Friday, March 28, 2014

Protecting your greatest asset: Building a Human Resources Feedback Loop



Ask any Tech company what their most valuable asset is and 19 out of 20 will shout, “Our People!” Unfortunately, they don’t always act as if this is true.  Companies have become better and better at tightening the consumer feedback loop through NPS, agile practices, and digital analytics tools.  Smart companies will take some of the same techniques and apply them to their most valuable assets, their people.  Here I’d like to explore a few guidelines and then give two examples of how a tight Human Resources feedback loop can be implemented.

There are a few basic guidelines that should be considered in creating a good HR feedback loop.  What it boils down to is ‘good karma’.  The loop should be encouraging, forward looking, and energizing to the team.  Generally, transparency is the best way to go: openly talking about successes, failures, and issues. However, if you are building a feedback loop for the first time, in response to a large problem, or if there is significant distrust in the organization, anonymity may be the best route.  This is because you may have serious problems embedded in your organization and vetting them openly will cause ‘group stink’, the emotional equivalent of ‘group think’ where the problems feed the teams’ negativity and discontent.  The team members need to be able to share their honest feelings and know that they won’t lose their position because of problems they see so in high problem situations, anonymous surveys or interviews (use a third party of some sort) will be best to start out with.

A star example of transparency is Scrum’s Daily Standup.  The idea is to bring a team together daily for fifteen minutes and do a quick report on what they have accomplished, what they plan to accomplish, and roadblocks or impediments.  This gives task-related transparency to issues on a daily basis, making a very tight feedback loop.  This method can be adapted for more employee or work related issues as well as adapted to different levels of the organization.

A good example of an anonymous feedback is using an NPS system for working at the organization.  Ask your employees ‘on a scale of 1 – 10, how likely would you be to recommend a friend to work here?’  give extra questions for the employee to tell you about specific problems you may need to fix as well as space to write down his own thoughts.  This will help you capture hidden points, good and bad.

In summary, your employees are your greatest asset so make sure you treat them like it!  Apply some of the same techniques you use for your customers.  A transparent approach is best for a continuous, long-term HR feedback loop but an anonymous approach is much better for certain situations.  Good luck!