Topgrading

A recent study done by the Human Capital Institute et. al. validated several points that we have been talking (or preaching) about for years with mainly anecdotal data as backup.

Here are the highlights: Read more »

Topgrading “sounds good” to every manager, but we frequently hear from Topgraders , “There are doubters who say that doubling and tripling hiring success sounds too good to be true, so what can I tell them?”

You can drop names of well known companies that Topgraded, expecting to impress the doubter.  And you can say,  “Read Chapter 5 of Topgrading – it’s loaded with case studies of leading companies whose CEOs swear to the truth in the stats, typically 25% - 90% A players hired.”  People rationally believe this but people want to feel the results … somehow … to be really convinced Topgrading saves a lot of money.

This Topgrading Tips article walks you through two short exercises to give any doubters that “feel.”  We’ve used these exercises in workshops for years – exercises in which doubters  “run the numbers” with their own conservative assumptions.

To get to a bottom line, in workshops the average attendee concludes, “Wow, every time I hire someone, including bad hires and good hires, using Topgrading methods I’ll probably put an average of $250,000 on the bottom line and I’ll perform better and get faster promotions.”

Exercise #1:  Estimate the percent high performers you’ve hired in recent years.

This exercise takes less than a minute.  Just think – what percent of the people I’ve hired turned out to be high performers, A players, starts, what I expected … with the only other category MIS-hire.

Our research over the years shows the average rate of good hires to be 25%.  Of course, if you include disappointing but adequate performers, your hiring “success” is probably closer to 80%.  But Topgraders set the bar high, and if you are disappointed or worse with 75% of your hires, you’re typical … and you have a 25% success rate.

Now show the doubter Chapter 5 of Topgrading, and they will be impressed that leading companies took their success rate from 25% to 90%.

Exercise #2: Estimate the costs of a typical mis-hire.  Use this form:

This is the most widely referenced cost of mis-hire form, and in only 15 or 20 minutes your doubter will be amazed at how COSTLY a typical mis-hire is.  In our Topgrading books we show the costs to range, for various jobs, from 5 to 27 times base salary.  And your doubter will be amazed at how time consuming it is to sweep up after a typical mis-hire (200 hours, typically).

The combination of doing those two short exercises, followed by reading Chapter 5 in Topgrading, will go along way toward convincing your doubter that Topgrading hiring indeed can pack their team with high performers.

RECOMMENDED RESOURCE: Consider attending our June 23 - 24 Topgrading Workshop to learn the 12 Topgrading Steps and get personalized coaching from Brad Smart and other Topgrading professionals.  Click here for information.

This question, or some variation of it, is one of the most frequent questions Topgrading Professionals get asked. People tend to understand the benefits of a thorough selection process for managers and executives, but often balk at driving Topgrading processes down through the organization. The answer is YES, OF COURSE!

Our clients have opened our eyes on this. For about 25 years Brad assessed candidates for top executive positions and when companies wanted training, the focus was on what Brad knew best - upper level managers. But clients took Topgrading lower, lower, and now to entry level jobs, telling us that Topgrading methods, simplified, are BY FAR the best hiring methods for 100% of employees. Read more »

Can B players really be coached and become full-blown, certifiable A players?  You bet!  In a recent Topgrading Tips (Which Competencies Can Be Improved?) we presented a chart of competencies, color-coded by which competencies are easiest to change, most difficult, and in-between.  (To read it click here.)

This article is all about how to create a powerful Individual Development Plan (IDP), one that is sufficient in scope to convert a B player to an A player and embraced so totally by the B player that it works!  This article includes a MAGIC WEAPON that turbo-boosts the motivation of someone to improve.

If your B player needs improvement on the easiest to change competencies, ones like experience, education, organization/planning, writing skills, running effective meetings, or even Topgrading, the coaching approach is pretty obvious.  You sit down with B and arrange tutoring, decide on job experiences, and plan on what courses he should take.

