Posts Tagged ‘advice’

Fake News: HR

Tuesday, May 2nd, 2017

A KPMG co-promoted piece, in an otherwise interesting London business magazine, The Informer, carries a sub-title, “Meet the game changers having real influence on business strategy”. It references the creation of the Chief Human Resource Officer title, and its’ rising importance “as the person who enables the business strategy alongside the other “C” roles.” It cites as hard evidence, two people in a Harvard Business Review article, Mary Barra (CEO of General Motors, lasted 18 months in HR part of a 25+ year career) and Anne Mulcahy (past CEO of Xerox, lead the HR function part of her early management development). Prizes, if you can name any others, who came close to that position or truly “enabled” business strategy in an organisation you worked for or advised? I can give you 500 CEO examples, who spent most of their career in sales, marketing, finance or operational management responsibilities.

Then it states that the proportion of HR functions in FTSE 100 businesses led today by a career HR person has risen from 69% to 80%, “demonstrating relevant experience is vital in the current climate”. Since when has deep experience in a silo function been critical in a complex and ambiguous environment? Shouldn’t critical people decisions and accountability be in the hands of the line mangers directly responsible for implementing an organisation’s strategy? I have met and advised hundreds of HR leaders in some of the world’s finest businesses. I can count on two hands the number of individuals, who were outstanding.

This sort of article does consultants a disfavour because a large, respected consulting brand doesn’t ask the tough questions about clients, who pay it billions of dollars. It trumpets weak evidence and it suggests an alternative that is largely without merit.

© James Berkeley 2017. All Rights Reserved.

 

A Fool’s Wisdom

Wednesday, March 23rd, 2016

image

In this Trumpian era where people are encouraged to say anything however crass or non-sensical to get noticed on social media platforms, I see so called business advisers increasingly adopting the tactic.

Today on Hotels the global hotel industry’s foremost media blog, a guest contributor and acclaimed expert, writes a two part post suggesting the industry is retarded if it doesn’t adopt a nickel and dimeing strategy! His point is that hotels need to follow car rental and airlines in better educating their customers about the hidden value they are providing, the best way to accomplish that is to charge them for every extra. I read the posts twice to check it wasn’t April 1.

What the writer fails to consider is how much more customers would pay if the product was better. It is this type of poverty mentality that kills growth businesses.

Don’t be drawn into a fool’s wisdom just because it is seemingly coming from a highly credible source. Ridiculous advice really says more about the source’s credibility than the advice itself.

© James Berkeley 2016. All Rights Reserved.