The ABC's of Competency Models

As you drill down the drivers of performance for most organizations; things like great customer service, efficient processes, and empowering technology, you reach a base level for making these drivers happen. This gets you back to the qualities of your human resources – knowledge, expertise, experience, and those things needed for successful execution. And the combination of skills, expertise, knowledge and other intangibles will vary from job to job, function to function. For example, what we need for executing for securing new customers is not necessarily the same as what we need for efficient processes.

Cyber Security 101

One of the most profound challenges facing every company is Cyber Security. Many of us, including myself, are ignorant about the threat. Some of the largest companies are experiencing massive data breaches. Examples include:

·         Target Department Stores - Debit and credit card data stolen impacting 100 million customers

·         J. P. Morgan - Customer data compromised affecting 76 million customers

·         Home Depot – Reported 50 million customer email addresses stolen

Understanding Your Value Proposition

Getting your value proposition right and knowing when and how to tweak it is extremely important. Intense competition and change are forcing many companies to re-visit their original value propositions. The best value propositions are those that solve major pain points for lots of people. Start by looking at how your customers spend their time – what frustrations do they encounter?

Science Explains Creativity

With so much emphasis on creativity and innovation, it helps if we can all cut directly to the chase – namely what's behind creativity? Thanks to various scientific studies and author Jonah Lehrer, we have great insights into where creativity comes from. In his book, Imagine: How Creativity Works , Lehrer highlights some very important research that explains creativity.

For starters, creativity is not one train of thought. It is about how people can switch their thinking from one mode to another. For example, we all get stuck on some problem, struggling to break through and reach a solution. What creative people do is they switch gears from say analytical thinking to day dreaming and imagination. Knowing when and how to make these switches is critical to creative problem solving.

Elevating the HR Function - Part 2 of 2

Part I of this article addressed the issue of elevating the HR Function into a more strategic type function, as opposed to an administrative type function. Part 2 of this article will describe several strategic ideas for moving HR into the strategic function it must become.

In Part I, we mentioned the importance of HR as it relates to core competencies. Organization's need to maintain and build their core competencies since this is the source of competitive advantages in the marketplace. Core competencies have a lot to do with recruiting and retaining the best people. Obviously, HR should play a lead role in this mandate. However, we do not want to stop here since there are numerous other strategic issues related to HR.

Elevating the HR Function - Part 1 of 2

Organizational capabilities are developed primarily through the development of human resources. Despite the enormous importance of human resources, many organizations treat the HR (Human Resource) Function as just another administrative function with high overhead costs. As a result, the HR Function is often targeted for outsourcing and downsizing; crippling it from its real potential for value-creation within the organization.

Do You Know Your Vital Few?

Assessing business health is no different than assessing your own personal health. It resides in a set of key metrics or vital few. For example, if you want to size up your personal health, you look at vital indicators such as blood pressure, glucose number, cholesterol, and pulse rate. You continue to monitor theses on a regular basis and if something goes outside the normal range, you take corrective action. So the question is why aren’t you doing this for your business?

Keep on Bootstrapping

Regardless of where your company stands in the growth life cycle, you should always consider some form of bootstrapping. Bootstrapping is the use of little or no money by leveraging available resources. Bootstrapping enables you to control cost by getting things done without committing cash. This approach is viewed favorably by current and potential investors since you are setting priorities around maximizing value.   

Leveraging Knowledge Management

It is ironic that so many companies have an abundance of knowledge, but fail to use it for managing the business. Knowledge is a critical resource that warrants much more attention. If we are serious about managing knowledge, then we need to embrace the concepts associated with knowledge management.

“Businesses, especially large ones, have little choice but to become information-based. To remain competitive, maybe even to survive, businesses will have to convert themselves into organizations of knowledge specialist.” – The Coming of the New Organization by Peter F. Drucker

Find Your Aggregation Points

The world is full of aggregators who can bring enormous value to your business. For example, you may hire great designers in Italy, enlist programmers from India, manufacture your product in China, and manage the business from the United States. Aggregation is the bringing together of different parts to meet important business objectives.  Aggregation often involves broad and global participation. And the use of aggregation results in higher value as opposed to doing everything in-house.