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Want people who care, engage, work hard, support your strategies, and deliver results? Start right here. Through more than a dozen case studies, top workforce optimization consultant David Russo identifies exactly what great organizations do differently when it comes to managing their people. He distills these differences into 17 rules, covering everything from resourcing and compensation to leadership development, risk-taking to change management. You'll learn exactly how to apply these rules in your organization, whether you're large or small, high-tech or low-tech, profit-making or non-profit. Using Russo's techniques, companies can build genuine esprit de corps, virtually guaranteeing that the efforts, minds, and hearts of their employees are focused on the corporate mission, and challenged with producing outstanding results and competitive advantage. What's more, this book's techniques help companies attract and retain the kinds of talent best suited to their unique work environments, promoting long-term success, not just short-term "quick fixes."
ptg6011863 Praise for 17 Rules Successful Companies Use to Attract and Keep Top Talent “This book is packed with lessons for every manager who aspires to attract and motivate talented people and build a great organization. Russo is able to ground the best conceptual ideas in the wisdom of his own deep experience and share it all in an easy-going conversational style.” —M. Diane Burton, Associate Professor of Management, Massachusetts Institute of Technology “David Russo has spent a lifetime observing employees and organizations. His down-to-earth admonitions may at first blush seem obvious; however, they are pearls of wisdom. Leaders of big and small organizations would do well to heed his counsel and treat their people as if they were volunteers—as if every employee can indeed make a difference.” —Thomas J. DeLong, Harvard Business School, Philip J. Stomberg Professor of Management Practice and co-author of When Professionals Have to Lead: A New Model for High Performance (Harvard Business School Press, 2007) “Passionate and dedicated workplaces of talented employees are within every leader’s reach. David’s been there. He knows. And he gives it to you straight. Apply his trademark, candid advice that you’ll find in this book, and you will start seeing significant positive, profitable shifts in your company culture almost immediately. So listen up!” —Martha I. Finney, President and CEO, Engagement Journeys, LLC and author of The Truth About Getting the Best From People “David Russo is a thoughtful and reflective practitioner. His book, 17 Rules Successful Companies Use to Attract and Keep Top Talent, should be read by top- level executives, as well as human resources managers, if they want to know what actually works with respect to the attraction and retention of talent. The practical example Russo provides, which comes from his knowledge and experience, makes this an extremely useful publication.” —Fred K. Foulkes, Professor of Organizational Behavior, Director, Human Resources Policy Institute, Boston University, School of Management “This book is interesting, provocative, and deeply true. Russo’s advice points the way for leaders to build and sustain high performance organizations. Beautifully free of jargon and silver bullets, Russo wisely focuses on common sense and consistent execution.” —Cade Massey, Professor of Organizational Behavior, Yale University, School of Management “Russo packages a career of experience and insight into a set of rules that will save managers much heartache and a constant ‘comfort’ guide as they face a new people issue for the first time.” —Dallas Salisbury, President & CEO, Employee Benefit Research Institute From the Library of ALESSANDRO CAROLLO ptg6011863 This page intentionally left blank From the Library of ALESSANDRO CAROLLO ptg6011863 17 Rules Successful Companies Use to Attract and Keep Top Talent From the Library of ALESSANDRO CAROLLO ptg6011863 This page intentionally left blank From the Library of ALESSANDRO CAROLLO ptg6011863 17 Rules Successful Companies Use to Attract and Keep Top Talent Why Engaged Employees Are Your Greatest Sustainable Advantage David Russo From the Library of ALESSANDRO CAROLLO ptg6011863 Vice President, Publisher: Tim Moore Associate Publisher and Director of