovery and rebuilding are expected to offset the losses. “Not even the worst floods in memory in southern
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SALARY SURVEY
HRPA Hays HRM Reader Salary Survey Ontario HRM Reader Salary Survey Atlantic HRM Reader Salary Survey Alberta HRM Reader Salary Survey Nationwide Median HRM Reader Salary Survey BC
Human Resources Administrator Human Resources Coordinator Human Resources Generalist Human Resources Manager Human Resources Director VP of Human Resources Learning and Development Coordinator Learning and Development Trainer Learning and Development Manager Vp of Learning and Development Recruitment Administrator Recruitment Specialist Recruitment Manager Compensation and Benefits Coordinator Compensation and Benefits Specialist Compensation and Benefits Manager Compensation and Benefits Director HRIS Specialist Human Resources Consultant Other All Titles 0
50,000
100,000
150,000
200,000
250,000
Data for Hays Canada were drawn from “The 2013 Hays Compensation, Benefits, Recruitment and Retention Guide.” The guide reported a range of “typical” salaries for employees in the positions listed above. All salaries were broken out with respect to years of experience. For this chart, HRD calculated a median salary for each job title, taking into account all experience levels. Human Resources Professional Association (HRPA) data were taken from the association’s white paper “The 2013 Market Value of CHRP Certification.” For each job title, the salary noted above represents the weighted mean average of two figures presented in the white paper: the median salary for HR professionals in that job title who have Certified Human Resources Professional (CHRP) certification and the median salary for those who don’t. The HRM reader salary survey was conducted by HRM Online in September 2013. A total of 607 respondents provided such information as job title, current salary, province, and years of experience. HRD calculated the median salary for each job title, listing these Canada-wide and by province. Only Ontario, Alberta, British Columbia and the Atlantic Provinces are included in the chart, as the numbers of respondents in other provinces weren’t sufficiently large to warrant inclusion.
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CANADA’S HOTTEST CITIES (ADMIN JOBS)
It’s not just what you do, but where you do it that affects your paycheque. HRD’s list of hot spots and no-so hot spots shows the differences between the average national salary and the local pay packet.* City
Percent above/ below avg salary
1
Calgary
5.1%
2
Toronto
4.9%
Rank
3
Vancouver
3.5%
4
Edmonton
3.2%
5
Montreal
2.9%
6
Ottawa
0.2%
7
Fraser Valley
-1.9%
8
Victoria
-3.8%
9
Kitchener-Waterloo
-4.2%
10
Saskatoon
-4.4%
11
Regina
-6.1%
12
Winnipeg
-9.5%
13
Quebec City
-10.8%
*Percentages are based on calculations provided in OfficeTeam’s 2013 salary survey. The three job titles that OfficeTeam surveyed were HR assistant, recruiting specialist/coordinator, and benefits specialist/ coordinator.
CANADA’S HOTTEST CITIES (HR JOBS)
When it comes to HR positions, location has even more of an impact than on the admin sector, according to HRPA data comparing some of Canada’s largest metropolitan areas Rank
City
Salary for all HR titles*
Percent above/ below avg salary
1
Calgary
$64,750
11.54
2
Ottawa-Gatineau
$63,900
10.07%
3
Edmonton
$61,000
5.08%
4
Montreal
$59,550
-2.58%
5
Toronto
$57,550
-0.86%
6
Halifax
$57,350
-1.20%
7
London
$56,650
-2.41%
8
Vancouver
$56,500
-2.67%
9
Winnipeg
$56,000
-3.53%
10
Hamilton
$53,650
-7.58%
11
Kitchener
$52,700
-9.22%
*For each city listed, the salary shown is the mean average of two figures presented by the HRPA—one indicating the median salary for all HR professionals who have CHRP certification and the other indicating the median salary for those who lack certification. To derive an average salary for each city, HRD added the two medians and divided by two. The all-titles figure reflects the combination of five titles: HR assistant, administrator, generalist,
sections of the province in June—including Calgary—will hold Alberta’s economy back,” noted a recent report by RBC Economics. “In fact, the way real GDP statistics are calculated, the floods in the end likely will boost growth.” Low, the vice president of B2B marketing at PayScale, said that Calgary has been the salary leader not only in HR, but in other industries as well in 2013. “We show that lead diminishing,” he said. “In the most recent quarter, Calgary was only slightly over the national average (on PayScale’s salary index).” In their surveys, both OfficeTeam and HRPA evaluated HR salaries with reference to geography, and both placed Calgary at the top of the chart. Montreal and Edmonton landed in the Top 5 on both charts as well. “If I could live anywhere, I would go for Calgary and then Vancouver,” O’Grady said. “Calgary in particular is a very strong economy and there are multiple growing industries there—oil and gas, construction, and professional services. There aren’t enough people to go around.” Toronto, in contrast, already has an abundance of HR people, and is highly competitive, he said. “My top three cities probably would be Calgary, Toronto and Vancouver,” said Osiel of Pal Benefits. Those three metro areas also top the list compiled by OfficeTeam.
LOOKING AHEAD If economic growth in 2014 reaches the 2.7 per cent forecast by the Royal Bank of Canada and if employment growth outpaces this year’s rate, then HR employment and salaries are likely to grow with them. The shift within HR—away from downsizing/rightsizing and toward retention and change management—is likely to continue as well. For 2014, Osiel of Pal Benefits expects salary increases in the 2.5 per cent to 3.25 per cent range. “However,” he said, “some cities will remain hotspots, as will some industries.” OfficeTeam’s Robinson expects average pay raises of 3.9 per cent to 4.1 per cent for the three HR titles on which the OfficeTeam survey focused: HR assistant (3.9 per cent); HR recruiting specialist/coordinator (4.1 per cent); and HR benefits specialist/coordinator (4.1 per cent). O’Grady of Hays Canada is forecasting average HR salary increases of 2.5 per cent to 3 per cent. “The outlook is very positive right now, but it’s fragile,” he said. “All we need is a slowdown or bad economic news or for the housing bubble to burst, and we will all be back at square one.”
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THE CHRO: COMING SOON TO AN HR DEPARTMENT NEAR YOU? Salary surveys of Canadian HR professionals reveal dozens of job titles, from the familiar—HR manager; HR administrator—to the unusual—workforce planner; volunteer and guest manager. One title that has yet to gain prominence is that of chief human resources officer. Over the past decade, the CHRO title has been become more common in the United States, particularly at large companies, where the CHRO oversees day-to-day HR operations and serves as a strategic advisor. Among U.S. giants that use the title: Johnson & Johnson, the Gap, Macy’s, Lowe’s, American Express and General Mills. Within companies that employ a CHRO, HR tends to be viewed as strategic, and not simply as part of an essential process, said Steven Osiel, vice president of benefits and compensation at Pal Benefits, a Toronto-based consulting company that specializes in compensation, benefits and retirement. “The idea that HR is more strategic isn’t necessarily moving at the speed of light,” Osiel said. One reason the title hasn’t caught fire in Canada is that it tends to be used at companies with workforces in the 50,000-plus range, he said. Another reason: Salaries for CHROs tend to be higher than salaries for traditional HR leaders, said Shelley Robinson of Robert Half’s OfficeTeam, a placement service. Nonetheless, the title is becoming more widely adopted, said Tim Low, vice president of marketing at PayScale Inc., which tracks salaries in the United States and Canada. “There is an emerging desire at a lot of companies to create a strategy- and business-focused HR officer,” Low said. “Companies that choose the title of CHRO or chief people officer, maybe, embody some of the traits of the forward-looking data-driven HR function. In my experience, we are seeing an uptick in those titles across North America, including Canada.” Among Canadian organizations using the CHRO designation are Royal Bank of Canada, Sobeys Inc., the Royal Canadian Mounted Police, Canada Post and Canada Mortgage and Housing Corp. The CHRO’s role differs from that of a traditional
Tim Low
“There is an emerging desire at a lot of companies to create a strategy- and business-focused HR officer”
HR leader, according to the U.S.-based HR Policy Association’s Web site, in that the “CHRO holds a dual role as both the functional leader of the human resources department and as a business executive with extensive knowledge of the company’s strategy and operations. The ability to operate effectively in both aspects of this role is what differentiates world-class CHROs from other leaders of the HR function.” Another key difference is the relationship with the board of directors. In a book titled, “Strategist and Steward: The Evolving Role of the Chief Human Resources Officer,” Deloitte noted that, traditionally, HR leaders had little direct contact with the board. “But today, the relationship is much closer. CHROs help design and administer the processes for board member selection, orientation, compensation, and performance evaluation. They provide insight, analysis, and data for all board-level HR issues.” If the CHRO role became more common in Canada, “that would be a fantastic thing,” said Rowan O’Grady, president of Hays Canada, a recruiting firm. “I think companies are slow to change and slow to add new jobs to the board, but it would be a great thing for companies. It would be a great thing for people, for the actual employees of a company, and a fantastic thing for perceptions of human resources. It’s something that would be deserved, and it should be done,” he said. NOVEMBER 2013 | 37
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LEARNING AND DEVELOPMENT / EXECUTIVE EDUCATION
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ADVENTURES IN EXECUTIVE EDUCATION: THE HIGH COST OF GOLDEN HANDCUFFS, FOGGY ACCREDITATION AND NETWORK-BUILDING Executive education programs vary greatly in time commitments, tuition costs and outcome. Tim Jacobs investigates the options, to help HR directors guide organizational policy and their own education decisions First there was the gold standard in executive training, the master of business administration (MBA), once considered the passport to elite executive positions. Then came the executive MBA (EMBA)—pronounced ehm-bah by insiders—once the MBA had become devalued by the glut of MBA-holders. Then came executive education, which is only vaguely different from the EMBA, which adds to the general confusion surrounding executive education (the concept, not programs). Then there’s the array of choices beneath the banner of executive education. Open or customized curriculum? One day or 30 months? One employee or an entire department? Online, in person, or flexible attendance? $795 per one-day course or $115,000 for the whole shebang? Making the right decision for your organization—
public or private sector—can be challenging. Canadian business schools are relentless in their quest to create the impression of institutional innovation and program distinction as they jockey for the corporate dollar, but programs are similar. We have compiled this survey of programming for today’s highperforming executives to help your enterprise make the most cost-effective decision that yields the most from your employees.