But this article deals with how to coach managers to be much better leaders, and that involves improving some “in-between” competencies such as listening, inspiring followership, change leadership, likability, public speaking, conflict management, adaptability, and stress management.

It (almost) goes without saying that your B player, in order to be coached by you to become an A player, almost certainly is not very weak in the “difficult to change” competencies such as intelligence, energy, integrity, etc.  Otherwise your coaching challenge is probably hopeless.

Topgraders have developed a well-oriented method of coaching that has remarkable success.  You can copy it – give it a try!

Coaching Scenario

Suppose you have taken a new job and after a few weeks it’s obvious that you have a mixed bag of talent, including Pat Smith, a bright, energetic, ambitious manager with some clear rough edges.  She seems to be a “diamond in the rough,” bright, eager, and hard working, but she has fallen a bit short on her business objectives and her leadership style is immature.

For example, she made a presentation to the senior team, and it was sophomoric.  As she talks about her team, she seems to give third and fourth chances to underperformers.  And Pat seems to confuse her people with rapid changes in direction.  When they don’t “get it,” she loses her cool, leaving her team members licking their wounds.  So eager to please you, she seems to take credit for peers’ accomplishments, and clearly there is tension with those whose support she needs for her success.

Pat is willing to be coached, and you are hoping that if she embraces a thorough Individual Development Plan, she will perform in the A player category by exceeding her business objectives and demonstrating leadership and interpersonal skills that are Very Good or better.

However, just as Jack Welch required at GE, if she fails to achieve her agreed-upon business accountabilities or if she continues to exhibit mediocre interpersonal and leadership behaviors, she’ll be terminated (or more likely will quit, realizing she will not keep her job).

Coaching Steps

1.  CONDUCT A TOPGRADING INTERVIEW WITH PAT.
This is a good Topgrading practice for all your new team.  Why wait to learn their strengths and weaker points “the hard way,” by gradually getting to know them?  In a 3-hour Topgrading interview you’ll of course learn about Pat’s every success and accomplishment, her failures and mistakes, and this is crucial, you’ll get a clear picture of her capacity to recognize areas for improvement and actually improve.

Pat unfortunately has had bosses who left her alone and hardly coached her, but she does see the need to improve her leadership and she seems to respect you.  Good start!

2.  AGREE ON PAT’S JOB SCORECARD.
As you know, her job scorecard is not just a job description, but a complete summary of her measurable accountabilities. Pat agrees to achieve not only the business accountabilities objectives but also demonstrate Very Good leadership competencies.

Specifically Pat agrees that she must achieve her business accountabilities, but also to achieving an average score of 7 on a 10-point scale on the leadership accountabilities, as measured by an email survey of her team.

3.  CONDUCT AN EMAIL SURVEY OF HER TEAM AS WELL AS PEERS.
This will establish baselines for the areas for improvement.

Pat should send an email to subordinates and peers saying, “I’m working with (new boss – you!) to create an Individual Development Plan that I hope will strengthen my leadership skills.  We’re creating an anonymous survey I’d like you to complete, and (new boss) will also be scheduling one-on-one talks with many of my team and peers; these too are anonymous and confidential.  (New boss) will not disclose who said what to him, so please be candid with (new boss).  He will ask 4 basic questions – 1. What are my strengths, 2. What are my weaker points, 3. What are my career potentials, and 4. What is your best advice for how I can maximize my performance and growth?  Thank you!”

DESIGN OF THE EMAIL SURVEY
We like to use the item stem, “How frequently do you view Pat as?”  And the scale is Always, Frequently, Sometimes, and Never.

Mix in positive items so the survey does not focus too much on the negative, and include the items you and she think she needs to work on such as, An effective listener, Patient, Clear in the direction, Hiring high performers, Replacing chronic low performers, An effective team player with peers, A very effective public speaker, and Emotionally controlled.  Note that the items can be written in positive (“Emotionally controlled”) or negative (“Losing my temper”) language.

