The document discusses several topics: 1. It discusses a striking by Verizon landline workers and the internal division this highlights between Verizon's growing wireless business and declining landline business. 2. It questions whether benefits and policies should vary within organizations based on business unit performance. 3. It provides information about upcoming HR technology and HRevolution conferences in Las Vegas in October and encourages registering to attend both.

1. 14 August 2011
Today’s Tabbloid
PERSONAL NEWS FOR steveboese@gmail.com
STEVE BOESE’S HR TECHNOLOGY supply chain and vendor management for a few dozen, (or even a few
hundred), key partners is in the long run a more manageable and
Metric of the Day - $10M in profitable task than trying to directly recruit, employ, compensate,
manage, develop, and do all the other ‘people management’ tasks
Revenue per Employee that are often so hard to pull off well.
AUG 12, 2011 09:17A.M.
Sure someone else, in this case the partner and supplier organizations
Ten million in revenue per employee? How can you possibly get there? still have to do all those pesky ‘people’ chores, but for a company set up
You’re thinking revenue per employee comes in at around $150,000 like Vizio, it has to be seen as an entire set of challenges and problems
maybe $200,000 in a good year. that are not worth undertaking. They can maintain a really small but
focused core team, can concentrate on the design and support processes
they see as fundamental to their success, and can likely move and
respond more rapidly to changing market conditions over time.
And they probably have a lot less drama than naturally occurs when
trying to get 50,000 people to all row in the same direction, play nice in
the cube farms, and not leave a big mess in the break room microwave.
What do you think? Are these kinds of ‘networked’ organizations the way
of the future? Would it work in your business?
Have a great weekend!
STEVE BOESE’S HR TECHNOLOGY
We’re all in this together.
One of the ways you approach $10M in revenue per employee is by
outsourcing relentlessly everything that you consider non-essential to Unless your Business Unit
your business, thus significantly reducing the number of people you
directly employ, and allowing you to focus more fully on those critical stinks...
differentiators for your business. AUG 11, 2011 09:19A.M.
The details behind this story are taken from a piece on Bloomberg I’m sure you have heard something in the news about the current strike
Business Week about privately-held electronics manufacturer Vizio and at Verizon Communications, notable for not only the sheer numbers of
their purposeful strategy of outsourcing most every function that they workers involved (about 45,000), the seemingly irrational timing of
perceive to be not core to the design of their high tech products and to calling a stike in this economic climate, but also for the nature and
the customer experience they are trying to deliver. Vizio controls product nuances behind the dispute.
design and customer support in-house, and just about every other
function in the manufacturing and distribution process is contracted out
to a large network of partners and suppliers across the globe.
By shifting the employment relationship from in-house to contracted
out, Vizio has managed to rack up close to $3B in annual sales while
directly employing only about 300 people. Sure, there are tens of
thousands of workers scattered across the partner ecosystem, and Vizio
has to skillfully manage and coordinate this partner network to ensure
production standards and shipping obligations are met. But I wonder if
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2. Today’s Tabbloid PERSONAL NEWS FOR steveboese@gmail.com 14 August 2011
So while compensation might be tied to business unit success, things like
benefit plans, retirement programs, PTO policies and the like are almost
never variable inside and across competing business units within a larger
organization. Whether or not you are a high-flying sales rep in a growing
product line, or a administrative support person in a declining business,
most companies treat you the same way with respect to benefits. After all
we’re all in this together, right?
The Verizon situation is certainly complicated by the fact that the
declining landline business is unionized, and the growing and more
exciting wireless business is not, but the larger issue that seems to
position one side of the business against another is certainly fascinating.
I am sure we have all had different times in our careers when we looked
at a business line in our organizations and thought - ‘Man those guys
are killing us‘. But I doubt we ever as HR or Talent pros advocated for
The striking Verizon workers represent and support Verizon’s landline whacking their benefits or PTO because of it. Seems kind of a tough
business, a business that according to the company is in decline. position to defend.
Whether it is due to more consumers choosing to simply forego a fixed
home landline in this age of mobile telephony, or the simplicity and low What’s your take - should non-compensation related items
cost of services like Skype, the facts seem to be clear that the landline vary inside organizations according to contribution to
business is not where growth and increased profitability for the company success?
will lie.
Most of us these days when we think of Verizon, see it only as a STEVE BOESE’S HR TECHNOLOGY
wireless/mobile company, with a national presence, constant broadcast
advertising, (Can you hear me now?), and retail locations popping up all Relax, your 401(k) bounced
over the nation. In fact my local Krispy Kreme establishment was closed
recently and now has re-opened as a Verizon Wireless store. Sadly, the back - time to make plans for
conveyor belt that used to carry the tasty donuts for their sugary glaze
coating is gone as well. Las Vegas in October
AUG 10, 2011 07:00A.M.
But the 45,000 striking workers from the landline side of the business
point to the overall growth and success of Verizon Communications (the
consolidated landline and wireless sides), to argue against management’s
insistence on concessions and increased contributions to health care and
retirement plans. Why should we, they argue, have to ‘give back’ when
the organization overall is performing so well?