TWO PATHS Both EMBA and executive education camps agree that the MBA now mainly draws recent university graduates (average age, 22). Associate Dean of Executive Degree Programs at the University of Toronto’s Rotman School of Management Beatrix Dart points out that the MBA degree is now considered
38
is the average age of EMBA ‘high potentials’ NOVEMBER 2013 | 39
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“Our high-achievers do not necessarily take our programs for career advancement; rather, they have discovered a specific challenge or they need to lead through a particular organizational change.” Michele Milan
a “career-starter,” whereas “the average age of our (EMBA) high potentials is 38, and they have had careers of 10 to 12 years, many in leadership roles.” The EMBA therefore provides a richer peer experience and more applicable networking opportunities than the MBA. The two major routes for executives to improve their fundamentals now is the EMBA and business school executive education, which is non-degree and similar to continuing education, although administrators wince at the comparison: “Better put as highly actionable executive training in integrative thinking for organizational leaders who have to deal with complex, messy situations,” says Michele Milan, CEO of executive programs at Rotman. The fundamental difference between the EMBA and executive education comes down to who it primarily serves—the individual or the organization. Both programs offer the traditional business streams of study—finance, accounting, management and so on—and both programs emphasize leadership development. But the EMBA tends to serve the interests and career development of individuals, whereas executive education can be deployed to improve entire departments as well as individuals who aren’t as concerned about credentials, but are more concerned with updating their leadership abilities. Milan gives examples of enterprise leaders who take executive education programs “to learn how to
manage and lead people.” Many executives “already have professional credentials like an MBA or PhD,” says Milan. “Our high-achievers do not necessarily take our programs for career advancement; rather, they have discovered a specific challenge or they need to lead through a particular organizational change.” Milan gives two examples of “a clinically trained physician promoted to CEO” and “a CEO of a corporation appointed to chair a board of directors for the first time.” Both required current executive best-practices that could be absorbed quickly for immediate application. Executives who need to manage new contexts or who want to improve in their current roles, choose executive education. “It’s a great way to learn to manage yourself,” says Milan, “by managing your own executive function for the greater good of the organization. And this can be accomplished in 12 days.” This is not to say that the EMBA doesn’t promote leadership development. Rotman’s Associate Dean Beatrix Dart points out that “a full quarter” of Rotman’s EMBA is “focussed on leadership skills development and enhancement.” Executive education is frequently more appropriate for and more esteemed by professional organizations. The Rotman executive education program offers a three-week Police Leadership Program certificate ($11,000) recognized by the Ontario Association of Chiefs of Police and a 12-day Directors of Education Program certificate, jointly developed with the Institute of Corporate Directors.
CERTIFICATE OR DEGREE? Executive education appeals to senior leadership because of its customizability. Most programs offer open and customized programming. Open programming refers to existing curriculum, whereas customized curriculum is created in consultation with an institution’s faculty and programming liaison. The benefit of customized programming is that enterprises can establish highly relevant curriculum for entire departments of employees. McMaster University’s DeGroote School of Business, for example, has just signed a three-year contract with the City of Burlington to provide curriculum, designed in partnership with the city, for all
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EXECUTIVE PROGRAMS...
employees at the supervisor level and higher to study organizational leadership. It’s probably for the best that the executive education credential itself isn’t the paramount concern for its attendees because there is little standardized accreditation for the completion of a course of study. After all, it’s difficult to come up with a credential to award for courses of study that range from a single day to three weeks in duration. York University’s Schulich School of Business offers certificates for mini-programs of two to five days and a “Master Certificate” for programs of 15 to 18 days’ duration. But using the term master for a certificate program is suspect considering that “master” too closely recalls master’s degrees. Associate Director of Operations and Short Programs at Schulich Jim Polley says that the Master Certificate “recognizes a master’s level of knowledge, competency and expertise.” Still, some question how much subject mastery can be obtained from only 15 days of study. DeGroote is more modest in its certificate naming, offering a self-explanatory Certificate of Attendance and a Certificate of Completion for “bundling at least five (courses) together,” says Paul Bates, former CEO of Charles Schwab Canada. Again, it’s the training and not the credential that matter most.
A TALE OF TWO LEADERS None of which is to suggest that the EMBA or MBA is not practical for its students or highly valuable to organizations. Organizations with all-star executives should perhaps consider special arrangements with their employees because of the immediate results that an EMBA-supercharged executive can generate. Consider Liz Snelgrove, Director of EMBA Recruitment and Program Services at Western University’s Ivey School of Business. Snelgrove calls her MBA experience a “huge undertaking,” yet “loved every minute of it” because it was “very invigorating.” On collaboration and networking opportunities, Snelgrove remarks, “You’re immersed in this pool of diverse and talented executives and thinkers who become a powerful network of 53, or more. There’s no substitute for this.” Roman N. Dykyj’s experience is similar. Dykyj was
...enable leaders to develop the capacity to transform themselves, their organizations and their communities. Our constantly evolving program content instills a culture of creativity that perpetuates ingenuity and resilience at every level. It is about thinking differently. Whether you are a new manager with growing responsibilities, a senior manager translating strategy into action or a CEO leading in a global era, learning to think differently will enhance your ability to address concerns specific to your role and maximize your impact on your organization and the world. Our programs cover all areas of executive development, including leadership, governance, finance and human resources, for public, private and non-profit sectors. At Rotman Executive Programs we employ a wide array of learning techniques – case studies, group projects, computer simulations, one-to-one coaching – tied directly to business needs and outcomes. Your in-class experience will build personal effectiveness and mastery through exposure to theoretical and industry best practices. You will develop the skills and be introduced to tools that are immediately applicable to your workplace and will be empowered with a new way to think that will continuously transform your work experience. For more information visit: www. rotmanexecutive.com or contact learning.advisor@ rotman.utoronto.ca, 416-978-8815
a Canadian executive in Florida when he decided to do his MBA while remaining in his position. Dykyj, now Lead Associate at Booz Allen Hamilton, says that the program was “extremely valuable and truly opened doors to opportunities I would not have previously been considered for.” Like Snelgrove, Dykyj rates the “breadth of the network you build” as “the largest takeaway (you cannot get this from an online program).” EMBA candidates should be aware of the hierarchy of schools. “The credential from a low-tier school is not likely worth the investment,” says Dykyj. The more recognizable a school is, the more prestigious the credential becomes. Dykyj, who graduated from the University of Florida, points out that the school won back-to-back football championships while he was there, which added cache to his degree, “which is sad,” he acknowledges. Reputation matters and it translates into selectivity. Rotman’s EMBA program received 400 applications last year and only 65 were admitted, according to Associate Dean Beatrix Dart. NOVEMBER 2013 | 41
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“What makes Rotman’s program so rich is that it attracts executives from all sectors—for and nonprofit—in the media, healthcare, manufacturing, and beyond.”
