We hear from many CHROs or Heads of HR that the decision to invest and partner with an executive search firm is an added “cost” that should be avoided and that their internal talent acquisition teams should be able to execute the search. CCI recently conducted a webinar, “Why the Heck Should You Do a Retained Executive Search?” and one of the topics covered is the cost of a bad hire. This critical topic presents a challenge not only when it comes to direct costs but also the indirect costs and impact that hiring a bad executive means to an organization.

A study by renowned economist Eileen Appelbaum and sociologist Ruth Milkman found that a bad hire can translate to as much as 213% of a c-suite level employee’s salary. So if your company hires an executive at $300,000, the total direct costs of a bad hire could exceed $600,000! Those direct costs include the compensation loss of base salary, sign-on bonus, any incentives, benefit costs, expenses, etc. However, they also include the cost of labor paid to the TA team to find and hire the executive, the cost of labor to interview the executive, and all other internal recruiting technology costs (LinkedIn, digital ads, ATS, etc.). Suddenly, the cost of hiring the right executive search firm, typically 1/3 of the total of the first year’s expected compensation, seems like a worthy investment! Sure, you could get lucky, but why leave your organization’s success up to chance? The smarter strategy is to mitigate that risk by investing and partnering with a reputable executive search firm.

As companies face a turbulent economy and high interest rates, the need for resilient and dynamic leaders is even more vital to a company’s success. While the money lost from a bad leadership hire is a concern, the non-monetary considerations of productivity, time, and morale are even more impactful. Every bad hire comes with indirect costs. Those trickle-down effects cause your business to lose money in other areas. At the executive level, the costs are multiplied:

Lost productivity

A bad leadership hire can mean declining sales, missed deadlines, and costly mistakes. It’s bad decisions that keep making bad decisions. All of them cost time and money to correct. If other senior-level individuals end up picking up the slack for the weakest link, their productivity will suffer too.

Lost time

A recent survey of CFOs found that managing underperforming employees takes up one whole day every week. Those costs are increased if your underperforming employee is at the executive level. Think about it; we spend 80% of our time managing the 20% of the underperformers. Imagine how much time it takes to manage an underperforming executive.

Lost morale

Regardless of seniority, every bad hire comes with a loss of morale. When someone can’t pull their weight, it puts more stress on everyone around them and can even drive valued employees to leave. When your bad hire is at the leadership level, morale costs exponentially increase. It can lead to “quiet quitting,” turnover, and a total lack of engagement.

A bad leader puts your whole organization in danger. Their poor decisions could cost the company customers or even damage your company’s reputation. Furthermore, removing the bad hire opens you up to a new set of risks. As long as their role is vacant, your company will be more vulnerable to external forces. A lot can happen in three months, including losing market share and forfeiting your competitive advantage. Vacant roles add to the costs through the loss of time and productivity.

So now that we fully understand the direct and indirect costs of a bad hire, how does partnering with a reputable retained search firm prevent this from happening?

1. Reputable retained search consultants bring a search methodology, industry/functional expertise, decades of recruiting experience, and the dedicated resources required to map the market for talent.
2. They focus on building relationships with executives who are passive and not active in their search, ensuring the very best talent who may not be looking is considered.
3. They guarantee their work. If a search fails and the candidate does not work out, the search firm is required to conduct a replacement search.
4. CCI Executive Search offers assessments and an option for executive coaching to onboard new leaders to bring them up to speed faster. This program has increased productivity by 53% for new leader hires.
5. They conduct thorough references and have networks to confirm the experience of various candidates through back channels.
6. Most importantly, good firms seek to fully understand the cultural nuances of the companies that hire them. A good search partner ensures that the style and leadership of each candidate will fit into the organization’s culture. This is the number one reason that leadership hires succeed or fail.

In the end, their expertise could save you months of work and a significant amount of money, all while finding you the right person to help lead your business.

Jeff Harvey

Vice President, Executive Search

CCI Consulting

The post Avoid Costly Mistakes: Invest in Retained Executive Search appeared first on CCI Consulting.

If investigative expertise does not exist within the HR Department, there is limited capacity due to timing or the complaint includes members of the HR Department, it may be necessary to consider hiring an external professional and unbiased expert. This ensures all parties involved are treated in a professional, legally compliant manner while ensuring impartiality which fosters a transparent and unbiased assessment of the situation. Integrity is equally crucial, as it upholds the credibility of the investigation and the HR department. These guidelines provide an overview of steps to consider when conducting an HR investigation. They will also be useful in your consideration when hiring an outside expert investigator.

1. Act Promptly and Confidentially

Upon receiving a complaint, act promptly to initiate the investigation process. Oftentimes it may be unclear if a complaint is considered a “formal” complaint vs. an “informal” comment or retelling of a story about how someone has been treated. When unclear, ask the person or witness to clarify. Regardless of the formality of how the complaint is made, treat all allegations with the utmost confidentiality to protect the privacy and well-being of the individuals involved. Assure the complainant, typically in writing, that their concerns will be taken seriously and

handled discreetly. Only involve those in the organization on a need-to-know basis. This may include your internal or external attorneys and Senior Leadership. If needed, separate parties from one another to de-escalate the situation.

Timeliness plays a key role should an allegation ultimately result in litigation. Courts will look at how promptly an organization took steps to mitigate the alleged problem, including conducting a comprehensive investigation.

2. Gather Information

Begin by gathering as much information as possible regarding the alleged complaint. Interview the complainant to understand the nature of the incident(s), including dates, times, and any witnesses who may have been present. Encourage the complainant to provide any documentation or evidence supporting their claims, such as emails. Gather this information sooner rather than later as it is important to have the employee recall as much of the situation as possible while it is still “fresh” in their memory. This also promotes a level of caring and understanding on behalf of the organization.

3. Identify, Prepare and Interview Witnesses

Probably the most crucial step in the investigation is the interaction with witnesses. Identify and interview any witnesses who may have observed the alleged harassment or have relevant information. Preparation is key when getting ready to conduct witness interviews. Questions should be prepared in advance to ensure that questions are open-ended, non-judgmental, and will be somewhat consistent for every witness. Determine in advance what information is necessary to prove or disprove an allegation. Allow witnesses to provide names of other witnesses if warranted.

