the chief hr officer: redefining the role of global hr leaders
DESCRIPTION
The Chief HR Officer: Redefining the Role of Global HR Leaders. Libby Sartain, Author & Consultant Laurie Siegel, SVP, Human Resources and Internal Communications, Tyco; Mark Stewart, Ph.D., Consultant, AVEAS . Publishing – Chief HR Officer Book. - PowerPoint PPT PresentationTRANSCRIPT
The Chief HR Officer: Redefining the Role of Global HR Leaders
Libby Sartain, Author & ConsultantLaurie Siegel, SVP, Human Resources and Internal Communications, Tyco; Mark Stewart, Ph.D., Consultant, AVEAS
Publishing – Chief HR Officer Book
• Written by thought leaders – CHROs, consultants, and academics
• Each writing from their passion/interest• Organized around the seven roles
Evolution of the Role
• 1980’s – HR Goes Strategic• 1990’s – HR at the Table• 2000’s – Failings Forward• 2010’s – In the Pressure Cooker
Chief Human Resource
Officer Role
CEO Pressure
Board Pressure
Regulatory Pressure
Competitive Pressure
Executive SuccessionGovernance/RiskExecutive Pay
Talent/LeadershipELT DynamicsCEO Pay
Sarbanes-OxleyRisk ManagementPublic Policy
War for TalentCost CompetitivenessInnovationGlobalization
HR
Func
tion
Pres
sure
Increasing DemandsDecreasing ResourcesTalent Gaps
Figure 1: Pressures on the CHRO
Today’s Roles
• Strategic Advisor• Talent Strategist/Architect• Counselor/Confidante/Coach• Liaison to the Board• Leader of the Function• Workforce Sensor• External Representative
Research DesignConducted four surveys (2009, 2010, 2011 & 2012) of CHROs at Fortune’s largest U.S. companies
2009 survey focused on CHROs at Fortune 150 companies• 148 invitations• Total N = 56 resulting in a 39% response rate
2010 survey focused on CHROs at Fortune 200 companies• 191 invitations• Total N = 75 resulting in a 39% response rate
2011 survey focused on CHROs at Fortune 500 companies• 409 invitations• Total N = 172, resulting in a 42% response rate
2012 survey focused on CHROs at Fortune 500 companies• 349 invitations • Total N = 143, resulting in a 41% response rate
The 2012 Cornell/CAHRS Chief HR Officer Survey
• 349 Surveys sent out• 143 completed (41 percent response
rate)• 82 Men; 61 Women
2012 Thought Leaders Retreat
Strategic Advisor
Activities focused on the formulation and implementation of the firm’s strategy
Counselor/ Confidante/
Coach
Counseling, coaching, resolving interpersonal or political conflicts among executive team members
Liaison to the Board
Preparation for board meetings, phone calls with board members, attendanceat board meetings
Talent Architect
Building & identifying the human capital critical to the firm
Leader of the HR Function
Working with HR team members regarding the development, design & delivery of HR services
Workforce Sensor
Identifying workforce engagement/morale issues or concerns and building employee engagement
Representative of the Firm
Activities with external stakeholders, such as lobbying, speaking to outside groups, etc.
2012 Thought Leaders Retreat
Outside Consultants
Customers
Larger Workforce
Group HPs
Individual HPs
HR Individuals
HR Team
Board Members
Executive Team
Individual Executives
CEO Individually
0 2 4 6 8 10 12 14 16 18 20
3
2
5
3
4
16
11
6
10
15
15
3
2
6
3
5
18
11
5
10
13
14
3
1.6
5
3
5
18
11
5
10
14
14
Over the course of an average fiscal quarter, what percent of your time do you spend with the following individuals/groups?
201120102009
Talent Architect and Strategic Advisor
• Strategic Advisor role consists of all those activities that focus on attempting to influence the strategy of the firm. These activities could be providing human capital information regarding potential business performance issues (e.g., increasing turnover among high potentials), playing devil’s advocate regarding strategies being discussed, or simply providing credible business-based opinions regarding the feasibility or effectiveness of proposed strategic decisions.