THE COST OF EXEC ED.
$20,000 10,000
$16,500 FOR 12 DAYS
5,000 2,000
Beatrix Dart COUNTING THE COST Business school is not cheap. Canadian EMBAs range from $115,000 at the high end (Schulich) to $35,000 at institutions such as Sherbrooke and UPEI. Athabasca University’s online program costs $45,000, and doesn’t come with those highly vaunted network connections. It’s a considerable investment for any executive or organization. Some employers cover employees’ tuition, but most don’t. Employers are concerned about employee retention after completion of the degree and how it may disrupt performance while in progress. Snelgrove, a former VP of sales and marketing in the health sector, was granted an interest-free loan by her thenCEO to do her MBA (at a cost then of $80,000), while remaining in her position. There was one caveat: she had to “implement everything immediately and increase business by 15 per cent.” She surpassed it by 18 per cent. Dykyj, then in financial and risk management, had “extended discussions” with senior executives to cover the cost but they balked. Instead, he financed 60 per cent through his Employee Tuition Assistance Program, but had to repay 12 per cent upon leaving the company a year later. Employers who pay the entire cost typically impose a golden-handcuffs clause, meaning the employee is obliged to remain with the company for at least two years after program completion (newly minted EMBAs are a flight risk to test their new credentials on the market). Rotman’s Beatrix Dart says that “fully-sponsored [levels] are as high as 60 per cent now, but have declined over the past ten
1,000 0
$750 FOR THE ENTIRE COURSE
‘School A’
‘School B’
years.” She notes that employers also offer partial sponsorship in the form of some cash and flexible time to complete the program. Few organizations can finance costly EMBA programs, which makes executive education programming a quick and value-added alternative. Rotman typically charges $1,800 for two days and as high as $16,500 for 12 days. DeGroote costs as low as $795 per course, and the more employees who are added to a cohort, the cheaper the final bill. For return on investment, companies are probably best matched with executive education programming for mid-tier leadership, or occasional courses for earmarked employees, whereas only extra special talent—perhaps a senior executive who needs more motivation—should be considered for an EMBA.
WHERE TO GO AND HOW TO GET THERE Business schools are no longer geographically anchored, and many have opened Toronto campuses, which provides near endless opportunities for today’s executives. Paul Bates counts as one of his more significant accomplishments as the former Dean of DeGroote the founding of the $28 million Ron Joyce centre in adjacent Burlington to house McMaster’s MBA and executive education programs. Burlington, a city without a university, embraced
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the Centre, and Bates’s entrepreneurial vision paid off with over 700 currently enrolled in the MBA program, as opposed to a meagre 185 when he arrived from Bay Street in 2004. “The Centre was custom designed for executive education,” says Bates. “The location was strategically chosen to invite collaboration between the university and local businesses and leaders.” Western’s Ivey school has a downtown Toronto campus to accommodate Bay Street executives, and aims to foster “an innovative work culture where business and academia intersect,” says Liz Snelgrove. The final consideration, then, might be program philosophy. Paul Bates remarks that DeGroote is
“consultative in our teaching,” meaning that there is an expectation for faculty to follow-up with businesses regarding the practical, applied successes of the courses taken. Snelgrove talks up the rigorous case method as a hallmark of Ivey’s programming. Beatrix Dart says that what makes Rotman’s program so rich is that it “attracts executives from all sectors—for and non-profit—in the media, healthcare, manufacturing, and beyond.” For Michele Milan it’s Rotman’s “integrative thinking” that really allows executives to master today’s complicated leadership challenges in uncertain economic times. Whatever the choice—EMBA or selective executive education—executive ambitions are better accommodated than ever before.
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LEARNING AND DEVELOPMENT / EXECUTIVE COACHING
STAIRWAY TO
I
SUCCESS
When it comes to executive development, coaching can be better than classroom training because of its personalized, individual approach
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I
It’s inevitable: Retiring baby boomers are creating a void, forcing HR directors to look several floors down from the executive suite for those rank-and-file employees most prepared to lead – well, lead someday. Those younger prospects will take the reins only after the requisite training, but the one-on-one coaching needed to bring them to that point is increasingly the subject of debate. While training often involved 20 people in a room listening to a lecture, coaching ensures a personalized approach that means individuals deal with their own strengths and weaknesses, instead of learning generic approaches. Most coaching does follow a set structure or program, but there is a flexibility that isn’t available through training, says AFS Consulting executive coach Doug Jordan. “You could imagine that the program could be delivered as a training event if you put them in a classroom, but as soon as you start putting 20 people in that room, it becomes more didactic and onedirectional,” he tells HRD. “Coaching is much more personal, intimate and private. It allows the client to develop a personal relationship with the coach and they can start delving into their own particular issues, worries and opportunities.” Studies have found that within days of a training session most people have forgotten 80 per cent of that learning. It’s a different story with coaching, which so often involves hours of sessions spread out over a number of months, thereby fostering real behavioural change. “Every person that comes through is unique and that’s what I like with the one-on-one because you make distinctions with that person,” said Danielle Gault from Corporate and Wellness Training Services. “Somebody might share a similar problem, but the distinctions are unique in terms of the variables.”
“Every person that comes through is unique and that’s what I like with the one-on-one because you make distinctions with that person” Danielle Gault Gault used a behavioural model, including personality and temperament theory to help individuals adapt to new roles. “It can go back to how they were brought up or their culture. Definitely one size does not fit everybody, but the framework is the same,” she said. “I use the same models, but the content is different and the process is unique to the individual.” She starts by asking clients very straightforward questions: What are you trying to achieve? How will you know when you have succeeded? What are some of the challenges you are currently facing? The process helps bring the real issues into focus and could lead to breakthroughs in behaviour, says Gault. When it comes to development, many people want to do that in a private way. Training by nature is public so it becomes more conceptual or abstract rather than personal and implementable. Many companies are making tough decisions about where to spend their money, but skimping on learning and development could cost you down the road. “Organizations run by accountants still treat training and development as costs, not as investments,” Jordan said. “It’s like having a building where the roof is leaking. We need to put a new roof, but let’s just patch it.”
80%
The amount of content from a training session that is forgotten within just a few days
NOVEMBER 2013 | 45
LEARNING AND DEVELOPMENT / DOWNSIZING
DIVERTING DOWNSIZING DISASTER Downsizing doesn’t have to cast a pall over your company, but maintaining and improving morale after layoffs does require smart, proactive HR work
5 LARGEST LAYOFFS Large layoffs occur almost exclusively either in industries near the end of their most successful periods, or during difficult economic conditions
1
IBM
Biggest layoff:
60,000
MY ONE PIECE OF ADVICE ON DOWNSIZING... From Three HR Consultants
“Once a restructure or downsizing appears to be inevitable, then (1) move quickly – prolonging the process is bad for those impacted and for Vicki Daniel those left behind, and for morale overall; and (2) communicate, communicate, communicate with those impacted – even if final decisions are not made. Communicate what has been agreed and what is still to be decided – be honest but crisp”
Date of layoff: July 1993
2
SEARS/ KMART
Biggest layoff:
50,000 Date of layoff: January 1993
3
CITIGROUP Biggest layoff:
50,000
BRUCE ANDERSON, LEE HECHT
“Plan in advance for organizational change and have a robust strategy, which takes into consideration organizational Bruce Anderson culture, engagement of employees and how the change will impact human capital in the future”
Date of layoff: November 2008
4
GENERAL MOTORS Biggest layoff:
47,000 Date of layoff: February 2009
When Louis V Gerstner Jr, viewed by many as one of the great CEOs of the second half of the 20th century, joined IBM in 1993, the company was in deep trouble. The company had 405,000 workers in 1985. After the Gerstner cuts, that figure was 225,000. The workforce reduction saved IBM $4Bb a year.