Conduct interviews in a neutral and private setting, ensuring privacy and sensitivity to the concerns of the witnesses. These days many interviews can be conducted remotely depending on the type and/or culture of the organization. Consider what makes the most sense in this regard. While virtual interviews may be easier from a privacy perspective, it is often more difficult to read body language, facial expressions, etc. Depending on the extent of the allegations and the number of witnesses involved, it may be warranted to use multiple investigators to conduct the investigation. It will be important for all investigators to have the same understanding of the allegations and the goals of the investigation.

Active listening is a crucial skill that investigators must employ to gather accurate and comprehensive information. It involves not only hearing what the interviewee is saying but also paying close attention to their tone and any underlying emotions or motivations. By actively listening, investigators can establish rapport with the witness demonstrate empathy, and

encourage them to share relevant details more freely. Additionally, active listening enables investigators to ask pertinent follow-up questions and clarify any ambiguities, leading to a clearer understanding of the situation under investigation. Ultimately, active listening fosters trust and cooperation between the investigator and the witness, facilitating a more thorough and effective investigative process.

4. Interview the Alleged Perpetrator

Once you have gathered sufficient information, interview the individual(s) accused of the behavior. Conduct the interview fairly and impartially, allowing the accused to present their perspective and provide any evidence or witnesses in their defense. Remain objective, and unemotional and avoid making assumptions or judgments prematurely. Use active listening skills. Remind the person that information will be shared with those on a need-to-know basis only. Also, remind the individual that any threat of retaliation against anyone involved is also considered unlawful and can result in consequences.

5. Review Documentation and Evidence

Thoroughly review any documentation or evidence provided by both the complainant and the accused. This may include emails, text messages, witness statements, or surveillance footage, depending on the nature of the allegations. Evaluate the credibility and relevance of each piece of evidence carefully. If necessary, re-interview certain witnesses to gain clarity.

6. Assess the Credibility of Witnesses

Assess the credibility of witnesses by considering factors such as consistency, demeanor, and any potential biases. Cross-reference their statements with other evidence and witness testimonies to ensure accuracy and reliability.

7. Maintain Detailed Records

Maintain detailed records of all interviews, evidence gathered, and steps taken throughout the investigation process. Document findings objectively, noting any discrepancies or inconsistencies that may arise. These records will be invaluable in ensuring transparency and accountability.

8. Determine Findings and Take Action

Based on the evidence gathered and interviews conducted, determine if the claim is substantiated or whether the alleged behavior has violated company policies and/or legal standards. The details of the investigation, including summaries of witness statements, evidence collected, facts and analysis of findings that either support or refute the allegation should be contained in a written comprehensive report. Any relevant documentation should also be included. By maintaining thorough documentation throughout the investigation process, HR professionals can ensure accountability and compliance with legal requirements. Additionally, well-documented investigations provide a foundation for informed decision-making and will help mitigate the risk of legal challenges in the future.

If poor behavior is substantiated, take appropriate disciplinary action against the perpetrator(s) in accordance with company policies and applicable laws. Be sure to document this as well!

9. Follow Up and Monitor

Remember to follow up with the complainant and other involved parties to ensure that the behavior has ceased and that appropriate measures have been implemented to prevent a recurrence. HR and Management should monitor the workplace closely for any signs of retaliation or further misconduct and take swift action if necessary. In some cases, a predetermined sequence of follow-up meetings may be appropriate – perhaps in 30, 60, or 90 days.

10. Provide Training and Education

Finally, use the findings of the investigation as an opportunity to reinforce the company’s commitment to preventing harassment or discrimination and fostering a culture of respect and inclusivity. Provide training and education to all employees on harassment prevention, bystander intervention, and reporting procedures to empower them to contribute to a safe and respectful workplace environment. For Supervisors and Managers, know the requirements for providing training in their particular states.

While investigations are the last thing we want to think about as HR Professionals, how an investigation is managed within an organization can have widespread consequences. There is an impact not only on those involved directly with the investigation, but also on a company’s culture, reputation, and, depending on the outcome, potentially the bottom line. Conducting an HR investigation requires a careful and methodical approach to ensure fairness, privacy, and accountability. By following these guidelines diligently and with compassion, HR professionals can effectively address allegations and uphold the values of dignity and respect in the workplace while ultimately contributing to the overall well-being and success of the organization.

Melissa Dugan

Vice President, Consulting

The post Navigating HR Investigations: A Guide to Preparation and Resolution appeared first on CCI Consulting.

“We are excited to welcome Tony into the CCI family,” said President of CCI Consulting Brian Clapp. “Tony brings with him over two decades of broad experience in management consulting. He is the perfect addition to our team, and we feel confident that he will lead CCI Consulting to new growth,” said Sharon Imperiale, CEO and Owner of CCI Consulting.

In this role, Tony will oversee the company’s commercial strategy, including sales, marketing, and revenue management to drive profitable growth for the company.

“This is an exciting time to be part of the CCI team. More than ever, organizations require talent solutions from an expert and caring partner to tap the full potential of their people and navigate the new world of work,” said Tony.

Tony has over 20 years of experience in the consulting industry in sales, leadership, and product development. Expert in change management, business strategy implementation, and organizational development and design, he brings a proficiency that will complement CCI Consulting’s talent and offerings.

Tony holds a BA in Economics from Carleton College and a Ph.D. in Political Science from Indiana University. He is also a Prosci Certified Change Practitioner.

The post CCI CONSULTING WELCOMES TONY MATEJCZYK TO THEIR TEAM appeared first on CCI Consulting.

The Economist describes the 2022 economy as an era of “predictable unpredictability,” where watershed events can change the game with little forewarning. Most economists predicted a recession in 2023 that never materialized. For 2024, the same theme remains – unpredictability. Past performance will offer analytical insight, but everyone is entering a new era where precedents are not the reliable predictors they once were. When complex systems like the economy or job market bring uncertainty to the business landscape, corporations need to recruit a new generation of leaders who bring fresh, creative, and outside-the-box perspectives to the C-Suite.

