“Our people are our greatest asset”

The above statement is quite common, ubiquitous, even. But I’m afraid these words are not always supported by actions. And some organisations seem to go out of their way to contradict this ‘value’. Here’s a case I came across recently.

 

Background:

A multi national organisation.

With over 80,000 staff.

In almost 150 locations world wide.

Revenue earned in last full financial year of US$26 billion plus.

“Our people are our strongest asset” … Stated in their annual report and probably regularly quoted and referred to in their Staff and PR communications.

Also much made of their investment in staff, focus on Learning & Development, and pride in the ‘loyalty shown’ as reflected in their numbers of long servers.

 

Now let’s talk about an occurrence in this organisation. A senior manager, i.e. one of the Senior Management Team is called to a meeting with his direct boss. He assumes it is one of their regular ‘get togethers’. No indication to the contrary. On entering the meeting room he’s surprised to see a senior HR person present and both looking very serious. The HR person does most of the talking. He is informed that he is redundant; effective immediately. Reason given is a ‘HR transformation programme’. He is informed that he will receive a leaving package which is not ungenerous. He is shocked (to put it mildly). He’s not invited to ask questions. He can’t think what to say never mind what to ask. The meeting is over in less than five minutes. Within hours his office is packed up for him and he leaves the building. For good.

 

A little context …. He has over 20 years service. He leads one of the most important Staff Functions. Said function has received numerous prestigious external awards and recognition in addition to extensive positive internal feedback. It is not a commercially sensitive area and the organisation does not have to worry about his ‘stealing clients or commercially sensitive information’.

 

On communicating the news to his direct team and subsequently to staff further down the structure he is met with disbelief, shock, sympathy and tears aplenty. He really was highly regarded, respected and liked. When news begins to filter to the rest of the organisation he receives endless calls. Offers of support. Much sympathy again. And expressions of shock, disappointment, and regret. Some talk of their anger at management while others say they’re ‘ashamed of the organisation’.

 

He received no communications from anyone more senior other than the short meeting. The decision maker goes to ground and others at that level make no contact either.

 

Let’s be charitable here and say that it is one of those things that happen in organisations, “it’s a rationalisation, a restructuring, an organisational personnel realignment”. And there were reasons justifying the decision. (From what I know none of the above is the real reason. But let’s accept the former possibilities just for a moment).

 

So here are some questions:

 

  • If people are your greatest asset would you really treat them like this?
  • What do you think will be the impact on his Team, Staff, and Department?
  • How would you feel if you were in this organisation?
  • How many of the best people (on hearing this news) are now busily working on their CV, their Linked In profile and their Network of contacts?
  • What about the image of the organisation in the marketplace? This was a high profile gentleman – well known and very well respected; locally and internationally.
  • Why couldn’t they achieve the very same outcome but do so in a professional manner? e.g.

Give the individual concerned notice and some indication of the nature of the meeting.

At the meeting take time and trouble to outline the reasons for the decision.

Give the individual the opportunity to ask questions – maybe even have a number of ‘prompt questions’ prepared.

Acknowledge, recognise and appreciate the service and achievements of the individual – and put the decision in context; reorganisation, restructuring, etc.

Go through the package on offer in detail – have a written version of that for the person’s reference afterwards.

Be prepared to (and explain that you can) negotiate on certain aspects. Some people may prefer shorter ‘notice periods’, use of car or other allowances, access to career counselling etc.

Allow them a reasonable notice period where the individual can comfortably and professionally manage their departure, provide a reasonable handover and effective communication with their Team and others in the organisation.

Bottom line… “Treat them as you would like to be treated after many years of service, loyalty and excellence”.

 

Let’s look on the bright side – there will always be work for people like me – trying to help good managers and leaders survive, or maybe even effect change in organisations like this and if that’s not possible help them identify and move to one where their talent, skills and values will be more appreciated, i.e. they will be treated as a valued asset.

 

Heaven help us all.

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