Sears and Kmart both went through a series of job cuts before they merged in 2005. At the time of the merger, the expected savings from the marriage was $500m a year – this unfortunately never eventuated.
Layoffs were part of a companywide effort by management to save the financial firm after the collapse of the credit markets in 2008.
Layoffs in early 2009 were part of an effort to cut costs enough to match a drop in revenue. GM made the reductions as it was about to enter Chapter 11 with US Federal Government aid.
GAVIN WEDELL,
“Even if there is some disagreement internally, make sure that the senior leadership team is aligned around the change project and unified in Gavin Wedell their approach to external communications and actions’
5
AT&T
Biggest layoff:
40,000 Date of layoff: January 1996
CEO Robert Allen said, at the time of the layoffs, that the move would create more shareholder value. The job cuts were part of a plan to spin out AT&T’s NCR and Lucent divisions.
Source: 24/7 Wall St
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TECHNOLOGY AND TALENT / TALENT RETENTION
THE NEXT LEVEL… IN TALENT ENGAGEMENT
C
Workforce Management Solutions are transforming employee retention efforts, writes Tim Jacobs, and providing HR directors with the tools to reshape retention efforts Corporate strategies for employee engagement and retention were once directed all but exclusively at senior leadership. No more. Innovative companies now ensure that effective employee engagement occurs at all organizational levels. Being competitive in the 21st century means acquiring—and keeping— the right talent. In this special four-part series, we investigate how workforce management solutions can strengthen organizations and enterprises of all sectors and all scales. This month, we focus on employee engagement and retention—otherwise known as the war on talent.
EMPLOYEE SATISFACTION
Some 69 per cent of Canadian and 70 per cent of American human resource professionals agree that “employee engagement is a problem in their organizations,” according to two recent studies. Happy employees are productive employees. Employees seek out their own workplace happiness by vying for work at the most innovative companies. The general perception is that the more technologically sophisticated a company is, the more innovative its employee-engagement policies.
EFFECTIVE ‘MANAGING IN THE MOMENT’
“Paper-based administration is a thing of the past,” says Scott Barker, product marketing specialist at Kronos, the global leader in delivering workforce management solutions. “Companies who ‘manage in the moment’ are more agile and effective at capitalizing on opportunities because they’re able to deploy and manage their employees and employees’ concerns in real-time,” continues Barker.
CONFIGURING EMPLOYEE ENGAGEMENT Let’s say that you’re a construction foreman with responsibility for managing ever-changing sets of hourly employees—some unionized, others not—at multiple project sites, many of them arriving at staggered times from your other job-sites. How to ensure that they’re arriving when scheduled? How to ensure that union breaks are properly administered without employee abuses? What about tracking overtime for employees of different skill-sets, wages and start-times? You can’t be at all job-sites at the same time,
after all. But with Kronos, for example, you virtually are. Advanced Kronos technology allows your skilled trades to “punch-in” on their smartphones phones— on any mobile platform: Android, BlackBerry, or Apple. That alerts you to their actual starttimes. Sophisticated GPS capabilities means that you know which job site they’re logging-in from. Happy employees are employees who are paid accurately, work in a fair and valued work environment (same length of breaks and lunches), and are granted scheduling flexibility. The best systems seamlessly integrate with payroll systems, so that your hardworking OT employees are paid accurately. “It was a mistake organizations used to make seeing talent at only the senior levels,” says David Creelman, CEO of Creelman Research and senior advisory board member for the Workforce Institute, a Kronos-sponsored think-tank. “The most successful companies are those who can mobilize effectively using workforce management solutions for their cross-organizational talent. Talent engagement means corporate savings.”
CONFIGURABLE WORKFORCE MANAGEMENT SOLUTIONS FOR TALENT RETENTION Kronos helps organizations and enterprises achieve talent retention through effective employee engagement in at least three significant ways:
1
Employee Fit:
Companies that use workplace management technology such as solutions from Kronos are more effective at predicting employee fit. By retaining professional industrial/organizational psychologists, Kronos, for example, has created accurate and unbiased employee selection tools to help companies acquire and retain the right employees. Those are “employees who are good at their jobs and happily stay in them,” says Creelman. Through careful testing of such things as employees’ likes and dislikes, analysis of psychological profiles, and even taking into consideration com-
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muting distances, that technology is able to establish a good fit for employees and companies, ensuring happy, productive employees.
2
Fair Working Environment:
3
Lifestyle Considerations:
When hours and employee breaks and lunch times are apportioned fairly, then employees are happy. “We know that most employees are good employees, but there are the occasional bad apples who can poison the workplace atmosphere by taking long lunches, for example” says Creelman. “So-called small things like this hurt employee morale. “Kronos makes it impossible for the bad apples to ‘game the system.’”
In fact, truly effective management systems make scheduling difficulties a non-issue. The retiree who watches her grandchildren weekday mornings but who likes to work a part-time job three afternoons a week is
accommodated through sophisticated scheduling—an impossibility in the paper era. Employees get the shifts they need for their lifestyles, and you get happy employees ready to work to the fullest of their talent capabilities when they arrive—on time. (And you get to manage all of this remotely.) “With Kronos, our employees will be able to report very easily and managers will have more time to spend on customer service, as critical workforce management processes will be automated.” says Amy Ouelette, Benefits Manager at Gordon Food Service Canada. Whether you run an airline and need to track and schedule your pilots and attendants, or a hospital that never closes, or more simply accommodate a talented remote workforce, Kronos provides tools that keep your teams happy and productive—and keeps your turnover rate low. In the next issue of HRD, Part Two of our four-part series looks at the benefits of placing your workforce management solutions in the Cloud.
Kronos Cloud in the
Workforce management software on demand.
Find out why the clear choice is the cloud.
+1 800 225 1561 l www.kronos.ca
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BENEFITS AND EAP/ SPECIAL PROMOTIONAL FEATURE
FUNDAMENTAL OR FAD?