I don’t really know enough about the details of the contracts and the
proposals to come down on the side of either the striking workers or
Verizon management as to the specifics of the dispute, but to me the
interesting angle is the internal division at play here. While most of us This post was more or less completed over this past weekend, and I fully
have not been caught up in a strike like this one, I bet we have all been intended it to run yesterday. But after the bloodbath across global equity
part of organizations with variations in performance (and contribution to markets on Monday, it seemed a bit ridiculous to run a piece on Tuesday
profits and growth), across lines of business, regions, product lines - morning with a pitch to attend not one, but two events in Las Vegas this
whatever. October. Sure, they are both fantastic, can’t miss type events, and yes, I
can offer you a really attractive discount to attend one or both of these
Once the enterprise achieves a bit of scale there are bound to be some events, but let’s be honest - was anyone on Tuesday going to think
parts of the organization that simply perform better than others. And seriously about approaching the boss for some travel budget, or consider
while sometimes individual contribution to the success of these better a little additional personal investment in their professional development
performing business units is recognized (unit specific bonuses or on such a disastrous financial day?
awards), often it really isn’t singled out, particularly when for many
organizations it can be difficult to fairly and accurately allocate shared But then, perhaps shockingly, the markets rebounded yesterday, and
corporate overhead costs to product lines or business units.
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3. Today’s Tabbloid PERSONAL NEWS FOR steveboese@gmail.com 14 August 2011
while certainly the uncertainty surrounding US and global economic Here’s how:
conditions are likely to persist for the time being, the sting of Monday’s
sell off has been assuaged at least somewhat, and I figured I’d better The 4th HRevolution conference for Human Resources and talent
make my case quickly this morning, since who knows what might professionals will be held on October 2, 2011, one day before the HR
happen when the bell rings a couple of hours from now. Technology Conference kicks off. HRevolution has partnered with the
HR Technology Conference to present the latest in what has become well
So here are the facts, and once I lay them out it will be clear known in the HR community as a challenging, engaging, informal, and
what the only logical conclusion will be for you, the Human boundary stretching program of facilitated conversations that is sure to
Resources or HR Technology professional at which to arrive: enhance and support your HR Technology experience. With sessions
from leaders from Zappos and Glassdoor, as well as some of the leading
1. The 14th Annual HR Technology Conference is set for October 3-5, voices in HR and social media today, the HRevolution - Las Vegas is the
2011 and will be held in Las Vegas at the Mandalay Bay Resort. This perfect way to get your HR Technology Conference experience started.
event continues to be the pre-eminent event in the world of HR And thanks to the partnership with HR Tech, all attendees of
Technology, and in fact, rivals (and likely surpasses), any mainstream HRevolution will receive a special, top-secret discount code (even better
Human Resources conference for its sheer number and depth of than STEVE11), that will give you the best value for HR Technology that
exceedingly outstanding sessions, the scope and breadth of the solution you can find.
providers that exhibit in the Expo hall, and the opportunity to rub
elbows, break bread, and engage with the sharpest and savviest thinkers So here is what I really think you ought to do:
in the world of Human Capital Management.
1. Register for the HRevolution event on October 2nd. You can get your
2. If you skip this event, you will lament your decision for the remainder tickets here.
of 2011, and will almost certainly begin scheming planning to attend in
2012. Why put yourself through a year of regret? 2. Then take your HRevolution discount code and register for the HR
Technology Conference here.
3. At no other event can you attend presentations from executives from
the most important, innnovative, and exciting technology providers in 3. Book your room at Mandalay Bay or at any one of the dozen nearby
the space, see case studies from innovative organizations like Facebook Vegas hotels offering rooms at half the price.
and Groupon, and even get the opportunity to hear from me, your
dedicated servant not once, but twice during the course of the event, as I 4. Get ready for the best learning and networking experience you will
have the privilege to co-present a session with the HR Ringleader, Trish ever have.
McFarlane, as well as participate on a HR and Social Media panel
moderated by the HR Capitalist, Kris Dunn. Take my word for it, or better yet, ask anyone that has attended HR
Technology or HRevolution, you won’t regret it!
4. If you move fast, (or really before September 19th), you can use the
discount code STEVE11, (all caps), to receive a $500 discount off the
published registration price. Again, the conference information and STEVE BOESE’S HR TECHNOLOGY
registration details can be found here. And you should really take
advantage of this opportunity. Truly. Don’t try to be original...
AUG 09, 2011 08:51A.M.
But wait! There’s more!
Browsing through the Google Reader early this morning and came across
If you act now you can double your learning experience in Las this piece on the CoDesign blog highlighting a sweet infographic on
Vegas this October! typography. Sure I know that infographics are really close to Jumping
the Shark right now, but at least this one is actually focused on graphics
and typefaces, and not just an elaborate and link-baiting way to show
some simple statistics or bar charts that I thought it was worth featuring.
For many, the selection of fonts or typefaces is kind of a random act - we
know we shouldn’t choose Comic Sans under any circumstances (you do
know that right?), but after that if we occasionally wander from the
default Times New Roman font it is usually a crapshoot what choice we
land on. Arial? Verdana? Something something serif?