Companies and Organizations must prioritize leaders who work and live outside their comfort zone. Adaptability and intellectual curiosity are critical qualities for weathering turbulence and achieving financial, operational, and growth goals.

Where a candidate’s previous experience with your industry, environment, or company size was once a “must have” requirement, this is no longer always the case. Instead, in addition to the characteristics mentioned above, organizations should be evaluating executive candidates on their business acumen with tried-and-true strategies and their history of pioneering an effective plan of attack in novel circumstances.

2. Leaders need to be able to navigate uncertainty

Unpredictability leads to change and turbulence for the candidate market. With an increased turnover and a diversifying C-suite, organizations face unprecedented demand for executive talent—and short supply.

In the wake of the most challenging days of the pandemic, many tenured executives chose to reprioritize their lives, resigning from their positions for retirement, new opportunities, or different lines of work. A Deloitte survey finds that 70% of the C-Suite is considering quitting for a job that better supports their mental well-being. As a result, more organizations need to prepare for succession or backfill positions.

With such high demand, we anticipate seeing more executive teams leveraging their professional networks, exploring alternative options, and turning to trusted executive search professionals to accelerate their hiring timelines.

3. Location, Onsite, and Hybrid

Executives are redefining the workplace of the future. Whether it’s a full return-to-office, remote model, or hybrid approach, business leaders must consider the long-term hiring implications of each and design the right model for their industry, business, culture, and even individual roles.

Two years ago, executives were grappling with answering the location question. Today, they are making decisions and carving go-forward paths. That said, organizations must remain receptive to adapting their work model if necessary, relying on a well-rounded view from the executive team. Here’s just a snapshot of the considerations:

•   The fixed costs of real estate, leasing, and rising interest rates.
•   The definitive fabric of the company culture
•   Employee collaboration and engagement
•   The ability to attract top talent in your geographic location

Most of these considerations and their subsequent policies will determine the type of candidates you can attract to your business, whether they are required to maintain proximity to an office location or can function from remote offices. A one-size-fits-all approach will NOT work; every model must be tailored to the organization.

4. Top talent is reluctant to take on a new opportunity

Candidates, particularly passive ones, are becoming increasingly selective amid changing market environments. At the executive level, the quality of the opportunity from the standpoint of compensation, benefits packages, growth potential, company, and challenges are critical, as the costs associated with changing jobs are higher in today’s volatile market.

This is where a trusted executive recruiter can add a lot of value, shaping the perception of candidates and aligning a company’s value proposition with a candidate’s goals and requirements. A well-seasoned executive recruiter knows how to truly partner with organizations and candidates to ensure the best possible outcome for both, marrying together their mutual long-term success.

In this current market, many companies are having difficulty “closing the deal” on their own. Even organizations with robust, experienced internal recruiting teams are facing a great deal of unexpected occurrences and surprises coming up during (and after) the offer process (e.g., extensive negotiations, counteroffers, etc.). These dynamics can be extremely challenging to navigate and once again highlight how a seasoned executive search firm can add value, helping the C-Suite to scale despite the challenges of today’s market and the unprecedented future.

The intense competition for executive talent in today’s market has exploited another facet of the executive hiring process – the treacherous time between the offer and the start date. While losing a candidate to a last-minute competing offer was not previously unheard of, the frequency and aggressiveness of incidents happening in today’s market require CEOs, Boards, and hiring teams to respond strategically to compete.

With more executive job openings than qualified candidates, the fight for top talent is at an all-time high. As a result, competing offers and counteroffers are the norm. When strong talent becomes active in the market– employers, investors, and CEOs are ready to employ tactics necessary to prevail. This executive tug-of-war has become all too common and typically initiates on or around the time of an offer, acceptance, or resignation.

Previously, the time between offer and acceptance may rightfully have been the time for CEOs to celebrate and focus on other strategic initiatives. In today’s market, this phase has become one of the most arduous and competitive parts of bringing top executive talent onto the team.

To best mitigate risk, CEOs and hiring teams must change their mindset. Know the fight is still looming, understand how risks may manifest themselves within the hiring process, and deploy thoughtful, proactive tactics to meet the demands of today’s talent market.

Jeff Harvey

Vice President, Executive Search

The post Top Four Trends in Hiring Executive Talent Entering 2024 appeared first on CCI Consulting.

Today, individuals within the age group of 40 – 50 are often viewed as “over the hill.” Due to the age-associated mental and physical health decline, the common misconception that “you can’t teach an old dog new tricks” is often reinforced by the biases associated with the aging population.

Allow us to agree to disagree.

Peak Performance Aging

The science of peak performance, is often referred to as “peak performance psychology” or “performance science.” This is a multidisciplinary field that explores the factors and principles that contribute to individuals and teams achieving their highest levels of performance and success in various domains, such as sports, business, academics, and the arts. This field draws from several disciplines, including psychology, neuroscience, physiology, and sports science, to understand and optimize human performance.

New York Times bestselling author and Executive Director of Flow Research Collective, Steven Kotler, has dedicated years of research to understand the contributing factors between mental/physical performance and aging. His research around neurosciences, neurodynamics, embodied cognition, and personal experience with winter sports has led to the idea that peak performance aging is achieved and maintained by “regularly engaging in challenging social and creative activities that demand dynamic and deliberate play and take place in novel outdoor environments.”

Although cognitive and physical abilities do diminish with time, the emboldening fact is that they can be improved through consistent use.

“Geriatric Superpowers”

Gene Cohen, an American psychiatrist who pioneered research into gerontological mental health and is the first head of the Center on Aging at the National Institute of Mental Health, discovered the cognitive “superpowers of aging.” These become accessible to us in the second part of life; the most notable changes include an increase in intelligence, creativity, empathy, and wisdom.

To reach those superpowers, there are two major things we need to focus on together: physical and cognitive declines on a consistent basis.

From the cognitive perspective, the need is to focus on progression, which is the process of developing or moving gradually towards a more advanced state. Part of progression is the persistence of pattern recognition and repetitive pattern execution over time. It is the kind of redundancy the brain likes to build new neurological networks.  Working on your craft is one way to restrain cognitive decline.