ASSESSING TRENDS IN EAPs Employee Assistance Programs are offering more and more options, but directors need to know what they’re getting before jumping on board
In the last 20 years, Employee Assistance Programs (EAPs) have gone from a “nice to have” to a central part of an organization’s benefits package. Providers offer ever more services, from training and absence management to elder care and health assessments. Which are actually valuable to your organization and employees, and which sound good but don’t deliver? According to Ceridian Executive Vice President of HR Solutions Cande Dandelé providers are seeing more and more calls to solve work/life issues such as finding daycare, legal or financial advice and other problems that might seem like they’re not work related. “At first glance, it might seem like it doesn’t matter for employers but we’re all human. If I’m distracted because of things I’m worried about or if I need to spend time solving problems it takes away from my productivity in the workplace,” Dandelé said. “So while we’re doing great work to help people, we’re also helping employers to keep their employees focused.” However, some experts warn against just jumping on a trend in an effort to keep up with the Joneses. A lack of hard data makes it hard to track the value of such programs, so it’s important to know what you’re getting out of your EAP. “One of the first things we’re seeing with our clients is they want to have a much better understanding of where they are now before deciding where they want to go in the next 12 to 24 months,” SOS Resource Group President Don Thomson said. “We’re finding our clients and employers are beginning to challenge the status quo because there 50 | NOVEMBER 2013
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are so many trends going on. Employers need to understand value rather than jump on bandwagon.” Instead of simply accepting the changes and additional services, HR directors need to look at what value is being delivered, and whether their employees value what they’re receiving. If you’re feeling bombarded by too much information, you’re not alone. Thomson suggests starting with the data you already have before adding new programs such as health risk assessments. “What information are you trying to find out? If you think health-risk assessments are just a nice thing to do and your employees might appreciate it and you might get a bit of data from it then that’s fine,” Thomson says. “However, if you think you will get an understanding of the current health status of your employee population, before you even look at a health risk assessment tool, really analyze your drug data, your absenteeism and your disability data because those numbers are real and you’re seeing them in your drug costs, your absenteeism and your disability.” One of the trends that Thomson sees value in is the integrate of EAPs with absence and disability management. Instead of having different silos, programs are combining wellness, employee health and preventative measures with absence and disability management, as well as return to work processes. “That’s a really important trend if HR directors are looking at their EAP provider because it’s a continuum – you’re helping somebody stay healthy so they can stay at work, but if something happens you want to be able to get them help as soon as possible so they can return to work sooner,” Thomson said. Reducing absenteeism and disability claims is an important and growing area of EAPs. While many company leaders say having an EAP is part of their culture of encouraging health, a recent survey found 50 per cent said they had an EAP to reduce disability claims, up from 29 per cent in 2012. When looking for concrete savings, reducing short- and long-term disability claims is something that can be tracked and documented. However, Thomson warned against trusting reports and numbers provided without querying the source. There’s a lack of hard data in the industry so while providers claim an absence management program has a three-to-one return on investment,
“Employers need to understand value rather than jump on bandwagon” Don Thomson there is no consistency across companies. If you’re implementing this type of program, make sure you clearly understand your baseline numbers. Use drug, absence and disability data to determine the causes of leave, the length of time being taken and the number of people affected. Once you have a solid benchmark you can set your expectations and clearly communicate them to your provider. EAP has an important place in benefits, but as HR directors step up to take more responsibility for business outcomes it’s no longer enough to have these “nice to haves” without examining the value of them. “I haven’t seen anyone say they’re dumping their EAP, but what we are seeing is people say ‘I’m going to get a better understanding of what my employees want from the program and what it can deliver in terms of value and what other services can complement what I already have?’” Thomson said. “There’s always the latest and greatest new tool, and we’re just encouraging HR directors, before you jump on the next trend, make sure you understand where you are now and what that trend is going to do for your business.” The new trends aren’t likely to stop soon. Thomson counted 13 new trends over the last few years, including increasing training opportunities, HRA tools and elder care support. As Gen Y becomes the largest cohort in the workplace over the next 10 years, services will change again to meet their needs. “The challenge and the opportunity for EAPs going forward is to be relevant to millennials and younger people entering the workforce and helping employers keep employees engaged,” Dandelé said. “If employers are paying for a benefits it’s really critical that they have employees take advantage of that benefit, so they get the value from the investment they’re making.” NOVEMBER 2013 | 51
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BENEFITS AND EAP/ SPECIAL PROMOTIONAL FEATURE
CALL TO ACTION
Time to make support for employee mental health a priority Over one-third of employees are battling mental health issues, cancer, or chronic pain — to name the most common three. Recent numbers show that more than 60 per cent of Canadians believe their employer has some responsibility when it comes to their health. So, the need to advocate for employee’s health is clear – as preserving their health is the real ROI. What should employers do? We propose a fourpronged approach: defining the health services needed; partnering with the right service provider; embedding the services and finally educating and engaging their employees to take action. One of our clients, a large Canadian employer, was looking for a mental health service. We started by clearly identifying their mental health goals. They realized it was crucial that the program not only help
“Our client is already seeing positive improvements and through comprehensive education and engagement of their employees is expecting to realize the full potential of this service” Don Thomson treat their employees, but also be able to identify mental illness in the early stages – something they originally didn’t think was possible. We introduced them to a service provider who offers a unique service. Their program was profiled in the Canadian Journal of Psychiatry as reducing the duration of employers’ mental health related STD claims by more than 20 per cent and the percentage of their mental health related LTD claims from 31 per cent to 7 per cent. Our client is already seeing positive improvements and through comprehensive education and engagement of their employees is expecting to realize the full potential of this service. We are a professional consulting company specializing in health, wellness and disability management services. Please visit us at www.sosresource.ca
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HUMAN RESOURCES DIRECTOR HUMAN RESOURCES DIRECTOR MAGAZINE (HRD) IS CANADA’S ONLY MAGAZINE WRITTEN FOR AND TARGETED PURELY AT THE MOST SENIOR HR PROFESSIONALS (CHRO’S & HR DIRECTORS) AND TOP CORPORATE DECISION MAKERS. With seats secured at the executive table, HR Directors are now looking to retain their positions and justify why they need to be there. To do so, they are required to have a comprehensive understanding of business and business strategy, while also carrying out their more traditional HR requirements. Human Resources Director Magazine concentrates on the real issues and challenges facing the HR professional and the Industry, with in-depth features and analysis of what really matters. HRD also features high level case studies, international and local profiles, interviews with HRDs and industry leaders from around the globe as-well-as leading news makers in the field.
VISIT WWW.HRMONLINE.CA TO SUBSCRIBE TODAY RCES DIRECTOR HUMAN RESOU
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EXCLUSIVE
BRANSON
INTERVIEW
ON BUSINES S
WHAT ARE YOU
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SEPTEMBER 2013
| 19
HCAMAG.COM
HCAMA
18 | SEPTEMBER
2013
9/11/2013 3:47:18 AM
LEARNING AND DEVELOPMENT / FINANCIAL EDUCATION
The one benefit
nine out of 10 EMPLOYEES
WANT and NEED
If you ask your employees if they wanted lunch provided to them every day, you would probably have everyone say “yes.” If you ask them if they wanted more massage therapy, dental coverage, life insurance coverage, pension benefits, vacation days, sick leave, or personal days you would probably hear an enthusiastic “Yes!” But, in the final analysis, it falls to HR directors to apply cost-benefit analysis and determine which benefits offer the biggest bang for the buck – not just for employees but the employer. The truth of the matter is that most employees will take anything that a company is willing to provide them. So, why not give them something they need, that will also benefit the company? Give them a benefit that will reduce their stress, improve their health, reduce their dependency on some medications, and improve their relationships at home and at work. Give them a benefit that will increase their productivity, organizational commitment, and overall engagement. A benefit that will reduce some drug benefit costs, absenteeism, presenteeism, and turnover. A comprehensive financial education program is needed and wanted by nearly 90 per cent of all employees. Month after month we see the headlines that more and more Canadians are racking up more debt than ever before. The Employee Financial Education Division has found that at any given time two-thirds of employees are not in control of their finances. One in four employees are financially distressed and 45 per cent feel their level of financial stress is high to
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“Productivity takes a big hit in the form of presenteeism, as financially distressed employees are spending 13 per cent of their work day (one hour) dealing with their personal finances” downloaded at employeefinancialeducation.ca/HRD. Some of the key messages that came out of the roundtable include:
overwhelming. It is no wonder that Desjardin Financial found that more than 60 per cent claim personal finances is their number one stress. Productivity takes a big hit in the form of presenteeism, as financially distressed employees are spending 13 per cent of their work day (one hour) dealing with their personal finances. Combine this with the impact to the employees’ health, and absenteeism rates increase, thereby increasing turnover. Morneau Shepell, a leader in employee assistance programs, reports that requests for assistance with personal finance issues is greater than all other EAP requests combined. In October 2012, the Employee Financial Education Division hosted a round table of financial literacy and education experts to define: What is financial education in the workplace? Why should companies provide it? And how should we go about implementing it? These issues were then turned into a three-part whitepaper series that can be
60
%
CLAIM PERSONAL FINANCES IS THEIR NUMBER ONE STRESS
• Financial education needs to be about more than pensions and retirement. It needs to include many more basic financial topics including cash flow management, debt management, goal setting, and more. • It needs to be education, not information. Too many times employees are given information about their pension or benefits without proper context. They are unable to connect with the information because it is not presented in a way that is relevant to them. Many may take away good information but most likely will not act on it. • The facilitators need to be accredited, experienced, and unbiased. The facilitator needs to have the knowledge and experience in personal finance to be able to answer questions on the spot. Having the experience in educating adults makes a big difference in helping to land the knowledge in the minds and habits of the participants. Lastly, it is crucial that the facilitator not be there positioning a product or having a bias or limited exposure to certain financial products. Financial literacy is a powerful benefit that can change people’s lives and attitudes within your organization. It is not a one-time expense, rather it is a long-term investment in the financial, physical, and mental health of your employees that will pay dividend for years to come. To download the infographics Financial Literacy for Employees and Financial Education in the Workplace visit employeefinancialeducation. ca/HRD.
