Titles Are Useless for Benchmarking or Measurement Purposes
By Michelle Malay Carter on July 16, 2008
From the Mailbag
I received an inquiry at the PeopleFit site asking about whether we had a database of role mandates by title – CEO, CFO, CIO, HR manager – available for subscription.? And the inquiry was coming from?someone inside?a global business consulting group.
Specifically, the request was for:? “Role mandates, describing individual and shared accountabilities, decision rights, key metrics, financial targets.”? Again, by title.
Heavy Sigh
I?am disheartened and disconcerted?that well-reputed business consultants believe that benchmarking and universally specifying roles by title would be a reliable methodology.
It’s?akin to?my thinking that once I’ve driven on Main Street in Warren, Ohio, I’ll know what to expect when I hit Main Street in Toronto, Ontario.
Not All Roles Are Created Equal
I’ve said before that not all roles are created equal.? For example, CEO roles can be found from work level 3, a small,?local organization (a restaurant with 2 or 3 locations), all the way to level 7 or 8 (Walmart or General Motors).
The Price We Are Paying for Organizational Malpractice
This ignorance costs us greatly.? One of the reasons CEO compensation is so squirrelly is that there is no science-based methodology for creating organizational peer groups for CEO pay benchmarking.? Talk about organizational malpractice!
Disengagement
I think our current employee engagement numbers (about 21% engaged) reflect the fact that employees are tired of being treated like lab rats in a laboratory run with no mind toward science nor scientific methodology.
Have you ever suffered at the hands of a well-intentioned but disastrous organizational experiment??
Organizational Experiments
How about pay for performance?? How about being forced to lob the bottom 10% of your employees each year?? How about being subject to two masters (matrix management)?? How about being forced to attend useless training or follow a restrictive policy because no one wanted to confront the one person who was creating problems?
I’m OK.? You’re OK.? Let’s fix the system.
Filed Under Corporate Values, Employee Engagement, Executive Leadership, Felt Fair Compensation, Managerial Leadership, Requisite Organization, Succession Planning, Talent Management, Work Levels
Comments
4 Responses to “Titles Are Useless for Benchmarking or Measurement Purposes”
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So. . . Did you email or write letters to any C-level executives at said company about their apparent need for some org design / work levels training?
Just a thought?
I would love to see what that letter might look like and if you are able to get a response. I wonder what the reply or lack of one would say about that firm?
Hi Adam,
Interesting thought. But does David want to hand over his IP to Goliath?
Michelle
That all depends on how much Goliath is willing to spend, if they are willing to spend and whether sharing that IP makes David worth more or less in the long run.
I Imagine it would take a long time for blood to flow back to the brain for a gentleman of such girth. Surely one engagement won’t be enough if successful.
Besides, win or lose, your bound to learn something.
Hi Adam,
Good questions. I’ll have to think about them.
Michelle