NFV/IT Transformation

Culture eats strategy for breakfast…and talent for lunch

At TM Forum Live! in Nice in May, Google’s Yuval Dvir will provide his expert insight into the realities of cloud and transitioning to a virtualized environment, including aspects related to skills, organization and culture. In this post he examines the value and challenges of identifying the true ‘top talent’.

Peter Drucker is credited with coining the phrase, “Culture eats strategy for breakfast”, about the importance of organizational culture to the success of a company. And since culture is derived from the leadership and employees, the assumption is that getting the best talent in can ensure you create the best working culture for your business.

Sure, human capital is the key component for performance as we’re still very much dependent on our human ingenuity, emotional intelligence and managerial skills to drive the business forward. A necessary, but not sufficient, requirement. Unless you have a supportive business infrastructure for your talent, i.e. culture, even top performers can become sour.

The main element that has yet to be resolved is what makes a great employee great and how can we assess it in an interview? Is academic superiority and strong brands enough to predict performance on the job? Should we prioritize experience over potential? Does long tenure depict loyalty or stagnation? And how do we balance between these?

There’s a lot of context and specificity that needs to be taken into account for these questions but let’s attempt to answer some of them.

Talent

I worked with individuals that would fit the term ‘top talent’. From Harvard-educated to the experienced industry veterans and the ones in between. I have seen strong and poor performers coming from both backgrounds. So how can you tell?

Let’s start with a definition of what makes a strong performer. It is never really just one thing; it is the right mixture of attributes, personality traits and mindsets — properly applied at the right moment and situation — that make up the best talent.

Academics and brands are mostly used as statistical indicators, since they provide the hiring manager with the confidence that the candidate will most likely succeed. Coming from a top tier university, the candidate has already passed a certain degree of screening. Drilling further on academics, into the GPA dimension, Google and other companies have already proven that these averages do not predict success on the job. In some cases, quite the opposite. So more dimensions are required.

Experience is important as it enables the candidate to ‘hit the ground running’ and add value early on. But there is one potential drawback to it. Can the candidate evolve and learn new capabilities so they can improve on the job as well as adapt to the changing market dynamics? Or do they have a fixed working mentality, very experienced only in a certain task and situation?

Consistent successful experience should be demonstrated in several roles, projects and situations in order to count, all of which require the candidate to have a direct contribution to the direction and performance of the initiative. A free-rider doesn’t qualify. From the hiring perspective, managers should take a more long-term view on the candidate, putting more emphasis on potential than short-term gains.

The tenure question opens a Pandora’s Box of views, mostly due to the varied backgrounds of the people holding those opinions. I believe in the merit of experiencing different organizations, cultures and dynamics only if real value is being delivered by the individual. They should demonstrate improved performance in terms of lessons learned, skill-sets sharpened and knowledge developed, rather than making moves for moving’s sake.

Long tenure is often associated with loyalty to the organization. I couldn’t disagree more. You can be as loyal to the organization in your first year as in your 10th. If anything, sometimes you come across many long tenured individuals that become the old guards of the organization, in the bad sense – preventing any positive change from occurring, focusing on their own selfish goals, and thus preventing the company from moving forward. That’s a high price to pay for ‘loyalty’.

The mix that makes it

With the information economy in full swing and digital providing a wealth of new paths to business success, an individual’s ability to focus, learn and make data-driven decisions ‘on the fly’ becomes a  sought-after skill.

As a result, having a flexible and adaptive mindset, being curious and having the interest and capability to learn and adopt new ways of working is paramount. One should also be able to perform as a leader and as a team player at the same time. Action and a results-oriented approach can help ensure that prioritization is present and that impact precedes politics.

In addition, communication capability and people skills are of the essence in order to be able to build the trust and credibility with the multiple stakeholders in and outside the organization.

Most of all, the candidate needs to have the personal and professional ethics to ensure that they will always revert to doing what’s right for the company, the customers and society as a whole.

There may be more recipes of skills that would work, but if the ethics, competence and intelligence (IQ & EQ) are there and maintained over the years, you have probably got yourself a winner.

Assessment

Most would agree that all these skills, behaviors, and attributes are important, but how can you assess them in a candidate?

The short answer is that it’s very difficult and many people get it wrong. Truly the only way would be to see them on the job but by that time it would be too late.

However, there are a few things that can help us get closer, and I used some points made by Claudio Fernandez-Araoz, an expert on talent and leadership, on how and what to assess.

  • Put greater emphasis on potential than experience by looking into the curiosity of the candidate.
  • Look for strong engagements and passion, of both heart and mind, as well as accompanying mental strength to ensure they don’t crack under pressure and stand for what’s right.
  • Unselfish motivation is key for real loyalty to the company and customers, and having an entrepreneurial perseverance will ensure the right decisions are followed through and actually get done.

Getting it wrong

I have seen first-hand the effect of hiring the wrong leaders on the culture and overall performance of the company. The higher the level they enter at, the more destructive their impact is.

Bad leaders tend to reduce transparency by either creating smoke screens or manipulating data to align with their agenda.

If facts, truth and honesty are compromised, very quickly one can expect an erosion of result-driven or meritocratic culture. Instead of growing the business and its talent, we shift towards politics, headcount games and lip service. What’s worse is that the team members start to imitate the behavior of their managers and the corruption trickles down.

Ethical talent either leaves or morphs, bureaucrats remain, and in a place where ethics are no longer valued you find politics, hypocrisy and ultimately corruption filling the void.

The real danger is that it becomes very difficult to acknowledge these wrongs even after they happen, primarily because the sophistication of the rogue managers, the baffling noise, and the bureaucratic difficulty of getting the wrong leaders out.

Final thoughts

An HBR article on ‘How Company Culture Shapes Employee Motivation’ looked at the different motivations to work of employees as the prime indicator of job performance. The six main reasons listed were: play, purpose, potential, emotional pressure, economic pressure and inertia. It is fairly intuitive that researchers have found that the first three motives tend to increase performance, while the latter three hurt it.

So in order to maximize the good motives, while minimizing the bad ones, it is not enough to get the right talent in. You have to focus on building an ethical and supportive culture where great talent can materialize its potential.

Find out more about TM Forum Live! and register.



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About The Author

Head of EMEA Online Partnerships, Google for Work, Google Inc.

Prior to joining Google, Yuval headed the Business Transformation group at Skype, responsible for driving the strategic alignment of the division and the data culture across wider Microsoft. As part of his role, Yuval oversaw the rebuilding of Skype’s data architecture, from the infrastructure pipeline to the last mile of visualization, adoption and actionable insights. Yuval brings years of international experience in Strategy, Operations, Data and Product gained in large multinationals and tech start-ups as a consultant.

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