From the physical perspective, movement with a slight challenge, not only keeps physical deterioration at bay, it also boosts neurogenesis, the creation of new neurons in the brain, and angiogenesis, which is the birth of new blood vessels crucial for neuron creation.

Just like any aspect of human growth and development, three factors act as prerequisites to unlocking the superpowers. In your thirties, it involves resolving identity crises. In your forties, it’s about being in sync with and living your true identity. And in your fifties, it entails forgiving both yourself and others.

Flow

Kotler, being at the forefront of flow research, speaks to the benefit of flow state/triggers to keep physical and cognitive decline at bay.

Flow is a psychological state characterized by complete absorption and deep focus in an activity. When in a state of flow, individuals are fully engaged in what they are doing, to the point where they lose track of time and become oblivious to their surroundings. Flow is often associated with feelings of joy, fulfillment, and a sense of being “in the zone.”

This concept was popularized by psychologist Mihaly Csikszentmihalyi, who described flow as a mental state of optimal performance and a key factor in achieving happiness and satisfaction. Flow typically occurs when the challenge of a task matches an individual’s skill level, creating a balance that leads to a highly productive and enjoyable experience. It’s often experienced in various activities, such as sports, art, work, and even everyday tasks when they are engaging and challenging in the right way. On the other side of flow: complexity, adaptability, increase in mastery, and increase in wisdom.

Peak Performance Aging in the Workplace

In Steven Kotler’s experience working with countless CEOs, creativity and empathy are the attributes that are most needed, yet hardest to hire or train. The same skills and traits show up on numerous lists for a workplace’s most looked-for skills in upcoming years.

Creativity is essential in driving innovation in the current fast-paced world. Empathy is fundamental in team collaboration and in a customer-focused business environment. Both attributes are essential in gaining a competitive edge.

Peak performance aging is a lifestyle that involves all aspects of life, not just work. And while those of us who support the people side of business are not tasked with lifestyle changes, we can provide opportunities for slower decline and further development of the older, but wiser growing population of the workforce.

Yeva Madden, MSHI, MA, ACC

Client Engagement Manager

The post You Must Teach an Old Dog New Tricks appeared first on CCI Consulting.

A recent study from the Society for Human Resource Management (SHRM) confirmed what most of us already know: 84% of employees think personal development is a big deal for job satisfaction. When employees feel their potential is acknowledged and supported, especially by their boss, they become more adaptable, engaged, and innovative.

The recent rollercoaster ride of events has shown us that change is the only constant, and if you want to keep your edge, you’ve got to foster a mindset of innovation and growth. But guess what? One thing that hasn’t changed is that investing in employee development is still the secret sauce for lasting success. It’s not just about climbing the career ladder; it’s about nurturing talent, boosting engagement, and staying flexible as an organization.

The Changing Paradigm

A recent McKinsey & Company study highlighted that companies actively investing in employee development and learning initiatives are 45% more likely to be market leaders. Companies that put effort into employee development and learning are 45% more likely to lead the pack. Employee development isn’t just something the HR department does on the side anymore; it’s a big deal from the top brass to the folks on the front lines. This shift shows that employee development isn’t just a passive process; it’s an active strategy that can transform your organization.

Foundational to Engagement  

Engaged employees aren’t just punching the clock; they’re all in on the company’s vision, values, and goals. And that’s a recipe for less turnover, higher productivity, and happier customers. According to Gallup, companies with highly engaged employees experience 147% more in earnings per share.

Employee development is pivotal in driving engagement. When employees feel like their growth and well-being matter to their employers, they give back in spades. This emotional connection, sometimes called the “psychological contract,” fuels motivation, job satisfaction, and loyalty. And this good vibe spreads like wildfire, creating a positive loop that keeps your company moving forward.

Nurturing Agile Organizations

In a world where change is constant, organizational agility isn’t a luxury; it’s a must. Companies need to adapt and pivot to take advantage of new opportunities and employee development is the cornerstone of organizational agility.

As employees level up their skills and knowledge, they become more flexible and ready to face whatever comes their way. This adaptability becomes part of an organization’s DNA, helping employees face uncertainties with confidence.

Driving Innovation and Creativity

Solving tomorrow’s problems today and ensuring sustainable growth requires employees with diverse skills and critical thinking abilities. Employee development initiatives like cross-functional training, leadership workshops, and creative problem-solving sessions create an environment where innovation and creativity thrive.

A recent study by Boston Consulting Group found that companies prioritizing employee development in innovation-related skills outperformed their peers in revenue growth and shareholder returns. It’s no surprise that 79% of companies now rank innovation as a top priority. By embracing a mindset of continuous learning and experimentation, organizations unlock their employees’ creativity, leading to groundbreaking ideas and unique solutions.

Final Word

In the grand scheme of corporate success, employee development is a rock-solid foundation that ties together engagement, agility, and innovation. As the business landscape keeps evolving, treating employee development as a strategic “must-have” isn’t just a good idea – it’s a survival tactic. The return on investment goes beyond the numbers; it propels companies toward lasting growth and prosperity. Shifting the perspective from seeing employee development as a cost center to recognizing it as a strategic powerhouse is a journey of transformation. By fostering a culture of ongoing learning, nurturing individual potential, and boosting engagement, companies set the stage for their success and the growth of their employees and the broader community.

Mark Saddic

Vice President, Consulting

The post Nurturing Success: The Strategic Imperative of Employee Development appeared first on CCI Consulting.

Unfortunately, organizations are occasionally faced with the difficult decision to downsize or restructure.  How an organization handles layoffs can have a profound impact not only on the impacted employees but also on the morale and reputation of the company. This is where outplacement services come into play as a critical factor for both the company and the employee. Here, we will look at why offering outplacement services is not only a compassionate gesture but should also be an imperative part of your talent and business strategy.