• Talent Architect focuses primarily on ensuring that the right people are in the right positions at the highest levels of the firm. As opposed to the strategic advisor where the focus is on the nature of the business strategies themselves and the broad organization capability necessary to implement them, the talent architect role aims at ensuring that the right leadership is in place to execute the strategy or initiative. It requires frequent communication and relationship building with the top leaders and intuitive eye for assessing their talent.
Counselor/Confidante/Coach
• Counselor/Confidante/Coach role is a multifaceted one that entails dealing with all of the conflicts and challenges that happen when a group of highly ambitious people must work interdependently with one another as in an executive team. It sometimes entails having one-on-one coaching sessions, having individual conversations with executives to surface their issues and concerns, and sometimes being a go-between among feuding executives.
Leader of the HR Function
• The Leader of the HR Function role entails ensuring that all the major HR systems, policies, and programs are run efficiently, effectively, and in alignment with the strategic needs of the business. Most leaders execute the major aspects of this role by appointing and managing their direct reports who have responsibility over the major functional areas such as compensation, leadership development, and training.
2012 Thought Leaders Retreat
Firm Representative
Workforce Sensor
HR Function Leader
Talent Architect
Board Liason
Counselor/Confidante/Coach
Strategic Advisor
0 2 4 6 8 10 12 14 16 18 20 22 24
5
8
22
17
10
17
22
4
7
24
19
10
16
18
6
8
23
17
12
15
17
Over the course of an average fiscal year, what percent of your time would you say you spend in each of the following roles?
2012201120102009
Measures
Time Spent in Roles
• How much time spent in each of the seven roles, over course of avg. fiscal qtr.
Sex
• Whether male or female
Tenure
• Time spent in the CHRO role
Size
• Size of organization based on its Fortune ranking
Focal Variables Control Variables
Demographics
Results% Time Spent in Roles
% of Time Male 2009
Female 2009
Male 2010
Female 2010
Strategic Advisor 24.1% 17.11% 19.2% 14.2%
Counselor/Coach/ Confidante
19.0% 14.8% 18.4% 15.1%
Board Liaison 9.4% 10.7% 10.87% 11.4%
Talent Strategist/Architect
15.9% 17.7% 16.67% 21.35%
HR Leader 20.4% 24.9% 24.09% 23.50%
Workforce Sensor 6.3% 10.1% 5.73% 7.77%
Firm Representative 4.6% 4.9% 4.51% 5.77%
Variable Strategic Advisor
Counselor / Confidante/Coach
Board Liaison
Talent Architect
Leader of HR Function
Workforce Sensor
Firm Repre-sentative
Sex -.33* -.26+ -.05 .14 .31* .37* .06
R2 .13* .08 .08 .02 .15* .13* .04
∆R2 .11* .07+ .00 .01 .10* .13* .00
Regression Results CHRO Roles Predicted by Sex in 2009 & 2010
Variable Strategic Advisor
Counselor / Confidante/Coach
Board Liaison
Talent Architect
Leader of HR Function
Workforce Sensor
Firm Repre-sentative
Sex -.28* -.17 .01 .30* -.02 .21+ .15
R2 .14* .04 .03 .11* .03 .11+ .05
∆R2 .07* .03 .00 .09* .00 .05+ .02
2009
2010
Summary: Consistent and Divergent Results
Strategic Advisor
Males2009 & 2010
Workforce Sensor
Females2009 & 2010
Agentic Style
Communal Style
CONSISTENTRESULTS
Talent Architect
DIVERGENTRESULTS
Counselor / Confidante /
Coach
Communal Style
Liaison to the Board of Directors
• Liaison to the Board role deals with all the activities in which the CHRO must interact directly or indirectly with the Board of Directors such as preparation for the meeting, phone calls with board members, discussions with the board regarding executive pay, etc.