A typical email 360 survey will have about 12 items that are her clear strengths, and about 8 items that seem to be her weaker points.

4.  SUPPLEMENT THE EMAIL SURVEY WITH CONFIDENTIAL, HALF-HOUR DISCUSSIONS WITH EACH OF HER DIRECT REPORTS AND 3 OR 4 PEERS.
The purpose (stated in #3) is repeated, and the questions (stated in #3) are asked, with follow up questions so that you have an excellent feel for Pat’s leadership strengths and weaker points.

5.  MEET WITH PAT TO REVIEW THE SURVEY RESULTS AND YOUR IMPRESSIONS FROM THE ORAL INTERVIEWS.
Make this a dialog in which Pat is fully involved in analyzing the results for every item, with the purpose of creating a draft Individual Development Plan, a plan that will fortify her strengths and overcome her weaker points.  Remind Pat that the minimum acceptable average rating for all items is 7 on a 10-point scale (3 if the wording is reversed), though the minimum rating is typically a lot higher, like a 9, for Integrity and Topgrading.

Pat should read a sample Individual Development Plan so she understands that the final form should say What she intends to do, Why (this is crucial – she has to speak from her heart to show real commitment to change), When, and How the results will be measured.  (Attached is Pat’s final Individual Development Plan, which you could show your B player as a sample.)

Pat, in the next couple of weeks, will finalize her IDP, and it’s her plan, but you must agree with it.

6.  COACH PAT REGULARLY.
As her IDP states, you as the new boss will provide instant or daily feedback and coaching when the need is apparent, but also you have scheduled quarterly coaching sessions to thoroughly review everything Pat has done — her successes, any failures, and what if anything should be changed in her IDP.

If Pat is failing to achieve either business objectives or improvements in her leadership, you both will recognize it.  If someone has to pole vault 17 feet to make the Olympic team and is still at 15 feet AFTER getting a new pole, working with a sports psychologist, taking nutrition lessons, etc., well it’s pretty obvious that the measurable accountabilities aren’t going to be met.

In sports and business, an entirely friendly discussion should take place regarding the person’s departure.  With Topgrading, chronic low performers fire themselves!

THE MAGIC WEAPON THAT TURBO-BOOSTS DEVELOPMENTAL EFFORTS
If you read Pat’s IDP you might have figured out what the heck this “magic weapon” is – it’s a metaphorical camera that tapes Pat all day, every day on the job and when her accountabilities for improvement are measured, her worst behavior will be observed and if it’s really bad, it will cost Pat her job.  That “camera” is the promise of more email surveys and oral interviews by you, as often as every 6 months.  I phrase it like this:

“Pat, every day think that a camera is on you – look up in the corner of the room and imagine it’s taping you now and every second you’re on the job.  Do you have that image?  Okay, now let’s take your weaker points, starting with your losing your temper.  It scares the hell out of your people when you yell at them, and as you now know from reading the Written Comments in the survey, your people retreat to their office, lick their wounds, and are much less productive for days and days.  And when you yell at them, they are more inclined to blame others, which hurts teamwork.  In your IDP you have agreed that you will achieve an 8+ on Emotional Control, and here’s how to motivate yourself to stay on your good behavior, think that the camera is on you, Pat, every moment of every day.  Blow up even once in the next 6 months and everyone in the department will hear about it, and you’ll be rated low in Emotional Control.  You can be on your best behavior 99% of the time and one loud screaming episode will be remembered and your survey results will suffer.  By the way, not only will your Emotional Control be rated low, but you can bet that just because of one time you ripped someone’s head off verbally, many other survey items such as Team Player, Inspiring Followership, and Clear Direction will be rated lower.”

Where did this idea come from?  While consulting with GE quite a few managers I coached improved using this coaching method – they not only improved their leadership style but with those improvements they achieved even better business results.  So Jack Welch took the extra step (how typical!) of saying, “You must make your numbers and exhibit the positive GE leadership values, or you get just one more chance and then you’re fired if you don’t achieve both.”