Support the Impacted Employee 

Individuals facing a drastic career change undergo a rollercoaster of emotions from anxiety to denial to fear. Providing outplacement support can help individuals navigate this range of emotions and face the future with renewed focus and positivity. Properly supporting employees as they move through the outplacement process demonstrates that their service is valued and that supporting them in their next role or stage of life is important to you as an organization. The goal of severance benefits is to help those impacted transition to new opportunities. The financial component is typically a short-term bridge, while career transition services help address the long-term implications.

Support the Team Handling Restructuring 

Having available support from a third-party to help employees transition can ease some of the burden of your HR and management teams who are leading restructuring efforts. By utilizing a third-party outplacement firm, companies also remove any biases held by outplaced employees.

Reinforce the Culture of Your Organization 

Offering outplacement support shows that your organization responds to challenging events in a positive, thoughtful, and caring manner. This can help maintain a positive workplace culture and prevent a dip in overall morale, which can often occur after a round of layoffs. It also increases the likelihood of retaining high-performing employees who may be considering leaving due to uncertainty.

Fostering Employee Loyalty and Trust 

Companies that provide outplacement support as part of their redundancy program often find that it can lower the ‘emotional temperature’ across their organization. By fully supporting exiting employees, you can demonstrate both to them and to those who remain, that despite the current challenging circumstances you value them as employees and are committed to their well-being. For those remaining, it can be reassuring to know that if they find themselves in a similar situation, they are likely to receive the same support and consideration.

Keep a Positive Image and a Good Reputation  

The human impact of workplace restructuring, particularly where there is no support provided, is often underestimated by employers. Many of your former employees will stay in the industry with competitors, suppliers, or even customers. Also, with the prevalence of social media and online review sites such as Glassdoor, supporting impacted employees should not be taken lightly. Employer reputation is at stake! When you have a strong employer brand, you attract great people, innovative ideas, and more business for your organization.

Unexpected ROI in Reducing Hiring Costs 

It may seem odd to state that investment in outplacement can positively impact hiring costs, but there is a strong correlation. Companies are often concurrently laying off employees and hiring others, perhaps for new skills or teams. Rarely is restructuring solely about redundancies, and there can be a series of complex workforce planning and resourcing activities underway. Negative perceptions in both the internal and external candidate marketplace about how exiting employees were treated can be very damaging to critical recruitment campaigns and candidate attraction strategies. It’s also not uncommon for organizations to rehire those previously affected by redundancy. In all these situations, the relatively small cost of providing outplacement support can pay significant long-term dividends that far outweigh the initial outlay.

Limit Conflicts and Legal Risks

Offering outplacement support for your employees can help defuse potential conflicts. When your employee faces termination, facilitating a smooth and successful exit by helping them find a new path can limit or even avoid any legal risks that might occur. Legal action due to a mishandled employee exit can be expensive and time-consuming, not to mention damaging to morale and reputation. Providing outplacement can help mitigate any of these risks and support a more peaceful and successful transition out of the business.

Questions You Should Ask an Outplacement Provider

• How long has your company been providing outplacement services?  
• Do all candidates have access to a dedicated career coach? 
• How many candidates are your career coaches supporting at any given time? 
• How often do coaches meet with candidates? 
• What is the typical coaching model or items covered during an engagement? 
• What online resources are provided? 
• What is the background of your coaches? Can I review some of your coach bios? 
• Where are your coaches located? 
• How do your coaches help candidates navigate applicant tracking systems? 
• Do you offer any resources to help candidates upgrade their skills?  
• Is there an opportunity for candidates to interact with other coaches within your organization or other career transition candidates? 
• What happens when a candidate’s program ends, and they are still looking for a job?  

In an ever-changing business environment, organizations must be prepared to navigate the complexities of restructuring and downsizing. Offering outplacement services is a powerful way to demonstrate compassion, preserve a company’s reputation, and mitigate legal and financial risks. It also helps to maintain a positive workplace culture, boost morale, and retain valuable talent. Ultimately, investing in outplacement services is an investment in the long-term success and sustainability of the company, both in terms of its people and its bottom line.

Dan Haneman,

Vice President, Client Services

Paul Marion,

Vice President, Client Services

The post The Outplacement Advantage appeared first on CCI Consulting.

Strategic succession planning takes a broader approach to identify and develop high potential employees to fill key roles and highlight where an external talent search may be appropriate. It is more than simply identifying a successor; it involves intentionally preparing individuals to step into important positions and enables organizations to maintain their momentum even during transitions. Succession planning mitigates the risk associated with sudden vacancies and fosters a culture of continuous growth and talent development.

Given the barrage of conflicting business priorities, how critical is strategic succession planning in minimizing organizational risk? Let us consider common scenarios:

• The long-tenured and beloved CEO has announced they are accelerating their planned retirement from two years to six months due to family health concerns.
• Your top process engineer, and leader of an essential process conversion project is leaving the organization in two weeks.
• The highly respected vice-president of Finance out suddenly on FMLA (Family Medical Leave Act) at a critical point in an acquisition negotiation.
• A high-potential leader identified as a successor to multiple director level roles, unexpectedly resigns.

Uncertainty during times of transition can deplete productivity, morale, and engagement. In all these scenarios, everyone thinks WHO will fill the seat, drive the project, solve the crisis, and lead the organization forward. What disruptions will these vacancies hold and how will they impact the team and the organization’s performance? Is there anything that can be done to proactively minimize the disruption?

For those leading small to midsize organizations, not having an effective succession strategy creates an imminent risk to business continuity. The loss of a tenured leader without a well-designed succession strategy may pose an existential threat. Decades of work, brand building, and product development may be lost, along with the jobs and employees that have contributed to that value creation.

How does Strategic Succession Planning Minimize Organizational Risk?