Who knows? And does it matter, really?
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4. Today’s Tabbloid PERSONAL NEWS FOR steveboese@gmail.com 14 August 2011
Well typefaces can influence your message - and these handy Sort of a different way of saying, don’t overthink your choices in design
infographics might help you to better understand what effect your and typography, and it suggests there could be some danger in trying too
choices about type could have upon your content, (these images were hard to create something so new and never before seen that a designer or
pretty big, click the thumbnails below to view the full-size versions). communicator could ultimately detract from the message. I think it is
good advice for more than just font choices - it can be really easy to
obsess on ‘original’ or ‘ground breaking’ at the expense of ‘good’. I know I
have fallen into that trap sometimes when designing presentations,
getting caught up for hours on the images and the text alignment and
fonts. Ultimately if what you have to say or communicate is good, really
good, the design stuff probably matters less.
If the message and writing connect with your audience in a meaningful
way, then it probably doesn’t matter too much if the font is geometric or
serif or extra chunky.
Just as long as you don’t choose Comic Sans - no way you are
overcoming that.
STEVE BOESE’S HR TECHNOLOGY
Can Innovation be
Departmentalized?
AUG 08, 2011 08:46A.M.
It has been an exceedingly dreary few days (weeks, months, years?), here
in the USA, with the seeming inability of our government leaders to find
solutions for significant issues like the national debt crisis, the ensuing
downgrade of US Treasury debt, and the most recent and horrible loss of
soldiers in Afghanistan.
What I like about the charts is how the designer managed to simply
connect a style of type, say ‘Modern Serif‘, with a feeling or expression
of the connotation that style suggests, in this case ‘Glamour‘.
Unemployment remains unacceptably high, many large organizations
In addition to these relational connotations between typefaces and
while reporting strong profits, are choosing to sit on cash stockpiles,
content, the charts also offer some simple suggestions on the design and
rather than increase or expand their labor forces. It is a very uncertain
layout of documents and displays of text and graphical information.
climate, and in this uncertainty it seems like for many companies,
caution and restraint make a more prudent choice than more aggressive
But besides all that, and the real reason I decided to post about these
expansion. Sure, there are still (and always will be) exceptions to this
charts here, was the closing statement that wraps up the second
rule, and we have seen several successful tech companies like Apple,
infographic. I’ll repeat it here in case the infographics don’t render fully
Google, and Zynga (and more), continue to increase revenue, create new
for email and RSS subscribers.
products, and expand hiring. But for all the high-flying tech successes,
there are perhaps more news reports of organizational contraction and
‘DON’T TRY TO BE ORIGINAL, JUST TRY TO BE GOOD.’
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5. Today’s Tabbloid PERSONAL NEWS FOR steveboese@gmail.com 14 August 2011
mass layoffs, (RIM, Cisco, HSBC, to choose just a few). Image - For real success today, I wonder if every department in the organization
smithsonian.com needs to be the ‘Department of Innovation.’
What marks the key difference that allows some companies to succeed
and thrive in these tough economic times compared to ones that struggle
to survive, or that hope to endure through this sustained period of
economic malaise with exercises in cost-cutting, hiring freezes, and even
workforce contraction?
Might one of your answers be ‘The ability to innovate?’
It makes sense right? Apple wins because they created new and better
ways to buy and enjoy music with the iPad, transformed the mobile
phone experience with the iPhone, and re-invented and continue to
dominate the tablet computing space with the iPad. They have simply
out-innovated (and executed, and marketed, and managed), their way to
success and dominance. Heck, they might still have more cash on hand
than the US government.
So the question is then, if ‘innovation’ is the prime cause or factor for
sustained growth and success, can organizations and nations simply
declare ‘We are going to become more innovative‘, and set up a
department, task force, blue-ribbon panel - whatever; and sit down and
commence innovating?
I thought about this while reading some articles on a new blog on the
Smithsonian.com site called ‘Department of Innovation’, a resource that
describes itself as follows:
“...in the spirit of banging the drum for new ideas and fresh
thinking, this blog will track all things innovative, not just in
science and technology, but also in how we live, how we
learn, how we entertain ourselves.”
And while that sounds like a worthy and perhaps even productive
undertaking, (there are already a few cool articles on the site), I can’t
help but think by (at least by name), compartmentalizing innovation into
its own ‘Department’, might not be the right way to frame the discussion,
and certainly not the right way to try to advance innovation inside
organizations.
My sense (and this is completely unresearched, so if I am off base, please
feel free to bash me in the comments), is that the most truly innovative
organizations don’t try to box up or to departmentalize innovation. They
realize that innovative concepts or even creative ideas can come from
anywhere and at anytime in the organization.
It seems to me that the pre-requisite for improving the chances for
innovative ideas to spring up and take root in any kind of an organization
is to create an environment where people feel free and safe to share
ideas, explore new concepts, and have a real chance to see their work and
effort impact the organization, their colleagues, their customers, and
their communities. The first step to becoming more innovative might
just be granting permission.
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