Thank you, Jack!

SUMMARY: By putting the threat of losing one’s job if someone fails either to achieve business results or demonstrate very good leadership competencies, managers become strongly motivated to follow through on their IDPs and a lot of B players move up to A player status.

RECOMMENDED RESOURCE: Consider attending our June 23 - 24 Topgrading Workshop to learn the 12 Topgrading Steps and get personalized coaching from Brad Smart and other Topgrading professionals.  Click here for information.

 

Many people view Topgrading largely as a highly effective hiring process (which it is!), but are not quite sure how to Topgrade existing employees.  Can Topgrading be used for people who are currently on your team?  Absolutely!

 

The process to determine whether or not incumbents are A players is similar to the Topgrading hiring process, with some notable differences.  Here are the steps.

 

1. If you do not already have one, create a Job Scorecard.

A good Job Scorecard contains two sections, specific and measurable Accountabilities (the results you expect an A player in the position to deliver) and a list of Competencies that are key to delivering expected results.

 

If you already have a list of goals and objectives for the position, you already have a good start on the Accountabilities.  However, you have to be sure that the Accountabilities are measurable and sufficient.  Sufficient means that if a person were to deliver those results, and only those results, you would consider him or her an A player. 

 

People sometimes get hung up on describing Key Competencies.  Most companies have a list of values (integrity, teamwork, etc.), which is a good place to start.  Chances are, your organization’s values will be key competencies for most positions.  If you get stuck, use our list of 50 Topgrading Competencies to come up with additional areas that an A player must exhibit to deliver the expected results.

 

2. Conduct a Tandem Topgrading Interview with the individual.

If your organization is large enough, it is best if the individual is interviewed by two Topgrading-trained A players from another area of the company.  If the interviewers have a lot of interaction and history with the candidate, there is a tendency to not dig deeply enough to get at the important details of accomplishments and mistakes.

 

If your organization is not big enough to do that, recognize that interviewers may not probe enough into areas they have experience with to mitigate bias as much as possible.  At a minimum, the person’s current supervisor should not be one of the interview partners.  Their insights and opinions will be included in the assessment (verbal 360º interview)

 

3. Conduct 360º interviews with 5-10 coworkers.

These 360º interviews could also be described as “internal reference checks.”  You should speak with a person’s supervisor, several peers, several direct reports, and internal customers.  We recommend favoring A player coworkers for these interviews, mainly because their motives are less questionable than those of non-As.  A non-A player subordinate could paint a glowing picture of her boss because the supervisor does not hold people accountable and weak performers love that. Or, that non-A player subordinate could view the 360º interview as an opportunity to really “stick it to him” because he recently put her on a Performance Improvement Plan.  Favoring A players will not eliminate those types of situations, but will reduce the likelihood of occurrence.

 

Ask coworkers about the individual’s Strengths, Weaknesses, Recent Accomplishments, Recent Mistakes, their best Suggestions for the individual to perform and grow, and about any specific areas you are interested in.  For instance, if Communication is a key competency, you could ask, “On a scale of 1 to 10, how would you rate the effectiveness of Jason’s communications, and why?”

 

4. Write a short summary report and rate the Job Scorecard.

After you and your interview partner complete the Topgrading Interview and 360º interviews, write a short summary report outlining the individual’s strengths (about 20), weaker areas (4-5) and any developmental recommendations you have for him or her. 

 

Then rate the Job Scorecard to determine whether or not the person is an A player.

 

5. Give the person feedback.

Be sure to “close the loop” on the process by giving the person feedback on your conclusions.  If you determined the person is an A player, the feedback will help that person remain at an A level and your developmental recommendations may help him or her reach their career goals more efficiently.

 

If the person has A potential, the feedback will help them get to the A player-level as quickly as possible.

 

If the person is a non-A player and does not have the potential to become an A, the feedback can help you convince the person that they are in the wrong position and open the conversation about what they could do in the organization or elsewhere to perform at an A level.