1. Leadership Continuity: A significant risk to an organization is a leadership vacuum. The sudden departure of a top executive or any key leader without a capable replacement can disrupt operations, lead to loss of direction, and erode investor and stakeholder confidence. Succession planning ensures a ready pool of qualified individuals who are groomed to take over such roles seamlessly and minimize disruption.
2. Knowledge Retention: Key employees often hold institutional knowledge and expertise in process, technology, and group dynamics. Departures without a proper transition causes organizations to lose valuable insights, leading to inefficiencies, errors, and loss of competitive advantage. A robust succession plan ensures that knowledge is transferred to successors, equipping them to navigate successfully in their new roles. Without a thoughtful transition, the opportunities may be missed and historical intelligence on projects, organizational dynamics, or customer concerns will be lost.
3. Talent Shortages: External hiring during leadership vacuums can be challenging, time-consuming, and costly. Competition for top talent is fierce. Strategic succession planning may reduce dependence on external hires and address talent shortages by cultivating internal talent. This approach leads to a more engaged workforce, as employees perceive a clear path of growth within the organization. Onboarding processes are also optimized when an internal successor moves into a new leadership role. An individual is more prepared for a successful transition when they are proactively supported through mentoring, experiential learning, and executive coaching or leadership development programs.
4. Cultural Stability: Leadership changes impact organizational culture. A new leader may bring in a different leadership style or values, causing friction with existing employees and disruption to key initiatives. In some cases, an intentional shift in leadership may be warranted and desired. Strategic succession planning will identify key success criteria required to meet current and anticipated business challenges and provide a guide to evaluate internal and external candidates. Ensuring alignment with the organization’s core values and culture will also support a smooth cultural transition.

How might a company begin developing an effective succession strategy? Depending on the size and complexity of the organization’s structure, the approach may be narrower in scope or span across multiple levels and functional areas in the organization. A few key steps include:

1. Identify Critical Roles: Begin by identifying key positions that are critical to the organization’s success. These include executive roles, specialized technical positions, and roles that drive essential company operations.
2. Define the Success Profile for each identified position. Evaluate the critical outcomes the position provides and define the most important skills, competencies, education, and credentials required. Interview key stakeholders and consider emerging shifts in external market conditions to inform them of the leadership approach that is needed currently and in the future.
3. Assess and Identify Potential: Based on the success criteria, evaluate existing employees for alignment with their skills, competencies, and aspirations. Calibrating the definition of high performance and high potential and aspiration for growth is a critical component. Consider not only technical skills but also leadership qualities, adaptability, and learning agility. Clearly define what stands between this individual being a qualified successor.
4. Transparency Matters: Through direct conversation, it is important to validate that individuals identified as successors or high potentials are e interested in proposed future roles and are willing to make the commitment to their own professional development. Do not assume everyone has a desire for growth in a certain area. Many a succession plan have imploded due to a lack of transparency.
5. Provide Development Opportunities: Offer mentoring, coaching, and stretch assignments to prepare potential successors. Thinking beyond leadership training, experiential training is another key component within the business environment. This helps the potential successor gain a broader understanding of the business operations and the market environment, and allows them to acquire the necessary skills, experiences, and relationships in the organization to excel in their future roles.
6. Regularly Review and Update: Succession planning is not a one-time event; it is an ongoing process. Regularly review and update the plan to reflect changes in the organization’s goals, structure, and talent pool. Many a succession strategy has failed due to lack of follow-up on agreed upon development actions. Regular touch points will instill accountability in the process and increase the likelihood of a potential successor being ready and qualified to step up when the opportunity arises.
7. Diversity and Inclusion: To ensure diversity and inclusion is part of the succession strategy, a diverse pool of potential successors must be considered. This requires being open to employees with various backgrounds, educational experiences, and non-traditional career paths. The benefits of diversity in leadership are well-established; bringing broader perspective into the company supports an inclusive environment where all employees can envision their future.

Strategic succession planning is not just a risk mitigation strategy, and its power is not limited to the C-suite ranks. It is an investment in the organization’s future. By identifying, developing, and preparing internal talent, organizations can navigate leadership changes and critical vacancies with confidence. A well-executed succession strategy minimizes disruptions, retains knowledge, and fosters a culture of growth. In an era of constant change, organizations that prioritize their succession strategy will better position themselves to thrive in the face of uncertainty and ensure continuity and stability for years to come. CCI assists clients across all industries and sizes to develop a succession strategy customized to their needs.

Karen DeLise

Vice President, Consulting

The post Strategic Succession Planning: Minimize Organizational Risk and Build a Culture of Development appeared first on CCI Consulting.

Now, what if were to tell you that the entire first paragraph was written by ChatGPT?

ChatGPT (Generative Pre-trained Transformer) is an application created by OpenAI, a leading artificial intelligence research organization. ChatGPT is classified as a generative AI chatbot that has been trained on large data models to provide human-like responses to prompted inputs. The two main models of this program, GPT-3.5, and GPT-4, are both trained to pull online text data from books, articles, websites, and even social media. Debuted in 2020, the GPT-3.5 model emerged as one of the most advanced language models to date and is free to use. Since 2020, the GPT-3.5 model made improvements based on user feedback and continuous research, however, the model’s database is limited to knowledge up until September 2021. The GPT-4 contains the most up-to-date information and advanced capabilities and is only accessible with a paid subscription. ChatGPT, being a form of generative AI, has the ability to create new content like text, images, videos, or audio. As amazing as this tool currently is, we have only just begun to scratch the surface of what AI is capable of.

Artificial Intelligence in Our Daily Lives

Before you go and think that AI and “robots” are going to take over the world, let it be known that it has already begun. Not actually, but we do rely heavily on the use of artificial intelligence nearly every time we use our computers, smartphones, televisions, and even cars. As scary as the future may be, we are already seamlessly trained to use AI in our daily lives. Here are just a few examples of how easy it is to overlook how integrated we really are with machines:

• Smart Phone Face ID – AI uses biometrics to unlock your phone based on data stored around images of your face.
• Social Media – Personalized feeds and targeted ads are developed based on AI algorithms to recommend new content that may resonate with a user based on past behaviors.
• Email & Text – AI and natural language processors generate predictive suggestions and automatically check for errors when constructing messages.
• GPS and Travel Aids – Real-time traffic reports are generated from AI by gathering sources of traffic patterns and weather conditions when on route.
• Streaming Services – Streaming platforms, like Netflix, use AI to power user recommendations based on data stored from previous viewing patterns.