2012 Thought Leaders Retreat
Risk Management
Other
Ethics/Governance
Executive Performance
Executive Succession
CEO Performance
CEO Succession
Executive Pay
0 5 10 15 20 25 30 35 40 45 50 55
0
4
8
6
14
5
14
49
3
4
6
4
14
4
15
51
4
5
6
4
14
4
13
50
3
5
5
5
15
4
15
48
Of the time you spend working with the Board of Directors, how much time is spent on:
2012201120102009
2012 Thought Leaders Retreat
Member Publicly-held company BOD
Member Advisory Board Publicly-held company
Member Professional Society BOD
Member Non-Profit/Professional BOD
Trustee of University
Member Non-Profit Advisory BOD
0 10 20 30 40 50 60 70 80 90 100
9
5
43
54
18
53
10
4
44
59
13
44
23
8
81
100
26
79
Which of the following roles do you play on any other Boards of Directors?
201220112010
Title
2012 Thought Leaders Retreat
2012 Thought Leaders Retreat
TotalMale Female
Member Publicly-held company BOD
Count 9 6 15% of Total 6.9% 4.6% 11.5%
Member Advisory Board Publicly-held
Count 5 0 5% of Total 3.8% 0.0% 3.8%
Member Professional Society (SHRM)
Count 48 23 71% of Total 36.9% 17.7% 54.6%
Member Non-profit non-professional BOD (United Way; Art
Museum w legal fiduciary)
Count53 37 90
% of Total 40.8% 28.5% 69.2%
Trustee of University(with fiduciary responsibility)
Count 7 14 21% of Total 5.4% 10.8% 16.2%
Member Non-Profit Advisory BOD(No legal fiduciary responsibility)
Count 41 26 67% of Total 31.5% 20.0% 51.5%
Total
Count 80 50 130% of Total 61.5% 38.5%
100.0%
2012 Thought Leaders Retreat
I'm unhappy with the ELT's level of commitment to the larger organization's success
ELT members' differing opinions often result in unhealthy conflict
There is often emotional conflict among ELT members
ELT members disagree about important goals
Our ELT often socializes together
There are a number of personality conflicts evident among ELT members
The ELT would like to spend time together outside of work hours
ELT members often disagree about opinions regarding strategy
The ELT engages in a lot of morale building
The ELT is very committed to one another
The ELT members put the team's interests above their own individual interests
The ELT engages in very open communication
The ELT members are very cooperative with one another
The ELT members are very helpful to one another
Our ELT is united in trying to reach its goals for performance
1 2 3 4 5
1.9
2
2.2
2.2
2.4
2.4
2.6
2.7
2.8
3.5
3.5
3.7
3.8
3.8
4.1
To what extent would you agree with each of the following as descriptions of your ELT?
I'm unhappy with the ELT's level of commitment to the larger organization's success
ELT members' differing opinions often result in unhealthy conflict
There is often emotional conflict among ELT members
ELT members disagree about important goals
Our ELT often socializes together
There are a number of personality conflicts evident among ELT members
The ELT would like to spend time together outside of work hours
ELT members often disagree about opinions regarding strategy
The ELT engages in a lot of morale building
The ELT is very committed to one another
The ELT members put the team's interests above their own individual interests
The ELT engages in very open communication
The ELT members are very cooperative with one another
The ELT members are very helpful to one another
Our ELT is united in trying to reach its goals for performance
1 2 3 4 5
To what extent would you agree with each of the following as descriptions of your ELT?
Performance
Collaboration/Teamwork
Relationships
Cooperation/Collaboration/Teamwork
Aligned w/Strategy/Common Goals
Enterprise First Perspective
Candor/Dialogue/Discussion
Performance/Goal Attainment Focus
Passive/Aggressive/Immaturity
Lateral Communication Siloes
ELT Strengths and Weaknesses: In the CHRO’s Words
Stre
ngth
s
Wea
knes
ses
*
*
CHROs on the Executive Team
• Some passive aggressive behavior. Would prefer to see more healthy conflict and the ELT to voice their true opinions/objections so we could deal with them head on.
• The ELT does not work as a team, more as individuals • This team is new and has too many private agendas. I am
concerned that there is an unwillingness to try to work as a team.• Immaturity expressed via poor peer relationships, avoidance and
passive aggressive behavior when disagreements arise.• Passive in their interactions. Do not openly challenge each other
to drive to better decisions. Operate autonomously - we're a collection of high performing individuals but that doesn't translate into a high performing team.