Marketing: Amy Neidlinger Acquisitions Editor: Jennifer Simon Editorial Assistant: Pamela Boland Development Editor: Russ Hall Operations Manager: Gina Kanouse Senior Marketing Manager: Julie Phifer Publicity Manager: Laura Czaja Assistant Marketing Manager: Megan Colvin Cover Designer: Chuti Prasertsith Managing Editor: Kristy Hart Project Editor: Chelsey Marti Copy Editor: Geneil Breeze Proofreader: Leslie Joseph Indexer: Erika Millen Compositor: Jake McFarland Manufacturing Buyer: Dan Uhrig © 2010 by Pearson Education, Inc. Publishing as FT Press Upper Saddle River, New Jersey 07458 FT Press offers excellent discounts on this book when ordered in quantity for bulk purchases or special sales. For more information, please contact U.S. Corporate and Government Sales, 1-800-382-3419, corpsales@pearsontechgroup.com. For sales outside the U.S., please contact International Sales at international@pearson.com. Company and product names mentioned herein are the trademarks or registered trademarks of their respective owners. All rights reserved. No part of this book may be reproduced, in any form or by any means, without permission in writing from the publisher. Printed in the United States of America First Printing January 2010 ISBN-10: 0-13-714670-1 ISBN-13: 978-0-13-714670-3 Pearson Education LTD. Pearson Education Australia PTY, Limited. Pearson Education Singapore, Pte. Ltd. Pearson Education North Asia, Ltd. Pearson Education Canada, Ltd. Pearson Educación de Mexico, S.A. de C.V. Pearson Education—Japan Pearson Education Malaysia, Pte. Ltd. Library of Congress Cataloging-in-Publication Data Russo, David F. 17 rules successful companies use to attract and keep top talent : why engaged employees are your greatest sustainable advantage / David F. Russo. p. cm. ISBN-13: 978-0-13-714670-3 (hardback : alk. paper) ISBN-10: 0-13-714670-1 (hardback : alk. paper) 1. Personnel management. 2. Supervision of employees. 3. Leadership. 4. Industrial relations. I. Title. II. Title: Seventeen rules suc- cessful companies use to attract and keep top talent. HF5549.R788 2009 658.3’1—dc22 2008041016 From the Library of ALESSANDRO CAROLLO ptg6011863 Alongside every fledging author there must be a special person who convinces him that he is much smarter than he knows he really is. Thanks Marsha! From the Library of ALESSANDRO CAROLLO ptg6011863 Few people you met along the way will remember how smart you were, how much you accomplished, or even what you looked like, but everybody will remember how you made them feel. —Harry Dawley From the Library of ALESSANDRO CAROLLO ptg6011863 Contents Introduction . . . . . . . . . . . . . . . . . . . . . . . . . .1 Rule #1: Understand Why Employees Come and Why They Stay . . . . . . . . . . . . . . . . . . . .9 Rule #2: Play “Win-Win” with Your Employees (and Allow Them to Be All They Can Be for Self and Company) . . . . . . . . . . . . . .21 Rule #3: Cultivate Leadership, Not Management, and Know the Difference! . . . . . . . . . . . . .33 Rule #4: Provide Ample and Appropriate Resources . . . . . . . . . . . . . . . . . . . . . . . . . . .41 Rule #5: Demand Contribution; Be Worthy of Receiving It . . . . . . . . . . . . . . . . . . . . . . . . .49 Rule #6: Applaud Effort; Reward Contribution . . . .61 Rule #7: Cheerlead; The “Magic” of M&Ms . . . . . .71 Rule #8: Build a Workplace on a Foundation of Respect . . . . . . . . . . . . . . . . . . . . . . . . . .81 Rule #9: Cultivate the Risk-Trust Dynamic . . . . . . .91 Rule #10: Make Room for Fun in the Workplace (Nurture Lightheartedness/Levity) . . . . .101 Rule #11: Create Opportunities for Employee “Alignment” with Vision, Values, and Mission . . . . . . . . . . . . . . . . . . . . . . . .109 Rule #12: Understand Human Capital . . . . . . . . . . .119 Rule #13: Treat Employees as “Volunteers” . . . . . . .129 From the Library of ALESSANDRO CAROLLO ptg6011863 Rule #14: Know Your Culture . . . . . . . . . . . . . . . . . .139 Rule #15: Understand the Nature of Change and Prepare Your Employees to Embrace It . . . . . . . . . . . . . . . . . . . . . . . . .153 Rule #16: Cultivate Organizational Ethics; Demand and Reward Ethical Behavior . .165 Rule #17: The Last and Overarching Rule: Tell the Truth! (and a Few Action Items to Grow On) . . . . . . . . . . . . . . . . . .177 Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . .189 x 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT From the Library of ALESSANDRO CAROLLO [...]