In a world so driven by technology and efficiency, it is hard to imagine our daily routines without the help of AI. But what do these advancements mean to the workforce? How will ChatGPT and generative AI influence the shaping of tomorrow’s professional environment?

Applying ChatGPT and Generative AI to the HR Function

ChatGPT and other generative AI programs may not take your job, but it does contain the power to change it. Any successful HR function relies heavily on the intellectual power of a human. After all, the HR aspect of business is built by humans for humans. Machines are not capable of operating with the high levels of empathy, knowledge, and experience that professionals like yourself possess. ChatGPT and generative AI do however have the ability to help improve recruiting, performance management, and professional development efforts.

• Recruiting: ChatGPT can assist in the recruiting process by helping managers write better job descriptions. The generated outputs can improve the speed and quality of producing the skills that are required to be successful in a job. Also, recruiters can use programs like ChatGPT to optimize candidate personalization. Organizations with thousands of applicants can streamline customized approaches in their outreach process with more personalization about the candidate, the job, and what other jobs may be available if the applicant isn’t a fit.
• Performance Management: On the human-facing side of things, ChatGPT can be a great preliminary tool for performance reviews. It is however not recommended to rely entirely on AI to generate an individual’s performance review as human judgment and empathy are still needed to make performance feedback meaningful and performance management conversations resonate. Instead, leveraging AI as an initial synthesis can help HR professionals gain quick insights into what is needed to aid a person’s professional growth.
• Professional Development: With such an emphasis on continued education and professional growth in today’s workforce, it is not always possible to have constant resources available to help you navigate professional development. ChatGPT presents the opportunity to illuminate a range of career paths and start helping people understand how to achieve their development objectives in their own time.

The McKinsey & Company reported that 80% of jobs can incorporate generative AI into technology and capabilities into daily activities at work. There are numerous areas in which AI can help optimize efficiency and inspire content generation, but it is still crucial to keep the human in Human Resources. By using this tool as a blueprint, professionals can gain quick insights into problems or processes that may not be initially seen on the surface.

The Positives of ChatGPT & Generative AI

Utilizing ChatGPT and other generative AI platforms in the workplace can bring forth a variety of positive outcomes. ChatGPT is a great tool to support an individual’s decision-making process by providing information, facts, analysis, and perspective; however, it is important to note the advice and recommendations generated from this machine is entirely based on algorithmic analysis of data and information. It is still crucial that the human element remains in control of this process as the users should make the final decision on how to accurately use the generated materials based on experience, knowledge, and assessment of the situation. In addition, the generated responses are entirely dependent on the detail or lack of detail the user is inputting within a prompt.

With that being said, here are some areas within the workplace that ChatGPT can positively influence:

• Productivity: ChatGPT and generative AI present the opportunity for us to automate mundane tasks in seconds and direct focus to other responsibilities that require higher priority.
• Content Generation: When fighting against mental blocks, ChatGPT can provide quick suggestions/solutions to lingering questions. By simply inputting a targeted prompt, users will be supplied with a wealth of ideas and supported information right at their fingertips.
• Free Learning Opportunities: Through effective prompts, ChatGPT can teach you a skill, provide insights, compile information, etc. Using the internet’s endless resources of instructional videos, articles, and books, you can have access to a vast array of learning courses that can enhance your learning development for free and on your own time.

The Negatives of ChatGPT & Generative AI

ChatGPT, like any other generative AI system, is not without its drawbacks. Keeping in mind that all generated materials are produced from a wide range of online resources, the outputs may not always be credible or accurate. ChatGPT lacks general insight. Instead, the algorithms behind the machine provide more summarized insights as opposed to unique responses that humans can create through knowledge, personal experiences, and subjective perceptions. Also considering that responses are entirely artificial, the structure and language included in them lack divergence and display patterns of unnatural communication. The lack of credibility, insights, and non-human language patterns are seen as the major identifiers in generative AI responses. In addition, here are some other negatives associated with relying on ChatGPT and generative AI to produce content:

• Biases: Just as humans have the ability to share thoughts and opinions on subjects through online outlets, generative AI programs, like ChatGPT, have the ability to source responses based on these postings. With the amount of inaccurate and misleading information being spread online, ChatGPT regularly produces biased responses on a variety of sensitive topics like politics, immigration, healthcare, gender, etc.
• Legal Issues: Users of ChatGPT have the right to reproduce text and other content generated, however, publishing outputs may have legal implications such as copyright infringements.
• Lack of Creative Thinking: ChatGPT responses are highly organized with clear logic which takes away from the human flair often desired for captivating writing. Despite the language and grammar structure being highly compressive, there is a severe lack of creativity due to the missing personal experience and insights that only humans can demonstrate.
• Inconsistencies: Since generative AI platforms rely on human input to generate responses, the answers provided are different every time.
• Ethics: Due to the inaccurate and biased nature of ChatGPT responses, the software lacks a general sense of empathy and ethics on a human scale. External use of generative AI responses also raises a concern of ethics depending on the way they are used, like students using it to complete schoolwork.

There is no doubt that ChatGPT and generative AI are great tools to help businesses streamline mundane tasks. However, there are numerous concerns around the accuracy, biases, creativity, and ethics within its current programming. Rather than finding ways to use ChatGPT’s content as is, consider using it as a starting point or a “muse.” Use it to challenge your thinking, generate new ideas, and compile information. Also, the more intricate your prompts are, the better the desired output will be. It is critical the human user remains in intellectual control and that the output responses are carefully evaluated or used as a muse for a topic and not taken as a definitive or final product.

Keep Up with the Times, Don’t Fall Behind

There is no doubt that AI is and will continue to influence the way we work. Programs like ChatGPT have emerged as one of the most groundbreaking and best technological advancements we have seen in our lifetimes. From an HR perspective, ChatGPT can be an ideal tool to help improve recruiting processes, provide insights into performance management, and guide professional development and continuing education. Because the HR profession is so people-centric, AI or ChatGPT will never be able to replace the intricate and nuanced work HR professionals like yourself do. Also, considering how early ChatGPT is in development, there are still a variety of unknowns, concerns, and risks associated with relying on this type of generative AI. Being that ChatGPT is based on machine learning, it severely lacks a human touch to its outputs – riddled with biases and inconsistencies while lacking creativity, empathy, and insights.

