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May 2016

Human Capital Reporting: Breaking the Impasse

A third of FTSE 100 companies are withholding vital workforce related information from their annual reports, including skills challenges and employee turnover. New research from the Valuing your Talent partnership finds that this failure to adequately communicate the value of people to business is creating a clear risk to users of these company reports, such as investors.

That was the opening paragraph to a broadcast email I received from the CIPD this morning. Feeling a flicker of hope, I downloaded the executive summary immediately. Alas, the phrase, “Including skills challenges and employee turnover” should have warned me of the kind of narrow constraints that would dash my hopes. I cannot help feel the report avoids the real issues.

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Meeting the Most Pressing Human Capital Needs

What are executives’ major concerns these days? I was grateful to get a fresh insight recently when I obtained a copy of the Deloitte Global Human Capital Trends 2016 report. This gave me a wonderful opportunity to identify the trends and ascertain:

  1. What are executive management’s most pressing concerns?
  2. To what extent my ‘Every Individual Matters’ model meets those concerns?

And I am happy to report that the answers were extremely satisfying. The trends are a clear barometer of the way that organisations are changing. There was nothing surprising about them or the concerns that are driving them. They are clearly long-term changes and, as such, will reshape the organisation of the future. And my ‘Every Individual Matters’ Model goes a long way to addressing nearly all of them. Let me explain why I feel so positive about this.

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Process vs. People: Closing the Divide



The Divide 46846103_sI am continuing to read Brian J Robertson's book "Holacracy" and reflecting on the ideas it introduces. It does describe what the sub-title promises: “The Revolutionary Management System that Abolishes Hierarchy.” And, in doing so, it offers something interesting, innovative and, apparently practical. Yet, despite offering a much-needed solution to one of the major challenges of our times, I was finding myself surprisingly unexcited. Then I realised why.

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Evolution, Not Revolution, Powers Innovation and Change

Change_000004016383XSmallHaving long championed the idea of organisations as organisms – as living entities rather than as machines – I have lately become increasingly aware that this is the key to eliminating hierarchy and burying command and control. It also demands a fresh approach to change and is essential for the innovation so vital for commercial – and economic – success. Because organisms only change through evolutionary process.

In fact, if you accept revolutionary change to be any non-evolutionary change, historically, most effective change has happened through evolution rather than revolution. Even the agricultural and industrial revolutions were more evolutionary changes than revolutionary. Most revolutions that can be identified as occurring at a specific time – e.g. the French and Russian Revolutions – could be said to be revolts against a very unsatisfactory status quo rather than specific efforts to introduce pre-designed, and tested, new models. 

Consequently it seems logical that embracing change as an evolutionary process will enhance change management initiatives and help any organisation survive and thrive in our fast-changing world. It is, therefore, encouraging to find so many others are thinking along the same lines.

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