... they can use to arm themselves against you Are you really prepared to gamble on a strategy that funnels your top people toward the exits and into the job market, knowing there’s a high probability your competitor will pick them up, give them a laptop and an Internet connection and say, “You have but one job, my son Use your unique knowledge to crush your previous employer.” Believe me, there are many... advantage of slow and difficult times to 1 From the Library of ALESSANDRO CAROLLO 2 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT shrewdly, prudently optimize processes and procedures, and secure the services of the best people, so they are ready to leap forward at the first sign of opportunity There is continuing and overwhelming evidence that great companies are undertaking these... even farther down the list of Maslow’s hierarchy: the need to be recognized Security and the desire to be employed someplace that garners respect are two needs that are easy to understand But just as universal and essential is the need to be recognized From the Library of ALESSANDRO CAROLLO 18 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT morality, creativity, spontanety, problem solving,... Library of ALESSANDRO CAROLLO 20 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT A core element of what makes employees stay at a job and remember that all your employees are volunteers—is their trust in the organization and the respect the organization expresses to the employees (or that the organization helps engender from coworkers) This social exchange isn’t difficult to grasp; I am... macrocosm of how successful organizations deal with the current global economic tsunami and stand tall and strong when this stressor is recent history In tough times great companies and companies that aspire to be truly great, built to last if you will, seek ways to build and capitalize on competitive advantage And they recognize that people can and will be the greatest component of advantage I hope... caring, committed, aligned, and engaged employees I must warn you that the list is long Some rules are so logical and easy to apply that they might seem almost too simple to be of real value Others are difficult to apply and take a major and sustained effort to incorporate and positive outcomes take time to surface All require serious commitment and the absence of “back sliding” to make a difference But,... the business world From the Library of ALESSANDRO CAROLLO xiv 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT This book provides a road map to achieve what I have lived in the NFL and what I have preached in my speaking career after the NFL It sets down the rules But as you get to know David over the course of this book, you’ll realize these rules were not dreamed up by somebody high... Cowher, and Mike Tomlin They have not micromanaged the coaches; the coaches have, in turn, treated the players like adults, setting clear Download at WoweBook.com From the Library of ALESSANDRO CAROLLO 6 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT individual and team goals and high expectations for work, dedication, and behavior So how did this family-owned business, with no history... From the Library of ALESSANDRO CAROLLO xii 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT vision, and the goals articulated by great leadership To put it another way, you can no more conjure up or demand greatness from a team or a business than you can train basset hounds to drive a minivan From my experience with the Steelers, David’s experience at SAS, and the work we have both... CAROLLO 10 17 RULES SUCCESSFUL COMPANIES USE TO ATTRACT AND KEEP TOP TALENT company’s value Max That’s because every day, at closing time, 90 percent of your assets walk out the door Every day And with luck, every morning, they volunteer to come back to work Oh sure, in a short-term analysis, a few of your employees may say they are bound to you They live paycheck to paycheck They have mortgage payments . CAROLLO ptg6011863 17 Rules Successful Companies Use to Attract and Keep Top Talent Why Engaged Employees Are Your Greatest Sustainable Advantage David. Data Russo, David F. 17 rules successful companies use to attract and keep top talent : why engaged employees are your greatest sustainable advantage / David