• Sometimes we are trying to be so supportive of each other, we shy away from raising more sensitive issues that we really need to raise or confront. That can then take a bit longer for them to be surfaced and, in turn, resolved. Luckily there aren't many of these ...
CHRO Work on the Team• We're taking baby steps. I've worked with the CEO to articulate a clear
set of organizational goals and priorities, to engage the team in their development, to manage time with the team in a way that engages them in group discussion on progress vs. the goals. I've orchestrated a "come to Jesus" meeting of the team -- in which they provided their input on the effectiveness of the team, and together formed a plan for what their top shared priorities were and how they were going to work towards them. We are making progress, but it is very, very slow.
• Shuttle diplomacy, though inefficient, is quite effective. Pointing out conflict, and working to surface/reduce/remove it. And ultimately, agitating for/changing out ELT members who are not up to the standards of the firm.
• Set the ELT agenda for regular meetings and offsite team sessions. Drive action register focus. Encourage sharing and getting the right people involved in initiatives. Provide ongoing, real time feedback to each ELT member as needed.
• Worked very closely with the CEO on defining and communicating operating expectations for the ELT; engaged Gallup to identify strengths and development needs of ELT and facilitated discussions with team; actively coach and offer feedback to ELT on behavior and performance; structure regular (quarterly dialogue) with ELT on effectiveness.
• Coach individuals. Conduct interventions and run team sessions.
CHRO Gender
Male Female Total**ELT Scale Score Average 3.6 3.4 3.5
**ELT Collaborate Teamwork 3.8 3.5 3.7
**ELT1communication 3.9 3.5 3.7**ELT3cooperate 4.0 3.6 3.8
**ELT4helpful 3.9 3.6 3.8ELT5committed 3.7 3.4 3.5
**ELT6teamInterest 3.7 3.2 3.5*ELT8 Happy w/Commitment
to Enterprise 4.2 3.9 4.1
**ELT11 No Personality Conflicts 3.8 3.3 3.5
*ELT12 Rarely Emotional Conflict 3.9 3.6 3.8
**ELT15 Differing Opinions = Unhealthy Conflict 4.2 3.8 4.0
ELT2 Engage Morale Building 2.8 2.7 2.8ELT10 Team socializes
together 2.4 2.5 2.5
ELT13 Frequent disagreement about Strategy 3.3 3.2 3.3
Ignores others' input if it conflicts with his/her instincts
Encourages ELT members to be involved in community service/volunteer activities outside work
Seems to care more about others' success than his/her own
Emphasizes the importance of giving back to the community
Puts others' best interests ahead of his/her own
Is sensitive to ELT members' responsibilities outside the work place
His/her decisions are influenced by ELT members' input
Has the best interests of employees in mind
Defines success not just by results but also the way that they are obtained
Listens to what ELT members have to say
Disciplines ELT members who violate ethical standards
Does what she or he promises to do
Holds ELT members to high ethical standards
1 2 3 4 5
2.82.8
3.23.33.43.53.53.63.63.73.73.8
4.14.14.24.24.24.24.34.34.34.44.4
4.64.6
Indicate your agreement with regard to how well each of the following describes your CEO's leadership style
Ignores others' input if it conflicts with his/her instinctsMakes quick/impulsive decisions
Encourages ELT members to be involved in community service/volunteer activities outside work Makes the personal development of ELT members a prioritySeems to care more about others' success than his/her own
Works hard at finding ways to help others be the best they can beEmphasizes the importance of giving back to the community
Creates a sense of community among ELT membersPuts others' best interests ahead of his/her own
Spends the time to form quality relationships with ELT membersIs sensitive to ELT members' responsibilities outside the work place
Tries to reach consensus among ELT members on important decisionsHis/her decisions are influenced by ELT members' input
Makes me feel like I work with him/her, not for him/herHas the best interests of employees in mind
Makes fair and balanced decisions Defines success not just by results but also the way that they are obtained
Is always honest with those around him/herListens to what ELT members have to say
Discusses business ethics or values with ELT membersDisciplines ELT members who violate ethical standards
