Chapter 22Slide 2Covey’s FindingsAccounting for PeopleMaking Sense of What’s HappeningConflictsHuman Resource AccountingHow do we Assess Company Culture?Start Assessing the CustomerSlide 10Put it to work!Completed Staff WorkDelegatingThe Principle: No Cop-OutKissinger/OhsoneSlide 16Steps to Completed Staff WorkBibliographyChapter 22Chapter 22Using Stakeholder Information Using Stakeholder Information SystemsSystemsAaron and RothAaron and RothA high percentage of middle managers A high percentage of middle managers where leaving a banking organization.where leaving a banking organization.They didn’t know whyThey didn’t know whyOnly conducted exit interviewsOnly conducted exit interviewsNot a good idea due to the high emotional Not a good idea due to the high emotional content content Assumed it was their compensation systemAssumed it was their compensation systemProblemProblemCovey’s FindingsCovey’s FindingsThey were attracting entrepreneurial people.They were attracting entrepreneurial people.Asked them to “crunch numbers”Asked them to “crunch numbers”The employees lacked:The employees lacked:Intrinsic SatisfactionIntrinsic SatisfactionChallenge Challenge Excitement Excitement Restructure the organization around Restructure the organization around entrepreneurial talent and use systems that entrepreneurial talent and use systems that reward new ideasreward new ideasAccounting for PeopleAccounting for PeopleThe information system must deal with the The information system must deal with the entire workplace environment in order to entire workplace environment in order to understand what’s going on.understand what’s going on.Organizations need an information system Organizations need an information system that deals with social problems and that deals with social problems and challenges. challenges. Most companies use information systems Most companies use information systems for finances for finances Why not people?Why not people?Making Sense of What’s Making Sense of What’s HappeningHappeningHuman Resource Accounting:Human Resource Accounting:Helps monitor all employeesHelps monitor all employeesUses personal and organizational profiling surveys and Uses personal and organizational profiling surveys and other diagnosticsother diagnosticsShines the light on what is happening with all the Shines the light on what is happening with all the stakeholders in organizations:stakeholders in organizations:The peopleThe peopleTheir perceptions, motivations, values, habits, and skillsTheir perceptions, motivations, values, habits, and skillsThe formal organizationThe formal organizationPhysical environment, technology, strategy, policies, and Physical environment, technology, strategy, policies, and proceduresproceduresThe informal organization or cultureThe informal organization or cultureValues and norms from the interaction of people combined with Values and norms from the interaction of people combined with the organization’s physical environmentthe organization’s physical environmentConflictsConflictsRise when the norms of the informal organization conflict with the Rise when the norms of the informal organization conflict with the standards of the formal organizationstandards of the formal organization““Us and Them”Us and Them”Management wants to control and direct behavior rather than “letting it Management wants to control and direct behavior rather than “letting it flow”.flow”.What can we do???What can we do???We can gradually create a “win-win” culture. We can gradually create a “win-win” culture. With sincerity!With sincerity! Follow these integrated principles:Follow these integrated principles:FairnessFairnessHuman relationsHuman relationsHuman resourcesHuman resourcesMeaningMeaningAll of this takes timeAll of this takes timeAlthough the process may be painful, but in the long run it’s much better Although the process may be painful, but in the long run it’s much better than operating in the dark.than operating in the dark.Human Resource AccountingHuman Resource AccountingBegins and ends with gathering dataBegins and ends with gathering dataWe must think through alternativesWe must think through alternativesMake decisionsMake decisionsImplement themImplement themDo an assessment or surveyDo an assessment or surveyUse the data to make decisions Use the data to make decisions If problem solving is not done around feedback, If problem solving is not done around feedback, people will feel disillusioned.people will feel disillusioned.Company culture will never take surveys seriouslyCompany culture will never take surveys seriouslyHow do we Assess Company How do we Assess Company Culture?Culture?It’s subjective It’s subjective We must somehow give ratingsWe must somehow give ratingsIt’s hard to rate by using wordsIt’s hard to rate by using wordsNumbers will always winNumbers will always winNumbers add legitimacyNumbers add legitimacyThink of beauty pageantsThink of beauty pageantsHow to predict performance:How to predict performance:Conduct pre-test and post-test assessmentsConduct pre-test and post-test assessmentsFor people who go through Covey’s training, the For people who go through Covey’s training, the external locus of control shifts internally.external locus of control shifts internally.His training also creates the halo effect.His training also creates the halo effect.If you measure and record it, people tend to do better. If you measure and record it, people tend to do better.Start Assessing the CustomerStart Assessing the CustomerStart a customer information systemStart a customer information systemCustomers are in constant contact with Customers are in constant contact with employees.employees.Long-term returns are higher if there’s Long-term returns are higher if there’s “harmony” among everyone.“harmony” among everyone.Management, ownership, AND employeesManagement, ownership, AND employeesEmployees are often seen as a means to an endEmployees are often seen as a means to an endThey represent the company to the customerThey represent the company to the customerPeople get their security from withinPeople get their security from withinIn order to improve, you must expose your In order to
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