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PROFILE / TOP EMPLOYER
DITCHING THE CLICHÉS OF EMPLOYEE ENGAGEMENT The average North American company has just 63 per cent employee
I
engagement. At Cisco Canada more than 90 per cent of their employees are engaged. HRD talked to Cisco Canada VP of HR David Heather about what makes Cisco different In 2012, Cisco Canada achieved 90 per cent employee engagement – 40 per cent higher than the North American average and 12 percentage points higher than the average engagement of Aon Hewitt’s Best Employers list. Every HR professional and their dog knows engagement is important, so what sets Cisco apart when it comes to achieving engagement at that level?
BUSINESS STRATEGY
According to Vice President of HR David Heather, it’s about avoiding the clichés and focusing on engagement as a tool for business success, not a goal in isolation. “Show me a company that doesn’t want to value its employees? Show me a company that doesn’t think employees are central to their success,” Heather challenges. “It’s become intrinsic. For Cisco Canada, it’s not about looking at employee engagement as an outcome or a KPI, or viewed in isolation. We look at it as more than an HR initiative.” Heather says it’s no coincidence that Cisco has seen significant grown and profitability in the last three to five years, the same period it’s been consistently recognized as a top employer. “We take a lot of satisfaction in that because it drives our business. It’s a statement that our employees understand what we’re trying to do, how we’re trying to do it and they feel like a positive part of that business,” he says. “If you can tap into that discretionary effort, where employees go above and beyond the requirements of their role then your company is going to succeed.”
DIVERSITY OF THOUGHT Cisco has been recognized for its diversity, which Heather says is about moving past quotas and
numbers to focus on bringing in different ideas and ways of thinking. “Diversity is not just a measure of how many women you have in your organization, how many ethnic minorities you have in your organization, or what age demographics you have in your organization,” he explains. “A truly diverse organization is one that embraces diversity of thought. If you can embrace diversity of thought, you are tapping into the employee’s potential, you are listening, looking for ideas and that’s where true business improvement can come from.” Cisco operates in more than 100 countries around the world. Heather has worked for Cisco in London and California before moving into the leadership role in Canada. How they embrace their international resources is one of the strengths of Cisco, he says. A balanced approach brings consistent values from the CEO about what kind of company Cisco should be, but remains still flexible to adapt to new ideas and input. “We have truly excellent employees in every part of the world we operate in and part of the secret sauce, or what makes Cisco successful, is listening to those employees,” Heather elaborates. “Let’s not be beholden to one culture or approach, let’s be open and look for innovation and how we can drive success both internally and externally for our customers.”
LISTEN AND LEARN Most companies run annual employee surveys, but Cisco ensures they get and use all the data they can. The 30-to-40 minute survey, which is confidential and anonymous, results in a report that goes first to CEO John Chambers. “He’s passionate about it and that flows through the organization,” Heather says. “The change could be company-wide, if there’s an opportunity we’re
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missing in the technology area, or if it’s that the coffee in Toronto is terrible we’ll deal with that at the local level.” Beyond the annual survey, the company leaders ensure that managers are coached and trained to be open to new ideas and feedback. “Your most important constituents are your first and second line managers,” Heather says. “They are at the front line working with the employees on a daily basis. Often companies neglect this important resource. We’ve invested significantly in the last year in Canada to try and change the training and learning landscape and we’ve put our first and second line managers as a key investment area.”
STARTS AT THE TOP From the CEO to each country’s leader, there has to be buy-in from the top for this kind of culture to flourish. “I’m a strong advocate that leadership has to be very present in this space. They need to articulate what’s important, not just from a business perspective, but how you do business,” Heather says. Senior leaders in Canada, including President Nitin Kawale, hold regular “Dialogue Cafes”, which can involve all 600 Canadian employees, or smaller groups from specific offices or departments. It’s an opportunity to present the company strategy, plans and priorities, and always involves a session of questions. “It’s so powerful when the senior leader in a company in the country actually goes to employees and asks for their opinion,” Heather says. “It’s not rocket science, it’s not new management thinking, it’s a simple tool, but when the leadership team engages in that way it’s a powerful engagement mechanism.”
TRUST – THE TWO-WAY STREET High levels of trust correlate with high retention and engagement, as well as discretionary effort. It’s hard to judge what comes first, but it is clear that without trust in an organization, it’s hard to maintain engagement. It needs to go beyond just talk – employees are good at reading between the lines and they’ll remember what you do more than what you say. “Employees know what is credible,” Heather says. “You have to be authentic, not overpromise and then deliver on your commitments. If you can do those things well employees will trust you, they’ll have faith in you. When times are tough they’ll give you the benefit of the doubt.”
Trust also has to go both ways. Asking an employee to trust you when you clearly don’t trust them is unlikely to win anyone over. Heather says Cisco shows they trust employees through policies such as social media, where Cisco has no restrictions on employee use at and out of work. They train staff on how to use social media, and then allow them to engage and interact as they see fit. “Where others see a threat, we see social media as an opportunity,” he says. “We expect them to use it sensibly and professionally but empower them to do what’s right.”
DESCRIBE CISCO’S CULTURE IN ONE SENTENCE “Our culture is about being progressive, open, flexible, fast-paced, resilient and customercentric.”
OPEN OPPORTUNITIES Cisco has a low attrition rate for the industry and ensuring their employees have paths to follow and ladders to climb is a necessary part of encouraging long tenures. Career pathing is about allowing people to meet their potential, but what that means is different for each person. Those who want to be managers are given the framework to learn and earn a place in management. However, not everyone wants to be the boss. How do you encourage those who want to continue to grow and move up the organization, but who aren’t interested in managing a team? “Some people aren’t interested in managing people so we provide a career path for our technology experts that allows them to get the recognition they deserve but doesn’t necessarily force them into management,” Heather says. “We also have a career path that’s not based on tenure or time served, but is based on merit. If you’re Generation Y and you excel in your chosen field then you can progress.”
BACK TO FUNDAMENTALS Engagement comes back to core fundamentals – listening to feedback, having an open culture, rewarding success, holding people accountable and ensuring the organization and its people reach their potential. “I don’t think we do anything unique. I think we use a lot of the tools and methodologies other companies use,” Heather says. “What I think has given us success and will hopefully give us continued success is a level of humility, you’re only as good as yesterday. “You need to continue to look forward, continue to engage with your employees and try to solve the problems they have, and execute on all commitments.” It’s not complicated, but there’s also no shortcut to success.
David Heather
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TECHNOLOGY / PAYROLL
PAYROLL:
Making the smart choice Large organizations typically have complex payroll needs, which if handled poorly can have an impact on both the financial and reputational standing of a business. What steps can human resource directors take to ensure the right payroll system choices are made?
Upgrading a payroll system is thankfully an infrequent requirement, but if your organization will need to take that step in the next few years, it’s worth taking the time now to ensure the process goes smoothly and results in the best outcome. A rushed changeover may ultimately lead to serious ramifications and high costs.
IT IT AIN’T BROKE… The core of any good Human Capital Management (HCM) system is payroll. Much more than just making sure your employees are paid the right amount at the right time, payroll provides big-picture
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information that helps you ensure the department is run efficiently and compliantly. “Payroll is mission critical, but is often a small consideration in running a business,” ADP Canada Vice President David McIninch says. “If there is a problem with that small consideration, it can have a devastating impact on your most important asset, your employees.” While there are a range of factors that can create problems, payroll solutions cannot be completely “idiot proof,” and payroll teams must be given the right tools to do their job, including adequate training and support.