When making decisions, asks "what is the right thing to do?"Does what she or he promises to do
Sets an example of how to do things the right way in terms of ethicsHolds ELT members to high ethical standards
1 2 3 4 5
Indicate your agreement with regard to how well each of the following describes your CEO's leadership style
Decisions
Altruism
Ethics
Encourages Discussion and Listens
Drives Results/Accountability
Leads Strategy and Vision
Builds Team
Lives Values/Honesty/Integrity
Confronts/Manages Conflict
CEO’s Leadership Strengths and Weaknesses: In The CHRO’s WordsSt
reng
ths
Wea
knes
ses
**
*
Values Employees/Cares
Develops/Coaches/Gives Feedback
***
*
CHROs on the CEO’s Leadership• Need to move quicker on key decisions • Holding everyone accountable and willing to take action - slow
to address issues • At times avoids confronting bad behavior in a key, hi po
executive. • Conflict averse and lacks decisiveness; assumes he is always
right; poor listener • His strength (relating well to people at all levels of the
organization,) occasionally results in his direct report feeling that he goes around them.
• Soft in terms of tough decisions needed around people • Would rather avoid confrontation or delivering a difficult
message to a direct report. Does not "suffer fools lightly" and it can be obvious.
• Putting others first. Prioritizes shareholders and investors, which is positive, but his team and the broader employee base need to be considered more
• He is an extreme conflict avoider • Needs to be quicker on senior team transition; not all leaders
are equipped to handle current business; needs to address individual performance issues
• At times can be argumentative if you don't see his perspective
CHRO Work with the CEO• I provide candid, regular and on-going coaching and
feedback. I tell the truth (about organizational issues, people, etc.) as I see it, since I am one of the few people he will always be able to count on to do so.
• Act as his confidante. Meet each morning to review issues and act as a sounding board. Have the "Dutch uncle" talks when necessary. Keep him abreast of any issues that may be developing within the staff. Stand between him and teams members when necessary to calm things down. Push personnel changes or corrective actions when he is reluctant to make the moves he knows are correct
• He is absolutely revered and respected by the rank and file. As a result people often shield him from bad news. My role has been to keep him grounded, ensure that he is hearing the good the bad the ugly and encouraging him to opening ask the right questions as he visits the facilities.
• I tell him things that others are not willing to - because I have no skin in the game in terms of CEO succession.
CHRO Work with CEO (cont’d)
• - It's painful, but I am often the only one that can hold the mirror up to him and give him some sense of the impact his personal leadership style has. - I try to constantly remind him of how global we are becoming and help coach him to make sure his "talk track" in the organization match that. - And I listen. Given all the economic pressures, I often just let him vent to me - on how hard his job is, how difficult the board can be, what a complicated team we are to manage, why no one can see what he sees, etc., etc. Lately, I think he just needs a space to vent.
• Candid conversations. • Help him understand and clarify what he wants, and why he
wants it. Help him understand the needs and behavior of team members. Help him prioritize desired outcomes. Help him communicate in a way that maximizes desired outcomes/ minimize unnecessary conflict or confusion. Provide confidential sounding board. Share ideas of how others have handled similar challenges.
Filling the C-Suite - US
Position Outside Hire Internal Promotion
CEO 29 64
CFO 34 54
CHRO 54 36
Internal promotion w/function
Internal promotion outside
External Hire
External Intend Hire
0 10 20 30 40 50 60 70 80
25
14
50
11
72
0
28
0
39
8
53
0
Path to C Suite International Sample
CFOCEOCHRO
The Four “Knows” of the CHRO
• Know the Business• Know How to Lead• Know People• Know Yourself
What’s New and Interesting?
• The world is becoming more complex, requiring more complexity in response.
• As Talent becomes more critical, the CHRO becomes more important.
• The CHRO role increases in importance
• CHRO and Board Role
2012 Thought Leaders Retreat