Until we know more about the capabilities and drawbacks of AI, it is important that humans remain in intellectual power when leveraging this technology. But that does not mean you should avoid using it entirely, as there are numerous aspects within the HR function that generative AI can help to make our lives easier. Don’t be left behind with the evolution of technology. Start finding ways to familiarize yourself with and implement generative AI into your daily routines, because after all, ChatGPT and AI are not going away anytime soon; they will only continue to improve and evolve the way we work.

Patrick Beatty

Marketing Manager

The post The Future is Now – Leveraging ChatGPT and Generative AI in the Workplace appeared first on CCI Consulting.

First, some facts about employee turnover:

• The 2021 quit rate is consistent with other post-recession data (i.e., a 28% quit rate in 2001 and 2010, following the 2000-2001 and 2008-2009 recessions).
• A significant contributing factor in 2021 is the increase in retirements with 1.5M more retirements than normal.  It has been predicted for quite some time that the Baby Boomer generation would start to retire in masses, and it finally is happening following the COVID-19 pandemic.
• The “Great Resignation” is a continuation of longer-term trends in the labor market. The average quit rate increased each year from 2009 – 2019.  In fact, the first year of the pandemic (2020) was the outlier, as there was a pause in the quit rate as people endured lockdown procedures.

These trends bring me back to my question – how is history repeating itself? Have a look at the “headlines” below and take a guess when the headline was written:

1. “Led by the dramatic pace of change in business, caused in part by downsizings, increased global competition and technological advances, human resources professionals face more complex concerns than ever before. In response to societal and workplace changes, the profession itself is in great flux.”

1. Did you guess 2021? If so, you would be far off. This article was written in 1994 by HR Magazine. 
2. “Workplaces Will Change Quickly: Employers and employees will wrestle with such difficult issues as participatory (read: collaborative) management and childcare. Progress may be painful.”
3. This one must be from the last decade, right? Wrong. This piece was published in 1990 by the LA Times.
4. “According to the BLS, the median tenure for 25–34-year-olds in 1994 was 3.2 years, and the median tenure for all workers was 4.2 years.  We now work with a generation of highly mobile employees who see their jobs and their career as something to manage themselves.”
5. These statistics seem spot on based on today’s trends. Well, this was the same case when HR Leadership Magazine released this article in 1995. 
6. “Employees know better than anyone else that the American workplace is in a disagreeable and unnerving state of turbulence. As a result, says a far-reaching new survey, employees increasingly have doubts about the value of company loyalty and increasingly are putting their own needs and interests above their employers’.”
7. This article from 1993 by the NY Times yet again proves the timeless challenges we face in the workforce.

What is the point? Any of those headlines (all of which are roughly 30 years old) could have been written today or at some point over the past 2-3 years; actually, any time over the past 30 years. The issues and challenges being experienced in today’s business, talent, and economic climates are not new. Certainly, technologies are more advanced today, the dissemination of information is magnified in a digital world, the pace of change is quicker. But the fundamentals underlying the talent and workforce issues have been around for decades. The headlines like “Great Resignation,” “Quiet Quitting,” or the “Big Stay” all seem to be attempts of HR and business leaders trying to capture the short attention-span of their audience with catchy one-liners or slogans to label reoccurring workforce trends.

Why does this matter and why should HR leaders be concerned? Truth be told, this is a dereliction of responsibility by those who practice in the HR discipline today. It is incumbent on HR leaders to get past the headlines, to be more “serious” about the work we do, and drive organizations and leaders to pay attention to and support the talent programs and practices that truly address the underlying and fundamental issues that employees care about. There are constants that all employees want from their work experience – connectedness, the quality and content of the work they do, growth & development opportunities, and valuable relationships with co-workers and bosses; these constants matter as much today as they did 30+ years ago.

A core problem over the past few decades is that too many companies stopped dedicating the appropriate amount of time and energy to workforce planning and moved away from talent programs that provide the career experiences employees seek.  Current research supports the view that Millennials and Gen Z employees want the same things from their jobs as Gen X and Boomers did when they were at the same life & career stage. HR leaders should stop wondering why employees are resigning after career paths have been eviscerated within many companies. Instead, companies should look to reinvest in the key tenets of workforce planning.

1. Understand Business Strategy: Start by understanding your company’s overall business strategy, goals, and objectives, as well as the future state of the industry, as well as market trends and business challenges.
2. Conduct a Workforce Analysis: Analyze your current workforce to identify strengths, development needs, and gaps, including workforce demographics, competencies, turnover, and succession plans.
3. Forecast Future Workforce Needs: Use data-driven approaches to forecast the organization’s future needs while considering factors such as business growth, technology changes, and workforce trends. Use workforce analytics and scenario planning to model diverse workforce scenarios and their potential impact on the company.
4. Identify Talent Gaps: Compare the future workforce needs with the current workforce capabilities to identify areas where you may need to acquire new talent, develop existing talent, or optimize workforce utilization.
5. Develop Talent Strategies: This is the bread and butter of HR work. Based on the identified gaps, create plans to attract new talent, develop and/or upskill existing talent, retention strategies to hold employees, etc.
6. Communicate and Execute: Communicating strategic workforce talent initiatives to all relevant stakeholders is critical to ensure accountability and a shared understanding of responsibilities and implementation plans.

There is, admittedly, an allure to producing the “new” tagline of trendy phrases, posting it on social media, and benefitting from the “likes” and “reposts” associated with such. But as an HR leader, ask yourself a more fundamental question – do you want to repeat history? Or would you rather influence the future? If you want to repeat history, then just join the crowd of people who think everything being experienced today is unique. But if you genuinely want to influence the path your organization takes, then get serious about studying the history of workforce and employee experience and re-invest in the HR practices that, over time, have proven to add real value to company performance and employee experience.

Rob Croner

Senior Consulting Advisor

The post Forget the Catchy Headlines – It Is Time for HR Leaders to Get Serious About Workforce Planning appeared first on CCI Consulting.