BACK TO BASICS: CHOOSING A PAYROLL SYSTEM There are multiple factors to consider, especially when choosing a new system. With so many options available, how can you ensure you select the right one for your business? It’s often tempting to start by narrowing down your shortlist on the basis of price, especially if your search is confined by a tight budget. But price alone can be misleading. A basic system at what seems like a great price might be a good fit for your business right now, but does it have the flexibility to accommodate business growth or changes down the road? Scalability may command a premium, but if it saves you having to shop around for a new system three to five years from now, says experts, then it’s money well spent. “Benchmark the total cost of ownership (TCO) of the payroll process to fully understand your current costs,” says McIninch. “This provides a more inclusive approach to choosing a solutions vendor. Remember to factor in the inefficiencies that can arise from multiple systems having to communicate with one another.” The 2012 PricewaterhouseCoopers (PwC) study, Exposing the Hidden Costs of Payroll and HR Administration found that using a service provider to manage a business’s payroll function costs about 30 per cent less than a business performing those functions in-house. Moreover, those that move to a service provider for multiple functions such as benefits or HR administration realize even better
savings – up to 43 per cent less than in-house processing. TCO is the total costs that will be incurred for the expected life of the system. These costs include the cost of the software, implementation, annual support and maintenance, IT infrastructure requirements and so on. The TCO for each option will, of course, be assessed against the anticipated business benefit of each system. The PwC study also reveals that initial implementation costs are three times higher when installing an in-house system when compared to using a service provider. Auditing your existing payroll processes and the functionality provided by your current system allows you to identify the gap between what payroll is delivering now and what your business requires. At a basic level, the business objective of your payroll processes is to pay people accurately and on time. At an operational level, you must eliminate unnecessary steps, automate processes, streamline workflows and increase productivity. “Examine both the operational and strategic needs of the business,” McIninch adds. “This requires a cross-functional team approach that should include payroll, HR, IT and finance.” Visual flowcharts are an effective way to clearly present the real activities of payroll, including the technology used, databases accessed, authorization required and time taken.
WHO’S BEHIND THE PRODUCT? Before looking at features, it’s worth investigating the company behind the software. Even with the best features, a payroll solution that doesn’t have a proven track record and the commitment of an established vendor poses a risk to your business. Working with a payroll supplier is entering into a relationship; purchasing a solution without performing due diligence is like going on a blind date with the expectation of immediately jumping to long-term relationship. “Payroll and HR solutions are long-term investments that must provide a return on investment,” McIninch says. “Choose a provider with a good track record that will grow with your organization and be a true business partner.”
DID YOU KNOW? • “Since 2004, the ministry’s Employment Standards Program has recovered more than $90 million in wages and other monies owed to employees through inspections, claims and collections” – Ontario Ministry of Labour, 2013 • Failing to comply with employment standard laws in Canada can equal one year in prison and/or $500,000 in fines – CRA, 2013 • Failing to file records of employment can cost $2,000 and/or six months in prison - CRA, 2013. • $8 billion is spent annually by Canadian businesses on tax compliance - the Compliance and Administration Costs of Taxation in Canada, 2013
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TECHNOLOGY / PAYROLL
Payroll Started
New Employee paperwork from H.R. Collect Timecards from hourly employees
Route to department head for review and signature
NO
Signed & approved by Director of H.R.
NO
Route to H.R. for approval
YES
Signed by department head?
New employee information added to payroll
YES
WHAT FEATURES SHOULD YOU LOOK FOR?
Payroll Manager enters payroll changes Employee changes are reviewed and signed by H.R.
Bob
Payroll and any changes are reviewed
Joe H.R.
CFO Employee changes are reviewed and signed by CFO
Bob CFO
Approved by CFO
Timekeeping & Payroll YES
Payroll is processed
Payroll is posted
Employee changes are reviewed and signed by CFO
A cloud-computing facility managed by an experienced vendor can offer substantially greater security than an in-house data centre because there are fewer points of vulnerability and there is the provider’s ability and obligation to invest continually in the security apparatus wrapped around its delivery.
Bob CFO
Transfer to Employee Bank Accounts
Ensure your system is going to be around for the long-term. It will grow alongside the business, allowing you to add extra functionality as and when you need it. It’s critical then that the vendor is committed to the introduction of new features and enhancements on the product road map, and has a solid network of integration partners to support the system for years to come. Another consideration is whether or not to use a cloud-based payroll system. Many companies are replacing their in-house systems with cloud-based payroll solutions because they require very little support from their busy IT departments, both at set-up and in ongoing updates.
Payroll systems vary considerably in their feature offering. Many are stand-alone; others are incorporated into an HR system along with a range of time and attendance tools and staff self-service capability. As HR is a key interface between staff and management, good reporting is essential. Ideally you want a system that not only allows you to customize reports but provides a snapshot of data for easy visibility.
WHAT FUNCTIONALITY SHOULD YOU LOOK FOR? Simplicity. The system should guide you through the payroll cycle step-by-step. Look for an intuitive user interface that: • Loads quickly • Is quick and easy to navigate, with function keys and keyboard shortcuts • Displays summary screens for easy overviews • Allows you to set up custom reports that can be printed at the push of a button Comprehensive reporting. If you can, choose a system that allows you to report on allowances, deductions, cost centres, departments and general ledger codes. A broad range of options, such as filtering, sorting and summarizing, will help you gather the intelligence you need. Security. As with any system, security is essential, not just to protect data but, to encourage users to submit it. Look for a module that allows multiple access with definable user rights.
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?????????
Electronic time and attendance solutions: dramatically improve data accuracy and greatly reduce the risk of so-called “time theft,” especially through biometric identification. Regardless of trend or hype, technology must be robust and proven. Enterprises should look to vendors who have a solid track record and can provide clear examples of their solutions, offering clients real, quantifiable business benefits. Not only will that give you a better ROI, you’ll have better overall visibility on your business for years to come. Finally, take your time. The key lesson is not to wait until your software is about to become obsolete and then scramble about for a replacement.
BENEFITS TO HR An efficient and compliant payroll system is a cost savings for organizations. It ensures fewer errors, reduces the possibilities of fines, and engages employees through self-service. For HRDs, that results in the team spending less time on the dayto-day “administrivia” and concentrating instead on providing the strategic counsel and metrics needed to drive business forward.
IST
Employee self-service: reduces the burden on payroll administration staff and eliminates errors associated with double entry; and
David McIninch
T O-D O L
THE FUTURE Payroll will continue to be under pressure from complex regulation in an ever-changing legal landscape with regular changes to remittances, tax rates and labour standards. This high level of compliance and the mission-critical status of payroll means that payroll systems must always be developed on stable, robust platforms. “Giving employees the tools to check their own paystubs, clock in and out, and check their schedules through a self-service option or even on their smartphones empowers the workforce and reduces the time burden on the payroll department,” McIninch says. As always, it’s worthwhile asking whether these new features have the functionality needed to solve business problems now and into the future. The domain of payroll, for example, relies heavily on the accuracy of information to effectively manage remuneration and personnel information. Technology has played a big part in making not only the process of managing this vital information easier, but it has morphed into a world of self-help for both management and their employees. Two areas of significant enhancement in this area include:
“Giving employees the tools to check their own paystubs, clock in and out, and check their schedules through a self-service option or even on their smartphones empowers the workforce and reduces the time burden on the payroll department”
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HR PROFILE / HIGH ARCTIC
HIRING FOR THE
HIGH ARCTIC
It invariably shrinks your talent pool if potential employees think they’ll have to live in igloos to work for your company. But HR professionals in the Northwest Territories have found creative ways around that to build a brand even those in the balmy south can learn from
I
It’s a tough time for recruiters in many key sectors as they grapple with significant gaps between job openings and available candidates. In short, they’re hardly spoiled for choice. But hiring for Yellowknife and the Northwest Territories has added challenges. How can one of Canada’s least-known regions differentiate itself, and what can an HR director learn from its successes in employer branding? The bulk of the Northwest Territories’ economy is fuelled by mining, which is one of the most competitive recruiting fields in Canada. As well as experienced mine workers and engineers, the region needs workers for the construction industry, transportation and logistics, and medical fields such as nurses and doctors. With several new mines opening in the next eight to 10 years, the territory will need about 3,000 new workers, say analysts. That could be a conservative guesstimate.
Some smaller aboriginal communities have a 30 to 40 per cent unemployment rate, so training programs are vital for the region, but bringing in new, skilled workers is going to be one of the territory’s major challenges in the coming decade. The territorial government is involved in a rebranding campaign, but some local organizations are working to attract people from outside Canada. One non-profit, CDETNO, works to attract French speakers to the region with annual trips to job fairs in France and Belgium through Destination Canada, and initiatives in Yellowknife to improve opportunities for French speakers. “We’re competing against Canada, but against the world, too. Everyone’s trying to recruit the most qualified people,” CDETNO acting Executive Director Anne-Christine Boudreau said. “We’re trying to attract people to the NWT to work, visit, live and invest.”
