In some companies, HR is a competitive weapon. In others, it's a place where the administrivia is bundled and sorted. There appears to be some correlation with the organization's core role. If the operation makes things, HR tends to be procedural. If the operation makes ideas, it's a strategic tool.
The degree to which it is possible to wield HR as an instrument of strategy is at the heart of this difference. Where the organization's output is less tangible, the contribution of people to the bottom line is higher. Farm workers can make an incremental difference in product quality. Knowledge workers can often cause exponential change.
There are rich variations in the structure and content of HR organizations. Interestingly, there is more variety in the largest companies than there is in mid sized operations. Huge companies (the Fortune 100) have distinct cultures and competitive niches. When HR is exercised as a market discriminator in these entities, the execution of basic policy becomes a reflection of underlying values.
Brian (Skip) Schipper is the CHRO at Cisco. His organization supports Cisco’s workforce of more than 65,000 employees. They develop products and support customers in more than 200 countries, all working to execute the company vision of changing the way the world works, lives, plays, and learns.
Schipper talks about these accomplishments with a good deal of pride and ownership.
Cisco is pioneering new forms of organizational governance. Management of the firm is executed through a series of interdisciplinary boards and cross-functional committees. The company is successfully demonstrating how one operates with a non-hierarchical structure. They do it using their own technologies and are busy learning what it takes to practice what they preach.
Reliance on top-down authority, the hallmark of industrial era companies is the antithesis of work at Cisco. CEO John Chambers has a robust vision for the future of work (collaborative) and organizational governance (accomplishment focused and critique dependent). According to Skip, this is the heart of Cisco's culture.
The nature of the role at Cisco forces him to reinvent the profession. Since Cisco is dependent on resellers and channel partners for revenue, their definition of HR extends to activities throughout the ecosystem (the entire range of companies under the Cisco operating and delivery umbrella). One segment of the department is devoted exclusively to HR in ecosystem companies.
We talked about the trends that are shaping HR:
"I see three major threads driving the evolution of the industry:
Technology
is profoundly changing the way we work - Life itself has become virtualized—work is a thing
we do, not a place we go. Work is entwined with all other activities, and
globalization often necessitates 24x7 accessibility. Because of this—and
because the best, most salient information is often closest to customers and
furthest away from the top of the organization—the old models of organizational
governance are breaking down in favor of new ways to organize the enterprise
around collaboration.
Leaders
in emerging markets need to be developed - The business is simply growing faster than
management and leadership talent can be developed; in some markets, the educational
infrastructure is not oriented towards building leaders, whether for business,
education or government.
Inclusion and diversity is fundamental in a globalized
workforce
- The discussion about diversity solely around workforce representation is
incomplete, and being replaced with the recognition that it is absolutely
critical that every employee at Cisco has the opportunity to be fully engaged
and to fully contribute to the success of the company. We cannot afford
to have a member of our team who is limited in his/her opportunity to drive
change, solve a customer problem, or contribute intellectual property to the
next generation of products.
We moved on to discuss the products and
services Schipper is following:
"Doing HR well first means executing
reliably on those 'traditional' products and services associated with staffing,
compensation & benefits, training, labor relations & compliance.
And HR needs to deal with several areas that are impacting employee engagement,
such as:
Support
for globalization - That which has most profoundly
changed the workplace has been globalization of talent. Regardless of
industry, the old model of a company led from a single-country headquarters
with “international” sites is increasingly rare. Global companies
align and engage talent across cultural dimensions in a shared mission to build
products and solve customer problems. Globalization is also the thing
that poses big challenges to political and economic systems in nearly every
region of the world.
Talent
development - Probably the human capital initiative
that has really changed the role and impact of HR. In most
companies, it's also the area with the greatest opportunity for a more
positive return on the investment in management time and
resources. In particular, HR needs to lead a shift to actionable
outcomes--putting the right leader in the right role vs. serial
evaluation of talent.
The
impact of technology on workplace flexibility
- Demographics and technology are increasingly impacting employee
satisfaction around work/life balance. In fact, I think the notion
of work/life balance is rapidly becoming obsolete. With the
virtualization of work, employees are empowered to collaborate and engage
in new ways that can and should be deeply satisfying. Technology
enables access to resources and talent, and frees people from the confines of
the workplace. But that same technology can be seen also as intrusive,
creating an “always on” expectation. We need a new framework for how we
define balance going forward. And the burden is shifting from companies
to employees having to define and create work/life integration on their own
terms in a way that is satisfying for them. Working in a virtual world means
that there will be almost limitless differences in how people work in the
future. And those differences will be far greater than any company’s
ability to craft policies to support balance. So it will be up to all of
us to be our most productive and determine how we can have the greatest impact
while achieving satisfaction on our own terms and in our own way.
The
impact of technology on collaboration
- Evolving the business practices and culture at Cisco to support large
numbers of high-achievement employees working collaboratively is hugely
challenging, but ultimately rewarding. Cisco executives have the
opportunity to impact business strategy beyond their functional accountabilities,
and what’s really satisfying is to see how execution is actually
accelerated."
Schipper is transforming HR by tailoring
it to the needs of the enterprise at Cisco. The company is devoted to the idea
of using their own tools to demonstrate the future. Schipper fits right into
that mold.
As part of John Sumser’s ongoing Top 100
Influencers project, in which the key
influencers working in recruiting, staffing, HR, HCM and HR
technology are identified and profiled, John shares additional perspectives and
compelling insights from those who are profiled here in Salary.com HR Voice each
Friday.
John Sumser is a member of the Salary.com Board of
Directors as well as the founder and president of Two Color Hat,
Inc. Contributions to Salary.com HR Voice and this Website reflect the opinions
of the authors and are not an official opinion of Salary.com, Inc., or any of
its subsidiary or affiliated entities.
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