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LESSONS FROM YELLOWKNIFE The key message is to play to your strengths – the people attracted to the area are excited about the isolation, opportunity and adventure. “There’s that profile of people who want to try something new, have interesting career advancements,” Boudreau says. “It’s commonly known that the North is a very good place to start a career and make some good money, but more than that it’s a place where you can experiment a lot and try new things.” Key to any employer branding strategy is addressing concerns, which for CDETNO and other recruiters in the territory, mostly involves correcting misconceptions. No, they don’t live in igloos or have to run from polar bears on city streets. “A lot of people think we don’t have any summers, which is absolutely false. This summer our thermometer at home hit 42 degrees. It’s not long – maybe three months – but I think that’s one of the biggest myths,” Boudreau says. Some people move and think that Yellowknife residents live in very rugged conditions and are surprised to find they have electricity, Internet and even Walmart. However, some immigrants end up living rough for a while, if they’re underprepared. A few years ago a family moving from Quebec had sorted out all kinds of details including moving their belongings and making connections in Yellowknife, still, they overlooked one key detail: accommodations. They ended up living at a campsite for three weeks – luckily they had chosen to move in summer. It’s indicative of the tight housing market in Yellowknife. It’s better than it was at the time, but there still aren’t a lot of vacancies, Boudreau said. “People think ‘Oh we’ll just move and find something,’ but sometimes you want to look ahead and not be stuck camping for three weeks. “I know a couple other individuals who have done the same... Although the people here are very friendly so you can usually find a place to stay.” The 2006 census found most people moving to Yellowknife were coming from within Canada, but the city is surprisingly diverse. Yellowknife has 108 nationalities represented in its population of 20,000, making it feel welcoming to newcomers. Many will stay just a few-months or years in the transient city, but there are exceptions. Like many, Boudreau came initially for a five month contract. Three years later she’s running the organization that hired her. “People you meet tell you ‘I came for a year and
What can an HR director takeaway from Yellowknife’s recruitment strategies? • Employees are brand ambassadors Why are your top employees still working for you? They like the culture, the perks, the pay or the managers – hopefully all of the above. These engaged, enthusiastic employees are your best recruitment tool because that energy is infectious and will inspire and attract other top talent. • Know your strengths and weaknesses High pay and career opportunities can certainly outweigh isolation and cold, dark winters. Know what your company’s selling points are and what concerns people might have about working for you. Your organization might have a relaxed culture and great opportunities for growth and advancement, but a reputation for disorganized performance management. • Address misconceptions Does your company really expect 60-hour weeks and frequent weekend work, or is that a myth based on old policies or times of crisis? Know what people believe to be true, and then find ways to address it. • Reach beyond your standard talent pool The skill shortage is only getting worse, so find ways to reach beyond your standard talent pool. Numerous groups exist to connect your organization with inter
it’s been 30 years.’ That’s what happened to me. I was here for five months and it’s been three years. It just happened. You stay because it’s a cool place and people like it.” Boudreau’s story is an example of the career growth opportunities the Northwest Territories are using as a selling point to potential immigrants – she started as a consultant and is now the acting executive director. What keeps her in Yellowknife are all the factors the territory is using to recruit within Canada and beyond. “There’s also the sense of community and the lifestyle, and for people who like outdoor activities it’s one of the best places to live.” There’s one more benefit to Yellowknife that might have the most resistant city-dweller buying a plane ticket. “We don’t have congestion and when I go to Montreal or Toronto, I don’t know how people cope with constantly being stuck in traffic.”
FACTS AND FIGURES
43,000
Population of Northwest Territories
10.3%
Northwest Territories unemployment rate
20,000
Yellowknife population
5.6%
Yellowknife unemployment rate
8%
proportion of Yellowknife residents who moved there in the last year (Compare that to Ottawa’s 4%.)
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THE LIGHTER SIDE
LOOKING FOR THE OFFICE STAR? LOOK FOR THE MESSY DESK Albert Einstein once said: “If a cluttered desk is a sign of a cluttered mind, of what, then, is an empty desk a sign?” Every HR director probably has an answer to that question, but an American scientific study has its own. It suggests that working at a messy desk, in fact, promotes creative thinking and helps stimulate creative thoughts. The University of Minnesota carried out a series of tests on people working at clean and messy desks, while tracking their behaviour, according to the local newspaper the Telegraph. For example, participants in the study were given a choice between a new product and an established one. Those in the messy room were more likely to prefer the novel one – a signal that being in a disorderly environment prompts a release from conventionality. In another experiment, participants were asked to come up with new uses for ping pong balls. Despite the fact both groups generated the same number of ideas. The clutterers’ ideas were rated as more interesting and creative. It makes perfect sense, says Professor Kathleen Vohs. “Being in a messy room led to something that firms, industries and societies want more of – creativity. We found...that you can get really valuable outcomes from being in a messy setting.” Just making that environment tidy or unkempt made a massive difference in people’s behaviour, she says.
CHRONIC LATENESS: A DISEASE?
Jim Dunbar, a former City Council worker from Scotland, has had his lifetime of running late classified as a medical condition. After arriving 20 minutes late to his appointment, a doctor diagnosed Dunbar with chronic lateness, a condition which makes the patient unable to properly gauge how long things take to complete. Dunbar’s condition has impacted both his social and professional life, with him arriving late to work constantly, costing him a number of jobs. “I can understand people’s reaction and why they don’t believe me,” Dunbar told The Daily Mail.. “It’s depressing sometimes. I can’t overstate how much it helped to say it was a condition.” Demonstrating the severity of his condition, Dunbar recounted giving himself 11 hours to get ready for a film he was going to, which he ended up still being late to. The problem is not irreversible. Psychologists recommend sufferers enforce non-negotiable deadlines on themselves, and monitor how long it takes to do things to help cure themselves, News Ltd found. Planning ahead helps, too. “I’m not sure you can really call it a condition,” Dr. Sheri Jacobson, psychotherapist and director of Harley Therapy Clinic, said. “Repeated lateness is usually a symptom of an underlying condition such as ADHD [Attention-Deficit Hyper Activity Disorder] or depression but it can also just be habit … I think making every day human behaviour into a medical condition is unwise.”
PUNK/ ROCK HR: TOP HR TIPS FROM MUSIC UK leadership expert Peter Cook, managing director of Human Dynamics & The Academy of Rock and the author of Punk Rock People Management offers some punchy punk rock tips for business. Here they are: ON WORK RELATIONSHIPS • Bad Romance - Lady Gaga: If you’re having trouble in a work relationship, change what you’re doing, rather than banging your head against the same wall. • Like A Virgin – Madonna: To succeed in business, treat each day like it’s the first time. • Knowing Me Knowing You – Abba: If you want to serve your customers really well, find out their wants, needs, whims, foibles, fancies, fantasies, fanaticisms and ensure what you are offering touches the parts that others cannot or dare not reach. ON INNOVATION • Walk On The Wild Side - Lou Reed: Encourage mavericks, madonnas and the odd primadonna at work if you want new things to happen. • I Can’t Control Myself - The Troggs: Creativity at work without precise execution and discipline rarely leads to innovation. ON HR STRATEGY • I Still Haven’t Found What I’m Looking For - U2: Business needs constant learning and reconnaissance. If you stop looking and learning, just like Kodak, you may disappear from view. • Won’t Get Fooled Again - The Who: If something does go wrong, do something different. The only mistake is not learning from mistakes.
INSTANT INTERVIEW DEALBREAKERS When asked about the most outrageous interview mistakes they had encountered, hiring managers reported the following in a recent CareerBuilder Survey: • Provided a detailed listing of how previous employer made them mad • Hugged hiring manager at the end of the interview • Ate all the M&Ms from the sweets bowl while trying to answer questions • Constantly bad mouthed their spouse • Talked about how an affair cost him a previous job • Threw his beer can in the outside trash can before coming into the reception office • Had a friend come in and ask “How much longer?”
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